Pub Date : 2023-03-26DOI: 10.1080/01446193.2023.2192040
Pekka Rajala, Antti Ylä-Kujala, Tiina Sinkkonen, Timo Kärri
Abstract The importance of renovations is widely recognized, for example, due to renovation backlogs in the developed countries. The urbanization megatrend, among many other factors, is still increasing the need for renovations in the long run. One approach to review the renovation issue is the profitability of the companies that will tackle the increasing demand in the sector. By applying mainly quantitative methods, using the 15-year timeframe (2005–2019) and earnings before interest, taxes, depreciation, and amortization (EBITDA) and return on assets (ROA) as measures, this study reviewed the profitability of the building renovation (BR) companies from two perspectives: how does focusing on certain special services (specialized BR) fare compared to focusing on a wide range of services (wide BR) and what are the profitability differences among specialized BR companies? The results show that, when reviewing the research timeframe in total, there are no differences in profitability between wide BR and specialized BR companies. However, an annual review reveals that specialized BR companies are profitability-wise more vulnerable to economic cycles. Among the specialized BR companies, there are several differences in profitability; classically, specialization in a niche market with a deliberate customer base and low competition level is gainful. The research provides new information about an unresearched area encouraging companies to re-think their strategic choices considering service specialization and performance.
{"title":"Building renovation business: the effects of specialization on profitability","authors":"Pekka Rajala, Antti Ylä-Kujala, Tiina Sinkkonen, Timo Kärri","doi":"10.1080/01446193.2023.2192040","DOIUrl":"https://doi.org/10.1080/01446193.2023.2192040","url":null,"abstract":"Abstract The importance of renovations is widely recognized, for example, due to renovation backlogs in the developed countries. The urbanization megatrend, among many other factors, is still increasing the need for renovations in the long run. One approach to review the renovation issue is the profitability of the companies that will tackle the increasing demand in the sector. By applying mainly quantitative methods, using the 15-year timeframe (2005–2019) and earnings before interest, taxes, depreciation, and amortization (EBITDA) and return on assets (ROA) as measures, this study reviewed the profitability of the building renovation (BR) companies from two perspectives: how does focusing on certain special services (specialized BR) fare compared to focusing on a wide range of services (wide BR) and what are the profitability differences among specialized BR companies? The results show that, when reviewing the research timeframe in total, there are no differences in profitability between wide BR and specialized BR companies. However, an annual review reveals that specialized BR companies are profitability-wise more vulnerable to economic cycles. Among the specialized BR companies, there are several differences in profitability; classically, specialization in a niche market with a deliberate customer base and low competition level is gainful. The research provides new information about an unresearched area encouraging companies to re-think their strategic choices considering service specialization and performance.","PeriodicalId":51389,"journal":{"name":"Construction Management and Economics","volume":"41 1","pages":"687 - 702"},"PeriodicalIF":3.4,"publicationDate":"2023-03-26","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"42126104","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":0,"RegionCategory":"","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}
Pub Date : 2023-03-20DOI: 10.1080/01446193.2023.2189278
Sina Moradi, Piia Sormunen
Abstract The phenomenon of waste in the construction industry has received considerable attention from the project professionals since the emergence of lean construction. In the research community, however, identifying causes of waste together with waste detection and elimination in the context of construction have been addressed in a limited manner. Moreover, there are very few studies, if any, which have tried to revisit the concept of waste ontologically and to look into the causes of waste through the lens of their relation to other elements in construction projects such as delivery elements and lifecycle phases. Therefore, this study aims to fill this knowledge gap through developing a novel conceptualization of waste and exploring causes of waste in construction projects to reveal their connection to various project attributes. To do so, a systematic literature study was conducted through which relevant studies were located and analysed to achieve the purposes of this study. The findings propose a novel conceptualization of waste and value based on their overlooked components. Moreover, the results present a model which reveals the connection between the identified causes of waste and project attributes (life cycle phases, relevant party, project delivery element, and waste categories in general). The obtained results can be insightful for project practitioners and the research community to reach in-depth understanding of the waste concept.
{"title":"Revisiting the concept of waste and its causes in construction from analytical and conceptual perspectives","authors":"Sina Moradi, Piia Sormunen","doi":"10.1080/01446193.2023.2189278","DOIUrl":"https://doi.org/10.1080/01446193.2023.2189278","url":null,"abstract":"Abstract The phenomenon of waste in the construction industry has received considerable attention from the project professionals since the emergence of lean construction. In the research community, however, identifying causes of waste together with waste detection and elimination in the context of construction have been addressed in a limited manner. Moreover, there are very few studies, if any, which have tried to revisit the concept of waste ontologically and to look into the causes of waste through the lens of their relation to other elements in construction projects such as delivery elements and lifecycle phases. Therefore, this study aims to fill this knowledge gap through developing a novel conceptualization of waste and exploring causes of waste in construction projects to reveal their connection to various project attributes. To do so, a systematic literature study was conducted through which relevant studies were located and analysed to achieve the purposes of this study. The findings propose a novel conceptualization of waste and value based on their overlooked components. Moreover, the results present a model which reveals the connection between the identified causes of waste and project attributes (life cycle phases, relevant party, project delivery element, and waste categories in general). The obtained results can be insightful for project practitioners and the research community to reach in-depth understanding of the waste concept.","PeriodicalId":51389,"journal":{"name":"Construction Management and Economics","volume":"41 1","pages":"621 - 633"},"PeriodicalIF":3.4,"publicationDate":"2023-03-20","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"43640663","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":0,"RegionCategory":"","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}
Pub Date : 2023-03-13DOI: 10.1080/01446193.2023.2187071
S. Zhou, Luigi Mosca, J. Whyte
Abstract Firms modularize as they move into industrialized construction. Prior research highlights the importance of their modularization strategies, arguing that firms can either build the competence for modularization internally or can source them externally. To understand what shapes a firm’s choice to use external competences in its modularization strategy, we studied three leading construction firms. In this multiple case study, Alpha, Beta and Gamma are leaders in Asian markets, using reinforced concrete solutions in high-rise industrialized construction. Where external competences are available, our analyses show the work firms do to make them reliable and that their choice to use external competences is shaped by their reliability. Alpha modularized in a context with little available external competences, so it built new competences in-house; Beta chose to use the externally available manufacturing and assembly competences, using standards, remote monitoring and control of product architectures to make them reliable for their use in modularization; Gamma had available competences in the external context and initially sought to use them, but reliability concerns led to it modularizing by acquiring the firms to bring these competences in-house. Our contribution is to show how ensuring the reliability of external competences shapes modularization strategies. Further, we have identified actions that firms can adopt to make external competences reliable through: (1) use of international standards, (2) quality control procedures, (3) control of product architectures, and 4) acquisition of external competences. We provide implications for practitioners and policy makers seeking to transition to industrialized construction; and discuss new areas for research.
{"title":"How the reliability of external competences shapes the modularization strategies of industrialized construction firms","authors":"S. Zhou, Luigi Mosca, J. Whyte","doi":"10.1080/01446193.2023.2187071","DOIUrl":"https://doi.org/10.1080/01446193.2023.2187071","url":null,"abstract":"Abstract Firms modularize as they move into industrialized construction. Prior research highlights the importance of their modularization strategies, arguing that firms can either build the competence for modularization internally or can source them externally. To understand what shapes a firm’s choice to use external competences in its modularization strategy, we studied three leading construction firms. In this multiple case study, Alpha, Beta and Gamma are leaders in Asian markets, using reinforced concrete solutions in high-rise industrialized construction. Where external competences are available, our analyses show the work firms do to make them reliable and that their choice to use external competences is shaped by their reliability. Alpha modularized in a context with little available external competences, so it built new competences in-house; Beta chose to use the externally available manufacturing and assembly competences, using standards, remote monitoring and control of product architectures to make them reliable for their use in modularization; Gamma had available competences in the external context and initially sought to use them, but reliability concerns led to it modularizing by acquiring the firms to bring these competences in-house. Our contribution is to show how ensuring the reliability of external competences shapes modularization strategies. Further, we have identified actions that firms can adopt to make external competences reliable through: (1) use of international standards, (2) quality control procedures, (3) control of product architectures, and 4) acquisition of external competences. We provide implications for practitioners and policy makers seeking to transition to industrialized construction; and discuss new areas for research.","PeriodicalId":51389,"journal":{"name":"Construction Management and Economics","volume":"41 1","pages":"608 - 619"},"PeriodicalIF":3.4,"publicationDate":"2023-03-13","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"49072023","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":0,"RegionCategory":"","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}
Pub Date : 2023-02-27DOI: 10.1080/01446193.2023.2181980
P. Ballesteros-Pérez, M. Skitmore, A. Cerezo-Narváez, M. Otero-Mateo, Andrés Pastor-Fernández
Abstract Gates’ (1967) bidding model was one of the earliest proposed for construction bidding. Its most celebrated formula allows for calculating the probability of any bidder submitting the lowest bid when competing against several known competitors. This model has been shown to outperform many recent bidding models. However, it also suffers from important limitations that keep it from being applied in wider contexts. In this paper, we overcome two of such limitations. First, we extend Gates’ model to calculate the probability of a bidder ending in any position other than the first (lowest). Second, we propose an approach for extrapolating the probabilities of all bidders underbidding each other, even in those situations of limited access to historical bidding information. Overcoming these limitations significantly enhances Gates’ model in two ways. First, it allows anticipating the probabilities of winning an auction in best value auctions where bidders who submitted a competitive but not necessarily the lowest bid can still win. Second, our extension allows applying Gates’ formula in situations of incomplete information. This is especially interesting when some bidders have not met in previous auctions and there is no information from them individually underbidding each other.
{"title":"Gates’ bidding model (revisited)","authors":"P. Ballesteros-Pérez, M. Skitmore, A. Cerezo-Narváez, M. Otero-Mateo, Andrés Pastor-Fernández","doi":"10.1080/01446193.2023.2181980","DOIUrl":"https://doi.org/10.1080/01446193.2023.2181980","url":null,"abstract":"Abstract Gates’ (1967) bidding model was one of the earliest proposed for construction bidding. Its most celebrated formula allows for calculating the probability of any bidder submitting the lowest bid when competing against several known competitors. This model has been shown to outperform many recent bidding models. However, it also suffers from important limitations that keep it from being applied in wider contexts. In this paper, we overcome two of such limitations. First, we extend Gates’ model to calculate the probability of a bidder ending in any position other than the first (lowest). Second, we propose an approach for extrapolating the probabilities of all bidders underbidding each other, even in those situations of limited access to historical bidding information. Overcoming these limitations significantly enhances Gates’ model in two ways. First, it allows anticipating the probabilities of winning an auction in best value auctions where bidders who submitted a competitive but not necessarily the lowest bid can still win. Second, our extension allows applying Gates’ formula in situations of incomplete information. This is especially interesting when some bidders have not met in previous auctions and there is no information from them individually underbidding each other.","PeriodicalId":51389,"journal":{"name":"Construction Management and Economics","volume":"41 1","pages":"576 - 586"},"PeriodicalIF":3.4,"publicationDate":"2023-02-27","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"41391924","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":0,"RegionCategory":"","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}
Pub Date : 2023-02-24DOI: 10.1080/01446193.2023.2181367
Susanna Hedborg, Lilly Rosander
{"title":"Self-organizing in urban development: developers coordinating between construction projects","authors":"Susanna Hedborg, Lilly Rosander","doi":"10.1080/01446193.2023.2181367","DOIUrl":"https://doi.org/10.1080/01446193.2023.2181367","url":null,"abstract":"","PeriodicalId":51389,"journal":{"name":"Construction Management and Economics","volume":" ","pages":""},"PeriodicalIF":3.4,"publicationDate":"2023-02-24","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"43930834","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":0,"RegionCategory":"","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}
Pub Date : 2023-02-06DOI: 10.1080/01446193.2023.2171450
Qinjun Liu, Yingbin Feng, K. London, P. Zhang
Abstract Existing coping theories typically position coping as a reactive approach to managing mental health. Intercultural coping was proposed to positively deal with stressors and alleviate the negative impacts of stressors on mental health outcomes in multicultural workplaces. This study aims to investigate the role of intercultural coping strategies in influencing the relationships between stressors and mental health outcomes in multicultural construction workplaces. Data were collected from 252 construction workers in Australia using online questionnaire survey. Data were analysed using the structural equation modelling (SEM) technique. The results revealed the moderating effect of positive coping strategies on the stressor-psychological outcome relationship. A worker who is open to cultural dissimilarity tends to suffer less the adverse effect of cultural stressors on mental health. A worker with cognitive complexity is less susceptible to the adverse impact of work stressors on mental health. Whereas, a worker who is performance-oriented is more vulnerable to the impact of work stressors on mental health. This study may contribute to the existing body of work by uncovering the moderating role of positive coping strategies and providing targeted and effective coping strategies in multicultural construction workplaces.
{"title":"Coping strategies for work and cultural stressors in multicultural construction workplaces: a study in Australia","authors":"Qinjun Liu, Yingbin Feng, K. London, P. Zhang","doi":"10.1080/01446193.2023.2171450","DOIUrl":"https://doi.org/10.1080/01446193.2023.2171450","url":null,"abstract":"Abstract Existing coping theories typically position coping as a reactive approach to managing mental health. Intercultural coping was proposed to positively deal with stressors and alleviate the negative impacts of stressors on mental health outcomes in multicultural workplaces. This study aims to investigate the role of intercultural coping strategies in influencing the relationships between stressors and mental health outcomes in multicultural construction workplaces. Data were collected from 252 construction workers in Australia using online questionnaire survey. Data were analysed using the structural equation modelling (SEM) technique. The results revealed the moderating effect of positive coping strategies on the stressor-psychological outcome relationship. A worker who is open to cultural dissimilarity tends to suffer less the adverse effect of cultural stressors on mental health. A worker with cognitive complexity is less susceptible to the adverse impact of work stressors on mental health. Whereas, a worker who is performance-oriented is more vulnerable to the impact of work stressors on mental health. This study may contribute to the existing body of work by uncovering the moderating role of positive coping strategies and providing targeted and effective coping strategies in multicultural construction workplaces.","PeriodicalId":51389,"journal":{"name":"Construction Management and Economics","volume":"41 1","pages":"537 - 553"},"PeriodicalIF":3.4,"publicationDate":"2023-02-06","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"42851302","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":0,"RegionCategory":"","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}
Pub Date : 2023-02-01DOI: 10.1080/01446193.2023.2172195
F. Sherratt, A. Raiden
Abstract The “New View” of occupational safety is gaining increased attention within both the construction industry and its associated academe. With the potential to overcome the current plateau in accident rates and support the further enhancement of occupational safety on sites, the “New View” offers an alternative approach to more traditional command driven safety management and instead takes a sociotechnical perspective, valorising the workers and acknowledging their contributions to the system in the form of adaptability and resilience. Yet empirical research of “New View” thinking and practice within construction is lacking. Meaningful research in this space demands non-positivistic approaches able to reveal nuanced and local insights able to inform and illuminate “New View” practices and the contexts in which they could potentially be implemented on sites. Here, we make a methodological contribution with the aim to advance empirical research in this space. Social practice theory is employed and evaluated as an approach able to make such a useful contribution. Through the exploration and explication of the block of “site safety practice,” we demonstrate the utility of this theoretical approach for “New View” researchers, whilst also making a fundamental contribution to knowledge in the form of insights of the local and situated contexts, in which “New View” thinking could be practically applied.
{"title":"Taking a new view for researching occupational safety in construction: site safety practice","authors":"F. Sherratt, A. Raiden","doi":"10.1080/01446193.2023.2172195","DOIUrl":"https://doi.org/10.1080/01446193.2023.2172195","url":null,"abstract":"Abstract The “New View” of occupational safety is gaining increased attention within both the construction industry and its associated academe. With the potential to overcome the current plateau in accident rates and support the further enhancement of occupational safety on sites, the “New View” offers an alternative approach to more traditional command driven safety management and instead takes a sociotechnical perspective, valorising the workers and acknowledging their contributions to the system in the form of adaptability and resilience. Yet empirical research of “New View” thinking and practice within construction is lacking. Meaningful research in this space demands non-positivistic approaches able to reveal nuanced and local insights able to inform and illuminate “New View” practices and the contexts in which they could potentially be implemented on sites. Here, we make a methodological contribution with the aim to advance empirical research in this space. Social practice theory is employed and evaluated as an approach able to make such a useful contribution. Through the exploration and explication of the block of “site safety practice,” we demonstrate the utility of this theoretical approach for “New View” researchers, whilst also making a fundamental contribution to knowledge in the form of insights of the local and situated contexts, in which “New View” thinking could be practically applied.","PeriodicalId":51389,"journal":{"name":"Construction Management and Economics","volume":"41 1","pages":"554 - 575"},"PeriodicalIF":3.4,"publicationDate":"2023-02-01","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"49410100","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":0,"RegionCategory":"","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}
Pub Date : 2023-01-28DOI: 10.1080/01446193.2023.2169316
Qiuwen Ma, S. Cheung, Shan Li
Abstract The major benefit of integrated project delivery (IPD) is the involvement of stakeholders at the early stage of the project so that they can all contribute to project development. They would also work cooperatively towards the project goals that they have jointly developed. Moreover, IPD has not taken the market as promised by the aforementioned benefits due to two principal concerns. First, the conventional risk/reward sharing that has been developed for the principal-agent type of relationship has been used. Second, the reward has not been tailored to reflect the stochastic nature of the risks involved. This study proposes a novel risk/reward sharing framework that would alleviate these two concerns. Employing stochastic cooperative game theory and prospect theory as conceptual lenses, a more realistic risk/reward sharing framework is developed for IPD projects. The use of Pareto optimality enables the proposed framework to arrange incentives optimally with due regard to the risk propensity of the contracting parties. Setting the notional sharing approach as a fair starting point, the framework further introduces transfer payments to ensure fairness and retain optimum sharing at the same time. Both features would facilitate the structuring of multi-win sharing incentive to be incorporated with integrated project delivery. The operation of the proposed framework is illustrated by applying it to a real case. Wider adoption of IPD can be expected when the two principal concerns of IPD arrangements are addressed.
{"title":"Optimum risk/reward sharing framework to incentivize integrated project delivery adoption","authors":"Qiuwen Ma, S. Cheung, Shan Li","doi":"10.1080/01446193.2023.2169316","DOIUrl":"https://doi.org/10.1080/01446193.2023.2169316","url":null,"abstract":"Abstract The major benefit of integrated project delivery (IPD) is the involvement of stakeholders at the early stage of the project so that they can all contribute to project development. They would also work cooperatively towards the project goals that they have jointly developed. Moreover, IPD has not taken the market as promised by the aforementioned benefits due to two principal concerns. First, the conventional risk/reward sharing that has been developed for the principal-agent type of relationship has been used. Second, the reward has not been tailored to reflect the stochastic nature of the risks involved. This study proposes a novel risk/reward sharing framework that would alleviate these two concerns. Employing stochastic cooperative game theory and prospect theory as conceptual lenses, a more realistic risk/reward sharing framework is developed for IPD projects. The use of Pareto optimality enables the proposed framework to arrange incentives optimally with due regard to the risk propensity of the contracting parties. Setting the notional sharing approach as a fair starting point, the framework further introduces transfer payments to ensure fairness and retain optimum sharing at the same time. Both features would facilitate the structuring of multi-win sharing incentive to be incorporated with integrated project delivery. The operation of the proposed framework is illustrated by applying it to a real case. Wider adoption of IPD can be expected when the two principal concerns of IPD arrangements are addressed.","PeriodicalId":51389,"journal":{"name":"Construction Management and Economics","volume":"41 1","pages":"519 - 535"},"PeriodicalIF":3.4,"publicationDate":"2023-01-28","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"44974183","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":0,"RegionCategory":"","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}
Pub Date : 2023-01-23DOI: 10.1080/01446193.2023.2167218
A. Tezel, L. Koskela
Abstract With a rich off-site construction (OSC) experience accumulated over the last two centuries, the United Kingdom (UK) is looking up to OSC to deliver its critical infrastructure projects in the next decade. Highway projects are good fits for OSC with their project characteristics. However, the extant OSC literature for highways is mostly about OSC elements’ design performance. Also, the OSC literature is predominantly building sector focused. Addressing this gap, the paper presents the findings of a research project, sponsored by the UK’s National Highways, which aims at understanding what needs to be done to improve the current OSC condition for highways projects in the UK from a management, technical and technological perspective. After a detailed literature review, 20 in-depth interviews with subject experts were conducted. The initial findings were validated through five highways projects as cases and then ranked by two focus groups using the Delphi method. Alongside revealing the current OSC condition, 95 suggestions (43 management-related, 23 technical opportunities, and 29 technology-related) were elicited and ranked by their impact potential. Some of the high-potential suggestions are developing a collaborative OSC decision making framework, a product design mindset, improving OSC digital product libraries, creating mobile OSC factories, and a design options repository. The findings revealed that many OSC challenges identified in the general or building sector focused OSC discussions exist also in the highways sector. It is recommended that the identified high and medium impact potential suggestions are prioritized by practitioners and policy makers to improve the current OSC condition.
{"title":"Off-site construction in highways projects: management, technical, and technology perspectives from the United Kingdom","authors":"A. Tezel, L. Koskela","doi":"10.1080/01446193.2023.2167218","DOIUrl":"https://doi.org/10.1080/01446193.2023.2167218","url":null,"abstract":"Abstract With a rich off-site construction (OSC) experience accumulated over the last two centuries, the United Kingdom (UK) is looking up to OSC to deliver its critical infrastructure projects in the next decade. Highway projects are good fits for OSC with their project characteristics. However, the extant OSC literature for highways is mostly about OSC elements’ design performance. Also, the OSC literature is predominantly building sector focused. Addressing this gap, the paper presents the findings of a research project, sponsored by the UK’s National Highways, which aims at understanding what needs to be done to improve the current OSC condition for highways projects in the UK from a management, technical and technological perspective. After a detailed literature review, 20 in-depth interviews with subject experts were conducted. The initial findings were validated through five highways projects as cases and then ranked by two focus groups using the Delphi method. Alongside revealing the current OSC condition, 95 suggestions (43 management-related, 23 technical opportunities, and 29 technology-related) were elicited and ranked by their impact potential. Some of the high-potential suggestions are developing a collaborative OSC decision making framework, a product design mindset, improving OSC digital product libraries, creating mobile OSC factories, and a design options repository. The findings revealed that many OSC challenges identified in the general or building sector focused OSC discussions exist also in the highways sector. It is recommended that the identified high and medium impact potential suggestions are prioritized by practitioners and policy makers to improve the current OSC condition.","PeriodicalId":51389,"journal":{"name":"Construction Management and Economics","volume":"41 1","pages":"475 - 499"},"PeriodicalIF":3.4,"publicationDate":"2023-01-23","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"46976732","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":0,"RegionCategory":"","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}
Pub Date : 2023-01-23DOI: 10.1080/01446193.2023.2167219
Nyakundi M. Michieka, Noha H. A. Razek, Richard Gearhart
Abstract The U.S. construction industry has been known to employ workers without a college education and provide adequate compensation make ends meet. Today, job quality in the industry has deteriorated to a level where wages are too low, causing workers to rely on U.S. safety net programs. This may be exacerbated by oil price changes, especially in regions where the oil industry is a significant driver of the economy. In this paper, we investigate the effects of oil price dynamics on real wages in the construction industry. A non-linear ARDL and TAR model are used for the empirical exercise which focusses on six top oil producing counties in the U.S. Long-run findings indicate that a 10% increase in oil price increases construction wages by 1.4, 1.2 and 9.3% in Kern, Weld and McKenzie Counties, respectively. Short run estimates indicate that a positive shock to oil prices increases wages in McKenzie County, North Dakota. Results from the TAR model show that the impact of an expansionary monetary policy to increase investment – and accordingly, increase wages – is diluted when oil prices are below the low oil price threshold.
{"title":"Modelling the impact of oil price changes and investment decisions on construction wages in the U.S.","authors":"Nyakundi M. Michieka, Noha H. A. Razek, Richard Gearhart","doi":"10.1080/01446193.2023.2167219","DOIUrl":"https://doi.org/10.1080/01446193.2023.2167219","url":null,"abstract":"Abstract The U.S. construction industry has been known to employ workers without a college education and provide adequate compensation make ends meet. Today, job quality in the industry has deteriorated to a level where wages are too low, causing workers to rely on U.S. safety net programs. This may be exacerbated by oil price changes, especially in regions where the oil industry is a significant driver of the economy. In this paper, we investigate the effects of oil price dynamics on real wages in the construction industry. A non-linear ARDL and TAR model are used for the empirical exercise which focusses on six top oil producing counties in the U.S. Long-run findings indicate that a 10% increase in oil price increases construction wages by 1.4, 1.2 and 9.3% in Kern, Weld and McKenzie Counties, respectively. Short run estimates indicate that a positive shock to oil prices increases wages in McKenzie County, North Dakota. Results from the TAR model show that the impact of an expansionary monetary policy to increase investment – and accordingly, increase wages – is diluted when oil prices are below the low oil price threshold.","PeriodicalId":51389,"journal":{"name":"Construction Management and Economics","volume":"41 1","pages":"500 - 518"},"PeriodicalIF":3.4,"publicationDate":"2023-01-23","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"46782962","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":0,"RegionCategory":"","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}
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