Just in Time Applications in Construction Projects - Essay Example

to production, general quality of work, design changes, material quality and availability, material handling and movement, safety, labor availability, capacity utilization, etc" (Akintoye, 1995: 105). In certain activities, an excess could be considered as a waste that results in zero-value and therefore needs to be minimized. Managing materials procurement is a vital process that has direct influence on a project’s cost. "A study shows the cost of materials and equipment constitutes approximately 60% of the projects cost" (Akintoye, 1995: 105; Marsh, 1985).

Therefore, controlling materials procurement activities starting from the supplier warehouse through the delivery process until storage on construction sites is essential. Nevertheless, there is still a lag in managing materials procurement properly because of changes during execution stage of construction. Bell and Wooten say that "a materials management system could produce an improvement of almost 12% in craft labor productivity" (Bell and Wooten, 1985). Consequently, improved labor productivity leads to a reduction in construction cost; this is beneficial to contractors in terms of profitability and competitive position, to construction clients in terms of reduced bidding prices, and to the construction industry in terms of the increase in construction that can be produced for the same amount.

A good practice that has been developed that focuses on organizing and managing the materials procurement process is Just-in-Time (JIT) system. Combining component measures of materials management to formulate decisions the entire process is a very complex obstacle. Based on Construction Industry Institute’s (1988) findings, certain key attributes of components were identified along with their measures of their performance to monitor and help ensure effective materials management. These attributes and measures are listed in the following checklist: Field Material Control: Materials control integrated with other