Factors that drive efficiency of construction logistics

Abstract

Title Factors that drive efficiency of construction logistics Introduction ÅF is a design and engineering company that has developed a construction logistics solution (CLS) for large construction projects that include a construction consolidation center, an IT-system for coordination and planning, and a third-party logistics provider that handles all operational logistics activities at the logistics center and at the construction site. To be able to reach the full potential of the construction logistics solution, an evaluation of the logistical setup and the material flow hava to be performed. To be able to implement the construction logistics solution in other construction projects, it is necessary to gain knowledge about what factors that make it successful. Purpose Identify potential improvements in the construction logistics solution and increase knowledge about factors that drive efficiency of this solution. Research questions RQ1: What are the materials handling activities that exist in the material flow of the construction logistics solution? RQ2: What are value-adding, non-value-adding and necessary activities in the material flow in the construction logistics solution and how can non-value-adding activities be eliminated? RQ3: What different factors affect the materials handling activities in the construction logistics solution? Methodology A Value Stream Mapping (VSM) process has been performed to be able to map the material and information flow in the current state of the case study. Lean production principles have been used to categorize activities according to value-adding, non-value-adding and necessary work and to find areas of improvement to increase efficiency of the current construction logistics solution. This master thesis is a qualitative study and the methodological path that has been followed is a triangular approach with a literature review, an interview-series and a case study to increase knowledge about factors that drive efficiency of this solution. Result and Conclusion Three different delivery planning approaches have been analyzed and all activities in the material flow and the information flow have been categorized according to a HATS analysis (Handling, Administration, Transportation and Storage analysis) and divided into value-adding, non-value-adding and necessary work. It is the administrative activities that vary the most depending on which delivery planning approach that is being used. Most of the activities in the construction logistics solution have been categorized as non-value-adding and necessary work. Areas of improvement include elimination of non-value-adding activities, ergonomics, storage policies, planning and coordination, development of work process standards and communication between actors. Most of the factors presented in this thesis were identified both in literature and for the studied case. Factors identified in the case study are mostly connected to administrative activities. It is not enough to just look at one factor to decide if the CLS is efficient to use in a construction project or not. It is not the impact from one single factor that is critical, it is the combination and correlation between different factors. The CLS needs to be adapted to the specific case and maintain some flexibility during the production phase to be able to tackle impact from uncontrollable factors.