Digital transformation in AECO industry: impending dilemma in the Indian context

• Published in: Journal of organizational change management 2024-05, Vol.37 (3), p.683-699
• Main Authors: Bhattacharya, Sanjay, Pant, Gautam
• Format: Article
• Language: English
• Subjects: Architectural services; Augmented reality; Automation; Building information modeling; Cloud computing; Collaboration; Construction industry; Corporate culture; Cost control; Decision making; Digital technology; Digital transformation; Engineering; Factories; Industry 4.0; Information communication; Information sharing; Innovations; Internet of Things; Organizational change; Productivity; Qualitative research; Quality control; Sensitivity analysis; Sensors; Supply chains; Technological change; Value chain
• ISSN: 0953-4814; 1758-7816
• DOI: 10.1108/JOCM-07-2023-0281

PurposeThe Fourth Industrial Revolution (4IR) holds the potential to significantly improve capabilities and performances for architectural, engineering, construction and operation and maintenance (AECO) companies in India. The top management of such companies seems unsure and reluctant to implementation of the 4IR applications. The objective of this research is to identify the 4IR technology applications, which would have a significant impact on the operation of the AECO companies in India. Moreover, the paper further attempts to give a conceptual roadmap for the implementation of these 4IR technologies in the AECO value chain.Design/methodology/approachThe nascent level of research in 4IR in construction necessitated the adoption of mixed methodologies in research. Hypothesis testing has been carried out on the quantitative data to ascertain the potential of 4IR technologies, which could significantly impact the AECO companies. Subsequently, qualitative research has been used to explore the reasons impacting the technology adoption and generate a possible road map for the implementation of the significant 4IR technology applications.FindingsThe AECO value chain is challenged due to its complexity, uncertainty, fragmented supply chains, myopic thinking and a culture reluctant to change. The study provides insights into the dilemmas of practitioners in the Indian context while exploring possible approaches to carry out the transformation in AECO.Research limitations/implicationsThe study validation relied on the opinions, perspectives and recollections of respondents. The opinion of practicing professionals was limited to the Indian context.Originality/valueThe article may help leaders of AECO firms, industry associations, policymakers and academia to take steps in relevant directions to enable digital transformation.