Influence of Subcontractor Risk Management on Quality Performance of Building Construction Projects in Ghana

Abstract

This study intended to examine the influence subcontractor risk management has on the quality performance of building construction projects. Using a quantitative research method, five hypothesised constructs were tested. The views of 139 Heads of Works for Metropolitan, Municipal and District Assemblies (MMDAs) in Ghana were elicited using a structured questionnaire. A confirmatory factor analysis (CFA) based on structural equation model (SEM) was adopted in analysing the data obtained. The findings suggest that the management of four (financial risks, resource risks, technical risks and managerial risks) out of the five categories of risks positively influenced the quality performance of building construction projects. Relationship risks showed no significant influence on construction quality performance. The study showed quantitatively the effects of sub-contractor risks on quality performance. It provides a vivid relationship between the concept of sub-contracting and quality performance. Therefore, failure to properly manage risks sourced from sub-contractors on a building construction project will have a major adverse consequence on the quality performance of the project. This study further advances efforts at understanding the link between sub-contractor management and project performance with a particular focus on the management of risks emanating from the use of subcontractors on building projects.