The demand of construction project is increasing from years to years. Therefore, to survive and growth well in the industry, technology and innovation need to be executed by the organisation as both aspects are known as a weapon which helps in enhancing competitive advantage. Consequently, organisation should have the awareness on absorptive capacity to allow such practice is possible. Absorptive capacity is known as a critical item within organisation in order to sustain, grow and compete in the market. In previous research, absorptive capacity had been used to analysis performance at different levels including individual, organisation, industry and country. However, many researchers focus only on large organisation rather than small organisation. Meanwhile, on the different dimension, many researchers outlined the current aspects in measuring absorptive capacity is focus on R&D orientation which is not suitable for small and medium sized enterprises (SMEs) construction organisation. Hence, this paper aims to identify suitable measurement in measuring absorptive capacity level among SMEs within construction industry. Based on the absorptive capacity measurement models synthesis, the researcher found that most of previous research used performance, employee abilities and organisation factors to measure absorptive capacity in the construction industry. This research also considered non R&D absorptive capacity measurement in manufacture sector due to limited reliable literature review in measuring absorptive capacity through its dimensions; acquisition, assimilation, transformation and exploitation. A proposed framework that represents absorptive capacity measurement among SMEs is established at the end this paper.

In a global competitive environment, technical changes are rapid, volatile and very complex. Nowadays, technology is labelled as a weapon towards organization for performance and productivity, which made absorptive capacity (ACAP) an important aspect. Absorptive capacity refers to an organization’s ability to recognize, capture, assimilate, transform and exploit the new technology within the organization. In order, to allow technology transfer to be successful, the organization is required to have a strong ACAP. However, a previous study has outlined that the level of ACAP in the construction industry is relatively low and this has made the technology transfer process in the industry very challenging. Thus, this research aims to explore the ACAP level and technology transfer activities in a construction project. The objectives of this paper are to identify the factors that enhance ACAP in the technology transfer process, to measure the level of ACAP in the technology transfer process and to identify a suitable suggestion in order to improve ACAP in the technology transfer process. 35 contractors from the electric double track (ETS) project, in Segamat have been involved, with a 35% of respond rate. The contractors from the ETS project have been chosen as the project is known as a mega project and has involved various foreign technology and experts, which allow technology transfer to happen actively. Questionnaires are used as the research instrument and descriptive data analysis is conducted using the Statistical Package for the Social Sciences (SPSS) version 25. The findings show that the organizational factors contribute a significant influence towards ACAP in the technology transfer process. The ACAP level that is experienced by the respondents contribute towards good work performance, while the communication and skills aspect are to increase the level of ACAP in the technology transfer process. Based on the findings of this study, the organizations, contractors, academics, and others need to alert and view one of these issue as an important problem and to establish further cooperation in maintaining the level of absorptive capacity of new technology in the process of technology transfer in order to achieve optimal levels over  a period of time.

Technology transfer is a useful resource for improving technology and it is widely used in various industrial fields. The application of technology transfer in the construction industry can be viewed via the Mass Rapid Transit (MRT). The transfer of technology has been implemented in the construction of the MRT but there are a number of factors and barriers in implementing as well. Therefore, this study attempts to understand the technology transfer in the MRT project in the country and study the factors that influence the process of technology transfer in the MRT project. Data collection was conducted through interviews with respondents involved in technology transfer MRT project namely MRT Corporation Sdn. Bhd. And MMC-Gamuda KVMRT (PDP) Sdn. Bhd. The results showed organisational capabilities, relational capabilities, communications, level of absorptive capacity and technological capabilities, development of skilled human resources and economic advancement are factors that influenced the transfer of technology in MRT project. The findings of this study can be used as a guide for the MRT project in the future to avoid failure in the technology transfer.