Exploring the Drivers of Blockchain Technology Adoption in Construction Project Logistics: A Case of South Africa

The construction sector has been criticized for poor logistic planning which has resulted in lower output, material loss, and project delays, all of which contribute to increased project costs. This has been attributed to the very big processes involved in the distribution of construction materials. Inefficient planning and management of these processes can affect productivity in construction sites and lead to material waste throughout the entire supply chain. Hence, the need to adopt an approach to manage logistics in the sector efficiently. Blockchain technology has been identified as the solution to the logistics challenges faced in construction project delivery. However, as a significant technological tool, it is expedient for the driving forces of blockchain technology in logistics management to be recognized and comprehended. Thus, this study examines the drivers of blockchain technology adoption in construction project logistics in South Africa (SA). A survey design was adopted. A total number of one hundred and forty (140) questionnaires were administered to construction professionals in Guateng Province, SA, and ninety (90) were returned and found suitable for analysis. Collected data were analyzed using percentage, mean item score, standard deviation, one sample t-test, and Kruskal-Wallis. The findings reveal the drivers of blockchain technology adoption in construction project logistics in SA which includes trust, enhanced blockchain knowledge and capabilities, collaborative mindset, organizational capabilities, and stakeholders’ participation. These findings could inform the project stakeholders in the country on the drivers of blockchain technology adoption in construction project logistics. These highlighted drivers are expected to motivate relevant parties to take considerable action for the SA construction sector to profit from this technology in logistics management.