A Systems and Contingency Analysis Applied to Construction Projects of Exceptional Architectural Design

Chapter 3 - Technological Systems

Summary / The Effects of Design on Construction Means and Methods / Effects of Innovative Construction Means, Methods & Applications / Return to Index Page

Summary

Projects of exceptional design will more likely use innovative construction methods, materials or applications. The more complex the technology, the more that the project organization will approach a matrix organization. Influence based on specialized knowledge will also tend to decentralize the project organization, with ensuing matrix relations for coordination between the decentralized groups. This decentralization helps the project organization manage increased complexity and avoid information overload. In order to operate this decentralized matrix organization, there will need to be a significant increase in the managerial resources.

The use of novel or innovative construction means, methods, or applications will increase the level of uncertainty in both the design and construction process. This uncertainty leads to greater difficulties in the control of time and cost as well as in the general control of the project. It is the uncertainty inherent in a technological system that makes one system more difficult or complex than another system.

The more uncertainty that exists, the more information that must be processed. Uncertainty is synonymous with complexity. The larger a project becomes, the more complex it becomes due to the greater requirements for information processing. As a project becomes larger, there is a greater tendency for selective decentralization, and a corresponding requirement for a more developed administrative structure to manage the project coordination. As a project becomes larger, there is also a tendency for the organizational structure to become formalized.

The more uncertain the project, for whatever reason, the greater the managerial resources required, as a proportion of all project resources, needed to operate the project organization.

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Chapter 3 - Technological Systems

This chapter will look at the effects on the technological system. In this context, technology refers to the means, methods, and application of construction techniques. The level of uncertainty, influence and expert power, and the effects on the organizational structure will be examined.

The Effects of Design on Construction Means and Methods

The more design oriented a construction project, the more likely that innovative construction methods, materials, or applications will be used than for a project of standard design. Examples of different types of innovation can be seen in the following projects:

The Church at Ronchamp [301] designed by the architect Le Corbusier, utilizes unusual concrete formwork in the construction of the roof, and uses curvilinear and sloping masonry walls in the design. While the actual technology used was fairly standard, i.e. insitu concrete and masonry, the application of these technologies was unusual.

The Sydney Opera House [302], designed by the architect Jorn Utzon, has an extremely complicated series of billowing roofs which are formed by precast concrete segments. This building is an example where, particularly for the roofs, the methods, materials, and applications were all novel. The Bavinger House [303], designed by the architect Bruce Goff, utilizes not only non-standard geometries, but also applies technologies from other industries. For example, salvaged bi-plane struts are used in the construction, as well as glass cullets, which were by-products from an industrial manufacturing procedure, in the masonry walls.

The Brion-Vega Cemetery [304], designed by the architect Carlo Scarpa, involved a high level of detailing in the concrete work. In this project the concrete was of such a quality and complexity, that the construction of the formwork approached that of cabinetry manufacture.

The more complex the technological systems used in the construction project, the more the overall project organization will approach a matrix organization. This matrix organization refers to the relationship between organizations within the project environment, and not necessarily within an individual organization. This is supported by Mintzberg's [305] observation that the more sophisticated the technological system, the greater the selective decentralization, the greater us of liaison devices, the more professional the support staff, and the more elaborate the administrative structure. These aspects are characteristics of an organic matrix organization.

With regards the influence exercised by the various groups on this project, Mintzberg [306] has noted that in organizations, experts have considerable informal power when the organization needs specialized knowledge. This informal influence will transcend contractual boundaries, and will contribute to decentralization and matrix relationships. In addition, the influence derived from expert power of any one group will vary during the life of the project due to altering project requirements. This will also tend to make the structure of the project organization more fluid.

Another explanation as to why a more organic or matrix relation-ship might occur on projects of exceptional design may be due to the transaction costs of organizational relations. Williamson and Ouchi [307] maintain that the "transaction" is the basic unit of analysis in organizational design. They further propose [308] that transaction costs influence organizational design.

Mintzberg [309] has identified five methods of organizational coordination: 1) Mutual adjustment. 2) Direct supervision. 3) Standardization of work processes. 4) Standardization of work outputs. 5) Standardization of worker skills. Applying a transaction cost view to these coordinating mechanisms, the use of standardization methods tends to lower transaction costs. When the situation encountered by the organization becomes unusual or innovative, these techniques of coordination by standardization are not sufficient. Additional coordination efforts of direct supervision and mutual adjustment are then required to manage the situation. Of these latter two techniques, mutual adjustment is found to a higher degree in a matrix organization.

On a project of exceptional design it could be argued that coordination by direct supervision is not as important as coordination my mutual adjustment. Particularly where expert knowledge is required, direct supervision becomes inappropriate, as research and production of information becomes decentralized, as Mintzberg [310] notes, to avoid decision and information overload.

Assuming that a matrix structure then occurs on a project, Mintzberg [311] further observes that the number of managers required to operate the structure is doubled from a more bureaucratic or hierarchical type of organizational structure. I would argue that the doubling that Mintzberg refers to is not a precise figure, but is merely indicative of the additional quantity of managerial resources required to coordinate the matrix structure.

Effects of Innovative Construction Means, Methods, & Applications

The use of novel or innovative construction means, methods, or applications will tend to increase the level of uncertainty in both the design and construction process. This uncertainty can be in several forms including uncertainty over building program definition, uncertainty with regards the application of industry standard technologies, uncertainty with regards the actual amount of work involved due to the lack of prior references, and uncertainty of the client's intangible aspirations.

The higher the level of uncertainty, the more difficult it becomes to accurately define the project in terms of cost and time, and to control the project generally. An example from cost estimation can be used to illustrate this point. Clark and Lorenzoni [312] define three types of cost estimate which they term as:

1) Screening Estimate - Taken from a schematic program.
2) Budget Estimate - Taken from basic design information.

3) Definitive Estimate - Taken from final documentation.

The degree of variation in each of these forms goes from approximately 40% in a screening estimate, approximately 20% in a budget estimate, and somewhere near 5% - 10% in a definitive estimate. It could be argued that the higher degree of uncertainty on a project of exceptional design (cost, time, or otherwise) is more in the region of 20% -40% uncertainty as opposed to 5% -20% uncertainty on more standard projects. It could also be argued that the uncertainty in these projects keeps the estimations at a preliminary or schematic stage longer than if the project being estimated were of standard design. It has been previously argued that projects of exceptional design will tend towards novel or innovative construction means, methods, or applications more than a standard project. From a technological point of view, the more innovative or novel the project, the more difficult it is to control.

I propose the following hierarchy of technological types, starting with what I propose is, technologically speaking, the easiest to control, ending with the technological type that is most difficult to control.

1) Standard construction techniques applied in standard applications. For example, masonry bearing walls and timber floors in a speculative row house.
2) Standard construction techniques applied in innovative applications. For example, masonry walls built in a curved and sloping manner as in the Church at Ronchamp designed by Le Corbusier.

3) Standard construction techniques that are foreign to the construction industry and that are applied in innovative ways. Examples include modularization techniques borrowed from the oil industry and applied to repetitive building elements whether they be complete rooms in the case of hotels, stair towers, or structural elements. This techniques is more difficult than the previous techniques because of the efforts required to understand the foreign technologies, and to coordinate this with other more standard technologies that will interface and be interdependent with this techniques in a construction situation.

4) Complex and innovative construction methods would be the most difficult of all technological systems to control. Here methods of construction would be new and the applications or modifications of existing construction materials would be innovative. This techniques generally offers the greatest number of uncertain variables of any of the four techniques listed.

The factor that predominantly makes one technological system more difficult to control than another is the degree of uncertainty associated with each system. The four levels of hierarchy noted above can be argued to have each an increasing level of uncertainty. It has been noted previously (Galbraith) that the greater the amount of uncertainty, the more information that must be processed by the project organization.

Correlated to information processing, the size of a project will affect its technical difficulty. Harrison [313] notes that on large projects, three factors lead to problems: 1) The large number of activities. 2) The large number of organizations and people. 3) The lack of complete information. While Harrison does not explain why these three factors lead to difficulties, it can be inferred that the quality of the information processing is a key factor. In the case of the hierarchy of technological systems that I have noted above, the latter two systems tend on to be utilized mainly on larger scale projects.

Williamson [314] uses the concept of "bounds of rationality" for the human capacity to formulate and solve complex problems. He postulates that there are neurophysiological and linguistic limits to an individual's capability to formulate and solve complex problems. He further notes that bounded rationality together with uncertainty or complexity results in information impactedness. To Williamson, complexity is equivalent to uncertainty, because even if the individual ingredients of a highly complex problem are each certain, their sheer number defies computation and results in uncertainty.

Expanding on this concept, it can be inferred that if all other variables except a project's size were kept constant, the larger it became, the more uncertainty that would exist. It could be that the level of uncertainty rises to a point, due to project size, that an otherwise bureaucratic or hierarchical organization within the project team shifts towards an organic structure and matrix relations with other organizations in the project team.

This might be explained by noting that the added uncertainty would require additional means for coordination, and within limits, an increase in uncertainty and complexity could be an added reliance on selective decentralization and mutual adjustment. However, beyond a certain point, the organization will tend to become more bureaucratic. Mintzberg [315] has noted an increased formalization with greater size, as well as a greater need for coordination.

Related too the previous proposition, the more complex or uncertain the project, whether through technological factors or otherwise, the more humans resources, as proportion of total human resources, will be required to process information and maintain the project's organizational system. Other methods exist, such as increasing the capacity of the information system to process information [316], and while this can be accomplished to a degree with existing human resources, and perhaps additional capital equipment (computers, etc.) the general tendency in construction projects is to increase the number of managers working on the project.

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