Why a Reliable Supply Chain System is Vital in Construction Projects

A supply chain aims to build a relationship between the processes of a given product or service and how it reaches the final consumer with a detailed system like a computer program. Think about construction. A building cannot just be constructed, but rather professionals need to gather to plan a well thought out system first. The construction of any building or structure is a complicated process whereby teams of designers, contractors, engineers, suppliers, and architects must form a platform of communication and careful planning.

From the extraction of the raw materials of a product to the final service that is delivered to a client, supply chain planning is crucial when it comes to architectural designs that people use. Health and safety precautions must be taken, and costs carefully captured and budgeted for. Here are some of the major reasons why supply chain systems need to be reliable with any construction project.

Avoids Unnecessary Work

Efficient and effective supply chain systems integrate the right professionals and experts, all collaborating to reach a common goal. When there is a combined effort from 100 people versus 50, there is a noticeable effect on health and safety, costs, and increased productivity. Instead of relying on a few people to manage the entire system, supply chain management means breaking the project up into smaller sections, usually by the relevant department.

A major problem that many construction projects face is time management. With a proper system in place, the right people are allocated the right jobs. Higher-priority tasks are handled by a team of departmental managers that oversee their own team. The idea is that sufficient experts are involved to get the job done safely, in a good time frame, and within financial resources. Ultimately this improves the quality of the building or structure and produces more positive outcomes.

Enhanced Quality and Inventory Control

In construction, taking shortcuts is not a good idea. From bridges and skyscrapers, to even just a life-sized statue, quality should be of the utmost importance. Most constructions are usually occupied by many people at one time. This means that the types of materials used are reliable and strong enough to withstand these pressures. Planning for inventory is just as important and requires a team of people to set out objectives, know exactly what materials will give the best results, and make sure that there is sufficient supply to get the job done.

Think about a construction company that has been asked to build a double-story house with stormproofing in place. The client may not realise that specific material will need to be used. For example, a specific type of resin-based clear corrugated roofing sheet like corrapol stormproof roofing is the optimal choice for aggressive weather. Practically indestructible, they can withstand all sorts of environmental factors. But they need proper corrapol PVC Installation. With supply chain management in place, there would be specialists in place to browse the range of products available in the best quality, and which isn’t too expensive, or that material would be hard to source.

Lowered Overhead Costs

Supply chain systems usually have processes that work specifically to reduce unnecessary costs and keep financial liabilities to a minimum. Some programs can easily identify when one department is spending more money than another, or when a team is behind on a project. These systems are also reliable in calculating which suppliers are more cost-effective and efficient so that cash flow can be increased.

Certain high-end systems even have the capability to predict when a major expense should be expected, if the labour staff are short of hands, and if additional supplies need to be ordered. Overall, this improves productivity because uncertainties are managed, and every step of the project is outlined in detail.

Better Prediction of Risks Through Communication

Several things can go wrong during a construction project. Whether during the planning stage or right as the finishing touches are being done, mitigating risk is critical when working in construction. The general rule of thumb is that, the later a problem arises in the project, the harder and more expensive it will be to rectify. So, there needs to be a close association with every person involved to identify as many predictable issues as possible.

Communication is an important part of the supply chain process because it enables better transparency of every decision that needs to be made. It involves multiple departments weighing in on a single area because there are usually many varying aspects that determine how a project must be carried forward.

The best way to approach a supply chain management system for a construction project is to identify the aims and objectives, determine the specific needs of each process, and lay as much information out as possible. Often requiring an initial brainstorming session, once done correctly, the system will mostly take care of the rest.

No matter what type of supply chain you work in, IoSCM can help you advance your skills and knowledge to gain better results. Speak with a member of our team today, call 0800 1422 522.