Construction Industry Supply Chain Research Articles

A Review of Investigation of Supplier Evaluation and Development Practices in Supply Chain of Construction Industry

A Review of Investigation of Supplier Evaluation and Development Practices in Supply Chain of Construction Industry

Blockchain Technology in Construction Supply Chain Management: Enhance Transaction Speed, Cost Effectiveness and Security

The traditional construction sector encountered obstacles that prevented it from developing, including knowledge asymmetry, complicated intermediary relationships, and high transaction costs. Blockchain technology offered a more effective, secure, and convenient mode of transaction and management to the construction industry because it was a decentralized, safe, and reliable information transmission and management tool. Blockchain technology could be applied to the construction industry's supply chain to achieve traceability and supervision, enhancing the transparency and dependability of transactions. At the same time, blockchain technology could be applied to the management of the construction supply chain to achieve rapid information sharing and verification, lowering transaction costs, and increasing transaction efficiency. However, the previous study on the use of blockchain technology in the building sector was still in its infancy and required more investigation and study. This study aimed to investigate how blockchain technology could be used in supply chain management for the construction sector to address present issues. The study's goals were to examine how blockchain technology could speed up transactions and improve supply chain management for the construction industry, as well as to examine how it could lower transaction costs and increase data sharing and information transparency. This study used a semi-structured interviewing technique for the purpose of gathering and analysing data. The researcher learned more about professionals and industry experts' thoughts and experiences with blockchain technology in construction supply chain management through in-person or remote interviews with them. The advancement of the construction industry's digital transformation and information upgrading reflected the significance of this study. This study would help the supply chain management in the construction sector in enhancing the effectiveness of supply chain transactions in the construction industry and reducing the transaction cycle; lowering the price of supply chain transactions in the construction industry and boosting the industry's competitiveness; strengthening the security and reliability of supply chain transactions in the construction industry and reducing data compromise and transaction risks.

The Role of Client-Contractor Relationship in Solving Financing Failure in Construction Project

The construction industry supply chain emphasizes the importance of the client and contractor relationship. This research examines the process of evaluating the Contractor's capability in selecting a contractor. This study also reviews how the project owner solves the problem during work. This research uses a qualitative and case study approach. The study is based on library research, the Delphi method, and content analysis. The results of the study show: (a) in building a relationship, PT XYZ and the Contractor has declared about its business legal documents to the ABC institution; (b) However, in building a relationship, PT XYZ was not transparent about its financial capabilities and business ownership structure; (c) PT XYZ's failure to finance the project has disrupted the relationship of the two parties; (d) PT XYZ (Contractor) has declared about its financial failure; (d) the ABC institution overcomes it with a relationship beyond contract model, which is first to bail out the Contractor's finances so that PT XYZ can still carry out the construction service contract to completion. The ABC institution decided to bail out PT.XYZ is primarily based on the values practiced by the ABC institution, known as LIGHT, which means Love, Integrity, Growth, Humanity, and Trust.

Risk Analysis and Research of Construction Supply Chain

Supply Chain Management (SCM) is increasingly being used in various departments as a result of the development of global economic integration and manufacturing globalization. The construction industry is massive and the complexity of its supply chain poses some risks. According to research findings, the right information sharing, effective program monitoring, open communication channels, good corporate reputation, timely purchase of insurance, and use of innovative technology is a key weapon for dealing with construction industry supply chain risks. When selecting risk response measures, supply chain managers should prioritize risk avoidance, risk control, risk retention, and risk transfer. This article describes the internal and external hazards of the construction supply chain. Statistic and analysis of related papers. It also describes the concept and definition of construction supply chain risks, as well as a systematic review of relevant domestic literature. The risk research gap of construction supply chain is analyzed and provides a basis for future empirical research.

Global trends of the research on COVID-19 risks effect in sustainable facility management fields: a bibliometric analysis

Abstract This study used bibliometric analysis to investigate global research trends regarding the effect of COVID-19 risks in sustainable facility management fields. Between 2019 and 2021, the Scopus database published 208 studies regarding the effect of COVID-19 risks on sustainable facility control fields. VOSviewer software was used to analyse the co-occurrence of all keywords, and Biblioshiny software allowed getting the most relevant affiliation using the three-field plot. The results show the contribution by authors from 51 countries, and 73 keywords were identified and organised into six clusters, such as the effect of COVID-19 risks on human health, supply chain in construction projects and industry, disaster risk management in a changing climate, sustainable supply chain benchmarking, facility management and quality control, and, finally, sensitivity analysis & decision-making.

Impact of covid-19 on supply chain management in construction industry in Kashmir

The building industry has become a critical economic sector for country’s development. Due to covid-19, world’s most industrialised countries saw significant declines in their GDP. An effective supply chain system ensures higher efficiency rates, better customer relationship and service, reduced production costs and an overall improvement in the financial performance of a construction company. The entry of covid-19 in Kashmir has adversely impacted the supply chain of construction industry and the economy. So, there is a need to mitigate the impact of covid-19 pandemic on the supply chain management for the better future of construction industry. The aim of this paper is to capture the issues, challenges and implications of the covid-19 pandemic on supply-chain activities in Kashmir, India. This also provides strategies and insights on mitigating the risks and impact of the pandemic on supply chain management. Based on the issues identified, a questionnaire survey was conducted to assess the impact of these factors on supply chain management. Exploratory factor analysis and structural equation modelling was used to analyse the factors. The problematic causes include reduction in supply chain flexibility and difficulties in supply chain collaboration. There is a need to diversify the supply chains and avoid the single source of supply.

The evolutionary game and simulation of key players in the green supply chain of construction industry

PurposeThis research studies the behavior choice of key actors in the construction supply chain and constructs a model which includes the benefit function of the government, contractors and owners, aiming at improving the coverage of green buildings.Design/methodology/approachIn this paper, tripartite dynamic game is studied and simulated based on duplicate dynamic equation. The tripartite game under government intervention is rarely considered, and government punishment measures are seldom introduced into the research.FindingsAccording to the simulation results, the practical insights in line with the development of green supply chain are put forward. Rewards and punishments affect the development of the supply chain. New technologies and new materials accelerate the development of green supply chain and then improve the coverage of green buildings.Research limitations/implicationsThis paper constructs a dynamic model based on complete information rationality, which is difficult to realize in practice, for information is incomplete and human rationality is limited.Originality/valueIn fact, the government has not issued a punishment document to introduce a new variable adjustment model.

Financial credit risk assessment of online supply chain in construction industry with a hybrid model chain

Under the influence of COVID-19, although upstream small- and medium-sized enterprises (SMEs) in construction industry chain suffer from high operating costs and tight cash flow problems, their financing demands are even stronger. As an electronic and platform-based comprehensive service, online supply chain finance can ease the financing problems of SMEs in the construction industry. However, it has become an important issue for financial institutions to effectively assess the credit risk in the process of online supply chain financing. In this paper, an online supply chain risk assessment method, which is based on a hybrid model chain, including eXtreme Gradient Boosting (XGBoost), Synthetic Minority Oversampling TEchnique for Nominal and Continuous (SMOTENC), and Random Forest (RF), is proposed to identify and control the credit risk of financial institutions. Specifically, we establish the financial credit risk assessment system with respect to the characteristics of financing enterprises in the construction industry supply chain, including the status of financing enterprises, the status of core enterprises, the operating status of the supply chain, and the status of assets under financing. On the basis of the system, the best index number of the assessment system and the minority samples are obtained by the XGBoost algorithm and the SMOTENC algorithm, respectively. The classification method based on RF is applied to judge the credit risk of financing enterprises in the supply chain of construction industry. In the simulation stage, we take upstream SMEs in the supply chain of construction industry in China as an example for empirical analysis to validate the effectiveness of our proposed method. The credit risk assessment method proposed in this paper has better performance than the commonly used ones in the academic field with an average improvement on assessment accuracy for 6.39% and an average increase of Area Under Curve for 6.95%. Our study provides meaningful exploration on the fund monitoring system of the financing service platform to improve financing efficiency and risk management level.

Supply Chain Management practices: Competitive Advantage and Organizational Performance in Sri Lankan Construction Industry

In the construction industry supply chain management (SCM) is a vital tool in controlling business processes in a defined and a systematic way to improve quality, time management and increase profit. Effective supply chain management has become a potentially valuable method of securing and improving competitive advantage and organizational performance since competition no longer between organizations, but between global organizations and among supply chains. This paper aims to investigate the impact of supply chain management practices on competitive advantage and organizational performance in the construction industry, Sri Lanka, due to the lack of application of supply chain management practices to determine the organizational performance in the competitive environment. Further, this study focuses five SCM practices: strategic supplier partnership, customer relationship, level of information sharing, quality of information sharing, and postponement to investigate what supply chain management is, how it works in increase competitive advantage and what are its dynamics. Six hypotheses were developed based on the constructed conceptual framework derived from the supply chain management literature. The data were collected over the survey technique by randomly administering structured questionnaires from 198 respondents of construction management teams and different sub-contractors. First Multiple regression analysis was performed to explore the impact of five supply chain management practices on competitive advantage and organizational performance in the construction industry and the analysis was carried out the factor analysis to explore the significance of supply chain management dimensions. The results of the regression analysis indicated that all SCM variables have a positive impact on competitive advantages and organizational performance of the construction industry in Sri Lanka. Moreover, it suggested that the strategic supplier partnership was the most significant SCM variable which determines the competitive advantage and level of information sharing variable was the less significant variable towards competitive advantage. The results of this study provide new insights to the construction companies to better understand the significant role that SCM variables play in respect to the competitive advantages and organizational performance in Sri Lanka. The study has outlined to examine the five SCM variables in construction industry. Hence future study can be outlined to further examine the impact of SCM on competitive advantages in other industries. Moreover, the future study can be outlined to further examine the impact of SCM variables in different dimensions especially including customer perspective in respect to human variables. Besides, this study was based on the limited large scale construction companies operated in Sri Lanka and ignore the small and medium scale supermarkets.
 Keywords: Supply chain management practices, Competitive advantage, Organizational performance

Challenges and Opportunities of E-Procurement in the Construction Industry

Construction Industry is evolving amid the fourth industrial revolution. Transportation, commerce, manufacturing and many other industries ripened the current technological advancement and are striving to utilise every development in the IT sector. The procurement of construction works is known to be very conventional and backward in the adoption of digitalisation. The construction industry's procurement and supply chain are blamed for the most inflated cost of construction projects, mainly attributed to a lack of transparency and trust between the industry stakeholders. This research explores the challenges of E-procurement adoption in the industry and identifies the potential opportunities for its usage. This investigation's data are acquired through interviews, and the data are analysed using qualitative content analysis. This study reveals compounding challenges (i.e., corruption and lack of commitment) that lead to the failure of such efforts in Nigeria and the potential prospects (i.e., transparency and efficiency). This study is essential in developing a more effective and transparent process of procurement so that the Nigerian construction industry is not be left behind in the fast-digitalising markets.

Barriers for green building implementation in Malaysian construction industry

The high amount of greenhouse gases emissions in construction industry has alerted the experts in construction industry to look into the opportunity of green building. Green building claimed to have positive impact on the environment by reducing the carbon emissions, enhance workers productivity and provide long-term economic benefits. However, the adoption rate of green building in Malaysian construction industry is not that high compared to other developed countries. This paper aims to identify the key challenges that faced by the construction industry supply chain professions, such as engineers, developers, architects and contractors. Questionnaire survey was used to collect data in this paper. Thirty-six valid responses were received and used for analysis. The results shown that the most important barrier was the lack of market demand on green building. This seems to imply that the supply chain agents are rely on the demand of clients to decide on their level of involvement in green building. The results of this paper could contribute in raising the awareness among the supply chain agents in taking proactive steps in investing in green building by stressing its benefits to their clients.

Forgetting social value and other good practices in construction supply chains: Procurement in pandemics

The construction industry is a major contributor to the UK economy and provides additional benefits for wider society including the creation of social value. The creation of social value is highly dependent upon the construction industry supply chain which can been described as fragmented, adversarial and wasteful. Supply chain collaboration has been improving in recent times with increased trust and communication helping to successfully deliver project requirements, including the creation of social value. However, progression in construction supply chain collaboration was made pre Covid-19, the consequential UK Government enforced lockdown, and resulting recession. As we are now in the immediate aftermath of the initial impacts of the pandemic, this paper aims to understand if the lockdown and proceeding recession has resulted in any supply chain procurement behaviour changes of Quantity Surveying professionals, and how such changes may impact upon social value creation. Semi structured interviews were conducted with seventeen main contractor Quantity Surveyors and the results analysed using narrative analysis. The results revealed that whilst there is a lack of supply chain collaboration generally, progress has been made in building trust and communication amongst the supply chain to help create social value. However, changes in supply chain management behaviours post pandemic now risk undermining social value creation in the construction industry.

Supply Chain Management practices: Competitive Advantage and Organizational Performance in Sri Lankan Construction Industry

In the construction industry supply chain management (SCM) is a vital tool in controlling business processes in a defined and a systematic way to improve quality, time management and increase profit. Effective supply chain management has become a potentially valuable method of securing and improving competitive advantage and organizational performance since competition no longer between organizations, but between global organizations and among supply chains. This paper aims to investigate the impact of supply chain management practices on competitive advantage and organizational performance in the construction industry, Sri Lanka, due to the lack of application of supply chain management practices to determine the organizational performance in the competitive environment. Further, this study focuses five SCM practices: strategic supplier partnership, customer relationship, level of information sharing, quality of information sharing, and postponement to investigate what supply chain management is, how it works in increase competitive advantage and what are its dynamics. Six hypotheses were developed based on the constructed conceptual framework derived from the supply chain management literature. The data were collected over the survey technique by randomly administering structured questionnaires from 198 respondents of construction management teams and different sub-contractors. First Multiple regression analysis was performed to explore the impact of five supply chain management practices on competitive advantage and organizational performance in the construction industry and the analysis was carried out the factor analysis to explore the significance of supply chain management dimensions. The results of the regression analysis indicated that all SCM variables have a positive impact on competitive advantages and organizational performance of the construction industry in Sri Lanka. Moreover, it suggested that the strategic supplier partnership was the most significant SCM variable which determines the competitive advantage and level of information sharing variable was the less significant variable towards competitive advantage. The results of this study provide new insights to the construction companies to better understand the significant role that SCM variables play in respect to the competitive advantages and organizational performance in Sri Lanka. The study has outlined to examine the five SCM variables in construction industry. Hence future study can be outlined to further examine the impact of SCM on competitive advantages in other industries. Moreover, the future study can be outlined to further examine the impact of SCM variables in different dimensions especially including customer perspective in respect to human variables. Besides, this study was based on the limited large-scale construction companies operated in Sri Lanka and ignore the small and medium scale supermarkets.

Quality assurance in reverse logistics supply chain of demolition waste: A systematic literature review.

The reverse logistics supply chain (RLSC) facilitates the greening of the traditional construction industry supply chain. Despite the growing interest in this approach, limited studies focus on quality assurance (QA) in RLSC, which is crucial to resolve the issue of the low quality in reprocessed products. This study aims to explore the elements which contribute to the QA of RLSC of demolition waste (DW) by conducting a systematic literature review (SLR). A total of 91 articles available in six search engines between 2000 and 2019 were exposed to descriptive and content analysis. The descriptive analysis revealed that most of the articles were experimental studies (35%) and published during the recent period of 2013-2019 (64%). Furthermore, 60% of articles were originated from developed countries while 32% originated from developing countries. The results of the content analysis established that an information-centric integrated system of process, people, policy and technology is needed for QA in RLSC, which is supported by government, regulatory bodies, industry and universities/research institutions. The study addresses the existing gap by proposing a conceptual framework, which could be considered as the foundation in enforcing QA in the RLSC of DW. Finally, the implications for research and practice and some recommendations for further research were presented. The study facilitates in paving the path to sustainable development through building the foundation to enforce QA in RSLC of DW.

The Role of Collaboration and Integration in the Supply Chain of Construction Industry

It has found that the construction sector of Pakistan is growing fast due to the China-Pakistan Economic Corridor but history shows that construction projects never achieves its targets. The literature revealed the major hurdles behind the construction is supply chain issues. Supply chain of construction is deficient due to lack of collaboration and integration. The aim of this study is the empirically verify the role of supply chain collaboration (information sharing, Joint decision making, and risk and reward sharing) and supply chain integration (supplier integration, internal integration, and customer integration) with performance. This is a quantitative study, a total of 350 questionnaires were distributed to registered construction firms with Pakistan Engineering Council and 221 were received and considered for analysis after purification, validity and reliability. Multiple-regression technique was applied through SPSS. This study has unique findings as all integration approaches have significant effects while collaboration is not working for the same industry. This proves that members of supply chain construction can get benefit from integration but they hesitate to share their risks, rewards, and planning to all stakeholders. This study will help managers in decision making. This study will also help the government of Pakistan and China in completing their construction projects in time and with the designated cost.

How to build a house in 3 days [Construction - robotics

The article takes a look at how COVID-19 lockdowns and social distancing measures have affected the construction industry's supply chain, projects and labour availability. It suggests that advances in robotics might help the sector increase construction speed and decrease waste generation, particularly concrete walls 3D printing robots and rebar structure manufacturing. It proposes that automation integration could lead to an increase of interest of skilled workers in the industry, potentially pushing the sector to an innovation disrupting event.

Interorganizational relationships in the Brazilian construction industry supply chain

Interorganizational relationships in the Brazilian construction industry supply chain

Options to make steel reuse profitable: An analysis of cost and risk distribution across the UK construction value chain

Abstract Although steel reuse has been identified as an effective method to reduce the carbon and energy impact of construction, it is in effect only a marginal practice. A detailed analysis of the costs and risks of reuse in practice in the uk is lacking. We found that although there is a sufficient spread between the price of steel scrap and new steel, this difference cannot be captured by the demolition contractors. Rather, reused steel is somewhat more expensive than new elements, except in certain circumstances such as when the reused elements are available from a nearby site, or when testing elements can be avoided. Further, we show that neither the costs of steel reuse, nor the risks, nor its benefits are spread equitably throughout the construction industry supply chain: most of the substantial and capital-intensive changes required for the widespread adoption of steel reuse are concentrated on steelwork contractors and stockists. Based on this analysis, we suggest helping the emergence of a specialised stockist.

A multi-regional structural path analysis of the energy supply chain in China's construction industry

The construction industry in China exerts significant environmental impacts and uses considerable resources because of rapid urbanization. This study conducted a structural path analysis (SPA) based on the multi-regional input–output table to quantify environmental impact transmission in the entire supply chain. Results indicated that the direct resource input (the first stage) along with on-site construction (the zeroth stage) consumed the highest amount of energy in the supply chain and accounted for approximately 50% of total energy consumption. Regional analysis showed that energy consumption in the construction industry at the provincial level was self-sufficient. Sectoral analysis demonstrated that the direct inputs from the sectors of “manufacture of non-metallic mineral products” and “smelting and pressing of metals” generated the most important energy flows, whereas the sectors of “production and distribution of electric power and heat power” and “extraction of petroleum and natural gas” significantly but indirectly influenced energy use. Sensitivity analysis exhibited that the system boundary of SPA could be narrowed down into the first two upstream stages that contained nearly 50% of energy flow information or expanded toward the first five upstream stages that represented 80% of total energy consumption.

ROLE OF ORGANIZATIONAL CULTURE IN PARTNERING: THE EXPERIENCE CONSULTANT FIRMS IN THE MALAYSIAN CONSTRUCTION INDUSTRY

Partnering is believed to be a viable approach to integrate the construction industry supply chain, improve client-constructor relationship, innovation, enhances levels of productivity and quality of construction project implementation, as well as creating conducive environment for innovations. Considering partnering is noted as an enabler for innovation, the perceptions of the consultant engineers towards partnering is crucial as they are at a pivotal stage of introducing innovation in construction projects. This paper aims to explore the perceptions of consultant engineers towards the role of organizational culture in partnering through the use of qualitative methods. Findings indicate that although the consultant engineers in Malaysia are positive towards partnering, there exists some hesitation in fully engaging in partnering ventures due to dissimilarities in organizational culture among firms involved.