Short answer

When implementing digital solutions in construction, consider their potential to foster both operational efficiency and strategic relationship development, and choose tools accordingly.

Field: Innovation & Design
Source: BIBSYS Brage (BIBSYS (Norway)) (2018)
Method: Qualitative study
Sample: 3 large contractors and their associated subcontractors/suppliers
Evidence: Moderate effect

While digital tools like BIM enhance collaboration within specific construction projects, they do not inherently lead to long-term, strategic buyer-supplier partnerships. This innovation & design research insight is drawn from a 2018 study published in BIBSYS Brage (BIBSYS (Norway)). Using Qualitative study with 3 large contractors and their associated subcontractors/suppliers, researchers explored how this design variable affects real-world outcomes. The key design takeaway: When implementing digital solutions in construction, consider their potential to foster both operational efficiency and strategic relationship development, and choose tools accordingly.

Study

Innovation & DesignHigh ImpactModerate effect

Digitalization fosters project-level partnerships but not enduring strategic alliances in construction.

While digital tools like BIM enhance collaboration within specific construction projects, they do not inherently lead to long-term, strategic buyer-supplier partnerships.

BIBSYS Brage (BIBSYS (Norway)) · 2018

Key Findings

01Different digital tools have varying effects on buyer-supplier relationships.
02Building Information Modeling (BIM) is primarily used as a tool to facilitate project-level collaboration, potentially fostering local partnerships but not extending them beyond project boundaries.
03Integrated web portals are important for managing relationships with material suppliers and customers, and can promote a more centralized partnership.

Application

Design takeaway

When implementing digital solutions in construction, consider their potential to foster both operational efficiency and strategic relationship development, and choose tools accordingly.

How to apply

When evaluating new digital tools for construction projects, assess whether they support only task completion or also the development of stronger, ongoing relationships with suppliers and subcontractors.

Project actions

01When researching digital tools, consider how they might affect relationships, not just functionality.
02Think about whether your design project aims for short-term efficiency or long-term collaboration.

Method & Evidence

AimTo investigate how the adoption of Information Technology (IT) influences inter-organizational relationships between buyers and suppliers in the construction industry, specifically whether IT facilitates operational exchanges or promotes long-term partnerships.

MethodQualitative study

ProcedureConducted semi-structured interviews with three large Norwegian contractors and their respective subcontractors and material suppliers to understand the impact of digital tools on their relationships.

Sample3 large contractors and their associated subcontractors/suppliers

ContextConstruction industry in Norway

Variables

IV["Type of digital tool (e.g., BIM, integrated web portal)","Level of IT adoption"]

DV["Nature of buyer-supplier relationship (operational exchange vs. partnership)","Relationship longevity","Collaboration effectiveness"]

CV["Company size","Industry sector (construction)","Geographic location (Norway)"]

Strengths & Limitations

Strengths

+Provides qualitative insights into the nuanced effects of digitalization on relationships.
+Focuses on a specific industry (construction) where relationships are critical.

Limitations

The study was limited to Norway and a small number of companies, so findings might not apply universally.

Reliability & validity

The qualitative nature of the study allows for in-depth understanding but may limit generalizability. Findings are based on a small sample size, impacting external validity.

Think critically

To what extent can the observed limitations of digitalization in fostering strategic partnerships be overcome by integrating different types of digital tools or by implementing complementary relationship management strategies?

Design Principles

"Digital tools can enhance collaboration, but strategic intent is required to transform operational efficiencies into enduring partnerships."

Understanding the impact of digitalization on relationships is crucial for firms aiming to build stable supply chains. This research suggests that current digital adoption in construction may be optimizing operational efficiency rather than fostering deeper, strategic collaborations that extend beyond individual projects.

What This Means for Your Design

Using digital tools like BIM in construction helps teams work together better on a single project, but it doesn't automatically make companies want to work together long-term.

How to use in your project

1.Reference this study when discussing the impact of digital tools on collaboration and stakeholder relationships in your design project.

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Quick Cite

Paragraph starter

This research indicates that while digital tools such as BIM are valuable for enhancing collaboration within specific construction projects, they do not inherently foster long-term, strategic buyer-supplier partnerships. The focus on operational efficiency may limit the development of enduring relationships beyond project completion.

Source

BIBSYS Brage (BIBSYS (Norway))

The influence of digitalization on the buyer-supplier relationships in the construction industry

journal · 2018

View source

Questions About This Research

What does the research say about digitalization fosters project-level partnerships but not enduring strategic alliances in construction?: When implementing digital solutions in construction, consider their potential to foster both operational efficiency and strategic relationship development, and choose tools accordingly. Evidence: BIBSYS Brage (BIBSYS (Norway)) (2018).
Why does "Digitalization fosters project-level partnerships but not enduring strategic alliances in construction." matter for design?: Understanding the impact of digitalization on relationships is crucial for firms aiming to build stable supply chains. This research suggests that current digital adoption in construction may be optimizing operational efficiency rather than fostering deeper, strategic collaborations that extend beyond individual projects.
How can designers apply this research?: When implementing digital solutions in construction, consider their potential to foster both operational efficiency and strategic relationship development, and choose tools accordingly.
What were the main findings?: Different digital tools have varying effects on buyer-supplier relationships.. Building Information Modeling (BIM) is primarily used as a tool to facilitate project-level collaboration, potentially fostering local partnerships but not extending them beyond project boundaries.. Integrated web portals are important for managing relationships with material suppliers and customers, and can promote a more centralized partnership.
What research method was used?: Qualitative study with 3 large contractors and their associated subcontractors/suppliers.
How strong is the evidence?: Evidence strength is rated Moderate effect, based on a 2018 journal from BIBSYS Brage (BIBSYS (Norway)).
What should I do differently in my next project?: When evaluating new digital tools for construction projects, assess whether they support only task completion or also the development of stronger, ongoing relationships with suppliers and subcontractors.
What are the limitations?: The study focused on dyadic buyer-supplier relationships and may not capture the complexities of multi-party collaborations.