Role of Management Strategies in Improving Labor Productivity in General Construction Projects in New Zealand: Managerial Perspective

Abstract

This study aimed to quantify the effectiveness of a set of implemented management strategies including incentive programs, labor management, training, communication, supervision, planning, resource scheduling, use of advanced construction methods, and management of construction in improving labor productivity. These management strategies are widely implemented because they are believed to improve labor productivity in general construction projects. However, their effectiveness and relationship with labor productivity have not been systematically studied. Data were collected from 111 general construction projects. The statistical tests confirmed that labor productivity is significantly higher in construction projects with a high-level implementation of the management strategies compared with low-level implementation. The results showed that management strategies such as communication and incentive programs have a strong positive relationship with labor productivity. This paper’s major contribution to the overall body of knowledge is that it proves and quantifies the effectiveness of and the relationship of these management strategies with labor productivity through more comprehensive statistical methods than previous studies. It also introduces a tool to assist construction managers in benchmarking the implementation level of the management strategies against similar projects to reveal the areas that require further improvement to achieve higher labor productivity.