Analysing the benefits, techniques, tools and challenges of knowledge management practices in the Malaysian construction SMEs

Knowledge management (KM) is the central know how for the construction industry. However, the delivery of construction projects is often plagued by schedule delays and cost overruns due to lack of working knowledge of project personnel. Hence, the need to appraise the practices of knowledge management in the construction industry has become all the more germane. This paper aims to determine the awareness of KM practices in Malaysia-based construction small and medium enterprises, and to investigate the benefits, tools and techniques, and challenges associated with knowledge management implementation so that effective measures can be devised to address them.

The research data were gathered using a structured questionnaire survey disseminated in the Klang Valley region in Malaysia. Responses were collected from 107 industry practitioners. The quantitative data are subjected to descriptive statistics, and the ranking with category of significance of the hypothesised variables is determined using the relative importance index (RII) technique.

The key benefits of KM practices are predominantly raising efficiency, quality, productivity and decision-making. The most preferred KM techniques are “face-to-face interaction”, “mentoring” and “documents and reports”. The highly significant tools are “groupware” and “telephone”. The major organisational issue hampering the implementation of knowledge management practices is “lack of motivation” while the critical cultural issue is relating to “bureaucracy and hierarchical”, and the vital people issue concerns “lack of trust”.

The respondents were limited to only small and medium construction enterprises located in the Klang Valley region in Malaysia, which makes generalisation challenging.

KM provides not only a pragmatic but also a proactive approach to raising the competitive edge and capabilities of a construction company. Identification of the critical attributes of KM provides the basis for project managers in formulating KM strategies to enhance the chances of successful delivery of future projects.

The study contributes to the debate on the knowledge agenda in the construction industry, particularly from a fast developing economy’s perspective, where an effective KM can further contribute to realising a reasonable level of competitiveness operation.