Supply Chain Management and Logistics in Construction: Delivering Tomorrow's Built Environment PDF
Preview Supply Chain Management and Logistics in Construction: Delivering Tomorrow's Built Environment
i Supply Chain Management and Logistics in Construction ii THIS PAGE IS INTENTIONALLY LEFT BLANK iii Supply Chain Management and Logistics in Construction Delivering tomorrow’s built environment Edited by Greger Lundesjö iv Publisher’s note Every possible effort has been made to ensure that the information contained in this book is accurate at the time of going to press, and the publishers and authors cannot accept responsibility for any errors or omissions, however caused. No responsibility for loss or damage occasioned to any person acting, or refraining from action, as a result of the ma- terial in this publication can be accepted by the editor, the publisher or the authors. First published in Great Britain and the United States in 2015 by Kogan Page Limited Apart from any fair dealing for the purposes of research or private study, or criticism or review, as permitted under the Copyright, Designs and Patents Act 1988, this publication may only be reproduced, stored or transmitted, in any form or by any means, with the prior permission in writing of the publishers, or in the case of reprographic reproduction in accordance with the terms and licences issued by the CLA. Enquiries concerning reproduction outside these terms should be sent to the publishers at the undermentioned addresses: 2nd Floor, 45 Gee Street 1518 Walnut Street, Suite 1100 4737/23 Ansari Road London EC1V 3RS Philadelphia PA 19102 Daryaganj United Kingdom USA New Delhi 110002 www.koganpage.com India © Greger Lundesjö, 2015 The right of Greger Lundesjö to be identified as the author of this work has been asserted by him in accordance with the Copyright, Designs and Patents Act 1988. ISBN 978 0 7494 7242 9 E-ISBN 978 0 7494 7243 6 British Library Cataloguing-in-Publication Data A CIP record for this book is available from the British Library. Library of Congress Cataloging-in-Publication Data Lundesjö, Greger. Supply chain management and logistics in construction : delivering tomorrow’s built environment / Greger Lundesjö. pages cm ISBN 978-0-7494-7242-9 (paperback) – ISBN 978-0-7494-7243-6 (ebk) 1. Construction industry– Management. 2. Construction industry–Materials management. 3. Business logistics. I. Title. HD9715.A2L85 2015 624.068’7–dc23 2015015895 Typeset by Graphicraft Limited, Hong Kong Print production managed by Jellyfish Printed and bound by CPI Group (UK) Ltd, Croydon, CR0 4YY Contents Contents v Contributor biographies x Introduction 1 The expanding role of logistics in construction 1 Perspectives and opinions 4 Outline of the book 4 Part One 7 Strategic perspectives 7 01 9 The challenge of construction logistics 9 Introduction 9 Factors that influence logistics activities 13 The role of logistics management within construction 16 The challenges of the urban environment 21 Conclusion 22 Note 23 References 23 02 25 Aggregating global products for just-in-time delivery to construction sites 25 Introduction 25 Global sourcing 26 Investment in procurement and centralized decision making 27 Environmental legislation, quality and good waste management 28 Lean supply onto site with plot-picked delivery 29 Who is best placed to deliver an aggregation and lean delivery capability? 32 Commercial and risk issues 33 Conclusion 34 03 35 Construction logistics – supply of bulk materials 35 Introduction 35 Logistics, customers and bulk materials 35 Logistics models in construction bulk materials 43 Supply chain maturity 55 v Conclusion 61 References 61 04 62 Effective management of a construction project supply chain 62 Introduction 62 A typical construction project supply chain 63 Construction logistics 64 Defining ‘effective’ management of a construction supply chain 67 ContentS Best practice – 2020 70 Improvement strategy 71 Conclusion 74 References 75 05 77 Construction supply chain management strategy 77 Introduction 77 Supply chain risks 79 Framework agreements 84 Supply chain management of logistics in construction 84 Case study Mace Business School 85 Conclusion 87 Reference 87 Part Two 89 The impact of BIM and new data management capabilities on supply chain management in construction 89 06 91 Data management for integrated supply chains in construction 91 Contributor biographies x IInntfroordmuacttiioonn management in9 c1onstruction 92 Big data and construction 102 Data and the integrated supply chain 111 Enterprise-level integration 115 Conclusion 117 References 118 Introduction 1 PCaornt sTtrhurcetei on logistics and su1s2t1ainability 121 07 123 The role of logistics in achieving sustainable construction: a Swedish perspective 123 Greger Lundesjö ISnutsrtoadinuacbtiloen c onstruction log1is2t3ics 126 Practical considerations for efficient and sustainable construction logistics 130 Case studies 134 Case study ‘The University Hospital of the future’ – University Hospital in Linköping, Sweden 134 The expanding role of logistics in construction 1 Case study Triangeln (the Triangle) – Malmö, Sweden 135 Conclusion 137 Reference 138 Perspectives and opinions 4 08 139 Resource efficiency benefits of effective construction logistics 139 Introduction 139 Outline of the book 4 Construction sustainability impact 140 Supply chain influence on sustainable construction logistics 143 Construction logistics strategies and how they can influence resource efficiency 144 Material logistics planning 154 Conclusion 155 References 158 Part Four 159 Part One Strategic perspectives 7 L0T9oh ge irsotilces oofp tehrea tcioonnsst ruction11 l56o91gistics manager 161 Introduction 161 Logistics professional and service sourcing 163 Consulting logistics professionals 165 Construction logistics managers 169 Creating a construction logistics plan (CLP) 174 01 the challenge of construction logistics 9 C10o nclusion 118813 Third-party logistics operators in construction: the role they play and the role they could play 183 Introduction 183 Michael Browne 3CPoLm dpelificnaitteido na nd ‘unstructur1e8d4’ supply chain 185 Impact of downturn 185 Supply chains with a dominant entity 188 Case studies 189 Introduction 9 Case study Aircraft Carrier Alliance 190 Case study B&Q 192 Omni-channel 194 Factors that influence logistics activities 13 Primary and secondary distribution networks 194 International construction supply chains 195 Final mile logistics – construction consolidation centres 196 The role of logistics management within construction 16 Why doesn’t the construction industry make better use of 3PL services? 197 Case study London 2012 Olympics 199 Evolution of the 3PL role 200 The challenges of the urban environment 21 What will trigger momentum of the 3PL role in construction logistics? 202 Conclusion 203 References 203 Conclusion 22 11 205 Managing construction logistics for confined sites in urban areas 205 Introduction 205 Note 23 Identifying current challenges in managing construction logistics 206 Developing a theoretical framework 211 Conclusion 218 References 23 References 221 12 225 Consolidation centres in construction logistics 225 Introduction 225 The resources, functionality and operation of a CCC 227 The benefits of using a CCC 233 Types of CCC 237 02 Aggregating global products for just-in-time delivery to Locating a CCC 239 Conclusion 240 End note 241 construction sites 25 R13e ferences 224423 Delivery management systems 243 Introduction 243 Mark Franklin WThhea fte iast uar dese loivfe croym mpauntaegriezmede ndte sliyvsetreym m? anagement 224446 The benefits of proper management of deliveries 247 Who is it for? 250 Introduction 25 TChaese f usttuudreie s 225512 Case study Royal Adelaide Hospital 252 Global sourcing 26 CCaassee ssttuuddyy MMe1d miao Ctoitryw UayK w, Sidalefnoirndg 225534 Case study MidKent College 256 Investment in procurement and centralized decision making 27 CGolonscslaursyio n 225568 INDEX 262 Environmental legislation, quality and good waste management 28 Lean supply onto site with plot-picked delivery 29 Who is best placed to deliver an aggregation and lean delivery capability? 32 Commercial and risk issues 33 Conclusion 34 vi Contents 03 Construction logistics – supply of bulk materials 35 Matthew Woodcock Introduction 35 Logistics, customers and bulk materials 35 Logistics models in construction bulk materials 43 Supply chain maturity 55 Conclusion 61 References 61 04 effective management of a construction project supply chain 62 Stephen Robbins Introduction 62 A typical construction project supply chain 63 Construction logistics 64 Defining ‘effective’ management of a construction supply chain 67 Best practice – 2020 70 Improvement strategy 71 Conclusion 74 References 75 05 Construction supply chain management strategy 77 Brian Moone Introduction 77 Supply chain risks 79 Framework agreements 84 Supply chain management of logistics in construction 84 Case study: Mace Business School 85 Conclusion 87 Reference 87 Part twO T he impact of BIM and new data management capabilities on supply chain management in construction 89 06 Data management for integrated supply chains in construction 91 Wes Beaumont and Jason Underwood Introduction 91 Information management in construction 92 Big data and construction 102 Contents vii Data and the integrated supply chain 111 Enterprise-level integration 115 Conclusion 117 References 118 Part three C onstruction logistics and sustainability 121 07 the role of logistics in achieving sustainable construction: a Swedish perspective 123 Monika Bubholz, Camilla Einarsson and Lars-Göran Sporre Introduction 123 Sustainable construction logistics 126 Practical considerations for efficient and sustainable construction logistics 130 Case studies: 134 ‘The University Hospital of the future’ – University Hospital in Linköping, Sweden 134 Triangeln (the Triangle) – Malmö, Sweden 135 Conclusion 137 Reference 138 08 Resource efficiency benefits of effective construction logistics 139 Malcolm Waddell Introduction 139 Construction sustainability impact 140 Supply chain influence on sustainable construction logistics 143 Construction logistics strategies and how they can influence resource efficiency 144 Material logistics planning 154 Conclusion 155 References 158 Part fOur Logistics operations 159 09 the role of the construction logistics manager 161 Andy Brown Introduction 161 Logistics professional and service sourcing 163 Consulting logistics professionals 165 Construction logistics managers 169 viii Contents Creating a construction logistics plan (CLP) 174 Conclusion 181 10 third-party logistics operators in construction: the role they play and the role they could play 183 Pete Flinders Introduction 183 3PL definition 184 Complicated and ‘unstructured’ supply chain 185 Impact of downturn 185 Supply chains with a dominant entity 188 Case studies: 189 Aircraft Carrier Alliance 190 B&Q 192 Omni-channel 194 Primary and secondary distribution networks 194 International construction supply chains 195 Final mile logistics – construction consolidation centres 196 Why doesn’t the construction industry make better use of 3PL services? 197 Case study: London 2012 Olympics 199 Evolution of the 3PL role 200 What will trigger momentum of the 3PL role in construction logistics? 202 Conclusion 203 References 203 11 Managing construction logistics for confined sites in urban areas 205 Ruvinde Kooragamage Introduction 205 Identifying current challenges in managing construction logistics 206 Developing a theoretical framework 211 Conclusion 218 References 221 12 Consolidation centres in construction logistics 225 Greger Lundesjö Introduction 225 The resources, functionality and operation of a CCC 227 The benefits of using a CCC 233 Types of CCC 237 Contents ix Locating a CCC 239 Conclusion 240 End note 241 References 242 13 Delivery management systems 243 Rick Ballard and Nick Hoare Introduction 243 What is a delivery management system? 244 The features of computerized delivery management 246 The benefits of proper management of deliveries 247 Who is it for? 250 The future 251 Case studies: 252 Royal Adelaide Hospital 252 Media City UK, Salford 253 M1 motorway widening 254 MidKent College 256 Conclusion 256 Glossary 258 Index 262
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