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Article
Publication date: 1 March 2001

Peter E.D. Love, Zahir Irani, Heng Li, Eddie W.L. Cheng and Raymond Y.C. Tse

To improve organizational performance and sustain a competitive advantage many Australian businesses have begun to embrace e‐commerce. For example, businesses from the automotive…

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Abstract

To improve organizational performance and sustain a competitive advantage many Australian businesses have begun to embrace e‐commerce. For example, businesses from the automotive, banking, insurance and retail industries have been able to leverage the benefits of information and communication technologies. Yet, those from the construction industry have been slow, perhaps even reluctant, to implement information and communication technologies to support ecommerce. Thus, this paper aims to determine the barriers that small‐medium sized contractors are experiencing when confronted with the need to implement e‐commerce to sustain their competitiveness. Unstructured interviews were undertaken with managers from 20 small‐medium sized contractors from the State of Victoria in Australia, which had annual turnovers ranging from $1‐50 million. The financial, organizational, technical and human barriers that were identified from findings are presented and discussed. The paper concludes by proposing strategies that small‐medium sized contractors may adopt if they to leverage the benefits of e‐commerce.

Details

Construction Innovation, vol. 1 no. 1
Type: Research Article
ISSN: 1471-4175

Keywords

Article
Publication date: 23 August 2021

Murat Gunduz and Ibrahim Al-Ajji

Bid/no-bid decision is a significant and strategic decision, which must be finalized at an early stage of the bidding process. Such decision-making may have significant impact on…

Abstract

Purpose

Bid/no-bid decision is a significant and strategic decision, which must be finalized at an early stage of the bidding process. Such decision-making may have significant impact on the performance of the contractors. Using Chi-square Automatic Interaction Detector (CHAID) and Classification and Regression (CRT) decision tree algorithms, this paper aims to develop bid/no-bid models for design-bid-build projects for contractors.

Design/methodology/approach

The models in this study have been developed using CHAID and CRT algorithms. Thirty-four bid/no-bid key factors were collected via extensive research. The bid/no-bid factors were listed based on their importance index as a result of a questionnaire distributed among the construction professionals. These factors were divided into five main risk categories – owner, project, bidding situation, contract and contractor – which were taken as inputs for the models. Split-sample validation was applied for testing and measuring the accuracy of the CHAID and CRT models. Moreover, Spearman's rank correlation and Analysis of Variance (ANOVA) tests were employed to identify the statistical features of the received 169 responses.

Findings

The key bid/no-bid factors in construction industry were categorized in five related groups and ranked based on the relative importance index. It was found that the top 6 ranked bid/no-bid factors were (1) current workload, (2) need for work, (3) previous experience with employer; (4) timely payment by the employer; (5) availability of other projects for bidding (6) reputation of employer in the industry. Matrix comparison between all bid/no-bid groups was performed using Spearman's correlation to measure the relationship between each of the two paired groups. It was concluded that all the relationships were positive.

Originality/value

Existing bidding models require many inputs and advanced understanding of mathematics and software to run the model. Contractors tend to use easy, fast and available support methods. Excluding a great number of the bid/no-bid factors may affect the final decision. This paper proposes a bid/no-bid decision tree models for contractors of different sizes. It is the first study in the literature, to the best of authors' knowledge, to study bid/no-bid decision with the proposed decision tree algorithm. The proposed models in this study overcome the shortfalls of most previous models such as avoiding the complexity and difficulties of applying the concept. The proposed model will provide the contractors with a bid/no-bid decision based on the input for the defined bid factor groups. The proposed models display the soft spots and hot spots between the independent and dependent variables, which leads to a better decision. The proposed models display the result effectively in visual terms, easy to understand and easy to apply. The proposed models are a form of multiple effect (or variable) analysis which allows the companies to explain, describe, predict or classify an outcome.

Details

Engineering, Construction and Architectural Management, vol. 29 no. 9
Type: Research Article
ISSN: 0969-9988

Keywords

Article
Publication date: 1 March 2003

Francisco Loforte Robeiro and Peter E.D. Love

Many construction organizations have begun to acknowledge that to improve the performance of their supply chains they need to establish long‐term relationships with suppliers so…

1372

Abstract

Many construction organizations have begun to acknowledge that to improve the performance of their supply chains they need to establish long‐term relationships with suppliers so that mutual dependencies can be created. However, to create economic value, as well as support interorganizational connectivity in the supply chain, an e‐business infrastructure supported by Internet and Web technologies is required. Using two case studies, this paper demonstrates how the adoption of an e‐business strategy can be used to create value throughout the supply chain in construction. Interviews with the information technology managers involved with the two case studies were undertaken to provide insights into the benefits and limitations of the technologies used to service business‐to‐business (B2B) and business‐to‐consumer (B2C) activities. In addition, the paper suggests how different Internet and Web‐based technologies can be used by construction contractors, particularly small‐ and medium‐sized enterprises (SMEs) to gain a competitive advantage in their respective marketplaces.

Details

Construction Innovation, vol. 3 no. 1
Type: Research Article
ISSN: 1471-4175

Keywords

Book part
Publication date: 23 September 2022

Temidayo Oluwasola Osunsanmi, Clinton Ohis Aigbavboa, Wellington Didibhuku Thwala and Ayodeji Emmanuel Oke

The model and existing practice of the construction supply chain (CSC) in the United Kingdom (UK) and Australia was presented in this chapter. The policies and reports that…

Abstract

The model and existing practice of the construction supply chain (CSC) in the United Kingdom (UK) and Australia was presented in this chapter. The policies and reports that support the practice of the CSC were examined in both countries. It was discovered from the review of literature that the UK has a more detailed report targeted at improving the CSC than Australia. However, both countries have a common factor affecting their CSC which originates from fragmentation experienced within their supply chain. Construction stakeholders in the UK and Australia believe that collaboration and integration are vital components for improving performance. The majority of the contractors in both countries embrace collaborative working for the sole purpose of risk sharing, access to innovation and response to market efficiency. However, most of the models developed for managing the CSC in the UK are built around building information modelling (BIM). Also, the reviewed studies show that supply chain management practice will be effective following the following principle: shared objectives, trust, reduction in a blame culture, joint working, enhanced communication and information-sharing. Finally, the UK has a more established framework and more CSC models compared to Australia.

Details

Construction Supply Chain Management in the Fourth Industrial Revolution Era
Type: Book
ISBN: 978-1-80382-160-3

Keywords

Article
Publication date: 4 June 2018

Ayodeji Emmanuel Oke, Douglas Aghimien and Abiola Adedoyin

The call for more engagement of local contractors has been gaining support by construction stakeholders especially as a result of the recent economy recession in Nigeria. However…

Abstract

Purpose

The call for more engagement of local contractors has been gaining support by construction stakeholders especially as a result of the recent economy recession in Nigeria. However, due to the increasing complexity of the construction industry and technological advancement, the influx and engagement of foreign contractors has been on the increase and their contribution is also germane to the economy development of the country. In view of this, the purpose of this paper is to examine the strengths, weaknesses, opportunities and threats of indigenous and foreign contractors in the country with a view to understanding their differences in the quest of improving their service delivery.

Design/methodology/approach

A case study research was carried out through the use of interview and questionnaire administered on management staff and professionals in selected construction firms, respectively. In order to obtain a balance view of the subject, professionals from construction consultancy firms selected through Delphi method were also included in the study and sampled accordingly. Appropriate statistical tools were employed in analysing the data gathered and result was presented with the aid of a SWOT template.

Findings

Findings of the research show that foreign contractors have better strengths than their indigenous counterparts, and this has made them gain better expertise. Also, they enjoyed more opportunities than the threats they are faced with, but the reverse is the case for indigenous contractors.

Originality/value

There is a need for the two categories of contractors to identify their SWOT as indicated in this study and leverage their strengths, correct their weaknesses, capitalise on golden opportunities and avoid potentially devastating threats to enhance their effectiveness and success in the industry.

Details

International Journal of Quality & Reliability Management, vol. 35 no. 6
Type: Research Article
ISSN: 0265-671X

Keywords

Article
Publication date: 1 February 2005

Vachara Peansupap and Derek Walker

To address the critical issue of how best to adopt and diffuse information and communication technology (ICT) into organisations.

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Abstract

Purpose

To address the critical issue of how best to adopt and diffuse information and communication technology (ICT) into organisations.

Design/methodology/approach

During April and May 2002, a survey of ICT diffusion of ICT users from three construction organisations was conducted.

Findings

Results from an earlier phase of this study indicated that 11 factors influence ICT diffusion. The aim of this paper is to report on phase 2 study results within three construction organisations based on the 11 factors found to influence ICT diffusion. Semi‐structured interviews were undertaken with five to six ICT users and an implementer for each of the case study companies.

Originality/value

Three factors were found to have a weak influence on ICT diffusion, while eight have a strong influence. These influencing factors may be grouped into four interrelated categories: management, individual, technology, and work environment. Their inter‐relationship should be coherently and comprehensively addressed.

Details

Engineering, Construction and Architectural Management, vol. 12 no. 1
Type: Research Article
ISSN: 0969-9988

Keywords

Article
Publication date: 1 September 2004

R.A. Stewart, S. Mohamed and M. Marosszeky

The need for the improved implementation of information technology (IT) has been identified in both empirical and highly structured research studies as being critical to effective…

1547

Abstract

The need for the improved implementation of information technology (IT) has been identified in both empirical and highly structured research studies as being critical to effective innovation and development at an industry and enterprise level. This need is greater in the construction industry as it has been relatively slow to embrace the full potential of IT‐based technologies. In an attempt to understand why the construction industry lags other industries in the uptake and effective implementation of IT, this study reports on an investigation of the Australian construction industry, which identifies the impediments or barriers to IT implementation and the most effective coping strategies to overcome them. A questionnaire‐based research approach was adopted for this purpose and a total of 134 valid survey responses were received from various architectural, engineering and construction professionals. The questionnaire was designed to identify perceptions of the most significant barriers to IT implementation and to determine the most “practical” and “effective” corresponding coping strategies to mitigate their effects at three decision‐making levels: Industry; Organization; and Project.

Details

Construction Innovation, vol. 4 no. 3
Type: Research Article
ISSN: 1471-4175

Keywords

Article
Publication date: 1 July 2014

Jing Pan, Mihaela Vorvoreanu and Zheng Zhou

This research aims to investigate the current patterns of social media adoption for marketing in the restoration industry and analyse the strategies used by those restoration…

1354

Abstract

Purpose

This research aims to investigate the current patterns of social media adoption for marketing in the restoration industry and analyse the strategies used by those restoration companies that have adopted social media. Social media marketing has been proven as a cost-effective way to engage new customers, and especially useful for small businesses. The disaster “restoration industry” is the special sector of general contracting that serves both commercial and residential property owners in terms of restoring their disaster-affected property. The restoration industry is characterised by small-business domination and constant need of new customers to survive in the market. Many restoration contractors have started adopting social media for marketing. However, goals and social media marketing strategies have not yet been clearly articulated.

Design/methodology/approach

Data were collected through a systematic content analysis (CA) of sample restoration companies’ Facebook and Twitter posts over a 30-day study period. After a preliminary investigation of the industry, the researchers selected the Restoration Industry Association (RIA) member companies, as the research population. Sixty companies were randomly selected from the 1,165 RIA member companies, which equals to 5 per cent of the population. Reliability was tested statistically using Cohen’s Kappa.

Findings

Three levels of adoption were derived from the data: active users, non-active users and non-adopters. More than half of the sample companies were found to have adopted at least one social media channel for marketing. However, only 26 out of the 60 sample companies were active on the social media that they have adopted. Active adopters showed, on average, relatively frequent usage patterns, with 10 Facebook posts and 37 tweets in a 30-day period. Sampled restoration companies which were active social media users posted mostly announcements and educational information of Facebook and used Twitter for news and direct interaction with customers. The observed companies revealed a mix of business-relevant content and personalised content including personal greetings, sharing of photos about holidays and fun events.

Research limitations/implications

Three levels of adoption were derived from the data: active users, non-active users and non-adopters. More than half of the sample companies were found to have adopted at least one social media channel for marketing. However, only 26 out of the 60 sample companies were active on the social media that they have adopted. Active adopters showed, on average, relatively frequent usage patterns, with 10 Facebook posts and 37 tweets in a 30-day period. Sampled restoration companies that were active social media users posted mostly announcements and educational information of Facebook and used Twitter for news and direct interaction with customers. The observed companies revealed a mix of business-relevant content and personalised content including personal greetings, sharing of photos about holidays and fun events.

Practical implications

The results showed that social media adoption has not yet penetrated the restoration industry – the adoption rate of 65 per cent is significantly lower than the 77 per cent of companies in all industries. In-depth CA of active social media users revealed patterns of engagement on Facebook and Twitter. This paper built on those patterns to emphasise strategies restoration companies can use to build interpersonal relationships and trust, which can lead to increased word-of-mouth recommendations; facilitate customer contact through a cross-linking strategy; and engage in simple methods for search engine optimisation. These strategic recommendations are grounded in existing practices and, therefore, are feasible and accessible for disaster restoration companies.

Originality/value

The research results showed how the construction industry, especially small businesses, has adopted social media for marketing. A snapshot of the industry’s level of social media adoption for marketing strategy can provide a useful reference point about the industry’s practices and potential future directions. This paper provides suggestions about effective social media marketing strategies. The paper also illustrates the use of CA as a promising method for research in construction management.

Details

Construction Innovation, vol. 14 no. 3
Type: Research Article
ISSN: 1471-4175

Keywords

Article
Publication date: 1 June 2006

Tony Igo and Martin Skitmore

To operate successfully, a commercial organization must satisfy the everchanging demands of its clients, its owners, its employees and society as a whole. To do this, it must have…

3272

Abstract

To operate successfully, a commercial organization must satisfy the everchanging demands of its clients, its owners, its employees and society as a whole. To do this, it must have a good understanding of its persona as perceived by its own members and the entities it deals with. This persona, or image an organization presents of itself, and the way in which it is perceived by its external environment and its internal members, is commonly referred to as its Corporate Culture (Deal and Kennedy, 1982; Silverzweig and Allen, 1976). The tangible aspects include corporate logos, uniforms and clothing, office layout, use of ‘in‐vogue’ technology and business processes, while behavioural indicators can include relative importance of social issues and norms such as time keeping, and adherence to prescribed procedures. This paper describes research within a single, large, Australian engineering, procurement and construction management consultancy aimed at identifying the form of its current corporate culture and the extent to which this is perceived to be appropriate by those involved. Using Quinn and Rohrbaugh’s (1983) Competing Values Framework, the overall cultural profile of the organization and dominant characteristic traits is determined through an in‐house electronic survey employing the Organizational Cultural Assessment Instrument. This indicated that the company has a dominant market‐oriented culture. In contrast, the most desired form was found to be the employee focused culture ‐ indicating a misalignment between what employees thought was needed and what was perceived to exist. This finding is considered in the light of recent reports identifying the detrimental effect of market‐oriented cultures, and the supporting role of employee focused cultures, in achieving construction project quality outcomes.

Details

Construction Innovation, vol. 6 no. 2
Type: Research Article
ISSN: 1471-4175

Keywords

Article
Publication date: 25 February 2021

Vineeth Dharmapalan, William J. O’Brien, Douglas Morrice and Minhyuk Jung

Stakeholders of construction projects exhibit different perceptions regarding the visibility of materials in the supply chain, which affects the timely delivery and installation…

Abstract

Purpose

Stakeholders of construction projects exhibit different perceptions regarding the visibility of materials in the supply chain, which affects the timely delivery and installation of materials. This study aims to quantitatively investigate the differences in viewpoints of owners, contractors, designers and suppliers about the visibility of materials at supply chain locations and different material types during the construction of industrial projects.

Design/methodology/approach

Survey data about visibility at nine typical supply chain locations and three common material types were collected from owner, contractor, designer and supplier groups and analyzed using frequency statistics, relative importance index and tests for equality of odds.

Findings

Offsite Tier-2 supplier, ports and kitting site shows the lowest visibility level for the owner, contractor, supplier and designer groups. Also, the supplier group tends to have adequate to extreme visibility at the Tier-2 supplier, kitting site and during transportation compared to owner, contractor and designer groups. An example finding concerning the visibility of material types is that owners and contractors perceive prefabricated material requires higher visibility than all other material types.

Research limitations/implications

The findings are limited to construction projects in the industrial sector. Further, the survey participants were based in North America at the time of participation.

Practical implications

The study’s findings indicate how visibility is spread across supply chain locations and for material types for the owners, contractors, suppliers and designers of industrial projects. As such, academia and industry’s research and investment efforts can be more focused on locations and material types that need improvement.

Social implications

Industrial projects play an essential part in improving society’s daily lives, and this study’s findings contribute to improving the efficiency of the supply chain during construction of industrial projects.

Originality/value

Although previous studies mentioned the need and importance of visibility improvement, none have sought to understand the perception of leading supply chain stakeholders about visibility at supply chain locations and of material types. This study’s findings provide specific insights and directions for advancing in these areas with regard to supply chain visibility.

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