Construction Firms’ Satisfaction on Outsourced Services at Construction Phase of Building

Abstract

Aims: Across the globe, outsourcing services has become more complex and sophisticated. The aim of this study is to establish the level of satisfaction of Nigerian construction firms on outsourced services at construction phase of building with a view to assisting construction firms in their decision on whether to outsourced a particular work section or not. Study Design: Survey Research Design. Place and Duration of Study: The study took place in Ogun State, Nigeria, between June 2019 and December 2019. Methodology: The study focused on outsourcing and targeted at outsourcing services offered during construction phase of building. The research combined a wide-ranging literature review and questionnaire survey. A well-structured questionnaire was designed and distributed to construction firms in Ogun state. A total of 73 of the survey questionnaires were administered out of which 47 representing 64.4% were adequately filled and returned. Data obtained were analysed using frequency, percentage, mean, relative importance index and ranking. Results: Findings from the study revealed that piling is the most often outsourced work during construction phase of building, followed by electrical installation, cladding and mechanical installation. The results of the study revealed major reasons for outsourcing to include specialization, technology advancement and core competences. Ability to meet changing needs, service-level contract agreement with outsourcer and excessive dependence on vendor reliability were revealed to be the major challenges that affect the ability of the Nigerian construction firms to successfully outsource services. It was also established that Nigerian construction firms have high level of satisfaction on the outsourced services during the construction phase of building. Conclusion: The study suggested that Nigerian construction firms should give consideration to piling, cladding, basement and mechanical installation in outsourcing and concreting, formwork, plumbing installation and roofing in in-house.