Why Construction Productivity is Low vs. every other sector.


ImageConstruction productivity remains low, if not in decline ( with the exception of an uptick due to the multi-billion dollar federal government “shovel ready”  investments of 2007/8) due to the continued use of archaic, antagonistic, and counterproductive construction delivery methods such as design-bid-build.

Until the Architecture, Engineering, Construction, Owner, and Operation – AEC / AECOO – industry adopts collaborative construction delivery methods such as integrated project delivery – IPD, and job order contracting, JOC little with change.

Owners are singularly responsible for the longstanding problems as they lack the knowledge and/or capability and/or incentive to adopt life-cycle management philosophies vs. an outdated first-cost mentality.

Technology is not the issue, it is the refusal of Owners to demand basic, fundamental business process changes as so may other industries have already done.   IPD/JOC and other LEAN business processes are neither new, nor difficult to implement.   Do Owner require a legal mandate to force change?   Personally, I don’t like this solution, however, environment and economic imperatives may force this approach?

Your thoughts?

 

Image

Leave a comment