Impact of Supply Chain Management in the Construction Industry for Effective Project Delivery

Abstract

This paper evaluates the influence of supply chain management (SCM) within the United States construction industry on enhancing project delivery. It highlights the challenges faced and underscores the role of Construction Supply Chain Management (CSCM) practices in mitigating them. A survey questionnaire was administered to ninetyfive (95) construction stakeholders across private and public sectors, with sixty (60) responses analyzed using statistical software. Analysis utilized Average Mean Scores (AMS) and Relative Importance Index (RII) to interpret data. Results indicate prominent challenges, including inadequate investment in information technology (IT), ineffective communication, and conflicting objectives, while issues like unfair risk allocation and poor SCM comprehension ranked lower. RII ranged from 0.82 for trust-based relationships, information flow, and financial solid flow (top ranking) to 0.69 for the Human Resource supply chain (lowest ranking). The study advocates for CSCM adoption to address industry challenges, stressing its significance in a globally competitive market. Additionally, it recommends educational initiatives by professional bodies to enhance stakeholder understanding and implementation of CSCM through workshops, seminars, and conferences.