Despite the inherent benefits in the delivery of construction through prefabrication, its adoption is still considered to be low in most developing countries like South Africa. This paper presents the result of an assessment of the challenges facing the adoption of prefabrication in the South African construction Industry (SACI) and the measures for improving same. The study adopted a quantitative survey approach with information gathered from participants within selected construction organisations in Gauteng province, South Africa. Data gathered were analysed using percentage, mean score and standard deviation. Findings revealed that the most significant challenges facing the adoption of prefabrication are lack of prefabrication branding and promotion, low awareness and knowledge, need for specialized equipment for installation, difficulty in getting tender, negative perception, improper assembly of prefabricated components, high investment on equipment, and clients doubts in using prefabricated materials. If the system of prefabrication in construction is to be adopted considerably within the SACI, then there is the need for the adoption of measures such as, conducting research and testing to prove feasibility of design, organizing workshops to train individuals on prefabrication projects, providing skills development programmes, creating awareness among parties involved in construction, adequate government support, regular training of machine operators, and advanced technology in assembling.