Analysis of Construction Claim Solutions in Bali Tourism Projects

Abstract

Tourism projects have experienced significant growth in Bali since 2023, driven by the post-pandemic recovery in international tourist arrivals. However, the construction process of these projects frequently encounters claim-related challenges due to the complexity of project management involving multiple stakeholders. To provide effective solutions for handling construction claims, empirical research is essential to comprehensively understand the dynamics of claim occurrences in tourism projects. This research employed a mixed-methods approach combining quantitative analysis using Weighted Average (WA) and Relative Importance Index (RII) formulas with qualitative Focus Group Discussion (FGD) to identify the significance of claim types and causes, as well as to formulate practical solutions. Survey data were collected from 55 construction professionals comprising owners, contractors, and consultants involved in tourism projects across Bali. The quantitative analysis revealed that Variation Order (VO) with RII 0.81 emerged as the most prevalent claim type in the studied projects, while change of scope of works with RII 0.75 was identified as the primary cause of claims occurrence. The FGD session, involving seven experienced practitioners, produced a consensus that negotiating and mediating are preferred claim resolution methods rather than arbitration and litigation due to time and resource consumption considerations. Furthermore, the FGD concluded that engaging a third-party consultant could significantly contribute to verifying and mediating during the claim process, thereby reducing potential disputes and facilitating more efficient claim resolution. These findings provide practical implications for stakeholders in Bali's tourism construction sector to anticipate, manage, and resolve claims more effectively.