Generational Transformation and Its Reflection on Project Success: The Gen-Z

Abstract

Nowadays, Gen-Z members with a high ability to use high-tech products have just entered the labor market to take responsibility in construction projects. Gen-Z members must work together with other generations and different work styles. If the harmonization among generations is not managed properly, it will decrease the productivity of the construction industry. Therefore, this study aims to identify the Gen-Z characteristics and their impacts on the project success by using Structural Equation Modeling (SEM) method. SEM results showed that Gen-Z characteristics contribute to project success through communication. Therefore, communication-related practices must be overviewed and rearranged according to Gen-Z requirements. The findings will contribute to the in-company employee strategies and assist in adapting Gen-Z members into the construction industry to increase productivity.

Keywords

• Construction industry
• generation Z
• innovation
• performance management
• human resource management

References

1. Adams, R., Bessant, J., & Phelps, R. (2006). Innovation management measurement: A review. International journal of management reviews, 8(1), 21-47.
2. Aggarwal, A., Sadhna, P., Gupta, S., Mittal, A., & Rastogi, S. (2020). Gen Z entering the workforce: Restructuring HR policies and practices for fostering the task performance and organizational commitment. Journal of Public Affairs, e2535.
3. Aladag, H., Demirdogen, G. and Isik, Z. (2021), “Investigation of dispute factors and effects on construction projects arising from COVID-19 pandemic as a force majeure event”, Journal of the Faculty of Engineering and Architecture of Gazi University, 36(3), 1214-1228.
4. Al-Samarraie, H., & Hurmuzan, S. (2018). A review of brainstorming techniques in higher education. Thinking Skills and creativity, 27, 78-91.
5. Aouad, G., Ozorhon, B., & Abbott, C. (2010 Aouad: Directions and implications for research and policy. Construction innovation. 10(4), 374-394.
6. Apraku, K., Bondinuba, F. K., Eyiah, A. K., & Sadique, A. M. (2020). Construction workers work-life balance: A tool for improving productivity in the construction industry. Social Work and Social Welfare, 2, 45-52.
7. Arashpour, M., & Arashpour, M. (2015). Analysis of workflow variability and its impacts on productivity and performance in construction of multistory buildings. Journal of Management in Engineering, 31(6), 1-9.
8. Bacon, L. D. (1994). Using Amos for structural equation modeling in market research. SPSS white paper, 1-18.

9. Bencsik, A., Horváth-Csikós, G., & Juhász, T. (2016). Y and Z Generations at Workplaces. Journal of competitiveness, 8(3), 90-106.
10. Boone, T., & Ganeshan, R. (2008). Knowledge acquisition and transfer among engineers: Effects of network structure. Managerial and Decision Economics, 29(5), 459-468.
11. N. Borg and N. Scott-Young, C. Naderpajouh, “Managing to Retain Generation Z in the Construction Industry,” in 44th Australasian Universities Building Education Association Conference, 2021, pp. 109–119.
12. Botezat, E., Fotea, S. L., Marici, M., & Fotea, I. S. (2020). Fostering the Mediating Role of the Feeling of Belonging to an Organization Among Romanian Members of Gen-Z . Studia Universitatis Vasile Goldiș Arad, Seria Științe Economice, 30(4), 69-91.
13. Bucovețchi, O., Slușariuc, G. C., & Činčalová, S. (2019). Generation Z-Key Factor For Organizational Innovation. Quality-access to success, 20.
14. Child, D. (2006). The essentials of factor analysis. A&C Black.
15. Chillakuri, B. (2020). Understanding Generation Z expectations for effective onboarding. Journal of Organizational Change Management, 33(7), 1277-1296.
16. Dawes, J., Stocchi, L., & Dall’Olmo-Riley, F. (2020). Over-time variation in individual’s customer satisfaction scores. International Journal of Market Research, 62(3), 262-271.
17. Desgagné, A., & Lafaye de Micheaux, P. (2018). A powerful and interpretable alternative to the Jarque–Bera test of normality based on 2nd-power skewness and kurtosis, using the Rao's score test on the APD family. Journal of Applied Statistics, 45(13), 2307-2327.
18. Doran,J. & Ryan,G.(2017).The role of stimulating employees’ creativity and idea generation in encouraging innovation behaviour in Irish firms. The Irish Journal of Management, 36(1) 32-48.
19. Faraji A, Rashidi M, Perera S, Samali B. Applicability-Compatibility Analysis of PMBOK Seventh Edition from the Perspective of the Construction Industry Distinctive Peculiarities. Buildings. 2022; 12(2):210.
20. Fornell, C., Larcker, D.F., 1981. Structural equation models with unobservable variables and measurement error: algebra and statistics. J. Mark. Res. 18 (3), 382–388.
21. Francis, T., & Hoefel, F. (2018). True Gen’: Gen-Z and its implications for companies. McKinsey & Company, 12.
22. Gaidhani, S., Arora, L., & Sharma, B. K. (2019). Understanding the attitude of Gen-Z towards workplace. International Journal of Management, Technology and Engineering, 9(1), 2804-2812.
23. Gemino, A., & Wand, Y. (2004). A framework for empirical evaluation of conceptual modeling techniques. Requirements Engineering, 9, 248-260.
24. Gifford, R., & Nilsson, A. (2014). Personal and social factors that influence pro‐environmental concern and behaviour: A review. International journal of psychology, 49(3), 141-157.
25. Goretzko, D., Pham, T. T. H., & Bühner, M. (2021). Exploratory factor analysis: Current use, methodological developments and recommendations for good practice. Current Psychology, 40(7), 3510-3521.
26. Gunduz, M., & Yahya, A. M. A. (2018). Analysis of project success factors in construction industry. Technological and Economic Development of Economy, 24(1), 67-80.
27. Howard, M. C. (2016). A review of exploratory factor analysis decisions and overview of current practices: What we are doing and how can we improve?. International Journal of Human-Computer Interaction, 32(1), 51-62.
28. Iacobucci, D. (2009). Everything you always wanted to know about SEM (structural equations modeling) but were afraid to ask. Journal of Consumer Psychology, 19(4), 673-680.
29. Ikediashi, D. I., Ogunlana, S. O., & Udo, G. (2013). Structural equation model for analysing critical risks associated with facilities management outsourcing and its impact on firm performance. Journal of Facilities Management, 11(4), 323-338.
30. Jaiswal, A., & Arun, C. J. (2020). Unlocking the COVID-19 lockdown: work from home and its impact on employees.
31. Janssen, D., & Carradini, S. (2021). Gen-Z workplace communication habits and expectations. IEEE Transactions on Professional Communication, 64(2), 137-153.
32. Jayathilake, H. D., Daud, D., Eaw, H. C., & Annuar, N. (2021). Employee development and retention of Generation-Z employees in the post-COVID-19 workplace: a conceptual framework. Benchmarking: An International Journal, 28(7), 2343-2364.
33. Kärnä, S., Junnonen, J. M., & Sorvala, V. M. (2009). Modelling structure of customer satisfaction with construction. Journal of facilities management, 7(2), 111-127.
34. Kirpik, G. (2020). Entrepreneurship, professionalism, and leadership intention of Gen-Z : The case of Kahta. SEISENSE Journal of Management, 3(2), 58-72.
35. Kog, Y. C., & Loh, P. K. (2012). Critical success factors for different components of construction projects. Journal of construction engineering and management, 138(4), 520-528.
36. Lazányi, K., & Bilan, Y. (2017). Generetion Z on the labour market: do they trust others within their workplace?. Polish Journal of Management Studies, 16(1), 78-92.,
37. Leslie, B., Anderson, C., Bickham, C., Horman, J., Overly, A., Gentry, C., & King, J. (2021). Gen-Z perceptions of a positive workplace environment. Employee Responsibilities and Rights Journal, 33(3), 171-187.
38. Li, J., Qu, J., & Huang, Q. (2018). Why are some graduate entrepreneurs more innovative than others? The effect of human capital, psychological factor and entrepreneurial rewards on entrepreneurial innovativeness. Entrepreneurship & Regional Development, 30(5-6), 479-501.
39. Loosemore, M. (1998). The influence of communication structure upon management efficiency. Construction Management & Economics, 16(6), 661-671.
40. Ma, Z., Pi, G., Dong, X., & Chen, C. (2017). The situation analysis of shale gas development in China-based on Structural Equation Modeling. Renewable and Sustainable Energy Reviews, 67, 1300-1307.
41. Magano, J., Silva, C. S., Figueiredo, C., Vitória, A., & Nogueira, T. (2021). Project management in engineering education: Providing Gen-Z with transferable skills. Ieee Revista Iberoamericana De Tecnologias Del Aprendizaje, 16(1), 45-57.
42. Mahmoud, A. B., Fuxman, L., Mohr, I., Reisel, W. D., & Grigoriou, N. (2020). “We aren't your reincarnation!” workplace motivation across X, Y and Z generations. International Journal of Manpower, 42(1), 193-209.
43. Maioli, E. (2017). New Generations and Employment –An Exploratory Study about Tensions Between the Psycho-social Characteristics of the Generation Z and Expectations and Actions of Organizational Structures Related with Employment (CABA, 2016). Journal of Business, 2(1), 01-12.
44. Manoharan, K., Dissanayake, P., Pathirana, C., Deegahawature, D., & Silva, R. (2024). Assessing the performance and productivity of labour in building construction projects through the application of work-based training practices. Construction Innovation, 24(2), 558-583.
45. Malkanthie A., (2015), Structural Equation Modeling with AMOS, Panadura,Sri Lanka: Nippon Graphics Pvt. Ltd.
46. Markos, S., & Sridevi, M. S. (2010). Employee engagement: The key to improving performance. International journal of business and management, 5(12), 89.
47. McCarthy, G., & Milner, J. (2013). Managerial coaching: challenges, opportunities and training. Journal of Management Development, 32(7), 768-779.
48. Mulaik, S. A., James, L. R., Van Alstine, J., Bennett, N., Lind, S., & Stilwell, C. D. (1989). Evaluation of goodness-of-fit indices for structural equation models. Psychological bulletin, 105(3), 430-445.
49. Onsongo, E. K., & Schot, J. (2017). Inclusive innovation and rapid sociotechnical transitions: the case of mobile money in Kenya.
50. Ozorhon, B., & Oral, K. (2017). Drivers of innovation in construction projects. Journal of construction engineering and management, 143(4), 04016118.
51. Pataki-Bittó, F. (2021). Work environment transformation in the post COVID-19 based on work values of the future workforce. Journal of Corporate Real Estate, 23(3), 151-169.
52. Panwar, S., & Mehta, A. (2019). Fostering Leadership in Gen-Z : Onus on Whom?. IUP Journal of Soft Skills, 13(3), 65-70.
53. Pandita, D. (2021). Innovation in talent management practices: creating an innovative employer branding strategy to attract generation Z. International Journal of Innovation Science, 14(3/4), 556-569.
54. Park, J. K., & Lee, K. W. (2022). Efficiency Analysis of Construction Automation Using 3D Geospatial Information. Sensors and Materials, 34(1), 415-425.
55. PMBOK (2021) A guide to the project management body of knowledge, Project Management Institute, 7th Ed., Pennsylvania, USA.
56. Racolţa-Paina, N. D., & Irini, R. D. (2021). Gen-Z in the Workplace through the Lenses of Human Resource Professionals–A Qualitative Study. Calitatea, 22(183), 78-85.
57. Redick, A., Reyna, I., Schaffer, C., & Toomey, D. (2014). Four-factor model for effective project leadership competency. Journal of Information Technology and Economic Development, 5(1), 53-68.
58. Sange, R., & Srivasatava, R. K. (2012). Employee Engagement and Mentoring: An Empirical Study of Sales Professionals. Synergy (0973-8819), 10(1).
59. Schroth, H. (2019). Are you ready for Gen Z in the workplace?. California Management Review, 61(3), 5-18.
60. Shan, M., Li, Y. S., Hwang, B. G., & Chua, J. E. (2021). Productivity metrics and its implementations in construction projects: A case study of Singapore. Sustainability, 13(21), 12132.
61. Shi, D., Lee, T., & Maydeu-Olivares, A. (2019). Understanding the model size effect on SEM fit indices. Educational and psychological measurement, 79(2), 310-334.
62. Shuck, B. & Reio Jr, T. G., (2015). Exploratory factor analysis: implications for theory, research, and practice. Advances in Developing Human Resources, 17(1), 12-25.
63. Tabachnick, B. G., Fidell, L. S., & Ullman, J. B. (2007). Using multivariate statistics, Pearson Education, 5, 481-498.
64. Turner, A. (2015). Gen-Z : Technology and social interest. The journal of individual Psychology, 71(2), 103-113.
65. Watkins, M. W. (2018). Exploratory factor analysis: A guide to best practice. Journal of Black Psychology, 44(3), 219-246.
66. Weston, R., & Gore Jr, P. A. (2006). A brief guide to structural equation modeling. The counseling psychologist, 34(5), 719-751.
67. Williams, K. C., & Page, R. A. (2011). Marketing to the generations. Journal of behavioral studies in business, 3(1), 37-53.
68. Wilkinson, A., Johnstone, S., & Townsend, K. (2012). Changing patterns of human resource management in construction. Construction Management and economics, 30(7), 507-512.
69. Wolf, E. J., Harrington, K. M., Clark, S. L., & Miller, M. W. (2013). Sample size requirements for structural equation models: An evaluation of power, bias, and solution propriety. Educational and psychological measurement, 73(6), 913-934.
70. Yankov, L., & Kleiner, B. H. (2001). Human resources issues in the construction industry. Management Research News, 24(3/4), 101-105.