The global construction industry, valued at $13 trillion, faces longstanding challenges, including inefficiencies, delays, and corruption. These stem from a fragmented structure and a complex regulatory environment, coupled with low digitalization and labor shortages. Misaligned incentives among various stakeholders further complicate these issues, particularly during the procurement stage of projects, where transparency is often lacking, and regulation enforcement inconsistent. Noted experts like Francesco Decarolis and Emrah Ergelen emphasize the urgency of addressing these inefficiencies through better digitalization and aligned incentives to improve overall industry performance.
The $13 trillion global construction industry faces extensive inefficiencies, delays, and corruption, primarily due to fragmentation, regulatory complexity, and ineffective stakeholder incentives.
Key issues in the construction industry stem from misaligned incentives and limited transparency, particularly during the procurement phase, influencing project outcomes even before they begin.
Labor shortages and poor planning across the value chain significantly contribute to persistent issues in construction, making it challenging to achieve improved efficiency and transparency.
Experts like Francesco Decarolis and Emrah Ergelen highlight the need for strategic improvements in digitalization and fairer regulations to enhance procurement processes in construction.
Collection
[
|
...
]