Donyavi, S; Flanagan, R; Assadi-Langroudi, A and Parisi, L (2024) Understanding the complexity of materials procurement in construction projects to build a conceptual framework influencing supply chain management of msmes. International Journal of Construction Management, 24(2), pp. 177-186. ISSN 1562-3599
Abstract
Purchasing is a fundamental step of materials procurement in the construction sector, and since materials can represent up to 70% of the project’s construction costs, reducing wastage and improving productivity can have big benefits, both for the environment and the economy, especially for Micro, Small and Medium-sized Enterprises (MSMEs). This manuscript will focus on the process of purchasing materials from these companies' perspective, seeking to investigate the impact of effective materials management on site. In light of the acknowledged absence of system thinking for MSMEs, this research aims to build a new conceptual framework that illustrates the complexity of the materials purchasing process in construction and embodies the risks linked to materials, relationships, information and cash flows. The conceptual framework aims to influence supply management in construction and is based on the recognition of five main levels, going from the specification of materials to data management and feedback. It is designed to illustrate the sequence, logical structure and complexities of the purchasing process. Data from the literature, followed by on-site observations, feeds into the framework.
| Item Type: | Article |
|---|---|
| Uncontrolled Keywords: | construction materials; micro, small and medium-sized enterprises; procurement; purchasing process; supply chain |
| Index terms: | cash flow, specification, construction project, construction sector, conceptual framework, complexity, materials management, purchasing, productivity, data management, construction cost, construction material |
| Subjects: | financial and cost management, building materials, operations management, systems engineering, procurement strategy, industry analysis, data management, production management, contractual condition, theoretical framing, financial management, management |
| Topics: | Engineering Principles, Research Practice, Project Management, Business Strategy, Cost Management, Procurement, Digital Applications, Contract Administration, Site Management |
| Descriptive scope: | 4 PCTA |
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