Toward an Integrated SCM Model for the South African Construction Industry: Lessons from Shipbuilding

The design and manufacture of ships was catapulted by the adoption of digitalisation and lean manufacturing. The key factors to shipbuilding success have been the application of tools that include multiskilled training, VSM, 5S processes and adoption of key enabling technologies (KETs) for waste elimination in the value chain. The construction industry shares some similarities with shipbuilding that provides a good foundation of comparisons and lessons for improving some of the inherent difficulties construction faces. The purpose of this paper is to provide a comprehensive literature review of the shipbuilding industry’s lean techniques and KETs that have practical application for construction to improve the industry’s efficacy. Moreover, a study of shipbuilding SCM enhances practical knowledge of SCM implementation, especially since shipbuilding, like construction, has had challenges with the implementation of SCM and have successfully overcome these challenges to achieve competitive advantage and global economic success. From the review it was discovered that lean construction is broad in its application and numerous studies exist covering its application in modern construction. However, the lack of industry support or practice-related research on lean principles fails construction from reaping the full benefits of lean production. Digitalisation and lean in construction are seen as management tools, limiting their application and overall influence on a construction site, especially in production. The adoption of multi-skill training and a move toward greater forms of digitalisation would ensure construction has a skilled workforce ready to improve the quality of the structure they produce.