Leader and Employee Behavioral Decision-Making in Construction and Demolition Waste Recycling Projects under Psychological Contract Theory
Abstract
:1. Introduction
2. Literature Review
2.1. CDW Recycling Projects
2.2. Leader–Employee Relationships
2.3. Psychological Contract Theory
3. Methodology
3.1. Research Method
3.2. Model Descriptions
Parameter | Definition | Authors | Note |
---|---|---|---|
Unit of CDW landfill costs, | Su et al. (2021) [50] | ||
Original quantity of CDW generated by the construction enterprise, | Wu et al. (2019) [51] | ||
Profit for the construction enterprise from recycling a unit of CDW | Su et al. (2021) [50] | ||
Basic effort coefficient of employees to recycle CDW, | Jian et al. (2021) [52] | ||
Additional effort coefficient of employees to recycle CDW, | Jian et al. (2021) [52] | ||
Environmental protection sensitivity coefficient, | Zheng et al. (2022) [45] | ||
Degree of employee additional effort in the process of CDW recycling, | Ngobeni et al. (2022) [53] | ||
Recycling rate of CDW, | Moschen et al. (2023) [5] | ||
The cost coefficient of environmental responsibility investment, | Feng & Tan (2019) [54] | ||
The additional effort cost coefficient of the employees, | Jian et al. (2021) [52] | ||
Subject j’s profit in model i (), is the benefit to leaders in the process of CDW recycling, is the benefit to employees in the process of CDW recycling | Gong et al. (2019) [55] | ||
Total profit of the construction enterprise in two models () | Gong et al. (2019) [55] | ||
Compensation to employees for recycling a unit of CDW | Feng et al. (2022) [56] | Decision variable | |
Basic personal costs of employees | Ngobeni et al. (2022) [53] | Decision variable | |
Level of environmental responsibility of the construction enterprise | Feng & Tan (2019) [54] | Decision variable |
3.3. Assumptions
3.4. Mathematical Models
3.4.1. Employees Do Not Put in Additional Effort (NA)
3.4.2. Employees Put in Additional Effort (YA)
4. Results and Discussion
4.1. Model Analysis
- (1)
- When , is positively correlated with the degree of employee additional effort .
- (2)
- When , if when , is positively correlated with respect to the degree of employee additional effort , and when , is negatively correlated with respect to the degree of employee additional effort . If , is positively correlated with the degree of employee additional effort .
- (1)
- When , .
- (2)
- When , if when , then , and when , then . If , it follows that .
4.2. Numerical Simulation and Sensitivity Analysis
Parameter | Value | Authors |
---|---|---|
120 | Feng & Tan (2019) [54] | |
20 | Su et al. (2021) [50] | |
1.5 | Khosroshahi et al. (2021) [59] | |
1.5 | Xu & Zhan (2021) [60] | |
0.7 | Moschen et al. (2023) [5] | |
2 | Khosroshahi et al. (2021) [59] | |
2 | Khosroshahi et al. (2021) [59] | |
5 | Su et al. (2021) [50] |
4.2.1. The Effect of Additional Effort on Leader and Employee Profits
4.2.2. The Effect of Additional Effort on the Profit of a Construction Enterprise
4.2.3. Sensitivity Analysis
5. Conclusions and Implications
5.1. Conclusions
- (1)
- In the case of additional effort by employees, the profits of construction enterprise leaders are always greater than in the case of no additional effort, and the difference in profits gradually increases as the degree of employee additional effort increases. Therefore, the leaders of construction enterprises should encourage their employees to put in more additional effort to improve their earnings by setting up incentives and other means. At the same time, the employees should adjust their strategies according to the additional effort coefficient. When the additional effort coefficient is below the threshold, employees should keep the additional effort within a reasonable range to avoid overpaying and negatively affecting their own profits. When the additional effort coefficient exceeds the threshold, employees should increase the additional effort as much as possible in order to maximize their own profit and the total profit of the construction enterprise.
- (2)
- Similar to the change in employee profits, the change in the total profit of the construction enterprise with the additional effort is influenced by the additional effort coefficient. When the additional effort coefficient is below the threshold, too much additional effort leads to a decrease in the profit of the enterprise. When the additional effort coefficient exceeds the threshold, the profit of the enterprise is positively related to the employees’ additional effort. However, as the additional effort coefficient increases, the profit of the enterprise shows a significant increase before employee profits. Therefore, construction enterprises should adjust incentives according to changes in the employees’ additional effort and the additional effort coefficient.
5.2. Theoretical Contribution
5.3. Management Implications
- (1)
- It is recommended that the construction enterprise leaders establish a monitoring and feedback mechanism and a performance evaluation system to strengthen the systematic management of CDW recycling projects. On the one hand, it is recommended that construction enterprise leaders assess the level of additional effort of employees by monitoring the additional working time of employees or other forms of additional employee contributions beyond contractual requirements. On the other hand, leaders of construction enterprises are advised to conduct regular performance evaluations through indicators such as the recycling rate of CDW and the profit of the enterprise to analyze the impact of the additional effort of employees on project operation. Moreover, leaders are advised to adjust their management strategy according to the evaluation results. For example, leaders can offer training to strengthen employee awareness of CDW resourcing and encourage employees to take the initiative to participate in CDW recycling.
- (2)
- Construction enterprises should analyze the efficiency of employee additional effort based on the results of performance evaluations. If employee additional effort has a significant positive impact on enterprise performance, it is recommended that enterprise leaders create incentives based on the level of employee additional effort. For example, rewarding employees with commensurate bonuses or promotion opportunities ensures that they are fairly rewarded for their additional work. If the additional working time of employees or other forms of additional contribution does not have a significant impact on the performance of the enterprise or even has a negative impact on the implementation of CDW recycling, it is recommended that construction enterprises optimize the process of implementing CDW recycling projects to reduce unnecessary workloads and improve the efficiency of resource utilization.
5.4. Limitations
Author Contributions
Funding
Institutional Review Board Statement
Informed Consent Statement
Data Availability Statement
Conflicts of Interest
Appendix A
- (1)
- In the model of employees putting in additional effort, the construction enterprise leader profit is: Finding the partial derivative of with respect to gives . When , solve for , that is, .In summary, when , is positively correlated with the degree of employee additional effort .
- (2)
- In the model of employees putting in additional effort, the construction enterprise employee profit is . Finding the partial derivative of with respect to gives . Let , and solve for . Then let , and solve for .
- (1)
- The difference between the profits of the leaders of the construction enterprise in the YA model and the profits of the leaders of the construction enterprise in the NA model is: .When , which gives .
- (2)
- The difference between the profits of the employees of the construction enterprise in the YA model and the profits of the employees of the construction enterprise in the NA model is: . Let , and solve for . Finding the partial derivative of with respect to , that is, . Then let , and solve for .
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References | Using a Stackelberg Game Model | Psychological Contract Theory | CDW Recycling | Leader–Employee Relationships |
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Gao, P.; Liu, S.; Zeng, L.; Peng, J.; Wang, Y.; Zhang, H.; Li, X. Leader and Employee Behavioral Decision-Making in Construction and Demolition Waste Recycling Projects under Psychological Contract Theory. Buildings 2024, 14, 2519. https://doi.org/10.3390/buildings14082519
Gao P, Liu S, Zeng L, Peng J, Wang Y, Zhang H, Li X. Leader and Employee Behavioral Decision-Making in Construction and Demolition Waste Recycling Projects under Psychological Contract Theory. Buildings. 2024; 14(8):2519. https://doi.org/10.3390/buildings14082519
Chicago/Turabian StyleGao, Peiao, Sijing Liu, Lianghui Zeng, Jie Peng, Yuhan Wang, Hao Zhang, and Xingwei Li. 2024. "Leader and Employee Behavioral Decision-Making in Construction and Demolition Waste Recycling Projects under Psychological Contract Theory" Buildings 14, no. 8: 2519. https://doi.org/10.3390/buildings14082519