Critical analysis of the suitability of blockchain for procurement and management issues in building services systems
Sachindra Hewavitharana, Srinath Perera, Xiaohua Jin, Krisanthi Seneviratne, Keivan BamdadPurpose
Building Services Systems (BSS) accounts for up to 60% of the cost of a construction project with multiple stakeholders, lengthy life cycles and high financial investment, making their procurement and management (P&M) more challenging than structural or architectural components. Despite this significance, there is a lack of research which focuses on the issues in procurement and management of BSSs and solutions to address them. Thus, this paper aims to address three knowledge gaps: identify the significant issues in procurement and management of BSS, examine the criticality of the issues and analyse the validity of blockchain (BT) as a technological solution.
Design/methodology/approach
A Delphi-based expert forum was conducted, and data were analysed using the content analysis technique. Twenty-eight issues were identified using a systematic literature review, and they were prioritised. Finally, features of the blockchain are mapped against the issues to analyse the potential of blockchain technology.
Findings
Analysis results identified that a lack of trust, transparency and collaboration are the root causes of the major issues. Comparative analysis of technologies established that blockchain has the potential to address the major issues.
Research limitations/implications
It is important to acknowledge limitations of blockchain adoption, such as scalability, interoperability, legal uncertainty and industry readiness, especially in small and medium-sized enterprises’ and Business-to-Business applications.
Originality/value
BSS is the operational backbone of facilities management. Issues emerging during the early life cycle stages of BSS often manifest as performance and maintenance challenges in the operational phase. This study positions BT within the BSS domain across the entire life cycle of a facility. This problem-driven approach enhances collaboration, trust and transparency for sustainable facilities management.