Construction: How to turn 36 seconds into USD 5.4 billion


A team of researchers have, for the first time ever, linked 40 years of productivity data from the construction industry with the actual work done. The results show that productivity in the construction industry has been declining since the 1970s. The results also explain the decline and how to achieve far more efficient construction in North America and Europe.

«This is a clear and cut business case and a helping hand for decision-makers in the construction industry: If the country’s contractors are to make more money, they need to optimise processes.»

This is how Hasse Neve, carpenter, MSc in Engineering, PhD and researcher in construction industry productivity at the Department of Engineering at Aarhus University, introduces the new study that, for the first time ever, links national productivity statistics in the construction industry with the efficiency of the actual work done on construction sites.

As it turns out, there is a statistically significant correlation between the two.

«Since 1972, we’ve continuously gotten less and less out of every hour of work. Construction sites have simply become less and less efficient because more time is spent on non-value adding work. Ultimately, this means that we spend more and more working hours on a single construction job. Therefore, our contractors do not earn as much money on construction as they could,» says Hasse Neve.

The study has just been published in Construction Engineering and Management, one of the world’s leading scientific journals for construction management.


Story Source: Materials provided by Aarhus University. Note: Content may be edited for style and length.


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