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The focus of this paper is on the integration of design

and construction activities. We argue that information technology (IT) can


effectively promote integration in the construction industry. Recent
advances in the field of IT, the increasingly global nature of
the construction market and a renewed demand for quality and
productivity in construction are making the issue of integration more
critical than ever. Design and construction organizations can achieve
integration of variousconstruction activities by redesigning many of their
organizational functions and processes and IT can facilitate redesigning of
these processes. The dynamic nature of construction processes,
interdependence of various participating entities and the need for
teamwork, flexibility and a high degree of coordination suggest that IT
has great potential in the construction industry.
Theconstruction industry can make effective use of communication, data
accessibility and common systems designed to process data, the three
major categories of IT capabilities to achieve integration. We contend that
appropriate IT investment and management's commitment and ability to
provide leadership under the changed atmosphere are crucial for the
successful implementation of IT in the construction industry. The impact
of IT on the design andconstruction organizations must be managed with
an understanding of external and internal factors that affect business
organizations. It is essential that an appropriate environment that
establishes suitable reward recognition procedures, encourages teamwork and creativity and stimulates decentralization of decision-making
activities be created. Thus, IT implementation is not just a technical
enhancement but a managerial decision that involves re-engineering of
organizational functions and operations.

Contrary to stereotype, the construction industry has embraced IT with some vigour. Computers are
used effectively across the sector and this use is increasing. A range of new issues have emerged in
consequence.
This practical book draws on direct industrial experience and examines the role of IT within a range of
enterprises operating in the construction and property industry. Emphasis is given to the human side
of IT and the effects of the implementation of IT systems on them. The functionality of the IT systems
is considered, as is the design brief and the operation of the applications. Case reviews of a range of
applications are discussed and issues arising from their implementation are explored. Pitfalls, benefits

and experience shapers are reviewed and presented systematically so the reader can consider these
in the light of their own experience.
Outlining key drivers for advanced students and for professionals who may have to face these issues
in the future, Implementing IT in Construction clearly presents the value of IT implementation and the
benefits of a number of IT applications.

The construction industry is an information intensive industry: where huge amounts of


documentation are generated and exchanged between the individual (often unique parties)
contractually bound to the project. Remarkable advances in information management techniques
and more importantly the use of IT on projects, allows the timely dissemination and transfer of
project documentation and communication in a co-ordinated manner. The article majorly focuses
on IT implementation, Legal Admissibility of Document, along with the Benefit analysis study
carried out in Finland which figures out the potential net savings of the construction company.

Mrs. Jyoti Trivedi Page 1

IT in Construction
ABSTRACT:
The construction industry is an information intensive industry: where huge amounts of
documentation are generated and exchanged between the individual (often unique parties)
contractually bound to the project. Remarkable advances in information management techniques
and more importantly the use of IT on projects, allows the timely dissemination and transfer of
project documentation and communication in a co-ordinated manner. The article majorly focuses
on IT implementation, Legal Admissibility of Document, along with the Benefit analysis study
carried out in Finland which figures out the potential net savings of the construction company.
Keywords: Information technology, Measure, Methodology, Construction, Electronic Document
Management System (EDMS), Benefits, Implementation

1. INTRODUCTION:
Globalization and rapid technological change will drive the knowledge economic. In recent years
globalization strategies have increasingly obtained an important role in strengthening the
competitiveness of a countrys economy.
In the age of knowledge and Artificial intelligence;
We are at the dawn of an age of networked intelligence an age that is giving birth to a new
economy, a new politics, and a new society. Business will be transformed, governments will be
renewed, and individuals will be able to reinvent themselves all with the help of information
technology Tapscott, 1996 [9]
To deliver the broad range of construction projects that meet the demands of a wide range of clients at
todays speed and exacting standards means that the players involved in a construction project must
fully utilize all available resources-Information technology (IT) is one such resource. In todays
business environment IT surrounds us and affects all that we do during normal day-to-day business
operations and activities.
With the consistency change in the underlying technology base and the ease of use of a plethora of
applications, so the use of IT has expanded to encompass areas where previously they may been
thought unsuitable due to complexity or operational reasons i.e. cost. This change in emphasis
encourages us to establish a clear understanding of the nature and role of information technology and

the part it plays in ensuring at the both the project and organization levels.

2. ROLE OF IT IN CONSTRUCITON PROCESSES:


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The functional role of IT can best be considered from three standpoints: the part it plays in each of the
various stages of a construction project i.e. pre-tender, post-tender and post-completion. Also, there is
a need to consider how IT affects procurement and the eventual routes adopted for each project and
organization. Finally, there is a need to consider the impact of IT has on the humans involved in the
delivery of the construction project.
Discussion on the implementation of IT in a construction project paradigm is necessary since the
industry, by necessity, adopts approaches to problems that are different from those used in other
industries: indeed the challenges faced by construction organizations differ from those encountered in
other industries. Other industries predominantly deliver their product from static production base,
with a constant workforce and a supply chain which is uniform over significant periods of time.
Construction does not benefit from these three key characteristics: its uniqueness stems in part from
the nature of the industry, the flux in client types, the dynamism of the projects and the inherent
nature of the organizations and the composite supply chain.

3. IMPLEMENTING IT WITHIN CONSTRUCTION ORGANISATION:


IT Systems and in particular Electronic Document Management Systems (EDMS) have for a long
time been touted as the answer to many paper related problems primarily because they seem to offer
an opportunity to exercise control over the primarily because they seem to offer an opportunity to
exercise control over the ways in which current paper based documents are handled and
distributed(Raynes, 2002). Before the implementation of IT and in order to maximize the benefits of
adoption it is important to gain an understanding of current working processes and procedures and
match these processes and procedures to that of the IT system. An IT system brings together the IT
application, the appropriate processes and most importantly the people who will make it work.
3.1 PREPARING FOR IT IMPLEMENTATION:
The non-physical activities which take place within construction organizations to be focused around
the creation and distribution of project based information and documentation. When choosing and
implementing IT, it is vital to understand the overall purpose of the exercise and examine what it is
you are trying to solve. The key stages in preparing IT implementation can be described as follows;
Stage 1: Setting goals and objectives
It is important to assess the needs of the organization and also the needs of the individuals who will
be using the implemented system. An example of an objective may be that: the system should be
compatible with existing software and provide co-ordination of activities and processes between
systems.
Stage 2: Review current document and information management processesIn
order to determine
how actual IT system will fit within the business it is important to evaluate current working processes
( Gyampoh-Vidogah, 2000).
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Fig. The paper based document life cycle process: where IT fits in
This is an extremely important step in the implementation process as there is a danger that the
implemented system will be of no core value should things be done in the same way as they always
have been. Process mapping is a tool which can be used to identify tasks that add value and support
the IT implementation whilst at the same time identifying bottleneck areas that require improvement.
Stage 3: Understanding the information and documentation exchanged
Construction organizations create and distribute many thousands of documents on a daily basis. When
deciding to implement IT many questions require examination relating to current documentation
practices. Great effort should be made to understand the whole process of document creation. After
understanding of the whole process, it is then possible to match exiting processes to the working
processes of an IT system. An efficient IT system will bring together the processes and the people
who use it.
Stage 4: Cost justification of IT
The issue of IT implementation cost and ROI can be a major barrier in the adoption of any IT

technology. A decision to implement is often made on a partial cost benefit analysis (Raynes, 2002)
although at best this analysis is based upon qualitative benefits and not hard quantitative facts. The
situation is also exaggerated because IT providers often make greater claims for their products.
Gyampoh-Vidogah, (2000) indicates that the costs of EDMS in particular are easy to identify but it is
the benefits of the systems that are difficult to measure. The cost driven culture of the industry and the
inherently small profit margins realized have a profound effect on the uptake of IT resulting in limited
resources available for IT implementation projects.
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Stage 5: IT infrastructure required
When a decision to implement IT is undertaken, the choice of system becomes an extremely
important factor because this will depend upon the organizations particular needs. After an analysis
such as user interface, requirements, system resources needed and the platform for end user
collaboration. These are extremely important factors which could affect not only end user usage but
also potential favorable increases in collaboration with members of the construction supply chain.
Stage 6: Formulating specific requirements (specification)
After an examination of the IT infrastructure required, enough information will exist that will allow
for the formulation of a system specification. In writing a specification it is a standard practice to list
all of the features and functions that the system should have. (Raynes, 2002) identifies 4 common
areas to focus the specification upon:
Area 1: Performance requirement
This area focuses upon user volume data, number of users, geographical nature of users, volume of
data, document types, and access to documents.
Area 2: Implementation requirements
This area focuses upon system accessibility, roll-out options, pilot stages, training, data take on (does
the system incorporate all existing data or does it start from new slate).
Area 3: Operational requirements
The focus within this particular area is based around system availability, roles and responsibilities of
the IT team within the organization, back-up requirements, support requirements and system
operating procedures.
Area 4: Quality requirements
Quality and security are the main focus within this area with specific emphasis on who is responsible
for the security, are there external security issues and what are the system validation requirements?
Stage 7: Implementation options
After the specification has been finalized and all options and processes have been examined, the
actual suppliers can be short listed and selected through the relevant tendering agreements. How to
implement IT will however depend upon the type of system needed. The preferred option for majority
of the construction organizations is the selection of a system that meets the majority of their
requirements and is a system which can be implemented relatively easily within the organization.
Project extranets and EDMS are systems which fit this purpose and are commonly used within
construction organizations although the use and adoption of mobile IT tends to be focused around
customized systems given its unique ways of working.
The issue of inter-operability between the many IT systems available is a major challenge facing the
construction industry and this may well explain the growth in using web-based applications (systems
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which require minimal IT development from user point of view) as an alternative (Stewart et al,
2004).
3.2 LEGAL ADMISSABILITY OF DOCUMENT EVIDENCE
Information generated electronically or stored electronically is subject to scrutiny when required as
evidence in a court of law and however information is exchanged there are number of requirements
that any paper based solution and technological solution must fulfill. There are series of guidelines
relating to this type of information; the most important of which for the UK are ISO 15489
(information and documentation records management) and ISO 17799 (code of practice for
information security) along with, Information security management system ISMS (ISO 27001:2005).
There is however number of problems related to electronic storage such as legal admissibility
although the stag of documents electronically does mean it not legally acceptable more likely it is that

it will be difficult to prove integrity in a court of law.

5. POTENTIAL BENEFITS OF IT IN CONSTRUCTION:


Investments in IT are often argued with the benefits it can bring with. Still few studies
are reported which could justify these arguments or quantify the benefits. As per the study carried out
by Mika Lautanala1, Esko Enkovaara, Aarni Heikkonen,Timo Taiponen in Finland which produce
well argumented experts estimate on the potential benefits. The study covers both the construction
process and the facility management process. The methodology was adapted to industry level to
analyze what is the current level of IT capability of the Finish construction industry. The analysis
resulted the potential direct cost savings though more efficient information processing if the current
level would be upgraded and what would be the required investments, including hardware, software
and education.
The project had two results:
1. A methodology to analyse a companies IT maturity, and
2. An estimate of the potential cost savings of construction industry could achieve with better use of
IT
The method helps a company to;
1. evaluate their present process and IT maturity
2. benchmark with other, leading companies
3. set goals for IT and process development
4. plan and budget the IT, HR and operational development tasks and investments
5. continuously evaluate the success of actions taken
The methodology also contributed to the estimation of potential cost savings. It was used to
analyse current level of the industry in terms of the capability to exploit IT effectively.
Reported cost savings are based on interviews and experts perception on what could be
achieved. Only the direct cost savings through more efficient information processing were
reported. Obviously, there would be significant savings also through improved quality,
reduced amount of mistakes, faster throughput times, etc. The authors see that the benefits
ignored in this study are remarkably more important to a company as the direct cost savings.
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Estimated cost savings should be verified (or disproved) scientifically by researchers.


Fig. The reported benefits only cover the direct cost savings. Indirect cost savings,
improved quality, improved customer satisfaction, improved employees motivation and
improved co-operation with partners were intentionally ignored in this study.
This analysis reported potential net savings of 5.1% of the output of the industry. This would require
long
and intensive investments in education and development. Almost half of the absolute savings are
expected
in facilities management, but relatively design and engineering are the most fruitful area (39%) for
investments in IT development (including human resources). In project management and main
contracting
significant savings can be expected both in relative (12%, 10%) and absolute figures.

CONCLUSION:
There is a growing awareness of the value that IT can bring to the wealth of parties involved in
construction project. For the industry to benefit however, major cultural change and an improvement
in
communication methods must be real experience so that the people within a project share and transfer
information more rapidly & widely, in accordance with their job role. The benefits however are
certainly
not assured because they are rarely measured and they depend upon well planned and executed
implementation projects.
REFERENCES:
1] Ahmad, IU, Russell, JS, and Abou-Zeid, A, 1995, Information technology and integration in the
construction industry, Journal of Construction Management and Economics, 13, pp. 335-352

2] Best Practice Group PLC. 2004, the little book of IT project mistakes
3] Cheng, EWL., Li, H, Love, PED, and Irani, Z., 2001 Network communication in the construction
industry, International Journal of Corporate Communications, 6 No. 2 pp,61-70
4] Gyampoh-Vidogah, R., 2000, Guidelines for implementing EDMS in the construction industry,
University of Wolverhampton.
5] ISO 17799, 2005, Code of Practice for Information Security Management, British Standard
Institute,
London.
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6] ISO 15489, 2001, Information and documentation-records management, British Standards Institute,
London.
7] Project of national technology programme Information networking for construction processes in
Finland.
8] Raynes, M., 2002, Document Management: is the right time?, International journal of Work Study,
51,
No. 6, pp.303-308.
9] Stewart, RA., Mohamed, S. and Marosszeky, M., 2004, An empirical investigation into the link
between information technology implementation barriers and coping strategies in the Australian
construction industry, Journal of Construction Innovation, 4, pp. 155-171.
9] Tapscott, The Digital Economy: Promise & Peril in the age of Networked intelligence, McgrawHill
New York 1996.

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