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Construction materials take up a significant proportion of the total construction cost. Without careful planning and controlling on the flow of construction materials, it is possible that the cost of materials may increase unnecessarily. In view of that, this paper aims to examine whether the development of logistics cost analysis can help determine suitable logistics strategies for a project which involves the use of bulky components like precast concrete units.

The cost elements incurred during the logistics process of precast components from the supplier's yard to the construction site are first identified through the activity‐based costing (ABC) approach. Under each element, the resources necessary to fulfil the specific element are analysed. By representing those cost components through the cost functions, simulations can be carried out to determine the logistics cost under different logistic scenarios.

Through the ABC approach, the resources consumed can be traced back to the consuming activity and subsequently to a particular cost element. More importantly, the results indicate that the simulation model can identify a logistics option which would result in the lowest logistics cost without affecting the construction schedule.

This paper should help increase understanding of managers and planners on construction logistics activities and their related costs so as to increase their bid competitiveness and/or improve the chance of success at the construction stage by minimising the construction logistics cost.

Precast construction has become increasingly popular in the construction industry. Nonetheless, the logistics of construction materials has been a neglected topic, and this neglect has resulted in delays and cost overruns. Careful planning that considers all of the factors affecting construction logistics can ensure project success. The purpose of this paper is to examine the potential for using genetic algorithms (GAs) to derive logistics plans for materials production, supply and consumption.

The proposed GA model is based on the logistics of precast components from the supplier’s production yard, to the intermediate warehouse and then to the construction site. Using an activity-based costing (ABC) approach, the model not only considers the project schedule, but also takes into account the production and delivery schedule and storage of materials.

The results show that GAs are suitable for solving time-cost trade-off problems. The optimization process helps to identify the activity start time during construction and the delivery frequency that will result in the minimal cost. What-if scenarios can be introduced to examine the effects of changes in construction logistics on project outcomes.

This paper presents a method for using GAs and an ABC approach to support construction logistics planning decisions. It will help construction planners and materials suppliers to establish material consumption and delivery schedules, rather than relying on subjective judgment.

Construction logistics is an essential part of Construction Supply Chain Management for both project management and cost aspects. The quantum of money that is embodied in the transportation of materials to site could be 39–58 per cent of total logistics costs and between 4 and 10 per cent of the product selling price for many firms. However, limited attention has been paid to measure the logistics performance at the operational level in the construction industry. The purpose of this paper is to contribute to the knowledge about managing logistics costs by setting a key performance indicator (KPI) based on the number of vehicle movements to the construction site.

A case study approach was adopted with on-site observations and interviews. Observations were performed from the start of construction until “hand-over” to the building owner. A selection of construction suppliers and subcontractors involved in the studied project were interviewed.

Data analysis of vehicle movements suggested that construction transportation costs can be monitored and managed. The identified number of vehicle movements as a KPI offers a significant step towards logistics performance management in construction projects.

This research paper demonstrates that framework of using vehicular movements meet the criterion of effective KPI and is able to detect rooms for improvements. The key findings shed valuable insight for industry practitioners in initiating the measurement and monitor “the invisible logistics costs and performance”. It provides a basis for benchmarking that enables comparison, learning and improvement and thereby continuous enhancement of best practice at the operational level, which may accelerate the slow SCM implementation in the construction industry.

This study aims to assist the project manager in minimising the material logistics cost of road project by planning the optimal movement of aggregate across three stages of supply chain: sourcing, processing and distribution.

The paper conceptualises the raw material consumption in a road project as a logistics network distribution problem. A linear programming (LP) formulation is constructed with appropriate decision variables by integrating the three stages of material movement. The series of LP scenarios are solved using an LP solver to decide the optimal movement of the aggregate to be consumed in different layers of road segments.

The results obtained from the model show that planning material logistics of an entire road project using optimisation provides substantial saving in logistics costs than using common sense. Further, the magnitude of cost saving improves as the complexity of the model increases in term of enormous feasible options.

The model shown in this paper may serve as a basis for planning the logistics of raw materials consumed in the road projects. The small improvement in material flows by optimising supply chain shows sensible cost benefit to the project manager and hence control and monitor the overall cost and activities of the project. The output of the model is also expected to help the project team as an input in the decision-making processes such as appropriate material sourcing contract, capacity assessment of material processing facility and transportation planning.

While the optimisation models are widely used and popular among the many industrial applications, this research shows distinct application of such a model in managing the logistics of the road construction project.

The purpose of this paper is to present a logistical analysis of construction supply chains by assessing the impact of varying demand on the performance of builders' merchants' logistics.

Taking into consideration that the vast majority of construction materials are distributed through intermediary organisations, the paper focuses on the logistics of builders' merchants. The study follows a field study approach to develop a conceptual logistics model facilitating experimentation using simulation modelling.

The paper highlights the importance of incorporating intermediary organisations in the study of construction supply chains and reveals the implications of varying demand on logistics performance related to inventory and transportation costs.

In order to limit assumptions associated with individual company characteristics, the sample has included data from one builder's merchant company. To allow external benchmarking, the suggested approach has to be applied to a wider sample.

The paper provides a practical understanding in terms of the function of intermediary organisations in construction supply chains and the application of logistics management in construction.

Considering the complexity involved in construction supply chain operations, the value of this research is twofold. First, the research contributes to an interdisciplinary approach to the study of construction supply chains and second, provides a risk‐free environment for modelling supply chain cost performance.

Construction logistics is an essential part of construction supply chain management (CSCM). However, limited attention has been paid to this issue in the New Zealand construction industry. The purpose of this paper is to contribute to the knowledge about what hampers efficiency in transporting construction materials and plants to a construction site. The intention is to gain detailed understanding of the practice and obstacles in efficient construction logistics and thus identify interventions to improve logistics efficiency, especially using the numbers of vehicle movements to the construction site as an indicator.

A case study approach was adopted with on-site observations and interviews. Observations were performed during constructions on-site from the start of construction to “hand-over” to the building owner. A selection of construction suppliers and subcontractors involved in the studied project were interviewed.

Data analysis suggested that cost-related factors affecting the construction logistics, both monetary and non-monetary factors were not measured and largely ignored, especially the possible environmental and/or social impact occurred by the truck movement. Factors in the service-related sector were insufficiently managed in the observed site. The main contribution to inefficient construction logistics are related to understanding and implementing CSCM. It is noticed that there is inadequate awareness of CSCM and logistics efficiency largely due to lack of commitment from the management level and skills at the operational level.

Significant intrinsic and extrinsic interventions necessary to enhance construction logistics were acknowledged from the data analysis. These include both qualitative and quantitative data. These intrinsic and extrinsic interventions, such as implementing appropriate logistics tools that suits individual site and introducing traffic management costs, offer plausible explanations regarding how to improve the efficiency in construction logistics through optimising transportation movements to the construction site.

The purpose of this study is to identify how the responsibilities and costs of planning, controlling and executing the material, resource and waste flows are shifted between actors when introducing a construction logistics setup (CLS) as a product innovation in a construction project, compared to the traditional way of organizing these activities.

This study is an analytical conceptual research study which aims to bring new insights into a problem through logical relationship building. Empirical data are gathered in two cases where CLSs are used, through observations and interviews regarding how the activities within the order-to-delivery process are performed. The results have been discussed at workshops with suppliers, installation companies, contractor firms and trade unions.

The outcome of this study is a model for illustrating how costs and responsibilities are shifted in the construction project and supply chain when a CLS is introduced. The cost shift is dependent on the activity shift that accompanies the services included in the setup.

The practical contribution of this work is twofold. First, this study provides a methodology of how to evaluate the impact of logistics services on the actors in the construction project. Second, this study shows shifts in costs and responsibilities in logistics activities with the introduction of construction logistics services.

The theoretical contributions of the model and this study lie in the inclusion of a multi-actor perspective in total cost modelling in supply chains.

The purpose of this paper is to discover whether on‐site materials handling should be performed in‐house or out‐sourced. This is done by studying visible and hidden costs related to materials handling and of the managers' awareness of these costs.

The data have been gathered through 15 interviews, a number of short discussions on construction sites, and direct observations on six occasions in four housing projects in Scandinavia.

Indirect and waste costs for materials handling on construction sites are unknown and are often underestimated during budgeting, planning, scheduling and organizing construction projects.

The short case‐studies indicate that the benefits of out‐sourcing on‐site materials handling outweigh the costs.

The solution for materials handling in practice studied in the paper is undergoing rapid development in Scandinavia.

This study aims to shed light on defining precisely variables of logistics costs model in Indonesia’s cement projects and generally other projects scientifically. The variables have previously so far been identified based on pragmatism and practical experience without rigorous scientific and empirical findings. The models are deeply awaited by every project practitioner, especially project controllers, in Indonesia.

Data for the period 2010–2018 of eight cement projects were taken in quarterly and tested with a statistical tool EVIEWS10 to develop a robust proposed model. Investigating models were done by literature studies and empirical studies, and the results had been examined by statistical tests to be determined as robust or not-robust models. The certain period taken due to the availability data of the cement projects in which after 2018 was unavailable because the cement product is overcapacity in Indonesia.

The model proposed is resulted by synthesizing logistics literature and empirical from the cement projects in which the model consists of foreign logistics costs, domestic manufacture, and domestic logistics costs as the best findings to develop logistics model for the cement projects with a-10 independent variable. It significantly found the variable of foreign logistics costs have taken higher portions in the model, and therefore must be prior carefully anticipated.

To guide investors to alert with several important variables of logistics in Indonesia. As education that to invest in Indonesia, the best logistics model must prior be known to anticipate further uncertainty.

This study is advanced applied research of logistics models developed by author for future possibility implementation in the sector beyond cement projects.