Most people agree that preparing for the future is necessary to excel, but doing it effectively is difficult. All risk analyses offer some foresight, but tools based on classic probabilistic calculus open for deception through apparent accuracy in some situations because ambiguity and fuzziness is largely ignored. We believe this is particularly a problem in strategic settings as it may lead to less informed decision making. We also believe that strategic risk analysis can hardly be performed well without matching risk management actions to the organization’s characteristics. We therefore present a new approach towards strategic risk analysis that remedies the two aforementioned problems. The purpose is to analyze strategic risks in a meaningful and practical way, yet capable of handling the broader scope of strategic risk. The approach is illustrated by a case.

Validation of engineering research is typically anchored in the scientific inquiry tradition that is based primarily on logical induction and / or deduction. Since much engineering research is based on mathematical modeling, this kind of validation has worked — and still works — very well. There are, however, other areas of engineering research that rely on subjective statements as well as mathematical modeling, which makes this type of validation problematic. One such area is that of design methods within the field of engineering design. In this paper, we explore the question of how one validates design research in general, and design methods in particular. Being anchored in the scientific inquiry tradition, research validation is strongly tied to a fundamental problem addressed in epistemology, namely, what is scientific knowledge and how is new knowledge confirmed? Thus, we first look to epistemology for answers to why an approach solely based on ‘formal, rigorous and quantifiable’ validation constitutes a problem, and for an augmented approach to research validation. We then propose the ‘Validation Square’ which we validate by testing its internal consistency based on logic in addition to testing its external relevance based on its usefulness with respect to a purpose. We recognize that no one has the complete answer to the question we pose. To help us converge on an answer to these questions we “think aloud” and invite you to join us in doing the same. It is our hope that in so doing we, the members of this design research community, will all be the richer for it.

The purpose of this paper is to present a new method for life‐cycle costing (LCC) called activity‐based LCC by employing the comprehensive activity‐based life‐cycle assessment method. A real‐life case study of a platform supply vessel operating in the North Sea is utilized to present the method, illustrate an implementation, including results, and discuss the benefits. Furthermore, due to the inherent uncertainty in LCC, handling of uncertainty is emphasized. A crucial side‐effect of handling uncertainty by employing Monte Carlo simulations – as activity‐based LCA prescribes – is the greatly enhanced tracing of critical success factors. Such tracing enables the shipowners to increase long‐term profitability by focusing on what is critical to their success. Also, a design option of using heavy fuel oil versus marine gas oil is investigated.

PurposeProject-based industries seem ignored in the quality management literature. These industries have some peculiarities that warrant attention, and the purpose of this paper is to discuss some of the critical aspects of project-based industries concerning quality management and particularly Quality 4.0.Design/methodology/approachThe approach is based on reviewing the literature and then developing the paper using basic definitions, literature, logic and experience. It should be noted that the type of literature review is so-called “integrative” due to the fact that the topic of this paper is new. Furthermore, for this paper, as for integrative literature reviews in general, the purpose is to create initial and preliminary conceptualizations and theoretical models, rather than review old models. Creative collection of data is therefore key to combine perspectives and insights from different sources. This paper is therefore more a discussion piece rather than a paper presenting results per se. The relevant literature is only a starting point from which the argument is developed.FindingsThe paper demonstrates that quality management in project-based industries is outdated, driven by adversarial and legalistic interpretations of contracts, which results in manual work and reactive quality management. Initially, this can be a stumbling block for Quality 4.0. However, the greater credibility and transparency of Quality 4.0 technologies can enable relational contracting such as partnering. This will subsequently result in major improvements in total quality.Research limitations/implicationsThe research was initially triggered by industry experience over years. The empirical aspect of the paper is therefore related to the construction, shipbuilding and the oil and gas industry. Because contracting regimes are similar across these industries, the findings are arguably applicable to other project-based industries. However, this is not demonstrated. Furthermore, as the topic is new to both literature and practice it is likely that the paper has not covered all relevant aspects that will emerge as the ideas are implemented.Practical implicationsThe paper supports the argument for developing the contracting into a relational approach away from the adversarial and legalistic approach of today. It is illustrated how Quality 4.0 technologies can help in this transition. Therefore, the practical implications can become substantial in how industry works and the research about it.Social implicationsIf the ideas were implemented, they could change contract management in project-based industries from the adversarial approach of today to genuine cooperation. It would therefore be relevant for teaching future contract managers. The project outcomes would also result in improved quality and reduce the loss to society.Originality/valueThe combination of Quality 4.0, new contracting regimes and project-based industries is according to the knowledge of this author, an original contribution that can help people improve the management of quality in project-based industries. With these industries constituting a large and growing share of an economy, the value can also become significant once practical issues concerning implementation are sorted out.

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