Capturing Knowledge in Construction Projects: Knowledge Platform for Contractors

Managing knowledge effectively is critical to the survival and advance of a company, especially in project-based industries such as construction. However, capturing knowledge in construction projects is a tedious task, as knowledge is usually experience based, tacit, and hard to pass on to others. In this study, a survey was carried out among eight leading Turkish construction contractors that are operating within the international construction market. The specific objectives of this survey are to find out how the tacit and explicit knowledge are captured, stored, shared, and used in forthcoming projects, as well as major drivers and barriers for knowledge management. Based on the survey, it was determined that most of these firms do not have a knowledge management strategy and a systematic way of capturing and storing tacit knowledge. A conceptual framework is proposed to formalize the knowledge-capturing process within construction companies. To demonstrate how the conceptual framework can be implemented in practice, a Web-based system, namely, Knowledge Platform for Contractors (KPfC) is presented. It is hypothesized that KPfC can be used to manage both tacit and explicit knowledge effectively in construction projects.     

Examining the Relationship between Organizational Learning Styles and Project Performance

A review of literature on organizational learning suggested that organizations mainly exhibit three types of learning styles: single-loop learning (SLL), double-loop learning (DLL), and deutero learning (DeuL). SLL refers to the detection and correction of errors without adjusting one’s underpinning assumptions about performance requirements. DLL refers to improvement actions which are undertaken in response to the change of one’s underpinning assumptions. DeuL refers to the establishment of a system which propels continuous learning. It has been advocated that effectuating these learning styles are critical for attaining continuous project performance improvement. This paper reports a study that aimed to examine the relationship between organizational learning styles and performance improvement in construction projects. A conceptual model for the same was first developed. Data about the contracting organizations’ practice of learning styles and project performance were collected through a questionnaire survey. Structural equation modeling was used to examine the significance of the relationship between organizational learning styles and project performance improvement. It was found that the attainment of project performance improvement was positively related to the practice of DLL. Further, DeuL was found essential for facilitating the practice of SLL and DLL.     

Development of a Methodology for Live Capture and Reuse of Project Knowledge in Construction

The efforts to share and reuse knowledge generated on construction projects are undermined mainly by the loss of important insights and knowledge due to the time lapse in capturing the knowledge, staff turnover, and people’s reluctance to share knowledge. To address this, it is crucial for knowledge to be captured “live” in a collaborative environment while the project is being executed and presented in a format that will facilitate its reuse during and after the project. This paper uses a case study approach to investigate the end-users’ requirements for a methodology for the live capture and reuse of knowledge, and the shortcomings of current practice in meeting these requirements. A methodology for the live capture and reuse of project knowledge is then presented and discussed. The methodology, which comprises a web-based knowledge base, an integrated work-flow system and a project knowledge manager as the administrator, allows project knowledge to be captured live from ongoing projects. This also incorporates mechanisms to hasten knowledge validation and the dissemination of the knowledge once it has been validated.     

Strategic Assets Driving Organizational Capabilities of Thai Construction Firms

This research study aims to identify strategic assets which currently drive and enhance the organizational capabilities of construction firms. There were 258 sets of questionnaires assessing the level of importance given to 106 substantial resources underlying six organizational capabilities of Thai construction firms that were analyzed. Using factor analysis, these 106 items were reduced to 14, which were termed strategic assets. These 14 strategic assets were then classified based on their influence on the six organizational capabilities. The results indicate that Thai construction firms concentrate mostly on developing excellent reputation, creating strong bargaining power with suppliers and subcontractors, and strengthening the firm’s financial stability. However, they do not give much importance to effective risk and investment management, continuous development and innovation, and explicit strategic management. These findings provide in-depth insight to comprehensively understanding a Thai construction firm’s capabilities. These 14 strategic assets should thereafter be used to develop a practical tool for managers of construction firms to evaluate their firm’s strengths and weaknesses as well as to identify strategic assets required to enhance competitiveness in the market.     

Exploiting Knowledge Management: The Engineering and Construction Perspective

Construction companies have always relied on their knowledge assets to provide services to clients. In recent years the terminology “knowledge management” has been introduced. Knowledge management (KM) seeks to formalize the manner in which companies exploit their knowledge assets by harnessing organizational knowledge, promoting greater collaboration between groups with similar interests, capturing and using lessons learned on previous projects, etc. This paper investigates how major United States engineering design and construction firms are implementing knowledge management initiatives in order to identify best practice. It adopts a case study methodology to investigate companies’ strategy and implementation, people aspects, and metrics for performance. The study finds that there is a clear distinction between the knowledge management activities undertaken by large engineering design firms and those of construction firms. There is also a much greater emphasis on knowledge sharing, which is just one component of knowledge management. Moreover, some companies have specific KM initiatives while others have activities that are part of their normal business processes.     

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.     

Fuzzy Intellectual Capital Index for Construction Firms

Construction firms are now operating in a new era. Gaining and sustaining competitive advantage in this era primarily depends on effective and efficient management of knowledge assets. This paper proposes a performance evaluation model called fuzzy intellectual capital index (FICI) that can guide construction business executives to effectively and efficiently manage their knowledge assets. FICI incorporates an intellectual capital performance measurement model with fuzzy set theory to adequately handle imprecision, vagueness, and uncertainty that prevail in this process. FICI uses the fuzzy-weighted average algorithm to compute the intellectual capital performance of architectural/engineering/construction (A/E/C) firms. It is an internal reporting model that can guide executives of A/E/C firms to evaluate their firm’s ability to achieve their strategic objectives and to pinpoint their firm’s strengths and weaknesses in order to neutralize threats and to exploit opportunities presented by today’s construction business environment. A real-world case study is presented to illustrate the implementation and utility of the proposed model. Implications for practitioners and directions for future research are discussed.     

Project Organizations as Social Networks

High-performance teams achieve outcomes that exceed the expectations of the project and often demonstrate unique or innovative approaches within a final solution. The foundation of this high performance is the ability to focus on the success of the team over individual objectives. However, the recognition of this emphasis is based on the establishment of professional trust and strong communications between the team members. The social network model of construction introduced a dual-focused approach to enhancing these elements and creating high-performance project teams. The approach emphasizes balancing both a traditional project management emphasis on efficiency of communications with a focus on the social factors that move the project team from efficient to effective. In this paper, the model is extended to present the results of four studies of organizations that are full-service engineering companies that also provide construction oversight services. The paper presents the results of these studies in terms of the social network model and the achievement of high performance in the project teams. Analytical and graphical results are presented based on social network analysis techniques to provide a multiperspective analysis of the project teams.     

Master Builder Project Delivery System and Designer Construction Knowledge

The master builder system for designing and building construction projects was the dominant project delivery system in the construction industry during the early part of the 20th century. Master builders were generally charged with both design and construction services for a project. During the last half of the 20th century, many different systems for project delivery with fragmented responsibilities have replaced the master builder system. Reducing the use of the master builder system has led to the creation of elaborate systems for managing projects in the construction industry. In order to investigate the use of the master builder delivery system and other systems, a research project was conducted that included reviewing (1) the history of the construction industry, (2) project delivery systems, (3) constructability issues, (4) construction industry fragmentation, (5) the results of a survey of architecture, engineering, and construction professionals from the San Francisco Bay Area in California on the current processes they use for training engineers and architects, (6) an analysis of the survey results, (7) construction industry recommendations, and (8) conclusions based on the survey results and analysis. The information obtained from the research project, including the survey and an analysis of the results, is included in this document. The results of the research indicate that reduction in the use of the master builder project delivery system and the rise of numerous fragmented delivery systems have limited the designer’s knowledge of construction processes.     

Knowledge Management to Learning Organization Connection

The changes in the engineering-construction industry of the 21st century require organizations to take a more active role in developing knowledge management and learning organization initiatives. The need to both retain knowledge within the organization and focus on continuous human resource development throughout all levels of the organization is becoming a primary challenge throughout the industry. This paper addresses this challenge by focusing on the question of the link between knowledge management and learning organizations, and how to transform an organization from a focus on knowledge management to a focus on developing a learning culture. Based on a series of studies by the writers into the characteristics of both knowledge management and learning organizations, this paper outlines models of each of these concepts and introduces a bridge that details the level of knowledge management implementation that must be in place prior to an organization having the capacity to move to a learning focus. Additionally, the case studies conducted during the current study provide a basis for presenting potentially unsuccessful paths that may be selected by organizations during the implementation of a knowledge management to learning organization transition.     

Mobilizing Institutional Knowledge for International Projects

Multinational engineering consultants, contractors, and real estate developers work on projects in various countries, encountering many challenges that arise from cross-national differences. These projects frequently bring together diverse participants in an unfamiliar environment. In these situations, firms are exposed to different “institutions”—regulations, norms, and cognitive-cultural beliefs—that can increase misunderstandings, delays, and costs. Knowledge of these institutional elements is critical to create a project that is both locally sustainable and profitable for the firm. Departing from institutional theory and the knowledge-based view of the firm, we conduct exploratory research based on interviews from informants in 15 firms to identify the methods that multinational real estate developers, contractors, and engineers use to transfer and mobilize institutional knowledge for their global projects. We contribute to theory by adding to the developing literature that uses institutional theory to examine differences on global projects and by analyzing the specific methods firms use to transfer institutional knowledge internally, across projects and divisions. Ultimately, this research, combined with the work of others, can develop new processes for firms engaged in international projects to enhance their mobilization of institutional knowledge, and thereby improve the outcomes of international projects.     

Fuzzy Approach to Prequalifying Construction Contractors

Construction contractor prequalification (CCPQ) is a crucial decision making process to select capable potential bidders and ensure the success of construction projects. The purpose of CCPQ is to guarantee a contractor’s characteristic to meet the construction project’s requirements, which has been established worldwide as a standard practice. However, existing methods, i.e., marking method, subjective judgment method, etc., for contractor prequalification have been inadequate because it is difficult for decision makers to investigate contractor’s capabilities against inexact, vagueness, and qualitative criteria. The objective of this paper is to propose a fuzzy framework-based fuzzy number theory to solve construction contractor prequalification issues, which include decision criteria analysis, weights assessment, and decision model development. Finally, a case study for a tunnel construction project was used to demonstrate the feasibility of fuzzy approaches.     

Ontology-Centered Knowledge Management Using Information Retrieval Techniques

The paper argues that an effective solution to information and knowledge management (KM) needs of practitioners in the construction industry can be found in the provision of an adapted knowledge environment that makes use of user profiling and document summarization techniques based on information retrieval sciences. The conceptualization of the domain through ontology takes a pivotal role in the proposed knowledge environment and provides a semantic referential to ensure relevance, accuracy, and completeness of information. A set of KM services articulated around the selected ontology have been developed, using the Web services model, tested, and validated in real organizational settings. This provided the basis for formulating recommendations and key success factors for any KM project development.     

Assessing Residual Value of Heavy Construction Equipment Using Predictive Data Mining Model

Construction equipment constitutes a significant portion of investment in fixed assets by large contractors. To make the right decisions on equipment repair, rebuilding, disposal, or equipment fleet optimization to maximize the return of investment, the contractors need to predict the residual value of heavy construction equipment to an acceptable level of accuracy. Current practice of using rule-of-thumb or statistical regression methods cannot satisfactorily capture the dynamic relationship between the residual value of a piece of heavy equipment and its influencing factors, and such rules or models are difficult to integrate into a decision support system. This paper introduces a data mining based approach for estimating the residual value of heavy construction equipment using a predictive data mining model, and its potential benefits on the decision making of construction equipment management. Compared to the current practice of assessing equipment residual values, the proposed approach demonstrates advantages of ease of use, better interpretability, and adequate accuracy.     

Providing Answers to Questions from Automatically Collected Web Pages for Intelligent Decision Making in the Construction Sector

The construction sector is notorious for the dichotomy between (a) its intensive use of information in its decision-making processes and (b) its limited access to, and insufficient use of, the pertinent information that is potentially available. In the context of the potential availability of valid information on the Web, we have developed a question-and-answer system, which enables construction practitioners to seek for information by posing questions in English or French, instead of entering a list of relevant keywords. Based on a modular systems approach using natural language, relevant answers to questions are selected and presented in a convivial way, thus improving and speeding up the classical Web search procedure. Our system consists of two main components: An intelligent robot that traverses a Web space and decides whether a page is construction oriented or not, and a question-answer (Q-A) component (comprising three modules) that uses a domain-specific thesaurus to extract meaningful parts of a question and to detect, process, and present paragraph passages extracted from relevant Web pages. The robot is trained on positive and unlabeled examples using a machine learning approach, while the Q-A component uses natural language processing techniques. In our experiments, we show that our automatically collected database consists of approximately 16% of noise, while the performance of the Q-A component is 65.45% in mean reciprocal rank.     

Action Research as a Proactive Research Method for Construction Engineering and Management

Academic research in applied disciplines such as construction engineering and management (CEM) has the dual mission of simultaneously contributing to the solution of practical problems and creating theoretical and conceptual knowledge. To do so, appropriate research approaches are needed. However, extant literature in the field has paid little attention to this issue and research methods used have been almost entirely either quantitative surveys or case studies. In this paper, action research (AR) is proposed as an answer to this knowledge gap. AR aims at building and testing theory within the context of solving an immediate practical problem in a real setting. The paper describes the underlying philosophy and application procedure of AR and highlights its strengths and weaknesses. Then, the applicability of the method to CEM is illustrated through a case study of improving access to information to support planning and decision making in a construction owner organization through designing and implementing a data warehouse. The findings indicate that AR is a reliable, structured, and rigorous research approach that is very useful for conducting applied research in construction and enabling academia to influence and improve construction industry practices. It can also effectively help to improve collaboration between academic researchers and industry practitioners in research and development projects.     

Relationship between Governance Structure and Financial Performance in Construction

Although corporate governance has emerged as an issue of considerable importance in shaping the organizational structure and the vision of the firm, this entity has yet to receive sufficient scrutiny in the construction industry. The purpose of this study is to determine the extent by which the configuration of corporate governance may impact on the financial performance of construction firms. The investigation utilizes 100 companies of differing sizes. The analysis reveals that a critical mass of outside independent directors and the dissociation of the roles of CEO and Chairmanship of the board do translate into superior financial market returns for the firms. Other corporate governance variables have no apparent impact on the financial performance of the firms. These findings are significant to construction firms that are already established or in the process of being formed.     

Identification of Effective Management Practices and Technologies for Lessons Learned Programs in the Construction Industry

Organizations in the construction industry cannot afford to make repetitive mistakes on major projects. Conversely, there are great benefits to repeating positive experiences from past projects. This need for institutional memory is amplified by the reality that in the course of normal turnover and retirement, people with years of experience leave their organizations. An effective lessons learned program is a critical element in the management of institutional knowledge; it will facilitate the continuous improvement of processes and procedures and provide a direct advantage in an even more competitive industry. This paper describes a research study that aimed to identify effective management practices and technologies for lessons learned programs in the construction industry. Data from 70 organizations that participated in this study are presented. Research found that even though more lessons learned programs are being initiated, the potential for savings and improvement has not been fully met. The study has also identified seven crucial characteristics of a successful program and verified that most organizations are stronger in some categories and weaker in others. The key to an effective program is to address all seven areas and guidance is provided for those wishing to implement lessons learned programs.     

Evaluation of Knowledge Representation Schemes as a Prerequisite toward Development of a Knowledge-Based System

In developing a knowledge-based system, it is crucial to use an appropriate knowledge representation scheme (KRS) for efficient working of the developed system. However, it is difficult to select an appropriate KRS due to lack of a generalized method of comparison among the variety of schemes available. The objective of this paper is to discuss a generalized method for comparative evaluation of KRS, based on criteria of expressiveness and performance. The discussed method has been implemented for evaluation of four widely used KRSs: rule-based model, object-based model, relational model, and hybrid model. Evaluation is being carried out using a knowledge base for zonation of landslide hazard. Based on the criteria of expressiveness and performance, it has been found that hybrid-based KRS is best for representation of the domain knowledge available in the Indian Standard Code 14496-1998 (Part-II).     

Optimal Project Organizational Structure for Construction Management

This study relies on the trend model to investigate various modes of coordination among team members of construction projects. According to the project network developed based on the characteristics of a project, the trend model establishes an activity relationship matrix (ARM) to identify the activity relationships within the construction process. ARM is used to construct an organizational structure for project management and a communication resistance matrix that shows the efficiency of communication and coordination among the members of the project team. To evaluate various organizational structures and their coordination efficiencies, this study utilizes the analytical hierarchy process to quantify the strength of an organizational structure and identify the optimal structure for project management. Through quantitative modeling of communication efficiency among organizational team members, an objective function for calculating the total resistance index is used to determine the optimal organizational structure available to execute the project. This study demonstrates how the trend model may be applied in the future for evaluating the coordination efficiencies of various organizational structures.