A Study Of Construction Project Material Supply Chain Management Based On EOQ Model And FRID Technology

With the rapid development of China's economy,construction industry is also developing fast.Meanwhile,how to improve the production efficiency and reduce the cost of construction projects is an issue deserved to study.According to the statistics,materials cost in construction projects accounted for 60%to 70%in the total cost.Material supply status also affects the construction progress of the project,thus affect the project schedule.The effect of material management of construction project has an important impact on the overall performance of construction project.At present,there are many problems in material supply chain management.Multiparty participants in the material supply chain provide services for construction projects in a direct or indirect way.The complexity of the project is increased by the owners,contractors,subcontractors,material suppliers and so on.The information among the multiple participants cannot be shared due to information asymmetry;Construction project material management decision is made from the perspective of individual contractors rather than from the supply chain as a whole.All the participants take their interests as the center of management decision,and then make the relevant management decisions deviate from the overall interests of the parties.The delay,lack and defects of material supply of the construction project bring great uncertainty to the construction organization schedule and personnel arrangement of the project.Uncertainties in the material supply chain may lead to project delays,claims and other economic and technical problems.When the material management of construction projects can be integrated from the perspective of supply chain then efficiency of material management process can be improved which will have a positive impact on the whole construction project.Firstly,through questionnaire survey,expert interview and literature reading,the current situation of material management in construction projects is understood,and the existing problems are summarized.The problems include three main aspects:First,inventory management is primitive.Material management is seriously dependent on the work attitude and ability of the material staff;the decision model of order batch is simple,it cannot accurately reflect the use of the project material and the supply capacity of the supplier;The cost of management is high;Second,material unavailability caused by material delivery delay,loss and material specification unconformity;Third,the degree of information is low in the process of material management,and information cannot be shared between the participants in timely,leading to information asymmetry.In view of the problems summarized above,this paper studies the material supply chain management of construction project from two aspects including management decision-making and technology application in order to propose solutions to the problems.To simplify the research,the supply chain defined in this paper is a simple supply chain including the construction project and the first level supplier.From the perspective of cooperation of all participants in the material supply chain,the EOQ optimization model is constructed.Related cost of the supplier is included in the consideration factors of the optimal order batch decision.The idea of cooperation is applied to the inventory management decision,which minimizes the overall cost of the material inventory management and achieve more scientific material management.In order to meet the requirement of EOQ optimization model for information sharing and to solve a series of problems caused by information asymmetry in the process of supply chain management,this paper puts forward the application of RFID technology to each link of the material supply chain management of the construction project,so that the material information of the construction project can be shared in timely.This can reduce the uncertainty of material supply chain,reduce the unpredictability of material management and improve the efficiency of construction projects.Then,through the Flexsim simulation software,the combination of the management decision of the EOQ optimization model and the application of RFID technology can be simulated to see its impact on the construction project.The simulation results show that the application of EOQ optimization model and RFID technology can reduce the overall cost of material supply chain,optimize the management process of material supply chain,improve the efficiency of material management and improve the efficiency of construction projects.Finally,conclusions are given based on the above studies.The combination of EOQ optimization model and RFID technology can improve the level of material supply chain management,and further improve the efficiency of construction projects.In the process of material supply chain management,the idea of mutual cooperation,mutual benefit and win-win cooperation and the active introduction of advanced technology are the development directions of material management in future construction project.The innovations of this paper are:(1)On the basis of the basic EOQ model,the EOQ optimization model is constructed from the perspective of the whole materialsupply chain based on the idea of cooperation,so as to ensure the overall minimization of the cost of the inventory management decision.(2)To meet the high requirement of information in the application of EOQ optimization model and to improve the automation of material management in construction projects,this paper proposes the application of RFID technology in material supply chain management,and constructs a management framework combining EOQ optimization model with RFID technology to solve the problems of cost increasing and efficiency reduction in the process of material supply chain management.