Roles of supply chain management in construction

Abstract

Supply chain management (SCM) is a concept that has flourished in manufacturing,originating from Just-In-Time (JIT) production and logistics. Today, SCM represents anautonomous managerial concept, although still largely dominated by logistics. SCMendeavors to observe the entire scope of the supply chain. All issues are viewed and resolvedin a supply chain perspective, taking into account the interdependency in the supply chain.SCM offers a methodology to relieve the myopic control in the supply chain that has beenreinforcing waste and problems.Construction supply chains are still full of waste and problems caused by myopic control.Comparison of case studies with prior research justifies that waste and problems inconstruction supply chains are extensively present and persistent, and due to interdependencylargely interrelated with causes in other stages of the supply chain. The characteristics of theconstruction supply chain reinforce the problems in the construction supply chain, and maywell hinder the application of SCM to construction. Previous initiatives to advance theconstruction supply chain have been somewhat partial.The generic methodology offered by SCM contributes to better understanding andresolution of basic problems in construction supply chains, and gives directions forconstruction supply chain development. The practical solutions offered by SCM, however,have to be developed in construction practice itself, taking into account the specificcharacteristics and local conditions of construction supply chains

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