scholarly journals Assessing the role and significance of project selection by the contractors in the Saudi construction industry

Author(s):  
Abdulrahman Bageis ◽  
Saleh Alsulamy

Abstract Introduction Construction companies hold great significance in Saudi Arabia due to new developments taking place in the region. A project automatically turns out better if it has been selected based on the level of expertise and resources available to the construction company and vice versa. Purpose The study aims to investigate the importance of project selection by the contractors within the Saudi construction industry. Methodology The study has employed a quantitative research design to conduct a survey through the administration of questionnaire. A total of 46 employees from construction companies were selected. A questionnaire was distributed among maintenance contractors, contractors, and construction contractors. Findings The findings have shown that mostly organizations were unclassified or classified under the fifth category (projects valuing AED10,000,000 or lesser) (34.8%). Most of the respondents (94.4%) agreed that consideration of the project selection is important. Moreover, there is a positive correlation between the level of importance given to the project selection and the organizational size of the respondents. Success factors play an important role in the project selection phase. Practical implications Careful project selection is the first step toward the success of the construction company, so it needs to be carried out carefully.

2020 ◽  
Vol 3 (2) ◽  
pp. 50
Author(s):  
Moh Nur Sholeh ◽  
Mochamad Agung Wibowo

The construction industry is so fragmented that in its implementation many have resulted in increased costs, delays, and inefficiencies. But this fragmented can not be a reason not to innovate. One approach to the solution used is supply chain construction. The purpose of this study is to map supply chains micro, meso, and macro. This level is tiered from the bottom to the top level as the concept of supply chain management. The qualitative and quantitative research method was used to map and analyze supply chains for each level. The results showed the micro-level is the basis of the supply chain which can be measured by SCOR for example. The meso level focuses on the strength of construction companies. Construction company strategies framework contract and Enterprises Resource Planning (ERP). Macro-level includes supply chain accumulation from micro and meso. It is expected that at the macro level is the harmonization of supply chains between stakeholders, namely the government, contractors, suppliers, and distributors with good policy regulations.


Author(s):  
Suzanne Wilkinson ◽  
Alice Yan Chang-Richards ◽  
Zulkfli Sapeciay ◽  
Seosamh B. Costello

Purpose Improving the resilience of the construction sector helps countries recover quicker from crises and can assist with improving community resilience and recovery. This study aims to explore ways in which the construction sector might improve its resilience. Design/methodology/approach This paper examined past disasters and the role construction plays to understand what and how better construction resilience can be built, and the impact this will have on recovery and reconstruction. Findings The findings showed that after a crisis, the construction sector is called upon to manage building and infrastructure recovery and reconstruction. Construction organisations are needed by the community, as they provide physical resources, people, materials, logistics, management and technical expertise and rebuilding. To ensure that recovery and reconstruction programs are successfully implemented, it is necessary for the construction sector to be resilient. To achieve improved resilience in the construction industry, disaster resilience management needs to become mainstreamed into construction processes. Research limitations/implications Although larger organisations have some preparation to respond to crises, including having emergency or disaster plans, smaller companies struggle to achieve a reasonable level of resilience. It appears that senior management and key people in construction organisations are familiar with the procedures but that the majority of staff in organisations lack knowledge and skills. Practical implications Understanding the role the construction sector plays in disasters and providing directions for improving construction sector resilience will ultimately improve recovery and reconstruction outcomes. Social Implications This paper discusses how communities rely on services provided by construction organisations to enable them to recover from emergencies and crises. Pre-disaster construction company resilience impacts on the ability of construction companies to function post-disaster. Originality/value This paper focuses on a number of cases and shows where and how the construction sector has worked in disasters and provides a new analysis of the role the industry plays, and the various disaster stages where the industry has maximum impact.


2018 ◽  
Vol 10 (2) ◽  
pp. 7-14 ◽  
Author(s):  
Krzysztof Dziekoński ◽  
Omar Hesham Mohamed Fawzy Ibrahim ◽  
Abdul-Majeed Mahamadu ◽  
Patrick Manu

Abstract Construction industry is considered as one of the most important sectors in Egypt. One of the major challenges faced by the industry, however, is the unavailability of suitable performance measurement systems for assessing companies’ performance. Modern performance assessment systems adopt a more universal approach to the measurement of construction company performance as opposed to the traditional project triangle. This paper aims to examine the practice of performance measurement in the Egyptian construction industry. Results show dominant role of in-house developed performance management systems as well as the use of KPIs as a method of performance assessment. The study further reveals that the highest importance is given to measures related to the time of project delivery, quality of works, clients’ satisfaction and profitability. Hence, the traditional project triangle of project’s success is the most prevalent approach to performance evaluation in the construction industry in Egypt. However, a shift towards a more holistic approach to performance assessment in larger companies was observed.


This chapter begins by describing the common problems associated with implementing IT business strategy that are faced by companies and other organizations, resulting in business planning that is not directly aligned with IT planning and IT investments not clearly supporting business strategies. It is stressed that all organizations should pursue strategic alignment practices to improve organizational performance when using IT-based resources. Case studies specific to the construction industry are presented to illustrate practical problems that companies face. With this background, the critical success factors of implementing IT business strategy are discussed. They mainly center around the goal of enabling businesses to reduce costs while at the same time improve IT’s contribution to their overall performance in terms of overall profit or net earnings. In the discussion, research finding of organizational success in strategic IT and business alignment are used to elaborate on the factors involved, both internal and external to the organization. Overall, the essential traits of successfully aligned organizations are mentioned. This is followed by describing a proposed model that is able to successfully address the alignment of business and IT by adopting a process-driven architecture that focuses on information management. Moving on, there are several aspects of preparing an organization for successful IT business strategy implementation. The next part describes some major steps of implementation like defining the goals and linking them to the performance criterion, focusing on the strategic intentions, adopting an effective plan, quantifying the cost and benefits of IT, measuring and tracking the results, and, last but not least, managing culture. Specifically on the construction industry, the chapter covers the main advantages and disadvantages of adopting IT to increase strategic competitiveness of construction companies. The illustrations from past research focus on links that are established between competitive advantage or project success and the use of technology. As background to proposing a set of recommendations on how IT business strategies can be implemented in design and construction firms, the case of IT adoption in the construction industry of Singapore is presented to serve as an overview of developments in this area. Based on the performance criteria established for these two types of firms in Singapore, appropriate enablers of implementation are suggested, including the kind of business strategy applicable to different firm types, through a process framework. The chapter concludes with a summary of the main points covered on the implementation of IT business strategy in the construction industry.


2019 ◽  
Vol 91 ◽  
pp. 08048
Author(s):  
Natalia Shchepkina ◽  
Maiya Kramchaninova

Some current trends and prospects of the world construction industry development from environmental economics position are presented in article. The increased role of innovations and their influence on the competitiveness of construction company in the context of economic, social and ecological components is analyzed. Reduction of some negative impact of all the types of technological processes of construction on the environment is connected with the growth of innovative opportunities. This research proves the need of overcoming technical and technological lag for the development of the construction industry by the means of introduction of business processes management instruments. Justification of reengineering as an effective way of transformation of the technology of construction production is made. The algorithm of stage-by-stage reengineering of business processes, offered in the article is the instrument of effective introduction of technological innovations in the construction companies according to current ecological requirements.


2015 ◽  
Vol 13 (4) ◽  
pp. 596-611 ◽  
Author(s):  
George Cyril Tucker ◽  
Abimbola Windapo ◽  
Keith Stone Cattell

Purpose – The purpose of this paper is to examine the resilient operational variables that impact the corporate performance of construction companies in the South African construction industry and to explore whether financial capacity can be used as a predictor of construction company performance in the context of the South African construction industry. Design/methodology/approach – The operational variables of construction companies that impact their corporate performance were identified through an in-depth review of the extant literature. A combination of convenience and snowball sampling techniques were used in identifying 185 building and civil engineering construction companies based in four provinces of South Africa and registered in Grades 2-6 of the Construction Industry Development Board (CIDB) contractor grading register. The data used in the study were collected from this cohort of respondents through the use of structured questionnaires. At the end of the study period, 62 valid responses representing a response rate of 33.5 per cent were received. Data collected were analyzed using descriptive and inferential statistics. Findings – The findings of this study indicate that there is a significant positive relationship between the financial capital and net assets of construction companies and their corporate performance in terms of turnover. The data collected did not support any significant relationship between other operating financial variables, such as Return on Capital Employed and profitability and financial performance. Research limitations/implications – A predictive model for predicting the financial performance of firms was developed from the data collected. The implication of this is that the more financial capital possessed by a construction company, the more the company’s financial performance in terms of turnover. The CIDB can use financial capacity as a measure when grading contractors, as a good number of contractors are not performing. The predictive model developed could be adopted by the CIDB as an instrument for predicting the corporate financial performance of construction companies that seek to be listed on their contractor grading register. Originality/value – This research will be of significance to researchers and members of the research community in providing new knowledge as well as to contractors in enabling them to understand the importance of having financial capital. It is also of importance to the CIDB in their quest for contractor and construction industry development. Further research to validate the results obtained in this study using a larger sample size across more provinces of South Africa will form the basis of future studies.


Author(s):  
Hock Seng Raymond Yip ◽  
Herman Shah Anuar

In the area of the construction sector, the primary concern is economic growth. There are many issues and challenges associated with it. The growth and rapid development of this industry put their players, mainly the construction firms feeling the heat by competing with each other. The main challenge is the completion period for a particular project. This study was done in Manila, Philippines, where Design and Build (D&B) method has gained much interest and considered very important today. The rise of new innovative systems saw the emergence of new factors in the construction industry that will become future adoption. This study focuses on factors affecting the successful completion period of the construction industry, whereby it is very crucial for the country's economic and market development. A quantitative research methodology was applied in this study. A total of 967 survey questionnaires sent out, and only 396 respondents fit to be analysed. Respondents involved were contractors, consultants, and developers. It was learned that critical success factors in project management play significant roles in driving projects to examine the determinants of success completion time of Design & Build construction projects. Findings from this study shall be used by the authority in drafting a policy guideline for future construction development. It is hoped that this study provides a better understanding of construction challenges for future undertaking.


2017 ◽  
Author(s):  
Behnam Neyestani ◽  
Joseph Berlin P.

Total quality management (TQM) is a management philosophy that emphasizes on non-stop quality improvement within all aspects of the organizations. Its main aims are to satisfy customers and survive in the market. Thus, it is very vital to specify the factors that cause implementing TQM successfully. Specially, the identification of the TQM critical success factors (CSFs) is more important in the construction firms than other industries, because the majority of construction organizations are confusing related to TQM CSFs, and often they do not develop a proper framework with right and essential factors for TQM implementation. Numerous studies showed construction companies usually fail to implement TQM and achieve performance excellence at project and enterprise levels. The main purpose of this study is to determine these factors as critical success factors of TQM implementation in construction industry. For this aim, the study carried out an extensive literature review to specify the most frequently used CSFs from TQM frameworks of 37 empirical studies in different industries, in order to propose a set of appropriate TQM CSFs. So, Pareto analysis was employed to analyze comprehensively the 37 TQM frameworks. Finally, the findings of this study revealed the seven CSFs, which are as most vital elements in developing an effective model for successful TQM implementation in construction industry.


2021 ◽  
Vol 21 (2) ◽  
pp. 218-243
Author(s):  
Manuel Alexander Silverio-Fernández ◽  
Suresh Renukappa ◽  
Subashini Suresh

Purpose The decentralisation of information and high rate of mobile content access in the construction industry provide an ideal scenario for improvement of processes via the implementation of the paradigm of the Internet of Things (IoT). Smart devices are considered as the objects interconnected in the IoT; therefore, they play a fundamental role in the digital transformation of the construction industry. Currently, there is a lack of guidelines regarding the implementation of smart devices for digitalisation in the construction industry. Consequently, this paper aims to provide a set of guidelines for implementing smart devices in the construction industry. Design/methodology/approach An empirical study was performed in the UK and the Dominican Republic (DR). Following a systematic approach, qualitative data collection and analysis was performed based on semi-structured interviews involving professionals from construction companies in the UK and the DR. Interviews were recorded and subsequently transcribed using Microsoft Word and exported to the software NVivo, where the software was used to find common thematic nodes across all interviews. Findings The findings encompass drivers, challenges and critical success factors (CSFs) for implementing smart devices in construction project. For both countries, the top five CSFs were leadership, staff training, culture, technology awareness and cost of implementation. These findings were used to develop a strategic framework for implementing smart devices in construction companies. The framework establishes the actors, elements and actions to be considered by construction companies when implementing smart devices. Originality/value This paper provides a richer insight into the understanding and awareness of implementing smart devices. A strategic framework for implementing smart devices in the construction industry and providing guidelines for adopting smart devices in construction projects was developed and validated. This study provides a better understanding of the key factors to be considered by construction companies when embedding smart devices into their projects.


2020 ◽  
Vol 10 (1) ◽  
pp. 1-10
Author(s):  
Amjad Pirotti ◽  
Abolfazl Keshavarzsaleh ◽  
F. A. Mohd Rahim ◽  
Norhanim Zakaria

AbstractAlthough success is a word that encapsulates a general and wide idea and it is challenging to provide a definite and a consensus definition from all individuals concerned, for many years, there has been a growing interest in identification of the success factors and the relationship with project success. In this research, the main objective investigates the relationship between top management, project mission, personnel, communication and Schedule/Plan and project success in construction industry in Malaysia. A survey was conducted among Managers and Employees of construction companies registered with Construction Industry Development Board (CIDB) of Malaysia and the correlation and regression analysis was carried out in order to test the hypotheses of the study. Key areas are now offered that practitioners and academics should further explore to contribute to the knowledge body on project success and to explore in more details which factors affect project success in construction industry in Malaysia.


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