Project Planning and Management in Construction Industry

This paper focuses on project planning and management in the construction industry, specifically in relation to logistics and supply chain management. It discusses the significance of supply chain management in improving project performance and explores the complexities and challenges faced in the construction industry. The paper also reviews relevant literature and provides recommendations for effective planning and management strategies.

Running head: LOGISTICS AND SUPPLY CHAIN MANAGEMENT
Logistics and Supply Chain Management: Project planning and management in construction
industry
Name of the student
Name of the University
Author’s Note

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1. Project statement
The paper mainly reflects on the project planning and management in construction
industry in context to logistics and supply chain management. According to Khattak et al.
(2015), the council of the supply chain management professionals generally helps in defining
the logistics as a part of the supply chain procedure that is generally used in order to
effectively plan, implement as well as control the efficient reverse and forward flow of goods
storage as well as services. On the other hand, supply chain management is used in order to
manage the flow of various types of services as well as goods which further involves the
movement as well as storage of the raw materials as well as finished goods from one point to
another (Parikh and Pitroda 2014). Proper planning as well as management is very much
important within the construction industry for managing the logistic and SCM as they
generally help in managing the flow of information as well as materials between the relevant
organizations as well as other stakeholders.
The significance of SCM is mainly discussed properly in context to the scientific
literature for improving the performance of the projects in the construction industry. It is
found that as the construction industry is mainly considered as one of economic as well as
social activity of every country, the use of SCM related strategies are found to be very much
helpful in achieving proper competitiveness within the projects of construction firms (Brown
2015). In addition to this, it is found that as construction is a worldwide activity, it generally
contains some of the special charteristics as well as project that are of different types, sizes as
well as complexities therefore it is very much necessary to integrate he supply chain as well
as meds of the markets within the construction projects when it is generally delivered to the
clients or to the customers.

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Furthermore, it is found that supply chain is one of the networks of the firms that is
generally involved with various types of complex activities as well as multi procedures. It is
identified with such level of complexities, it is quite necessary to manage the
interdependencies of the project that further needs to be properly coordinated in order to
improve the performance of SCM (Chun et al. 2015). It is found that in construction industry
there are number of supply chain as they generally deal with number of construction projects.
The project generally differs from each other as the needs and requirements of each of the
project clients generally varies and therefore the characteristics of the projects are different.
Moreover, it is identified that the utilization of logistics and SCM generally increases
complexity and in order to handle those complexities, it is quite necessary to have proper
planning and management related strategies. The complexities can be managed by connecting
points, by communicating as well as by using agile management procedures (Chileshe et al.
2016).The problems or issues that are associated with logistics and SCM in construction
industry can be resolved by connecting points with the help of critical path method so that
this project management technique can be utilized in reflecting the sequence of activities
within the schedule so that the problems that is mainly associated with the organization can
be handled easily.
2. Project report
2.1 Clear description of the topic and its context in the construction industry
The paper mainly focuses on the project planning and management in construction
industry for logistic and supply chain management. It is found that Supply chain management
generally involves proper understanding about the breakdown as well as traceability of
various products as well as services, people, activities, organization, information as well as
resources for transforming the raw materials into finished product (Handfield et al. 2015).
The construction-based supply chain and, logistics are generally affected by many problems

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as well as issues. Most of the problems are generally developed not in the conversion
procedure but also in the different interfaces which generally exists within the supply chain.
Some of the issues as well as challenges includes lack of coordination, design problems, poor
quality of materials as well as due to different communication between the stakeholder who
are generally involved with the project. It is found that for resolving the issues as well as
problems that are associated with logistic and SCM industry, it is quite necessary to plan as
well as manage the project effectively.
The paper mainly reviews number of journals as well as articles in order to gather
proper information about logistics and SCM in construction industry and how project
planning and management is necessary. It is found that in order to gather the data, secondary
data collection method is generally used. Furthermore, the paper analyzes the results and
provides proper recommendations.
2.2 Literature review
A literature review in implementing Supply Chain Management in Construction
Project Planning is an essential part for the further researches to be conducted. This is done to
find out what the future scope lays in this context for finding out a feasible procedure for
implementing Supply Chain Management in Construction Project planning and to find out the
gaps in the literature that have been published so far based on the topic (Chun, Hwang and
Byun 2015). Following is thus a literature review based on the researches published by
various researches on the successful implementation of the Supply Chain Management in the
project planning for the construction industry. The literature review is thus accumulated from
the studies conducted through the various researchers focusing on the project planning
regarding the Supply Chain Management in the construction industry. This literature review
would be conducted through the study of various literatures in this regard to find out the past
researches done previously to find out the insights and outcomes of the researches and further

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finding the scope of these researches. Finally, the literature review would be concluded
through finding the gaps in the literatures reviewed.
Past Researches in the area
According to authors, Cus-Babic et al. (2014), the term called Supply Chain Planning
or SCP is based on the planning of different aspects in a supply chain. This involves the
supply chain members, their involvement regarding the planning, and the insights of the
members during the process implementation. The author also points out further that the
integration of the processes during the planning of the supply chains in the construction
industry can form a reason for the increasingly decreasing number of the successful adoption
of Supply Chain Management in the construction projects. This literature has been studied
thoroughly to find the various reasons for which construction industry has been facing
increasing amounts of problem in Supply Chain Management implementation in spite of the
SCM system being the solution to the construction problems as per conducted researches so
far. The author also suggests that there should be various frameworks developed that would
help in the people related to the construction industry find the proper way of implementing
the Supply Chain Management, such that it would become one of the most efficient solutions
to the impending and lingering problems, rather than becoming a problem for the planning of
the projects itself.
According to further studies of the literature, the authors Monczka et al. (2015), have
identified the problems that people in the construction industry often face regarding the
implementation of a supply chain management and use it accordingly in the project planning.
For improving the state of the Supply Chain Planning in the construction industry, the authors
have suggested a thesis that helps in the development of a Supply Chain Planning framework
that involves the utilization and contribution of the main contractors, the suppliers as well as

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the subcontractors. The primary idea of the authors was to have an improved Supply Chain
Planning based on the enhanced Supply Chain Planning and collaboration. The framework
thus developed eliminates all the involvement of the common problems raised in the
construction industry from the perspective of both Supply Chain Management and Supply
Chain Planning. Along further study of the framework, it was identified that the framework
works along with the previous version of the sales and operation planning prepared for
construction industries and mostly has a generic approach for the synthesis of the planning in
general.
Upon further referring to further literatures, various other framework of planning the
Supply Chain Management for the construction industry has been witnessed. One of them by
the authors Thunberg, Rudberg and Gustavsson (2017), were based on the development of
planning of the construction projects focusing on the substrates of the outcomes of the
project, the input from the clients, the structure and operations of the organization, the
process in general, the key performance measurements and utilization of the IT tools
including the ways they are implemented or being planned to be used in the project. The first
objective that the framework aids in focuses on working with the development of the
framework itself merging it to the previous planning and schedules. The authors believe that
this would help in solving the problems of common logistics (Koolwijk et al. 2018).
However, the authors also point out that before implementing the framework, it is absolutely
necessary that the people involved in the project identifies the problems or the gaps in the
planning of the project regarding the implementation of the Supply Chain Management and
how the Supply Chain Planning can help in solving those issues as a whole. Therefore, the
objectives should be made clear when the organization working on the construction project is
developing the plan for the project. The framework developed as such in this particular piece

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of literature investigates the effective way of integrating the supply chain planning in the
SCM process to facilitate the logistics in construction industry further.
Scope of Further Researches
Based on the discussion from the above discussion, it could be discussed that there is
a further scope of research on the topic based on planning and management within the
construction industry based on supply chain. The further level of research on the current topic
would be able to investigate and identify the needs and specific areas that would needed to be
researched in order to lead the investigation into a positive side (Seuring 2013). Necessary
forms of IT tools such as work disposition plans, systems for the distribution of these plans to
the supply chain members and an automatic system based on the updating of plans based on
making of changes within other plans that includes the time schedule would be beneficial for
the research.
The construction sector had always acted a strong impact on the entire economy.In the
construction industry, the main initiative would always be taken by the client who would
initiate the idea of a construction project. This would lead to the frequent conceptualization of
the supply chain based on construction (Brandenburg et al. 2014). The different clients
involved within the project would source their requirements based of construction. These
would be based on the requirements of construction based on high form of competitive
construction supply markets. These would be possible such that the construction project that
would provide the required functionality in order to support the business objectives. Based on
the further scope of research within civil engineering and construction projects, it would
ensure that the improved form of methods would be helpful for delivering the projects to the
end customer within the proper time. These kinds of firms would play a major form of

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integrating role based on the constituent construction of supply chain. They would highly
operate within a highly competitive marketplace.
It would be undeniable that the major kind of characteristics within the construction
of supply chain is that each of the clients would be able to represent a unique kind of
customer who would have unique kind of requirements. The construction of the supply chain
would have a purpose of adjusting based on becoming efficient and effective. The lack of a
proper form of management based on construction supply chain would be in a part due to the
ways in which the supply chain would be deployed (Gold, Hahn and Seuring 2013). The
concept based on the construction of supply chain has been studied based on presenting
different kinds of perspectives based on different relevant bodies of literature.
Construction supply chain management would also be able to offer new kinds of
approaches in order to reduce the costs of conducting the research. These would be based on
bringing reliability and speed within the construction facility. The supply chain management
would take a view of the entire system based on the activities of production of different
autonomous production units (Ahi and Searcy 2013). Improved form of costing, coordination
and control would offer based on construction of supply chain management based on an
achievable vision. Such form of improved understanding of cost factors and capabilities
would be able to offer improved kind of design based on supply chains. These would be
composed of suppliers and subcontractors. They would also provide engineering basis based
on improved form of coordination. The further scope of the research would thus be able to
put value for progress of the research on the concerned topic.
Gap in the Literature
According to the studies conducted so far with the help of various literatures
available, there have been enlightening insights on the subject of implementing the Supply

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Chain Management in handling the various logistic aspects of the construction projects.
Previously, the concept of Supply Chain Management was conceived as the solution to all the
lingering problems regarding the construction projects (Thunberg 2016). However, it was
found that, due to the ignorance of the identification of the problems in the projects there was
faulty implementation of the Supply Chain Management planning, which had led to
disastrous outcome of the construction projects.
After consulting the various literatures presented by the researchers in this context, it
was found that the researches have clearly presented the fact that the primary problem in the
project planning and the proper implementation of the Supply Chain Management lied in the
faulty or problematic identification of the issues regarding the project implementation (Dave
et al. 2015). This has led to the improper integration of the Supply Chain Management and
thus, various projects have had disastrous outcomes. The authors have also had a positive
impact in the study by suggesting ways proper developmental process of effective
frameworks that first and foremost helps in the identification of the problems in the
construction project planning and then helps in the proper implementation of the Supply
Chain Management Planning system (Berg Voordijk and Adriaanse 2018). The studies have
also positively pointed out that the frameworks effectively merge with the previous
implementation plans without creating a disruption, but requires proper insights and
involvement from the people associated with the project, especially the contractors, the
suppliers and the subcontractors.
According to the literatures reviewed, it has also been found that either the authors
have encouraged further researches based on the finer implementation processes for the
planning of construction projects referring to the Supply Chain Management to improve the
logistics and associated systems or there have automatically been elevated scopes for further
development and researches (Aloini et al. 2015). The more researches would be conducted in

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this regarded, there would be more hope that the construction industry would use the Supply
Chain Management not as a problem but the solution to the lingering problems in
construction industry itself.
However, there have been several gaps found in the reviewed literatures as well. The
review of these literatures has found out that there have been problems in the identification of
issues in the planning of the projects utilizing proper way of Supply Chain Management but
all the frameworks suggested as a solution are only theoretical, there have been no literature
found that had a practical application of the frameworks. Thus, it cannot be understood if the
suggested frameworks are feasible.
Thus, in conclusion it can be said that the literature reviewed so far are feasible in
understanding the primary problem behind the people associated with construction industry
and their inaccurate implementation of Supply Chain Management in the project planning.
The authors proposing the frameworks to solve these problems have referred to the previous
studies stressing mostly on the importance of planning the construction projects as well as the
supply chain and the logistics as a result. Supply Chain Management or SCM has been
defined as the ensuing solution to the underlying problems in the construction industry in
these literatures. However, there have been very scarce examples for the positive outcomes of
utilization of Supply Chain Management as a noticeable factor in the lingering issues in
constructions. This is where the studies have begun for the proper utilization of solving the
lingering issues of construction utilizing the positive effects of Supply Chain Management to
implement a successful project planning. The literature reviewed so far thus have been
feasible in proposing the proper idea about developing a framework to finding out the
problem in the planning procedure and then implementing a Supply Chain Management
planning to improve the logistics. However, the ideas are only theoretical; there have been no
evidence of successful Supply Chain Management planning and their practical application.

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2.3 Research methodology
2. 3.1 Introduction
The methodology of research could be defined as a section that would be helpful for
defining the appropriate manner or approach based on the adoption or attainment of the detail
and complete results of the entire process. The application of a proper methodology of
research would be helpful for having a better and deep analysis of the research. The
researcher would also try to apply each of the detailed process of research methodology that
would be helpful for better analysis of the research.
2.3.2 Outline of Method
In the current chapter, the techniques based on detailed research would be required for
the analysis of project planning and management within the construction industry based on
supply chain. This would also help in influencing the process based on making decisions by
the customers. The selected philosophy of research is Positivism, which would be helpful for
gathering information based on proper form of logic and evaluation.
2.3.3 Research Philosophy
In the methodology of research, the proper form of application based on research
philosophy would be helpful for the determination of proper manner based on gaining of
details on a certain topic of research. Cameron (2009) in his research had discussed about the
impact of research philosophy in providing an explanation about the assumption processes
that would be undertaken by a particular researcher during the conduction of a topic of
research. The process of thinking based on evaluation of a specific topic would vary in
certain conditions. Hence the selection of the concerned philosophy of research should be
operative and properly aligned. The most common and comprehensive forms of epistemology
could be considered as a part of philosophy are positivism, realism and interpretivism.

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2.3.4 Justification of Choice of Chosen Philosophy
Based within the current context, the theory of Positivism could be helpful for the
better form of analysis based on hidden information and facts. This would be relatable with
the processes of planning and management within the construction industry based on supply
chain. Apart from this, the nature of study would be limited within a certain period of time.
Hence the theories of realism and interpretivism had been discarded as they were the choices
of the philosophy of research. Further, the selection of the philosophy of positivism would
limit the role of researcher based on the manipulation or evaluation of data that would hence
lead to minimizing of errors in the data.
2.3.5 Research Approach
An approach based on the study on the topic would be required to reveal the
conduction of the present study. A particular topic of research that would be undertaken
would be based on two ways: inductive or deductive.
Justification of the chosen approach
Within the present context of study, the concerned topic would be helpful for studying
the concepts based on relating the planning and management within the construction industry
based on supply chain with the help of different forms of theoretical knowledge. However,
the impact of inductive approach would fail to get implemented based on the current topic.
There would not be any such new concepts would be emphasised by the researcher of the
present study. Additionally, the role of supply chain would be helpful for considering the
different concepts in a comprehensive manner.
2.3.6 Research Design
Saunders et al. (2009) had presented an illustration on the research design that would
be helpful for explaining the research topic framework. Based on the different processes of

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the collection of data, a specific kind of approach should be applied based on providing a
better form of description to the research design.
2.7 Procedure of Data Collection
Data is regarded as the useful gathering of facts and information based on any
research topic. The collection of data would be beneficial for deriving accurate results based
on a research process. This would enable a standard format based on deriving accurate results
and enabling of ordinary format of the work of research.
Data Sources: Secondary
In the present study, secondary method of research would be used based on widening
of the concept of research topic. This would enable a better kind of study on the topic, which
would involve much description and data. Different tools based on the inclusion of secondary
sources would be able to include online and offline sources such as articles, journals,
websites, books, blog articles and many other techniques.
Data Techniques: Qualitative
The impact of qualitative data would be helpful for the purpose of recording of
description of the data, which would add better form of description to the topic of research.
Bradburn (2004) had stated the fact that the impact of qualitative data would be helpful for
the addition of theoretical concepts within the practical based field. This would lead to
improved form of understanding of the current topic unlike the quantitative based methods.
2.4 Analysis of data and evaluation of findings
After reviewing the literature, it is analyzed that proper project management as well
as planning is needed within the construction industry for managing the logistics as well as
supply chain management (Aloini et al. 2015). It is identified that SCM concept is quite
necessary in order to improve the performance of the construction companies and as

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construction is analyzed as one of the worldwide activities therefore it generally includes
different types of SCM for the different types of construction projects which generally varies
due to the different requirements of the clients.
It is analyzed that the application of logistics as well as supply chain management
within the construction industry helps in achieving proper benefits which generally includes
proper reduction of cost, completive advantage as well as improvement of productivity as
well as better relationship within different parties of the organizations (Carbonara and
Pellegrino 2017). The advantages can generally be achieved by four different critical factors
which are generally determined after analyzing the literature of SCM including information
of the industry, operational coordination as well as collaboration. It is identified that in order
to improve the state of the Supply Chain Planning in the construction industry, it is quite
necessary to use proper development of a Supply Chain Planning framework that involves the
utilization and contribution of the main contractors, the suppliers as well as the
subcontractors.
The information that is collected from the secondary data analysis suggests that
logistics and supply chain management generally play an important role in the field of
construction. It is analyzed that with the help of SCM, all the materials to the construction
site can be easily assessed (Trautrims et al. 2016). Moreover, it is found that the main focus is
on the reduction of costs that are related with logistics, lead time as well as inventory.
Moreover, the focus must be on the transfer of the activities from the site to the earlier stages
of the supply chain that must be avoided by the bad conditions of the site or for achieving
wider concurrency between various activities.
It is analyzed that supply chain is one of the networks of the firm that generally
involves number of different types of complex activities as well as process. It is identified

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that that with such level of complexity, the management of various types of
interdependencies needs to be properly coordinated for improving the SC performance that is
on the flow of information, materials as well as services (Carvalho et al. 2018). It is also
analyzed that 70% of the construction projects that utilizes the concepts of SCM as well as
logistics faces number of issues as well as challenges. Some of the general problems that are
generally identified include lack of proper methods for measurement of performance in
context to supply chain, poor training facility for the suppliers and contractors, information
communication, inappropriate quality of the materials as well as design issues.
It is analyzed that the utilization of proper planning as well as management helps in
tackling the issues and complexities that the construction industry faces. It is analyzed that
most of the successful clients of the construction industry mainly manages the complexities
of SCM by mainly focussing on the connection points that generally links two unique
process, functions as well as supply chain partners. It is found that the utilization of critical
path method plays an important role in managing the complexities of SCM. Critical path is
considered as one of the techniques of project management that is mainly used for reflecting
the sequence of the project activities within a project schedule which further assists the
organizations for handling the complexity (Khattak et al. 2015). It is found that project
management software is needed to be used in visualizing the critical path so that the
complexities that exists in construction industry due to SCM and logistics can be managed
effectively.
It is analyzed that with the utilization of proper project planning and managing tools,
it is quite easy to determine as well as manage the critical path effectively from reminding the
product groups of the construction industry about the collaborative tasks as well as assists in
making sure that the vendors generally focussed on the right activity. In addition to this they
provide proper information about the delays that generally presses the deadlines. Moreover, it

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is identified that the utilization of proper agile approach is also useful in managing the
complexities of the supply chain (Brown 2015). As it is analyzed from the literature that agile
is one of the flexible as well as fast process, it generally assists the teams for adapting the
marketplace opportunities for improving the business. It is found that agile method can be
used for identifying the complexities as with the help of agile process, complexities can be
determined as well as managed quite easily.
Reflection
I have analyzed from the entire report that both logistics as well as supply chain
management are very much necessary for the construction industries. However, it is
identified that construction related supply chain faces number of problems that are generally
caused by the myopic control. It is found that number of literatures are generally reviewed
which helps in justifying the problems as well as issues that are mainly related with the
construction related supply chains as well as logistics. It is analyzed that the charteristics of
the construction related supply chain assists in reinforcing the problems within the
construction industry as well as helps in hindering the application of SCM within the
construction industry. I have identified that for resolving the issues and problems that are
associated with construction related SCM can be easily mitigated with the utilization of
proper project planning as well as management. I have used proper planning and management
related strategies including the use of critical method, utilization of collaboration as well as
use of proper agile processes. Moreover, it is found that the generic methodology that is
generally offered by the SCM helps in contributing to better understanding resolution about
the problems that are mainly associated with the construction related supply chains and

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provides proper directions to SCM. In addition to this, I have analyzed that the practical
solutions which are mainly offered by the SCM needs to be successfully developed within the
construction industry by taking the proper characteristics and local conditions in context to
SCM.
2.5 Conclusion and recommendation
It can be concluded from the entire research report that the topic of project planning
and management in construction industry in context to SCM is properly discussed. It is found
that number of journal articles as well as papers are generally reviewed in order to gather
information as well as data about the research report. It is analyzed from the entire research
report that SCM within construction industry creates number of issues and challenges due to
inappropriate communication, improper training, poor material qualities and man more. The
problems that are identified can be resolved with the help of proper project planning and
management. The analysis that is undertaken in this research report reflects that the
information that proper project management as well as planning plays an important role in
managing the problems that are associated with SCM in construction industry. Moreover, it is
found that number of recommendations are generally provided below that generally in
conducting the research report quite successfully. The recommendations are generally
elaborated below:
Proper collection of data and information: It is very much necessary to collect
proper data as well as information related to the topic so that the entire research can be
conducted quite completed. Proper data collection of data helps in completing the entire work
of the research quite successfully.
Confidentiality of the data should not be revealed: It is found that number of
business reports of the construction industries are used but it is very much necessary to

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maintain the confidentiality of the information so that it cannot be misused by someone in the
project.
Most appropriate investigation method: It is very much necessary to use proper
investigation methods in order to collect data as well as information by using proper
investigative as well as research tools for completing the work of the research successfully.

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