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1 – 10 of over 1000
Article
Publication date: 4 March 2022

Chenxi Shi, Yongqiang Chen, Yuanyuan Hua and Yinqiu Tang

Chinese construction projects commonly implement subcontracting, but organizational arrangements have received little attention. Some studies have debated the impact of firm…

Abstract

Purpose

Chinese construction projects commonly implement subcontracting, but organizational arrangements have received little attention. Some studies have debated the impact of firm capabilities on subcontracting. To address these issues, this study differentiates the general contractor’s technological capabilities and alliance management capabilities and investigates how capabilities affect the degree of subcontracting and subcontracting dispersion based on the resource-based view and transaction cost economics.

Design/methodology/approach

By conducting a survey, 219 valid questionnaires were collected from Chinese construction companies. Multiple regression analyses were conducted to test the influence of capabilities on subcontracting organizational arrangements and the moderating role of uncertainty.

Findings

The results show that technological capabilities decrease the degree of subcontracting, whereas alliance management capabilities increase the degree of subcontracting as well as subcontracting dispersion. The results also indicate that the positive effects of alliance management capabilities are weakened by project uncertainty.

Practical implications

This study provides a better understanding of the diversity of subcontracting organizational arrangements in China. In addition, the findings may help general contractors carry out a rational arrangement by considering their capabilities and transaction hazards.

Originality/value

This study contributes to a holistic understanding of how capabilities determine subcontracting by distinguishing technological capabilities and alliance management capabilities and refining the degree of subcontracting and subcontracting dispersion. Meanwhile, the findings highlight the complementarity of the resource-based view and transaction cost economics by examining the moderating effect of uncertainty.

Details

Engineering, Construction and Architectural Management, vol. 30 no. 6
Type: Research Article
ISSN: 0969-9988

Keywords

Article
Publication date: 4 April 2024

Richard Kadan, Temitope Seun Omotayo, Prince Boateng, Gabriel Nani and Mark Wilson

This study aimed to address a gap in subcontractor management by focusing on previously unexplored complexities surrounding subcontractor management in developing countries. While…

Abstract

Purpose

This study aimed to address a gap in subcontractor management by focusing on previously unexplored complexities surrounding subcontractor management in developing countries. While past studies concentrated on selection and relationships, this study delved into how effective subcontractor management impacts project success.

Design/methodology/approach

This study used the Bayesian Network analysis approach, through a meticulously developed questionnaire survey refined through a piloting stage involving experienced industry professionals. The survey was ultimately distributed among participants based in Accra, Ghana, resulting in a response rate of approximately 63%.

Findings

The research identified diverse components contributing to subcontractor disruptions, highlighted the necessity of a clear regulatory framework, emphasized the impact of financial and leadership assessments on performance, and underscored the crucial role of main contractors in Integrated Project and Labour Cost Management with Subcontractor Oversight and Coordination.

Originality/value

Previous studies have not considered the challenges subcontractors face in projects. This investigation bridges this gap from multiple perspectives, using Bayesian network analysis to enhance subcontractor management, thereby contributing to the successful completion of construction projects.

Details

Journal of Financial Management of Property and Construction , vol. ahead-of-print no. ahead-of-print
Type: Research Article
ISSN: 1366-4387

Keywords

Article
Publication date: 7 September 2023

Haiyi Zong, Guangbin Wang and Dongping Cao

As the foundation of social and economic development, infrastructure development projects are characterized by large initial investment, high technical requirements and thus…

Abstract

Purpose

As the foundation of social and economic development, infrastructure development projects are characterized by large initial investment, high technical requirements and thus generally delivered through complex contractor–subcontractor collaboration chains. This study aims to characterize the complexity of collaborative networks between contractors and subcontractors for infrastructure development through comparing the structural characteristics and the formation mechanisms of contractor–subcontractor collaborative networks for the following two different types of infrastructure: public works (PWCN) owned and operated by government agencies, and public utilities (PUCN) owned and operated by nongovernment agencies.

Design/methodology/approach

Based on the method of stochastic actor-oriented models and the longitudinal dataset of National Quality Award Projects in China during 2001–2020, this study compares how the structural characteristics of project-based collaborative networks between contractors and subcontractors for the two types of projects are different and how related micro-mechanisms, including both structure-based endogenous network effects and attribute-based exogenous homophily effects (institutional, organizational and geographical homophily), collectively underpin the formation of the networks.

Findings

The empirical results provide evidence that while the two networks are both characterized by relatively low levels of network density, PWCN is more globally connected around a minority of superconnected contractors as compared with PUCN. The results further reveal that compared with PUCN, the formation of PWCN is more significantly related to the structure-based anti in-isolates effect, suggesting that PWCN is more open for new entrant subcontractors. With regard to the attribute-based homophily effects, the results provide evidence that while both significantly and positively related to the effects of organizational (same company group) and geographical homophily (same location), the formation of PWCN and PUCN is oppositely driven by the institutional homophily effect (same ownership type).

Originality/value

As an exploratory effort of using network perspective to investigate the formation mechanisms of contractor–subcontractor relationships in the infrastructure development domain, this study contributes to a network and self-organizing system view of how contractors select subcontractors in different types of infrastructure projects. The study also provides insights into how contractor–subcontractor collaborative relationships can be better manipulated to promote the development of complex infrastructure in different contexts.

Details

Engineering, Construction and Architectural Management, vol. ahead-of-print no. ahead-of-print
Type: Research Article
ISSN: 0969-9988

Keywords

Article
Publication date: 25 May 2012

Tommi Inkinen

The purpose of this paper is to classify the best practices selected by the “Finnish Government Information Society Policy Programme” with a framework that includes four segments…

Abstract

Purpose

The purpose of this paper is to classify the best practices selected by the “Finnish Government Information Society Policy Programme” with a framework that includes four segments: technology, supply, demand, and spatial impact scale. These segments are elemental parts of service development processes, the best of which are classified into seven distinct categories: Telecommunications; Citizen Readiness; Education and Research; Working Life; Public Sector Electronic Services; Social and Health Care; and Electronic Commerce.

Design/methodology/approach

The empirical material includes the best practices as defined by the Finnish Government Information Society Policy Programme 2003‐2007. The best practices were analyzed through their project descriptions. The data were classified with textual content analysis into categories that were further analyzed numerically. The tools of statistical analysis included cross‐tabulations and chi‐square tests.

Findings

The results reveal differentiation among the best practices. The majority of service development concerns applications and software. However, physical infrastructure development was also present in the largest cities. Public sector organizations produced more than half of all of the best practices selected. Public‐private partnerships were also common, and the majority of service development was targeted to the national level.

Research limitations/implications

The best practices analyzed illustrate the view of the Finnish Government Information Society Policy Programme. Consequently, the analysis highlights the values of the policy program. The data include only a small segment of on‐going development activity and represents a case study and therefore it is limited to the Finnish and Nordic context.

Originality/value

This paper uses a unique primary data set. The results obtained reflect the originality of the study and clearly provide sufficient grounds to consider electronic service development. The results are also transferable to public sector decision makers dealing with regional policies and development.

Details

Transforming Government: People, Process and Policy, vol. 6 no. 2
Type: Research Article
ISSN: 1750-6166

Keywords

Article
Publication date: 1 October 2000

Margaret Webster, Alan P. Muhlemann and Chris Alder

Presents work that addresses the issue of decision support for the operational management of subcontract manufacture. Theoretical study has been combined with empirical research…

1858

Abstract

Presents work that addresses the issue of decision support for the operational management of subcontract manufacture. Theoretical study has been combined with empirical research and practical industrial investigation with regard to distributed manufacturing systems which incorporate subcontract manufacturing arrangements. There has been a particular focus on the study of resource planning and scheduling for subcontract manufacture in SMEs in the UK electronics assembly industry. This work led to the analysis, modelling, implementation and test of an object‐oriented advisory system to assist with scheduling for this domain which demonstrated the utility of a proposed concept of captivity‐based scheduling. Contemporary research in this area and existing commercial decision support solutions for manufacturing planning, scheduling and control in SMEs have been explored. Concludes that current commercial software systems for subcontract manufacture are underdeveloped. Further argues that software development tools and platforms are increasingly available to facilitate the creation of practical decision support systems for distributed organizational forms of manufacture.

Details

International Journal of Operations & Production Management, vol. 20 no. 10
Type: Research Article
ISSN: 0144-3577

Keywords

Article
Publication date: 4 October 2022

Shumank Deep, Thayaparan Gajendran, Marcus Jefferies, Venkata Suresh Uggina and Sanjay Patil

Research on strategic procurement was mostly focussed on the clients' and main contractors' perspectives, while limited work had been done from a subcontractor's perspective. The…

Abstract

Purpose

Research on strategic procurement was mostly focussed on the clients' and main contractors' perspectives, while limited work had been done from a subcontractor's perspective. The paper hypothesises that “strategic capability” influences the latent constructs of power, dependence and collaboration in the main contractor–subcontractor relationship. Therefore, the purpose of this study is to investigate the influence of a subcontractor's strategic capabilities on power, dependence and collaboration.

Design/methodology/approach

A survey questionnaire was developed and distributed amongst the subcontractors in Australia, and 212 complete responses were received. Then second order confirmatory factor analysis and partial least square structure equation modelling (PLS-SEM) analysis were performed to test the hypothesised relationships.

Findings

The findings support “strategic capabilities” as a construct expressive of a subcontractor's unique market position and good business reputation. The findings also suggest that strategically capable subcontractors enhance their potential for forming partnerships with main contractors through dependence (StratC. → Dep., β = 0.84; Effect Size (ES) = 0.713; p < 0.01), collaboration (StratC. → Collab., β = 0.84; ES = 0.697; p < 0.01) and bargaining power (StratC. → Pow., β = 0.83; ES = 0.672; p < 0.01).

Originality/value

The study is one of its kind to explore the impact of a subcontractor's strategic capability on their bargaining power, dependability and ability to form collaborations. Furthermore, results indicate that the “strategic capabilities” of subcontractors can strongly influence their ability to create “dependence”, foster “collaboration” and exert “power” over a main contractor. The findings can help improve the strategic procurement decision-making processes of both subcontractors and main contractors to build better business relationships.

Details

Engineering, Construction and Architectural Management, vol. 31 no. 2
Type: Research Article
ISSN: 0969-9988

Keywords

Article
Publication date: 15 June 2010

Kaouther Kooli, Len Tiu Wright and Adrian Wright

Dependence on access to European markets through subcontracting relationships with European firms has exposed subcontracting clothing and textile producers in less developed…

1179

Abstract

Purpose

Dependence on access to European markets through subcontracting relationships with European firms has exposed subcontracting clothing and textile producers in less developed economies to the vagaries of international market competition. This paper aims to examine the problems that such exposure creates and the requirements for developing marketing activities through the concept of the alliance life cycle as a viable solution for a sample of Tunisian clothing and textile firms.

Design/methodology/approach

The inductive reasoning of this research was implemented through qualitative research based on a range of tools derived from a case study and a dual ethnographic approach.

Findings

The main results showed that life cycle stages of the subcontracting firms reflected Schumpeter's creation and destruction cycle of innovation. Therefore, subcontracting firms could learn from their activities with their business customers so that they developed marketing competences in innovative processes. The findings also demonstrated that some of the firms in the Tunisian clothing and textile industries were more successful than others.

Research limitations/implications

This research focused mainly on subcontracting alliances with implications for future study of other alliances for different industries.

Practical implications

The life cycle approach could be of great interest to subcontracting managers in the post Multi Fibre Arrangement era. This approach is relevant mainly for decision makers in providing them with a framework within which they might optimise their marketing strategies and their implementations.

Originality/value

The research originality resides in its Schumpeterian perspective in considering business‐to‐business relationships. The value of the paper is to focus on the evolutionary aspects of relationships between contractors and subcontractors and the patterns of the marketing development within these relationships.

Details

Journal of Business & Industrial Marketing, vol. 25 no. 5
Type: Research Article
ISSN: 0885-8624

Keywords

Article
Publication date: 1 March 2022

Muhammad Usman Shahid, Muhammad Jamaluddin Thaheem and Husnain Arshad

The construction industry struggles in environmental and economic performance due to waste generation. Several studies have measured this waste in the construction industry of…

1142

Abstract

Purpose

The construction industry struggles in environmental and economic performance due to waste generation. Several studies have measured this waste in the construction industry of developing countries like India, Brazil, China, Nigeria and Iran, and proposed strategies to enhance the overall efficiency. But no such work exists in Pakistan's context. The construction industry of Pakistan contributes significantly to the country's gross domestic product (GDP). And with several mega projects in progress to overcome the energy crises and improve the infrastructure of the country, the absence of proper waste management policies and plans calls for empirical research. Therefore, this study quantifies and benchmarks material waste in the local context, its impact on project cost and the effect of multiple subcontracting arrangements on waste generation. It also proposes a conceptual waste management plan (WMP) for local conditions which can be generalized for developing countries.

Design/methodology/approach

This paper uses a mixed research approach by leveraging Saunders's research onion model. To benchmark the current wastage practices, quantitative data of material waste in the Pakistani construction industry are gathered through document review of accounting systems, inventory and payment records of 40 completed building projects. Using the data, the waste rate of different materials is measured along with their impact on cost. Additionally, the role of subcontracting arrangements in waste generation is also investigated. Also, semi-structured interviews are conducted with project managers of high- and low-performing construction organizations to propose a conceptual WMP for the local industry and developing countries.

Findings

The highest wasteful materials by quantity are wood, sand and concrete blocks, and those by cost are wood, bricks and steel. By quantity, 123% more material was used on average than the actual productive work. Also, the labor only (L-O) subcontracting arrangement causes maximum waste. Moreover, the difference between the highest (155%) and lowest wasting company (104%) is 51%, highlighting the proactive and resistive waste management culture and approach by the worst- and best-performing companies. Further, the impact of waste quantities is more than 2% of the project cost. Finally, a conceptual model consisting of measures at the project, industry and national levels is also proposed as a guide for developing countries.

Practical implications

The findings of this benchmarking study can help improve the project planning, execution and monitoring, and control practices by providing a better understanding of the material waste potential. This will help economize the construction industry and improve its sustainability.

Originality/value

This is the first benchmarking study that quantitatively measures material waste in the construction industry of Pakistan. It highlights that costly as well as sustainability-implicating materials are frequently wasted in the local construction projects. Also, this study correlates the wastage with subcontracting arrangements. Additionally, an original conceptual WMP is proposed that could help the industry improve its performance. The findings could help the construction professionals identify the loopholes in their material management practices and not only save money but also ensure better sustainability.

Details

Engineering, Construction and Architectural Management, vol. 30 no. 6
Type: Research Article
ISSN: 0969-9988

Keywords

Article
Publication date: 1 September 1997

M. Webster, C. Alder and A.P. Muhlemann

Discusses issues associated with the subcontracting of manufacturing activity within the supply chain for electronics assembly products. The principal focus of the work is the…

2489

Abstract

Discusses issues associated with the subcontracting of manufacturing activity within the supply chain for electronics assembly products. The principal focus of the work is the operational issues surrounding the organization, management and control of the subcontract process, but related issues and research streams are also considered. Some of the operational issues are placed within the context of current practice by presenting case studies of two small to medium‐sized manufacturing enterprises (SMMEs) in the electronics assembly sector which use subcontract manufacture. The approaches of the two companies to the management and control of the process are compared and contrasted, and mapped onto generic models. This work is considered timely because of the increasing importance of the subcontracting of manufacture within the supply chain, and because of the lack of supporting theoretical and practical work. It identifies key issues which need to be addressed by academic researchers and by industry practitioners in the pursuit of world class manufacturing ideals, as part of a process of concentrating on core competencies and expertise.

Details

International Journal of Operations & Production Management, vol. 17 no. 9
Type: Research Article
ISSN: 0144-3577

Keywords

Article
Publication date: 17 July 2007

Andrew Ross and Jack Goulding

The purpose of this paper is to provide a better understanding of the factors that can influence the availability of cost information to support design and production decision…

1393

Abstract

Purpose

The purpose of this paper is to provide a better understanding of the factors that can influence the availability of cost information to support design and production decision making at the early stages of project team formation.

Design/methodology/approach

An investigation of the current practice of the exchange of financial information between supply chain organisations in the UK construction industry that was undertaken using a portal survey with 710 estimators. The survey sought data on the extent and maturity of the relationships that existed between contractors and their supply chain, and the effect this had on the gathering of subcontract price information.

Findings

The data analysis established that a significant difference existed in the approaches adopted by respondent organisations to the collection of subcontract price data for three different procurement approaches, and that main contracting organisations were developing closer relationships with their supply chain.

Practical implications

The paper concludes by suggesting that the use of supply chain price information for pre‐contract negotiation and post‐contract governance can influence the propensity of the supply chain to provide “richer” information on the costs assumptions made within their estimates to improve the empirical basis for future decision making.

Originality/value

The paper takes an original approach to the construction estimating process by considering supply chain price information available to the estimator.

Details

Construction Innovation, vol. 7 no. 3
Type: Research Article
ISSN: 1471-4175

Keywords

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