The impacts of industrialization on construction subcontractors: A resource-based view

Goh, E and Loosemore, M (2017) The impacts of industrialization on construction subcontractors: A resource-based view. Construction Management and Economics, 35(5), pp. 288-304. ISSN 0144-6193

Abstract

Industrialization of the construction process is increasing around the world due to its potential to improve safety, sustainability, effectiveness, productivity and efficiency. While there has been research into the impacts of various forms of industrialized construction on the construction sector, surprisingly there has been little research into the impacts on subcontractors. The lack of subcontractor's voice in the industrialization debate is important to address since they operate at the coalface of the industry where the impacts of such changes will have a significant impact. The resource based view of the firm (RBV) is used as a theoretical lens to study these potential impacts through interviews with senior executives and managers of six major subcontracting firms which have worked with off-site bathroom pod technologies in Australia. It is found that the key subcontractor resources affected by this off-site technology are human, financial, intellectual and social and that subcontractors will need to pursue strategies which develop new skills, knowledge, networks and deeper supply chain collaborations if they are to turn the potential risks associated with off-site into potential opportunities to achieve competitive advantage.;Industrialization of the construction process is increasing around the world due to its potential to improve safety, sustainability, effectiveness, productivity and efficiency. While there has been research into the impacts of various forms of industrialized construction on the construction sector, surprisingly there has been little research into the impacts on subcontractors. The lack of subcontractor's voice in the industrialization debate is important to address since they operate at the coalface of the industry where the impacts of such changes will have a significant impact. The resource based view of the firm (RBV) is used as a theoretical lens to study these potential impacts through interviews with senior executives and managers of six major subcontracting firms which have worked with off-site bathroom pod technologies in Australia. It is found that the key subcontractor resources affected by this off-site technology are human, financial, intellectual and social and that subcontractors will need to pursue strategies which develop new skills, knowledge, networks and deeper supply chain collaborations if they are to turn the potential risks associated with off-site into potential opportunities to achieve competitive advantage.;

Item Type: Article
Uncontrolled Keywords: sub-contracting; resource based view; off-site; subcontractors; industrial development; construction
Index terms: construction process, collaboration, industrialized construction, subcontractor, construction sector, resource-based view, manager, interview, industrialization, senior executive, strategy, effectiveness, efficiency, competitive advantage, Australia, sub-contracting, productivity, subcontracting, industrial development
Subjects: organization, construction type, data collection methods, practitioner, building construction, market analysis, industry analysis, leadership, performance management, economic development, management, Geography
Topics: Business Strategy, Geographical Context, Research Practice, Roles and Professions, Sustainability, Construction Technology, Supply Chain Management, Human Resources, Quality Management, Site Management, Organizational Design
Descriptive scope: 4 PCTE

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