Fostering transparency: Improvement of contractor selection criteria and practices
DOI:
https://doi.org/10.15282/jgi.8.2.2025.11519Keywords:
Transparency, Governance, Contractor Selection, Criteria Theory of Constraints, Project ManagementAbstract
Most plant maintenance projects (PMP) in chemical manufacturing companies worldwide rarely meet expectations or achieve their objectives. More than 80% of these projects face cost and time overruns. A key contributing factor is poor decision-making in contractor selection (CS) during the contractual phase of the project life cycle. It is therefore critical to select contractors with proven capability to deliver high-quality services in order to achieve better project outcomes. The objective of this paper is to identify the major contractor performance issues that contribute to project delays in PMP and to propose a framework for CS that can enhance project outcomes in chemical manufacturing companies. Contractor underperformance highlights the need for clear and acceptable selection standards during CS activities. This paper addresses existing deficiencies in contractor evaluation by identifying key performance areas and proposing improved methods for selecting contractors who can reduce long-term risks of delays and inefficiencies. Organisations can benefit from this framework by improving service delivery, promoting good governance, and demonstrating how transparency and accountability reduce corruption while ensuring projects achieve their intended outcomes. Effective CS also strengthens compliance with laws, rules, and regulations while enabling risk management that supports efficient operations and maximises business value.
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