Study on the Operations of Construction Subcontractors
As a general contractor opens the bid to the general public in search of cooperative partners, it's a common practice for a general contractor to invite subcontractors with whom it had prior relationship to participate in the bidding process, or seek referral. It's also common for subcontractors to actively seek out opportunities without being invited. The domestic general contractors' main criterion for bid is cost, or quality and efficiency, but rarely would general contractors be concerned about the staffing and financial well-being of the subcontractors. As a result, general contractors often do not scrutinize the aforementioned factors. The lack of staffing and operating capital have become a serious problem in recent years, because without adequate staffing and operating capital, it is difficult to maintain smooth operation and project continuity. The primary research is based on a survey of previously-published research articles which focus on the general contractors' bidding processes and their evaluation criteria. Interviews with contractors who specialize in rebar reinforcing bar engineering and template engineering were conducted to further understand and identify the factors which are most influential in the decision-making process. The main finding of this research indicates that the key elements which cause a project to be in a quandary during the construction phase are attributed to the lack of comprehensive evaluation on whether the contractors are able to handle the scale of the project; subcontractors agreeing to enter the bid as a result of peer pressure; and the lack of adequate labor and capital resources to carry the project from start to finish, even though the subcontractors are able to meet the quality and efficiency requirements. In other words, the lack of quality and continuity is a consequence of skilled labor and subcontractors.