Lean enabling capacity building framework for small and medium enterprises in construction industry

Abstract

Lean implementation has embarked on a positive trend in Small and Medium Enterprises (SMEs) in the construction industry. Lean practices ensure yielding a higher value for construction processes at a lower cost. However, countless barriers have led to a low success rate in lean implementation in construction SMEs. Therefore, all necessary capacities need to be identified and developed by construction SMEs to achieve the full benefits of lean. Although the challenges of lean implementation in construction and solutions to overcome them have been previously explored in the international arena, there is a dearth of research on lean implementation and strategies to overcome barriers in lean implementation in Sri Lankan context. While exacerbating the situation, capacity building to overcome lean implementation barriers is often overlooked in construction SMEs. Hence, this research aims to develop a lean enabling capacity building framework for construction SMEs in Sri Lanka. The critical review of literature initially developed a working definition for the term construction SMEs in Sri Lanka and established the importance of developing the ability of individual, organisational and environmental capacities to enable lean in order to optimise the value of construction SMEs. The research adopted ontological, idealist assumptions in the interpretive paradigm for the study to collect, analyse and validate data. The data collection comprised of two rounds of empirical investigations (EIR-1 and EIR-2). Adopting a case study strategy, EIR-1 included data collection from five construction SMEs selected through quota sampling. Data triangulation was achieved through 18 semi-structured interviews, three focus group interviews, observations at eleven progress review meetings and eight site visits and documentary reviews. EIR-2 included in-depth interviews with 24 experts selected through purposive sampling. Findings of EIR-1 were extended to develop a SWOT analysis and 5-Whys analysis to identify non-value adding activities (NVAA) in construction SMEs. EIR-1 further presented the current level of implementation and understanding of lean tools and techniques within construction SMEs. EIR-2 identified 66 drivers and 62 barriers for lean implementation in construction SMEs at three capacity levels. Further, 7, 5 and 4 numbers of lean enabling capacities at individual, organisational and environmental levels of construction SMEs were identified, respectively. ‗Lean knowledge dissemination‘, ‗lean learning‘, ‗start lean by doing‘ and ‗lean skills developments‘ are noteworthy individual level lean enabling strategies. All eleven organisational strategies are interconnected and inter-dependent. ‗Maintaining a lean culture‘, ‗networking‘ and ‗lean training‘ are the foremost organisational lean enabling capacity building strategies out of eleven strategies. All four environmental strategies including ‗establishing a professional institute for lean construction‘, ‗organising lean awareness programmes‘, ‗disseminating inter/intra industry lean knowledge‘ and ‗introducing national policies and legislation to support lean implementation‘ are notable lean enabling capacity building strategies. Lean enabling capacity building framework was developed by mapping the lean enabling capacity building strategies for construction SMEs. This research contributes to the body of knowledge as it uncovers individual, organisational and environmental level strategies for enabling lean through capacity building in Sri Lankan construction SMEs. The outcomes of this research study will be beneficial to construction SMEs, academics, researchers, and government institutions in developing countries sharing similar socio-economic, demographic or cultural traits to Sri Lanka.