Incorporating digital technologies for alternative dispute resolution in the Sri Lankan construction industry

Abstract

The Construction Industry (CI) faces disputes that cause several negative impacts such as project delays and cost overruns. Alternative Dispute Resolution (ADR) methods are often recommended in resolving disputes due to their time and cost efficiency. However, with the technological advancements of the CI, it is necessary to incorporate Digital Technologies (DT) for effective dispute resolution. Thus, the study aims to explore the applications of DT in ADR in the CI to address the challenges in the Sri Lankan context. The research aim was accomplished through a quantitative approach by conducting a questionnaire survey with the participation of 37 respondents. Collected data was analysed through descriptive analysis. The findings identified three major causes of construction disputes in the Sri Lankan context contract-related factors, financial and economic factors, and task factors. Further, negotiation was found the most commonly used ADR method in Sri Lanka followed by arbitration and adjudication. Findings indicated that DT such as MS Office Packages, Virtual Online Dispute Resolution (ODR), Building Information Modelling (BIM), and Artificial Intelligence (AI) have high levels of effectiveness in enhancing ADR processes. BIM and Virtual ODR were highly valued for their ability to facilitate visualisation and remote dispute resolution respectively. The study suggests that DT applications can significantly improve ADR processes, enhancing efficiency and decision-making in dispute resolution, and calls for further research on global applicability and ethical implications.