Improving labour productivity in process construction maintenance and shutdown/turnaround projects

Hwang, B G; Krishnankutty, P; Zhu, L; Caldas, C H; Shounak, A and Mulva, S (2020) Improving labour productivity in process construction maintenance and shutdown/turnaround projects. International Journal of Construction Management, 20(7), pp. 822-836. ISSN 1562-3599

Abstract

Construction labour is a critical cost factor which affects the profitability of petrochemical companies and contractors. Improvement in labour productivity is indispensable for the petrochemical industry to achieve sustainable development. However, the industry lacks consensus in measuring labour productivity in construction, maintenance and shutdown/turnaround projects. This engenders a need for developing productivity improvement practices applicable to all projects. This article proposes productivity improvement solutions based on a study conducted on 17 projects at five petrochemical plants in Singapore. This research team developed and used a modified Activity Analysis method suitable to the site conditions and the maintenance and shutdown/turnaround activities which are seldom studied. The study was conducted over two cycles to assess the current trend in labour productivity, identify productivity barriers, implement improvement solutions and assess their effectiveness. The aggregated direct work percentage for the projects from the first cycle of data collection was found to be 29.5%. After implementing the improvement strategies proposed by this study, the direct work percentage has increased to 35.6% in the second cycle. The assessment of labour productivity through Activity Analysis in maintenance and shutdown/turnaround environments is an important contribution of this study. This article provides a basis for benchmarking labour productivity in the Singapore petrochemical industry.

Item Type: Article
Uncontrolled Keywords: activity analysis; benchmarking; labour; productivity
Index terms: sustainable development, shutdown, strategy, benchmarking, turnaround project, cost factor, productivity, Singapore, petrochemical plant, effectiveness, profitability, labour productivity, construction labour
Subjects: economic analysis, infrastructure and transport systems, occupational health and safety management, project rescue, health safety and environment, Geography, economics, performance management, management, performance measurement
Topics: Business Strategy, Cost Management, Health and Safety, Geographical Context, Engineering Principles, Risk Management, Quality Management, Site Management
Descriptive scope: 3 PCA

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