Medium Contractors Research Articles

Problematic issues emerging during BIM implementation process in construction organizations

PurposeBuilding information modeling (BIM) is a popular technology in modern construction, but its implementation faces numerous difficulties, which are known as problematic issues of BIM implementation (PIBIs). This study aims to identify and analyze PIBIs based on the perceptions of practitioners in Vietnamese BIM-implemented construction contractors and similar BIM adoption-level countries.Design/methodology/approachThe research is conducted in three stages. After a comprehensive literature review, PIBIs are identified and ranked based on the Delphi method and questionnaire survey. Next, interpretive structural modeling (ISM) is used to provide a hierarchy of system PIBIs. Finally, the driving and dependence power of PIBIs are determined using Fuzzy-Matrice d'Impacts Croisés-Multiplication Appliquée à un Classement (MICMAC) analysis.FindingsThis study evaluates 32 PIBIs for small and medium contractors (SMCs) and 28 PIBIs for large contractors (LCs) in Vietnam. This study also develops a systematic framework for contextual relationships and analyzes the relationships among PIBIs using ISM-Fuzzy MICMAC analysis. The results show that different standards or techniques, modeling software limitations and information management significantly impacted LCs, while a lack of senior leadership support and incompatible software affected SMCs, causing other PIBIs.Originality/valueThis study is among the first attempts to investigate the problematic issues emerging during the BIM implementation process at the organizational level in Vietnam as well as other developing countries. The study results could be considered valuable references for BIM practitioners. Furthermore, this knowledge can enable contractors to avoid problems while adopting BIM, thereby increasing their ability to implement BIM successfully and using critical resources more efficiently.

Impact of Contractor Development Programs on the Competency of Small and Medium Contractors in Ethiopia

ABSTRACT The Ethiopian government has implemented Contractor Development Programs (CDPs) to tackle the challenges faced by small and medium contractors (SMCs) to enhance their competency. However, the effectiveness of these programs in improving their competency needs to be assessed, and areas for improvement identified. As part of a broader research, this study aims to assess the effectiveness of the CDPs in imparting knowledge and skills to SMCs, measure the overall satisfaction of CDP participants and identify the challenges and barriers encountered. A questionnaire survey and interviews were utilized to gather participants’ views. The findings indicate that the program fell short of its intended goals, as the majority (85.71%) of participants reported only moderate or low satisfaction with the knowledge and skills gained from the CDPs. Furthermore, the program faced challenges, including poorly designed training and technical support schemes; absence of appropriate recording, monitoring, and evaluation systems; and unsatisfactory supply chain management. The effectiveness of the CDP depends on the quality of training provided by the facilitators, the availability of resources, and the level of engagement and participation from the SMCs. Hence, the study highlights priority areas of improvement for policymakers and regulators and can serve as a benchmark for future research.

Enhancing SMCs’ competitiveness through improving material supply chain management practice

Construction material shortages have emerged as a critical issue in developing nations, resulting in increased project costs and delays. This situation strains the construction industry’s (CI) ability to meet growing demands and remain competitive in the global market. Small and medium contractors (SMCs), who heavily rely on the availability and accessibility of construction materials, are disproportionately affected by this challenge, making it a matter of utmost concern. This study aims to identify the challenges faced, develop management mechanisms to enhance the supply chain management (SCM) of construction materials in the Ethiopian CI and provide a comprehensive improvement framework. The study employed semi-structured interviews to collect the perceptions of key industry stakeholders. Thematic analysis was utilized to facilitate a holistic understanding of the participants’ viewpoints. The findings reveal major challenges such as inadequate supply chains, poor communication and coordination, and lack of standardization and certification practices. Furthermore, the importance of collaboration among diverse stakeholders, research and development, and the adoption of standardization and certification practices was highlighted. The proposed framework underscores the roles of stakeholders and offers valuable insights by delineating areas for improving SCM within the CI.

Exploring the Impact of Endogenic Factors on the Competency of Small and Medium Contractors in the Ethiopian Construction Industry

Small and medium contractors (SMCs) significantly contribute to socio-economic development by creating employment opportunities and establishing inter-sectoral links with other sectors of the economy. Despite their significant contribution, evidence suggests their competency is underdeveloped due to several obscuring factors. As a part of a larger research, this study aimed to explore the endogenic factors affecting the sustainable competency of SMCs in the Ethiopian construction industry (CI). A thorough literature review was conducted to identify 65 endogenic factors arising from seven core sources. A questionnaire survey was used to collect the perceptions of industry stakeholders. Descriptive and inferential statistics were used for analysis. Findings indicated 63 significant factors affecting sustainable competency and the top factors were: employee’s strategic and operational decision- making power, organisational leadership style, the existence of matured and developed entrepreneurial mindsets, the availability of institutional and business relationships, the inability to access financial resources, the lack of project management skills and low-profit margin due to competition. Factor analysis also identified 17 components. The findings from the study indicate the need to prioritise the areas of competitiveness improvement and the practical implications of making informed decisions for entrepreneurs. The findings of this study can also be used to develop a framework to create a conducive business environment.

An investigation of how stakeholders influence construction project performance: a small and medium sized contractor’s perspective in the Jordanian construction industry

PurposeThis research uses contingency theory and Venkatraman’s concept of moderating fit to explore how key project stakeholders (clients, consultants and suppliers) influence project performance from the perspective of small and medium contractors in the Jordanian construction industry.Design/methodology/approachAn anonymous structured survey was performed comprising 200 key informants including senior project managers, construction managers, engineers and general managers working for small- and medium-sized contractors in the Jordanian construction industry. The Partial Least Squares Structural Equation Modelling (PLS-SEM) was used to analyse the data.FindingsThe results of this study show that consultant-related factors (quality of documentation produced, ability to communicate and technical competencies) are perceived to have the most significant direct effect on project performance, followed by client-related factors (payment promptness, decision certainty and documentation control) and supplier-related factors (supplier performance, defects control and logistics management).Originality/valueThe results contribute new theoretical, empirical and practical insights to existing construction project performance research by highlighting the key performance factors which need to be managed for each stakeholder group to ensure effective project performance from a small- and medium-sized contractor perspective.

Enabling lean through human capacity building: an investigation of small and medium contractors

PurposeThis paper investigates the lean enabling human capacities and develops a framework integrating individual, organisational and environmental level strategies to build human capacities for successful lean implementation of small and medium contractors (SMCs) in Sri Lanka.Design/methodology/approachAn interpretivism stance is adopted, and a qualitative research approach is used. The data collection technique adopted is semi-structured interviews. In total, 24 experts with experience in lean implementation of SMCs were interviewed, and data were analysed through code based content analysis using NVivo10.FindingsTeam working skills, critical thinking, leadership, communication skills, work ethics, knowledge and positive attitudes were identified as lean enabling human capacities for SMCs. The framework developed in this study provides individual, organisational and environmental level strategies that can be used to build human capacities necessary for enabling lean in construction SMCs.Practical implicationsThe study will be beneficial to construction SMCs, academics, researchers and government institutions in developing countries, which share socio-economic, demographic or cultural traits similar to Sri Lanka.Originality/valueA novel lean enabling human capacity building framework is developed with the strategies required for building those capacities in order to accelerate the lean implementation in construction SMCs. This contributes to the body of knowledge as it uncovers individual, organisational and environmental level strategies for enabling lean through human capacity building in Sri Lankan SMCs.

Analysis of risk occurrence in projects executed by small and medium sized contracting firms

The performance of small and medium sized construction firms has attracted research attention in recent times because of the impact on sustainable economic growth. This study examined this category of firms as their performances in building project delivery are impacted by specific risk factors. The purpose is to provide empirical evidence that could enhance the choice of appropriate risk management approaches and improve the performance metrics of the projects executed by the firms. Primary data were obtained through a structured questionnaire targeted at 100 firms which is about 40% proportional sample of 245 registered small and medium contractors in Lagos state, Nigeria, as at 2016. A total of 53 questionnaires completed by; 17 engineers, 12 quantity surveyors, 10 architect, eight 8 builders and 2 project managers provided valid responses for the analysis. Quantitative data collected were analysed using mean ranking, factor analysis, and t-test. While the results show; mistakes, changes in scope of project, price fluctuation, importing and customs and security risk factors, as the most frequently occurring variables, they nonetheless indicate no significant difference in the ranking of the occurrence of the factors by the operators of both small and medium sized contracting firms. Although findings are limited to occurrence indices of the factors, risk impact models based on severity indices of the individual variables on project performance executed by this category of contractors can be developed based on the empirical findings. The study also highlights implications for risk assessment and choice of appropriate management techniques that could help in improving the performance metrics of the projects executed by small and medium sized category of contracting firms.

Correlation analysis between risk measurement and project success of small and medium contractors in Gauteng, South Africa

Risk measurement (RM) and construction project success (PS) are closely related. Preceding studies highlight the importance of RM in the management of risks without revealing its effect on PS. This study aims to determine the influence of RM on the PS of small and medium enterprises (SMEs). A positivist research design was applied using a survey questionnaire circulated to 181 respondents in Gauteng, South Africa (SA). Raw data analysed using inferential statistics extracted one-component solution and evinced statistical significance (p=0.000<0.05) between RM and PS. In particular, results revealed that RM significantly influences PS of construction SMEs through delimiting the RM criteria to be adopted, establishing the level of acceptable risk and risk timeframe relevant to risk effect and risk likelihood. It is suggested that the management of SMEs and industry professionals involved in risk management should adopt RM for the management of their project risks to accomplish project objectives effectively. The study renders new empirical evidence of risk management factors that influence PS of SMEs in the context of SA. It remains to be seen whether the current finding could be replicated in other datasets. If indeed that is the case, then this article expands to the discourse and literature on RM of SMEs. However, the current findings cannot be generalised due to the restrictions pertaining to the geographical area and respondents.
 Keywords: Contractors, Correlation analysis, Factor analysis, Project success, Risk measurement.

Underlying structures of risk response measures among small and medium contractors in South Africa

Although attention has been given to the measures used to respond to risk in the construction industry (CI), there is limited literature that scrutinizes underlying structures of risk response measures (RRMs) especially among small and medium enterprises (SMEs). This study, therefore, presents findings from an exploratory factor analysis (EFA) of RRMs. A positivist paradigm was adopted to collect empirical raw data from 181 conveniently sampled respondents in Gauteng, South Africa (SA), using a structured questionnaire. The results support the extant literature and empirically established the structural composition of risk response by two constructs. The construct with emerged measures was termed trailing measures while the one with popular measures was termed leading measures of risk response. However, the study yielded a two-factor model with all the six items supposed to measure risk response. Based on the results obtained, it seems that risk avoidance and risk mitigation are reliable measures for measuring risk response. This study could thus serve as a reference for the accurate measurement of risk response and for the development of agreed responses for each risk, including an appropriate strategy and specific responses to implement the chosen strategy. The study was limited to the CI and to a lesser extent, construction SMEs in Gauteng; hence the findings cannot be generalized to all SMEs in SA.

Statistical Model of Field Executive Leadership Technique at Medium and Large Contractors in Enhancing Workforce Performance on Low Motivation Conditions

Statistical Model of Field Executive Leadership Technique at Medium and Large Contractors in Enhancing Workforce Performance on Low Motivation Conditions

Procurement strategies influencing small and medium contractor development in South Africa

In South Africa, the post-apartheid regime offers small and medium enterprise (SME) construction firms opportunities to develop through targeted procurement strategies. However, there are limited studies that determine the level of the relationships between the procurement strategies and the development of SME construction firms. Hence, this study investigated whether there is a variation in the effect of procurement strategies on the development of SME construction firms. A quantitative research approach was employed in collecting data from 176 SME construction firms in South Africa. The data collected were analysed using partial least squares structural equation modelling, mean item scores and the Kruskal–Wallis test. The findings revealed that there is a relationship between procurement strategies and the socio-economic development of specific classes of SME construction firms in South Africa. The study also found that there is a slight mismatch between procurement strategy and SME development outcomes for different SME sizes. It was concluded that the achievement of SME development has little to do with preferences or the use of specific procurement strategies. The study recommends that public-sector clients should not entirely treat SMEs as a homogenous block when using traditional project procurement. Further studies that examine how different characteristics of SMEs influence SME development are recommended.

Indonesian contractor technological learning mechanism and its considerations

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.

Labour-only procurement

PurposeDue to its cost savings nature and ability to ensure constant jobs for contractors, this study aims to assess the capability of the labour-only procurement system to serve as a surviving strategy for construction contractors in a challenging economy.Design/methodology/approachThe study adopted a mixed-methods design. An interview and questionnaire were used to harness information from 98 construction participants who have been involved in labour-only procured projects. These respondents were identified through snowballing. Frequency, percentage, mean item score, Mann–Whitney u-test and content analysis were used in analysing the data gathered.FindingsResult revealed that participants are willing to execute more projects through this system because it gives considerable cost savings for clients and provides reduction in contractor’s risk and allows them to maintain healthy cash flow. The main factors influencing its usage are the client’s decision to procure materials, need for job at hand for contractors and the need for referrals from clients for subsequent jobs.Practical implicationsFindings of this study will assist contractors to understand the potential of this procurement system as a surviving option in a harsh economy. Small and medium contractors can make use of this available opportunity of having projects at hand at reduced risk to ensure continuous cash flow to keep their organisations afloat.Originality/valueThe contribution of this study to the body of knowledge lies in its provision of a reasonable insight on the inherent nature of a procurement system as a surviving strategy for contractors unlike the usual assessment of the generic survival strategies adopted in other studies.

The State of the Art of Materials Management Research in the Construction Industry

Materials management is a vital element in managing projects as materials contribute more than 60% of the total project cost. It also plays a key role because the success of every construction project relies heavily on having materials on time and at a reasonable cost. Thus, it affects the overall project performance. Despite the importance of materials management for construction projects, construction contractors are still suffering from the loss of productivity, project delay and cost overruns due to the absence of proper implementation of materials management. Therefore, the aim of this paper is to review the state of the art of materials management research in the construction industry. A literature review from books, journal articles and conferences papers related to this topic was carried out. Findings show that previous research related to materials management studies were focused more on large construction contractors while small and medium contractors have received little attention. Hence, a study that focuses on the small and medium contractors is needed as this group undertakes more than 90% of the activities in the Malaysian construction industry.

A Review of Safety Issues among Small Grade Contractors in Construction Industry

The construction industry is one of the largest industries in Malaysia. There were too many factors that contribute to construction project success. Construction industry comprises different participants including clients, consultants, and contractors (as construction business) that perform different roles from conception in order to complete the project. The contractors in Malaysia were categorized into seven Grades of contractors starting from contractor G1 to G7. These categories were graded based on a number of employees and the value of the project. In Malaysia, G1 to G4 contractors (small grade contractors) are the highest company were registered with the Construction Industry Development Board (CIDB). Unfortunately, small grade contractors are widely exposed to the highest rate of accidents or risky compared to medium and large grade contractors (G5-G7) in this industry. In order to adequately clarify the issues on this safety matter, this paper has discussed the problems faced by small grade contractors that influence the implementation of safety practice in a construction site. The objective of study is to identify the problems in small grade contractors in order to implement safety practice on site. This study was focused on small grade contractor in Malaysia. The data for this study were supported by previous studies are reported in the journal; statistic of accidents in the construction industry by Department of Occupational Safety and Health (DOSH); contractor information; statistic of contractors are registered under CIDB; safety book; and internet sources. This study had found that the small grade contractors have some issues related to safety practice whereas they did not have proper standard of safety (general safety act and regulation); they cannot appoint Safety Health Officer (SHO) to handle the site safety; have limited external resource; and also small grade contractors have financial constraints. Based on this review, it can be concluded that small grade contractors have more lacking in safety management and consequently, the rate of accidents still higher in the construction industry. However, safety management in small grade contractors can be improved with support by external resources such as researcher, large grade contractor, government, and pressure from authorities.

Evaluating credit accessibility predictors among small and medium contractors in the South African construction industry

The importance of small and medium construction enterprises (SMEs) in the South African economy has been recognised. However, construction SMEs are faced with difficulties in accessing credit from financial institutions. Furthermore, past research has failed to reach consensus on the demographic and socio-economic factors that predict credit accessibility for construction SMEs in South Africa. This study determines the predicting demographic and socio-economic factors for credit accessibility for construction SMEs from financial institutions in South Africa. A quantitative research approach was used and data was collected, using a questionnaire survey from 250 construction SMEs who were conveniently sampled. The demographic and company profile factors predicting credit accessibility were modelled and set as the independent variables with credit accessibility to the construction SMEs as the dependent variable, irrespective of the amount obtained from financial institutions. The data was analysed using the Statistical Package for the Social Sciences (SPSS) version 22. Binary logistic regression analysis was used to analyse the predictors of obtaining credit. In the first model, the results revealed that the credit accessed irrespective of the amount and those who did not receive credit at all, when modelled with the conceptualised predictors suggested, showed no significant predictors of obtaining credit. However, in the second model, when the conceptualised predictors were modelled with full and partial credit, the results established that age group, current position in the organisation, tax number and location were good predictors of obtaining full credit. The findings of this study cannot be generalised across South Africa, as the study was conducted only in the Gauteng province. The value of this study informs owners of SMEs in the construction industry to provide their age and current position in the organisation when applying for credit. They should also provide the tax number and the location of the business in order to improve their chances of obtaining full credit from financial institutions. Keywords : Credit accessibility, determinants of credit accessibility, full credit, small and medium enterprises

Evaluating credit accessibility predictors among small and medium contractors in the South African construction industr

Evaluating credit accessibility predictors among small and medium contractors in the South African construction industr

An exploratory factor analysis of risk management practices: A study among small and medium contractors in Gauteng

Risk management (RM) is acknowledged as a key activity in project management in the pursuit to deliver successful construction projects. However, these projects are associated with various risks, which often jeopardise project performance, especially among small and medium construction enterprises (SMEs). Risk management practices (RMPs) have been developed, in order to curtail project risks. Nevertheless, there is no consensus on the practices that constitute RM for SME projects. Therefore, the main purpose of this research is to determine the RMPs that can be tailored for construction SMEs to manage risk in their projects, in order to achieve project success. An extensive review of relevant literature on RMPs was conducted and used to develop a structured questionnaire posted to construction SMEs who were conveniently sampled in the Gauteng province of South Africa. The empirical findings established nine RMPs that were reliable and valid for managing risk in projects undertaken by construction SMEs, namely organizational environment; defining project objectives; resource requirements; risk measurement; risk identification; risk assessment; communication approach and evaluation; risk response and action planning, as well as monitoring and review. It is important to note that the study was not conducted across South Africa; hence, the findings cannot be generalized. Despite the delimitation, the researchers recommend that these practices are for risk management in construction projects undertaken by SMEs in South Africa.

Strategy for Small-medium Scale Contractor Performance Improvement in ASEAN Competitive Market

In facing current pressing sustainable issues and ASEAN Economic Community (AEC) where construction sector is on so-called ‘free competition’, national private construction industry players, i.e. consulting firms and contractors, must enhance their performance in order to improve their service, compete, and gain advantage. These players must apply the concept of strategic management in which environmental analysis and strategic alternative decision stage is involved. This study identifies the prevailing problems encountered by the Indonesian contractors firms. The case study focused on and collected data from small to medium contractors in Central Java. Data were analyzed and strategic decisions were formulated based on current baseline. The appropriate strategic alternatives for small contractor were market development by maintaining clients’ trust, improving the human resources through certification, and implementing effective and efficient construction methods which minimize waste. For medium contractors, the attractive market development can be attained by optimizing the role of enterprise organizations, building teamwork, improving the control system, applying sustainable construction via efficient construction method.

Analysis of Determinants of Revolving Credit for Small and Medium Construction Enterprises: A Case of Gauteng Province

Small and medium construction enterprises (SMEs) are an important vehicle to drive the economic growth globally. However, this enterprise sector has been constrained by different factors that stifle their full participation in the main stream economy specially credit accessibility. There is paucity of research to verify the determinants that predict revolving credit accessibility from financial institutions in South Africa. The data was obtained using questionnaire survey. 179 small and medium contractors responded from conveniently sampled respondents in Gauteng province in South Africa. The data was analysed using Statistical Package for the Social Sciences (SPSS) version 22. The study found that the dependant variable i.e. revolving credit was not predicted by the independent variables suggested i.e. gender, age group, current position, organization ownership, tax number, location and collateral. The finding informs bank managers they should not force clients to submit collateral before awarding credit to the SMEs. The suggested model that was tested attained the Hosmer and Lemeshow Test goodness of fit hence the results were credible. However, a further study is proposed for the entire country as the researchers acknowledge limitation on the chosen location of study.