white paper

Building in the Dark

We all know how critical supply chains are to construction and infrastructure projects.

What kind of risks exist within these supply chains and how aware are we of them? 

Download the research report Building in the Dark - Construction Supply Chain Risk: Challenges, Responses & Opportunities, as featured on the AFR, to find out more.

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We surveyed industry players from senior leadership to individuals at the coalface of project delivery

79 %
believed their third parties were not always fully aware of or understood the risks they are responsible for managing under their contracts.
56 %
believed their organisation had unknowingly engaged a supplier red-flagged by another area of the organisation.
67 %
believed that clients/project sponsors do not understand the true cost of effectively managing third parties/third-party risk .

Risk Management in Construction Projects

Asset owners, builders and managers have a unique position due to their heavily service-focused supply chains, often with a high concentration of high-risk subcontractors. In particular, project-based organisations also have to rapidly generate and degenerate their supply chains.  

Much of the publicly available research and information available on supply chain risk mitigation is focused on sectors with more stable supply chains, such as manufacturing. We wanted to provide a deeper understanding of risk in sectors with more dynamic supply networks.

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Voice of the industry
The Building In The Dark white paper makes a number of astute recommendations that align with Roads Australia’s own approach to procurement reform.” 
Michael Kilgariff Chief Executive Officer | Roads Australia
“It's one of those industries where we are all going a hundred miles an hour making sure projects are on track, sometimes it's hard to take that step back to do a bit of research to make sure you're still heading in the right direction. That's where the Building In the Dark Report is relevant.” 
Errol Bellchambers GM Project Procurement | Downer

The sector is infamous for its risk, which invariably requires organisations to seek appropriate shelter from those risks and build in the daytime with risk identified and managed. To assist with this, I recommend that stakeholders read the Building In The Dark report.” 

Ian Bell Contracts Manager | Monadelphous

The construction industry has been building in the dark for many decades – it is pleasing to see that a light has been turned on this topic at last..” 

Kent Nixon General Manager | Thermosash

Identify, Mitigate and Evaluate Supply Chain Risk

  • Section 1
  • Section 2
  • Section 3

Section 1

Challenges

→ What is the construction supply chain, and what complexity exists within it? 

→ What is supply chain risk, and how is it evolving? 

→ How do your peers perceive some specific supply chain risks (e.g. compliance, performance, ESG), and where might blind spots exist? 

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Section 2

Responses

→ How is the industry responding to supply chain risk and challenges? 

→ How efficient and effective are those various risk management processes? 

→ What underlying weaknesses might exist?  

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Section 3

Opportunities

→ What risk management improvements are possible for the benefit of all? 

→ What are the critical enablers of effective third-party risk management from procurement to beyond? 

→ What roles do clients and project sponsors play? 

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Industry third-party risk report

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