Factors for improving productivity in the New Zealand residential construction sector

Kirby, M; Rotimi, F E and Naismith, N (2025) Factors for improving productivity in the New Zealand residential construction sector. Journal of Engineering, Design and Technology, 23(5), pp. 1712-1728. ISSN 1726-0531

Abstract

Purpose – The New Zealand (NZ) construction industry significantly impacts the country's economy and is one of the largest sectors in terms of total employment. However, a persistent and pressing need for improvement exists. Meeting the ongoing demand for housing and urban development requires enhancing residential construction productivity. The purpose of this paper is to determine what factors improve construction productivity in the NZ residential construction sector. Design/methodology/approach – Data were obtained from construction industry bodies using a semi-structured online questionnaire survey. From 305 online questionnaires administered, 106 samples were completed by residential industry construction professionals across NZ. The data were analysed using descriptive and inferential statistics to establish the importance of empirical factors for improving construction productivity in the NZ residential construction sector. Findings – The Garrett ranking technique revealed this study's top five factors for enhancing construction productivity: adequate design, communication, quality management (QM), supervision and organizational training. Other factors, such as unskilled workers, skilled workers, reworks and employee motivation, ranked less important. Research limitations/implications – While providing a valuable exploration of factors that can positively impact residential construction productivity in NZ, this study contains certain limitations. The study's focus on a specific geographic location and a small sample size (n = 106) may restrict the generalizability of its findings to other regions or countries. Furthermore, the reliance on self-reported data from industry professionals introduces the possibility of bias or inaccuracies in the results. In addition, this study did not investigate the potential influence of external factors, such as economic conditions or regulatory changes, on residential construction productivity. Despite these limitations, this study presents a foundation for future research on this topic. Future research could address these limitations by conducting multi-country studies and using objective productivity measures to provide a broader context. In addition, open-ended questions could be used to collect more detailed qualitative data, enhancing this study's dependability. This methodological constraint could have omitted important experiential nuances, which could be explored in future research to provide more comprehensive and rigorous findings. Practical implications – Research studies indicate that several construction productivity factors have remained unchanged for over three decades (Arditi and Mochtar, 1996; Hasan et al., 2018). The implications of this study are significant for the residential sector in NZ. By identifying the key factors that can improve productivity in the sector, such as complete design and specifications, effective communication, quality management, adequate supervision, training, skilled labour and employee motivation, this study provides valuable insights for industry practitioners and policymakers. It expands the existing productivity literature around factors for improving NZ residential construction productivity. One important implication of this study is the link between QM and improved productivity, highlighting the significance of strategic organizational investments in QM and the added opportunity presented to policymakers concerning industry-wide improvements. Moreover, the findings suggest that investing in worker training is essential. Ensuring workers possess the necessary skills and knowledge to perform their tasks efficiently can enhance productivity and project outcomes. In conclusion, this study's findings emphasize the factors that can improve construction productivity in residential projects in NZ, ultimately leading to improved outcomes for all stakeholders. Originality/value – This research offers a unique perspective on improving residential construction productivity in NZ by identifying and analysing specific factor that can enhance efficiency across the sector. It provides novel findings and valuable insight into possible organizational improvement strategies yet considered in the NZ residential sector.

Item Type: Article
Uncontrolled Keywords: construction management; construction productivity; improvement factors; New Zealand; policy; ranked order approach; residential construction
Index terms: supervision, construction productivity, construction industry, quality management, statistics, urban development, residential construction, construction professional, project outcome, skilled worker, productivity, employment, sample size, New Zealand, economic condition, efficiency, housing, practitioner, questionnaire, methodology, exploration, residential project, bias, survey, motivation, rework, strategy, specification, skilled labour
Subjects: economic analysis, psychology, environmental resource management, operations management, practitioner, construction type, project completion, quality assurance, Geography, urban design, economic development, research methods, control systems, data collection methods, mathematical modelling, research design and methodology, industry analysis, contractual condition, probability and distributions, professional development, management, construction integration, performance management
Topics: Construction Technology, Roles and Professions, Research Practice, Information Management, Business Strategy, Contract Administration, Human Resources, Urban Studies, Sustainability, Geographical Context, Project Management, Quality 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