Indonesian contractor technological learning mechanism and its considerations

Abstract

The construction industry faces considerable challenges both in terms of rising construction capitalization and increasingly stringent consumer demand for project quality and costs. This challenge needs to be addressed appropriately by the contractor as an important actor who is directly in contact with the construction production process. Through mastery of technology, contractors are expected to overcome these challenges. The process of mastering technology is part of the contractor’s effort in improving its technological capabilities through technological learning. This study aims to obtain the latest information related to the mechanism carried out by contractors in the process of mastering technology and the considerations taken. This research was conducted through a survey on contractors whom operating in Indonesia. Respondents were given questions to choose the mechanism they used from 32 mechanisms that had been identified by previous researchers, which were grouped into 3 groups, import, internal, and collaboration. The results showed a difference between the contractor groups (all contractor, large contractor, and medium contractor). The mechanism that is commonly used is by introducing a formal Quality Management system; documenting and analyzing all data and information related to project acquisition and project implementation; and participating in technology exhibitions. The results of this study will become worthwhile information for the government in formulating policy to improve the performance of contractors and as a further part in the effort to map the pattern of technological capability development carried out by Indonesian contractors.