Effect of Preconstruction Planning Effort on Sheet Metal Project Performance

The complexity of construction industry requires the identification of work tasks and the coordination of interactions among them. As a result, construction planning is considered to be one of the most critical steps toward success and is the main focus of past research. Consequently, little research has been performed regarding the preconstruction planning, which is the planning completed by the contractor in the period between project award and project execution. This paper focuses on sheet metal preconstruction planning, primarily that of mechanical and heating ventilations and air conditioning contractors. The research was completed in three phases: phase one gathered data on the current state of preconstruction planning, phase two developed a model sheet metal preconstruction planning process to be used by sheet metal contractors, and phase three validated the model preconstruction planning process. Based on project data collected for this research, projects that used a planning process similar to the model process performed more successfully—they achieved an average profit margin of 23% while projects that were poorly planned experienced an average profit margin of ?3%.     

Exploratory Study on Value of Information Systems to Electrical Construction Companies: Resource-Based View

Many practitioners and researchers believe that the application of information systems in the construction industry lags behind that of other industries such as the manufacturing industry, because the construction industry is mainly composed of small to medium size companies. Besides, to many people, the value of information systems to their business is vague and elusive. Existing studies on the value of information systems are not specifically focused on small to medium size specialty contractors such as electrical contractors. In addition, with an intention to demonstrate the value of information systems to the improvement of operations or business of all relevant companies, those studies typically do not look into the impact of information systems on the competitive advantage of individual companies. This paper argues that such a generalization of the value of information systems, although valuable to both practitioners and researchers, may have overlooked the fact that the value of information systems needs to be reflected through improved competitive advantage of a company and the competitive advantage is company specific. Thus, the examination of different effects of information systems on individual companies can generate useful insight into the value of information systems because such a strategy leads to a better understanding of the relationships between information systems and the competitive advantage of individual companies. With such a perspective, this study applies a case study strategy to study five small to medium size electrical construction companies based on the resource-based view theory. The case studies show that the observed electrical construction companies are well equipped in terms of physical information infrastructure in relation to their business objectives regardless of company size. However, their capabilities of strategically integrating information systems with their business plans and with their external business partners are general lacking, compared with their physical information system infrastructure. This is partly because many electrical contractors do not fully understand that there are many different forms of information systems that have different impacts on gaining and sustaining competitive advantage. This paper then conjectures that the existing imbalanced application of information systems may not lead to the improved competitive advantage of electrical construction companies, which in turn prevent many contractors from clearly seeing the value of the information systems. Thus, the paper further points out that a plan for the systematical implementation of information systems in a company is very important. However, the successful development of such a plan depends on a better understanding of electrical contactors on the concepts of information system capabilities, competitive advantage, and their relationships.     

Total Quality Management Implementation in the Egyptian Construction Industry

Total quality management (TQM) has been recognized as a successful management philosophy that can be successfully implemented in the construction industry. By examining the Japanese contractors working in Egypt and comparing their managing systems to the local ones, a comparative analysis of the two contractors working in the Egyptian field is presented in this paper to illustrate how TQM can be implemented effectively in the Egyptian construction industry. Bearing in mind the location bound nature of the production process, the competitive bidding, which emphasizes cost and the absence of the quality culture of the clients, subcontractors and site operatives are some of the constraining factors for implementing the quality policy. Based on the research findings, the paper presents some features of the Japanese construction industry that could be implemented in the Egyptian field in addition to a new model for TQM implementation that appropriates the Egyptian construction industry.     

Contractor as Trust Initiator in Construction Partnering—Prisoner’s Dilemma Perspective

Partnering has been advocated for use in construction as a project-delivery approach to curb dispute and enable a cooperative contracting environment. Successful construction partnering is perceived to derive benefits to both developers and contractors. In view of significant implications to successful project delivery, there has been a surge of research and studies on construction partnering. These studies typically focus on the partnering process as well as the identification of critical success factors. Among the various success factors that underpin partnering success, establishing trust among partners is considered the most important. Moreover, skeptics have been swift to point out that establishing trust in construction is daunting. A better understanding of the role of trust and its manifestation in partnering efforts is therefore of both academic and practical value. In this study, motivating trust in construction partnering is described within the classic framework of “the prisoner’s dilemma,” which suggests the trust cycle can be kick-started if construction partners put cooperation before competition and self-interest. This paper reports a study that is designed to suggest a suitable candidate for the trust initiator. As such, the critical trust factors for two groups of construction partners in Hong Kong—developers/consultants and contractors—are first identified. It is found that “performance” and “permeability” of partners are the two most critical trust factors. “Performance” describes the partner’s competence and problem-solving ability as perceived by their counterpart. “Permeability” reflects the partner’s openness in sharing information. The result of a multiple-regression analysis further suggests that the contractor is in a position to initiate trust through competent performance and maintaining effective communication with the client. In this manner, the trust cycle can expand with reciprocal trustworthiness from the client.     

Empirical Evaluation of Structural Frame Performance Criteria: Realizing the Potential of Hybrid Concrete Construction

Despite its enormous potential to improve performance, hybrid concrete construction (HCC) is currently underutilized. To demonstrate the benefits of using HCC (sometimes referred to as “mixed” construction) within the industry, it is essential that transparent criteria to assess this structural frame type against alternatives be determined, defined, and evaluated. Following a thorough review of literature in the building performance domain, a survey of U.K. experienced practitioners including clients, engineers, architects, quantity surveyors, and main contractors was conducted to obtain their perceptions regarding the importance of structural frame performance criteria (SFPC). A factor analysis of SFPC revealed seven dimensions, interpreted as “physical form and space,” “construction process,” “long-term sustainability,” “establishing confidence,” “building impact,” “physical appearance,” and “client satisfaction.” These dimensions should improve the decision making process when selecting an appropriate structural frame during early project stages by providing a simple list of performance criteria to be considered. Although these SFPC and dimensions were originally developed to ensure that the benefits of using HCC were apparent during the frame selection process, they are equally applicable to all frame choice comparisons. As such, they may provide a valuable tool for ensuring added value and client satisfaction.     

Labor Productivity Drivers and Opportunities in the Construction Industry

The study of labor productivity in the construction industry is gaining increasing attention as the industry faces multiple problems related to its workforce. This paper presents the results of a survey instrument applied to determine the relative level of relevance of construction labor productivity drivers and opportunities. Owners, general contractors, electrical contractors, mechanical contractors, consultants, and others participated in this survey. Management skills and manpower issues were identified as the two areas with the greatest potential to affect productivity according to survey respondents. Surprisingly, external factors, which are often cited as a major cause for reduced productivity in the construction industry, were considered to be one of the least relevant productivity drivers. These results suggest that respondents consider the improvement of labor productivity within their reach and control rather than determined by external conditions.     

Impact of Change Orders on Labor Efficiency for Electrical Construction

Change orders are a source of many disputes in today's construction industry. The issue at hand is whether or not the execution of change orders work has a negative impact on overall labor efficiency on a construction project. Previous literature demonstrates evidence that change orders affect labor efficiency. Attempts have been made to quantify these impacts by many researchers, with limited success. Using the electrical construction industry, a research study has been conducted to quantify the impacts of change orders on labor efficiency. In this paper, results of hypothesis testing and regression analysis are presented. A linear regression model that estimates the loss of efficiency, based on a number of independent variables, is also presented. The independent variables used in this model are (1) qualitative and quantitative criteria used to determine whether projects are impacted by changes or not; (2) the estimate of change order hours for the project as a percentage of the original estimate of work hours; (3) the estimate of change order hours for the project; and (4) the total number of years that the project manager had worked in the construction industry. Additional projects were used to validate the model, with an average error rate of 5%. The results of this research study are useful for owners, construction managers, general contractors, and electrical specialty contractors, because they provide a means to estimate the impact of a change order under certain project conditions. This research also identifies factors, which, when understood and effectively managed, may be used to mitigate the impact of a change order on project costs and efficiency.     

Exploring the Bidding Situation for Economically Most Advantageous Tender Projects Using a Bidding Game

Most open tendering procedures in the real world are highly complex, uncertain, and costly. With an increasing emphasis on the quality and value of procurement, economically most advantageous tender (EMAT) has been widely adopted as an alternative contract-awarding criteria, which has changed competitive strategies in the construction industry. A conceptual model of competitive bidding in EMAT is first established to reflect the credibility of the bidding situation. A bidding game for EMAT projects is performed by 24 participants to partially test the conceptual model. The result reveals that the game has the potential to reveal important factors in the bidding situation, simulate competitive bidding behaviors, and explore competitive advantages in the EMAT bidding process. The learning effect from the game should be useful for contractors who are preparing to deliver optimal tenders in EMAT projects.     

Implementing Radio Frequency Identification in the Construction Process

This paper provides construction industry owners and contractors with information about enhancing their operations using radio frequency identification (RFID) technology. Radio frequency identification involves the use of tags, or transponders, that collect data and manage it in a portable, changeable database; communicate routing instructions and other control requirements to equipment; and can withstand harsh environments. A construction industry-RFID supplier workshop was held to disseminate information about this technology and to generate suitable application ideas for the industry. With the information gathered during the workshop, one application idea was selected and pilot tests conducted to learn more about RFID and its applicability to the material procurement process on a construction site. The pilot tests showed that RFID tags reduced the time required to download data into a company’s material tracking system and could “flag” an item so an entry was not repeated. When scanning the tags, sun glare was not a problem as compared to using bar code labels. Although further analysis is necessary, RFID did show promise of being a beneficial technology as it relates to the materials receiving process. A flowchart is provided to assist contractors and owners in selecting the appropriate RFID system.     

Developing an ARIS-House-Based Method from Existing Information Systems to Project-Based Enterprise Resource Planning for General Contractor

In recent years, general contractors in the construction industry have gradually begun to implement a system called enterprise resource planning (ERP). During the ERP implementation process, contractors performed required analyses on daily operation functions demanded by the enterprise. The analyses focused on function mapping to ensure that ERP satisfies all the requirements, including the functions of existing information systems, and meets future requirements. The process of function mapping in the construction industry typically involves a series of lengthy and time-consuming meetings, and face-to-face discussions; systematic analysis procedure was lacking. This research will propose a novel function mapping approach, the Architecture of Integrated Information Systems (ARIS)-house-based (AHB) method, to enhance the effectiveness of meetings and improve the efficiency of discussions. In addition, AHB method will use the structure of ARIS-house diagram to guide the function mapping process, streamline existing information systems, meet future requirements, and successfully implement ERP. Finally, this research will use a case study to verify the effectiveness of the AHB method for contractor to implement ERP.     

Constructability Practices among Construction Contractors in Indonesia

The concept of constructability in the United States or buildability in the United Kingdom emerged in the late 1970s, which evolved from studies into how improvement can be achieved to increase cost efficiency and quality in the construction industry. It is an approach that links the design and construction processes. The studies in the Unites States, United Kingdom, and Australia have demonstrated that improved constructability has lead to significant savings in both cost and time required for completing construction projects. However, in implementing constructability improvement, it is important to consider the uniqueness of the construction industry in a specific country. This paper presents the study performed on the construction contractors in Indonesia with regard to their current constructability practices and its impact on the project performance. The study shows that many contractors in Indonesia have been implementing part of the constructability concept in their projects. The concepts that usually applied during the construction stage as part of the overall construction plan were planning the sequence of field tasks and analyzing layout, access, and temporary facilities     

Contractor Process Improvement for Enhancing Construction Productivity

This paper presents a regression model that relates job site productivity to process improvement initiatives (PIIs) executed both before and during construction. Applied during early project stages, this model helps industry practitioners to predict the expected value of labor productivity based on certain inputs related to preconstruction planning and construction execution. The model demonstrates the strong relationship of project performance to a variety of PIIs including design completeness, definition of a project vision statement, testing oversight, and project manager experience and dedication. The correlational research methodology targeted 75 projects representing approximately $274.53 million in civil construction. The data collection effort considered 45 PIIs (independent variables) using quantitative and qualitative measures. The modeling technique involved the use of multiple linear regression, a method that exploits available data from multiple, independent sources to focus on specific outcomes. The model was developed directly from contractor specific information and subjected to rigorous statistical analysis. The model provides project managers as front line industry practitioners with a deliberate yet practical approach to project management and productivity enhancement. The modeling results include verification analysis and a discussion of the model’s usefulness and limitations.     

Critical Success Factors for Competitiveness of Contractors: China Study

Gaining or maintaining a “contractor’s” competitive advantage is not easy as it is determined by a large number of factors. Identification of critical success factors (CSFs) allows one to reduce the vast number of factors to some manageable few but vital ones. Based on the CSFs, contractors’ limited resources such as money and manpower can be allocated and aligned appropriately for yielding a maximum outcome of overall competitiveness. This paper describes the CSFs identified from a survey study carried out in Mainland China. The ranking analysis of the survey results shows that 35 factors are rated as critical for determining the competitiveness of a contractor. Factor analysis reveals that the 35 CSFs identified can be grouped into eight clusters, namely, project management skills, organization structure, resources, competitive strategy, relationships, bidding, marketing, and technology. The CSFs in this study provide a vehicle for guiding a contractor in managing its resources in order to improve competitive advantage. The study also provides insights into the management of competitiveness for contractors that are operating in the particular context of the Chinese construction industry.     

Antecedents of Successful Three-Dimensional Computer-Aided Design Implementation in Design and Construction Networks

Researchers find that the successful implementation of information systems that span organizational boundaries enhances competitive advantage. However, the process by which networks of design and construction firms implement boundary-spanning technological changes remains poorly understood. In this paper I explore the implementation of three-dimensional computer-aided design tools in 26 design and construction organizations. I analyze empirical data collected over a 7-month period to induce a set of antecedent constructs that enable the evolution from “printed sets of plans” to “virtual model” boundary objects. The findings highlight the importance of addressing regulative, technological, work, and organizational issues at the interfaces between design and construction firms when implementing boundary-spanning technological changes.     

Contributors to Construction Debris from Electrical and Mechanical Work in Hong Kong Infrastructure Projects

The crucial problem of construction debris is of increasing concern in Hong Kong. In the construction industry, the electrical and mechanical (E&M) installations in the infrastructure, for example, buildings, tunnels, or dams, are some of the major and usually complex components. Difficulty in coordinating the various trades affects productivity in general, and has a major impact on the quantity of construction debris. By identifying the sources of waste at each stage of E&M engineering work, some of the construction debris can be eliminated at the source during production. This paper investigates the critical production shortcomings in the E&M sector in Hong Kong. The study is based on a survey that includes a preliminary questionnaire survey, brainstorming exercises with a focus group, structured interviews with experienced frontline supervisors, and a second focus group exercise to test findings and proposed measures. The principal findings are that “poor coordination” and “design changes and/or errors” are major contributors to variations or change orders and rework, which in turn result in a high volume of construction debris. The results also indicate that construction debris can be minimized in the E&M sector of the construction industry, if the material wastes from incidental work are reduced and also controlled better in a new work process flow pattern through recommended construction project management improvements for reducing critical production shortcomings.     

Labor‐Management Cooperation: Operation MOST

Unionized contractors and construction unions are in difficulty today because of their apparent increasing lack of competitiveness with the non‐union sector of the industry. Probiems contributing to this are examined, as are efforts by labor, management, and others to remedy the problems. In Columbus, Ohio, labor and management established Operation MOST as a cooperative program to regain the share of the construction market lost to non‐union firms. This program encompasses a variety of activities and has been very successful. It is now being copied in various locations throughout the country. Several recommendations are made as to activities that should be undertaken by the parties to continue their cooperative spirit and to allow the unionized contractors to improve their cost competitiveness.     

Factors Affecting Absenteeism in Electrical Construction

Construction contractors continue to be faced with the challenge of improving productivity in order to remain successful in an increasingly competitive industry. One factor that contributes to lower productivity is absenteeism. Yet, little is known or understood about the reasons electricians miss work, and very few studies have been conducted on absenteeism in the construction industry. As a positive step to reduce the problems associated with voluntary and involuntary absences, a study was initiated to identify why workers miss work and what steps should be taken to minimize absenteeism. The main objectives of the study were to learn the reasons for absenteeism and to quantify the impacts so that solutions can be developed to help contractors improve their productivity. The study determined that managers and electricians agreed that illnesses and medical appointments were two common reasons workers missed work. However, managers also believed workers were absent because of a lack of interest or irresponsibility, while electricians reported injuries and unsafe working conditions as reasons for missing work. Furthermore, a quantitative analysis of the data revealed that when the absenteeism rate was between 0 and 5%, there was no loss in productivity. However, when the absenteeism rate was between 6 and 10%, a 24.4% loss in productivity was experienced. By understanding what causes electricians to miss work, and the effect of absences on productivity, a company can manage and control absenteeism on electrical construction projects.     

Contractors’ Competition Strategies in Bidding: Hong Kong Study

Selecting an appropriate competition strategy in bidding is the ambition of most contractors. The multiple requirements of clients encourage contractors to consider other strategies to deliver additional benefits besides offering a low-price bid. Offering low bids will reduce contractors’ profits and potentially make development less attractive. Contractors need to understand their specific resources that generate competitive advantage and accordingly develop strategies to win contracts. This paper reports the findings from a recent survey on competition strategies in the Hong Kong construction industry. Thirteen typical bidding strategies, their used frequency in bidding, and their effectiveness for winning contracts of different types and between different groups of contractors are studied. The analysis of findings is explored to provide local contractors and clients with new insights into competition strategies in bidding.     

General Contractors' Management: How Subs Evaluate IT

A large set of criteria by which top quality subcontractors evaluate the managerial performance of general contractors under whose management they have worked during the construction process and by which they may differentiate their bids to different generals for the same future project are listed and described. These criteria can also be seen as the intrinsic managerial, cost‐and time‐sensitive factors by which general contractors or any manager of construction could improve performance, competitiveness and profitability. It also describes separate, “most important” and “super‐important” subsets of the foregoing criteria∕factors for office and site staff, etc., and the range of effects of the generals' good and bad managerial performance against these criteria∕factors on the costs and duration of the subcontractors' work. The cost and duration effects, etc., that each lump sum bidding general contractor and appointed construction management agent has on the subcontractors' work are compared, and the carefully formatted research process which produced these results is outlined.     

Quality Function Deployment in Design∕Build Projects

In the manufacturing sector, companies have successfully applied concurrent engineering tools, including Quality Function Deployment (QFD) to determine customers' needs for the design at its early stages of development. However, despite its success stories in other industries, QFD has been applied only sparingly in the construction industry. The design∕build (D∕B) contractor, who bears both design and construction responsibilities, would find the QFD methodology useful. This paper examines the awareness and applicability of QFD methodology in D∕B contracts. The research looks into the benefits, relevance, and problems in the application of QFD in D∕B contracts. A qualitative approach in the form of in-depth interviews with experienced contractors involved in D∕B contracts was carried out. The results suggest that, generally, D∕B contractors could appreciate the merits of the QFD system. However, the decisions for implementation of QFD by the contractors were subjected to the “push” and “pull” factors that may vary from one organization to another.