Nature and extent of domestic construction program outsourcing

Grasso, B; Rasdorf, W and Bridgers, M (2008) Nature and extent of domestic construction program outsourcing. Journal of Construction Engineering and Management, 134(12), pp. 1002-1010. ISSN 0733-9364

Abstract

The sourcing of a construction program has always been a fluid process for many construction owners. A construction owner must balance the performance of all construction functions between internal staff and external service providers. Described herein are recent sourcing trends of construction programs identified through a survey of nonresidential construction owners. The survey data is representative of 170 respondents with varying demographic characteristics that account for about $72 billion in annual construction spending. Included are outsourcing trends of specific functions across the construction lifecycle and the sourcing strategy employed for each. A comparison of the outsourcing volume reported and the sourcing strategy employed is presented. A clear relationship between the amount of outsourcing and the sourcing strategy employed for the performance of construction is shown. The paper provides the academic community with new outsourcing data for construction lifecycle functions. It also provides contractors with new information about the current behavior of construction owners while providing owners with a better understanding of the relationship between sourcing and outsourcing.

Item Type: Article
Uncontrolled Keywords: capital improvement; contracting; life cycles; organizations; owners
Index terms: survey, strategy, construction spending, program, domestic construction, life cycle, owner, outsourcing, lifecycle
Subjects: sociology, management, software systems, economic analysis, project delivery, construction type, data collection methods, business, value management
Topics: Digital Applications, Procurement, Construction Technology, Stakeholder Management, Research Practice, Project Management, Business Strategy
Descriptive scope: 4 PCEA

N.B. Descriptive scope is a count of how many of the five facets of empirical research are indicated by the words used in title, abstract and keywords. It is not intended as a judgement on the research; merely a count of the kind of word we would expect to indicate Phenomenon, Concepts, Theoretical framing, Empirical techniques, Analytical techniques. If all five are present, then a code of “5 PCTEA” will indicate this. If you feel the coding for this record is questionable, we welcome discussion around the terms we matched or the way we categorized them. The facet you would expect may not be coded, or a facet may be coded inappropriately. This can also bear on a larger question, of which facets should be treated as defining in construction management research. Please get in touch, and we will look at it. More details here