Public policy implications of construction innovation research

This report undertakes an exploratory analysis of Construction Innovation research projects in order to answer the question “What are the public policy implications of Construction Innovation research?”

A primer in public policy for the construction industry

The purpose of this document is to introduce non-specialists to the discipline and practice of public policy, particularly in relation to the construction sector in Australia. In order to do this, a brief overview of Australia’s government structure, and some of the main approaches to public policy analysis are outlined. Reference to construction related examples are provided to ensure issues discussed are relevant and understandable to construction professionals. Government is a significant player in the construction industry, and has multiple roles: adjudicator, regulator, constructor, purchaser and client of construction projects. Moreover there are many spheres of government that are typically engaged in construction projects at multiple stages. The machinery of government can be difficult to understand, even for long term public servants. Demystifying the processes within government can help to improve communication and therefore performance in the industry. A better understanding of how policy-making and government policies affect the construction industry will enhance communication and assist construction professionals and academics to understand and work with government. Additionally the document will provide an opportunity to demonstrate the relevance of policy analysis to inquiries of construction policies and regulation.

Barriers and drivers of new public-private infrastructure: sewer mining

The rate of water reform in Australia is gathering pace with Federal and State initiatives promoting a more integrated approach to water management. This approach encompasses a more competitive environment and a greater role for the private sector. There is a growing recognition of the importance of water recycling in these initiatives and the need to provide opportunities for its development. In March 2008 the Productivity Commission published its discussion paper on urban water reform (Productivity Commission, 2008). The paper cited inadequate institutional arrangements for the management of Australian urban water resources and noted the benefits to be gained from a comprehensive public review of urban water management. This development can be supported through the promotion of a sewer mining industry. This industry, offers flexible and innovative solutions to water recycling demands in a variety of situations and structures. In addition it has the capability of satisfying government competition and private sector policy initiatives.

Streamlining local government : evaluating an eGovernment initiative in south east Queensland

Recent initiatives around the world have highlighted the potential for information and communications technology (ICT) to foster better service delivery for businesses. Likewise, ICT has also been applied to government services and is seen to result in improved service delivery, improved citizen participation in government, and enhanced cooperation across government departments and between government departments. The Council of Australian Governments (COAG) (2006) identified local government development assessment (DA) arrangements as a ‘hot spot’ needing specific attention, as the inconsistent policies and regulations between councils impeded regional economic activity. COAG (2006) specifically suggested that trials of various ICT mechanisms be initiated which may well be able to improve DA processes for local government. While the authors have explored various regulatory mechanisms to improve harmonisation elsewhere (Brown and Furneaux 2007), the possibility of ICT being able to enhance consistency across governments is a novel notion from a public policy perspective. Consequently, this paper will explore the utility of ICT initiatives to improve harmonisation of DA across local governments. This paper examines as a case study the recent attempt to streamline Development Assessment (DA) in local governments in South East Queensland. This initiative was funded by the Regulation Reduction Incentive Fund (RRIF), and championed by the South East Queensland (SEQ) Council of Mayors. The Regulation Reduction Incentive Fund (RRIF) program was created by the Australian government with the aim to provide incentives to local councils to reduce red tape for small and medium sized businesses. The funding for the program was facilitated through a competitive merit-based grants process targeted at Local Government Authorities. Grants were awarded to projects which targeted specific areas identified for reform (AusIndustry, 2007), in SEQ this focused around improving DA processes and creating transparency in environmental health policies, regulation and compliance. An important key factor to note with this case study is that it is unusual for an eGovernment initiative. Typically individual government departments undertake eGovernment projects in order to improve their internal performance. The RRIF case study examines the implementation of an eGovernment initiative across 21 autonomous local councils in South East Queensland. In order to move ahead, agreement needed to be reached between councils at the highest level. Having reviewed the concepts of eGovernment and eGovernance, the literature review is undertaken to identify the typical cost and benefits, barriers and enablers of ICT projects in government. The specific case of the RRIF project is then examined to determine if similar costs and benefits, barriers and enablers could be found in the RRIF project. The outcomes of the project, particularly in reducing red tape by increasing harmonisation between councils are explored.

A sustainable model for supporting entrepreneurship in developing countries

Principal Topic Small and micro-enterprises are believed to play a significant part in economic growth and poverty allevition in developing countries. However, there are a range of issues that arise when looking at the support required for local enterprise development, the role of micro finance and sustainability. This paper explores the issues associated with the establishment and resourcing of micro-enterprise develoment and proposes a model of sustainable support of enterprise development in very poor developing economies, particularly in Africa. The purpose of this paper is to identify and address the range of issues raised by the literature and empirical research in Africa, regarding micro-finance and small business support, and to develop a model for sustainable support for enterprise development within a particular cultural and economic context. Micro-finance has become big business with a range of models - from those that operate on a strictly business basis to those that come from a philanthropic base. The models used grow from a range of philosophical and cultural perspectives. Entrepreneurship training is provided around the world. Success is often measured by the number involved and the repayment rates - which are very high, largely because of the lending models used. This paper will explore the range of options available and propose a model that can be implemented and evaluated in rapidly changing developing economies. Methodology/Key Propositions The research draws on entrepreneurial and micro-finance literature and empirical research undertaken in Mozambique, which lies along the Indian ocean sea border of Southern Africa. As a result of war and natural disasters over a prolonged period, there is little industry, primary industries are primitive and there is virtually no infrastructure. Mozambique is ranked as one of the poorest countries in the world. The conditions in Mozambique, though not identical, reflect conditions in many other parts of Africa. A numebr of key elements in the development of enterprises in poor countries are explored including: Impact of micro-finance Sustainable models of micro-finance Education and training Capacity building Support mechanisms Impact on poverty, families and the local economy Survival entrepreneurship versus growth entrepreneurship Transitions to the formal sector. Results and Implications The result of this study is the development of a model for providing intellectual and financial resources to micro-entrepreneurs in poor developing countries in a sustainable way. The model provides a base for ongoing research into the process of entrepreneurial growth in African developing economies. The research raises a numeber of issues regarding sustainability including the nature of the donor/recipient relationship, access to affordable resources, the impact of individual entrepreneurial activity on the local economny and the need for ongoing research to understand the whole process and its impact, intended and unintended.

Sustainable built environmen : barriers to establishing a sustainability charter and commissioner

In August 2005, House of Representatives Standing Committee on Environment and Heritage released the Sustainable Cities report. The Australian Sustainable Built Environment Council (ASBEC) wrote to the Committee endorsing Recommendations 1 to 3, and Recommendation 31. In particular Recommendation 31 states: The committee recommends that, with reference to the Swedish model of environmental objectives, the Australian Government:

BIM – implications for government

As ‘The Architect’s Handbook of Professional Practice’ (cited by Riskus (2007) suggests, Building Information Modelling, or BIM, is “the use of virtual building information models to develop building design solutions, design documentation, and to analyse construction processes”. We would suggest such a definition, while useful, should be extended to include the operational phases of built assets (such as maintenance and decommissioning), and also be applied to the whole area of infrastructure. As a set of technologies, BIM holds promise to deliver benefits for the property, construction, and infrastructure management industries – particularly improved efficiencies and effectiveness through enhanced collaboration at all stages of the construction cycle. There are several important qualifiers, barriers, enablers, and some disadvantages with this suite of technologies. This report outlines the costs and benefits enablers and barriers associated with BIM, and makes suggestions about how these issues may be addressed.

Modelling construction business performance

Searching academic databases for records on ‘business failure’, ‘business distress’ or ‘bankruptcy’ yields a large body of studies on qualitative, empirical, theoretical and simulation aspects. It is a central part of this research to distil from this large quantity of potentially relevant reports and methodologies those which can both flag and predict business failure in the construction industry. An additional search term, such as, ‘construction’, ‘construction industry’ or ‘contractor’ yields a much smaller number of hits, many of which emphasize the construction industry’s distinctive characteristics. We scientists need first to understand the subject of investigation and the environment in which it lives. To do so, an analysis of existing successful and failed approaches to particular research questions is helpful before embarking on new territory. This guides the structure of the following report for we first review papers that specifically report on aspects of business failure in the construction industry followed by, (a) an overview of promising candidates borrowed from other disciplines and industries, and (b) a possible novel approach. An Australian (Queensland) perspective on the topic will also drive this investigation as most of the published research has been applied to the US and UK construction industries.

Literature review

There are many studies that reveal the nature of design thinking and the nature of conceptual design as distinct from detailed or embodiment design. The results can assist in our understanding of how the process of design can be supported and how new technologies can be introduced into the workplace. Existing studies provide limited information about the nature of collaborative design as it takes place on the ground and in the actual working context. How to provide appropriate and effective of support for collaborative design information sharing across companies, countries and heterogeneous computer systems is a key issue. As data are passed between designers and the computer systems they employ, many exchanges are made. These exchanges may be used to establish measures of the benefits that new support systems can bring. Collaboration support tools represent a fast growing section of the commercial software market place and a reasonable range of products are available. Many of them offer significant application to design for the support of distributed meetings by the provision of video and audio communications and the sharing of information, including collaborative sketching. The tools that specifically support 3D models and other very design specific features are less common and many of those are in prototype stages of development. A key question is to find viable ways of combining design information visualisation support with the collaboration support technologies that can be seen today. When collaborating, different views will need to be accessible at different times to all the collaborators. The architects may want to explain some ideas on their model, the structural engineers on their model and so on. However, there are issues of ownership when the structural engineer wants to manipulate the architect’s model and vice versa. The modes of working, synchronous or asynchronous may have a bearing as in a synchronous session there is control of what is happening.

Experimental methodology report

In architectural design and the construction industry, there is insufficient evidence about the way designers collaborate in their normal working environments using both traditional and digital media. It is this gap in empirical evidence that the CRC project, “Team Collaboration in High Bandwidth Virtual Environments” addresses. The project is primarily, but not exclusively, concerned with the conceptual stages of design carried out by professional designers working in different offices. The aim is to increase opportunities for communication and interaction between people in geographically distant locations in order to improve the quality of collaboration. In order to understand the practical implications of introducing new digital tools on working practices, research into how designers work collaboratively using both traditional and digital media is being undertaken. This will involve a series of empirical studies in the work places of the industry partners in the project. The studies of collaboration processes will provide empirical results that will lead to more effective use of virtual environments in design and construction processes. The report describes the research approach, the industry study, the methods for data collection and analysis and the foundation research methodologies. A distinctive aspect is that the research has been devised to enable field studies to be undertaken in a live industrial environment where the participant designers carry out real projects alongside their colleagues and in familiar locations. There are two basic research objectives: one is to obtain evidence about design practice that will inform the architecture and construction industries about the impact and potential benefit of using digital collaboration technologies; the second is to add to long term research knowledge of human cognitive and behavioural processes based on real world data. In order to achieve this, the research methods must be able to acquire a rich and heterogeneous set of data from design activities as they are carried out in the normal working environment. This places different demands upon the data collection and analysis methods to those of laboratory studies where controlled conditions are required. In order to address this, the research approach that has been adopted is ethnographic in nature and case study-based. The plan is to carry out a series of indepth studies in order to provide baseline results for future research across a wider community of user groups. An important objective has been to develop a methodology that will produce valid, significant and transferable results. The research will contribute to knowledge about how architectural design and the construction industry may benefit from the introduction of leading edge collaboration technologies. The outcomes will provide a sound foundation for the production of guidelines for the assessment of high bandwidth tools and their future deployment. The knowledge will form the basis for the specification of future collaboration products and collaboration processes. This project directly addresses the industry-identified focus on cultural change, image, e-project management, and innovative methods.

Generic skills in design teams : literature review

Recent developments in networked three dimensional (3D) virtual worlds, and the proliferation of high bandwidth communications technology, have the potential to dramatically improve collaboration in the construction industry. This research project focuses on the early stages of a construction project in which the models for the project are developed and revised. The project investigates three aspects of collaboration in virtual environments: 1. The processes that enable effective collaboration using high bandwidth information communication technology (ICT); 2. The models that allow for multiple disciplines to share their views in a synchronous virtual environment; 3. The generic skills used by individuals and teams when engaging with high bandwidth information communication technology. The third aspect of the project, listed above, led by the University of Newcastle, explores the domain of People and the extent to which they contribute to the effectiveness of virtual teams. This report relates, primarily, to this aspect.

Generic skills in design teams

Recent developments in networked three dimensional (3D) virtual worlds and the proliferation of high bandwidth communications technology have the potential to dramatically improve collaboration in the construction industry. This research project focuses on the early stages of a design/construction project in which models for a project are developed and revised. We have investigated three aspects of collaboration in virtual environments: 1. The processes that enable effective collaboration using high bandwidth information communication technology (ICT); 2. The models that allow for multiple disciplines to share their views in a synchronous virtual environment; 3. The generic skills used by individuals and teams when engaging with high bandwidth information communication technology.