Who They Know and What They Know: Risk Management Implications of Subcontractors’ Interfirm Alliances and Service Scope
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Authors
Creasy, Todd
Fan, Yang
Issue Date
2017-04
Type
Article
Language
en_US
Keywords
Strategic Management
Alternative Title
Abstract
This project management study examines subcontractor selection through the lens of risk
management and identifies the possible combined impact of subcontractor interfirm alliances
and service scope on project outcomes. Utilizing company records and qualitative interview data
from members of a joint venture, whose two stakeholders were oil and gas multinational
corporations operating in Saudi Arabia, we posit a 2x2 matrix indicating the preferred quadrant
in which subcontractors could be selected. From the data, it appears subcontractors who are
both free from interfirm alliances and offer a wide scope of services are preferred. Project
managers should exercise caution when employing subcontractors whose service offerings are
limited and are aligned in some fashion with the main contractor through joint ventures or
subsidiaries.
Description
20 pages
Citation
Publisher
Drake Management Review