Measuring construction industry competitiveness: A holistic approach

The link between competitiveness and sustained prosperity of a nation, industry or firm, is a well established argument and serves as the basis for making policy decisions and directing strategic change. The importance of construction industry competitiveness is currently receiving considerable attention from countries such as Finland, Sweden and the UK. This paper critically reviews the existing measures of competitiveness, challenges productivity and profitability as the dominant measures of construction industry competitiveness and introduces a more holistic set of measures that addresses the needs of investors, employees, clients and overall society. The research also reports upon the application of this more holistic set of measures for measuring competitiveness and presents results for the Swedish construction industry. The paper principally sets out to present the preliminary findings of an ongoing research project, which will eventually compare the competitiveness of the Swedish construction industry with that of Finland and the UK.

The construction industry and its resources: a research agenda

The desirable coverage of the journal is considered including the need to focus on research which can lead to positive action. Criteria for establishing the desirability of research projects are proposed and these are then applied first, to four broad issues and, secondly, to the inputs and other requirements for a well functioning industry. Some conclusions are drawn as to the research most likely to enable action to be taken to improve the industry. It is found that certain other difficulties can sometimes be dealt with by experimentation with actual projects or, where there is consensus on desirable action, by bringing pressure to bear on those able to initiate change.

Developing a system for assessing the costs associated with different procurement routes in the construction industry

In developing techniques for monitoring the costs associated with different procurement routes, the central task is disentangling the various project costs incurred by organizations taking part in construction projects. While all firms are familiar with the need to analyse their own costs, it is unusual to apply the same kind of analysis to projects. The purpose of this research is to examine the claims that new, ways of working such as strategic alliancing and partnering bring positive business benefits. This requires that costs associated with marketing, estimating, pricing, negotiation of terms, monitoring of performance and enforcement of contract are collected for a cross-section of projects under differing arrangements, and from those in the supply, chain from clients to consultants, contractors, subcontractors and suppliers. Collaboration with industrial partners forms the basis for developing a research instrument, bused on time sheets, which will be relevant for all those taking part in the work. The signs are that costs associated with,with tendering are highly variable, 1-15%, depending upon what precisely, is taken into account. The research to date reveals that there are mechanisms for measuring the costs of transactions and these will generate useful data for subsequent analysis.