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Servitization and research and development (R&D) innovation provide new developmental opportunities for transformation in the construction industry. This study aims to explore the transformative impact of servitization and R&D innovation on the value added of the construction industry, offering new insights into industry transformation and growth.

This study utilizes panel data from Chinese listed construction companies from 2014 to 2022 to empirically investigate the relationship among servitization, R&D innovation and value added in the construction industry. The data analysis is augmented by incorporating text mining techniques to rigorously investigate the interplay among servitization, R&D innovation and the value added within the construction industry.

The research findings indicate that the impact of servitization on value added follows a positive U-shaped relationship, while the influence of R&D innovation on value added exhibits an inverted U-shaped relationship. Additionally, innovation investment plays a negative moderating role in the relationship between servitization and value added.

This study reveals a fresh perspective on how construction companies can leverage servitization as a strategic pathway for transformation and competitive advantage. The research also lays a theoretical groundwork for future innovation investment strategies in the construction industry, emphasizing the need for a balanced approach to innovation investments to maximize value added.

In developing countries, construction organizations are seeking to effectively implement green innovation strategies. Thus, this study aims to assess the importance of green innovation practices and develop a measurement model for quantifying the green innovation degrees of construction firms.

A mixed-methods research approach is adopted. First, an extensive literature review is performed to identify potential green innovation items, which are then used to design a preliminary questionnaire. Next, expert interviews are conducted to pilot-test this questionnaire. Subsequently, by using a convenience non-probability sampling method, 88 valid responses are collected from construction firms in Vietnam. Then, one-sample and independent-samples t tests are employed to assess the importance of green innovation practices. Fuzzy synthetic evaluation (FSE) is also applied to quantitatively compare such practices. Finally, green innovation level (GIL) is proposed to measure the green innovation indexes and validated by a case study of seven construction firms.

This study identifies 13 green innovation variables, of which several key practices are highlighted for small/medium and large construction firms. The results of FSE analysis indicate that green process innovation is the most vital green category in construction firms, followed by green product and management innovations, respectively. As a quantitative measure, GIL could allow construction firms to frequently evaluate their green innovation indexes, thereby promoting green innovation practices comprehensively. Hence, construction firms would significantly enhance green competitive advantages and increasingly contribute to green and sustainable construction developments.

This research is one of the first attempts to integrate various green innovation practices into a comprehensive formulation. The established indexes offer detailed green innovation evaluations, which could be considered as valuable references for construction practitioners. Furthermore, a reliable and practical tool (i.e. GIL) is proposed to measure the GILs of construction firms in developing countries.

This paper aims to explore how open innovation communities contribute to the adoption of building information modelling (BIM) in the construction industry.

The paper presents a cross-case analysis of two construction communities, buildingSMART Norway and the BIM Vietnam Community. Data were collected based on 21 semi-structured interviews conducted with industry experts actively engaged in these two communities. The theoretical basis for the study was open innovation and the institutional intervention model, which delineates institutional actions related to the adoption of new information technology.

The findings show both similarities and differences in the way in which the communities contribute to industrial practice. Both communities use similar knowledge channels and repositories but apply different approaches to innovation creation and diffusion. In addition, trust can support BIM innovation in the community context.

The comparison of buildingSMART Norway and the BIM Vietnam Community in accelerating BIM innovation allows for exploring how open innovation communities support BIM adoption in the construction industry. The findings provide insights for construction communities into creating and diffusing BIM innovation. In addition, the examples of gaining benefits from community innovation activities are useful for construction firms and practitioners.

The purpose of this study is to describe latent classes explaining the innovation logic in the Finnish construction companies. Innovativeness is a driver of competitive performance and vital to the long-term success of any organisation and company.

Using finite mixture structural equation modelling (FMSEM), the authors have classified innovation logic into latent classes. The method analyses and recognises classes for companies that have similar logic in innovation activities based on the collected data.

Through FMSEM analysis, the authors have identified three latent classes that explain the innovation logic in the Finnish construction companies – LC1: the internal innovators; LC2: the non-innovation-oriented introverts; and LC3: the innovation-oriented extroverts. These three latent classes clearly capture the perceptions within the industry as well as the different characteristics and variables.

The presented latent classes explain innovation logic but is limited to analysing Finnish companies. Also, the research is quantitative by nature and does not increase the understanding in the same manner as qualitative research might capture on more specific aspects.

This paper presents starting points for construction industry companies to intensify innovation activities. It may also indicate more fundamental changes for the structure of construction industry organisations, especially by enabling innovation friendly culture.

This study describes innovation logic in Finnish construction companies through three models (LC1–LC3) by using quantitative data analysed with the FMSEM method. The fundamental innovation challenges in the Finnish construction companies are clarified via the identified latent classes.

This paper aims to explore the process of implementing solar photovoltaic (PV) systems in construction to contribute to the understanding of systemic innovation in construction.

The exploratory research presented is based on qualitative data collected in workshops and interviews with 76 construction- and solar-industry actors experienced in solar PV projects. Actor-specific barriers were identified and analysed using an abductive approach.

In light of established definitions of systemic innovation, the process of implementing solar PV systems in construction involves challenges regarding technical and material issues, competencies, and informal and formal institutions. The specificities of this case highlight the necessity of paying attention to details in the process and to develop knowledge of systemic innovation in construction since the industry’s involvement in addressing societal challenges related to the energy transition will require implementing such innovations much more in the future.

New knowledge of solar PV systems as an innovation in professional construction is collected, enabling the adaptation of management strategies for its implementation. This knowledge can also be applied generally to other challenges encountered in highly systemic innovation implementation. Solar industry actors can gain an understanding of solar-specific challenges for the construction industry, challenges for which they must adapt their activities.

The exploration of actor-specific experiences of solar PV projects has resulted in a novel understanding of this specific innovation and its implementation. The findings illustrate a case of a high level of systemic innovation and the need to use a finer-grained scale for classification when studying innovation in construction.

The South African construction industry appears to be lagging behind other industries in the country in terms of implementation and adoption of innovative technologies. Moreover, sufficient empirical data on the adoption of innovative technologies, especially, in developing countries are not readily available. The aim of this study is therefore to assess the adoption and implementation of innovative technologies in the South African construction industry with a view to improving the industry's performance.

A survey was undertaken using a questionnaire, administered to construction professionals primarily in project management, quantity surveying and architectural firms.

The key findings show that there are some innovative technologies such as building information modelling, 3-dimensional mapping, drones, 3-dimensional printing and virtual reality that have been deployed. However, limited adoption of innovative technologies within the industry and low levels of knowledge of its benefits among the respondents were reported. This low implementation of innovative technologies was due to critical barriers such as high cost, limited knowledge, time requirement, fear of change, lack of interest, nature of construction processes and lack of team dynamics. Key drivers of innovation were found to include globalization and competition.

The current level of implementation of innovative technologies indicated that they are not yet optimized in the South African construction industry and suggests implications for change, adaptation and growth. The study recommends that firms should consider investing in research and development in order to exploit the potential of innovation for organizations and the industry at large.

The drivers and barriers indicated will help to prioritize the direction of adoption and growth which could help to improve the industry.

Corporate social responsibility (CSR) and innovation are the two main approaches firms utilize to promote sustainable development. However, as yet, scholars have reached no consensus regarding their precise impact on construction firm performance (CFP), hindering efforts to implement effective sustainable development strategies that improve CFP. In view that a simple linear relationship may not be sufficient to capture their precise pattern, this study aims to unveil the nonlinear impact of CSR and innovation on CFP, especially when construction firms take up a distinct competitive position.

This study first proposed four hypotheses to establish a new theoretical model by incorporating CSR, innovation, CFP and construction firms' competitive position (CFCP). Then the model was tested by using 292 annual observations collected from 75 construction firms in China. A multiple regression model analysis was carried out to analyze the survey data and validate the hypotheses.

The results reveal that both CSR and innovation have a U-shaped impact on the price-to-book ratio of a construction firm, a specific CFP measure. CFCP negatively moderates the U-shaped relationship between CSR and CFP, but positively moderates the U-shaped relationship between innovation and CFP.

This study goes beyond a simple linear view, instead of unveiling the nonlinear U-shaped effects of CSR and innovation on CFP that deepen the understanding of their complex relationships in the construction industry and makes construction firms aware that CSR and innovation can only improve performance if they reach a certain level. The moderating role of CFCP provides important implications for construction firms seeking to adopt appropriate competitive strategies related to social responsibility and innovation that both promote CFP and achieve sustainable development.

The construction industry has shown an inherent inability to adopt advanced technological innovations. The construction innovation literature is highly fragmented and outlines an overwhelming number of factors that arguably influence the transfer of technological innovations in construction. Factor-based research in the construction innovation literature tends to set out technological innovations and their adoption as socially neutral events, overlooking the role of context in the adoption process. Hence, the authors’ understanding of how technological innovations are transferred and implemented in the construction industry remains limited by the constraints of reductionist approaches adopted by factor-based research. This paper aims to advance the authors’ understanding of the actual experiences of technological innovations transfer in construction. Instead of introducing another set of factors, the research, through empirical investigation, develops a comprehensive and holistic framework to re-interpret the existing factor-based literature taking into consideration the role of the construction context and the socially constructed nature of technological innovations.

This research uses a participatory exploratory multiple case study design strategy, which has much in common with action research. The factors that could influence the transfer of technological innovations were investigated in three selected case studies over an extended period of time. During the research, a prototype system application of construction integration was used as a basis to discuss the adoption of technological innovations.

The findings suggest moving from the commonly held beliefs in the rational school of technological innovation and the functionalist paradigm towards constructivist approaches to capture the role of context and the stoically constructed nature of technological innovations. It is suggested that construction companies need to develop management capabilities to manage the changing political environments of the adoption process. The research supports the emerging view of technological innovations in construction as a collaborative-based innovation, which is a function of relationships and context.

The research is limited by the settings of the action research design and the use of an interpretive approach. Because the focus was on investigating the “why” question, little attention was given to the “how” question. Accordingly, the findings provide little insights into the way organizations can manage the changing political and social environment of the adoption process. The authors also acknowledge that in spite of their best efforts to build a theoretically grounded framework of factors, they may have overlooked some relevant studies. However, the objective of this research was not to conduct a systematic literature review or to come up with a framework that quantitatively captures all previous research studies; instead, the objective was to build a holistic framework that can be used as a base to analyze the role of construction context and the socially constructed nature of technological innovations in the adoption process.

The research offers several practical insights. First, it suggests that construction companies need to develop management capabilities to be able to lead the changing political environment of the adoption process successfully. Second, the research supports the emerging view of technological innovations in construction as a collaborative-based innovation that is a function of relationship. From a policy perspective, the research provides the basis to reconsider the effectiveness of federal and provincial policies that promote advanced technological Initiatives. The majority of these policies focus on the technical aspects in assessing the adoption of technological innovation, providing little incentives to companies to manage the changing political and social environment of the adoption process.

This research offers several theoretical and methodological contributions. First, it advances the authors’ understanding of the actual experiences of the transfer of technological innovations in construction organizations. Second, instead of introducing another set of factors, the research develops a framework to re-interpret the existing factor-based literature, considering the role of construction context and the socially constructed nature of technological innovations. The research uses the theoretical lens of the social construction of technology framework to analyze the adoption process. The existing literature suggests that such research is scarce and highly needed. Third, unlike the mainstream reductionist approaches, this research adopts an exploratory action research inquiry design that uses both inductive and deductive inquiry approaches to understand the socially constructed nature of innovation transfer in construction. The adopted research design offers a valuable methodological contribution to the existing body of knowledge.

The construction of smart cities holds the potential to drive digital innovation in the construction industry through various means, such as enhancing supply and demand. This study echoes the urgent need for the construction industry to overcome development challenges. Hence, it is necessary to study the extent and ways in which smart city policies promote digital innovation in the construction industry.

This study treats China’s smart city policies as quasi-natural experiments. Using a dataset of Chinese prefecture-level cities from 2007 to 2021 and a difference-in-differences model, the study scrutinizes the impact of smart city policies on digital innovation within the construction industry.

The study reveals a substantial positive influence of smart city policies on digital innovation in the construction industry. In addition, the study explains these results by analysing supply-side and demand-side mechanisms. Moreover, the effect of smart city pilot policies on promoting digital innovation within the construction industry displays noteworthy heterogeneity across cities at different regional and political levels.

By exploring the impact and mechanisms of smart city policies on digital innovation in the construction industry, this research contributes to a more comprehensive and profound comprehension of the role of policies in facilitating the digital transformation of the construction sector. It is a valuable reference for policymakers and industry practitioners aiming to advance digital development.

The recent failures and insolvencies of organisations related to the modern methods of construction (MMC) have gained increased attention and controversy across the UK construction sector. Such failures are linked to their inability to achieve an economy of scale and drive key clients to accept the MMC as an alternative to traditional methods. This paper aims to unravel whether a phenomenon of “innovation negativism” has manifested and is contributing to public clients' indecision towards broader MMC, whether this is only linked to past negative experiences formed after the Second World War or whether additional contributing reasons exist to influence adoption.

This study focusses on exploring the decision-making of the UK public construction sector; therefore, this paper adopts a qualitative approach, utilising interviews with 14 carefully selected MMC experts, government advisors and public clients. The phenomenological stance adopted herewith enables the authors to make better sense of the perceptions of the interviewees, leading to the conceptualisation of the innovation negativism phenomenon.

The paper identifies nine themes that may be argued to promote a profound understanding of the MMC negativism influencing public clients' decision-making. The study has found that more than just the previous negative perceptions formulated post Second World War are driving innovation negativism in the UK public sector. Notably, the emerging themes are incomprehension, lacking evidence, communication, relationship history, bad experiences, uncertainty, inadequate experimentation, the business case and localism.

This study is the first construction management research that acts as a fair departure point to conceptualise the reasoning behind innovation negativism in the construction setting. Through mirroring demand's unipolarity for traditional methods, policy and decision-makers can now rely on the conceptualised reasoning to determine practical solutions to overcome clients' indecisions towards MMC.