Murguia, D; Soetanto, R; Szczygiel, M; Goodier, C I and Kavuri, A (2026) Construction 4.0 implementation for performance improvement: An innovation management perspective. Construction Innovation, 26(3), pp. 843-870. ISSN 1471-4175
Abstract
Purpose – The emergence of Construction 4.0 technologies provides an impetus for radical change and rejuvenates the interest of stakeholders in addressing long-standing performance issues in the construction sector. However, construction firms struggle to implement Construction 4.0 technologies for performance measurement and improvement. Therefore, the purpose of this research is to develop a conceptual model of innovation management for implementing Construction 4.0 that guides and facilitates the strategic transformation of construction firms. Design/methodology/approach – A conceptual model of innovation management is presented, and the findings are synthesised based on a literature review, 20 semi-structured interviews, two focus group discussions, three workshops, expert consultation and observations on three digitally-enabled projects. Data were inductively analysed using thematic analysis. Findings – The analysis of empirical data revealed: (i) Four scenarios that could lead the industry to different futures, based on the extent of research and development, and the extent of integration/collaboration; (ii) Construction 4.0 capability stages for a sustained implementation route; (iii) Possible business model configurations derived from servitisation strategies; and (iv) Skills management challenges for organisations. Research limitations/implications – First, the empirical data was only collected in the UK with its unique industry context, which may limit the applicability of the results. Second, most of the research data comes from the private sector, without the views of public sector organisations. Third, the model needs to be further validated with specific data-driven use cases to address productivity and sustainability issues. Practical implications – Successful Construction 4.0 transformation requires a concerted effort of stakeholders, including those in the supply chain, technology companies, innovation networks and government. Although a stakeholder's action would depend on others' actions, each stakeholder should undertake action that can influence the factors within their control (such as the extent of collaboration and investment) and the outcomes. Originality/value – The conceptual model brings together and establishes the relationships between the scenarios, Construction 4.0 capability stages, business models and skills management. It provides the first step that guides the fuzzy front-end of Construction 4.0 implementation, underpins the transformation to the desired future and builds long-term innovation capabilities.
| Item Type: | Article |
|---|---|
| Uncontrolled Keywords: | business models; capability stages; construction 4.0; future scenarios; skills |
| Index terms: | focus group, interview, public sector organization, construction firm, strategy, literature review, thematic analysis, configuration, servitization, integration, methodology, collaboration, research and development, emergence, innovation management, construction sector, workshop, performance measurement, construction 4.0, transformation, productivity, private sector, business model, performance improvement, implementation |
| Subjects: | contractual arrangements, construction type, digital engineering, organization, innovation studies, market strategies, research management, research methods, data analysis and analytics, data collection methods, business, organizational analysis, administrative law, industry analysis, systems engineering, management, performance measurement, methods and analysis |
| Topics: | Organizational Design, Digital Applications, Construction Technology, Research Practice, Business Strategy, Quality Management, Legal Issues, Procurement, Engineering Principles |
| 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