Crafting a Comprehensive Solution to Persistent Payment Issues in the Construction Industry: Strengthening Relational Resilience
V.G. Pai Vernekar (TU Delft - Civil Engineering & Geosciences)
Daniel Hall – Graduation committee member (TU Delft - Design & Construction Management)
E.J. Houwing – Graduation committee member (TU Delft - Integral Design & Management)
M. van Os – Graduation committee member (TU Delft - Integral Design & Management)
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Abstract
This research investigates the persistent problem of payment delays in the construction industry by focusing on the behavioral and relational dynamics that underlie financial disputes. While traditional solutions have largely emphasized procedural or contractual fixes, this study adopts a grounded, qualitative approach to understand the root causes of payment unreliability. Through interviews with industry professionals and a rigorous coding process, the study identifies key triggering and influencing factors contributing to payment breakdowns. The result is a behavioral framework comprising six practical interventions designed to enhance trust, balance power, foster empathy, and ultimately improve payment reliability. The framework is adaptable across diverse project contexts and aims to shift the focus from isolated remedies to a more integrated, human-centered approach to managing construction payments.