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Open Access
Article
Publication date: 29 March 2021

Rita Lavikka, Krishna Chauhan, Antti Peltokorpi and Olli Seppänen

Systemic innovations emerge and create value in an inter-organisational context. However, innovation studies rarely investigate the role of value creation and value capture among…

2293

Abstract

Purpose

Systemic innovations emerge and create value in an inter-organisational context. However, innovation studies rarely investigate the role of value creation and value capture among multiple organisations in successful innovation implementation. This paper aims to understand the role of value creation and value capture in the implementation of systemic innovations in construction which is by nature, an inter-organisational context.

Design/methodology/approach

The empirical research focused on the barriers, enablers and opportunities for value creation and value capture of the Finnish construction project parties when trying to implement mechanical, electrical and plumbing (MEP) prefabrication, which is a systemic innovation. Data were collected through interviews, observations and action workshops.

Findings

The empirical study identified interaction patterns on how social, political, technical and economic barriers lead to uneven value capturing, lack of value-based procurement and unclear value creation between MEP design and installation. They hinder the implementation of MEP prefabrication. The results point to enablers leading to fairly shared value to all parties, procurement of value and collaborative value creation, thus increasing the usage of MEP prefabrication, a systemic innovation.

Originality/value

The study adds new knowledge by demonstrating that the identification of barriers and their interaction with enablers and opportunities for value creation and capture lay a baseline for suggestions on how to implement a systemic innovation. This study stresses the importance of enabling value creation and capture for all construction project parties when implementing a systemic innovation.

Details

Construction Innovation , vol. 21 no. 4
Type: Research Article
ISSN: 1471-4175

Keywords

Open Access
Article
Publication date: 11 August 2022

Krishna Chauhan, Antti Peltokorpi, Rita Lavikka and Olli Seppänen

Prefabricated products are continually entering the building construction market; yet, the decision to use prefabricated products in a construction project is based mostly on…

2108

Abstract

Purpose

Prefabricated products are continually entering the building construction market; yet, the decision to use prefabricated products in a construction project is based mostly on personal preferences and the evaluation of direct costs. Researchers and practitioners have debated appropriate measurement systems for evaluating the impacts of prefabricated products and for comparing them with conventional on-site construction practices. The more advanced, cost–benefit approach to evaluating prefabricated products often inspires controversy because it may generate inaccurate results when converting non-monetary effects into costs. As prefabrication may affect multiple organisations and product subsystems, the method used to decide on production methods should consider multiple direct and indirect impacts, including nonmonetary ones. Thus, this study aims to develop a multi-criteria method to evaluate both the monetary and non-monetary impacts of prefabrication solutions to facilitate decision-making on whether to use prefabricated products.

Design/methodology/approach

Drawing upon a literature review, this research suggests a multi-criteria method that combines the choosing-by-advantage approach with a cost–benefit analysis. The method was presented for validation in focus group discussions and tested in a case involving a prefabricated bathroom.

Findings

The analysis indicates that the method helps a project’s stakeholders communicate about the relative merits of prefabrication and conventional construction while facilitating the final decision of whether to use prefabrication.

Originality/value

This research contributes a method of evaluating the monetary and non-monetary impacts of prefabricated products. The research underlines the need to evaluate the diverse benefits and sacrifices that stakeholder face when considering production methods in construction.

Open Access
Article
Publication date: 3 May 2023

Lars Stehn and Alexander Jimenez

The purpose of this paper is to understand if and how industrialized house building (IHB) could support productivity developments for housebuilding on project and industry levels…

Abstract

Purpose

The purpose of this paper is to understand if and how industrialized house building (IHB) could support productivity developments for housebuilding on project and industry levels. The take is that fragmentation of construction is one explanation for the lack of productivity growth, and that IHB could be an integrating method of overcoming horizontal and vertical fragmentation.

Design/methodology/approach

Singe-factor productivity measures are calculated based on data reported by IHB companies and compared to official produced and published research data. The survey covers the years 2013–2020 for IHB companies building multi-storey houses in timber. Generalization is sought through descriptive statistics by contrasting the data samples to the used means to control vertical and horizontal fragmentation formulated as three theoretical propositions.

Findings

According to the results, IHB in timber is on average more productive than conventional housebuilding at the company level, project level, in absolute and in growth terms over the eight-year period. On the company level, the labour productivity was on average 10% higher for IHB compared to general construction and positioned between general construction and general manufacturing. On the project level, IHB displayed an average cost productivity growth of 19% for an employed prefabrication degree of about 45%.

Originality/value

Empirical evidence is presented quantifying so far perceived advantages of IHB. By providing analysis of actual cost and project data derived from IHB companies, the article quantifies previous research that IHB is not only about prefabrication. The observed positive productivity growth in relation to the employed prefabrication degree indicates that off-site production is not a sufficient mean for reaching high productivity and productivity growth. Instead, the capabilities to integrate the operative logic of conventional housebuilding together with logic of IHB platform development and use is a probable explanation of the observed positive productivity growth.

Details

Construction Innovation , vol. 24 no. 7
Type: Research Article
ISSN: 1471-4175

Keywords

Open Access
Article
Publication date: 16 March 2021

Hongjuan Wu, Queena K. Qian, Ad Straub and Henk J. Visscher

The recent promotion of prefabricated housing (PH) in China has resulted in a prosperous period for its implementation. However, transaction costs (TCs) cause low economic…

1977

Abstract

Purpose

The recent promotion of prefabricated housing (PH) in China has resulted in a prosperous period for its implementation. However, transaction costs (TCs) cause low economic efficiency to stakeholders and hinder the further promotion of PH. No relevant study has yet been made to investigate the TCs and their causes in the PH field. This paper identifies critical TCs and explores the influencing factors from the developers' perspective.

Design/methodology/approach

Semi-structured interviews and a questionnaire survey were used to collect data about TCs and influencing factors. The most influential factors are identified with their impacts on particular TCs, yielded from correlation analysis and logistic regression.

Findings

From the developers' perspective in China's PH market, this study identified that the most concerning sources of TCs are: hidden costs arising from disputes, extra workloads from design changes, learning costs, intensive communication and coordination in assembly and unexpected information costs in decision-making. The use of an ordered logistic regression approach indicates that the four most influential factors are: qualification of the general contractor, mandatory local policies, owner type and competitiveness of the developer.

Practical implications

To reduce the TCs, experiencing learning and ensuring the design scheme's complicity are recommended to save information searching and exchanging costs. The implications for the PH developers are for them to: (1) professionalize their own organization and (2) procure high-qualified general contractors. For the policymakers, this means they should improve the clarity of the mandatory local policies for PH step-by-step.

Originality/value

By applying the TCs economic theory, this study explores factors that influence TCs in the PH industry. It sheds light on the influencing mechanism behind the TCs in the context of prefabricated housing.

Details

Engineering, Construction and Architectural Management, vol. 29 no. 1
Type: Research Article
ISSN: 0969-9988

Keywords

Open Access
Article
Publication date: 12 March 2019

Mounir Bensalah, Abdelmajid Elouadi and Hassan Mharzi

The authors will give an overview of the railway market, with a focus on Morocco, before seeing the challenges to face, before listing some benefits of rail links in terms of…

9114

Abstract

Purpose

The authors will give an overview of the railway market, with a focus on Morocco, before seeing the challenges to face, before listing some benefits of rail links in terms of development, ecology, security, space management, etc. The authors will then give an overview of the development of BIM, its benefits, risks and issues. The purpose of this paper is to verify that the BIM can provide the railway with the tools to face some of its challenges and improve its productivity.

Design/methodology/approach

This paper is part of our research project on the integration of BIM in railway, which is the result of a partnership between Colas Rail Maroc and the ENSAK of the Ibn Tofail University of Kenitra. The objective of this paper is mainly to confirm that the integration of BIM with the railway, through a theoretical and practical study, can have positive impacts. To do this, our methodology consists in studying briefly the development of the railway, the need to improve the budgets and schedules of the projects, to increase the productivity, before showing the advantages of the BIM in the sector of the Architecture, Engineering and Construction (AEC). The study of feedback from railway projects (chosen for their date of completion – beyond 2014, their size, their geographical situation in several countries and for the availability of literature in a new field) will confirm the initial hypotheses. Among the projects studied will be a project that has been the subject of an article written by the authors of this paper. In the discussion of the results, the authors will focus on the benefits, risks and limitations of integrating BIM into the railway. In conclusion, the authors are laying the groundwork for future research in the field.

Findings

The cases study discussed in this paper and previous research confirms the hypotheses of the literature. The integration of BIM into railway projects can have several advantages: collaboration, time saving, cost optimization, prevention of conflicts between networks, construction before construction, optimization of facility management, improvement of the quality of works, prefabrication. They also allowed us to illustrate the risks (status and appropriation of the BIM model, lack of standardization of versions or software and lack of understanding of the basics of schedules and specifications) and limitations (lack of feedback, lack of adaptability and convergence of tools). These experiences have also shown that the use of BIM is not just a technological transition, but a revolution in the project management process, which requires several key success factors (participation of all, commitment, change management and adoption of the collaborative approach). Visualization, collaboration and conflict elimination are the three main chapters where the benefits of BIM can be organized. In fact, there is a lot of intersection between these chapters, but they have been chosen as the main ideas around which all the benefits can be better understood. Visualization primarily addresses the benefits to an individual and improving one’s personal understanding as a result of using BIM. The collaboration refers to the cooperative action of several team members, which is encouraged and facilitated by BIM. Conflict elimination mainly concerns project-related benefits, such as conflict reduction, waste, risks, costs and time. For railway infrastructure projects, the main purpose of using BIM is to improve the design integration process, internal project team communication and collision detection to eliminate risk of rehabilitation.

Research limitations/implications

The application of the BIM process in railway infrastructure requires constant improvement. This concerns the development of libraries and the models available to all users in order to encourage the development of this methodology and, consequently, its use of information throughout the life cycle of an infrastructure work.

Practical implications

The case study of real projects incorporating BIM confirms the results of the literature review. The benefits of integrating BIM into rail projects are multiple and proven: cost control, decision support, avoids extra work due to design errors, improves detection of interface problems, improves planning of vision, help with prefabrication and facility management, etc. Finally, the BIM process is able to overcome delays in procedures slowing the development of the construction industry in many countries, especially in Morocco, because of the slowness of design (or downright bad design).

Social implications

The integration of BIM into rail is becoming a global trend. This integration requires government decisions and a maturation of technology and tools. The authorities of some developed countries studied (Sweden, UK, France, Germany) in the railways, at different stages of implementation, are adopting BIM in the process of setting up new railway projects. This political impulse is still behind in southern countries, such as Morocco. The trend and the data collected indicate an adoption between 2020 and 2030 of BIM in all/some AEC projects in developed countries. This will have an impact on other countries that will soon be doing the same, especially in the railway sector to adopt the BIM.

Originality/value

As part of the realization of this paper, we proceeded to the implementation of an electrical substation as part of the project to build 40 electric traction substations built by Colas Rail on behalf of ONCF.

Details

Smart and Sustainable Built Environment, vol. 8 no. 2
Type: Research Article
ISSN: 2046-6099

Keywords

Open Access
Article
Publication date: 28 April 2020

Rita Lavikka, Olli Seppänen, Antti Peltokorpi and Joonas Lehtovaara

University research efforts have not been effective in developing lasting impacts on operations management in construction because of inadequate coordination between academia and…

4535

Abstract

Purpose

University research efforts have not been effective in developing lasting impacts on operations management in construction because of inadequate coordination between academia and industry. This study aims to describe the development of an industry–university (IU) relationship which has enabled the conduct of practically and scientifically relevant research.

Design/methodology/approach

Design science research was carried out between 2016 and 2019 to build a consortium between a university and 17 design, construction, technology and logistics companies for enabling process innovations in construction. The consortium conducted industry-funded research on various topics, such as takt production, lean design management, prefabrication, measurement of waste and business models supported by digitalisation. The academic and practical impacts of the consortium’s research projects were investigated through a survey and in-depth company interviews.

Findings

The paper presents a conceptual model for creating an IU relationship to support scientifically and practically relevant research. The model includes network architects who mobilised consortium development and a joint governance body that developed a shared long-term vision and selected research topics based on this vision. The results show that using the model’s approach, the consortium selected research topics that have led to both academic publications and process innovations in construction.

Originality/value

Using empirical data, this study describes how to create a win-win IU innovation relationship that enables the implementation of process innovations into the construction sector and, at the same time, the conduct of scientific research in construction management.

Details

Construction Innovation , vol. 20 no. 4
Type: Research Article
ISSN: 1471-4175

Keywords

Content available
Article
Publication date: 1 February 2004

91

Abstract

Details

Structural Survey, vol. 22 no. 1
Type: Research Article
ISSN: 0263-080X

Keywords

Content available
Article
Publication date: 18 January 2011

201

Abstract

Details

International Journal of Productivity and Performance Management, vol. 60 no. 2
Type: Research Article
ISSN: 1741-0401

Content available
Article
Publication date: 3 April 2007

Theo C. Haupt

192

Abstract

Details

Journal of Engineering, Design and Technology, vol. 5 no. 1
Type: Research Article
ISSN: 1726-0531

Content available
Book part
Publication date: 13 September 2018

Abstract

Details

Unmaking Waste in Production and Consumption: Towards the Circular Economy
Type: Book
ISBN: 978-1-78714-620-4

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