Construction Supply Chain Management

Term Project

Construction Supply Chain Management By: Alkan Bektur

Management 602 Dr. Mohsen Attaran

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Winter 2012

Table of Contents

Concept of Supply Chain Management ........................................................................................................ 1 Supply Chain Strategy in Construction Industry .......................................................................................... 3 Critical Elements for Best Practice Construction ......................................................................................... 4 Importance of Using Information Technology in Construction Supply Chain ............................................. 4 Managing Risk in Construction Supply Chain ............................................................................................. 5 Lean Construction Supply Chain .................................................................................................................. 6 Construction Supply Chain Management – Private Sector and Public Sector Business Models.................. 7 Case Examples .............................................................................................................................................. 8 Examples of Success ................................................................................................................................. 8 Examples of Failures............................................................................................................................... 11 Implementation Issues ............................................................................................................................ 13 Pitfalls ..................................................................................................................................................... 14 Public Works Construction Case Study ―Bakersfield Metropolitan Sanitary Landfill Module 2 Liner Installation Construction‖ ....................................................................................................................... 15 Vision for Future Practice ........................................................................................................................... 20 References ................................................................................................................................................... 21

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Concept of Supply Chain Management One of the most significant paradigm shifts of modern business management is that individual businesses no longer compete as solely autonomous entities, but rather within supply chains. In this emerging competitive environment, the ultimate success of the business will depend on management’s ability to integrate the company’s intricate network of business relationships. (Drucker, 1998) Supply chain should contribute to the global competitiveness of a business by contributing distinctive competence and cross-functional integration to achieve a high degree of cooperation and consistency within the entire supply chain. The Council of Supply Chain Management Professionals (CSCMP) defines supply chain management as follows: ―Supply Chain Management encompasses the planning and management of all activities involved in sourcing and procurement, conversion, and all logistics management activities. Importantly, it also includes coordination and collaboration with channel partners, which can be suppliers, intermediaries, third-party service providers, and customers. In simple terms supply chain management is the management of relationships across the network of businesses which are involved in making a product or delivering a service to the end customer. These different businesses will seek to maximize their profits for their own interest, but a successful supply chain requires all the parties to consider the interests of the remaining players in the supply chain to maximize the benefits for the entire chain. This requires the relevant information to be available to all partners in the supply chain in order to be able to make cognizant decisions that will create competitive advantage to the whole chain instead of individual decisions that sub-optimize local interests. This is generally dependent on developing

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and maintaining close relationships with key customers and suppliers. This is the most critical aspect of supply chain management.

Figure 1 - Supply Chain Management (Douglas, 2008)

Like products, services have supply chains, although they may be less concerned with the flow of the physical product and more concerned with the flow of work and information. Services use inventory, and so they rely on product supply chains to provide that inventory, but they also rely on intangible work, information, and financial flows. (Schroeder, Goldstein, & Rungtusanatham, 2011)

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Supply Chain Strategy in Construction Industry Construction supply chain management can systematically reduce sources of uncertainty through the active cooperation of all entities in the supply chain in four functional areas: preconstruction design and contractor selection, construction, information management, and risk management. The paradigm of construction supply chain management can play a significant role in developing relationships within the supply chain that reduce the exposure to contractual claims disputes. If we take the prime contractor as our focus point, the upstream activities within the CSCM involve the project owner and the engineering/design teams who prepare the necessary design and construction specifications for the construction process. The downstream activities include the material suppliers and the subcontractors. Substantial coordination is required between the suppliers, the sub-contractors and the prime contractor as project partners to carry out the task of building the project. A prime contractor cannot produce high-quality projects without quality materials and well-informed subcontractors, pushing quality responsibility down to its subcontractors and material suppliers. Ideally supply chain management represents a win-win utopian goal for circular benefits. Each company in the supply chain obtains its own profitability and success by creating customer value in terms of a functional, high quality project at an acceptable price. Each organization within the supply chain can reduce its own costs and increase its project performance through supply chain management, thereby enabling the supply chain to deliver value to the project owner. The satisfied project owner in turn rewards the supply chain with loyal contracting power, allowing profitability to be transferred back down throughout the supply chain. This in turn fosters further supply chain integration and responsiveness, causing the cycle to repeat. (Benton & McHenry, 2010) 3|Page

Critical Elements for Best Practice Construction The critical elements of a successful project implementation can be listed as follows (Potts, 2008); 

Clear project definition

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Clear objectives

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Realistic targets

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Adequate risk evaluation

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Experienced client and prime contractor

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Good forecasting on demand

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Effective sponsor and strong leadership

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Good communication and openness

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Adequate stakeholder management

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Management focus targeting the right goals

Importance of Using Information Technology in Construction Supply Chain There have been many significant changes in the construction sector within the past decade. The relentless development of computer power and the growth of World Wide Web and knowledge management have changed the industry for good. The improvements in geographical information system (GIS) and its wide availability also changed how the construction projects are completed. Yet the same fundamentals apply – clients wish to obtain their projects within budget and within the time and to the necessary quality.

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In the construction industry, the greatest opportunity for improvement lies in the optimization of the construction site and construction process. An individual contractor may be usefully engaged for only 30% to 40% of their time, often due to incorrect or mislaid materials, wrong specifications, or missing compatibility information (Peat & McCrea, 2007). These problems can be solved, at least in part, by improved information flows which can be achieved by available information technologies.

Managing Risk in Construction Supply Chain The potential for liability in any business has a direct correlation to the relationships in that business, that is, dealings with other businesses, employees, and the general public. Disputes between customers, subcontractors, and suppliers almost always occur because of poor initial communications and attempts to shift risk unfairly through egregious contractual provisions. Disgruntled employees negatively affect productivity. As ambassadors for the employer, dissatisfied workers can be detrimental to customer relationships. In construction, employees on the jobsite have substantial interactions with the project owner and other entities in the supply chain. Liability that stems from accidents is unfortunate and hard to predict; however, it can be reduced and managed through safety programs that foster a safe work environment. The paradigm of CSCM can play a significant role in developing relationships within the supply chain that reduce the exposure to contractual claims disputes. This development of relationships works to minimize accidents and create an overall environment of productive employees.

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Lean Construction Supply Chain A generic methodology of supply chain management can be deduced combining and generalizing the commonalities of different supply chain management methods. In a way, the supply chain management methodology bears resemblance to the Deming Cycle (Figure 2). Generically, the methodology of supply chain management consists of four main elements: (1) Supply chain assessment, (2) Supply chain redesign, (3) Supply chain control, and (4) Continuous supply chain improvement. (Vrijhoef & Koskela, 1999)

Figure 2 Generic supply chain management methodology compared to the Deming Cycle The first step is to assess the current process across the supply chain in order to detect actual waste and problems. The issue here is to find the causality between the waste and problems, and locate their root causes. This step is not always easy to implement as the consequences of certain construction decisions can be hard to predict and very complex. However, once the causality is understood, and having found out about the root causes, the next step is to redesign the supply chain in order to introduce structural resolution of the problems. This includes redistribution of roles, tasks and responsibilities among the actors in the supply chain, and a review of procedures. The next step is to control the supply chain according to its new configuration. An important part of the control is the installation of a monitoring mechanism to continuously assess how the supply chain operates. This includes systems to measure and estimate waste across the supply 6|Page

chain process, and feedback systems to discuss and evaluate underlying problems. The objective is to continuously identify new opportunities, and find new initiatives to develop the supply chain. In fact, this continuous improvement implies the ongoing evaluation of the supply chain process, and the recurring deployment of the previous three steps: assessment, redesign and control.

Construction Supply Chain Management – Private Sector and Public Sector Business Models The private construction projects are generally financed by commercial banks. Engineers and architects usually collaborate on the design phase of projects in this segment. The bids are packaged and categorized by system, such as mechanical, electrical, or structural. Typically more than 70 percent of the bid items are subcontracted to specialty contractors. The construction management is the predominant project delivery system. Generally high level of expertise is needed and pricing is based on competitive bidding. 35 to 40 percent of the all annual construction dollar figure in the U.S. is accounted in private construction projects. The financing of public sector projects are generally provided by federal, state or local governments or some combination of these. Compliance with the Davis Bacon Act and related statutes is one important difference between public and private projects. This Act requires that prevailing wages be paid to workers on all federal government construction contracts over $2,000. Prevailing wage laws also apply to construction projects with federally assisted funding. Davis Bacon provides that both prime contractors and subcontractors pay workers employed directly on the site not less than the local prevailing wages and fringe benefits paid on projects of similar character (Benton & McHenry, 7|Page

2010). Most local governments enforce this Act on all projects no matter what the funding source is. Public agencies require the prime contractor to submit performance and payment bonds. The proofs of insurance, comprehensive general liability insurance, worker’s compensation, and other coverage are typically required from the prime contractor as well. These upfront requirements can prevent small construction firms to expand into bigger public construction markets as prime contractors. The flow of payments is one of the more attractive features of the public construction market. The project owner is the state or local government and not vulnerable to bankruptcy in the same sense as private owners.

Case Examples Examples of Success As a result of significant population growth over the past 15 years traffic congestion became a problem within metropolitan Bakersfield area. To address the concerns of increasing traffic congestion and future population growth, the City of Bakersfield, County of Kern, California Department of Transportation (Catrans), and the Kern Council of Governments (Kern COG) have identified regional road improvement projects which are commonly known as the Thomas Roads Improvements Program (TRIP). During the federal transportation funding approval process in 2006, former 22nd District Congressman William M. Thomas secured $630 million for these projects. The trip projects will be funded from a combination of sources totaling approximately $1.3 billion. Federal funds provide 43 percent of the total cost, County of Kern and City of Bakersfield local funds provide 30 percent and the State funds provide 27 percent. 8|Page

(City of Bakersfield Public Works). The construction projects started in 2007 and are scheduled to continue until 2018. The collapse of the housing market and the economic recession had affected the local construction industry in the Kern County area. Kern County has one of the highest unemployment rates within the State and unemployed construction workers contribute to the problem, so when the TRIP projects were to start construction late 2007 local construction companies (significant local presence with offices within Kern County) were full of anticipation. However one can still observe the idle construction equipment at various construction staging lots throughout Kern County. So why did the local major roads construction projects failed to trigger construction employment for local construction companies? Below is the list is major TRIP construction projects and their prime contractors with the low bid amounts. (Construction Bid Board, Inc.) Project Name

Prime Contractor

Security Paving Mohawk Street Extension (Westside parkway Phase 1) Security Paving Mohawk Street to Allen Road (Westside Parkway Phase 2) Griffith Company North beltway / 7th Standard Road widening Security Paving State Road 178 / Fairfax Road Interchange Security Paving State Road 99 / 7th Standard Road widening th Granite Construction 7 Standard Road / BNSF grade separation Table 1 - TRIP projects (completed or in progress) and their costs

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Low bid Amount $27.7 million $76.6 million $30.3 million $29.0 million $13.3 million $11.9 million

As can be seen from the table Security Paving Company received total of $146.6 million construction projects out of the total of $188.8 million that was bid. Security Paving Company is headquartered in Sun Valley and up until recently had almost no presence within Kern County. Griffith Company and Granite Construction Company which have been the major players in the local construction industry for a long time were only able to receive 22% of the bids cumulatively. This case example can be listed as a failure of the local companies or the success of Security Paving Company. There are various reasons to the late success of Security Paving Company, but one of the major contributors to this is an effective use of their construction supply chain management supplemented by their lean construction process. A typical major road construction project bid tally consist of various pre-assembled items (typically upwards of 100 distinct item categories) such as drainage pipes and guard railing etc. However majority of the cost is associated with generic construction materials such as gravel, asphalt, concrete etc. that is needed in bulk quantities. In fact, 40% to 50% of the cost is granular material costs (gravel for the road, sand for concrete etc.) and asphalt costs. Therefore having a reliable and consistent granular material supplier provides a tremendous advantage in such projects. Most local gravel pits in Kern County area are small operations and have significant problems with providing quality material consistently and reliably. Realizing this Security Paving Company obtained its own gravel mining pits and through vertical integration started to mine the granular material for its own operations with its own personnel and equipment. This allows them to allocate adequate resources to the projects based on priorities and reduces material quality control costs and waiting time therefore reducing overall costs. In addition they were able to successfully negotiate lucrative agreements with their asphalt suppliers. As the

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number of projects they were constructing increased they were able to take advantage of economies of scale to further decrease the costs they negotiate with their suppliers. Construction companies with fully paid off construction equipment are considered to have an advantage in bidding process as they do not have to consider the additional equipment costs. However, Security Paving Company, which rents all its construction equipment, has shown that effective use of an equipment rental supplier, which can provide a very wide range of equipment, can provide additional advantages as the contractor can utilize lean construction using specialized high efficiency equipment instead of trying to get the work done with what they already own.

Examples of Failures Below is a transportation construction project that failed miserably mainly due to supply chain issues. The case example was obtained from a recent LA Times newspaper article (Lin II & Allen, 2012), and shows the importance of proper supply chain management in time-critical, high public-impact projects such as road maintenance projects in the California interstate road network. ―A routine California Department of Transportation road repair project gone awry backed up traffic for about 25 miles Sunday, forcing drivers to endure delays of five hours or more and sparking a furious political backlash that has put Caltrans on the defensive. On Thursday, Caltrans offered its most detailed account yet of what went wrong, saying that a series of errors ranging from a delay in getting concrete shipments to removing too much worn pavement contributed to what they admit was a "horrible situation." But the explanations and repeated apologies from road officials did little to calm the anger of thousands of motorists who 11 | P a g e

had to wait. Several area politicians have demanded investigations, and Caltrans has transferred the engineer who oversaw the project. The traffic was so bad that many drivers had no choice but to urinate on the side of the freeway or in bottles. Some people missed flights and important appointments. Debra Hotaling, who was trying to get home to L.A. from a weekend in Palm Springs with her teenage daughter and a friend, said it was the worst traffic she had ever seen. A trip that should have taken two hours lasted from about noon to 8 p.m. Frantic to escape the freeway, motorists sped on the shoulders and nearby dirt roads, she said. One driver of a Camry simply shot off into the desert. Some people who ran out of gas on the freeway placed signs on their cars asking not to be towed. The backup occurred at the worst possible time — the Sunday westbound rush from desert resorts to L.A. — and the most horrible spot: along the remote, narrow mountain pass that is a key connection point between Los Angeles and Palm Springs and Arizona. It all started with what should have been routine overnight road construction — tearing up worn slabs of concrete on the 10 Freeway and replacing them with fresh pavement. The first problem was that Caltrans staff failed to inform the agency's public information office that roadwork was planned for that night, Caltrans spokeswoman Michelle Profant said. The concrete slabs were being replaced on a roughly three-mile stretch of the westbound 10 in Banning, which is about 25 miles west of Palm Springs. After most of the lanes closed Saturday at 10 p.m., workers tore up more of the road than they could replace on time. That would have been enough of a problem. But then officials learned that a computer issue at a concrete plant in Cabazon had idled production. "Nobody knew that there wasn't going to be any concrete" when the freeway was torn up, Profant said. Without new concrete to patch the road, a one-foot-deep gouge was left. By

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this point officials knew that major delays would occur Sunday morning. But for reasons that are unclear, they failed to notify Caltrans public affairs, so no warning was issued early. Eventually, traffic began to back up. Motorists were already trapped on the road before the first public warnings were issued. Exits are few in the San Gorgonio Pass, so many motorists were simply stuck. By the time the concrete had been loaded into the trucks, "they were caught in the traffic too," Profant said. The botched construction job meant that three of the four westbound lanes of the 10 were closed to traffic, although crews were able to open up one more lane at some point, Profant said. Instead of opening the road at 7 a.m. Sunday, all westbound lanes opened at 9:30 p.m. Motorists who were stuck in the traffic called it the nastiest driving experience in their memories.‖

Implementation Issues Changes in schedule and scope are a common occurrence on construction projects, even on wellrun projects. Production in construction is transient in nature. Resource availability and poor site conditions pose real costs and limits on sub-contractors and suppliers. These costs are particularly important given frequent changes in schedule and scope. Existing methods to manage changes in schedule and scope do not account for the costs of capacity constraints or site conditions. More broadly, construction costing and control methods do not take these influences into account. Construction contracts that penalize for problems and contract solely for specific work at specific times retard information sharing and provide no mechanism to explore costs and capabilities in a dynamic environment. There is a need for integrated analysis across the entire supply-chain (from supplier to subcontractor). As a naive application of Just-In-Time principles, there may be an expectation of

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benefits accruing to every firm. This may not be the case as one firm had an increase in costs and supplier costs are greatly influence by the degree of uncertainty in the unit-order system. A systems perspective is required to evaluate performance. There is a link between facility design and supply-chain performance. Some suppliers choose not to participate in the unit order system because their production technology would be adversely affected. As production technology is largely driven by design, in theory design choices can be made to select technologies compatible with the desired production discipline. Contracts need to promote system optimization. Given a need for integrated analysis and the problems of finding systems in which every party gains, ways to equitably share the benefits of improved supply-chain systems are required. Similarly, there need to be incentives for improved operating performance, particularly with regard to uncertainty. (O'Brien, 1998)

Pitfalls There are three main categories of pitfalls in construction supply chain management. Firstly, even in normal situations much waste and many problems exist in the construction supply chain. However, this is not seen or often ignored. In the chain, most actors (separate companies and divisions of the same company) appear to be managing just their own parts, and securing their own businesses. Secondly, most of the waste and problems are caused in an earlier separate stage of the construction supply chain other than where they are found. The root causes of the waste and problems were rarely found in the activity where they were encountered, but rather in a previous activity executed by a prior actor, often operating on a higher organizational level. Lastly waste and problems are largely caused by narrow-minded control of the construction supply chain. Many actors in the chain seem to be not able or interested to see the impact of their behavior on other activities in the chain. In most cases, actors are not prompted to consider the 14 | P a g e

effects of their activities. Instead, they are encouraged to optimize their own part of the chain, not taking into account other activities and actors in the supply chain. (Vrijhoef & Koskela, 1999)

Public Works Construction Case Study “Bakersfield Metropolitan Sanitary Landfill Module 3 Liner Installation Construction” A sanitary landfill, which used to be called a "dump", is a site for the disposal of waste materials by burial. It is the oldest form of waste treatment. Historically, landfills have been the most common methods of organized waste disposal and remain so in many places around the world. Bakersfield Metropolitan Sanitary Landfill is the largest waste disposal facility in Kern County. The landfill property encompasses more than 2000 acres and has a planned waste disposal capacity of over a hundred years. The waste disposal activity is conducted in specially engineered and constructed disposal modules to ensure environmental control and regulatory compliance. The State of California has zero degradation rules which mean that any contamination of public resources such as groundwater is not tolerated no matter how small the contamination amount is (detectable contamination levels can be very low, much lower than harmful levels to humans). This obligation requires the construction of permanent waste disposal units to be 100% defect free. This is generally accomplished by meticulous design of these units, effective quality control and quality assurance during construction and continuous environmental monitoring to check the performance of the system for the foreseeable future. The current federal law requires the landfill unit to be actively monitored by the owner during operations and for at least three decades after the unit is closed (the regulators are working to increase the active monitoring period to 100 years after the landfill unit is closed).

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The design and construction process of Bakersfield Metropolitan Sanitary Landfill Phase 2A Module 3 liner installation project involves various stages. The initial master planning of the disposal property was completed by Geosyntec Consultants, Inc. in 1998. This master plan created the conceptual planning of the site development layout with an estimated schedule for development based on waste generation projections. The master plan has also divided the property in development modules with seven to nine years of disposal capacity. Seven to nine years is the amount of time it takes to plan, prepare the necessary design documents, obtain regulatory approvals from Federal, State and local enforcement agencies, prepare construction plans and specifications, bid the project, construct the project, obtain post construction approvals from the regulatory agencies and one to two years of buffer time for unforeseen delays. In 2007 Vector Engineering started the detailed design and preparation of the construction plans with the oversight of Kern County Waste Management Department. The plans were completed and submitted to the enforcement agencies for regulatory approval in 2009. The plans were revised in late 2009 by Kern County Waste Management Department to resolve possible foreseeable implementation issues. My personal involvement with the project started around this time. I have been the project engineer responsible for the project from 2009 until it’s completion in 2011.

Figure 3 - Construction equipment building a soil stockpile

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The original engineers estimate prepared by Vector Engineering in 2007 was approximately $11,977,000 and the Department budget was prepared with this estimate in mind. The project was bid in September 2010 with the low bid amount of $6,488,000 to Raminha Construction, Inc. (54% of the original engineers estimate). The project was successfully completed in September 2011 with a final cost of $6,437,000 ($51,000 less than the original low bid amount, further increasing the total savings to the tax payers to approximately $5.54 million dollars) and is awaiting final regulatory approval by the end of this month. Designing the construction specifically for optimized supply chain in mind and various scheduling and construction supply chain decisions and were the primary reasons for the success of the project. Some of the major design and management decisions are summarized below.  The design was completed in 2009, but since the existing module had three more years of capacity, instead of starting the construction right away, the Department choose to wait for construction market to come down even further. The general economy, as well as the waste generation and disposal rates (which correlate exceptionally accurately with the local economic strength) and the other local construction costs were continuously monitored to find the most advantageous time to bid the project and obtain the lowest bid possible. During this time the design was continuously reviewed for possible improvements.  Various modular pieces in the design were re-checked to see if the modular pieces were utilized efficiently. For example, after contacting the local suppliers it was found that the turf reinforcement mats used in the drainage channels for erosion protection come as 8.5 ft wide standard sections. Normally the contractor is responsible with the overlaps, scraps

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and waste etc., all of which increase the bid cost. The channel sections were recalculated for optimum use of standard material to minimize waste.  Following the general cost trends in the construction market certain design elements were replaced with cheaper alternatives. For example, because of the stressed housing market, sub-contractors specialized in earthmoving were forced to decrease earthmoving costs to 30% of the average costs from a few years ago. To take advantage of this, certain design elements such as conveyor pipes were eliminated and replaced with earth channels and retention basins (sumps).  The drainage gravel in the design was approved as a rounded to sub-rounded rock from the regulatory agencies. Rounded and sub-rounded rock can normally only be found in riverbeds or by the ocean and is approximately three times more expensive than crushed rock which is locally available. A consultant was hired to investigate if this material can be replaced with crushed rock while maintaining the performance criteria requested by the regulatory agencies. The consultant was able to prove that by making simple adjustments to the adjacent liner components, the crushed rock can replace the rounded granular material. This item by itself decreased the construction cost by approximately one million dollars.  A concrete crusher was rented and started to crush the construction demolition concrete material received at the landfill. Crushed recycled aggregate was stockpiled and accumulated over one year to reach required volume before construction. This material was used as a cheap roadbed material under the access roads.  The local landscaping companies were contacted to find out about the popular fertilizer materials being used in the farming industry at the moment. The re-vegetation seeding

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mix that was specified in the project was modified to include the commonly available fertilizers that the local suppliers can find cheaply.  The bidding process was longer than usual to encourage the prospective bidders to submit questions to the design engineers. This prevents any possible confusion that the contractors might have as well as giving the design team a final chance to adjust the plans according to the comments from the prospective bidders. Certain changes were made to the plans and specifications based on some of the constructive criticism received.  The design plans and computer aided models used in the project were made available in electronic form to all of the prospective bidders. The contractors were encouraged to verify the survey and design data. This also enables them to plan and schedule their operation using various design software that they have.  A mandatory pre-bid meeting was held with all prospective bidders on-site. The project scope was explained and the anticipated difficulties were highlighted. A pre-construction meeting was held with the low-bidder and past experiences obtained during previous similar constructions at the site were explained to the contractor.  The consultant that was responsible with the design was also hired to provide construction quality control and assurance (CQC & CQA) during construction. The cost of CQC& CQA was almost 10% of the construction cost. Additional budget was allocated to the consultant to maintain enough field staff on site to monitor construction to conduct quality control testing without slowing down the construction.  The department had also its own representative (resident engineer) on site, not for quality control but mainly as a department liaison and a coordinator between the engineer, the prime contractor, various sub-contractors, quality control consultant and the regulators.

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Weekly and monthly meetings were held between all parties involved to promote cooperation.

Vision for Future Practice Improved coordination, costing, and control offered by construction supply-chain management is an achievable vision. A better understanding of firm’s production costs and capabilities – in particular their ability to manage their resources across projects given changes in schedule and scope – affords several opportunities for improvement. It provides a background for improved production control within each subcontractor and supplier. Such an improved understanding of costs and capabilities also allows improved design of supply-chains composed of those subcontractors and suppliers, providing and engineering basis for improved coordination. Moreover, the link between cost and production allows new forms of contracts that promote system optimization.

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References Benton, W. C., & McHenry, L. F. (2010). Construction Purchasing & Supply chain Management. McGraw Hill. City of Bakersfield Public Works. (n.d.). Thomas Road Improvement Program. Retrieved February 25, 2012, from Bakersfield Freeways: http://www.bakersfieldfreeways.us/ Construction Bid Board, Inc. (n.d.). Construction bid board. Retrieved March 5, 2012, from Construction bid board: http://www.ebidboard.com/ Douglas, L. M. (2008). Supply Chain Management: Processes, Partnerships, Performance. (p. 3). Sarasota, Florida: Supply Chain Management Institute. Drucker, P. F. (1998, October 5). Management’s New Paradigms. Forbes Magazine, pp. 152177. Lin II, R.-G., & Allen, S. (2012, February 12). Massive traffic jam on 10 freeway becomes Caltrans scandal. Los Angeles Times. O'Brien, W. J. (1998). Construction Supply-chain Management. CEM, 1-6. Peat, M., & McCrea, A. (2007). Supply Chain Management in Construction Industry. London, UK: Institution of Civil Engineers. Potts, K. (2008). Construction Cost Management - Learning from case studies . Routledge. Schroeder, R. G., Goldstein, S. M., & Rungtusanatham, M. J. (2011). Operations Management Contemporary Concepts and Cases. McGraw-Hill. Vrijhoef, R., & Koskela, L. (1999). Roles of Supply Chain Management in Construction. International Group for Lean Construction - 7 (pp. 133-146). Berkeley: International Group for Lean Construction.

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