It In Construction Sector

Background

Technology management of IT in construction: a driver or an enabler? Ghassan Aouad Michail Kagioglou Rachel Cooper John Hinks and Martin Sexton

The authors Ghassan Aouad is a Reader in Construction IT and Management, TIME Research Institute, University of Salford, Salford, UK. Michail Kagioglou is a Research Fellow, TIME Research Institute, University of Salford, Salford, UK. Rachel Cooper is Professor in Design Management, TIME Research Institute, University of Salford, Salford, UK. John Hinks is a Reader in Facilities Management, HeriotWatt University, UK. Martin Sexton is a Lecturer at the TIME Research Institute, University of Salford, Salford, UK. Keywords BPR, Construction industry, Information systems, Information technology, Investment, Process management Abstract The 1970s and 1980s have witnessed the development of many technological advances in the construction industry. At the same time, IT has been perceived as a driver for many of the construction business and operational processes. The 1990s have seen a technological shift in the construction sector from IT driven solutions to IT enabling ones. The industry, however, has become frustrated with the failing of IT as many companies have invested in the wrong technologies without addressing business needs. This is now being rectified by developing IT systems that support business processes taking into account process, people and cultural needs. This paper describes how IT systems are being developed within a major EPSRC (Engineering and Physical Sciences Research Council) funded research project in order to help the construction industry develop feasible technological IT solutions. This is achieved by considering the co-maturation of processes and IT within the context of process improvement. Logistics Information Management Volume 12 · Numbers 1/2 · 1999 · pp. 130–137 © MCB University Press · ISSN 0957-6053

Many studies have been conducted in the construction sector in recent years in order to investigate the relationships between IT and processes. Most of these studies have concentrated on IT capabilities and forecasting of how IT will be used in the next ten years (Brandon and Betts, 1995; IT2005, 1995; Building IT 2000, 1991; KPMG & CICA, 1993; Aouad et al., 1997). These studies predicted the types of technologies that will be used by the industry in the next ten to 15 years. Construct IT (1995) produced an IT map that relates to the needs of construction processes without looking at the co-maturation of processes and IT. This document has been written in the context of the Construct IT Centre of Excellence’s work to define a research work plan for the UK construction industry in the area of IT-enabled support to process improvement. Recent research by Childe et al. (1996) within the context of business process engineering (BPR) has shown that existing legacy IT systems are hindering the adoption of BPR principles by many large organisations. In a survey of 34 companies (none of which from the construction sector), it has been demonstrated that these IT systems are blockers rather than enablers of process improvement. The construction industry is not susceptible to the same problems, as many of the existing systems have been acquired on a relatively smaller scale; thus upgrading or even replacing them will not be a difficult task in broad financial terms but rather it offers the opportunity to ensure compatibility and “fitness for purpose” from the onset. The main problem in construction is that most of the IT systems have been purchased in the past because of operational rather strategic/business requirements. These systems have failed many construction firms leading to some suspicion of what IT can deliver to the construction sector. In order to rectify this, Alshawi and Aouad (1995) proposed a framework that addresses the significance of merging information The authors would like to acknowledge the support of the following people and organisations involved in this project: Engineering and Physical Sciences Research Council (EPSRC); Alfred McAlpine (Special Projects) Ltd; British Airports Authority (BAA); Advanced Visual Technology; British Telecom; Capita; Waterman Partnership; Boulton & Paul Ltd, Darryl M. Sheath.

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systems (IS) and their associated IT strategies with business objectives. However, this work has failed to look at the co-maturation of processes and IT. This paper adopts a process/business view to develop IT solutions through an IT map which will enable rather than drive the business and/or operational processes. The work presented in this paper has been undertaken as part of a major EPSRC funded project under the IMI (Innovative Manufacturing Initiative) “construction as a manufacturing process” initiative, and in close collaboration with a wide spectrum of construction firms representing clients, consultants, contractors, suppliers and software houses, enabling the consideration of a wide range of views and perspectives. The IT map presented here identifies technologies that enable specific processes within the design and construction cycle to have better performance through a co-maturation model. The IT solutions are classified under major headings including communication, visualisation, integration and intelligence. These technologies are addressed in terms of their maturity in relation to the processes they are trying to support.

hermeneutic spiral (Odman, 1985). As such the research is depicted as an iterative process whereby the pre-understanding supplied by the research team and industrial partners is used to inform the understanding stage which furthers the development work. Traditional case study and action research approaches were used to provide an insight to detailed information and facilitate the generation of new knowledge or understanding whilst at the same time providing structured frameworks for carrying out organisational change within the boundaries of the industrial partner research team members. A number of research techniques have been used such as interviews, questionnaires (qualitative in nature), workshops and indepth reviews of literature. The use of a particular research technique was dependent on the type and nature of information required for the continuous improvement of the work carried out and the research approach used. For example, workshops were central to the pre-understanding and understanding progression offering rich qualitative data.

Research methodology A selective approach was adopted for the execution of the project, drawing upon a range of interdisciplinary research domains and methodologies. The overall research model is shown in Figure 1. The overarching research philosophy used was the pre-understanding – understanding Figure 1 Research methodology “nesting“

Technology management of IT within the construction process The technology management of IT in construction has rarely been considered within a process context. Furthermore, both IT and process have frequently been treated as separate processes without any apparent links and/or interfaces. Ever since the 1930s there has been an apparent desire to change the construction cycle and several government and institutional reports have been produced to support this, including Simon (1944), Banwell (1964), and the British Property Federation (1983), but none up to the Latham report (1994) have been significantly acted upon. During this time several protocols have been introduced including RIBA Plan of Work (1991) and the British Property Federation Manual (1983). These protocols have not solved the ills of the construction industry and have done little in considering IT as an integral part of the process. Hughes (1991) suggests that “every project goes through similar steps in its evolution in terms of stages of work. The stages vary in their intensity or importance depending upon the project.” In the same way the IT elements remain the same but their use is 131

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dependent upon the project/process, acting as an enabler rather than a driver. The benefits of using IT in the construction industry have been illustrated by a large number of researcher and studies (see, for example, Betts, 1992; Brandon, 1993; Miyatake and Kangari, 1993; Teicholz and Fisher, 1994; Tucker et al., 1994). However, as IT has been introduced in the construction industry through its various professions, there has been little regard of the use of IT within a process framework. This paper addresses the issue of technology management of IT in construction within the context of its role as a driver (process independent) or as an enabler (process integrated).

be utilised to identify actual operational and business client needs. This can be in either a numeric or a visual format and should use tools such as VR, 3D modelling and economic analysis tools with the required data being obtained from an archive of previous projects that have been undertaken. This is shown in Figure 2 as “use and creation of legacy archive”. During phase two, a product based case retrieval system is recommended for use, this again could utilise data from an archive of previous projects that have been undertaken in order to give a basic cost for the various project options. In phase three, AI tools such as neural networks, knowledge based systems and case based reasoning could be used as an aid to enhance creativity in the initial production of the design while multimedia applications can help ease the distribution of information to lay persons such as the client. The “pre-construction phases” incorporate all the design phases: • Phase Four: “Outline conceptual design” • Phase Five: “Full conceptual design” • Phase Six: “Co-ordinated design, procurement and full financial authority”, and • Phase Seven: “Production information”.

The IT process map The first step in developing an IT process map is to identify a framework or an actual process upon which the IT elements can be placed. The process map (process protocol) developed in this project was used as the underlying framework for mapping IT. It is not the purpose of this paper to present the process map but relevant information can be found by Hinks et al. (1997), Cooper et al. (1998) and Kagioglou et al. (1998). The relevant IT elements of a process map will have to be generic rather than specific commercial applications so that the technology can be identified but allows the selection of specific software applications to suit the company’s business and operational environment and indeed culture. Figure 2 illustrates an IT map that identifies the technologies which enable processes and phases of the process protocol. At the initial “pre-project phases” (see Figure 2 upper x-axis), which incorporate: • Phase Zero: “Establishing/Demonstrating the need” • Phase One: “Conception of need” • Phase Two: “Outline feasibility”, and • Phase Three: “Substantive feasibility study” several forms of IT are shown. These include at phases zero and one, economic appraisal and risk analysis, what-if analysis for cost control and project simulation for design analysis technologies. At this stage of the process there is one main question being asked, “Do we need a building?”. To provide the answer to this question simulations should

At these phases a design needs to be established that fulfils the requirements established in previous feasibility studies, which satisfy the customer/client needs. At phase four, the use of AI tools is continued from the previous feasibility phase as this area again can utilise the creativity enhancement properties of these tools. During phases five and six, the IT map recommends the use of cost planning applications in order to ensure design and construction costs do not exceed the budget. Also during these stages VR, 3D modelling, 2D CAD and constructability/usability modelling tools are shown. The VR, 3D modelling and 2D CAD are used in the production of the design and design drawings. VR can also be used along with the constructability/usability modelling tools in order to see if the design is free from “errors” by utilising features such as clash detection, and also in helping establish whether the building will be fit for its purpose once constructed. A project planning application is needed at phases six and seven, the purpose of which is the production of the project plan. Stretching from pre-construction phase seven to the construction phase eight:

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Figure 2 The IT process map

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“Construction”, are four IT application areas. These are as follows: (1) 3D modelling and VR. These applications are used here as visualisation tools for board members and higher management of the contractor and/or client so they can interrogate the VR or 3D model for detailed information on individual elements of the building, so they can see and monitor the progress of the project and so they can interrogate the model for cost information. (2) Progress reporting and as-built model generation. These applications would most probably be used by the client. A generic accounting package or a project planning application that has good costing and progress monitoring facilities for the progress reporting should be utilised. VR or 3D modelling for the as-built model generation. (3) Cost control and project planning. These applications would probably be used by the contractor utilising generic accounting packages, and project-planning applications respectively to undertake cost control and planning of the project. (4) Robotics and resource management. Two application areas at phase eight, and postconstruction stage, phase nine: “Operation and maintenance” can be seen. At the design and construction and production functions robotics could be used for various construction and maintenance activities such as the positioning of precast concrete flooring, the erection of cladding for a building, inspections and repair of various parts of the building and cleaning. At the production and facilities management functions a resource management application area would probably be a generic facilities management package that would assist in the running and maintenance of the building after construction.

These IT application areas are designed to be used throughout all of the process protocol in order to exchange information and support communication between all those involved in a project. EDI and Inter/intranet applications such as e-mail, groupware and World Wide Web applications will help improve communications not only between the main parties involved in the project such as contractor, client and architect but also between these main parties and suppliers and various legislative organisations, etc. This improvement should therefore provide better co-ordination and management of the project. Document management systems could also help with communications, correspondence between the parties involved in the project such as faxes, EDI invoices, e-mail, etc., could be stored and retrieved at a later date for the settlement of claims. Utilised over the whole process and using the other technologies mentioned in this paper all parties (depending on authorisation level) could have access to all the correspondence between all of the parties involved. The use of AI could help in various areas of the process. Technologies such as neural networks, case-based reasoning and knowledge-based systems could provide decision support systems that can manage and automate various processes within the protocol. Concluding the process wide IT applications, the use of integrated databases would allow the sharing and exchange of information between all parties involved in the project. The use of an integrated database combined with the other technologies for communication and AI would provide a very powerful tool that could automate numerous processes such as project planning and bill of quantities generation.

In addition to the process specific application areas the IT map identifies various IT application areas that should be used throughout the whole process protocol execution. The five areas identified are as follows: (1) Electronic data interchange (EDI), (2) Inter/intranet applications, (3) Document management systems, (4) Artificial intelligence, (5) Integrated databases.

The co-maturation model Ideally, a complete maturation model encompassing process, IT, people, culture and customer issues should be developed. Figure 3 illustrates how these issues could be put together to produce a comprehensive model. The model identifies the enablers for process execution as IT, people and culture. It could well be the case – and it probably is – that these enablers are interrelated. For example the type of IT will probably depend on the people that use it, and the extent of its use will depend on the culture of the organisation

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(3) defined (4) managed, and (5) optimised.

Figure 3 An integrated model for process involvement

and/or industry. An “open” culture will utilise the communication capabilities of an IT tool as to ensure visibility of project elements and deliverables by all parties in a project. The effective use and co-ordination of IT, people and culture interfaces should optimise the process performance, which leads to eventual customer satisfaction. This paper only addresses the co-maturation between process and IT within the construction sector. The process protocol developed in parallel with the IT map has been used to identify the various phases of a construction project, namely: pre-project, pre-construction, construction and post-construction. In addition sub-processes performed within these phases are identified and analysed in terms of process maturity. On the other hand, the IT map has helped in identifying technologies which can support the process. These technologies have been classified under six main headings (Aouad et al., 1998), which are as follows: (1) Simulation (e.g. “what if ”, project simulation, economic appraisal). (2) Integration (e.g. integrated databases). (3) Communication (e.g. EDI, Internet). (4) Intelligence (e.g. artificial intelligence, KBS, neural networks, case-based reasoning). (5) Visualisation (e.g. VR, 3D). (6) IT support (e.g. CAD, project planning, cost control). These technologies and their corresponding elements have been used to develop the synchronised process/IT maturation models shown in Figure 4 based on the CMM (Capability Maturity Model) framework. The CMM is a five-level model, which includes the following stages: (1) ad hoc (2) repeatable

The model is designed so that capabilities at lower stages (ad hoc) provide progressively stronger foundations for higher stages (optimised), reducing the change management risks. It is clearly shown on the diagram that there is an apparent lack of balance in terms of process and IT maturation. It is evident that some corrective measures are required in order to establish a balanced IT and process at any level. Maturation occurring at higher levels is, however, more beneficial (Hinks et al., 1997). Figure 4 also shows varying levels of maturity for the different phases of a construction project. This will result in serious bottlenecks in terms of co-ordination and exchange of information. Also, Figure 4 shows a similar pattern in terms of the maturity levels for the various technologies that can be seen. This will intensify the problem. The problems associated with IT are related to its uptake, which has been apparently relatively uncoordinated, and its strategic application appears to have been determined by the availability of it rather than its suitability. The unsuitability of IT systems causes disfunctionality in the process infrastructures which they are expected to support. It is evident that the uptake of IT systems by the industry systems has been broadly technology led, with the industry using basic communication tools in a widespread (but not comprehensive) manner, and that the application of particular industry specific tools is more localised, probably because of communication problems. In part this is due to a lack of understanding of the way in which organisations and their operational and managerial processes operate, compounded by the lack of appreciation of how information technology supports them; at a more sophisticated level of analysis, the organisational capability and maturity of a company (or industry) are related to a number of issues including the role of process management and information systems in their maturation.

Conclusions The technological management of IT within the construction industry has been given little attention in the past. As a result a number of 135

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Figure 4 A high-level synchronised process/IT model

IT solutions have been developed to act as drivers in the design and construction process. The perils of such approaches have been illustrated in this paper. The authors suggest that technological IT enabling solutions will play a major role in achieving major improvements in a traditionally fragmented design and construction process. The authors have illustrated how this can be achieved from a process viewing in two dimensions: (1) There must be process and IT alignment. The IT process map presented in this paper illustrates how IT could operate within a process framework. This requires an agreement on the actual design and construction process phases, structure and management. In such a way the process becomes the driver and IT the enabler. (2) The phenomenon of co-maturation of IT and processes needs to be considered. This paper illustrated that IT can only be effective if it is based on synchronised process development. For example, the full benefits of an optimised process cannot be realised when the IT development is still at the ad hoc stages, and viceversa.

Within this framework, it is anticipated that construction firms will move away from traditional ad hoc IT investments and move towards well-planned strategies. By doing so, large, as well as small, organisations would be able to identify opportunities for IT investments, evaluate their existing systems, identify the rate at which new IT applications are adopted, and work out the level of impact of IT on their firms. Essentially the authors suggest that the coupling of processes, IT, people and culture will provide customer/client satisfaction, accompanied by many obvious benefits. Therefore, this paper concludes that the technology management of IT within the construction industry should be developed and used as an enabler to the wider business, strategic and operational needs of the construction industry.

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