Analysing strategic alliances in building construction

Building construction is a highly competitive and risky business. This competitiveness is compounded where conflicting objectives amongst contracting and subcontracting firms sets the stage for an adversarial and potentially destructive approach. There is a need for change in the construction industry—not only to a more cooperative approach to build mutual trust, respect and good faith—but also from a confrontationist and adversarial attitude to a harmonious relationship. It is necessary to change the culture to create a win-win situation. “Strategic Alliances” is one such concept. A strategic alliance is a cooperative arrangement between two or more organisations that forms part of their overall strategies, and contributes to achieving their major goals and objectives. This paper begins with an overview of the Australian building construction industry, then reviews the literature and describes an analysis framework comprising six attributes of strategic alliances—trust, commitment, interdependence, cooperation, communication, and joint problem solving. Given the trend towards greater emphasis on broader contracting firm performance criteria, indicators are proposed as a component of the tender evaluation process for public works.

Strategic alliances in building construction : a tender evaluation tool for the public sector

Building construction is a highly competitive and risky business. This competitiveness is compounded where conflicting objectives amongst contracting and subcontracting firms set the stage for an adversarial and potentially destructive business relationship. Clients, especially those from the public sector, need broader tender evaluation criteria to complement the traditional focus on bid price. There is also a need for change in the construction industry—not only to a more cooperative approach between the constructing parties—but also from a confrontationist attitude to a more harmonious relationship between all stakeholders in providing constructed facilities. A strategic alliance is a cooperative relationship between two or more organisations that forms part of their overall strategies, and contributes to achieving their major goals and objectives. Strategic alliances in building construction may provide a useful tool to assist public sector construction managers evaluate tenders and concurrently encourage more cooperative relationships amongst construction stakeholders. This paper begins with an overview of the Australian building construction industry, then reviews the existing strategic alliance literature and describes an analysis framework comprising six attributes of strategic alliances for application to construction organisations—trust, commitment, interdependence, cooperation, communication, and joint problem solving. These attributes are currently being used to collect data from 70 building construction firms in Queensland to assess their respective levels of strategic alliance. Given the trend towards broader indicators of construction firm performance, these attributes are proposed as a tool for use in the tender evaluation process for public works.

Project alliancing and information technology in building construction : the National Museum of Australia

The construction industry demands priority from all governments because it impacts economically and socially on all citizens. A number of recent studies have identified inefficiencies in the Australian construction industry by modelling the building process. A culture of reform supported by industry and government is now emerging in the industry – one in which alternate forms of project delivery are being trialed. The Australian Building and Construction Industry Action Agenda brought together industry and government to identify actions necessary to lift Australia’s innovative and knowledge creating capacity at the sector level. A central activity under this Action Agenda was dissemination of information relating to industry best practice initiatives in innovation, project delivery and the use of information technology. Government and industry identified project alliance contracting and more advanced information technology as means to increase efficiency in construction as part of a new innovative procurement environment.

Study of ICT adoption for building project management in the Indian construction industry

Building project management requires effective coordination and collaboration between multiple project members. It can be achieved through real time communication flow between all. In present scenario, it can be achieved through adoption of Information and Communication Technologies (ICT). Construction industry primarily comprises small and medium enterprises (SMEs). Also, ICT adoption has been slow in the industry.---------- Research is required to assess the factors that affect ICT adoption at the three levels of industry, organization and people, with focus on SMEs. This paper discusses a component of the research undertaken to study these factors and issues in the context of Indian construction industry. A questionnaire survey was conducted and through quantitative data analysis the extent of adoption of formal Project Management processes, ICT adoption for these processes and factors including perception based factors affecting ICT adoption were studied. Results of data analysis includes identification of issues that require action at the three study levels.---------- The results can be generalized for other countries with due considerations, specifically for countries where the construction industry is similar to Indian construction industry in terms of working methodologies or for large countries.

Development of the sustainable building and construction products industry in Australia

This paper draws on a major study the authors conducted for the Australian Government in 2009. It focuses on the diffusion issues surrounding the uptake of sustainable building and construction products in Australia. Innovative sustainable products can minimise the environmental impact during construction, while maximising asset performance, durability and re-use. However, there are significant challenges faced by designers and clients in the selection of appropriate sustainable products in consideration of the integrated design solution, including overall energy efficiency, water conservation, maintenance and durability, low-impact use and consumption. The paper is a review of the current state of sustainable energy and material product innovations in Australia. It examines the system dynamics surrounding these innovations as well as the drivers and obstacles to their diffusion throughout the Australian construction industry. The case product types reviewed comprise: solar energy technology, small wind turbines, advanced concrete technology, and warm-mixed asphalt. The conclusions highlight the important role played by Australian governments in facilitating improved adoption rates. This applies to governments in their various roles, but particularly as clients/owners, regulators, and investors in education, training, research and development. In their role as clients/owners, the paper suggests that government can better facilitate innovation within the construction industry by adjusting specification policies to encourage the uptake of sustainable products. In the role as regulators, findings suggest governments should be encouraging the application of innovative finance options and positive end-user incentives to promote sustainable product uptake. Also, further education for project-based firms and the client/end users about the long-term financial and environmental benefits of innovative sustainable products is required. As more of the economy’s resources are diverted away from business-as-usual and into the use of sustainable products, some project-based firms may face short-term financial pain in re-shaping their businesses. Government policy initiatives can encourage firms make the necessary adjustments to improve innovative sustainable product diffusion throughout the industry.

Building information modeling in the Australian architecture engineering and construction industry

Building Information Modeling (BIM) is a modern approach to the design, documentation, delivery, and life cycle management of buildings through the use of project information databases coupled with object-based parametric modeling. BIM has the potential to revolutionize the Architecture, Engineering and Construction (AEC) industry in terms of the positive impact it may have on information flows, working relationships between project participants from different disciplines and the resulting benefits it may achieve through improvements to conventional methods. This chapter reviews the development of BIM, the extent to which BIM has been implemented in Australia, and the factors which have affected the up-take of BIM. More specifically, the objectives of this chapter are to investigate the adoption of BIM in the Australian AEC industry and factors that contribute towards the uptake (or non uptake) of BIM. These objectives are met by a review of the related literature in the first instance, followed by the presentation of the results of a 2007 postal questionnaire survey and telephone interviews of a random sample of professionals in the Australian AEC industry. The responses suggest that less than 25 percent of the sample had been involved in BIM – rather less than might be expected from reading the literature. Also, of those who have been involved with BIM, there has been very little interdisciplinary collaboration. The main barriers impeding the implementation of BIM widely across the Australian AEC industry are also identified. These were found to be primarily a lack of BIM expertise, lack of awareness and resistance to change. The benefits experienced as a result of using BIM are also discussed. These include improved design consistency, better coordination, cost savings, higher quality work, greater productivity and increased speed of delivery. In terms of conclusion, some suggestions are made concerning the underlying practical reasons for the slow up-take of BIM and the successes for those early adopters. Prospects for future improvement are discussed and proposals are also made for a large scale worldwide comparative study covering industry-wide participants

Ontology-based feature modeling for construction information extraction from a building information model

A building information model (BIM) provides a rich representation of a building's design. However, there are many challenges in getting construction-specific information from a BIM, limiting the usability of BIM for construction and other downstream processes. This paper describes a novel approach that utilizes ontology-based feature modeling, automatic feature extraction based on ifcXML, and query processing to extract information relevant to construction practitioners from a given BIM. The feature ontology generically represents construction-specific information that is useful for a broad range of construction management functions. The software prototype uses the ontology to transform the designer-focused BIM into a construction-specific feature-based model (FBM). The formal query methods operate on the FBM to further help construction users to quickly extract the necessary information from a BIM. Our tests demonstrate that this approach provides a richer representation of construction-specific information compared to existing BIM tools.

Querying a building information model for construction-specific spatial information

The design and construction community has shown increasing interest in adopting building information models (BIMs). The richness of information provided by BIMs has the potential to streamline the design and construction processes by enabling enhanced communication, coordination, automation and analysis. However, there are many challenges in extracting construction-specific information out of BIMs. In most cases, construction practitioners have to manually identify the required information, which is inefficient and prone to error, particularly for complex, large-scale projects. This paper describes the process and methods we have formalized to partially automate the extraction and querying of construction-specific information from a BIM. We describe methods for analyzing a BIM to query for spatial information that is relevant for construction practitioners, and that is typically represented implicitly in a BIM. Our approach integrates ifcXML data and other spatial data to develop a richer model for construction users. We employ custom 2D topological XQuery predicates to answer a variety of spatial queries. The validation results demonstrate that this approach provides a richer representation of construction-specific information compared to existing BIM tools.

Reasoning about component similarity in building product models from the construction perspective

Identifying the design features that impact construction is essential to developing cost effective and constructible designs. The similarity of building components is a critical design feature that affects method selection, productivity, and ultimately construction cost and schedule performance. However, there is limited understanding of what constitutes similarity in the design of building components and limited computer-based support to identify this feature in a building product model. This paper contributes a feature-based framework for representing and reasoning about component similarity that builds on ontological modelling, model-based reasoning and cluster analysis techniques. It describes the ontology we developed to characterize component similarity in terms of the component attributes, the direction, and the degree of variation. It also describes the generic reasoning process we formalized to identify component similarity in a standard product model based on practitioners' varied preferences. The generic reasoning process evaluates the geometric, topological, and symbolic similarities between components, creates groupings of similar components, and quantifies the degree of similarity. We implemented this reasoning process in a prototype cost estimating application, which creates and maintains cost estimates based on a building product model. Validation studies of the prototype system provide evidence that the framework is general and enables a more accurate and efficient cost estimating process.