Investigation of Critical Success Factors for Construction Companies’ Human Resource Management

Abstract

The performance of construction projects is highly affected by human capital-related factors. The research of human capital-related critical success factors will substantially contribute to the success of construction projects. However, this field has not been thoroughly studied before and past studies lack consideration for identifying interrelationships between human capital-related critical success factors, even it is crucial to understand how other less critical ones may affect the criticality of certain factors. Based on a survey of the literature and recommendations from experts, 23 human capital-related factors were identified. Subsequently, expert elicitation was used to ascertain the importance of each factor and the interrelationship among them using an integrated methodology made up of the Analytic Hierarchy Process (AHP), Interpretive Structural Modeling (ISM), and Quadrant Analysis. The findings indicate that performance management factors and human resource planning factors have been more inclined to be at lower levels of a ten-layer structure that represents the relationships among human resource management factors, with health and safety factors and human resource planning factors getting the highest importance weights. The results of the quadrant analysis showed that determining of the project goal, regular human resource planning, selecting experienced and skill-full project manager, providing sufficient and structured training and development program, and creating of job security in the field of health and safety are among the key factors that hold significant and influential importance for the success of construction projects. These factors directly affect the human resource management activities of construction companies, and their prioritization can contribute to the overall success of construction projects. By giving attention to these important and influential factors, construction companies can ensure that their human resource management practices align with project goals and objectives, leading to improved project outcomes.