The impact of information technology on supply chain capabilities and Literature review

The impact of information technology on supply chain capabilities and firm performance for construction companies - Literature review Example Risks in construction projects are some of the major challenges to supply chains in the industry for delivery of value that can meet customers’ expectations. Supply chains have different risks and while little literature exists on their effects and possible solutions in the construction industry, Gosling, Naim, and Towil (2013) suggest the role of information technology in understanding the scope of the uncertainty in construction supply chains and possible solutions. According to the authors, an empirical approach that involves data collection and analysis can help in identification of the risks and roles of information technology in statistical methods is instrumental (Gosling, Naim, and Towil 2013). Consequently, implementation of information technology in construction supply chains could help in predicting and managing challenges for effectiveness and efficiency in service delivery. In addition, information technology, through use of Automated Materials Locating and Tracin g Technology, helps construction companies to overcome uncertainty challenges that arise from visibility problems (Young et al. 2013, p. 7, 8). Meng, Sun and Jones’ proposed model for managing supply chain relationships in the construction industry further supports the role of information technology in constructions’ supply chains (2011). The authors’ Maturity Model empowers construction companies to effective management that is associated with better performance, greater opportunities, and minimal conflicts. Implementing the model for these benefits however requires complex data analysis that identifies the need for information technology. The construction industry also identifies need for collaboration among stakeholders, especially between contractors and sub-contractors, for successful projects and application of such technologies as the Construction Collaborative