scholarly journals Evolution of the Business Models of Russian Construction Companies Digitalization of the Industry

2019 ◽  
pp. 565-582
Author(s):  
Tatyana P. Cheremisina
Keyword(s):  
Construction Industry ◽  
Business Models ◽  
Digital Technologies ◽  
Technological Innovations ◽  
Construction Sector ◽  
Construction Companies ◽  
Business System ◽  
Development Cycle ◽  
Organizational Innovations ◽  
High Uncertainty

Development of the first business models of companies and the sectoral business system of the construction sector in Russia began 10 years after the country’s transition to market economy and was of evolutionary nature. The purpose of the study is to identify the relations between business models of large construction companies and their ability to adopt and apply digital technologies and non-technological innovations. Today, only the largest construction and development companies are capable of purposefully shaping and developing their business models. The share of such companies in Russia is less than 1 %, but their role in the development of the industry is large. Most companies are listed in national and regional ratings, which opens access to the information about their history and development, geography of presence, strategies, experience in overcoming crises, etc. The head offices of these companies are mainly located in Moscow and St. Petersburg, and sometimes in million-plus cities. Research methodology included compilation of a non-representative sample of 50 construction and development companies, identification of four types of business models and analysis of the models on the basis of the collected information. In the construction industry of Russia, business models of large companies evolve from incomplete to complete construction cycle, then to complete development cycle with and without the building contractor function. A significant share of development companies retains the building contractor functions, and it is a distinctive feature of their activity in Russia associated with the high uncertainty of economy. Complete cycle developers show great interest in digital technologies and organizational innovations, but their inclination to digital technologies reduces interest in non-technological innovations and vice versa. The business model of the complete construction cycle gives the companies a weaker impetus for innovation

Implementation of technologies in the construction industry: a systematic review

2021 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Xichen Chen ◽  
Alice Yan Chang-Richards ◽  
Antony Pelosi ◽  
Yaodong Jia ◽  
Xuesong Shen ◽  
...  
Keyword(s):  
Systematic Review ◽  
Data Acquisition ◽  
Construction Industry ◽  
Construction Projects ◽  
Business Models ◽  
Full Potential ◽  
Construction Sector ◽  
Content Type ◽  
Construction Companies ◽  
Holistic Understanding

PurposeWith interest in modern construction methods and new technologies on the rise, construction companies globally are increasingly looking at how to embrace new ideas and engage with new approaches to do things better. A significant amount of work has been carried out investigating the use of individual technologies in the construction sector. However, there is no holistic understanding of the new and emerging technologies that have had proven benefits for construction projects. To fill this gap, this paper aims to provide a landscape of technologies that have been implemented in the construction industry and the benefits associated with their implementation.Design/methodology/approachA systematic review approach and PRISMA guidelines were used. A total of 175 articles published between 2001 and 2020 were identified and thoroughly reviewed.FindingsThe results show that a total of 26 technologies were identified from the literature, and these can be categorised into five groups in terms of their functionality in construction process, namely: (1) data acquisition, (2) analytics, (3) visualisation, (4) communication and (5) design and construction automation. Digital technologies, especially for data acquisition and visualisation, generally appear to underpin and enable innovation in many aspects of construction. Improvements in work efficiency, health and safety, productivity, quality and sustainability have been cited as being the primary benefits of using these technologies. Of these, building information modelling (BIM) appears to be the single most commonly used technology thus far. With the development of computer technology, BIM has constantly been used in combination with other technologies/tools such as unmanned aerial vehicles/systems (unmanned aerial vehicle (UAV)/UAS), geographic information systems (GIS), light detection and ranging (LiDAR) and multidimensional modelling to realise a specifically defined benefit.Practical implicationsThe findings from this review would help construction practitioners identify the types of technologies that can be implemented in different stages of construction projects to achieve desired outcomes, and thus, make appropriate decisions on technology investment and adoption. This review also suggests that to reap the full potential that these technologies offer, aside from construction companies changing their culture and business models, corresponding changes in the construction sector’s operating systems related to building regulation, education and training, as well as contracting and procurement are required.Originality/valueThis paper undertakes a comprehensive systematic review of studies on technology implementation in the construction sector published between 2001 and 2020. It is the first attempt internationally to provide a holistic picture of technologies that have been studied and implemented in construction projects.

scholarly journals Risks of Construction Projects and Digital Practices in the COVID-19 Outbreak

2021 ◽  
Author(s):  
Tuğçe Şimşekalp Ercan ◽  
◽  
Gizem Günlü ◽  
Keyword(s):  
Construction Industry ◽  
Construction Projects ◽  
Information Leakage ◽  
Digital Technologies ◽  
Digital Tools ◽  
Construction Site ◽  
Construction Sector ◽  
Negative Effects ◽  
Construction Companies ◽  
Tools And Methods

As the COVID-19 outbreak affected the whole world, the epidemic had positive and negative effects on the construction industry. Epidemic; Information leakage with working from home conditions, problems of logistics chains for the transportation of materials to the construction site, has brought along special risks according to many new processes. Within the scope of this study, it is aimed to investigate the effects of the COVID-19 epidemic on construction projects, new risks that occur and applications used against these risks together with digital tools. In the literature, the importance of innovative digital technologies for risk management is emphasized. In this study; It reduces the epidemic-specific risks that occur in the construction projects of innovative digital applications; how, why and which actors were involved. In this context, one-to-one interviews and a survey field study were conducted with construction industry experts for data collection. This research; It will guide the future positions of the sector by identifying and classifying new risks that occur specific to the COVID-19 outbreak process in the construction sector, and analyzing which digital tools and methods to be used to cope with these risks. In line with the research, it will be ensured that construction companies are better prepared against the threats and opportunities posed by the risks.

scholarly journals The global economy and its influence on the Slovak construction sector

2010 ◽  
Vol 18 (1) ◽  
pp. 17-23
Author(s):  
E. Jankovichová
Keyword(s):  
Construction Industry ◽  
Global Economy ◽  
Communication Channels ◽  
Organization Structure ◽  
Construction Sector ◽  
Construction Companies ◽  
Control Procedures ◽  
Management Approaches ◽  
And Control ◽  
The Impact

The global economy and its influence on the Slovak construction sectorFor the construction industry, globalization is a trend that means two things: many opportunities and many threats. In the conditions of globalization many management approaches, such as organization structure, strategy forming, planning, motivation and control procedures, communication channels, risk management, etc., must transform. The aim of the paper is to analyze the influence of globalization on the construction industry in Slovakia and identify the impact of globalization on construction companies in this area.

scholarly journals From the Research on Risk Management in Polish Construction Enterprises

2019 ◽  
Vol 262 ◽  
pp. 07009 ◽  
Author(s):  
Józef Myrczek ◽  
Piotr Tworek
Keyword(s):  
Construction Industry ◽  
Synthetic Approach ◽  
Construction Sector ◽  
Construction Enterprises ◽  
Construction Companies ◽  
Financing Risk ◽  
Potential Risks ◽  
The Subject ◽  
Managing Risk ◽  
Almost All

A variety of insurance options are used when managing risk in the construction industry. Numerous insurers operating on the Polish market provide suitable types of insurance, thus allowing participants of a construction process to obtain a comprehensive cover against almost all potential risks. Therefore, ‘all-risks’ types of insurance is of particular importance in case of construction and assembly activities. In addition to this instrument, the paper also deals with other forms of insurance used in the construction sector in Poland, which apply to various aspects of activities conducted by actors involved a construction project. This is the main topic of the paper, which also outlines the theory on the subject as well as providing the results of empirical research carried out in this area and emphasizing the practical applicability of the discussions. Consequently, the key aim of the paper is to present the issues related to insurance in the construction industry as a method of financing risk in operations of construction companies. The paper adopts a synthetic approach to these issues. The paper also reviews the related scholarly literature.

scholarly journals Outright Cash Purchase of Capital Assets and Enterprise Profitability in Nigeria: A Reflection on the Construction Industry

2015 ◽  
Vol 1 (2) ◽  
pp. 81
Author(s):  
Loveday A. Nwanyanwu
Keyword(s):  
Construction Industry ◽  
Positive Relationship ◽  
Descriptive Statistics ◽  
Construction Sector ◽  
Construction Companies ◽  
Moment Coefficient ◽  
Capital Assets ◽  
Cash Payment ◽  
Net Profit ◽  
Profit Performance

This paper examines the influence of capital assets acquired outrightly by cash on enterprise profitability from the perspective of construction companies. Data were obtained by means of questionnaire. Analyses were performed using descriptive statistics and Pearson’s product moment coefficient of correlation. Results of descriptive statistics indicate 61.11% preference for acquisition of capital assets by outright cash purchase. Correlation analysis reveals a statistically significant moderate positive relationship between capital assets acquired out rightly through cash payment and net profit. Own capital assets acquired by outright cash purchase improves net profit performance of construction companies. Companies in the construction sector should aim at investing in capital assets through outright cash purchase instead of hiring or leasing.

scholarly journals KEY AUDIT MATTERS PRACTICES IN CONSTRUCTION SECTOR: EVIDENCE OF MALAYSIAN MARKET

2020 ◽  
Vol 37 (01) ◽  
Author(s):  
UMMI JUNAIDDA HASHIM ◽  
NORSIAH AHMAD ◽  
WAN AMALINA WAN ABDULLAH ◽  
ZALAILAH SALLEH
Keyword(s):  
Listed Company ◽  
Successful Implementation ◽  
Construction Sector ◽  
Revenue Recognition ◽  
Construction Company ◽  
Construction Companies ◽  
Minimum Number ◽  
The Subject ◽  
One Year ◽  
High Uncertainty

This paper examines the reporting of Key Audit Matters (KAMs) in independent auditor‟s report for construction sector in the Malaysian market. It also aims to identify whether the specific characteristics of construction company will influence the KAMs reporting for Malaysian companies. The sample covers all construction companies listed on Bursa Malaysia with available data one year upon the implementation of KAMs. This business sector has been the subject of the study due to the fact that construction sector, despite being a high-risk sector, is among important sectors that contribute to the development of the economy of a country. The objective of the study is achieved through content analysis. The maximum and minimum number of KAMs disclosed are six and one respectively for this sector. The main issue addressed as KAMs in construction sector is revenue. The revenue recognition in the construction sector is affected by the unexpected occurrences and this, in turn, will affect the estimated cost and profit. The findings discover that the practice on the KAMs disclosed has been critically assessed by the auditors, but there is exception on some of the practice. In the construction sector, the items listed as KAMs basically relates to areas that required a significant amount of judgement from auditors (matters that involve high uncertainty estimation). However, for some of the KAMsdisclosure, 24% of the sample do not highlight the reason of why the items listed as KAMs. This circumstance would provide questions whether auditors had dismissed the guidelines of the disclosure of KAMs or auditors did not understand the KAMs‟ practices comprehensively. Therefore, further monitoring is needed to ensure the successful implementation of KAMs. This study only covers a limited sample of one year upon implementation of KAMs. It provides an empirical data and description on Key audit matters (KAMs) disclosure in the independent auditor‟s report of the Malaysian Listed company.

Assessing Organisations’ Readiness for Technological Changes in Construction Industry

2021 ◽  
Vol 12 (1) ◽  
Author(s):  
Norfashiha Hashim ◽  
◽  
Aina Syazifa Samsuri ◽  
Nur Hidayah Idris ◽  
◽  
...  
Keyword(s):  
Construction Industry ◽  
Research Work ◽  
Construction Sector ◽  
Kuala Lumpur ◽  
Technological Changes ◽  
Structured Interviews ◽  
Construction Firms ◽  
Construction Companies ◽  
Technological Readiness

Of late, the advancements in technology have witnessed a spike in the number of schemes aimed towards enhancing the deployment of technologies in construction-based entities, thereby increasing the demand for technological modifications. This paper intends to scrutinise the keenness of construction entities to identify technological changes within the construction sector. The goals of this research work are to ascertain the degree of willingness for technological alterations, the norms which construction entities should possess regarding the readiness for technological alterations, and the obstacles encountered by construction firms in terms of technological alterations. Ten semi-structured interviews were carried out comprising ten G7 contractors in Selangor and Kuala Lumpur regarding on the implementation and adopting the technological changes within their companies. Based on the observations, most construction firms in Malaysia are fairly prepared to encounter technological fluctuations. Furthermore, the research deliberates many norms which are essential to generate the technological readiness in construction firms along with the obstacles which could impact the organisational inclination for technological changes. This work intends to help construction companies evaluate their degree of readiness and organise themselves for better adoption of technological alterations in their businesses.

scholarly journals Managing the Intellectual Potential in the Business-Network of Innovative Digital Technologies

2021 ◽  
Vol 39 (5) ◽  
Author(s):  
Natalia V. Trusova ◽  
Roman I. Oleksenko ◽  
Sergey V. Kalchenko ◽  
Denys V. Yeremenko ◽  
Stanislava R. Pasieka ◽  
...  
Keyword(s):  
Business Models ◽  
Methodological Approach ◽  
Effective Interaction ◽  
Digital Technologies ◽  
Business Network ◽  
Integrated Network ◽  
Business System ◽  
The World ◽  
Intellectual Assets ◽  
Intellectual Potential

The article considers the synergy of managing the intellectual potential of the enterprise in the business-network of innovative digital technologies. The paradigm of development of intellectual potential of enterprises in the network system of innovative digital technologies is presented, which determines the spatial-technological, information-virtual, intellectual security of economic entities, taking into account tools and components of inclusive growth in their transformation of business models and new markets. A methodological approach to the management of effective interaction of enterprises which determines the shift of entropy of their magnitude of intellectual potential, and affects the business system with a limited duration of the network of innovative digital technologies is developed. The main value of integration processes in the business-network of innovative digital technologies of enterprises, which is formed due to their internal incentives, as innovators have market value and significant intellectual assets, they are always at the center of the economic environment. Mathematical tools for describing the functionality of an integrated network are systematized. Innovative digital technologies of enterprises with a significant amount of intellectual assets are based on differential equations. It is proved that the synergetic proximity and ability to asymptotic development, i.e., the increase of intellectual assets in a complex business system, causes the participating company to change the network of innovative digital technologies and reorient to the terms of compensation for invested resources. Inconsistency and non-acceptance of the rules of cooperation, weak influence of the network on the participant will lead to its inefficiency and withdrawal from the network, the choice of “off-network” vector of development. The analysis of the index of intellectual development and volumes of intellectual capital in Ukraine and in the world is carried out. The volumes and structure of attracted investments in intellectual assets by the sizes of the enterprises of Ukraine are determined. The rating position of Ukraine on the world level of development of innovative digital technologies is investigated. The factors of effective cooperation of enterprises according to the criteria of intellectual potential management in innovative digital technologies are substantiated and the areas of interaction of the participants of the innovation process are determined.

scholarly journals UK CONSTRUCTION COMPANIES’ STRATEGIES IN THE FACE OF BUSINESS CYCLES

2014 ◽  
Vol 18 (3) ◽  
pp. 225-237 ◽  
Author(s):  
Les Ruddock ◽  
Amir Kheir ◽  
Steven Ruddock
Keyword(s):  
Business Cycles ◽  
Human Resource Management ◽  
Construction Industry ◽  
Human Resource ◽  
Business Environment ◽  
Construction Sector ◽  
Economic Cycle ◽  
Construction Companies ◽  
The Face ◽  
The Uk

Firms in the construction industry have always had to deal with the challenges of the economic cycle and develop strategies to deal with the resulting fluctuations in their business environment. In the context of the 2008–2011 double-dip recession in the UK, the results of a survey targeting the top one hundred construction companies in the UK are reported here. This research is particularly intended to assess whether the strategies of large companies in the construction sector, when faced with the issues associated with the variation in the economic cycle, have changed since the previous business cycle (i.e. the 1986–1990 boom followed by the 1990–1991 recession). The survey reveals the challenges that companies have faced, reports on company behaviour and on the policies adopted. While there are many similarities between policies adopted during the recessionary periods of the two cycles, the research found notable changes in attitudes towards diversification, human resource management and price bidding.

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