The reasons for using a subcontractor can be varied. On the one hand, as just mentioned, employing subcontractors is a good way of covering peaks in orders and staff shortages. For the commissioning firm this proves particularly straightforward - compared with employing temporary staff, for example - since the subcontractor operates largely independently and no induction of new employees into your own company structures is therefore necessary. Providing inventory normally also becomes unnecessary as a result. Because the construction work is carried out independently, and because the subcontractor bears responsibility for its outcome, the subcontracting firm works fairly independently of the commissioning company overall and can be engaged very specifically and flexibly as needed. Besides straightforward deployment during capacity bottlenecks, it is also conceivable that carrying out certain construction work is simply not worthwhile for the commissioning company, so that outsourcing to an «external» provider makes economic sense. Beyond that, using subcontractors can be a profitable option with regard to specialist knowledge and know-how that the commissioning company may lack in individual areas. As well as professional qualifications, the company's equipment and the availability of specialist machinery can also be a relevant aspect. Handing over construction work to a specialised subcontractor can therefore make sense in areas where the commissioning company is not comparably equipped in terms of staff or materials.
The great independence of subcontractors - compared with temporarily employed staff - brings with it not only specific advantages but also a number of disadvantages. It is possible that subcontractors bring with them not merely less than the desired knowledge, qualifications or experience, but perhaps even insufficient ones, so that the work is ultimately carried out to an inadequate standard. Particularly in view of the advancing skills shortage, that is not all that unlikely if you do not know the subcontractors personally. In addition, because subcontractors work largely independently, it only becomes apparent after the work has been completed whether it was carried out to a sufficient standard, so that disagreements in this connection are conceivable. And even when subcontractors are responsible for defects in their work and acknowledge them, the resulting construction delays can create considerable inconvenience and ultimately financial losses for the commissioning company.
For these reasons, clear communication between the commissioning company and the subcontractor from the outset is an important prerequisite for preventing misunderstandings regarding responsibilities, tasks and requirements.
Quite impartially, we can recommend our use case on collaborative scheduling in construction projects for this purpose, which harmonises the planning of joint construction projects and the coordination between several companies involved in the build.
Subcontractors as an alternative: independent, knowledgeable, specialised?
by Elena Höppner Content MarketingPublished on 2/10/2022
In the context of our overarching theme of ways to mitigate capacity fluctuations, in this article we would like to look at a further alternative to the temporary staff already presented and to staff leasing: employing subcontractors. Compared with temporarily employed staff and with employees borrowed for a limited period from companies you have a relationship with, this model is characterised by the fact that the subcontractor operates as an independent business. It carries out certain construction work on behalf of the company in question under contractual arrangements and bears responsibility itself for the successful implementation of that work.
.png)