Engaging SME subcontractors on alliance delivered infrastructure projects

Abstract

This research report is aimed at identifying the issues that are encountered by an Alliance when engaging SME subcontractors on a major infrastructure project. It also aims to investigate how these issues are compounded when additional SME subcontractors are engaged to work on an Alliance delivered infrastructure project in New Zealand. To investigate this topic, the research question was defined as:

What are the issues with engaging SME subcontractors in a conventional manner on an Alliance project?

The findings of this report were gathered from the analysis of documentation and opinions of interview participants from the Victoria Park Tunnel Project (VPT). This project is currently under construction and is being delivered through an Alliance procurement methodology.

The key issues identified from this report have indicated that the use of SME subcontractors leads to additional management and associated risks to an Alliance team. To optimise the use of SME subcontractors, additional support needs to be provided to them to aid their development and capability for use on future Alliance delivered projects in New Zealand.