Purpose: Although a construction logistics solution is necessary for dealing with the demands in many large urban development projects, there is a lack of research on governance mechanisms for construction logistics solutions. Therefore, the purpose of this paper is to analyse the initiation and utilisation of a construction logistics centre (CLC) from different stakeholders’ perspectives to suggest governance mechanisms for strategic, tactical and operational levels and to develop guidelines for implementing these governance mechanisms. Design/methodology/approach: A single case research design was used. Data were collected through interviews, site visits, observations and documentation from four stakeholder groups. Findings: There is potential for utilising CLCs in development projects, with positive effects such as consolidation effects and enhanced planning. What is evident, however, is that the design and implementation of the CLCs must be based on a comprehensive stakeholder analysis, as there are conflicting goals between stakeholders. Governance mechanisms, including flexibility in the main contractors’ working construction process, as well as clearly stated roles, responsibilities and communication must be developed to enhance this potential. Research limitations/implications: The conflicting goals of CLCs are identified and discussed, and the results show the need for further multi-stakeholder analysis of construction logistics solutions. Practical implications: The experiences from the studied case are developed into practical guidelines to be used in the design of construction logistics solutions in development projects. Originality/value: This study contributes by taking a multi-stakeholder perspective on CLCs and providing guidelines to be used in the design of construction logistics solutions in development projects.
3 March 2021 in International Journal of Physical Distribution & Logistics Management
Purpose: The use of third-party logistics (TPL) setups in construction has increased but is still a new phenomenon. The purpose was to increase understanding of how structural and management dimensions are related in CLSs by describing how CTPL setups are used.Design/methodology/approach: Ten dimensions to describe and structure CLSs were identified from the literature and used to structure a cross-case analysis of 13 Swedish CLSs.Findings: The main findings are: (1) there are three typical initiators of CLSs: municipalities, developers and contractors; (2) CLSs are drivers for service differentiation and modularization among TPL providers as construction specific services are required; (3) CLSs play a new role in construction by coordinating logistics activities between the construction project and the vicinity of the site.Research limitations/implications: The study is based on 13 cases in the Swedish construction context. Additional studies of CLSs in other countries are needed.Practical implications: The ten dimensions can be used as a guide in designing a CLS and in determining the order of design decisions. The identification and structuring of CTPL services also exemplify the variety of service offerings.Originality/value: This is one of the first cross-case analyses of CLSs enabling the characterization of CTPL setups. This study identifies how different services included in the setup relate to the roles of SCM and logistics in construction.
21 September 2021 in The International Journal of Logistics Management
Purpose: The construction industry is reluctant to utilize construction logistics centres (CLC). To understand why, the purpose of the study is to increase the understanding of drivers and challenges of CLC utilization.Design/methodology/approach: Adopting an activity-based cost methodology, nine construction projects' CLC utilization in a Swedish urban development project is analyzed for a time period of three years (2013–2016).Findings: There is a difference between drivers and challenges for implementing and utilizing CLCs, which are often implemented to reduce third-party disturbances. The drivers to utilize a CLC, however, stem from achieving efficient logistics. The authors identify two different utilization strategies; the CLC is used either for just-in-time (JIT) deliveries or as a consolidation point.Research limitations/implications: The study shows that construction logistics is to some extent repeating some mistakes of its big brother, city logistics. The study hypothesizes that there are differences between CLC implementation and utilization drivers and challenges that are often overlooked, which can explain the lack of CLC utilization.Practical implications: The study shows that it is crucial for construction projects to develop and formulate a logistics strategy for how to utilize the setup, i.e. deciding whether to use the setup as a consolidation point leading to fewer deliveries and more materials on-site, or as JIT, leading to more deliveries but fewer materials on-site.Social implications: CLCs can reduce environmental impact and third-party disturbances. However, to make this come true, acceptance among the users is needed. The study provides understanding of drivers and barriers for CLC implementation and utilization that can increase acceptance among users (i.e. construction projects).Originality/value: The current study is one of the first studies to analyze CLC utilization.
16 September 2020 in Production Planning & Control
Third-party logistics (TPL) arrangements are becoming a regular occurrence in urban construction projects. The industry is, however, still apprehensive regarding the effects that TPL arrangements bring. The purpose of this study is therefore to investigate the effects that can be realised when employing a logistics arrangement in construction, including possible benefits, concerns, and effects on cost elements. The purpose is fulfilled through a case study of a large construction project in Sweden that has employed a TPL arrangement. Results show that there are positive effects to achieve in terms of logistics performance and project performance, but that the main challenge to achieve these effects is to include all supply chain actors to reach a higher level of SCM maturity. This inclusion can be achieved through a better dialogue amongst supply chain actors to create an understanding for why TPL is employed and why policies and regulations needs to be followed.
With the current urbanization trend, there is an increased need for city development, i.e. to build apartment buildings, hospitals, schools and infrastructure in cities and urban areas to meet the ...
6 September 2021 in Construction Management and Economics
Public actors are increasingly enforcing the use of specifically designed construction logistics setups (CLS) to cope with logistical challenges and minimising disturbances on third parties in large construction projects. The organising of these CLS is contingent on the interaction among several types of actors. The purpose of the paper is to advance the understanding of the design and use of CLS and the distribution of various outcomes of such arrangements on the actors involved. The paper analyses the role of public actors in the initiating of CLS and how this affects the relational interfaces in the CLS triad of developers, contractors and logistics service providers, and the outcomes of their interactions. First, the main reason for a public actor to initiate a CLS is not cost, productivity or innovativity gains, but to decrease disturbances on third parties. Second, developers and contractors are forced to use the CLS initiated by the public actor. This makes them take on a forced customer role, explaining why these actors are often resistant to adopt to a certain CLS. Third, ripple effects, such as unintended costs and productivity impacts, occur in the construction supply chain because of the use of CLS.