Are Innovations Being Created or Adopted in the Construction Industry? Exploring Innovation in the Construction Industry

Abstract

The recent debate on innovation within an organizational setting has shifted focus toward discussing whether innovation is being adopted or being created. This shift is due to the failure of many innovation efforts and the fact that for each innovation creation or innovation adoption, different skills, resources, and cultures are needed to encourage each innovation. The objective of this article is to explore the type of innovation implemented by the construction participants. A conceptual model of innovation creation and innovation adoption was developed using four criteria: by justification of new ideas, by purposes, by activities involved, and by nature. Face-to-face questionnaires were conducted with developers, consulting firms, and contractors in Penang, Malaysia. The data were analyzed using descriptive analysis. Factor analysis was used to classify the innovation creation and innovation adoption. The results show that the construction participants in Malaysia are categorized as an innovation adopter. This result provides better understanding about the type of innovation implemented by the construction participants, in particular the contractors and the consulting firms. The results could also be used as a foundation for conducting future research to identify appropriate skills, knowledge, culture, and resources for such innovations.