Conceptual framework for the assessment of subcontractors' eligibility and performance in the construction industry

Abstract

Subcontractors handle a major portion—about 85%—of all construction projects in the building industry. The ability of the main contractor and consultants to deliver the project within time, quality and cost targets depends largely on the performance of the subcontractors. Selection of subcontractors on the basis of overall ability to perform is therefore crucial to successful project delivery. The key criteria for assessing subcontractors' eligibility for tender invitation and award, and subsequent performance at the construction stage, were investigated. Using the descriptive survey method, 243 contractors and 307 subcontractors registered with the Gauteng Master Builders Association of South Africa were surveyed. The multi-attribute technique was used to analyse the data. Results showed that quality record is the most influential criterion for selecting high performing subcontractors at the pre-qualification stage, and for assessing their performance at the construction stage. Tender price exerts the most significant influence in the subcontract award. A framework was developed for use by main contractors and consultants in the assessment of the suitability and performance of subcontractors. Application of the framework to a case study demonstrated its merit as a tool for ensuring that only high performing subcontractors are selected for subcontract jobs.Performance evaluation, pre-qualification, selection, subcontracting, tendering,

On-site Labour Productivity of New Zealand Construction Industry: Key Constraints and Improvement Measures

“…The descriptive survey was therefore chosen as the most appropriate research method (Leedy and Ormrod, 2009;Mbachu, 2008;Cooper and Schindler, 2006). This involved the use of pilot interviews and questionnaire surveys at the qualitative and quantitative data gathering stages, respectively.…”

“…However, a number of authors (Mbachu, 2008;Henriod and Lantran, 2000) believe that positive net cash flow, being the lifeblood of the industry and the source of project finance, has the most profound impact on productivity and performance. Table 10 Relative levels of impact of the broad categories of onsite productivity constraints …”

Fuzzy Multi-Criteria Decision Making Model for Subcontractor Selection in International Construction Projects

“…Ng and Luu (2008) developed a case-based system for construction subcontractor registration. Mbachu (2008) suggested a framework for use by main contractors and consultants in the assessment of the suitability and performance of subcontractors. Arslan et al (2008) proposed a web-based subcontractor evaluation system.…”

“…- Ip et al (2004), Tserng and Lin (2002), Okoroh and Torrance (1999), and Albino and Garavelli (1998) considered very few selection criteria and formed one-tier selection procedure, which made the selection process superficial, Technological and Economic Development of Economy, 2016, 22(2): 210-234 - Ip et al (2004) and Tserng and Lin (2002) did not take into account qualitative criteria, which was obviously in contradiction with the characteristics of a real life problem, - Ng and Luu (2008), Okoroh and Torrance (1999), and Albino and Garavelli (1998) depended solely on past data that should be collected and trained to solve the problem, which produced a time-consuming model in the short-and mid-term, - Mbachu (2008) and Ip et al (2004) did not employ any automated system, which made the calculation procedure an effort-consuming process, - Okoroh and Torrance (1999) has project-specific criteria, which did not allow the model to be easily used for all kinds of projects, and - Arslan et al (2008) evaluated criteria that were scored on a 1 to 10 scale, which was, in fact, not adequately suitable for decision makers because of the fact that human perception and judgment cannot be quantified precisely and that decision makers intuitively feel more comfortable providing their judgments in verbal terms (rather than numerically), which, due to subjectivity, leads to ambiguity in human decision making (Poyhonen et al 1997).…”

Subcontractor Selection Using the Integration of the Ahp and Promrthee Methods

“…Subcontractors can be classified according to the services and/or resources they supply. Mbachu (2008) categorized subcontractors into three types, which are: 1) trade contractors that specialize on specific trades such as paintwork, brickwork, etc. ; 2) specialist subcontractors that carry out specialist services such as electrical, plumbing, insulation, etc.…”