Role of national institutions in promoting innovation by contractors in Singapore

Abstract

The complexity of the relationships among the government, national institutions and enterprises often hinders efforts to understand the effectiveness of national institutions in encouraging contractors to innovate. The role of national institutions in stimulating innovation is investigated, with a focus on construction firms in Singapore. A qualitative systems model portraying the role of national institutions in the construction industry is developed and validated through statistical analysis and interviews. Technological advance from national institutions that cultivates a competitive environment is able to stimulate a direct increase in construction innovation, and develop industry clusters that enhance the contractors' research capabilities. The primary policy recommendation is that a national body that unifies various institutions and parties within the construction sector should be established to spearhead an integrated and focused research agenda for the construction industry.