The construction industry has a number of peculiar characteristics that distinguish it from other industries. These peculiarities require a unique suite of modeling and analysis tools for managing construction production. The research presented in this thesis describes new methodologies in the areas of knowledge management, and construction simulation modeling.

The research explored the Theory of Inventive Problem Solving (TRIZ) as a unique theory for managing innovation. The theory was applied in its native form to a number of case studies in the area of utility tunnel construction, which showed a number of advantages in the theory in addition to a number of limitations. The research also extended the use of TRIZ by utilizing a similar approach to consolidate and preserve the knowledge used in solving construction field problems.

A simulation framework was then conceptualized and prototyped based on some of TRIZ fundamentals. The framework builds on the principles of function analysis and combines them with state-based simulation and software agent concepts to formulate a hybrid simulation approach that provides new possibilities in construction simulation. Among these possibilities are dynamic topological modification of simulation models and development of intelligent simulation agents. The framework was prototyped as a template under Simphony’s development environment and used for building a sample special purpose simulation template for tunneling operations.