Abstract:
The objective of this research is to employ the Design Thinking process to analyze the causes of liquidity management issues within construction projects at ABC Company and to propose solutions for addressing these issues. This is a qualitative research study that utilizes the tools of the Design Thinking process, which involves the following steps: Empathize, Define, Ideate, Prototype, and Test. It was found that this approach can effectively resolve delays in project completion and ensure adherence to the project schedule. However, it is not sufficient to address the liquidity management problem. Therefore, it can be concluded that the liquidity management problem arises from causes beyond the initial understanding of the problem. To address this liquidity issue, further root cause analysis is required, utilizing the Design Thinking process once again. Upon applying the Design Thinking process a second time, it was determined that the problem lies in averaging costs into milestones rather than considering the actual costs for each milestone. By following this redesigned process, the previously mentioned issues can be effectively addressed, resulting in a comprehensive plan for project management and the ability to manage project milestones effectively. This approach enables the complete resolution of liquidity management issues within construction projects at ABC Company.