Evaluating procurement strategies for modular construction: a stakeholder-centred approach

Purpose The construction industry is shifting towards modular construction to enhance efficiency, cost-effectiveness and sustainability. However, procurement strategies play a critical role in determining project success. This study aims to evaluate different procurement strategies suitable for modular construction and examine their influence on project outcomes, addressing existing gaps in stakeholder perspectives. Design/methodology/approach Data were gathered through elite virtual interviews with stakeholders across the modular construction sector. The interviewees included professionals with expertise in procurement, construction management and modular building systems. A thematic analysis was conducted to synthesise the insights from the interviews and secondary data sources. Findings The study identified various procurement strategies applicable to modular construction, including design and build, construction management, turnkey, cost-plus, public-private partnership (PPP) and joint venture. Findings suggest that procurement strategy selection significantly influences modular projects’ cost, time, quality and risk management. Key barriers include fragmented supply chains, regulatory challenges, limited stakeholder collaboration and insufficient procurement standardisation. The study recommends integrated supply chain models, policy reforms, digital procurement tools and enhanced stakeholder engagement to enhance procurement efficiency. Research limitations/implications The study is limited to perceived procurement strategies in modular construction and influences on project outcomes based on semi-structured virtual interviews. Future research should further validate the findings through empirical case studies and quantitative assessments of procurement performance in modular construction projects. Originality/value This research examines how procurement practices affect stakeholder satisfaction, teamwork and long-term modular construction project success, unlike typical cost and time efficiency studies.