Examining the Influence of UK Public Clients’ Characteristics on Their Own Innovation-Decision towards the Modern Methods of Construction (MMC)

Abstract

Construction has long been identified as an industry resistant to change and innovation, a reality that has prevailed to shape its overall reputation. The public sector includes an influential client type that dominates the major percentage of construction demand and is subject to public law. The Modern Methods of Construction (MMC) have been championed recently by the UK government and early adopters upon the emergence of data indicating their effectiveness in addressing key construction challenges. However, the uptake of MMC has been low among UK construction clients, particularly among public client organisations. Theories emerge across decades to inform researchers of variable clusters that can aid a broader understanding of decision-making and innovation adoption. One of the popular innovation theories suggests a relation between the characteristics of decision-makers and their own innovation decisions. This paper, therefore, aims to investigate the characteristics that are responsible for public clients’ low MMC uptake despite the associated relative advantages. Overall, 91 public client organisations have responded to this research’s survey, reflecting their organisation’s characteristics in line with the constructs adapted from the Diffusion of Innovation (DOI) theory. Results suggest that among the ten influences that are captured from a detailed review of the literature, confidence in MMC firms supersedes all other factors in critically influencing the organisation’s favourable decision towards using MMC. Evidence provided in this paper suggests that a communication issue is presenting itself in the public construction sector, which is evident by the lack of confidence that public clients have in MMC businesses. This is the first study to utilise quantitative means to examine construction clients’ characteristics and relate the same to the adoption of construction innovation. Future research is encouraged to acknowledge the most influencing characteristics and detail how such knowledge can be embraced by supply to develop business models that can orchestrate better confidence in the public sector.