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Journal of Business Intelligence and Data Analytics

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JBID


ISSN : 2998-3541


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Article Title

Barriers to Supply Chain Management Adoption in Construction an Evaluation Using the ARAS Method

  • Author Name: Venkata Pavan Kumar Aka
  • Affiliations: Sr. Enterprise Applications Analyst, Lhoist North America Inc., United States
  • Published Date: 2024-12-17
  • DOI: https://doi.org/10.55124/jbid.v1i3.260
  • Views: 20

Abstract

This research explores the main obstacles that impede although SCM has achieved considerable success in manufacturing, its adoption within construction remains limited, despite its potential to boost efficiency, lower costs, and enhance competitiveness. Employing the Aggregate Ratio Assessment (ARAS) method, the study evaluates and ranks five primary barriers to SCM adoption in construction. The analysis identifies "lack of resources" as the most critical barrier (Ki=0.884), followed by "lack of markets for recyclable materials" (Ki=0.795), highlighting significant issues related to resource allocation and sustainable material usage. The third-ranked barrier is the "lack of information sharing between construction firms and suppliers" (Ki=0.721), reflecting communication inefficiencies in the highly fragmented construction supply chain. "Lack of awareness regarding environmental impacts" and "limited commitment from senior management" are ranked fourth and fifth (Ki=0.484 and Ki=0.476, respectively), indicating they are less severe but still relevant challenges. Unlike manufacturing supply chains, which are designed to produce a variety of products for different clients, construction supply chains typically revolve around individual projects, necessitating a more centralized SCM approach. The findings underscore the importance of enhancing resource availability and developing markets for recyclable materials to advance SCM practices in construction. Furthermore, improving information exchange between construction stakeholders can lead to better supply chain integration. This study enriches the existing literature on construction SCM by applying the ARAS method to quantify the relative significance of key barriers, offering practitioners and policymakers targeted insights for effective intervention. It recommends that construction firms prioritize resource management strategies, foster sustainable material markets, and enhance inter-organizational communication systems. Keywords: Supply chain management, construction industry, ARAS method, sustainability, resource optimization, information exchange  The findings underscore the importance of enhancing resource availability and developing markets for recyclable materials to advance SCM practices in construction. Furthermore, improving information exchange between construction stakeholders can lead to better supply chain integration. This study enriches the existing literature on construction SCM by applying the ARAS method to quantify the relative significance of key barriers, offering practitioners and policymakers targeted insights for effective intervention. It recommends that construction firms prioritize resource management strategies, foster sustainable material markets, and enhance inter-organizational communication systems. Keywords: Supply chain management, construction industry, ARAS method, sustainability, resource optimization, information exchange

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