The potential contribution of small firms to innovation in the built environment

The methods by which small firms overcome the disadvantages of their size to implement innovation on construction projects are examined here through five case studies. It is found that such methods include working with advanced clients, prioritising relationship-building strategies and using patents to protect intellectual property. Key obstacles to innovation implementation by small firms on construction projects are found to be bias in the allocation of government business assistance and regulatory inefficiencies under federal systems of government. The study’s findings derive from a theoretical framework which emphasises firm capabilities and environment, and innovation typologies. Further research is recommended into the impact of government assistance and regulation on small innovative construction firms.