Abstract
A formal approach is presented for systematically resolving construction conflicts. Using an actual case study, a decision support system based on the graph model for conflict resolution (GMCR II), is employed to effectively investigate the strategic interactions that took place between an owner and a general contractor concerning the financing of a construction project. The conflict analysis process considers the decision participants, their decision options, and their relative preferences when modeling the dispute. GMCR II is then used to perform an in-depth stability analysis in order to ascertain the possible compromise resolutions or equilibria. In the case study, GMCR II correctly predicts the sequence of decisions that took place in the dispute and furnishes an array of useful strategic insights about the conflict. Moreover, a sensitivity analysis is executed to determine how changes in preferences can affect the equilibrium results. This conflict resolution procedure is useful for both researchers and practitioners to better deal with the dispute-prone nature of the construction industry.