Blockchain innovation ecosystems orchestration in construction

Abstract

Rapid advancements in blockchain technology transform various sectors, attracting the attention of industrialists, practitioners, policymakers and academics, and profoundly affect construction businesses through smart contracts and crypto-economics. This paper explores the blockchain innovation ecosystem in construction. Through a qualitative study of 23 diverse interviewees, the study explores how open or closed the blockchain innovation ecosystem in construction is and who its emerging orchestrators are. The data showed that construction aims towards an open innovation blockchain ecosystem, although there are elements of hybridisation and closedness, each system pointing out to different orchestrators. The study has implications for governments and large companies in construction, showing that open innovation initiatives need to be encouraged by policymakers through rules, regulations and government-sponsored demonstrator projects. The data showed that there is lack of readiness for business model change to support open innovation blockchain ecosystems in construction. This is the first study applying the open innovation theory in the construction industry and sheds light into the phenomenon of blockchain, suggesting routes for further democratisation of the technology for policymakers and practitioners.