Digitalization and Sustainability in the Norwegian Construction Industry
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Abstract
In recent years, the Norwegian construction industry has shifted to a technological approach regarding processes and business models but is trailing behind on digitalization and sustainability. Therefore, this dissertation aims to address the benefits, challenges, and measures associated with digitalization and achieving sustainable business practices.
In this thesis, we seek to discover "How can companies in the Norwegian construction industry use digitalization to pursue their own business interests while supporting the UN’s sustainable development goals?" By collecting primary data through semi-structured interviews with six representatives from four different companies, covering various value chain areas, we accomplished an exploratory and concise qualitative method. Furthermore, we asked the interview group about their perspective and experience regarding digitalization and sustainability. In addition, we collected secondary data through archival and documentary analysis to map the scope of the topic.
The results show a lack of knowledge and unwillingness to use new technology. To solve this challenge, companies may utilize the theory of "organizational readiness for change." This procedure leads to a high degree of readiness for change and a high implementation success rate. Due to the lack of common digitalization standards in the industry, actors are working individually, resulting in poor communication and reduced effectiveness of procedures. Measures developed with interviewees indicate that actors should establish a cloud-based system, which ensures that data is always available and implement Integrated Concurrent Engineering (ICE) meetings. The cloud-based solution removes hardware limitations, improves availability, and reduces data loss. ICE meetings gather the involved parties under one roof, encourage real-time decision-making, and make it possible to share experiences and knowledge. ICE meetings also improve relationships among the industry actors and construction companies. Combining cloud-based solutions with ICE meetings promotes efficiency and productivity and makes it possible to correct errors quickly.
The Norwegian construction industry is in a state of sustainable challenges that must be solved to achieve Norway's ambition to become a low-emission society by 2050 in line with the Paris Agreement and the United Nation's Sustainable Development Goals. However, our results demonstrate that the authorities do not set sufficient requirements to fulfill the climate and environmental goals in the Norwegian construction industry. Therefore, responsible authorities must set stricter requirements that stimulate innovation, lower energy consumption, increase reuse and reduction, and make user-friendly guidance material to increase competence.
The results indicate a lack of expertise on best practices for rehabilitating buildings and reusing materials. Findings imply that actors should integrate human knowledge into machine learning to minimize the amount of data necessary, enhance the reliability of machine learning, and enable the design of explainable machine learning systems. Additionally, the industry should collaborate to create a digital marketplace where documentation and quality can be maintained. The construction sector may expedite a positive spiral for innovation and industrialization of circular solutions by establishing a digital platform to reuse building materials.
Finally, our findings present measures that foster digitalization, innovation, research, and development which contribute to companies in the Norwegian construction industry to pursue their own business interests while supporting the UN's sustainable development goals.