On The Rate of Project Success in Multinational Construction Projects:

The Effects of Cultural Differences of Construction Professionals in

Metro Manila

by

Engr. Kevin T. Soriano

Bachelor of Science in Construction Engineering and Management

Mapúa Institute of Technology, 2015

Bachelor of Science in Civil Engineering

Mapúa University, 2017

A Research Proposal Submitted to the School of Graduate Studies

in Partial Fulfillment of the Requirements for the

Degree of Master of Science in Construction Engineering and Management

CEM290: Research Methods/D01/4Q-2021

Mapúa University

July 2021
 Dedication

The Researcher humbly dedicated this study to his parents, family, and loved one, whose

untiring support and assistance have made possible the fruition of his efforts.

To ALMIGHTY GOD who serves as guidance and the source of strength and knowledge,

for without his guidance, everything is futile.

i
 Acknowledgement

The Researcher would like to honor Jesus Christ, our Lord, and Savior, for giving the

strength, wisdom, support, and knowledge, for the guidance in helping surpass all the trials the

Researcher encountered, and for giving the determination to pursue this study and to make this

study possible.

The Researcher would like to extend his sincerest gratitude to all the people who helped there

in any manner, especially Dr. Dante Silva, who have shared effort and knowledge to make this

study a reality.

Lastly, the Researcher would like to honor and recognize his loving parents for their moral

encouragement and spiritual support in every path the Researchers take.

ii
 Abstract

Cultural differences have been discussed, time in and time out, to be linked towards the

team's effectiveness. Furthermore, as the two are connected, the team's effectiveness leading to

project success is also hypothesized to be determined by cultural differences. This research,

referring primarily to literature, has decided to shift its focus towards determining the link

between cultural differences to the project success of multinational construction projects. To be

specific, it attempts to determine the effects of the before the latter. The context, which is

multinational projects, was set with its relevance to the nation regarding success towards the

economy, employment, and the likes. Furthermore, such is set to avoid the possible isolated case

of multinational projects in the Philippine scene. The respondents are ten (10) construction

professionals who have been immersed in multinational construction projects. The researchers

have deployed direct observation, focus groups, and semi-structured interviews for data

gathering. Moreover, the research has adopted a qualitative research design, with specifications

on phenomenological research design.

iii
 Table of Contents

Dedication ...…………………….………………………………………………………….……. i

Acknowledgement ……………………………………………………………………………… ii

Abstract …………………………………………………………………………………………

iii

List of Figures ……………………………………………………...……………………………

vi

Chapter 1: The Problem and a Review of Related Literatures ………………………………

Introduction ……………………………………………………………………………… 2

Review of Related Literature ……………………………………………………...……...

Related Readings …………………………………………………………………

Related Literature ………………………………………………………………... 6

Related Studies …………………………………………………………………... 9

Synthesis and Justification ………………………………………………………

12

Theoretical Framework ………………………………………………….............

12

iv
 Conceptual Framework ………………………………………………………………….

13

Statement of the Problem (General and Specific) ……………………………………….

14

Hypothesis ………………………………………………………………………............ 15

Significance of the Study …………………………………………………………..........

15

Scope and Delimitations ………………………………………………………………...

16

Definition of Terms ……………………………………………………………………...

17

Chapter 2: Method ………………………………………………………………………..........

18

Methodology ………………….………………………………………………………... 18

Research Design ………………………………………………………………............... 19

Research Setting …………………………………………………………………........... 19

Respondents of the Study …………………………………………………………......... 20

Data Gathering Procedure/ Data Gathering Instruments …………………………...........

21

Data Analysis ……………………………………………….….…………......................

23

References ………………………………………………………………………....................... 24

Appendices ………………………………………………………………………...................... 30

v
 Appendix A: Related Literature Matrix …………………………………………………

30

Appendix B: Related Studies Matrix ….…………………………………………………

34

Appendix C: Methodology Matrix ………………………………………………………

38

List of Figures

Figure 1: Conceptual Framework ……………………………………………………………… 14

vi
vii
 Chapter 1

THE PROBLEM AND A REVIEW OF THE LITERATURE

Introduction

A multinational company is known as a business operating in various countries

simultaneously (My Accounting Course, 2021). It can be restated by mentioning that a company

possesses business activities more than a particular country (My Accounting Course, 2021). On

the other hand, a multinational project can be referred to as a project in more than one country.

Furthermore, multinational companies and projects can be very beneficial to the Philippine

economy as the inward investment brought about by the aforementioned generates significant

currency for economies that are developing (Nicolas, 2016). Additionally, they also manufacture

jobs and raise expectations regarding possibilities for the nation or whoever is involved (Nicolas,

2016). Following this, benefits include the acquisition of expertise and skills to the host labor

force. Domestic companies can be challenged and further improve their competitiveness, which

can trigger an elevation in efficiency or quality, and tax revenues can be made available for the

host country (Tutor2U, 2021.) Therefore, the success of a multinational company or project can

signify the growth of a country, specifically with regards to the economic and practical factors.

As multinational projects become successful, they can entail further and thriving operations that

benefit the company and the nation (Nicolas, 2016). However, several factors can contradict the

rate of success of multinational projects, which can hinder growth and ultimately lead to the

company's failure.

One of the possible factors of the failure of multinational projects can be cultural

differences, which is not a new idea in any organization. According to research, cultural

1
differences are a regular thing. Every person has a different culture believed in. The cultural

differences of the people may refer to different beliefs and behaviors being practiced ever since

being born. As for Jackson & Guerra (2011), cultural difference involves integrating and

maintaining a system of socially acquired values. It usually contributes to how an individual

relates with one another. In a group, when a person is culturally different, they are tending to be

discriminated against or left out. The more familiar a person's culture, the more likely they get

involved and related to other people.

Chron (2020) highlights the importance of preparedness when foreign opportunities are

made available in organizations about cultural differences. This includes being aware of cultural

differences. An inference can be made regarding the situation which deals with this point:

cultural differences can make or break foreign deals and transactions. Furthermore, a study by

Maznevski et al. (2021) suggests that cultural diversity, which stems from cultural differences,

may not directly affect a team's performance but rather have an indirect impact. Fundamentally,

team performance is related to project success as group work can entail significant benefits like

more knowledge, skills, ideas, and tools that benefit the excellent completion of projects

(Okoronkwo, 2017). In short, cultural differences can undeniably influence project success; there

is a relationship between the two variables. Furthermore and fundamentally, Chron (2020)

includes the following as further factors that fuel the fire with regards to cultural differences, as

proven by experience: not knowing the local language, failure to respect the hierarchy situation,

failure to recognize the usual mechanism of business, failure to respect religion in a religion-

centered country, and the likes. Hutnek (2016) establishes that despite the usual trend of the

effects of cultural differences, such can still be managed. The author further states that

companies look forward to improving cultural awareness and work within the responsible and

2
ethical line. The gap of an international nature will slowly be bridged. Additionally, it is essential

to be culturally aware and manage differences to avoid conflicts linked to diversity. This is said

as a labor force that is generally united can also be united upon doing specific goals, thus

maximizing the potential of the business (Ahmed, 2020).

However, no known literature covers the specifications of this study, namely with regards to

its scope. Fundamentally, it is also essential to be more familiar with the case of this study to

attend to the most viable solution. It is essential to know the underlying cause of project success

and how cultural differences, as an established cause, affect the success of multinational projects

before discussing the solutions. The exploration of this topic can contribute to the success of

projects in terms of the multinational level, and thus, the study can be beneficial for the country.

With these in mind, the researcher aims to identify the effects of cultural differences of

employees on the rate of project success. The study operates within the view that cultural

differences influence how an organization attains success on the projects, as permitted by related

literature. In this study, the relation of the cultural differences and the project success is

hypothetically set but can be nullified as the research permits.

Furthermore, the researcher will utilize a qualitative research design. As the research adheres

to the lived experiences of the respondents (Aubry et al.,2020), the researcher opts that this is the

best possible design as it would generate the fullest expression of the respondents. The

researcher will see to it that the data gathered from this research will be via ethical means. The

researcher believes that research done the right way will practically and ultimately benefit its

beneficiaries, and thus, the researcher will operate with that belief in mind.

The scope of this study, particularly on location, will be within Quezon City. This is to

maximize the research and go in-depth to the individual responses instead of generating

3
generalizations. The time frame will revolve within the year 2021, as the researcher believes in

the relevance, and therefore, call to create a study about the topic in this modern time. The

definition of the terms will be based on the most modern references.

Review of Related Literature

The current research opts not to disregard past literature, as it acknowledges the importance

of the topic, but it gives direction to the present study. Specifically, the review of related

literature sheds light on what the literature might have missed and what the current study can fill.

The following portions comprise the related readings, which contain the indirect or direct legal

basis for the study, related literatures, which are scholarly writings, and related studies, which are

published research studies.

Related Readings

The Constitution of UNESCO (United Nations Educational, Scientific and Cultural

Organization) has devoted itself to the diffusion of culture and humanities education for liberty,

justice, and peace, being non-negotiable to man's dignity (UNESCO, 2001). UNESCO delegates

that duty to all nations in the context of mutual concern and assistance (UNESCO, 2001). The

following principles are upheld by UNESCO, which has the underlying theme of managing

cultural diversity: 1) Identity, Diversity, and Pluralism, 2) Cultural Diversity, and Human Rights,

3) Cultural Diversity and Creativity, 4) Cultural Diversity and International Solidarity

(UNESCO, 2001). According to UNESCO (2018), “the act and decree on cultural diversity are

designed to enhance the quality of individuals' cultural lives and to foster social integration and

creation of a new culture based on cultural diversity.” (para. 1) and “it prescribes the

4
responsibilities of central and local governments; basic matters relating to formulation,

execution, etc. of basic plans for cultural diversity.” (para. 4) This act and decree are relevant to

the local, regional and national levels. In addition, the aforementioned is indicated in the hopes

of a greater harmony based upon cultural diversity and the likes. Despite its general nature,

however, this legal basis remains relevant to the study with regards to Multinational Companies

as the act covers implementation on individuals, social groups, and the likes. Thus, multinational

projects must comply with the host country's laws and international laws (Gleeson, 2017).

Like other organizations, rules and regulations are usually mandated by one body. The body

is involved in the Construction Management Association of America (CMAA) in the current

study. CMAA has provided a Professional Code of Ethics that is highly implemented worldwide.

The CMAA Professional Code of Ethics identifies the behavior to be manifested and prevents

discrimination that can be opted by cultural differences (CMAA, 2021). Its specification on

ethical practice states that relationships should be directed through the optimal standards of

honesty and integrity, proper behavior of employees, healthy relationships with fellow

employees, and harassment of any form are prohibited (CMAA, 2021). CMAA’s (2021) under

Code of Ethics, the following serves as their guide to Ethical Practice:

1. Construction Managers should be guided in all their relationships by the highest

standards of integrity and honesty. (para. 07)

2. Construction Managers should conduct themselves honorably, responsibly, ethically,

and lawfully so as to enhance the honor, reputation and value of the profession. (para. 08)

3. Construction Managers should avoid conduct or practices that deceive the public or

represent a real or perceived conflict of interest. (para. 09)

5
 4. Construction Managers should respect the rights of others and should not discriminate

on the basis of race, color, gender, marital status, religion, national origin, age, disability,

or sexual orientation nor knowingly violate any law, statute, or regulation in the

performance of professional services. Construction managers should strive to create a

diverse workforce. (para. 10)

5. Construction Managers should have a zero-tolerance policy for any form of

harassment, including sexual harassment and bullying. (para. 11)

Related Literature

Project Success

Arslan et al. (2009) declare a growing need for comprehending cultures in terms of attaining

success in business in the present age. To further discuss the topic, a vital objective of the

authors' study was to determine the relationship between cultural differences and project success.

The study was conducted among UK construction managers. The study found that the successful

commonality over differences in the cultural level can substantially contribute to Project

Success. Commonly, giving no regard or mismanaging cultural differences can further lead to

project failure.

Mišić et al. (2015), on the other hand, focuses on the context of Mediterranean countries in

the hopes of establishing the relations and impacts among certification, competence, culture, and

business practices. It aims to fundamentally know the relation between cultural diversity and

project success, among many others. The paper found out that there is similarity and differences

amongst the countries in terms of cultural dimensions. Furthermore, certifications, which are the

basis for project success, also differ in terms of similarity.

Project Management

6
 Awolusi et al. (2020) wrote the study to affirm a link between the cultural characteristics of

people, project performance, project technologies, and the process of multinational project

management. The study was set in Uganda, which is specific to the energy sector. The study was

mainly quantitative. The study has concluded that the stated variables are essential before

effective project performance in the given context.

Meanwhile, Ludviga et al. (2018) looked into the Western context to explore the extent of

cultural differences' relevance in the present age's project management practices and the hand of

culture-related factors on the success of projects. However, the relationship between these stated

factors has proven to be minimal as culture seems to have a small to moderate impact on project

success variables.

Intercultural

Rodrigues et al. (2013) conducted a study to comprehend the connection between cultural

attributes and global projects' management teams. The study was set in the context of Brazilian

multinational companies. It was established that there was not much action within the company

regarding multiculturalism and very minimal incentive regarding intercultural matters, as far as

the team development is concerned. This, in return, proves to be a stumbling block towards the

development of a global mindset which proves to be essential for the overseas performance of

Brazilian multinational companies.

Anbari et al. (2009), on the other hand, did not disclose a specific context but focused upon

the theories revolving around cultural differences and relates them towards project management.

The appropriate utilization of intercultural project teams can lead to project success via

experience and innovative thinking with the underlying motivation. The authors have established

7
that multicultural project management can be successful via effective intercultural

communication, respect that is mutual, reconciliation, and culturally aware leadership

Cultural Diversity

Arslan et al. (2008) set the objectives for their study as 1) determining managers' opinion

regarding the likely impact of cultural diversity on some practices in the construction

management business, 2) being aware of the link between success and cultural diversity

management, and 3) the plausible benefits and challenges of operating with differing cultures in

the industry of construction. The study was set in the context of UK professionals. The study

found out that cultural differences affect management practices regarding construction but in

differing levels and ways.

Meanwhile, Al Hasani et al. (2017) focused upon evaluating cultural risks in the

construction industry in the United Arab Emirates (UAE). It was set upon determining the

specific risks instead of the effects of culture. The study concludes that part of the risks in the

construction industry is the presence of cultural diversity. Thus, cultural diversity should be keen

to mitigate the risk and improve the industry's productivity.

Project Performance

Charlesraj (2018) undertook research searching for empirical evidence regarding the link

between cultural orientation and project performance, which was set in an organization. The

study's findings dictate a negative correlation between the cultural differences and project

performance, signifying that as the prior increases, the latter decreases and vice versa.

However, Nguyen et al. (2017) were keen upon project organizational culture, with objective

8
regards to culture and its influence on the performance of construction projects. The authors have

found specific findings as they state that the most significant cultural factor influencing project

performance has been the contractor commitment to contractual agreements

Related Studies

Project Success

Akade (2017) was keen on comprehending and amending the significant rate of project

failure in a developing country to provide techniques for successfully executing projects. The

context was set in the international oil companies (IOC) within Nigeria, and the methodology

was both qualitative and quantitative. The research has established that culture influences the

project execution of IOCs in Nigeria.

Dago (2018) is more general because he addresses the relationship between infrastructure,

project outcome, and culture. The author has found out that several positive factors contribute to

the global projects' successful realization. Furthermore, effective communication has been

established as one of the primary components that could pitch in towards a successful project.

This differs from the previous study in terms of specification.

Project Management

Ting (2016) was centered on managing projects and cross-cultural misunderstandings,

stemming from clashing perspectives on working styles and cultural dimensions amongst group

mates in a multicultural project team. The study was conducted using a mixed research

methodology. It was concluded that trends formed from generalization regarding cultural actions

should not be the fundamental basis for perceiving how differing culture responds in a team

9
setting. The findings conclude that other factors, such as character and experience, can contribute

to such instead.

Alshamsi (2019), on the other hand, focused on a different setting, namely UAE

construction organizations. He explored how such are directing construction projects to improve

competitive advantage. The study concludes that an intricate blend of social, economic, political,

technological, environmental, legal components helps dictate the construction project

management in the UAE.

Intercultural

Eriksson et al. (2016) have established the purpose of their study: to add to the present field

of cross-cultural or intercultural management and how cultural diversity is managed. A

comparison between India and Sweden was established, and a qualitative research design was

utilized. It was concluded that it is essential for managers to gain familiarity with varying

cultural values. This is within the assumption that cultural diversity influences the performance

of an organization, primarily through problems arising from cultural differences.

Chanan's (2017) study slightly differs from the previous literature as the author talks about

the influence of cultural diversity on working people in Ireland's pharmaceutical organizations.

Nonetheless, the researcher deems it relevant as there is still an established commonality

between organizations, hence the projects. Furthermore, the primary findings of the research

highlight the importance of effective communication in solving problems that arise from cultural

diversity.

Cultural Diversity

10
 Mecheo (2016) was specific about determining the impacts of employee's cultural diversity

on the organization's performance. The methodology was descriptive quantitative. Following

this, the study's findings are that religion had a negative impact on organizational performance

but positively impacted work commitment. The study also found out that cultural values directly

affect organization performance.

Iskandarova's (2016) study was similar because faculty performance and the likes were

evaluated to ascertain the advantages and challenges of differences of cross-cultural nature. The

mixed-methods were utilized, as it is beneficial to the study. The author was firm that the

advantages and challenges of cross-cultural differences could allow the administrators to have

more substantial knowledge in comprehending and rallying for productive team performance.

Project Performance

Alkharmany (2017) began his study by stating the objective of ascertaining the impact of

culture on primary stakeholders, which affects the construction projects' delay. The context of

the study was in the Kingdom of Saudi Arabia. Content analysis was the primary methodology

for the study. The main research has found a link between the factors that affected the attitude of

the stakeholders and delay.

Tedla (2016) was keen on how organizational culture, which underlies cultural diversity,

affects corporate performance. The author conducted an exploratory study. The objective was to

expect effective strategies that a corporate group utilized to institute a successful organizational

culture to enhance performance. The findings presented an opportunity to develop a shared

understanding between managers and employees and employee-centered leadership that pitched

into their motivation.

11
Synthesis and Justification

Overall, the findings convey a relationship between cultural diversity, anything related to

culture, and project success. As varied as they are, the nature of these relationships entails that

there is, indeed, a connection between the two variables. There is a commonality amongst the

related literature and studies as they involve the two variables in their discussion.

However, there is still a need for the study as far as the specification and contextualization

are concerned. Most of the available studies have no implication whatsoever on construction.

Also, foreign literature has dominated the scene. There is no available literature that caters to the

desired context and scope.

Theoretical Framework

This study is anchored on the Theory of Social Identity. This theory was first proposed by

Henri Tajfel (Ellemers, 2021). The social identity theory explains how individuals feel belonging

to a group with the same mindset and perception, considering personal and social association.

Also, social identity identifies which group the individual usually gets along with. This theory

aims to determine which situations the individual regards himself to be a member of the group.

In addition, the theory is mindful of the social effects and personal identities on the perceptions

of an individual and group behavior. This theory remains relevant to the present study as the

researcher believes that the latter can be anchored to the prior in terms of the mechanics of

cultural differences' operationalization or how it fundamentally works. As such is true, it can

present a lens towards determining the dependent variable, the rate of project success.

12
 The theory also tackles the concept of the in-group and out-group (Ellemers, 2021). The in-

group is commonly the group with whom an individual experiences a sense of oneness. At the

same time, the out-group is the group that can be considered distinct from an individual and

where that individual may experience a sense of dislike. According to the theory, one tends to

place benefits to one's in-group rather than one's out-group, while at the same time placing high

regard to the prior than the latter (Ellemers, 2021). These concepts are relevant to the study as

they justify the concept of cultural differences and the consequences that stem from them.

Motivation is also discussed in the theory as social behavior is said to be set by the

motivations and character of the person at the individual level as well as by membership in the

group (interpersonal behavior and intergroup behavior, respectively) (Ellemers, 2021). This

concept is related to the initial concepts as motivation is a crucial determinant towards action,

may it be an action towards the in-group or out-group. This means that personal preferences and

group preferences can define effectiveness that leads to project success. This is true with

motivation as the underlying factor (Ellemers, 2021). Both interpersonal and intergroup behavior

is essential in affecting motivation, according to the theory.

Conceptual Framework

The study focused on the effects of the cultural differences of employees. The study aims to

identify the relationship of the cultural differences to the project success of the company, with

regards to the specifications and context of the study. The following serves as an illustration of

the procedures that the researcher will undergo to realize the study's objective. Below is an

illustration of the involved procedures in the study.

13
 Phase 1: The Selection of Data Phase 4: Concluding and
Recommending

Step 1: Refer to related readings as

background for knowledge Step 1: Narrate Findings for
conclusion
Step 2: Refer to related literature as
background for knowledge
Step 2: State Recommendations for
the stakeholders and future
Step 3: Refer to related studies as researchers
background for knowledge

Phase 2: The Gathering of Data Phase 3: The Processing of Data

Step 1: Conduct a focus group

Step 1: Utilize thematic analysis
Step 2: Conduct a semi-structured
interview

Step 3: Do direct observation

Figure 1: Conceptual Framework

Statement of the Problem (General and Specific)

The main objective of this study is to determine the effects of cultural differences of the

Construction Professionals and the rate of project success with regards to multinational

14
construction projects. This is with the assumption that there is a link between the two, according

to the stated literature. Furthermore, the specific objectives of this research are the following:

1. Assess the specifications of the term project success in the context of the respondent's

perceptions in order to capture their lived reality.

2. Determine the cultural differences of respondents in terms of:

a. The respondents’ personal and social identity scale

b. The respondents’ multigroup ethnic identity measure

3. Evaluate the project management of the multinational projects in response to cultural

diversity with strict reference to cultural differences

4. Identify if there is, indeed, a link between cultural differences and project success.

5. Cultivate a skills/leadership/professional development program to enhance performance

and project success through the findings of the study

Hypothesis

The researcher hypothesizes that there is a relationship between the cultural differences

experienced by the respondents and the rate of project success. The effects of such a correlation

may be in accordance with the orientation of the relationship. Furthermore, based on research,

the researcher assumes an indirect correlation between the two, meaning that the project success

rate decreases as the cultural differences increase.

Significance of the Study

The researcher believes that this study will not only yield data that will be helpful to him,

more so will be beneficial and significant to the following groups of people:

15
 Human Resource Management. This study provides insight into how cultural differences

can affect project success. It can further improve the social conditions of the employees.

Construction Firm Manager. This study provides knowledge on how cultural differences

can help in generating Success for the firm. Furthermore, the manager can be more effective in

being an agent in the firm's economic success, hence, the nation.

Construction Employees. This study enlightens the employees on how cultural differences

are helpful for the success of each project. The study can be beneficial to the overall well-being

of the employees, especially at an internal level.

Future Researchers. This study provides valuable information on the effects of cultural

differences in the project success of multinational construction projects. The study can contribute

to the knowledge of future researchers.

Scope and Delimitations

The scope of this study will focus on the effects of cultural differences of Construction

Professionals on the rate of project success. Other factors that affect the success of a project are

disregarded in the study. The respondents will be limited to ten (10) Construction Professionals

who are working in Quezon City. Furthermore, this study will be conducted in the year 2021.

The researcher has decided to work with what he has and start where it is most convenient.

As the study is at the proposal stage, its relayed information will be limited in accordance.

The knowledge that it expresses is limited on the fundamental side. It mainly introduces the

topic, its importance, and available related knowledge on the topic. Mainly, the knowledge

available in the current study is starting knowledge about the topic. However, considering the

foreseen and complete study, the research will be mainly limited by the research design as such

16
includes the number of responses, the type of data gathering, and the likes. The research will also

be limited in terms of scope with regards to the conducting time of the research. Moreover, these

components are relevant according to the limitations of the researcher with regards to resources,

time, and the likes.

Definition of Terms

The following are terms involved in the study. These terms are further defined according to

their operational use in the study. The terms are as follows:

Cultural Differences – According to Guerra et al. (2021), it refers to any belief,

behavior, language, and perspective that is different from other people; includes

the integrated version of socially acquired beliefs, values, and rules of conduct

which affects the range of normalized behaviors that is distinguished from one

normative group to another

Culture – According to culture theory by Serrat (2008), culture refers to the sum of

society's unique beliefs, ideas, knowledge, and values. It speaks of the way

humans make sense of their environments.

Project Success – refers to any project in construction which becomes successful.

Bannerman (2008) makes a generalization, which is not only applicable but is

considerate for this study, stating that project success is the highest level attained

at any reflection point.

17
 Chapter 2

METHOD

Methodology

The conceptual framework conveys the relationship between the variables. The researcher

deploys the relationship of an independent variable, which remains to be the immovable and

constant component of the relationship as it dictates the course, and the dependable variable,

which is the one that changes in the relationship (Tutor2U, 2021). Cultural differences and their

operationalization serve to be the independent variable as it controls the rate of project success,

the dependent variable. The conceptual framework tries to convey lies in the context of

multinational projects in the Quezon City, Philippines area. It tries to determine the effects of the

operationalization of cultural differences on the rate of project success.

The methodology constitutes a compilation of rules and methods utilized by a discipline

(Merriam-Webster Dictionary, 2021). This portion will be concerned with just that as it discusses

this research's research design, research setting, study's respondents, data gathering procedures or

data-gathering instruments, and form of data analysis. To elaborate, the research design of this

study will be qualitative. The research setting will be in Quezon City, Philippines. Furthermore,

the study's respondents will be 10 construction employees.

Furthermore, the researcher is in the business of data selection, data gathering, and data

processing. The data selection has commenced via the review of related literature. It has given

the researcher prior knowledge on the given topic and has directed the researcher on what to look

for towards data gathering. The data gathering or data collection methods will be focus groups,

18
semi-structured interviews, and direct observation. The form of data analysis will be thematic

analysis. Lastly, the researcher will process data through thematic analysis, which will be

discussed later part of the paper.

Research Design

The researcher will be deploying a qualitative methodology as a part of conducting research.

This entails that the researcher will be generating data mainly in the form of words and not

numbers. As the qualitative design is wired to conduct in-depth research instead of generalized

research, it will be keen to focus on relatively few respondents and scrutinize their responses

(Busetto et al., 2020). To be specific, the researcher will be attuned to the phenomenological

research design. It is a research design primarily centered upon studying phenomena or peoples'

experiences as they encounter things (Duquesne University, 2020). This research design is

susceptible to the respondents' perception, which is one of the reasons it is viable for this

research. This is true as it is necessary to capture the respondents' lived experience regarding

how they view project success, experience cultural differences, and ultimately, the effects of the

latter to the prior. Furthermore, this type of research design looks into the conscious experience

from the subjective viewpoint or first-person viewpoint (Duquesne University, 2020).

Research Setting

The researcher has opted to utilize Quezon City, Philippines, as a research ground for the

study. The city is situated in Manila's northeast in central Luzon (The Editors of Encyclopaedia

Britannica, 2021). It once had the most significant population among the municipalities/countries

in the nation. The city contributed 2.8 percent to the sum of the population of 76.5 million

19
(Philippine Statistics Authority, 2002). The city's land area is 171.17 square kilometers.

Furthermore, the Commonwealth Act No. 502 has bestowed upon Quezon City 7,355 hectares,

one-third of which was given to the government (Philippine Statistics Authority, 2002). The city

was once the official capital of the country, according to the Republic Act No. 333 (Philippine

Statistics Authority, 2002).

Quezon City is relevant to the research as it is home to multinational construction companies

(Business List, 2021). These multinational companies reside within the vicinity of the city

(Business List, 2021). Construction industries are known to provide 9.1% employment in the

city, proving the preeminence of construction and multinational construction companies in the

vicinity (QC, 2020). Following the manufacturing business, construction is one of the leading

businesses in the area, consisting of building constructions and site development and preparation

(QC, 2020).

Furthermore, the author wishes to disclose that on top of the relevance of the setting to the

research. The researcher takes into consideration the personal accessibility of the research

setting. This is backed up by the nature of the research, which is qualitative, and the nature of the

sampling technique, which is the purposive sampling technique.

Respondents of the Study

The respondents of the study consist of ten (10) employees currently working in construction

firms and in charge of multinational projects. This number of samples in the qualitative research

can be acceptable as former studies with this sample size can also yield fruitful results

(Streefkerk, 2019). Furthermore, the small sample size is justified to support the depth of the

qualitative analysis as it is also a basis for the mode of inquiry (Streefkerk, 2019). As much as

20
possible, the researcher will be utilizing a mixed demographic and diverse population while

subscribing to the primary and requirements as mentioned earlier for the respondents. This is to

reach a wider relatability concerning the study. Such is also true as diversity can generate

different perspectives and opinions and represented outcomes (University of Minnesota, 2017).

The research can also present well-rounded findings as a result. All of these are still subject to

the limitations of the researcher.

The researcher will also be deploying a purposive sampling technique to gather respondents,

and hence, data. Also known as a selective judgment or subjective sampling, this sampling

technique subjects the researcher is one judgment as a basis for reliance when opting for the

members of the population to be respondents in the study (Alchemer, 2021). The benefit of this

technique is the convenience that it brings to the researcher and the simplicity that it brings. The

purposive sampling technique only works best for the qualitative methodology, as the purpose of

the methodology is in-depth research and not generalization (Alchemer, 2021). Business

Research Methodology (2021) further come up with other advantages of phenomenology, which

comprise its ability to aid in the comprehension of people's meanings, aid in the adjustment

towards novel ideas and issues as they emerge, pitch in new theories' emergence, and collate

information that is natural instead of artificial.

Data Gathering Procedures/Data Gathering Instruments

The data gathering shall fully commence once the researcher has received permission to

conduct the study. Once permitted, the researcher shall identify the target participants. After that,

the researcher shall proceed to data gathering using survey questionnaires by distributing the

21
letter of participation and the survey itself. Once distributed, the researcher then collects it and

tabulates all the gathered data for analysis.

Gathering data will be via semi-structured interviews and focus groups with open-ended

questions and direct observation (Busetto et al., 2020). Semi-structured interviews are known as

a qualitative nature data collection strategy (Conrandin et al., 2019). It is with such that the

researcher asks the respondents a series of preconceived but open-ended questions. The

researcher utilizes an interview guide with regard to semi-structured interviews. Meanwhile,

utilizing a focus group is a research technique deployed to collect data through the interaction of

groups (B2B International, 2020). The group may comprise a minimal number of premeditated

groups of people tasked to converse on a given topic.

Furthermore, focus groups explore and determine how people perceive and act as they

answer what, why, and how questions (B2B International, 2021). Lastly, the researcher will be

conducting the direct observation. This research technique attempts to put the researcher into the

shoes of the informants to get a better grasp or comprehend their lived structure (Crossman,

2019). This is first done by gaining the acceptance of the informant to have a key towards their

most profound perception about the topic (Crossman, 2019). These techniques will be deployed

to avoid limiting the respondents' answers and fully grasp or capture the respondents'

experiences.

Furthermore, the researcher would like to disclose that he opts to implement method

triangulation regarding semi-structured interviews, focus group discussions, and direct

observation. Triangulation denotes the utilization of multiple methods in research that is

qualitative in order to initiate a comprehensive comprehension of the phenomena (Patton, 1999).

22
Triangulation can pave the way for testing validity in relation to different methods (Patton,

1999).

Data Analysis

The researcher will qualitatively treat the data. He will utilize a thematic analysis, a

qualitative data analysis method, for interviews and focus groups (Caulfield, 2020). It includes

going through and analyzing data sets such as transcripts from the data collection methods and

scrutinizing meaningful patterns across the data (Caulfield, 2020). The purpose of thematic

analysis is to recognize themes or data patterns that catch the eye of the researcher and further

utilize these themes to acknowledge the research or make sense regarding a facet of a related

issue (Caulfield, 2020). Thematic analysis elucidates and pans out data instead of simply making

it concise. There are six steps with thematic analysis, namely 1) familiarization, 2) coding, 3)

generating themes, 4) reviewing themes, 5) defining and naming themes, and 6) writing up

(Caulfield, 2020). First, familiarization includes exploring the data, transcribing the audio,

reading through the transcripts, and jotting down initial notes. Second, coding the data includes

illumination text sections, typical sentences, or phrases, generating short codes or labels

describing their main points. Third, the researcher needs to recognize patterns and generalize,

leading to themes. Fourth, it is time to review things and determine if these bests represent what

the initial codes want to capture. Fifth, defining and naming themes to attempt to make the

researcher polish the themes and utilize accurate and appropriate words to capture the essence

from the data. Finally, the analysis allows the researcher to present the data analysis in the most

presentable manner for readability.

23
References

Akade, S. (2017). Understanding the impact of culture on project execution in a developing

country: an action research study of six international oil and gas companies in Nigeria

(thesis).

Ahmed, A. (2020, July 2). Culture Awareness in the Workplace. Small Business - Chron.com.

https://smallbusiness.chron.com/culture-awareness-workplace-737.html.

Alkharmany, A. (2017). Project management: the effect of Saudi national culture on the

attitudes of key stakeholders towards delay in construction projects in Saudi Arabia

(thesis).

Al Hasani, M., Regan , M., & Tularam, G. (2017). Impacts of cultural risk factors on project

success in the ... https://mssanz.org.au/modsim2017/A5/alhasani.pdf.

Almuajebh, M. & Gunduz, M. (2020). Critical Success Factors for Sustainable Construction

Project Management. Sustainability. 12. 1-16. 10.3390/su12051990.

Alshamsi, S. (2019). Managing construction projects in the United Arab Emirates to gain

competitive advantage (thesis).

Anbari, F., Khilkhanova, E. V., Romanova , M., Ruggia, M., Tsay, H., & Umpleby, S. (2009).

Managing Cross Cultural Differences in Projects.

https://www.pmi.org/learning/library/managing-cross-cultural-differences-projects-6736.

24
Arslan , G., Kivrak, S., & Ross, A. (2008). EFFECTS OF CULTURAL DIFFERENCES IN

CONSTRUCTION PROJECTS ... https://www.irbnet.de/daten/iconda/CIB12193.pdf.

Arslan, G., Kivrak, S., Ross, A., & Tuncan, M. (1970, January 1). [PDF] Impacts of Cultural

Differences on Project Success in Construction: Semantic Scholar. [PDF] Impacts of

Cultural Differences on Project Success in Construction | Semantic Scholar.

https://www.semanticscholar.org/paper/Impacts-of-Cultural-Differences-on-Project-

Success-Kivrak-Ross/c144d5fdcd384ab78a22f13d0446d91918e02ff9.

Aubry, M., Bitzas, V., Frechette, J., Kilpatrick, K., & Lavoie-Tremblay, M. (2020). Capturing

Lived Experience: Methodological Considerations for Interpretive Phenomenological

Inquiry. International Journal of Qualitative Methods.

https://doi.org/10.1177/1609406920907254

Awolusi, O. D. & Gubala, F. (2020). The Impact of Cross-Cultural Differences on Project

Performance: A Study of Power Sector Development Operation and Electricity Sector

Development Project in Uganda. Journal of Education and Vocational Research,

11(1(V), 44–63. https://doi.org/10.22610/jevr.v11i1(v).3069

B2B International. (2020, March 24). What is a focus group? B2B International.

https://www.b2binternational.com/research/methods/faq/what-is-a-focus-group/.

Bannerman, P. L. (2008). Defining project success: a multilevel framework. Paper presented at

PMI® Research Conference: Defining the Future of Project Management, Warsaw,

Poland. Newtown Square, PA: Project Management Institute.

Busetto, L., Wick, W., & Gumbinger, C. (2020, May 27). How to use and assess qualitative

research methods. Neurological Research and Practice.

https://neurolrespract.biomedcentral.com/articles/10.1186/s42466-020-00059-z.

25
Business Research Methodology. (2021). Phenomenology - Research Methodology. Research.

https://research-methodology.net/research-philosophy/phenomenology/.

Caulfield, J. (2020, August 14). How to Do Thematic Analysis: A Step-by-Step Guide &

Examples. Scribbr. https://www.scribbr.com/methodology/thematic-analysis/.

CMMA. (2021, July 12). Code of Ethics. Construction Management Association of America.

https://www.cmaanet.org/about-us/code-ethics.

Chanan, R. (2017). An exploration of the impact of Cultural Diversity from an international

employee perspective in Pharmaceutical Organizations in Ireland. (dissertation).

Charlesraj, V. Paul & Khan, Mohammad. (2018). Effect of cultural diversity on project

performance.

Conradin , K., & Keller , S. (2019, June 30). Semi-Structured Interviews. SSWM.

https://sswm.info/planning-and-programming/decision-making/gathering-ideas/semi-

structured-interviews.

Crossman, A. (2019). Why Sociologists Use Participant Observation. ThoughtCo.

https://www.thoughtco.com/participant-observation-research-3026557.

Chron . (2020, October 13). Examples of Company Failure Due to Cultural Mistakes. Small

Business - Chron.com. https://smallbusiness.chron.com/examples-company-failure-due-

cultural-mistakes-70712.html.

Dago, T. (2018). Reasons for Success and Failure of Projects (thesis).

Duquesne University. (2020). Qualitative Research Methods: Phenomenology. LibGuides.

https://guides.library.duq.edu/c.php?g=836228&p=5972144.

Ellemers. (2021). Social identity theory. Encyclopædia Britannica.

https://www.britannica.com/topic/social-identity-theory.

26
Eriksson , S., & Hägg, C. (2016). Cultural Diversity: How to Manage a Cross-Cultural

Workforce in a Global Organization - A study between India and Sweden (thesis).

Gleeson, P. (2017, November 21). Legal Practices for Multinational Companies. Small Business

- Chron.com. https://smallbusiness.chron.com/legal-practices-multinational-companies-

79489.html.

Guerra, N., & Jackson, A. (2021).

https://link.springer.com/referenceworkentry/10.1007%2F978-0-387-79061-9_752.

Hutnek, S. (2016). The Impact of Cultural Differences on Human Resources Policies of

Multinational Companies (thesis).

Iskandarova, S., & McCoy, O. G. (2016). The effect of cross-cultural differences on team

performance within an educational setting: a mixed methods study (thesis).

Jackson, A. & Guerra, N. (2011) Cultural Difference. Retrieved from:

https://link.springer.com/referenceworkentry/10.1007%2F978-0-387-79061-9_752

Ludviga, I. & Inese S. (2018). "Cultural Diversity in Project Management: How Project Success

is Perceived in Different Cultures." The International Journal of Organizational

Diversity 18 (1): 1-12. doi:10.18848/2328-6261/CGP/v18i01/1-12.

Maznevski, M.L. & Stahl, G.K. (2021). Unraveling the effects of cultural diversity in teams: A

retrospective of research on multicultural work groups and an agenda for future

research. J Int Bus Stud 52, 4–22. https://doi.org/10.1057/s41267-020-00389-9

Mecheo, K.N. (2016). The Effect of Employee Cultural Diversity on Organizational

Performance: A Case Study of Oilybia-Kenya

Merriam-Webster Dictionary. (2021). Methodology. Merriam-Webster. https://www.merriam-

webster.com/dictionary/methodology.

27
Mišić, S., Radujković, M., & Vlahov, R. D., (2016). The Influence of Cultural Diversity on

Project Management Competence Development – The Mediterranean Experience.

Procedia - Social and Behavioral Sciences, 226, 463–469.

https://doi.org/10.1016/j.sbspro.2016.06.212

My Accounting Course. (n.d.). What is a Multinational Company? - Definition: Meaning:

Example. My Accounting Course. https://www.myaccountingcourse.com/accounting-

dictionary/multinational-company.

Nicolas, J. (2016, December 14). Multinational corporations in the Philippines: What do they

want? BusinessWorld. https://www.bworldonline.com/multinational-corporations-in-the-

philippines-what-do-they-want-is-locked-multinational-corporations-in-the-philippines-

what-do-they-want/.

Okoronkwo, I. (2017). Team Performance and Project Success. Retrieved from

http://digitalcommons.harrisburgu.edu/pmgt_dandt/

Patton M. Q. (1999). Enhancing the quality and credibility of qualitative analysis. Health

services research, 34(5 Pt 2), 1189–1208.

Philippine Statistics Authority. (2002). Quezon City: The Philippines' Largest City.

https://psa.gov.ph/content/quezon-city-philippines-largest-city.

QC. (2020, December 17). Economy. Quezon City Government. https://quezoncity.gov.ph/about-

the-city-government/economy/#:~:text=Quezon%20City%20has%20been

%20declared,and%20educational%20programs%2C%20as%20well.

Rodrigues, I. & Sbragia, R.. (2013). The Cultural Challenges of Managing Global Project

Teams: A Study of Brazilian Multinationals. Journal of technology management &

innovation. 8. 4-4. 10.4067/S0718-27242013000300004.

28
Serrat, O. (2008). Culture Theory.

https://www.adb.org/sites/default/files/publication/27578/culture-theory.pdf.

Streefkerk, R. (2019, February 15). Qualitative vs. Quantitative Research: Differences &

Methods. Scribbr. https://www.scribbr.com/methodology/qualitative-quantitative-

research/.

Tedla, T. (2016). The Impact of Organizational Culture on Corporate Performance

(dissertation).

The Editors of Encyclopaedia Britannica. (2021). Quezon City. Encyclopædia Britannica.

https://www.britannica.com/place/Quezon-City.

Ting, C. (2016). Project Management from Different Cultural Perspectives (thesis).

Tutor2U. (2021, July 10). Independent and Dependent Variables. tutor2u.

https://www.tutor2u.net/psychology/reference/revision-note-independent-and-dependent-

variables.

UNESCO. (2001). UNESCO Universal Declaration on Cultural Diversity. UNESCO.

http://portal.unesco.org/en/ev.php-

URL_ID=13179&URL_DO=DO_TOPIC&URL_SECTION=201.html.

UNESCO. (2018, November 9). Creating the legal framework for diversity of cultural

expressions. Diversity of Cultural Expressions. https://en.unesco.org/creativity/policy-

monitoring-platform/creating-legal-framework.

University of Minnesota. (2017, January 4). 2.2 Demographic Diversity. Organizational

Behavior. https://open.lib.umn.edu/organizationalbehavior/chapter/2-2-demographic-

diversity/.

29
30
Appendices
APPENDIX A: RELATED LITERATURE MATRIX

PROJECT SUCCESS PROJECT MANAGEMENT INTERCULTURAL CULTURAL PROJECT

(p. 6) (p. 7) (p. 8) DIVERSITY PERFORMANCE
(p. 8) (p. 8-9)

Arslan et al. The study found that the

(2009) successful commonality
over differences in the
cultural level can
substantially contribute
to project success.

Misic et al. The paper found out that

(2015) there is similarity and
differences amongst the
countries in terms of
cultural dimensions
which are the basis for
project success.

Awolusi et al. The study has concluded that

(2020) the stated variables are
essential and comes before
effective project management
in the given context

Ludviga et al. The extent of cultural

(2018) differences' relevance in the
present age's project
management practices and the

30
 hand of culture-related factors
on the success of projects.

Rodrigues et It was established

al. (2013) that within the
company, there was
not much action with
regards to the topic
of multiculturalism
and very minimal
incentive regarding
inter-cultural
matters, as far as the
team development is
concerned

Anabari et al. The authors have

(2009) established that
multicultural project
management can be
successful via
effective
intercultural
communication,
respect that is
mutual,
reconciliation, and
culturally aware
leadership

Arslan et al. The study found out

(2008) that cultural

31
 differences affect
management practices
regarding construction
but in differing levels
and ways.

Hassani et al. The study concludes

(2017) that part of the risks in
the construction
industry is the
presence of cultural
diversity.

Charlesraj The findings of the

(2018) study dictate that there
is a negative
correlation between
the cultural
differences and project
performance,
signifying that as the
prior increases, the
latter decreases and
vice versa

Nguyen et al. The authors have

(2017) found specific
findings as they state
that the most
significant cultural
factor influencing
project performance

32

Soriano These studies prove
significant to the study as
they present fundamental
knowledge that links
cultural diversity to
project success.
The varying results, all the
more, establishes the
importance of conducting this
study- to determine the status
of the relationship in a
contextualized setting.
33
has been the
contractor
commitment to
contractual
agreements
The paralleled Diversity can make or These studies provide
findings of these break a project. These a reference for the
studies can be a studies can serve as a current study as it
reference for the foundation for the presents a link and a
current study as study, despite their specific contributing
intercultural matters varying claim. factor to project
prove to be the performance.
central theme of the
study.
 APPENDIX B: RELATED STUDIES MATRIX

PROJECT SUCCESS PROJECT INTERCULTURAL CULTURAL PROJECT

(p. 9) MANAGEMENT (p. 10) DIVERSITY PERFORMANCE
(p. 9) (p. 10) (p. 11)

Akade (2017) The research has established

that culture influences the
project execution of IOCs in
Nigeria.

Dago (2018) Effective communication

has been established as one
of the primary components
that could pitch in towards a
successful project.

Ting (2016) It was concluded that

trends formed from
generalization regarding
cultural actions should
not be the fundamental
basis for perceiving
how differing culture
responds in a team
setting.

Alshamsi The study concludes

(2019) that an intricate blend of
social, economic,
political, technological,
environmental, legal

34
 components help dictate
the construction project
management in the
UAE.

Eriksson et It was concluded that it is

al. (2016) essential for managers to
gain familiarity with
varying cultural values.

Chanan Furthermore, the primary

(2017) findings of the research
highlight the importance of
effective communication
in solving problems that
arise from cultural
diversity.

Mecheo The study's findings

(2016) are that religion had
a negative impact on
organizational
performance but
positively impacted
work commitment.

Iskandarova( The author was firm

2016) that the advantages
and challenges of
cross-cultural
differences could
allow the

35
 administrators to
have more
substantial
knowledge in
comprehending and
rallying for
productive team
performance.

Alkharmany The primary research

(2017) has found a link
between the factors
that affected the
attitude of the
stakeholders and
delay.

Tedla (2016) The findings presented

an opportunity to
develop a shared
understanding
between managers and
employees and
employee-centered
leadership that pitched
into their motivation.

Soriano These findings present an Insights on project Established findings on What works in The findings highlight
established link between management may direct intercultural matters in the different contexts the essentiality of
culture or cultural the current research to organization can give might not be suitable employees in the topic
differences and project what it needs to focus much-needed information to the present study. of project
success, which presents a on. to the researchers in terms Nonetheless, these performance, and thus,

36
foundation for the study. of focus. studies can present a establishing
point of reference. knowledge for the
present study.

37
 APPENDIX C: METHODOLOGY MATRIX

Phase/Stage Research Respondents of the Data Gathering Data Gathering Data Analysis
Setting Study/ Materials to be Procedure Instrument/ Equipment
used

Phase 1: Selecting of Data

1. Refer to Online Related texts will be Related texts will be used in

related referred to in the data authoring data instrument
readings gathering procedure

2. Refer to Online Related texts will be Related texts will be used in

related referred to in the data authoring data instrument
literature gathering procedure

3. Refer to Online Related texts will be Related texts will be used in

related referred to in the data authoring data instrument
studies gathering procedure

Phase 2: Gathering of Data

1. Focus Construction 10 construction The respondents will sign

Group Companies in employees handling consent forms
Quezon City multinational projects

2. Semi- Construction 10 construction The respondents will sign

structured Companies in employees handling consent forms
Interview Quezon City multinational projects

3. Direct Construction 10 construction The respondents will sign

Observation Companies in employees handling consent forms
Quezon City multinational projects

38
 Phase 3: Processing of Data

1. Utilization Steps of thematic

of thematic analysis (including
analysis coding)

39