Pre-construction project partnering: from adversarial to collaborative relationships

Author: Humphreys Paul   Matthews Jason   Kumaraswamy Monan  

Publisher: Emerald Group Publishing Ltd

ISSN: 1359-8546

Source: Supply Chain Management: An International Journal, Vol.8, Iss.2, 2003-04, pp. : 166-178

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Abstract

The use of subcontracting within the construction industry has become commonplace with many main contractors only undertaking the management and co-ordination activities. The reliance on subcontractors has put much stress on the main contractor-subcontractor relationship. As main contractors have realised that the greatest potential for cost savings lies with the subcontractors, the prevalence of unfair practices has increased. This paper describes a procurement approach, utilising limited competition, developed by a major UK main contractor in order to improve its relationships with subcontractors. The approach developed was based on research which identified: what the main contractor's professional employees want from subcontractors; what subcontractors want from main contractors; and a study to compare the main contractor's performance with that of its competitors. It was concluded that this approach offers a number of benefits for the client, the main contractor, partnering subcontractors and professional consultants, such as, lower costs, improved team approach and less confrontation.