APPLICATION OF SUPPLY CHAIN MANAGEMENT IN CONSTRUCTION INDUSTRY

Abstract

The application of the supply chain management (SCM) in industry has achieved much success, especially in the manufacturing sector. In the current market, the Vietnamese construction companies must compete not only the domestic companies but also the foreign companies, the application of SCM is essential to improve efficiency and increase their competitive advantage. In this paper, a survey was carried out to identify factors that cause limitation in applying SCM to the Vietnam construction industry. A qualitative approach was based on prime contractor’s perspective at the construction phase of the project. The survey questionnaire was designed by synthesizing and inheriting the previous studies and consultation with experts. The survey participants are those who have had working experience with main contractors and joined in the construction projects. The face-to-face interviews were conducted to collect data. Descriptive statistics analysis and Exploratory Factor Analysis (EFA) were used to analyze data. The results indicated seven leading causes which limited the application of SCM in the construction industry.

Keywords

• construction industry
• supply chain management (SCM)
• limiting factors