From industry 4.0 to construction 4.0: Barriers to the digital transformation of engineering and construction sectors

Wang, K; Guo, F; Zhang, C and Schaefer, D (2024) From industry 4.0 to construction 4.0: Barriers to the digital transformation of engineering and construction sectors. Engineering, Construction and Architectural Management, 31(1), pp. 136-158. ISSN 0969-9988

Abstract

Purpose: The purpose of this study is to systematically identify, assess, and categorize the barriers to digital transformation (DT) in the engineering and construction sectors, and thus to better understand the impact and how these sectors might be overcome. Design/methodology/approach: This study adopted a sequential mixed qualitative and quantitative data collection and analysis approach. DT barriers were first identified from relevant literature and verified by an expert panel. Then, a questionnaire survey assessing the impacts of the identified DT barriers was distributed to construction professionals in China, and 192 valid responses were retrieved. Further, the data obtained were analyzed using ranking analysis, exploratory factor analysis (EFA), and partial least squares-structural equation modeling (PLS-SEM). Findings: Based on the ranking analysis, the top three barriers are “lack of industry-specific standards and laws,” “lack of clear vision, strategy and direction for DT,” and “lack of support from top management for DT.” EFA enabled the grouping of the 26 barriers into 3 categories: (1) lack of laws and regulations (LLR), (2) lack of support and leadership (LSL), and (3) lack of resources and professionals (LRP). The PLS-SEM analysis revealed that LLR, LSL, and LRP were found to have significant negative impacts on DT. Originality/value: These findings contribute to the body of knowledge on DT in the construction industry and help construction firms and government bodies improve the understanding of these barriers to DT and put forward relevant policies and incentives, thus seizing the DT benefits as a way to enhance construction project management.

Item Type: Article
Uncontrolled Keywords: barrier; China; construction 4.0; digital transformation; exploratory factor analysis; partial least squares structural equation modeling
Index terms: transformation, industry 4.0, construction 4.0, construction industry, construction professional, construction project management, strategy, structural equation modelling, construction firm, survey, exploratory factor analysis, China, partial least square, body of knowledge, construction sector, methodology, top management, regulation, questionnaire
Subjects: data collection methods, business, digital engineering, organization, technology adoption, knowledge management, management, research methods, Geography, professional development, project management theory and practice, industry analysis, political science, statistical analysis
Topics: Project Management, Geographical Context, Research Practice, Information Management, Business Strategy, Governance, Digital Applications, Organizational Design
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