We know that there are many infrastructure projects in our country, all of which require enterprises to bid. After winning the bid, the project is contracted to the company, and the company needs to be responsible for the overall planning of the project, project nodes, delivery time and a series of related matters. Our common construction steps are usually subcontracted by the winning bidder to other companies. In my opinion, there are three reasons for this phenomenon.
1, the problem of funds, there are a lot of construction projects that need to be funded by enterprises. When the winning company is short of funds, they will choose to subcontract the project to other companies, give up some profits and charge a certain management fee. At the same time, it will save manpower and material resources to undertake new projects.
When a subsidiary company wins the bid in the name of the parent group, we often see such a thing? A group, a bureau? By analogy, this subsidiary won the bid in the name of the parent group, but this project belongs to the parent group and the construction unit is a subsidiary. This situation can also be regarded as a construction subcontract.
We know that the project cycle is divided into long-term projects and short-term projects according to the difficulty and size of the project, from a few months to three to five years or even longer. Usually, a company will carry out multiple projects, which will consume a lot of manpower and material resources. At this time, many companies will strictly evaluate the manpower and material resources input of each project. Some projects will be discounted because of high labor costs, and then the company will choose to subcontract the projects. In order to reduce the losses of enterprises.
To sum up, the principle of enterprises is to maximize profits, which also leads to the existence of subcontracting. Without subcontracting, it is difficult for many second-rate or even third-rate qualified companies to win the bid for some projects.