Abstract:
A major proportion of construction projects are executed by subcontractors in the construction
Industry. The project’s success and the main contractor’s ability to complete the project within
specified duration, cost and quality depends highly on the capability of subcontractors. In an
Engineering Procurement & Construction (EPC) and turnkey contract, the subcontracted work
may also include the design of a specialized work where the main contractor lacks experience.
The selection of qualified subcontractors is crucial for successful completion of a project and
an accurate and realistic bid proposal as the project cost may vary significantly due to design
changes. Subcontractor selection is based on a set of criteria that helps the main contractor in
deciding the most suitable subcontractor for the desired job. However, there is no set of
identified criteria for the selection of design-build subcontractors in EPC/turnkey contracts.
This study aims to identify key qualification factors and develop a multi-criteria decisionmaking
model for the selection of design-build specialty subcontractors in an EPC/turnkey
contract. A total of 25 key factors are shortlisted by virtue of a thorough literature review and
preliminary survey. Afterwards, through an extensive literature review, these factors were
categorized into 7 main criteria. A pair-wise comparison of criteria and factors was carried out
using Analytical Hierarchy Process (AHP). The resultant weightages were then used to develop
a multi-criteria decision-making model. Results show that the key criteria include cost,
management and technical ability, and reputation of a subcontractor. To validate the finding of
this model, data was collected from 5 case studies of EPC/turnkey building projects. The
finding indicates that ‘Proposed tender price’ is considered the most important factor followed
by ‘past success’ and ‘Relationship with the contractor’ for awarding contract.
