. Construction, as an industry is growing globally. Some US construction compani
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Question
. Construction, as an industry is growing globally. Some US construction companies who are involved in international projects are exposedto some challenges. For this problem, read the brief article titled “7 Challenges Faced By International Construction Companies” that is locatedin homework folder on the class Blackboard website, and answer the following questions about international projects and production planning (15 points):
Select three construction production planning components(e.g.,safety planning) that may be impacted by at least one of the challenges listed in the article (or from your experience) when applied on international construction projects.
List the production planning components and their corresponding challenges.
Describe why each identified component could be a challenge for international projects
Suggest potential strategies to overcome those challenges.
Explanation / Answer
3 Construction production planning components selected are as under-
i) Project initiation and planning:
It is referred as the first step of any project. It includes project formulation, appraisal and scheduling of the project. The challenges with this step in international projects are as under:
a) Bureaucratic hurdles: To plan or initiate any project in any country one should have full knowledge of rules and regulations of that country. As every country have their own strategy and rules for construction which should be followed.
Thus to avoid this problem plan should be thoroughly checked by any local person to avoid any hurdles.
ii) Project financing:
It refers to the source of finance to be utilized for the completion of work. Challenges involved are:
a) It is not easy to arrange the finance for project due to currency hurdles between the countries.
To avoid this a proper framework should be presented along with full information of finance to win investor's confidence.
b) Corruption:
This problem is unfortunately faced by every country.
To avoid corruption the finance and other details should be openly presented to people of the country.
iii) Project Execution and control:
This is the core step of the working of project. The success of the project depends mostly on this step. Thus challenges are:
a) linguistic and cultural barriers:
To execute and control the project there should be two on two perfect conversation between officials and working staff. Due to differences in linguistic and culture there exist a gap between them which may deviate work from the goals.
To avoid this proper person should be hire to translate in both language.
b) Technology:
When project to be completed in countries with less technology there occurs difficulty in completion of project.
To avoid this a proper alternatives should be checked beforehand.
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