Multi-level subcontracting: Negative effects on construction quality, cost, time, and safety

This paper studied the negative effects of multi-level subcontracting on construction quality, cost, time, and safety. Multi-level subcontracting is the practice wherein an activity was subcontracted multiple times that a hierarchy of contractors was formed. Works of literature have discussed the va...

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Main Author: Santibañez, Ryan C.
Format: text
Language:English
Published: Animo Repository 2021
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Online Access:https://animorepository.dlsu.edu.ph/etd_masteral/6357
https://animorepository.dlsu.edu.ph/cgi/viewcontent.cgi?article=13405&context=etd_masteral
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Institution: De La Salle University
Language: English
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spelling oai:animorepository.dlsu.edu.ph:etd_masteral-134052022-09-16T03:28:05Z Multi-level subcontracting: Negative effects on construction quality, cost, time, and safety Santibañez, Ryan C. This paper studied the negative effects of multi-level subcontracting on construction quality, cost, time, and safety. Multi-level subcontracting is the practice wherein an activity was subcontracted multiple times that a hierarchy of contractors was formed. Works of literature have discussed the various benefits of the subcontracting system to the construction industry. However, multi-level subcontracting had been determined to cause negative effects that can nullify the benefits of the subcontracting system. This is the reason why it is important to understand the negative effects of multi-level subcontracting so that appropriate solutions can be developed. A survey was conducted to determine the most negative effect of multi-level subcontracting on construction quality, cost, time, and safety. Based on the survey, the most disadvantageous effect on construction quality is the disregard for quality due to payment-by-accomplishment scheme. Next, the most negative effect on construction cost is the increased construction cost incurred when a subcontractor defaulted and abandoned the project. Then, the most adverse effect on construction time is the extended work duration due to the high number of corrective works. Lastly, the most negative effect on construction safety is the poor safety culture among the workforce of bottom-level subcontractors. An analysis of the survey results showed that these effects have similar root causes that are vital in developing solutions against the negative effects of multi-level subcontracting. Five solutions were proposed in the study namely: the use of holistic contractor selection criteria, the increased involvement of the project owner to subcontracting issues, the removal of non-value adding contractor, the deployment of a competent construction management team, and the use of a comprehensive contract before engaging in any work. 2021-01-14T08:00:00Z text application/pdf https://animorepository.dlsu.edu.ph/etd_masteral/6357 https://animorepository.dlsu.edu.ph/cgi/viewcontent.cgi?article=13405&context=etd_masteral Master's Theses English Animo Repository Construction industry—Subcontracting Civil Engineering
institution De La Salle University
building De La Salle University Library
continent Asia
country Philippines
Philippines
content_provider De La Salle University Library
collection DLSU Institutional Repository
language English
topic Construction industry—Subcontracting
Civil Engineering
spellingShingle Construction industry—Subcontracting
Civil Engineering
Santibañez, Ryan C.
Multi-level subcontracting: Negative effects on construction quality, cost, time, and safety
description This paper studied the negative effects of multi-level subcontracting on construction quality, cost, time, and safety. Multi-level subcontracting is the practice wherein an activity was subcontracted multiple times that a hierarchy of contractors was formed. Works of literature have discussed the various benefits of the subcontracting system to the construction industry. However, multi-level subcontracting had been determined to cause negative effects that can nullify the benefits of the subcontracting system. This is the reason why it is important to understand the negative effects of multi-level subcontracting so that appropriate solutions can be developed. A survey was conducted to determine the most negative effect of multi-level subcontracting on construction quality, cost, time, and safety. Based on the survey, the most disadvantageous effect on construction quality is the disregard for quality due to payment-by-accomplishment scheme. Next, the most negative effect on construction cost is the increased construction cost incurred when a subcontractor defaulted and abandoned the project. Then, the most adverse effect on construction time is the extended work duration due to the high number of corrective works. Lastly, the most negative effect on construction safety is the poor safety culture among the workforce of bottom-level subcontractors. An analysis of the survey results showed that these effects have similar root causes that are vital in developing solutions against the negative effects of multi-level subcontracting. Five solutions were proposed in the study namely: the use of holistic contractor selection criteria, the increased involvement of the project owner to subcontracting issues, the removal of non-value adding contractor, the deployment of a competent construction management team, and the use of a comprehensive contract before engaging in any work.
format text
author Santibañez, Ryan C.
author_facet Santibañez, Ryan C.
author_sort Santibañez, Ryan C.
title Multi-level subcontracting: Negative effects on construction quality, cost, time, and safety
title_short Multi-level subcontracting: Negative effects on construction quality, cost, time, and safety
title_full Multi-level subcontracting: Negative effects on construction quality, cost, time, and safety
title_fullStr Multi-level subcontracting: Negative effects on construction quality, cost, time, and safety
title_full_unstemmed Multi-level subcontracting: Negative effects on construction quality, cost, time, and safety
title_sort multi-level subcontracting: negative effects on construction quality, cost, time, and safety
publisher Animo Repository
publishDate 2021
url https://animorepository.dlsu.edu.ph/etd_masteral/6357
https://animorepository.dlsu.edu.ph/cgi/viewcontent.cgi?article=13405&context=etd_masteral
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