Governance Establishment of a Mega Construction Program Managed by Two Countries

Abstract

In 2014, total global mega programs spending is assessed, at USD 6-9 trillion annually, or 8 percent of total global GDP, which denotes the biggest investment boom in human history. In terms of international cooperation and development, construction is a large sector of the economy as it contributes to national social and economic development by procuring mega construction programs. As public infrastructures and facilities are main interests, mega construction programs are invested or commissioned by public sides. However, different countries build partnership for the transfer of technologies, knowledge, capabilities or experiences and maximization of resources. Consequently, a long-term commitment between two or more nations is prevalent to achieve their objectives. When various organizations such as countries are involved, the key to success is to design governance arrangements at initial phase as they ensure consistency. While several frameworks for program governance already in use or literature, each model is highly dependent on the institutional, legal, regulatory and government conditions of a specific country. Therefore, this article offers an integrated governance framework that can be applied regardless of client’s national diversity. An ideal framework for mega construction programs managed by two countries will be suggested by conducting cross-mapping on the literature reviewed and case study. To evaluate the framework, interviews were conducted within governing parties of Yongsan Relocation Program. This research provides guidelines to develop governance frameworks of different programs for successful delivery of governments’ objectives.|경제개발 및 도시개발 전략을 위한 메가 건설 프로그램이 시행되고 있다. 이들은 국가와 공공 부문의 주도 하에 이루어지고 있다. 또한, 세계화 및 국제협력 추세가 가속화 됨에 따라 ODA, 합작투자 등과 같이 두 개 이상의 국가가 클라이언트의 역할을 수행하는 메가 건설 프로그램이 증가하고 있다. 두 국가가 각각의 목표를 달성하는 과정에서 이해관계와 갈등구도가 심화된다. 이에 두 국가가 주도하는 메가 건설 프로그램은 사전에 준비된 거버넌스를 기반으로 한 협상 및 의사결정에 의해 이행되어야 한다. 그러나 대부분의 연구는 단일 국가의 메가 건설 프로그램 거버넌스를 대상으로 하며, 두 국가가 클라이언트로 참여하는 경우를 위한 연구는 드물다. 본 연구는 두 국가가 주도하는 메가 건설 프로그램의 거버넌스 수립 과정을 분석하고 프레임워크 제안을 목적으로 한다. 메가 건설 프로그램 및 국제협력의 추세와 메가 건설 프로그램 측면에서의 거버넌스 개념을 정립하고, 문헌고찰을 통해 두 국가가 주도하는 메가 건설 프로그램의 거버넌스 구성요소 및 프레임워크를 제시한다. 또한, 주한미군기지 이전사업 사례분석 및 해당 사업의 거버넌스 구축 관련인을 인터뷰 하여 제시된 프레임워크를 평가한다.; In 2014, total global mega programs spending is assessed, at USD 6-9 trillion annually, or 8 percent of total global GDP, which denotes the biggest investment boom in human history. In terms of international cooperation and development, construction is a large sector of the economy as it contributes to national social and economic development by procuring mega construction programs. As public infrastructures and facilities are main interests, mega construction programs are invested or commissioned by public sides. However, different countries build partnership for the transfer of technologies, knowledge, capabilities or experiences and maximization of resources. Consequently, a long-term commitment between two or more nations is prevalent to achieve their objectives. When various organizations such as countries are involved, the key to success is to design governance arrangements at initial phase as they ensure consistency. While several frameworks for program governance already in use or literature, each model is highly dependent on the institutional, legal, regulatory and government conditions of a specific country. Therefore, this article offers an integrated governance framework that can be applied regardless of client’s national diversity. An ideal framework for mega construction programs managed by two countries will be suggested by conducting cross-mapping on the literature reviewed and case study. To evaluate the framework, interviews were conducted within governing parties of Yongsan Relocation Program. This research provides guidelines to develop governance frameworks of different programs for successful delivery of governments’ objectives.