Construction organisations have adapted themselves to address change Essay

Construction organisations have adapted themselves to address change and the growing complexity of the construction industry.Pre - Essay Example One of the key characteristics of the construction industry is its high complexity; the projects developed across this industry are depended on a series of factors, including technology, climate conditions, suppliers’ and employees’ efficiency and responsibility, local regulation and so on. Therefore, for the firms that operate in the particular industry the full achievement of their goals is a challenging task; in fact, the research on the industry’s characteristics and performance has led to the conclusion that operational and strategic failures are common phenomena in this industry. This issue is discussed in this paper; it is concluded that the above failures can justify the argument that in modern market no single ideal organization can exist. The aspects and the explanation of this argument are presented in this paper referring, as an example, to the challenges and the performance of firms operating in the construction industry. 2. Change and increase of co mplexity in the construction industry - characteristics, responses and consequences - discussion of the premise that there is no single ideal organization. ... The value of the construction industry for economies worldwide cannot be ignored. For example, in USA, one of the most competitive construction markets globally, the value of the construction industry for the domestic product has estimated to 9% - referring to 2005 (Atallah 2006). Despite its size, the construction industry in USA is not well structured – a high fragmentation has been identified; more specifically, most of the industry’s firms are small and operate within their local area – about 2.1 millions of the relevant businesses are self-employed (Atallah 2006). This fact limits the potentials of these firms to face the challenges set by the globalization. The above phenomenon is common in countries worldwide. Firms in the construction industry are usually established and operate in the context of the development of particular construction projects; in many cases, the end of a construction project can set the survival of a construction firm in risk. In oth er words, there is no expansion of the activities or tasks allocated to the employees. Rather, the operation of each construction firm is depended on the successful development of a particular construction project; it is for this reason, that most of firms in this industry are self-employed – the number of employees is low. This trend is reflected in the figures released in the study of Bennett (2003); in accordance with the above study, the construction firms in Italy have been estimated to 482,000 (for 2002), a number extremely high taking into consideration the potential number of construction projects developed across the country/ compared to the country’s size and relevant needs (Bennett 2003). Moreover, in accordance with a