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Contents

Chapter 3: Methodology.............................................................................................................................2
3.1. Introduction......................................................................................................................................2
3.2. Research Questions..........................................................................................................................2
3.3. Research design................................................................................................................................3
3.4. Data Collection.................................................................................................................................4
3.5. Inclusion criteria...............................................................................................................................5
3.6. Data Analysis....................................................................................................................................6
3.7. The ethical implications of the research...........................................................................................6
Chapter 4: Findings......................................................................................................................................8
4.2. The interview procedure replies were analyzed using thematic analysis.........................................8
4.2.1. Enhancing the resilience of the building and construction supply chain in response to the
pandemic.............................................................................................................................................8
4.2.3. Advantages of using technology in the building and construction supply chain......................11
4.2.4 Intelligent supply chain management's downsides..................................................................12
4.3. Findings from the case study: Hebei Construction Group..............................................................13
4.3.1. Supply Chain Resilience Due to the COVID-19.........................................................................14
4.3.2 How much technology is used in Hebei Construction Group's supply chain.............................16
Chapter 5: Discussion................................................................................................................................18
5.1. Pandemic and the building and construction supply chain.............................................................18
5.2. Supply chain interruptions..............................................................................................................19
5.3. Technology.....................................................................................................................................20
5.4. Merits.............................................................................................................................................21
5.5. Demerits.........................................................................................................................................22
5.6. Future opportunities.......................................................................................................................23
References.................................................................................................................................................24
Appendix...................................................................................................................................................26
Chapter 3: Methodology

3.1. Introduction

Selecting an appropriate technique is crucial to any research project's reliability, validity, and

precision. In addition, several factors play a role in deciding the research method. These include

the nature, extent, and goals of the research, the researcher's philosophical leanings (positivist or

interpretivist), and the time and money available for the research. The methods and procedures

utilized to compile the data for this study are detailed in this section. The previously established

elements and insights from the pre-existing researchers reviewed in the literature review portion

form the basis of the explanation. A concise synopsis of the study's primary research questions

appears at the beginning of this section. The employment of research methodology is

fundamentally justified by these issues as well.

3.2. Research Questions

However, for this section to meet the study's objectives, answers to the research questions below

are required.

1. How does the COVID-19 pandemic impact the construction industry's ability to recover?

2. How many uses may digital supply chain management have in the construction industry?

3. In the event of a pandemic, what are the pros and downsides of digital supply chain

management as it pertains to the construction industry?

4. What methods exist for accelerating the construction industry's embrace of the fourth

industrial revolution?
3.3. Research design

Qualitative research is a study approach that relies on non-quantitative approaches to get results.

The positivist paradigm holds that reality is external, objective, and quantifiable; in contrast, the

interpretivism paradigm considers reality to be socially produced, and the quantitative method is

often linked to the positivist paradigm. In contrast, the chosen phenomena are better understood

within their specific environment using the qualitative technique, which employs naturalistic

processes (Zamani et al., 2021). Qualitative research methods focus on answering questions like

"how" and "why" Creswell's work from 2009 The overarching goal of this study is to learn how

the pandemic prompted the construction industry to use intelligent supply chains more often.

This study used qualitative research methods mainly to answer the "how" and "why" questions to

understand the world and its phenomena. Two of these methods were analyzing the interview

guide for recurring themes and doing a case study. The Hebei Construction Group, whose

headquarters are located in the same area where the pandemic originally emerged, is the subject

of this research, which is why a case study technique was chosen. The researcher's subjective

feelings might influence the results of a case study. This is a potential occurrence that may arise

throughout the investigation. Consequently, it was critical to think about the industry's

limitations, how to technically incorporate them into the supply chain, and the pros and downs of

doing so. Conversely, the theme technique employed an interview protocol to comprehend the

viewpoints of specialists regarding the identical study attributes under investigation, specifically

the opportunities and tactics for enhancing the smart supply chain in the construction industry.

Quantitative and qualitative primary and secondary data greatly improved the research's

completeness and accuracy, an especially remarkable aspect. One specific method for gathering

main data is to conduct in-depth, open-ended interviews with three building and construction
supplier chain executives. To produce the most exhaustive results possible, these executives were

hand-picked from a range of building and construction firms, both big and small.

In this study, an open-ended interview protocol was used to gather primary data on how the

pandemic has affected global supply chain management and how IT systems can help make

supply chains more resilient and sustainable in the face of economic shocks like the pandemic or

rising market demand. Importantly, using an open-ended interview style greatly enhanced

respondents' ability to provide detailed information and insights into the main research variables.

The interview data will be evaluated thematically to reveal the most important points.

3.4. Data Collection

Data collection refers to acquiring, quantifying, and evaluating accurate research results from a

range of resources using traditional, verified, and recognized procedures. Additionally, gathering

relevant information is the first and crucial step in every study project. Regardless of the field or

kind of study, this remains true. Gathering accurate and complete study facts is the main goal of

data collecting in the research technique. This will allow for more thorough and trustworthy data

analysis. Furthermore, the methods for data collection might differ based on the specific

information needed for the study. Throughout this project's data-gathering procedure, a

qualitative data-collecting method was used. We used this method to record the main and

secondary outcomes. As part of the study, three building and construction industry experts were

each given an open-ended interview questionnaire to complete. To ensure comprehensive data

collection, the interview procedures were provided to the participants, who recovered forty-eight

hours later. The experts were allowed to provide their professional thoughts and insights

throughout the interview. Similarly, collecting more in-depth responses from interviewees is

possible if the researcher gets their consent before administering the interview protocol; this
gives respondents more time to think about and prepare for the questions and helps avoid

unexpected questions. It was decided against using the time-consuming and expensive in-person

interviews despite the high degree of confidence and thorough data they provided. Researchers

also employed an email-based open-ended interview technique to reduce the risk of COVID-19

infections and make the study more comfortable for the CEOs who participated despite their

busy schedules. Research issues such as (a) how the building and construction supply chain has

been resilient to the pandemic produced by the Coronavirus will largely focus on the open-ended

interview process (Appendix A). The following inquiries are being made: (b) regarding the

breadth and nature of technology utilized in the building and construction industry's supply chain

before and during the pandemic; (c) regarding the pros and cons of incorporating technology into

this supply chain; and (d) regarding potential strategies to encourage digitization and technology

to strengthen the supply chain's resilience and efficiency in the future.

3.5. Inclusion criteria

The study's inclusion criteria were a double-edged sword; they helped recruit the most qualified

and comprehensive sample possible. More specifically, inclusion criteria were used to ensure

that the study sample was extensive, even though the research would only include administering

an interview procedure to five individuals. The danger of gathering inadequate data for a study is

heightened when inclusion criteria are not specified for the research sample. This is because if

the study sample is too small, it's more likely that not enough data will be collected, which might

lead to a loss of time and money spent on the research (Al Amri & Marey-Perez, 2020).

Accordingly, various factors were considered throughout sample identification to determine who

would be included in the sample. (a) Attendees should have worked up the supply chain

management ladder for at least seven years, ideally for a major construction or subcontracting
firm. (a) Participants must be current workers of the country and possess a nationality. To ensure

comprehensive views from interviewees, we sought individuals with a minimum of seven years

of relevant work experience in addition to their nationality. The LinkedIn profiles of five

participants were used to make a random selection. The inclusion criteria were followed when

making this pick. Unfortunately, two participants said they planned to go on an assignment

abroad and wouldn't have forty-eight hours to complete the interview process. This led to the

research sample of three CEOs, with case study data supplementing their findings.

3.6. Data Analysis

The reliability of the study's conclusions and the accuracy of the data used to draw those

conclusions depend on meticulous and thorough data analysis, two of the most important parts of

any research project. Researchers define data analysis as the research approach that utilizes

statistical or logical tools to summarize, show, compress, or assess data collection results. Data

analysis aims to identify the main factors that address the research aim by drawing inductive

conclusions from the acquired research data. Research participants' qualitative data was analyzed

using theme recognition. Another option for analyzing the case study data was an interpretive

phenomenological approach. Using this data analysis approach, the collected data will be

summarized, and themes will be extracted to answer the research objectives.

3.7. The ethical implications of the research

Equally important is the fact that the study's methodology followed all social science research

ethics guidelines. Truthfulness, precision, and sincerity were the most essential ethical standards

upheld by the researcher throughout data collection and analysis for this study. Furthermore, the

principle of nonmaleficence was upheld since the data collected from Hebei Construction Group

and the three participants was not intended to be used for any other reason outside the research
objectives. Finally, the study aimed to provide industry stakeholders with useful findings that

would help with the local and worldwide adoption of digital supply chain networking.
Chapter 4: Findings

This section of the study details the findings from the data collection and analysis methods that

will be used to address the main research issues raised by the survey. Based on the research

questions they set out to answer, the findings will be organized. These questions will cover

topics such as the impact of the pandemic on the construction industry's supply chain resilience,

the current practices' technological scope, the pros and cons of smart supply chain management,

and potential solutions to the industry's current problems. The researcher will establish a

thorough connection between how businesses have boosted supply chain resilience via

technology and how the pandemic prompted the quick adoption of smart supply practices. The

breadth and depth of the industry's technological use and its relative strengths and weaknesses

will be defined to achieve this goal.

4.2. The interview procedure replies were analyzed using thematic analysis.

4.2.1. Enhancing the resilience of the building and construction supply chain in response to the

pandemic

The coronavirus epidemic weakened several links in the supply chain for construction and

building materials. Among these techniques was the delivery of interview methodology (detailed

in Appendix A) to the study participants.

Shortages of key inputs such as workforce, capital, and commodities in the supply chain

To start, the supply chain was short on manufacturing supplies due to restrictions on mobility

and social distance due to risk management strategies (Alsharef et al., 2021). The limitation on

mobility was the root cause of this deficit. The second interviewee said, "Pandemic risk

management approaches such as lockdowns and social distancing have significantly affected the

flow of human resources, which are essential in the supply chain." This statement was made
about the interview questions and their responses. Human resources were severely lacking across

the board in Hisbei province, the site of the pandemic's first discovery. Transportation into and

out of the province was thus severely restricted. This is seen most clearly in the interview

response given by the second participant in the research. "This was especially true in the area

around Hebei Province, the site of the virus's original detection in Wuhan, where the restrictions

on the mobility of human resources had a disproportionately large and negative effect. The third

participant said that "the restrictions on labor resources was one of the main factors that affected

the supply chain's resilience." Because our company is based in Hebei, the limitations were quite

heavy.

Delays

A combination of factors, including increased uncertainty, restrictions on the availability of

production resources, and the implementation of risk management measures, contributed to the

postponement of project completions caused by the pandemic. The third participant clarified:

"High levels of uncertainty, particularly regarding the severity of the pandemic and the potential

time at which it will end, have primarily had an impact on the resilience of the building and

construction supply chain." Because of this, contractors and subcontractors alike have

experienced setbacks, most notably in the timely completion of projects.

Increased procurement costs

Furthermore, study participants saw that increased expenditures in the construction industry's

supply chain and procurement resulted from pressure on the availability of supply chain

resources. Take Participant Three as an example: "Besides the delays in the completion of

building and construction supply chains, the strain and limited availability of supply chain

resources during the pandemic has also increased the supply chain procurement costs, which are
now higher than before the pandemic." This highlights the increased expense associated with

chain procurement. Expenses related to implementing workplace safety measures are another

factor contributing to the increase in supply chain expenses, as Participant Three acknowledges.

The pressure and limited availability of manufacturing resources also contribute to the growth in

expenses. Additionally, more protective supplies have been purchased to ensure company

continuity, which has led to higher expenditures. All businesses must have these items on hand

during a pandemic, including masks, hand sanitizers, and adjustments to the workplace. Subject

three: A combination of a shrinking market and rising supply chain and procurement costs hit the

building and construction industry's profit margins, as was made apparent by the third

participant. However, smaller businesses had it worse than medium and large corporations since

inadequate profitability limited the availability of funding for operational and development

efforts.

4.2.2 The construction industry's technological tools

The construction industry has always relied on technological advancements as a source of

competitive advantage. There were many technological uses due to the massive size of the

industry. The intricacy of the supply chain was another element that dictated the degree of

technological sophistication used by each company in the industry. The second respondent,

whose business is based entirely in Hebei Province, seems to use technology for supply chain

management on a larger scale in their response (Stiles et al., 2021). The organization's use of

technology for supply chain management was shown by Participant Three's answer to the

interview procedure (Ogunnusi et al., 2020). "The construction technology used ranges from

Internet of Things (IoT) technologies, drones, Building information modeling (BIM) software,

Computer-aided design (CAD), virtual reality and wearable, 3D printing, and artificial
intelligence," said Participant Three, participant two indicated that their company used a limited

scope of technology, including BIM software—commonly used even by medium and small firms

—and computer-aided design (CAD), which was launched recently and is being evaluated for

future development.

4.2.3. Advantages of using technology in the building and construction supply chain

All interviewees agreed when asked about the pros and cons of using technology to strengthen

supply chain resilience, especially in light of recent events like the coronavirus epidemic. One

major advantage of incorporating technology into the supply chain was reducing the bullwhip

effect. This was achieved via enhanced communication within the supply chain, which helped

managers make better decisions on supply chain operations. One of the most striking benefits of

using BIM software is the number of supply chain errors it can eradicate, including the bullwhip

effect. When all the links in the supply chain are better able to communicate with one another,

lean manufacturing models are born. Technology improves supply chain performance by

increasing communication across the chain, improving overall performance. On top of that, the

use of information systems for supply chain management allows managers to make better

decisions. An additional individual: The first participant agreed with the second that technology

is crucial for facilitating the supply chain's increased use of real-time information and data

interchange. This means that all links in the supply chain should be able to receive and process

data in real-time. (the one who started); a further basic advantage of information technology

systems in the supply chain that Participant One recognized was the ability to gather and store

supply chain data. This data is then used when making decisions about the supply chain. Also, it

simplifies supply chain data collection and storage, which aids in future forecasts for more

effective and efficient management of supply chain resources. That took part initially. First,
second, and third-party participants mostly agreed with one another's findings. Notwithstanding

this, participant 3's building and construction firm's supply chain made great use of technology,

providing substantial advantages to smart supply chains. The sheer size of the company's

administrative structure was to blame. The third participant said that "drones enable project

managers to carry out site surveys quickly and conveniently, including areas of the construction

site that are difficult to access." Because they help project managers maximize the utilization of

supply chain resources, Building Information Modeling (BIM) and Computer-Aided Design

(CAD) technologies are equally important for project planning and design. Thirdly, Participant

Three recognized the impact of technology on supply chain cost reduction. According to them,

"With 3D printing, the supply chain costs like transportation and storage are reduced as printing

can be done on-site." Furthermore, they brought up that AI helps reduce supply chain lead times

via smart data analytics for forecasting and quicker, more accurate supply chain decisions

already in place.

4.2.4 Intelligent supply chain management's downsides

One major concern raised by all three panelists was the growing susceptibility of supply chain

data and information to cyber assaults. Another drawback, according to Participant Three, is that

most modern supply chain technology, like 3D printing and artificial intelligence, is too

expensive, especially for medium and small-level contractors and subcontractors. This is in

addition to the dangers offered by cyberattacks. One of the study's participants said, "3D printing

technology is limited for mass production, while large-scale 3D printers are expensive."

Except for when the pandemic first started in late 2019 and early 2020, the analysis shows that

the building and construction supply chain's resilience was not severely affected. However, the

industry is almost fully operational again due to state-run programs, such as project
sponsorships. Notwithstanding this, the study's authors recommended supply chain technology as

a flexible approach to boosting the industry's recovery and longevity. This research not only

suggested supply chain technologies but also offered financial aid from the government.

Therefore, some of the tactics proposed by the study's participants included conducting extensive

R&D and collaborating to produce a large quantity of customer data suitable for supply chain

forecasting through intelligent data analytics (Sierra, 2022). The second research participant said

that supply chain technology might be better in the future "through research and development

and increased isomorphism of the supply chain management information systems that have been

successfully applied in the manufacturing industry." As for the improvement of smart supply

chain practices, especially in smaller businesses, to make them more resilient to things like

pandemics, market demand, and consumer expectations, the second participant, who came from

the smallest of the three companies, admitted that there were extensive efforts to build capacity.

"Furthermore, capacity building is required from both internal and external dimensions," said the

second participant, referring to the organization's "infrastructural capacity" (such as the

necessary human skills and technical capacity, funding, and R&D) and the government's and

industry's "collaborative support" (through regulations, funding, and R&D).

4.3. Findings from the case study: Hebei Construction Group

The provincial capital of Hebei is also the site of the 1952 founding of the Hebei Construction

Group Corporation Limited. The company has gained a lot of ground in the last decade thanks to

the coordinated development of Beijing-Tianjin-Hebei. The company's manufacturing and

procurement capabilities have been enhanced and expanded in response to the inherent demand

caused by this development. The growth of the Xionga'an New area has also provided the

company with several construction and building contracts. The Hebei Construction Group is
anticipated to be listed among the Fortune 500 organizations in 2020, having grown into one of

the world's most prominent complete construction firms. The market has allowed for this growth

due to initiatives like these and others throughout the globe.

4.3.1. Supply Chain Resilience Due to the COVID-19

Building construction portfolio

With the government's help, the pandemic had a few manageable consequences on the company,

especially regarding income and human resources. Construction projects of all types, including

residential, industrial, and commercial ones, are all part of the firm's extensive offering of

building and construction services. Building construction companies made RMB40,127 million

in new contract value in the second quarter of 2020, down slightly from RMB49,064 million at

the same time in 2019 (what percentage was this reduction?) (Biswas et al., 2021). One of the

most important revenue generators for the company, the building and construction division,

brought in RMB 25 9992 million. This amount is a decrease of 2,707 million RMB compared to

the company's revenue in the years before this. A little drop in income and new contract value

happened in the building construction portfolio in the first quarter before the government became

involved, mostly because of the pandemic's effect on the sector. The industry was impacted by

the outbreak, which is why this happened.

Creating and constructing vital infrastructure


Construction services for municipal and infrastructure development projects, including

landscaping, water treatment and supply, urban pipelines, highways, bridges, and airports, are

mostly handled by the infrastructure construction and development sector. For the year ending

December 31, 2019, the new contract value in this category was RMB 18 159 million. For 2020,

it increased significantly to RMB 13,011 million. However, this did not affect this category's

income, which increased by 1,167 million RMB to 7,854 million RMB in 2019 (Gamil &

Alhagar, 2020). The company's books show that quality-oriented infrastructure projects in the

last few years contributed to the sector's gross profit. This might be because of the remarkable

breadth of the company's technological offerings and the quality of its research and development.

There has been an increase in HCG's gross profits due to the increased number of projects of this

kind that the business has been able to secure due to its capacity to undertake projects with an

emphasis on quality. Technology has enabled supply chain resilience at Hebei Building Group

and across industries. This is shown by the ability of smart supply chain practices to add to the

firm's gross profits and productivity.

Providing specialized skills in contracting

Finally, the company offers specialist contracting services in many different areas, such as

constructing steel architectural buildings and installing mechanical and electrical systems.

Additionally, this portfolio was somewhat affected by the epidemic. The epidemic reduced the

2019 contract value of RMB 4861 million to a lower revised figure of RMB 3483 million for

2020. The uncertainty in specialized contracting services was a direct outcome of the pandemic,

which produced project uncertainties (Zamani et al., 2021). Despite this, corporate income was
mostly unaffected by the pandemic, increasing slightly to 4537 million RMB in Q2 2020

compared to Q2 2019. This stands in stark contrast to the declining value of the new contract.

4.3.2 How much technology is used in Hebei Construction Group's supply chain

The technological breadth used across the supply chain of the Hebei construction group's three

business portfolios significantly affects the firm's operational scope and quality performance.

The company's technological and R&D endeavors across the supply chain have been

acknowledged with numerous awards. These include:

• The scientific and technological award progress award for construction systems in Hebei

province

• The scientific and technological award progress award of the Hebei Provincial government

• Eleven (11) provincial process methodologies

• 211 patents, seven of which are invention patents

• The recently established Huaneng Shanxi Low Carbon Technology Research and

Development, which was built by the company, won the 2020 Lu Ban Award for construction

engineering in

• National quality project award and two construction project decoration awards

• MOHURD green construction technology model projects, among others.

The business has used a diverse array of supply chain technologies to achieve such remarkable

industry milestones. Among the many areas that these technologies help with are product

differentiation, innovation, efficiency, and cost savings. Therefore, Hebei Construction company
employs a wide range of supply chain technologies, beginning with basic Internet of Things

(IoT) solutions that, among other things, provide real-time communication. Hebei also benefited

from the BIM system's data collection, storage, and processing capabilities, allowing them to

better understand the supply chain process. Using BIM technology, Hebei can gather a wide

range of information on the project site's supply chain, including details about the surrounding

environment, resident usage patterns, and adverse impacts. The company's command of the

supply's resources and risks is greatly enhanced. Consequently, because of this comprehensive

knowledge, the company can plan, conceptualize, and execute construction projects in a way that

aligns with market demands and customer expectations. You have to weigh a lot of pros and

downsides. The availability of a business-friendly environment has been greatly influenced by

both the existence of qualified human resources and the use of supply chain management

technologies. Hebei Construction Group has improved the creative methods in the supply chain,

which has also been instrumental in making the supply chain more resilient, especially during the

pandemic. The increasing reliance on supply chain technology and innovation is not without its

downsides, the most notable of which is cyber dangers (Stiles et al., 2021). The probability of

malicious activities is expected to increase as the technological environment continues to grow at

an exponential pace. However, a strong internal anti-cyber threat organization department inside

the company works hard to anticipate cyber risks and vulnerabilities. It is always evaluating and

developing new solutions to combat cyber threats.


Chapter 5: Discussion

5.1. Pandemic and the building and construction supply chain

Undoubtedly, the global pandemic has thrown many contractors into one of the most trying eras

in history. Due to several governments' installation of preventive measures worldwide, including

social segregation and lockdowns, the global building output suffered a 3.1% decline in 2020.

Outram predicted that by the end of 2020, the construction industry's supply chain output will

fall 7.3% in Western Europe, 1.7% in North America, and 0.9% in North-East Asia (2020). Thus,

Outram's (2020) observations align with the most current research, which asserts that contractors

faced challenges in meeting ongoing project deadlines, protecting on-site staff, complying with

government regulations and restrictions, and managing supply chain interruptions simultaneously

due to the pandemic. The construction industry is expected to be defined by continuously

adapting business continuity measures, such as shifting project timelines and increasing

technology usage. These methods have helped contractors adjust to the current situation. Several

forces have combined to increase the pressure on the construction sector to complete

environmentally friendly and technologically advanced projects rapidly (Iqbal et al., 2021). The

pandemic has been cited as a driving force for integrating technology into the construction

industry's supply chain. The rising quantity of urbanization projects and the ever-increasing

population are two more considerations. With 250 million people expected to relocate to cities

by 2026, construction spending is expected to rise 7.8 percent yearly. Consequently, tailored

supply chain technology is being used to strengthen the construction industry's ability to
withstand market demand growth (a product of technological advancements) and disasters like

the pandemic.

5.2. Supply chain interruptions

According to the study's findings, several factors affected the sector's supply chain resilience.

Starting in March, the supply chain saw a significant expenditure spike due to a shortage of raw

materials like steel. Participant 2's firm is headquartered in Hebei province, the province where

the pandemic was first identified in Wuhan, so it is clear that there was a shortage of labor

resources due to the lockdown and other government restrictions that aimed to minimize

mobility. A more severe scarcity of supply chain raw materials as fundamental as sand, cement,

and construction bricks led to an increase in supply chain costs in both the United Kingdom and

Western Europe of the same magnitude, according to data from the United Kingdom (Ogunnusi

et al., 2021). Two main strategies were contract restructuring and stronger collaborative action to

minimize disruptions to the supply chain caused by the pandemic. The former involved

companies continuously adopting new and sustainable smart supply practices from the

institutional environment, while medium and small businesses especially used the latter. Among

these tactics were plans to postpone projects and ensure company continuity. These tactics were

also used with technological ones. Industry unions, suppliers, important partners, and the

government have all been actively involved in the sector since March. Ensuring timely project

completion and uninterrupted company operations are the primary objectives of this partnership.

New supply chain management practices and technologies, such as the Internet of Things'

foundational application, have been developed with the help of strategic partners and the

government, who have mainly invested financially during the pandemic. We took these measures

to guarantee our employees' security and our company's smooth running. Contractors are
becoming more picky about the projects they bid on, partly due to contract structure changes.

The suppliers' preparedness to bid on specific tasks, the terms and conditions they are willing to

accept (such as the project timeline), and the supply chain partners they are eager to collaborate

with have all been the boundaries of the contract's scope. However, the epidemic has exposed

many possible issues with the construction industry's supply chain, including the "pass-the-

parcel" risk management approach prevalent in the field. The risk of expense, delay, or cash may

sometimes be sent down the supply chain via contractors. This happens all around the globe, not

just in certain places. Furthermore, as Larasati elucidates, the hallmark of the pass-the-parcel risk

methodology is the transfer of responsibility for the project's outcome from the customer to the

architectural designer, who in turn passes it on to the contractor, who in turn passes it on to the

subcontractors. Because of this, the project risk is borne by smaller, less resilient enterprises to a

greater extent. Since contractors and subcontractors alike are becoming more aware of and

susceptible to risk, it is reasonable to assume that the risk management strategy will be phased

out as part of the contract restructuring plan. With each passing step in the contractual procedure,

both sides are becoming more picky.

5.3. Technology

Technology in the supply chain has had a major impact on how the construction sector is seen

globally. This is because the US economy is among the most dynamic globally. The study found

that a business's size and operational scope are the primary determinants of the level of

technology application inside the company (Sierra, 2022). This has led to a surge in industry

supply chain technology development and implementation. The Hebei Construction Group and

other state-owned construction companies have dominated the industry in terms of technological

innovation and application. These massive enterprises have a wider range of activities and
operate across a large geographical area. Consequently, Internet of Things (IoT) technologies

became a part of the building and construction supply chain's reach. These technologies were

widely used by both major and small building and construction firms. This was true irrespective

of the company's size or the nature of its offerings, whether it specialized services, infrastructure

development, or building and construction. Additional technologies discussed were drones,

computer-aided design (CAD), artificial intelligence (AI), virtual reality (VR), and wearable

technology. Also in agreement is Teizer et al. (2017), who utilized IoT analytics to learn about

the steady usage of IoT and other smart supply chain management practices in the global

building and construction industry. Out of the 1600 Internet of Things projects, 23% were

associated with smart city development, 17% with supply chain communication assurance, and

12% with connected building establishment, according to the findings of the European study

Teizer et al. (2017). Thus, it is equally important to maintain supply chain resilience during

economically disruptive events like the coronavirus pandemic, and the efficiency gained via

smart supply chain technology is a key component of this.

5.4. Merits

The case study and the interview protocols clarified that technology played a key role in

improving the supply chain's efficiency, mostly by enhancing existing processes. Technological

instruments employed in lean manufacturing and project planning are the main ways of

optimizing the production process (Ogunnusi et al., 2021). By integrating project planning

technologies like BIM, drones, and computer-aided designs with the IoT, construction and

building enterprises were able to streamline the supply chain process. This helped with the

management and control of production resources, including money and materials, and it

improved supply chain technology and regulatory compliance. It is worth mentioning that
Participant Three summarized the downsides as follows: 3D printing allows for on-site printing,

which drastically cuts down on supply chain expenditures like shipping and storage. One of the

quickly evolving technologies is AI. The technology will ease the burden on the supply chain by

mimicking human judgment, decisions, and actions more accurately and with less fatigue. In line

with previous research, this study confirms that technological systems like BIM and CAD can

cut construction costs by 15% and time by 30%. Furthermore, the study's findings, along with

those of other researchers like Tang et al. (2019), show that increasing the expenditures on

project planning upfront also leads to lower costs in the final product. Tang et al. (2019) found

that total lifetime costs were 20% lower, with a 2% increase in early spending designed to

improve the project planning and design phase. This finding highlights the importance of these

initial investments. These factors highlighted the critical nature of the need to equip the

construction industry with supply chain management tools. The supply chain's resilience to

disasters like the pandemic might be enhanced due to the decreased costs linked to its life cycle.

5.5. Demerits

However, regarding the use of technology in the supply chain for building and construction

enterprises, all participants in the study agreed that the increased risk of cybersecurity is a major

downside. Respondent 3's company was the largest among the other two in terms of income, and

they indicated that they had fallen prey to cybercriminals who held client data for ransom and

partly supplied data comprised of project blueprints. Unfortunately, the cybercriminals managed

to save this data. With the supply chain becoming more digitalized due to the pandemic and the

incorporation of Industry 4.0 opportunities, anti-cyber threat strategies must also be addressed.

This was because introducing new supply chain connectivity possibilities was also expected to

increase cyber risks. In addition, the first participant suggested that deploying connection and
digital devices outside the office as part of the remote working program may lead to cyber

dangers and security challenges. The second participant said they expected cyber dangers to

worsen because they were unprepared. Compared to the usual three to four years, the six-month

timeframe for moving to the virtual office was very fast. That meant contractors and

subcontractors had little time to prepare for supply chain cyberattacks. Businesses' faith in their

cyber security strategies and infrastructure hit an all-time low of 31% in 2019 (down from 36%

in 2017), according to Microsoft's 2019 worldwide cyber risk study. Before the epidemic, this

was already the situation. In light of the increasing digitalization of the supply chain and the

changes in work patterns brought about by the pandemic, contractors would do well to conduct a

risk assessment after 2019. This will help re-strategize the cyber defense infrastructure.

However, 3D printing technology is only good for mass production, and expensive large-scale

3D printers are out of the question.

5.6. Future opportunities

This case study demonstrates that innovative approaches to supply chain resilience will include

more than just digitalization, smart supply chain management, and technology. We will also

employ many additional methods to make the supply chain more resilient. If future risk factors

like the pandemic materialize, the case study's results suggest that diversity and enhanced

technical capabilities might enhance supply chain resilience (Aigbedo, 2021). The panelists also

agreed that smart practices, such as improving capacity development, especially for small

contractors and subcontractors, are key to ensuring the supply chain's future viability. The main

objectives of capacity-building initiatives would be to get funds via government aid and develop

the organizational structure, human resources, and technical skills. These plans would make an

effort to fund R&D on an organizational and industrial scale and joint endeavors. The study's
findings also corroborate those of other scholars, such as Jia et al. (2019), who posit that

multinational contractors with diversified business models fared much better during the

epidemic. This group of contractors has spread their bets across various business types and

geographies. Lastly, long after the pandemic has ended, this will be a lesson that many

contractors—including those in the construction industry's supply chain—will remember.

Additionally, diversification will grow in importance due to the expected downturn in the retail

and residential sectors shortly. The rationale for this is that contractors are likely to seek methods

to strengthen their resilience via several streams.

References

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Appendix

Participant 1

1. After the Coronavirus pandemic, how has the construction supply chain weathered the storm?

There is a lot of unknown, particularly about how bad the epidemic is and when it could end,

which has weakened the construction supply chain's ability to withstand disruptions. Because of

this, contractors and subcontractors alike have experienced delays, most notably in the latter

stages of several projects. A little increase in procurement prices caused by a shortage of output

in manufacturing resources throughout the supply chain, such as building steel, affected the total

supply chain costs for many companies in the industry. While the government did its best to

fortify the supply chain with fiscal stimulus, the success of these measures ultimately hinged on

the size of the individual companies involved. This was particularly true for less established

contractors and those who could not take advantage of the government's and banks' fiscal

stimulus programs.

2. What types of technologies were used in the supply chain of the building and construction

sector before and during the pandemic, and how extensive was this technology?

They also note that technology has greatly improved the sector's supply chain. The main

technologies utilized for supply chain management at my firm are computer-aided design (CAD)

and building information modeling (BIM), which are complemented by the Internet of Things

(IoT) technologies. The software assists project management because of its real-time

information-sharing capabilities and capacity to help all parties involved in the supply chain
accurately plan their resources.

3. How significant were the positive and negative impacts of technology use in the supply chain

of the building and construction sector?

One of the greatest advantages of incorporating technology into the construction supply chain is

the capacity to communicate and plan resources in real time across all levels of the chain, as

mentioned earlier. Technology in supply chain management not only improves communication

but also makes data collection and storage a breeze. Next, forecasts may be made using this data

for data-informed supply chain decisions, which means the resources utilized in the supply chain

can be managed correctly and efficiently.

4. What are some potential future initiatives to promote digitalization and technology in the

supply chain so it can better handle disruptions and operate efficiently?

The biggest shortcoming is the inadequacy of research and development, particularly for the

general and extensive use of Industry 4.0 possibilities in the building supply chain and

construction sector. For example, huge consumer information databases in the manufacturing

sector have been built via individual and group activities, particularly among larger enterprises.

With smart data analytics, these databases will help with strategic choices in supply chain

management.

Participant 2

1. After the Coronavirus pandemic, how has the construction supply chain weathered the storm?

No sector of the economy has been immune to the epidemic's ripple effects; the construction

industry's supply chain is no different. Due to the labor-intensive nature of the construction

sector, the supply chain has been greatly affected by the implementation of pandemic risk
management measures, including social distancing and lockdowns. The restrictions on human

resource mobility had disproportionately large and devastating effects in the areas around Hebei

Province, the site of the virus's first discovery in Wuhan. Supply chain resilience was affected by

several factors, one of the most important of which was the restrictions imposed on the

availability of human resources. Hebei is where our business is located.

2. What types of technologies were used in the supply chain of the building and construction

sector before and during the pandemic, and how extensive was this technology?

Even though the company's present technology was somewhat basic, it was important in making

the supply chain more resilient to the epidemic. After travel limitations and social distance

began, this became much more apparent. Even while building information modeling (BIM)

software is popular among large and medium-sized companies, the company only employs a

limited set of technologies, including technologies for mobile apps. In contrast, CAD software is

still in its infancy and undergoing prototyping for possible feature enhancements.

3. How significant were the positive and negative impacts of technology use in the supply chain

of the building and construction sector?

Notably, by enhancing communication between the many participants in the supply chain, BIM

software helps reduce many supply chain flaws, such as the bullwhip effect, leading to a lean

production model. Technology ultimately leads to better supply chain performance. This is

achieved by increasing the amount of communication along the supply chain. On top of that, the

help of information systems for supply chain management lets managers make better decisions.

4. What are some potential future initiatives to promote digitalization and technology in the

supply chain so it can better handle disruptions and operate efficiently?


An all-encompassing strategy is needed for small firms to enhance the use of smart IT practices

across their supply chains. Research and development, along with increased isomorphism of

supply chain management information systems, can help capitalize on opportunities that arise

from the relatively low level of technological integration in the building and construction supply

chain, especially among smaller building and construction companies. The industrial sector has

made good use of these systems. In addition, internal and external factors must be considered

when constructing capacity. Internal factors include things like funding, R&D, and

organizational infrastructure capability, as well as necessary human skills and technical

competence. The government and industry may work together to provide external factors like

funding, laws, and R&D.

Participant 3

1. After the Coronavirus pandemic, how has the construction supply chain weathered the storm?

The supply chain procurement costs have increased compared to pre-pandemic levels, resulting

from both the demand and the limited availability of resources during the epidemic. Not to

mention, supply chains related to the construction and building sectors have also experienced

delays. Two main factors have often contributed to the increased supply chain costs, reducing the

profit margin and funding availability. One noticeable change is the impact on the supply chain:

the rising cost of raw materials. Additionally, more protective materials have been purchased to

enhance company continuity, which has resulted in increased expenditures. Masks, hand

sanitizer, and office supplies are necessities for any business running during the pandemic.

2. What types of technologies were used in the supply chain of the building and construction

sector before and during the pandemic, and how extensive was this technology?
The company uses a wide variety of technologies to facilitate easier management, boost

operational efficiency across the supply chain, and achieve the highest levels of quality and

productivity in the projects it undertakes, all of which are a result of the firm's size and the

relative size of its organizational supply chain. The construction sector makes use of a wide

range of technologies, including the Internet of Things (IoT), drones, CAD, BIM software,

augmented reality (AR), 3D printing, artificial intelligence (AI), and virtual reality (VR).

3. How significant were the positive and negative impacts of technology use in the supply chain

of the building and construction sector?

Mobile technologies are top picks for ease of use and cost-effectiveness. Facilitating faster

information exchange allows for better and simpler communication by providing real-time

updates and changes to the project plan. On the contrary, using drones, project managers can

easily and quickly inspect the whole site, including inaccessible areas. Project managers may

maximize the utilization of supply chain resources and decrease waste using Computer-Aided

Design (CAD) and Building Information Modeling (BIM), two equally important technologies

for project planning and design. Unlike conventional printing techniques, reducing supply chain

expenditures like transportation and storage is possible with 3D printing since it can be done on-

site. However, 3D printing technology is only good for mass production, and expensive large-

scale 3D printers are out of the question. As a field, artificial intelligence (AI) is booming in

popularity and innovation. Supply chain operations will run more smoothly because of this

technology's ability to mimic human decision-making and performance with more accuracy and

less fatigue.

4. What are some potential future initiatives to promote digitalization and technology in the

supply chain so it can better handle disruptions and operate efficiently?


With the impending deployment of Industry 4.0 possibilities, there are several ways to improve

the technological advantages the industry's supply chain may get, such as making it more

resilient to disruptions like the pandemic. Spending more money, doing more R&D in

construction supply chain technology, and other similar initiatives may produce the desired

results.

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