Evaluating the Time-Cost Trade-off as A Decision-Making Criterion in Implementing Industrialised Construction Systems in Building Projects

Document Type : Original Article

Authors

1 PhD Student of Project and Construction Management, Faculty of Architecture and Urban Planning, Iran University of Art, Tehran, Iran

2 Associate Professor, Faculty of Architecture and Urban Planning, Iran University of Art, Tehran, Iran

Abstract

Background and objectives: The construction industry has long struggled with maintaining high productivity levels compared to other sectors, hindered by inherent complexity, supply chain fragmentation, and reliance on traditional practices. Industrialisation, through systematic implementation of principles like prefabrication and automation, is proposed to address this. However, significant obstacles, particularly implementation costs, have impeded the widespread adoption of industrial construction systems. Various terms such as off-site construction, prefabrication, and dimensional classifications are used, often inconsistently, to describe aspects of these systems. This study investigates the time-cost implications associated with construction systems exhibiting varying levels of industrialisation. The core objective here is to develop a robust decision-making criterion to support the selection and application of these systems in specific construction project contexts.
 
Materials and Methods: The study first establishes a framework by carefully extracting and distinguishing the definitions of key industrial construction concepts (off-site construction, prefabrication, formwork/repetition, and construction dimensions) from the literature, treating them as characteristics rather than distinct systems. Subsequently, differences between industrial and conventional construction systems were explored to define a list of variables affecting the time-cost trade-off of construction projects that are influenced by the construction system employed. The impact mechanism of these variables on the time-cost trade-off, with respect to the defined industrialisation characteristics, is then analysed using a causal network to identify the fundamental variables of the problem.
 
Results and conclusion: The findings indicate that improving productivity stands out as the most significant advantage of industrial construction systems in affecting the time-cost trade-off of construction projects. Based on this central result and the relationship between direct/indirect project costs and project completion time, an approach is developed to compare industrial and conventional construction systems from the perspective of their time-cost trade-off, serving as a decision-making criterion. While industrial systems demonstrate strong potential for increased productivity and reduced project duration, the analysis suggests that cost remains a substantial challenge to their development. It appears that the maturity of the construction supply chain is a fundamental factor influencing this challenge and the overall adoption of construction industrialisation.

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History

  • Receive Date: 16 November 2023
  • Revise Date: 23 January 2024
  • Accept Date: 12 September 2025

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