Organizations In Construction Industry Research Articles

Transitioning young people into employment in the Australian construction industry: the trust-building role of project-based intermediaries

PurposeConstruction is one of Australia’s largest employers of young people and the industry is facing a major labor shortage, with young people expected to account for much of the shortfall. Surprisingly however, there been little research into the pathways for young people into construction employment. The aim of this paper is to address this gap in research by exploring whether project-based intermediaries can support the development of disadvantaged young people’s trust in the often-problematic systems which are meant to help transition them into employment in construction.Design/methodology/approachEmploying an in-depth case study approach, this research mobilizes theories of personalized and generalized trust to report the results of interviews with 15 sectoral leaders; focus groups with 12 young people working in construction; and interviews with 11 young people being transitioned into construction employment through a unique project-based intermediary developed by a major Australian construction company as part of its social procurement requirements.FindingsFindings show that project-based intermediaries can play an important trust-building role in transitioning disadvantaged young people into work in construction. They do this by bridging a young person’s strong social ties (family and friendship) and weak social ties (with government and construction industry organizations), both of which can be problematic when used in isolation to seek employment in construction. By performing a crucial bridging role between a young person’s individual self-interest in acting alone to find work and their collective interest in being part of a collaborative group, the project-based intermediary creates a new form of linking social capital, enabling social procurement policies which target young people to work while also addressing wider systemic problems in Australia’s employment systems.Originality/valueThis research addresses the lack of employment research into young people in construction and the paucity of theory in social procurement research more broadly. It takes an original approach in aligning theories related to a duality of personalized trust and generalized trust seen against the duality of individual intentionality and agency (self-focused) and shared intentionality and agency (group-focused). By doing so it provides new conceptual and practical insights into the important role that construction project-based intermediaries like the one studied here can play in providing innovative cross-sector and collaborative solutions to the world’s growing youth unemployment crisis.

MANAGEMENT OF ORGANIZATIONAL CHANGES AS A DIRECTION OF IMPROVING THE ORGANIZATION'S ACTIVITIES

Today, in the management of organizations, the issue of resistance to changes in the environment and management of changes in the organization's activities remains relevant. The article aims to clarify and generalize theoretical provisions regarding the management of organizational changes in the context of increasing the effectiveness of the organization's activities.
 The theoretical and methodological basis of the work is a set of principles and methods of scientific research: the principle of systematization and theoretical generalization and methods of structural and functional analysis. According to the goal, the task of analyzing scientific approaches to forming a conceptual apparatus for managing organizational changes is set.
 Based on the study, the concept of "organizational change management" was clarified, which is understood as the process of implementing relevant organizational and management transformations, which involves the use of new technologies, tools, and methods of the organization and the management system, in order to ensure the optimization of the organization's activities.
 The key approaches to ensuring organizational changes have been studied. The basis for the analysis was the scientific works of domestic and foreign scientists on the mentioned issues, statistical data on the state of activity of enterprises according to the directions of organizational changes in the dynamics for the period 2019–2020, statistical data on the results of the activities of construction industry organizations in the dynamics for the period 2010–2021 year.
 As a result of the study, positive dynamics regarding the initiation and implementation of organizational changes by industrial enterprises were recorded, the most active spheres (functional areas) of activity were verified, the relevance of the use of organizational change technologies, in particular in construction organizations, was proven, given the lack of mass implementation of organizational changes in their activities.
 A conceptual model of organizational change management has been built based on a systemic approach to ensuring organizational changes, considering the functional areas of the organization's activity. Application of the developed model can have a beneficial effect on increasing the efficiency of organizations.

Logistics in construction: decision-making methods, features and prospects development

The article examines the peculiarities of logistics in the construction industry. The prospects for the development of industry logistics are associated with the use of outsourcing in the supply of construction companies. Decisions on managing supply chains for construction materials are systematized, and decisions made by logistics providers and construction industry organizations are identified. The possibility of reducing the amount of costs in the activities of construction companies is proposed through the analysis of processes based on classical concepts and their transformation into logistic concepts of organization. Additionally, according to the concepts of key competencies and business process reengineering, it is proposed that companies establish the best source of competitive advantage by making key processes as efficient and cost-effective as possible, while non-key processes can be outsourced to gain additional competitive advantage. Businesses are interested in reducing inventory holding costs, as analysts confirm the fact that inventory storage costs companies at least 25% of their book value per year. The practice of applying logistics proves its effectiveness. In a number of works, data on the effectiveness of logistics have been published. In one of them it is noted that, according to experts (expert assessment), the use of logistics allows to reduce the level of stocks by 30–50%; reduce product movement time by 25–45%; reduce repeat warehouse transportation by 1.5–2.0 times; reduce costs for road transportation by 7–20%, and for rail transportation by up to 12%. Logistics, developing at enterprises of various branches of the economy, acquires specific branch features. In construction, it has a number of features, among which the rather low level of logistics as a branch of the national economy of Ukraine stands out. To optimize costs in the supply chain, it is recommended to consider various decisions made by both the construction company being serviced and the logistics provider. Specifically, the construction company is required to specify logistic service requirements that are determined by plans and schedules for construction work, specifications dictated by construction technology, as well as cost, time, and quality characteristics of the expected service.

Claim management office maturity model (CMOMM) in project-oriented organizations in the construction industry

PurposeClaim formation is a fact and a regular occurrence in construction industry projects and often leads to a waste of money and time for organizations. Organizations can, however, reduce and control claims by promoting an integrated claim management system and improving productivity in the results of the claims. Establishing a claim management office is one of the ways to help organizations achieve this.Design/methodology/approachBased on library research, expert opinion and analysis of organizations' contracts as case studies and identifying the root causes of the claim, this paper proposes a claim management office maturity model and determines its levels.FindingsThis paper proposes a claim management office maturity model and also determines its levels. The general structure of this model is based on three parameters: “characteristics of each level,” “requirements of each level” and “transition period of each level” in five levels, where the first level is the most basic level and level five is the highest level of the implementation of a claim management office in the organization.Originality/valueIt can be clearly emphasized that this research is one of the first research studies that has dealt with the issue of claim management office in the construction industry and has proposed the model of maturity and development of claim management office in the organization. The use of numerous and experienced experts in achieving the results and case organizations to develop this research has increased the value and credibility of this research. This study also helps to improve the level of claim management in construction industry organizations so that these organizations can implement each level of claim management maturity model in the organization according to their competence and need for claim management. And by implementing it correctly, solve or reduce the problems of claim management in the organization and their projects.

Productivity assessment of the Romanian construction industry using Malmquist Productivity Index

The construction industry is one of the largest economic sectors worldwide. It is essential that the firms operating in the construction industry to evaluate accordingly their productivity change both in economic depression and when there is registered an expansion in the economy. This paper investigates the productivity changes of the Romanian enterprises from construction industry during the period of 2006 through 2019 by using the Malmquist Productivity Index. Four input variables and two output variables have been employed for measuring the change of construction productivity. The findings indicated that Malmquist Productivity Index can be effectively employed for assessing the productivity changes of companies. The results indicated that the majority of the Romanian companies exhibited better performance in terms of technical change while efficiency change regressed. This investigation provides valuable information for decision makers in order to enhance the performance of the Romanian construction industry organizations.

METHODOLOGY OF OPTIMIZATION OF CONSTRUCTION INDUSTRY UNDER DENSE DEVELOPMENT CONDITIONS

Purpose . The research of theoretical and methodological foundations of development and functioning of the construction industry in the context of using the tool of logistics and systems engineering as a modern basis for solving organizational and technological problems within the dense urban development conditions and significant factors of the functional and planning infrastructure of Ukrainian cities. Methodology. An important role in the organization of construction industry plays the ability to apply modern methods and mechanisms of construction logistics and systems engineering. In the modern conditions of development and functioning of the construction industry there is a need to apply innovative methods of management and organization of building processes in the conditions of dense urban development. In these conditions, the application of the concept of logistics in construction becomes especially relevant within the functional and planning infrastructure of Ukrainian cities. Findings. The analysis of the current state of the organization of construction in a dense urban development conditions within the functional and planning infrastructure of Ukrainian cities, which is clearly make the need for the use of tools based on the basis of knowledge of «logistics» and «systems engineering», that significantly improves the organizational processes of construction industry. Applying the principles and corresponding concepts of logistics, it will allow to form a system of views on the improvement of the processes of organization of construction industry within the dense urban development conditions, significant factors of functional and planning infrastructure of Ukrainian cities and the state of road network, through optimal flow-resource management. All of this will effectively raise the development of the construction industry at EU level. Originality. Theoretical and methodological directions on the basis of the tool of logistics and systems engineering, as a modern innovation basis for solving organizational and technological problems of construction industry within the dense urban development conditions and significant factors of functional and planning infrastructure of Ukrainian cities are formed. Practical value. The use of modern scientific and methodological tools based on the knowledge in the field of «logistics», that gives the opportunity to form a mechanism for choosing rational management decisions aimed at solving of organizational and technological problems of construction industry within the dense urban development conditions and significant factors of functional and infrastructure.

Organizational Culture: Case of the Finnish Construction Industry

Academic literature has long recognized the correlation between a company’s organizational culture and its quality performance. The Finnish construction industry is still a highly human powered industry, and thus, organizational culture is seen to have a significant effect on an organization’s efficiency as well. The aim of this study is to examine and determine organizational cultural profiles of organizations in the Finnish construction industry as they are currently perceived and preferred by professionals themselves. In all, 121 professionals working in organizations in the Finnish construction industry were surveyed using the Organizational Culture Assessment Instrument (OCAI). The reliability of characteristics was tested by calculating Cronbach alpha reliability coefficients, and the found differences between the response characteristics were analysed in-depth with paired and independent t-test analyses. The findings show that, on average, construction industry organizations in Finland currently operate with a mixture of clan and hierarchy cultures. Thus, the current organizational culture stresses the point of view of internal focus and integration. However, the organizations desired to emphasize more flexibility and discretion toward individuals. The novelty value of this paper is presenting existing and preferred culture profiles in the Finnish construction industry. These found profiles have the potential to improve management of organizations, which results in better efficiency of the industry through better performance of organizations in the construction industry.

Basic principles of production-and-technical potential capacity formation in the construction industry of a region

The paper discusses a structural model of potential capabilities and development patterns of a regional production-and-technical potential capacity of construction industry organizations. The model utilizes quantitative assessment of a maximal possible efficiency of resource utilization by a construction organization.

Comparison of cultures in consultant and contractor organizations in construction industry

Large number of stakeholders in construction projects makes the construction industry prone to disputes. The historical separation between design and construction add to this phenomenon by having a consultant for design and a contractor for construction. Communication breakdown, frequently, is the first sign of problems, notably in the relationship between the Contractor and the Consultant. It appears that the split between design and construction has given rise to two separate cultures in the construction industry. This paper attempts to identify whether there is a difference in organizational culture between Consultants and Contractors taken as two groups and determine whether a specific attribute was related to the cultural differences between the two entities. Based on case studies it was found that consultants are biased towards Clan culture while contractors are biased towards Market culture. However, both groups show similar affinity to Adhocracy and Hierarchy cultures.

Identifying organizational variables affecting project management office characteristics and analyzing their correlations in the Iranian project-oriented organizations of the construction industry

Today, applying project management knowledge by project oriented organizations for optimal use of resource and increasing productivity is inevitable. An organizational entity generally called “Project Management Office” can be responsible for project management knowledge and systematic developer of it which can centralize and coordinate management of those projects under its domain. Since organizations have different contextual and structural dimensions, we expect different project management offices in terms of their structural and functional characteristics. This article is searching for variables in the context of organizations in construction industry which have significant relationships with project management offices' characteristics. So that by analyzing these relations we can design and implement more efficient project management offices. Finally, from 29 organizational context variables which had been thought to have decisive impact on project management offices' characteristics only 9 variables had significant impact on them in which this paper focuses on.

Data Integration Capability Evaluation of ERP Systems

ERP implementations within large scale construction organizations have yielded more failures than successes. As a result of this high failure rate, the integration capability of ERP systems could not be fully understood and recognized by the construction (AEC) industry. The aim of the research presented in this paper was to investigate the role of ERP systems in enabling and facilitating Data Level Integration in construction industry organizations. In parallel with this aim, an ERP Data Level Integration Capability Matrix was developed as the metric for measuring the capability of ERP systems in enabling Data Level Integration. The matrix is validated with four case studies. The development of the matrix and the results of the case studies are presented in this paper.

Properties of group safety climate in construction: the development and evaluation of a typology

A safety climate survey was conducted in three Australian construction industry organizations. Workers’ perceptions of their supervisors’ safety response (SSR) and co‐workers’ safety response (CSR) were measured as facets of group safety climate. A two‐dimensional schema was developed based upon the strength and the level of group safety climate. The resulting framework was used to position the 40 workgroups included in the sample within one of four group safety climate types. A non‐parametric Kruskal Wallis test revealed that workgroups in which members share a strong consensus that co‐workers should treat safety as a priority had a significantly lower injury frequency rate than other workgroups in the sample. While no significant differences between the injury frequency rates of workgroups positioned in the four safety climate types were found for the other facets of group safety climate, workgroups with strong and high (i.e. strongly supportive) safety climates related to supervisors’ safety expectations and co‐workers’ actual safety behaviour reported injury frequency rates on average two‐thirds the magnitude of the remaining workgroups in the sample. Although limited by the reliance on retrospective and insensitive measurement for the dependent variable (i.e. injury frequency rates), the research provides preliminary evidence for the importance of considering both the strength and level of group safety climates in the construction industry. Future research should seek to replicate and extend this research by examining the antecedents of group safety climate strength and level in the construction context.

Improving building design through integrated planning and control

The construction industry is acutely aware of the need to improve the integration, planning and control of its design and production processes. A number of projects undertaken within Loughborough, Salford and Cambridge Universities, in collaboration with a number of construction industry organizations, are addressing this issue by investigating, and developing tools to assist, the design and construction process. Emerging from these projects is the common need for IT systems and support that will facilitate the capture, storage and retrieval of project knowledge. It is only by relating these compatible IT applications to a common and recognizable project process framework that construction industry organizations will be able to make optimum use of the available technological developments. This paper describes the development of techniques and strategies to support the integrated planning and control of design through the collaboration of the main designers, suppliers and contractor working on complex building projects, and discusses the relevance of clustering these in relation to the phases and activities of a generic model of design and construction.

On the interrelations between quality systems and information technology infrastructures of construction industry organizations

This study, based on research which was begun in Italy in 1995 and is still in progress, attempts to monitor the development of information technology (IT capabilities and tools) and of quality systems (ranging from simple quality controls to total quality systems) in organizations involved in the building industry (building contractors, manufacturing firms and design associations) with the aim of identifying the role and the influence of IT in improving quality systems. The results indicate that changes in the nature and extent of IT can be instrumental in transforming individual roles and strategies in the quality planning of organizations in the building sector and of the structures and management processes of these organizations.

Japanese Construction Alliances

As a result of increased globalization, characterized by freely accessible communications and transportation systems, the traditionally geographically dependent construction industry finds itself in the midst of industry changes in which the borders between competitors are being removed. As a result, construction industry organizations need to react to change and increased competition. One method for doing so is formation of construction alliances to provide for the resource, geography specific, and technological needs of project owners. The objective of this paper is to present the results of interviews with leaders in the Japanese construction industry, with a perspective on perceptions of change in the international and domestic market, and the use of alliances to react to those changes. The results indicate an increasing need to form alliances to remain competitive across and within traditional market borders. Additionally, the impact of the spread of the free market economy is noted as a significant factor in the rise of increasing competitiveness. The importance of alliance success is stressed, and the means to that success is careful integration of cultures and technology during alliance formation.