Finnish construction industry is at its peak at moment of this thesis, but still the productivity has not coup up with other industries. For example, productivity in manufacturing and shipbuilding industry has picked up in recent decades. In shipbuilding industry, which has similarities with construction industry, has been able to increase its productivity through modularization and prefabrication methods. Although productivity does not directly mean decrease in process cycle time, many studies show that increasing productivity leads to shorter cycle times in industrial processes.

This thesis examines different prefabrication and modular options, which could reduce the construction cycle time. The possible options include solutions that can be implemented immediately as well as solutions that are not yet possible to implement them. Studies show that, if the degree of modularity and prefabrication is being raised, the production philosophy should resemble more manufacturing rather construction. Because of this, this thesis has a literature view in principles that are more widely used in shipbuilding and manufacturing industries, such as Lean and Six Sigma.

Interviews in this study have been conducted with people who work in shipbuilding, construction or manufacturing industries. The interviews that were conducted to people who work in shipbuilding industry, aimed to explore ways and methods to increase the ratio of modularity and prefabrication in construction industry, as well as mapping the potential problems related to this. The interviews that were conducted with people who work in the field of construction and manufacturing, aimed to gather information on how to implement these solutions to the construction industry.

Modularity and prefabrication cannot be considered as foregone conclusion. It requires coordination from builders, manufacturers and designers, without forgetting the customers’ needs. Obtaining a precise calculated result for the shortened construction cycle time by modularization and prefabrication would require more practical studies. However, this study reveals that various modularization and prefabrication strategies can potentially increase the productivity of construction industry and thus shorten the construction cycle time.