Tag: Best Practices

What Construction Project Managers Should Know about Change Management

Written by Lucas Marshall on November 8, 2023. Posted in Articles.

A conference talk on the challenges faced by project managers of the 21^st century lists several factors experienced across industries: scope management, information technology, team dynamics, customers’ satisfaction, lean management, communication, innovation, and quality.

The construction industry in particular is prone to change. Part of this is due to the nature of its workforce. For example, an article for the Human Resource Management Journal describes the construction industry as “reliant on a transient workforce and exist[ing] within a complex multidisciplinary team-oriented environment.” This workforce is continually challenged with some experts suggesting a dynamic approach to analyzing impacts of skilled labor shortages.

As you would imagine, multiple studies have been conducted in how change management principles may be useful in construction projects (e.g., see: conference talk for the 25^th International Conference on Information Technology, International Journal of Project Management article, etc.).

Materials pricing in the industry is finally starting to stabilize; however, they remain high (higher than pre-pandemic levels). The labor shortages the industry face are part of a larger story of an aging workforce – hence why newer, tech-forward roles that can attract a younger generation of workers are increasingly important.

The job of a construction project manager is ever critical to meet the needs of complicated projects with continually constrained resources. Change management is one concept in these managers’ toolkit that can help them confront the constantly shifting construction landscape.

What Is Change Management?

Change management, defined by the Harvard Business School Online, is a term that “refers broadly to the actions a business takes to change or adjust a significant component of its organization” including company culture, internal processes, underlying technology infrastructure, corporate hierarchy, or other critical aspects.

Change, they explain, can be adaptive (e.g., small, gradual, iterative changes to evolve a business’s product lines, processes, workflows, and strategies over time) or transformational (e.g., larger scale/scope changes that signify dramatic and “occasionally sudden, departure from the status quo,” such as launching a new business division, expanding internationally, etc.).

To put this into context of construction, an adaptive change might be a sudden change order (i.e., a documented re-define of scope, budget, or timeline of a previously agreed upon construction job). A transformational change, meanwhile, may be a change in management structure or a company buyout.

Change management are the processes and guiding principles that help organizations (particularly, the employees that make up them) respond dynamically to change.

Construction project managers, coordinating teams of cross-functional workers onsite in a “multifaceted, dynamic industry,” need an equally dynamic approach to change management.

Here are some of the factors construction project managers may consider keeping top of mind:

ADKAR

One change management concept construction project managers should know is ADKAR, a change management model and acronym developed by Prosci® founder Jeff Hiatt after extensive study of patterns at more than 700 organizations.

ADKAR is an acronym for:

Awareness – Of the need for change
Desire – To participate and support the change
Knowledge – On how to change
Ability – To implement desired skills & behaviors
Reinforcement – To sustain the change

Prosci® recommends a 3-step process for implementing ADKAR within an organization:

Step # 1: Prepare approach – in this phase, practitioners (e.g., construction project managers) establish what they’re trying to achieve (e.g., better project outcomes) by defining impact (i.e., how the change affects individuals) and approach (i.e., the steps needed to achieve project success and mitigate risk – such as defining clearer project milestones and maintaining open lines of communication/collaboration)
Step # 2: Manage change – in this phase, the change management strategy is brought to life through three stages:
- 1) Plan and act (i.e., preparing, equipping, and supporting those impacted by change – e.g., creating project management plans)
- 2) Track performance (i.e., the phase in which change management efforts are tracked through implementation and practitioners identify performance strengths and opportunities – e.g., how effective is a project management tool in increasing project visibility, to what extend does it increase collaboration between team members?
- 3) Adapt actions (i.e., based on what practitioners have learned, they spend time adjusting the change management strategies – e.g., considering the observed efficacy of the implemented project management tool, what tweaks should be made to ensure continuous improvement?
Step # 3: Sustain outcomes – in this final phase, the practitioner establishes the approach needed to ensure change is sustained organizationally for the long-term. Outcomes include:
- Review performance – reflecting on performance, confirming desired results, and reviewing and documenting lessons learned (e.g., project postmortems)
- Activate sustainment – focusing on implementing actions to sustain change outcomes, engaging in activities to identify gaps and activate sustainment roles
- Transfer ownership – establishing how to carry sustainment efforts forward with activities including the transfer of knowledge and assets (e.g., sharing lessons learned with and recommendation to business owners)

ADKAR is a powerful change management model and tool worthy of consideration within construction projects to sustain meaningful change organizationally with how companies approach future projects.

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Structural Flexibility and Antifragility

Prosci® recommends implementing change management at both the project- and organizational-level (i.e., project managers should be fierce and empathetic advocates for both the individualistic people-side of change as well as possessing “a leadership competency for enabling change within [an] organization and a strategic capability designed to increase […] change capability and responsiveness”).

In other words, change management should be implemented from top to bottom.

Another, related managerial concept is antifragility, a business model first coined by financial scholar Nassim Nicholas Taleb. The concept makes reference to Greek mythology and the creature known as Hydra who possesses nine heads and is depicted to possess immortality and the power of linear regeneration – growing three heads in the place of two from each stump when decapitated. This linear progression shows the Hydra, when attacked by an adversary intent on defeating it, becoming stronger through the adversity.

As a construction project manager, building structural flexibility and antifragility into your project framework such that team members are empowered to respond dynamically to change can make teams stronger in spite of any adversity they may encounter:

Do teams have the authority to employ creative workarounds (e.g., find new supplier, 3D printing, prefab) or work with customers to avoid excessive changes in design that explode project scopes (e.g., suggesting alternative, recyclable materials; cheaper, more readily available alternatives; negotiating on delivery fees; etc.)
Do teams have the authority to reject change orders (if too far out-of-scope)?
Do teams have the authority to strategically plan (e.g., purchasing safety stock on critical materials from wholesalers)
Do teams have the tools they need cross-functionally to be successful (we discuss this in the next section)

Embracing Technology for Dynamic Change Management

Technology should be no stranger to construction project managers. It is the enabler to productivity among teams even where resources are limited. It is the facilitator that allows the transfer of knowledge between cross-functional teams, breakdown of information silos, and builds antifragility into your workflow structures.

Digital solutions that exist to empower construction teams include (but are not limited) to:

Project Management: Tools like Procore®, Autodesk® Construction Cloud™, Buildertrend, e-Builder®, and Fieldwire by Hilti® help project managers coordinate work, delegate tasks, track progress performance, and document disputes and excessive change orders. Facilitating cloud-based project management enables real-time collaboration similar to how cloud-based collaboration tools like Office365 or Google Workspace enable real-time collaboration among office workers and university students.
Building Information Modeling: Building information modeling enables digital representation of building projects that facilitates collaboration between designers, architects, engineers, construction managers, and customers in real-time, allowing companies to find and mitigate risk, and reduce potential issues in design that would otherwise lead to change orders and overruns.
Inventory Management: Cloud-based inventory apps can help construction teams manage materials as well as equipment needed onsite to perform work, as well as cut down on hording across a multi-jobsite infrastructure.
Embrace Integration: In addition to the tools above, it’s critical to embrace technology integration – creating pathways for data sharing between project management, design, and in-field execution teams ensures real-time communication, prevention of duplicate (sometimes outdated) project data, and meaningful collaboration that mitigates risks.

Certifications for Construction Project Managers

Finally, aspiring construction project managers should consider certification programs that can (in addition to demonstrating competency to potential employers aiding in career advancement) provide practitioners with the necessary knowledge and skills to apply effective management techniques to the planning, design, and construction of projects that controls time, cost, and quality.

Possible certifications of note include:

The Construction Management Association of America’s Certified Construction Manager Certificate
The Project Management Institute’s Construction Professional in Built Environment Projects (PMI-CP)™ certificate
The Project Management Institute’s Agile certifications can also provide practitioners the knowhow to apply relevant agile/scrum principles to construction technology implementation
Certifications in Lean Management offered through the Lean Construction Institute and Associated General Contractors of America to apply lean management principles, reduce waste from projects, and improve quality assurance

For Construction Pros also recommends six other worthy contenders for certifications for construction career development.

Bottom Line

The construction industry, more so than other industries, is defined by change. As the industry faces continuous operational challenges, it’s ever critical that construction project managers have the tools to manage their projects dynamically—change management chief among them can help them empower and empathize with their cross-functional stakeholders and building partners, equipped to grow, evolve, and become stronger through stressors they’re constantly confronted by.

Objectivity in Conflicts – Moving from Win-Lose to Win-Win

Written by George Pitagorsky on November 7, 2023. Posted in Articles.

Conflict, whether you call it difference of opinion, or disagreement, is an inevitable part of project life. Managing it well is critical to short-range project success and long-term healthy relationships. Organizational success relies on both project success and healthy ongoing relationships.

While not all conflicts or disagreements can be settled to satisfy all parties (win-win), there can be many more of them if the disagreeing parties put their efforts towards addressing the conflict and the decision that will end it rather than competing with one another.

Even when there is a win-lose conflict, cultivating long term relationships better enables follow through and future collaboration. Take for example two people vying for the same job. Imagine what might happen a year or two later when the one who lost is interviewing his opponent for a position in the ‘losers’ new company.

The way the conflict was managed will make a big difference. If they perceived a fair process and there was a cordial closure, it is more likely that they will consider their experience with one another without letting emotions overwhelm objectivity.

Passionate Objectivity

Decisions resolve conflicts and set up the action that will influence the future. Objectivity is a key to effective conflict resolution because it leads to rational and practical decisions and effective action to carry them out.

We are living in a time when beliefs are confused with reality, when ideologies and emotions drive decision making, often without considering longer term outcomes. To come to an effective decision to resolve a conflict it is necessary to suspend beliefs and attachments long enough to assess their usefulness.

Are you willing to question and validate your beliefs? Are you willing to collaborate with your opponents to confront the conflict rather than one another?

“When you see.., how belief, prejudice, conclusions, and ideals divide people and therefore breed conflict, you see that such activity is obviously not intelligence. Will you drop all your prejudices, all your opinions … so that you have a free, uncluttered mind?

“If you say it is impossible, you will never find out for yourself what it is to be intelligent.” – J. Krishnamurti

Krishnamurti pulls no punches. He says that to be well, happy, and able to take care of business, you need to stop being driven by beliefs and biases, you need to see things as they are, objectively.

Objectivity is the quality of being unbiased, relying on facts rather than opinions and personal feelings when making decisions. Objectivity does not mean ignoring the role of opinions, emotions, and gutfeel. It means taking them into consideration and making sure that the decision being made is the right decision.

If we overemphasize rational analysis, we end up with solutions that are brittle and hard to implement because they ignore the human element. If we under emphasize analysis, caught up in emotions, we get poor outcomes and ongoing strife.

Confronting the Issue

Objectivity leads to the idea of confronting the issue rather than the opponent. This is far easier to act upon in projects and organizations as opposed to the socio-political realm of ethnic groups, nations, and governments.

Here, in projects we have the advantage of relatively clear mutual objectives among stakeholders. For the most part, everyone is after a quality outcome, at a reasonable price, within time constraints. There may be differences of opinions about just about everything – objectives, designs, estimates, plans, resources, etc. But if the parties take a step back and remember what they are all after, there is a good chance that they will make good decisions to achieve it.

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Taking a long view

Often, when there is conflict the tendency is to think about the short-term consequences of the decision. Objectivity requires a long-term view.

Will the design option enable easy maintenance? Will the people who are on the “losing” side take an active role in implementing the decision, even though it was not their first choice? Will ongoing relationships be healthy?

What Does it Take to be Objective

It seems so simple, objectively address the issue to come up with resolution, a decision to act, that satisfies as many participants as possible and leads to successful project completion and healthy long-term relationships. Simple, yes. But not easy.

Emotions, beliefs, and biases get in the way. If the parties are unwilling or unable to step back and objectively assess the situation and make a decision based on identified decision criteria, they will struggle to justify their position, often relying on hierarchical authority, rhetoric, and distortion rather than good sense.

Two things are required: emotional and social intelligence and an effective decision-making process.

The process is a starting point for optimizing conflict resolution. A process that includes identifying decision criteria and that uses analytical methods, opens the door to improved self-awareness and self-management. An effective process makes it less likely that strong willed, assertive people will be able to have their way regardless of the facts and what is best for the organization and project. It forces people to step back and assess things objectively.

Emotional and social intelligence promote the ability to disengage from feelings long enough to be rational and to respect the needs of others. But even when there are parties who lack the ability to exercise self-management and recognize the power of objectivity, an effective process will influence the outcome.

As you make the decisions that resolve conflicts, make the effort to step back and drop your prejudices and opinions so that you have a free, uncluttered mind? Will you take the time and effort to validate your feelings with facts and consideration of alternative views?

It takes effort and awareness to bring objectivity to bear when you feel strongly about your position. It takes skill, courage, and patience to question your beliefs, validate them, and accept that your way is not the only right way and may even be the wrong way.

Why I Value Frameworks Over Methodologies

Written by Elizabeth Larson on November 1, 2023. Posted in Articles.

Early in my career, the head of IT gathered us together to introduce us to a new concept—a methodology. He pitched it something like this: “We’re going to start using new processes to complete our projects in IT.”

We’ll follow this set of rules that will take us from the beginning of the project to the end.” We didn’t think that would be particularly beneficial and we were pretty vocal about how this would slow our work down. So, after a few minutes of our grumbling, he tried again: “Wouldn’t be great if we could get Harvey to leave us all alone and let us get our work done?!” That we liked because Harvey was our collective nemesis—our main client who pressured all the programmers whenever he liked with constantly changing ideas. These never-ending changes caused a chaotic environment. We found it hard to get work done on time resulting in many complaints about us throughout the organization. The new methodology was introduced, and it did indeed improve our chaotic environment.

It did not, though, help our standing in the company. It was too inflexible and the clients like Harvey hated it.

That was the first of many methodologies that were introduced to our industry over the years. Some were quite technical, and others less so. Each purported to get projects done more quickly with more client satisfaction. Each touted that it was the latest and greatest and would solve all of IT’s problems. Each advanced the idea that if it were followed, the whole organization would be eternally grateful. Each started with good intentions, but each got bogged down in its own bureaucracy.

Is Agile a methodology?

Before I became a Certified Scrum Master in 2010, I attended my first presentation on Agile. The speaker reviewed the Agile Manifesto and principles and I said to myself—here’s something that takes good, solid project principles and puts them together in a practical way. At that time and to my delight, Scrum was called a “set of practices” which made a great deal of sense to me. Of course face-to-face communication is preferred, if not always practical. Of course we don’t want to get bogged down in needless documentation just to follow some mandated process.

Gradually, though, the word “methodology” replaced the phrase “set of practices.” And to some teams, calling a set of best practices a methodology gets misinterpreted as an unalterable way projects are completed. I remember attending a presentation where the speaker proudly discussed how documentation had been banned in her organization. “ And in another presentation a panel discussed whether virtual communication was considered face-to-face and therefore “allowed.” Agile was in jeopardy of losing its practicality and becoming bureaucratic. But Agile still works today when used as intended. It works, though, more as a framework than a methodology.

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So what’s the difference?

I think there is and has always been confusion between the two. According to the Scrum Alliance website, “Agile methodologies are the conventions that a team chooses to follow in a way that follows Agile values and principles.”[i] The use of the word “conventions” implies some flexibility. So what’s a convention? It’s a norm, an agreement for how in this case a team behaves and does things. I understand behavioral conventions. It makes sense to me that each team will create its own communication and behavioral norms and guidelines. My concern is that these methodology-conventions run the risk of becoming rules for every project—rules that don’t allow for individual problem-solving.

Frameworks by their nature are flexible. They allow teams to decide which practices make sense for their projects and which do not. A best practice may work well on one type of project or in one industry or organization but not others. Another best practice may work well for one set of clients, but not for others or with one team’s skillset but not another. Frameworks allow for these differences and usually encourage teams to choose among the myriad best practices described in the framework.

Sure, frameworks usually describe more practices than can be absorbed for any given project. That’s why it’s important for teams to understand what’s contained in the framework and choose the practices that work for them. If the team views the framework as an inflexible methodology, each step of which must be done on all projects, they may become overwhelmed and abandon it entirely.

I value frameworks over methodologies. Not that there shouldn’t be methodologies. It’s just that in my experience, frameworks are more flexible. They allow for individuals and teams to understand the context of their specific environments and make better-informed decisions. Frameworks provide guidance without demanding that each step be followed. Methodologies tend to become rigid over time. They are often used as a crutch when teams are unable to understand context and synthesize information. Having frameworks is important. It seems to me, however, that having bureaucratic methodologies can be self-defeating.

[i] [i] https://www.agilealliance.org/agile101/. They base this definition on Alistair Cockburn’s who suggested that “a methodology is the set of conventions that a team agrees to follow.”

Doing What You Can to Change the Unacceptable

Written by George Pitagorsky on October 25, 2023. Posted in Articles.

Don’t underestimate your power to make positive change. Angela Davis, a passionate activist, is quoted as saying:

“I have given up on accepting the things I cannot change.

I aim to change the things I can’t accept.”

As project managers we are often faced with unacceptable realities that get in the way of project and career success.

Take for example the situation in which meeting a deadline relies on resources promised by a functional manager to be available at a specified date. The resources do not show up because they are assigned to another project and won’t be available for weeks. To make matters worse, the situation is often repeated, and functional managers are never held accountable. The organization holds the PM responsible for getting the project done on time, no matter what. But in reality, most projects are late, and no-one is ever fired for it. Everyone accepts the fact that schedules cannot be trusted. Clearly there is some dysfunction.

There are other examples of unacceptable situations, your boss or co-worker is abusive or incompetent, your sponsor or client chronically has irrational expectations and will not listen to reason, etc.

With a fixed mindset, you can believe that nothing can be done about it. You might be thinking “It’s always been like this and it always will be.” or “I can’t do anything about it, its above my pay grade.” If everyone is thinking that way the situation won’t change. If everyone misunderstands the advice to accept things as they are, things will not change.

Change is possible with a shift to a realistic understanding and a growth mindset that realizes that learning and change are possible. Accepting things as they are does not mean keeping them that way. It simply means that since you can’t change the present moment or the past, the best you can do is to accept what is and what was. The future is subject to change if you apply the courage and skill to act effectively.

Passion and Equanimity

When we aim to change the things we can’t accept, we are faced with the paradox of equanimity and passion. They are both required.

Equanimity is mental calmness and balance regardless of external circumstances. It is accepting that passionate action and unphased acceptance coexist. With equanimity we have the presence of mind to accept what is, analyze what got it that way, plan to do something about it, act, and accept what happens. Whatever happens, we repeat the process – accept, plan, act, accept. Progress is an ongoing process.

In our example, let’s say the analysis uncovers that functional managers want to honor their commitments but are faced with demands from multiple projects and their sponsors that cause them to over commit. A rational plan to correct the situation would be to establish an effective portfolio management process which moderates the flow of projects, recognizing the interrelationships between functional resource availability across multiple projects. To project management professionals, it seems a no-brainer. But creating and sustaining a portfolio management process in an immature PM environment is not easy.

If formal portfolio management doesn’t happen there is still hope. There is always something to do, including doing nothing. Your options range from accepting the status quo to changing jobs. In between are options like grass roots cooperation among managers as resource demands change, multi-project monitoring at a PMO level, patiently and skillfully petitioning executives for portfolio management, and more.

This is where passion comes into play. Passion is a strong feeling of enthusiasm about something. If there is a passionate desire to correct the situation, then it is more likely to happen. And equanimity provides the best platform for making the change you want.

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Set and Setting

An often-overlooked aspect of making and managing change in our work environment is personal feelings. On a practical, analytical, unemotional level we can come up with the means to make change. If we do nothing or if what we do doesn’t improve the situation, there are feelings – anger, frustration, fear, despair, a loss of passion, etc.

On a personal level self-awareness and self-management, the two principal parts of emotional intelligence must be applied to enable you to change the things you cannot accept. On one extreme of the practical options is doing nothing, accepting the status quo.

If you do absolutely nothing, your feelings will not change. They will get stronger. Your anger might turn to depression. Your performance might suffer. So, you do something, you change your mindset. Environment (setting) and mindset (the way we think, our beliefs and mental models) determine the way we feel and our behavior.

We Can Change Our Mind

While we can change our environment – the organization culture, stakeholders, etc. – our ability to do so is limited. On the other hand, we have far more control of our mindset (though sometimes it doesn’t seem so). Changing the mindset begins with adopting an attitude of acceptance and letting go.

If we accept that we are in an unacceptable situation and we can’t change it, we can leave – ask for a transfer, find a new job, retire. If we choose to stay, for whatever reason, we have the difficult task of avoiding letting the situation lead to debilitating emotional reactions, like the anger and despair mentioned earlier. That is where a mindset that includes the belief that it is possible to be equanimous and optimally well in any situation is essential.

Apply mindfulness and emotional intelligence to remind yourself that you can change the way you think and feel, that everything changes, and that you can accept the status quo and do what you can to change your setting. This approach leads to a sense of personal control and hope for improvement. It is the theme of my latest book – The Peaceful Warrior’s Path: Optimal Wellness through Self-Aware Living and my first book, The Zen Approach to Project Management.

Learn from the Past to Perfect Performance

Making the Impossible Possible

Practical Perfectionism and Continuous Improvement

Achieving Quality Performance and Results

Know When to Give Up

From Waterfall Walls to Agile Architecture: The New Era of Construction

Written by Lucas Marshall on October 18, 2023. Posted in Articles.

This is a collaborative article cowritten by Lucas Marshall and Jason Braun.

Productivity is hard to measure. It differs depending on industry, for one. What’s more, the construction sector is what the Becker Friedman Institute for Economics at the University of Chicago considers “strange and awful,” representative of raw BEA data suggesting “that the value added per worker in the construction sector was about 40 percent lower in 2020 than in 1970.” For instance, the construction of the One World Trade Center in New York faced numerous delays and budget overruns, highlighting the challenges the industry faces. Labor shortages—whose “impacts on labor wages, cost overruns, and scheduling concerns in construction projects”—could be the driving factor here as companies struggle to fill positions while unemployment remains low. In other words, “few construction workers [are] seeking jobs, and therefore the pool to fill demand is shallow,” while onsite workers face the unique challenge of executing projects with limited resources—adding to these impacts and slowing growth.

At first glance, the worlds of software development and construction may seem poles apart. However, both industries grapple with the complexities of managing large-scale projects, ensuring timely delivery, and adapting to unforeseen challenges. For example, the development of the Windows 95 operating system was a monumental task for Microsoft, much like constructing a skyscraper is for a construction firm. Just as software developers transitioned from the rigid Waterfall methodology to the more adaptive Agile approach to address these challenges, the construction industry stands at a similar crossroads.

While it may seem alien to the construction sector, the software industry has subbed one framework (i.e., waterfall) for another (agile), resulting in success ratios two times greater, 37% faster delivery, and greater impact on improving product quality, a 2023 scholarly study found. Popular apps like Spotify and Airbnb have notably benefited from Agile methodologies, iterating rapidly based on user feedback.

In this article, we propose applying similar agile and lean construction methodologies illustrative of industrialized construction. Like software—which replaces a rigid, monolithic release cycle with a more agile framework—we explain that industrialized construction looks to replace the old-school, one-off “project” mindset with a fast and dependable productization framework. Consider the construction of modular homes, which are built offsite in controlled environments and then assembled on-site, mirroring the iterative development and deployment in software.

Software Project Management: From Waterfall to Agile

Companies in the software industry generally use one of two frameworks when building software products:

Waterfall

Waterfall is a more traditional approach to software development where production takes place in a linear, sequential manner (i.e., every task needs to be finished before the next one begins). This means new software solutions begin by defining requirements, then shifting into the software design phase, then shifting to the software developers building what has been proposed, then verifying the release is stable, and finally shifting into maintenance (i.e., finding and squashing bugs). For instance, the early development of Microsoft Office followed a Waterfall approach, with distinct phases and milestones.

Key point: Like construction projects that oftentimes involve a considerable deal of back-and-forth with approvals before breaking ground, then contend with unpredictable access to onsite labor and materials as well as rapidly changing weather conditions, we’ll argue later that construction is due for breaking from the waterfall-like processes through industrialization.

Agile

Agile is an iterative, team-based approach to software development where rapid delivery of functional products over a short period of time (known as sprints) is used (similar to lean manufacturing methods applied to construction). Continuous improvement is adopted, and subsequent batches are planned in cyclical schedules. Tech giants like Google and Facebook have adopted Agile methodologies for many of their projects, allowing for rapid iteration and improvement based on user feedback.

Agile methodology is more collaborative and customer-focused. Oftentimes, customers have the opportunity to offer their feedback through the software development process (e.g., beta releases). Through this approach, developers can improve the overall functionality of the software for the target end user and establish a 1-1 relationship based in trust and mutual respect. It also offers a fixed, predictable schedule and delivery, improved quality for customers through their hands-on participation, as well as adaptability through change.

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From One-Off Projects to Finished Goods through Industrialized Construction

Industrialized construction (IC) refers to “the process through which construction aims to improve productivity through increased mechanization and automation,” similar to how Ford’s early assembly line offered the mechanized approach necessary to meet the demands of customers for the Model-T while ensuring product consistency and quality through mechanized orchestration.

The mention of Ford’s Model-T isn’t merely a nostalgic nod to the past but a pivotal example of industrial transformation. In the early 20th century, the automobile industry faced challenges similar to today’s construction sector: Inefficiencies, inconsistencies, and a demand that outpaced supply. Ford’s introduction of the assembly line for the Model-T revolutionized production, offering a standardized, efficient, and scalable solution.

At a high-level, industrialized construction as a concept moves beyond approaching each build as one-off projects. Instead, practitioners apply a foundational framework where building deliverables are treated as building products and the same attention to build quality, customer satisfaction, and continuous improvement seen from manufacturers of marketable finished goods (e.g., automobiles, electronic devices, perishable goods, etc.) is applied to construction. A real-world example can be seen in the rise of prefabricated homes, which are built in factories and then assembled onsite, ensuring consistent quality and faster construction times.

The traditional approach to construction, as we highlighted earlier, comes with its set of challenges. For instance, 45% of all construction projects face disruptions due to inclement weather. A staggering 93% of construction firms grapple with material shortages. Furthermore, the limited access to skilled workers, a point we touched upon earlier, restricts the efficiency of an onsite workforce, especially under tight deadlines. This can jeopardize schedules, budgets, and even the quality of work.

For instance, the construction of the Berlin Brandenburg Airport faced numerous delays due to planning and execution challenges, showcasing the need for a more streamlined approach.

The transition towards Industrialized Construction isn’t just a theoretical proposition; it has tangible, real-world implications that can redefine the construction landscape. For starters, IC can lead to significant cost savings. By shifting much of the construction process to controlled environments, we can mitigate the risks and uncertainties of on-site construction, from weather disruptions to labor shortages. This not only ensures projects stay on budget but also can lead to faster completion times. For example, the Broad Sustainable Building company in China constructed a 57-story skyscraper in just 19 days using prefabricated modules, showcasing the potential of IC.

Industrialized construction, meanwhile, looks to improve quality by affecting factors within a business’s control:

Third-party prefabrication and offsite construction partners or building out your own infrastructure to support offsite preassembly can improve schedule certainty by 90%, while cutting down on construction costs by 10% and improving quality by mechanizing the preassembly process in a temperature-controlled factory setting where stringent quality measures can be enforced.
Robotics and additive manufacturing technology to increase output, capabilities, and design freedom of human installers; smart tools and IoT solutions in the hands of these installers, meanwhile, can further assist in performing installations more safely with reporting/quality verifiability. For instance, the use of drones in construction sites for surveying and monitoring has become increasingly common, providing real-time data and insights.
Building information modeling (BIM) can help construction professionals and stakeholders (e.g., customers, inspectors) collaborate virtually, envisioning finished products in their natural environment while improving the 1-1 relationship and trust through construction projects similar to how earlier discussed software teams run beta tests. The construction of the Shanghai Tower, for example, heavily relied on BIM for its design and execution.
A wealth of data via digital twins (e.g., real-time inventory data, predictive analytics, data synchronization to remove information silos, etc.) can help professionals manage projects with more certainty and deliver data-driven insights to drive proactive decision-making and quality.

In the broader discourse on project management methodologies, Antonio Nieto-Rodriguez’s article, “It’s Time to End the Battle Between Waterfall and Agile,” offers a compelling perspective. Nieto-Rodriguez critiques the rigid dichotomy many project leaders maintain between Waterfall and Agile, suggesting that such binary thinking has fostered tribalism within the project community, stifling innovation and potential. This tribal mindset has even led entire organizations to “go agile,” often at the expense of sidelining the foundational principles of traditional methodologies that certain projects might still benefit from. The real-world implications of this divisive approach can result in tangible losses for organizations. Nieto-Rodriguez advocates for a more nuanced approach: hybrid project management methodologies. By merging the meticulous planning of Waterfall with the adaptability of Agile, these hybrid methods can address the shortcomings of a one-size-fits-all strategy. Such an approach not only bridges the divide between the two methodologies but also paves the way for more effective and innovative project outcomes.

Top of Form

Bottom of Form

Bottom Line

The construction industry and its fragmented ecosystem is in desperate need of industry-governing interoperability where critical project data is shared in real-time, enabling collaboration and a nimble building process adaptive to change.

As project managers in our industry look to the software industry for ways to improve quality, one conclusion they may come to is breaking away from the monolithic, waterfall delivery methods. Instead, they may implement an agile framework and industrialization of processes that facilitate the same increased output and uncompromised product quality that allowed the iconic Model-T to roll off the production line and meet customer demands.

About Authors

Jason Braun is the author of Designing Context-Rich Learning by Extending Reality and an educator with over a decade of producing, delivering, and promoting critically acclaimed multimedia learning experiences. Recognized for collaborating effectively with programmers to create educational software featured in The Chronicle of Higher Education and with subject matter experts like New York Times best-selling authors and FBI cybersecurity agents.