Enhancing Productivity in Saudi Arabian SMEs Through Lean Construction: Adoption Challenges and Implementation Strategies

Abstract

The following dissertation investigates the persistent productivity challenges faced by Small and Medium-sized Enterprises (SMEs) in Saudi Arabia’s construction sector and evaluates the potential of Lean Construction (LC) principles to address these issues. Its main objective is to explore how Lean methodologies, adapted to the SME context, can enhance operational efficiency and support the sector’s role in achieving the Kingdom’s Vision 2030 development goals. A mono- method quantitative approach was adopted, using a structured questionnaire comprising closed- ended items and one open-ended question distributed to construction professionals across Saudi Arabia. Findings reveal that skill shortages, weak planning and scheduling, limited technology adoption, and financial constraints are key internal barriers, compounded by external delays, payment issues, and fragmented supply chains. While 77.6% of respondents reported some familiarity with LC, only 12.1% had fully implemented it. Evidence suggests that gradual, tailored adoption of Lean methods can improve planning accuracy, reduce rework, and enhance coordination. However, widespread application is hindered by insufficient training, cultural resistance, and leadership hesitation. The study concludes that targeted training, leadership commitment, and policy-level incentives are essential to enable sustainable LC adoption and unlock productivity improvements across Saudi construction SMEs.