Factors affecting the performance of construction industry during the COVID-19 pandemic: A case study in Turkey

Gumusburun Ayalp, G and Çivici, T (2023) Factors affecting the performance of construction industry during the COVID-19 pandemic: A case study in Turkey. Engineering, Construction and Architectural Management, 30(8), pp. 3160-3202. ISSN 0969-9988

Abstract

Purpose: The construction industry is a crucial industry for national development worldwide. Because the construction industry is tied to national and international economic activities, the COVID-19 outbreak has limited construction projects. Therefore, this study investigates the most influential factors regarding COVID-19 and their effects on the construction industry. Design/methodology/approach: The potential impacts of COVID-19 on the construction industry were identified through a realistic literature review and interviews with professionals. A questionnaire was distributed via e-mail to architects, civil engineers and contractors who play vital roles during the construction processes. The data were analysed using SPSS 22 and LISREL 8.7 software to quantify the most influential pandemic-related factors faced by the construction industry. Findings: Ten influential pandemic factors affecting the construction industry in Turkey were identified. Among them, “increased costs and price escalations due to shortage of raw materials and supply chain disruption” and “challenges with payment and cash flows” were determined as the most influential pandemic factors. Research limitations/implications: This research aims to advance comprehension of pandemic impacts and contributes an incipient assessment framework based on 10 determined pandemic factors. Therefore, contractors, architects and civil engineers may analyse their weaknesses and organise precise priorities so that their firms may remain competitive, thus minimising the adverse impact of COVID-19 and possible forthcoming waves. Originality/value: Few studies have identified the effect of pandemics on the construction industry qualitatively, forcing management to make projections to the current situation. Moreover, no study has provided insights into the influential factors of pandemics using quantitative methods. Therefore, this study comprehensively and quantitatively determines the relevant COVID-19 pandemic factors using exploratory factor analysis (EFA) and utilises confirmatory factor analysis (CFA) and structural equation modelling to present a structural model of how pandemic factors affect the Turkish construction industry.

Item Type: Article
Uncontrolled Keywords: construction industry; COVID-19; pandemic factors; structural equation modelling
Index terms: interview, construction process, cash flow, case study, construction project, confirmatory factor analysis, exploratory factor analysis, civil engineer, literature review, economic activity, methodology, structural equation modelling, influential factor, Turkey, outbreak, construction industry, e-mail, pandemic, architect, COVID-19, quantitative method, questionnaire
Subjects: risk assessment, communication, data collection methods, profession, data analysis and analytics, financial management, health risk and incident analysis, production management, statistical analysis, economic analysis, Geography, industry analysis, building construction, research methods
Topics: Roles and Professions, Business Strategy, Information Management, Geographical Context, Cost Management, Risk Management, Site Management, Research Practice, Health and Safety, Project Management
Descriptive scope: 5 PCTEA

N.B. Descriptive scope is a count of how many of the five facets of empirical research are indicated by the words used in title, abstract and keywords. It is not intended as a judgement on the research; merely a count of the kind of word we would expect to indicate Phenomenon, Concepts, Theoretical framing, Empirical techniques, Analytical techniques. If all five are present, then a code of “5 PCTEA” will indicate this. If you feel the coding for this record is questionable, we welcome discussion around the terms we matched or the way we categorized them. The facet you would expect may not be coded, or a facet may be coded inappropriately. This can also bear on a larger question, of which facets should be treated as defining in construction management research. Please get in touch, and we will look at it. More details here