Prefabrication is one of the key methods in industrialized building construction. Employing this approach in construction projects offers numerous advantages, including improved efficiency, productivity, and quality; reduced costs; accelerated urban development; and minimized environmental impacts within the construction industry. However, in Iran, the supply chain management of prefabrication faces various challenges, leading to limited adoption and a marginal share in the nation's construction sector. Despite its potential benefits, effective measures to promote prefabrication in the Iranian construction industry have yet to be implemented.

Building Information Modeling (BIM) technology has the potential to significantly address and alleviate the challenges associated with managing the supply chain of prefabrication projects. This study investigates the impact of BIM functionalities on mitigating the challenges of supply chain management in prefabrication. Initially, the key functionalities of BIM were identified. Subsequently, a qualitative case study approach was employed, involving expert interviews in the prefabrication industry. The research identified the supply chain management phases, the challenges within each phase, and how BIM functionalities could effectively address these challenges.

The findings reveal that utilizing BIM—owing to its various functionalities, such as enhanced design visualization, improved data exchange, creation of an integrated database, and fostering stakeholder collaboration through a unified platform—leads to better supply chain management for prefabrication projects. This, in turn, accelerates the realization of urban development goals. Therefore, BIM plays a crucial role in enhancing the performance of prefabrication and fostering urban development.