AHP-systems thinking analyses for kaizen costing implementation in the construction industry.

Omotayo, Temitope; Awuzie, Bankole; Egbelakin, Temitope; Obi, Lovelin; Ogunnusi, Mercy

Abstract

The incessant reportage of cost overruns and abandoned projects in contemporary literature have accentuated the need for a re-examination of the nature of the cost management strategies deployed to these projects. This study explores the potential of kaizen costing strategy to engender effective cost management within construction project delivery systems in developing countries. Data collected during this study were analysed using the analytic hierarchy process (AHP) and systems thinking approaches to determine the criticality of the factors influencing the effective implementation of kaizen costing. Seven (7) archetypes leading to final causal loop diagram identified the incorporation of the plan–do–check–act approach to project and cost planning, the budgeting system of the construction companies, overhead cost reduction during construction and the overall procurement process. Executing these archetypes will potentially reduce high overhead costs, project cost and time overruns, as well as enhance construction industry sector growth policies and construction organisation corporate governance.

Citation

OMOTAYO, T., AWUZIE, B., EGBELAKIN, T., OBI, L. and OGUNNUSI, M. 2020. AHP-systems thinking analyses for kaizen costing implementation in the construction industry. Buildings [online], 10(12), article ID 230. Available from: https://doi.org/10.3390/buildings10120230

• Journal Article Type: Article
• Acceptance Date: Dec 1, 2020
• Online Publication Date: Dec 5, 2020
• Publication Date: Dec 31, 2020
• Deposit Date: Dec 7, 2020
• Publicly Available Date: Dec 7, 2020
• Journal: Buildings
• Electronic ISSN: 2075-5309
• Publisher: MDPI
• Peer Reviewed: Peer Reviewed
• Volume: 10
• Issue: 12
• Article Number: 230
• DOI: https://doi.org/10.3390/buildings10120230
• Keywords: Analytical hierarchy process; Causal loop; Construction companies; Lean construction; Kaizen costing; Systems thinking
• Public URL: https://rgu-repository.worktribe.com/output/1003554