A Modified Shapley Value Model for Equitable Benefit Distribution in Design-Led EPC Consortia

The Engineering, Procurement, and Construction (EPC) model—particularly the design-led consortium structure—has proven effective in enhancing design quality, improving construction feasibility, and reducing project costs. Nonetheless, its broader application remains constrained by difficulties in qu...

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Main Authors: Jiangtao Lao, Zhongfu Qin
Format: Article
Language:English
Published: MDPI AG 2025-06-01
Series:Buildings
Subjects:
Online Access:https://www.mdpi.com/2075-5309/15/12/2024
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author Jiangtao Lao
Zhongfu Qin
author_facet Jiangtao Lao
Zhongfu Qin
author_sort Jiangtao Lao
collection DOAJ
description The Engineering, Procurement, and Construction (EPC) model—particularly the design-led consortium structure—has proven effective in enhancing design quality, improving construction feasibility, and reducing project costs. Nonetheless, its broader application remains constrained by difficulties in quantifying consortium members’ future benefits and establishing an equitable benefit distribution mechanism. These issues often undermine cooperation and limit the scalability of the model. To address these challenges, this study proposes a benefit distribution model that incorporates two quantifiable indicators of members’ future benefits: the bid-winning rate and the profit margin of future projects. The model further enhances fairness by modifying the classical Shapley value method. It introduces a cost compensation factor and a benefit entitlement influence factor to account for differences in both resource input and initial contractual entitlements. Results from a case study of a national highway reconstruction project in Hangzhou, China, demonstrate that the proposed model produces distribution outcomes more closely aligned with actual contractual benchmarks and improves fairness and acceptance among consortium members.
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spelling doaj-art-3e570aadb5c04b14a602a3434d39c29b2025-06-25T13:35:48ZengMDPI AGBuildings2075-53092025-06-011512202410.3390/buildings15122024A Modified Shapley Value Model for Equitable Benefit Distribution in Design-Led EPC ConsortiaJiangtao Lao0Zhongfu Qin1College of Civil Engineering and Architecture, Zhejiang University, Hangzhou 310058, ChinaCollege of Civil Engineering and Architecture, Zhejiang University, Hangzhou 310058, ChinaThe Engineering, Procurement, and Construction (EPC) model—particularly the design-led consortium structure—has proven effective in enhancing design quality, improving construction feasibility, and reducing project costs. Nonetheless, its broader application remains constrained by difficulties in quantifying consortium members’ future benefits and establishing an equitable benefit distribution mechanism. These issues often undermine cooperation and limit the scalability of the model. To address these challenges, this study proposes a benefit distribution model that incorporates two quantifiable indicators of members’ future benefits: the bid-winning rate and the profit margin of future projects. The model further enhances fairness by modifying the classical Shapley value method. It introduces a cost compensation factor and a benefit entitlement influence factor to account for differences in both resource input and initial contractual entitlements. Results from a case study of a national highway reconstruction project in Hangzhou, China, demonstrate that the proposed model produces distribution outcomes more closely aligned with actual contractual benchmarks and improves fairness and acceptance among consortium members.https://www.mdpi.com/2075-5309/15/12/2024EPCdesign-led consortiumbenefit distributionShapley value
spellingShingle Jiangtao Lao
Zhongfu Qin
A Modified Shapley Value Model for Equitable Benefit Distribution in Design-Led EPC Consortia
Buildings
EPC
design-led consortium
benefit distribution
Shapley value
title A Modified Shapley Value Model for Equitable Benefit Distribution in Design-Led EPC Consortia
title_full A Modified Shapley Value Model for Equitable Benefit Distribution in Design-Led EPC Consortia
title_fullStr A Modified Shapley Value Model for Equitable Benefit Distribution in Design-Led EPC Consortia
title_full_unstemmed A Modified Shapley Value Model for Equitable Benefit Distribution in Design-Led EPC Consortia
title_short A Modified Shapley Value Model for Equitable Benefit Distribution in Design-Led EPC Consortia
title_sort modified shapley value model for equitable benefit distribution in design led epc consortia
topic EPC
design-led consortium
benefit distribution
Shapley value
url https://www.mdpi.com/2075-5309/15/12/2024
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