Research On The Strategic Transformation Of Private Construction Enterprises Under The New Normal

The development target of ‘New Era' will become the main theme of China's economic development.President Xi Jin Ping points out in the 19th Communist Party of China National Congress that ‘Building on continued efforts to sustain development,we must devote great energy to addressing development's imbalances and inadequacies,and push hard to improve the quality and effect of development.With this,we will be better placed to meet the ever-growing economic,political,cultural,social,and ecological needs of our people,and to promote well-rounded human development and all-round social progress.' To solve the challenges in quality and efficiency means the slowdown of the economic development speed,the adjustment of industrial structure,and dramatic change in policy.The development of the construction industry was benefited from the investment-led economy and the fast development of the real-estate industry.With the coming of ‘New Era',there is no replication of ‘constructing everywhere' in the old times.Construction companies need to transform and upgrade themselves.Digitalization will change the business ecosystem dramatically.In the digital era,new technology,new products,and new business models iterate rapidly.This increases the uncertainly of the environment,and challenges companies in every possibly way.Together with fiercer competition,digitalization become inevitable.Based on the above-mentioned background,this thesis reviewed strategy literatures,summarized main strategic thoughts and tools,and conducted interviews and questionnaires with the case company NT.It proposed NT's plan for strategic transformation and development based on the analysis of NT's internal and external environment.This study provides following findings and conclusions.(1)Construction companies need to scientifically analyze and reasonably plan in order to exploit tremendous opportunities enabled by infrastructure construction such as transportation,water supply,sustainable development,education and medication development.(2)The company NT's internal and external environment was analyzed by five forces model,general competitive strategy,SWOT,and GE matrix.Construction companies such as company NT,face internal challenges from institution,talents,company culture,organization structure,and technology,as well as external threats from the slowdown of main business markets,fiercening market competition,and unstable domestic and global economy.(3)Interviews,questionnaires and case study method are used to analyse company NT's internal and external environment.A multi-linear regression model is applied to quantify the main factors.The main driving factors are organization system,operation system,R&D system and organization culture.We also established a digital maturity model for company NT and identified company NT's current maturity level.We also used Rasch algorithm to identify the key challenges in its digitalization transformation.These factors are prioritized in the development strategy.(4)The company NT's strategy plan and executional proposal in the incremental model are provided.The company should construct ‘big construction+' business platform ecosystem and transform to a new urbanization industrial operating company.