US Construction Industry Managerial Strategies for Economic Recession and Recovery: A Delphi Study
Publication: Journal of Construction Engineering and Management
Volume 147, Issue 11
Abstract
Economic changes impact the construction industry and the associated stakeholders involved in construction projects. Construction companies are not immune to economic downturns, as evidenced by the sharp decline and long recovery period associated with the Great Recession of 2007–2009. Therefore, construction companies and construction industry stakeholders need to infuse specific economic strategies into their business operations. To determine effective strategies for construction companies to consider for weathering the risks associated with economic downturns, a Delphi study methodology was employed. Three rounds were conducted with qualified construction economic and financial experts representing financial officers, certified public accountants, and sureties to collect and confirm the existence and effectiveness of economic strategies employed by construction firms during economic downturns and recessions. From the Delphi study, 40 strategies were confirmed as highly or moderately effective methods based on the consensus criteria established from the Delphi study across six categories (1) organizational and project management, (2) direct-cost, (3) overhead, (4) financial, (5) preconstruction and marketing, and (6) efficiency strategies. This study contributes to the body of knowledge by providing a roadmap of economic, managerial, and financial strategies that can be implemented by construction companies to improve their financial health during different economic cycles.
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Data Availability Statement
Some or all data, models, or codes that support the findings of this study are available from the corresponding author upon reasonable request.
Acknowledgments
The researchers would like to acknowledge the contributions from the Delphi study participants. These individuals provided their time and necessary insights that made the difference in this successful study of economic strategies. Thank you to all the construction financial managers who participated in the study and those who have expressed their support by other means. We would also like to recognize Danforth, Weidman, and Farnsworth for their contribution to the body of knowledge upon which this Delphi study sought to build.
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Journal of Construction Engineering and Management
Volume 147 • Issue 11 • November 2021
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© 2021 American Society of Civil Engineers.
History
Received: Dec 28, 2020
Accepted: Jul 2, 2021
Published online: Aug 27, 2021
Published in print: Nov 1, 2021
Discussion open until: Jan 27, 2022
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