Impact of Subcontracting in Performance Management of Construction Company

Running head: SUBCONTRACTORS IN THE CONSTRUCTION PROJECTS
SUBCONTRACTORS IN THE CONSTRUCTION PROJECTS
Name of the Student
Name of the University
Author Note

1SUBCONTRACTORS IN THE CONSTRUCTION PROJECTS
Executive Summary:
One of the most significant but underrated topics of discussion associated with successful
completion of projects in project management is the role of the subcontractors. Hence the
discussed paper’s initial topic is “IMPACT OF SUBCONTRACTING IN PERFORMANCE
MANAGEMENT OF THE CONSTRUCTION COMPANY”. As part of the research
process, the discussed paper has reviewed four scholarly article by the method of critical
analysis to earn an insight of the factors involving subcontractors in the project. On
evaluating the first article, the findings reveal that improper use of the subcontractors can
lead to project casualties which include project delaying and an increase in expenditure. It is
also evident that if, the number of subcontractors is limited than the effectiveness of the
communication and coordination can be increased. The second article suggests that there are
34 crucial factors that are mandatory for the survival of subcontractors in the environment
where their wellbeing is ignored by the main contractor and the owners. Following article has
developed a system to forecast the performance of the subcontractors in the project. The
paper also claims that the system is applicable in the real-life scenario and more accurate than
its predecessors. The findings from the final review reveal the role of contractual flexibility in
project success and what changes can conflict bring it the success ratio. The evaluated
findings are then concussed in a table to offer a simplified understanding before deriving the
literature gap and proposing the research title to conclude the devised report.

2SUBCONTRACTORS IN THE CONSTRUCTION PROJECTS
Tam, V.W., Shen, L.Y. and Kong, J.S., 2011. Impacts of multi-layer chain
subcontracting on project management performance. International Journal of Project
Management, 29(1), pp.108–116.
Purpose: The authors of the paper has attempted at investigating the impact that is cited in
the project management after the implication of multi-layer chain subcontracting system.
Additionally, the paper has also focused on identifying the reasons behind the poor
performance of the project management in the construction industry of the Hong Kong after
implementing the discussed system.
Method: The reviewed article has adopted primary data collection method to collect the data
in which both the quantitative and qualitative data have been collected. The paper has
adopted remedial research approach and interpretivism as the research philosophy along with
deductive designing of the paper. The data sampling has adopted both the likelihood and non-
likelihood method.
Key Concept: The authors in the paper claim that the adopting the discussed system can offer
the advantage of gaining multiple skills without investing hugely in the training purpose. On
the contrary, the paper also suggests that subcontracting is the reason for the low rate of
project success in the construction industry of Hong Kong.
Findings: The findings after evaluating the data reveal that the improper use of the
subcontracting is one of the significant reason behind the low success ratio of the Hong Kong
construction industry. Additionally, five major factors were determined that were responsible
for the negative impact cited by the discussed system on the time frame of the project and can
also increase the overall cost of the project. Finally, the impact of the discussed system on the
coordination and communication reveals that with an increase in the number of
subcontractors, the effective communication and coordination decreases.
Implication/Significance/Scope: On reviewing the article, it is evident that the role of the
subcontractors cannot be ignored and proper attention should be given to them to ensure the
success of a project. Additionally, the article and its recommendations can be implemented in
the real-life scenario to ensure successful project completion within time and budget.
Reflection: The reviewed article is a well-informed and practised one and also offers viable
information that can prove of great significance in the real world scenario. The only
disadvantage identified in the paper is the lack of practicality. The detailing of the analysis of
the data and graphs to cite the finding would have been more appropriate.