In the complex world of industrial construction, where projects often involve a labyrinth of stakeholders and materials, the ability to see and share information across the supply chain can mean the difference between a project’s success and costly delays. A recent study published in *Frontiers in Built Environment* (translated as “Frontiers in the Built Environment”) sheds light on how supply chain visibility (SCV) can drive efficiency and mitigate risks in industrial construction projects.
Led by Vineeth Dharmapalan of the University of Hawai’i at Mānoa, the research delves into the perspectives of owners, contractors, designers, and suppliers to uncover the most valued benefits of SCV. The study, which surveyed 165 industry professionals, identified 13 SCV benefits and ranked them based on their perceived importance.
The results reveal a broad consensus among stakeholders on the top benefits, with risk mitigation, material tracking, field installation productivity improvement, and improved delivery timing emerging as key advantages. Notably, traditionally emphasized benefits like lead time reduction were ranked lower, suggesting that the unique demands of construction projects may require a different approach to visibility than other industries.
“One of the most striking findings was the central role that contractors play in aligning visibility needs between upstream and downstream stakeholders,” Dharmapalan said. “This highlights the importance of contractors in facilitating effective information sharing and coordination across the supply chain.”
The study also found no significant differences in the median rankings of benefits among the four stakeholder groups, indicating a shared understanding of SCV’s value. However, the level of agreement and rank correlation varied, with contractors serving as a crucial bridge between owners and suppliers.
For the energy sector, where industrial construction projects are often large-scale and complex, the implications of this research are significant. Enhanced SCV can lead to more accurate risk assessments, better resource allocation, and improved project timelines, ultimately driving down costs and increasing profitability.
As the industry moves towards more integrated and digitalized construction processes, the findings of this study offer a valuable benchmark for prioritizing and communicating SCV initiatives. By understanding the unique visibility needs of different stakeholder groups, construction professionals can develop more targeted strategies that enhance collaboration and drive project success.
In the words of Dharmapalan, “This study is among the first to define and assess SCV benefits across multiple construction stakeholder groups. It contributes to theory and practice by offering a stakeholder-informed foundation for evaluating SCV in industrial construction.”
As the construction industry continues to evolve, the insights from this research will be instrumental in shaping future developments in supply chain management and information sharing. By embracing the principles of SCV, stakeholders in the energy sector can look forward to more efficient, transparent, and profitable industrial construction projects.