Sub-contractor Management Plan

February 2019

Issue No. 0

Prepared &
Reviewed by : )

Approved &
Issued by : )

Copy No. : 1

Copy Holder :

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Sub Contractor Management Plan (Issue No. 0)
February 2019
Revision Record
In order to keep the Project Manager fully informed on the subject of sub-contracting, this Plan
would be updated regularly throughout the duration of the Contract to reflect the latest position of
sub-contracting management intentions and actions.

(Issue No.1) Authorized

Section Page No. Amendment Date
Rev. No. By

All All 0 New Release Feb 2019 Project Manager

Notes :
i) All revisions to this Sub-contract Management Plan must be authorized by the Project Manager.
ii) Changes shall not be implemented until revisions have been formally issued.
iii) Each revision shall be introduced by the issue of a new revised plan for each copy in existence.
iv) The issue number of each amendment shall be incremented and dated.
v) Project Manager is responsible for maintaining the Revision Record Sheet.

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Sub Contractor Management Plan (Issue No. 0)
February 2019
CONTENTS

1.0 Introduction
2.0 Selection of Sub-contractors
3.0 Supervision of Sub-contractors
4.0 Monitoring and Handle of Wage Dispute of Sub-contractors
5.0 Sub-contract Arrangement
6.0 Control of Sub-contractors
7.0 Approval List of Sub-contractors and Material Suppliers
8.0 Financial Audit

Appendix A Organization Chart

Appendix B Complaint Management Flow Chart
Appendix C Sub-contractor Performance Report
Appendix D Supplier Performance Report
Appendix E New Sub-contractor Evaluation Report
Appendix F New Supplier Evaluation Report
Appendix G Sample Form of Sub-contracts
Appendix H VSRS Particulars
Sub Contractor Management Plan (Issue No. 0)
February 2019
1.0 Introduction
We have strict control on the selection and supervision of our sub-contractors, and for the
purpose of repainting suspenders of the Tsing Ma Bridge; we shall be managing the works of
our sub-contractors in accordance with our system and shall provide necessary supervision and
management of our sub-contractors are in the following sections.

Brief Descriptions of the Works

The Works includes are as follows:
Surface Preparation- removal of lead paste on vertical suspenders 58 to 95
Wastewater Treatment- treatment of water resulting from surface preparation
Suspenders Spacers - Removal and replacement of suspenders spacers
Suspenders Seals – replacement of weather hood seals for suspenders 58 to 95
Suspenders Gaskets- replacement of weather hood gaskets for suspenders 58 to 95
Retro-Fitting- addition of spacers and clamps on suspenders 79 to 95
Missing Parts – installation of missing parts of suspenders clamps 58 to 95

The following listed out Sub-contractors for works as shown below.

Temporary Working Platform

Modern Progress Scaffolding Engineering Ltd.
Man Young Industrial Ltd.

Suppliers of Paint and parts for replacement Works

Alga (Far East) Ltd

Disposal of C&D Waste

Proenvironmental Services Ltd.
Ah D Transportation Company Limited

All sub-contractors will provide their own labour, plants and equipment only for the Contract
works. Proof of ownership of the construction plants and equipments will be given when
requested. The main contractor is fully in charge of the management of the whole contract and
arrangement of material supplies.
Sub Contractor Management Plan (Issue No. 0)
February 2019
2.0 Selection on Sub-contractors
The relevant sub-contractor will be selected from the Company’s endorsed list in accordance
with the selection criteria. We have maintained and regularly reviewed and updated our
“Approved List of Sub-contractors and Suppliers of Materials”. The sub-contractors are
chosen from the list to ensure, among other qualities, the performance and skills of the selected
sub-contractors are up to the standards. We have set up a system for “Purchasing and
Subletting”, to control the purchasing of materials and subletting of works. Sub-contractors
shall be selected at the early stage of the Contract so as to maximize their contributions in
knowledge and skills in the civil engineering project. The criteria for selection of sub-
contractors are:

 Technical knowledge and skills – any track record in offering innovative and effective
solutions to technical problems in comparable projects
 Capability of adhering to the adopted works programme – any evidence showing
similar project completed on time, e.g. relevant and up-to-date programme charts and other
documents in use on current projects
 Skills in managing cost – any track record of any project delivered within an agreed cost
planned or good reference from previous clients
 Skills in managing quality and workmanship – any evidence showing the effectiveness
of the quality arrangement system on current projects and a track record of projects handed
over were substantially defect-free.
 Records in safety and health – any evidence showing the safety and health policy that is
understood and applied to their staffs, and also practical and well-considered safety plans
on current projects delivered to the staffs.
 Skills in managing impact on environment – the ability to minimize air, noise, waste,
and water pollution during construction, and to comply with the environmental ordinances
and regulations.
 Effective internal organization – the ability to put in place an effective organized
structure to manage the project and to arrange any subsequent changes.
 Collaborative culture – a positive contribution to problem solving and a good reputation
to deal with the clients.
 SRS (Sub-contractor Registration Scheme) – as of 15 August 2004, all sub-contractors
shall be registered under SRS system and be employed for any sub-contracted works.

Once the sub-contractors are selected / appointed, The Project Manager shall have a meeting
with the sub-contractors to discuss details and particulars of the Contract and subletting works
requirements and arrangement. The Project Manager and the sub-contractors could set up a
clear communication channel among the construction & supervision team to avoid
misunderstanding during the course of the construction period. Upon the agreement on the
terms and conditions of the sub-contract works, the sub-contractors shall formally sign the
subletting contract prepared by our Project Manager. In the subletting contract, the sub-
contractors must submit written declarations of no “hidden” sub-contracting of works and the
whole of the works sub-contracted to them would not sub-contract to other parties. The sub-
contractors are demanded to report upward their sub-contracting arrangements and any other
subsequent changes to the Main Contractor. The subletting contract will state the
commencement date, the completion date and the programme of the contract.
Sub Contractor Management Plan (Issue No. 0)
February 2019
3.0 Supervision of Sub-contractors

For direct supervision and management of our sub-contractors, we have our own staffs to
supervise and manage the sub-contractor’s work on site. The organization chart in Appendix A
showing the details of our own staff in the direct supervision and management of our sub-
contractors. The responsibilities of our direct staff are as below:

1. Project Manager will address extent and scope of works sub-contracted to respective sub-
contractors. Should it appear that any sub-contractor’s performance is continuously overall
adverse; Project Manager shall directly report to the Top Management Work Steering
Committee and discuss if improvement plan applicable or the Committee would decide
whether the sub-contractor shall remain in the Company approved list of sub contractors.

2. Site Agent shall assistant Project Manager in administration of the Contract. He/she shall
prepare and issue master programme to the sub-contractors covering the scope of the
Works. Should the progress of works is considered falling behind the programme or non-
conformities observed. The Site Agent shall report the situation to Project Manager
accordingly.

3. Contractor Labour Officer (CLO) checks the daily labour return of each sub-contractor.
He/she will collect daily attendance record and report to the Site Agent daily. Labour
Officer shall also monitor activities of the sub-contractors. He / She shall periodically co-
ordinate with the Labour Relation Officer (LRO) for wages and welfare with the Workers.

4. Site Engineer / Superintendant shall supervise the workmanship of the sub-contractor’s

work and monitor the work progress

5. Quantity Surveyor will assist Site Agent to certify and prepare the payments for the sub-
contractors and apply for payment with the client.

6. Safety Officer shall give safety advices to the sub-contractors and uphold statuary Safety
Regulations for the Whole of Works. Should there is any unsafe act. Safety officer shall
also conduct induction training to all workers including explanation to the workers to wear
personal protective equipment while working on site.
Sub Contractor Management Plan (Issue No. 0)
February 2019
4.0 Monitoring and Handle of Wage Dispute of the sub-contractors

For monitoring dispute and handling complaints of wages paid to workers. Sub-contractors
are required to submit monthly attendance records of workers and receipt of wages of
workers signed by each worker at the end of each month. The approach helps us to keep
updated daily attendance records of all workers, including sub-contractor’s workers on site.

In case of receiving any industrial disputes problems or complaints from workers on site
regarding wages arrears disputes, we shall motivate our team at the head office and appointed
a representative as shown in Appendix B to handle complaints and to inform the situation to
the Engineer Representative at the earliest stage.

When wage dispute occurs, Site Agent and other LRO, CLO will conduct urgent meeting
with the respective subcontractor, and dispute will be resolved accordingly.

The CLO will examine all sub contractor wage payment records and the attendance records
submitted by the workers and the contractors. He will check the official daily attendance
records to ensure correctness and corresponds to record for if any advance payment to
workers on the sub contractor behalf when considered necessary. Main Contractor shall then
reimburse these advance worker salary on the Contract with sub contractors accordingly.

If dispute cannot be settled by all parties during the meeting, the case will be forwarded to
Labour Tribunal for hearing. In each hearing, the Main Contractor head office shall appointed
representative; the Site Agent and CLO would attend. Site Agent shall then provide update
information to the Engineer Representative accordingly.
Sub Contractor Management Plan (Issue No. 0)
February 2019
5.0 Sub-contract Arrangement
5.1 Documentation for Sub-contract
Sub Contract with sub contractor would contain the followings:

 General Condition of Sub-contract (GCSC)

 Special Condition of Sub-contract (SCSC)
 Method of Measurement
 Schedule of Rate
 General Specification (GS)
 Particular Specification (PS)
 Working Drawings

5.2 Sub-contract Requirement

We would ensure that all Main Contract requirements / provisions can be reached to the
sub-contractor. Project Manager is responsible to interpret all related sections of the
General Specification, Particular Specification and Drawings of the contract to Sub-
contractor. Any members of staff on the Contractor’s Management Team are prohibited
from being given a sub-contract to any part of the Works or having a vested interest in
any of the sub-contractors irrespective of tiers.

5.3 Sub-contract Documentation

As per captioned Section 4.1 – Documentation for Sub-contract, sub-contract will be
issued once the main-contract made effective with the client, typical sample of sub-
contract is attached in Appendix G. Contractual terms and conditions of the contract are
subjected to alteration and confirmation upon main-contract is made effective.
Sub Contractor Management Plan (Issue No. 0)
February 2019
6.0 Control of Sub-contractors

The Project Manager and Site Agent are responsible for implementing, maintaining and
reviewing the measures. The measures used for monitoring and assessing the works
programme, quality, safety and environmental performance of the sub-contractors are as
follows:

6.1 Programme Control

Sub-contractors will receive a Master Programme prior to the commencement of work.
The progress of each sub-contract works will be scheduled in the programme and the
sub-contractors should meet the anticipated completion date unless any uncertainties
happened. Meeting with individual sub-contractor and Monthly Progress Meeting with
all activated sub-contractors would be held on site to monitor the progress of the sub-
contractor’s work and overall progress. The frequency of the meetings would be
depending to the progress of works accordingly.

6.2 Quality Control

The Main Contractor has established a specific Quality Control Manual to ensure that
elements of material procurement and handling/ installation of the materials meet
manufacture specification and requirements of the Contract. All sub-contractors shall
follow the Quality Control Manual. The quality of the sub-contractor’s work will be
monitored and assessed regularly. Project Manager / Site Agent shall arrange and
conduct internal audit to check and review the Quality Control System be properly
implemented and shall prepare an improvement plan as necessary.

6.3 Inspection and Testing Control

Sub-contractors are required to submit detailed method statement and construction
sequence prior to the commencement of works. The submission should refer to the
requirements in the Contract documents. The submission will be reviewed and submitted
by the Site Agent / Site Engineer prior to the Engineer.

6.4 Control of Non-conformities from Sub-contractors

Site supervision staff will record if any non-conformances found in the works and report
to the managerial staff. Remedial and corrective actions will be instructed by the
managerial staff to the sub-contractors in order to rectify these non-conformances. We
will make sure that no reoccurrence of such non-conformances in the Contract works.

6.5 Safe & Health Control

Safety and Health Management Plan has been set up and to ensure workers carrying out
works in a safe and health environment and in accordance all statuary requirements. All
sub-contractors are required to follow the Safety and Health Management Plan and
making sure all workers follow the regulations accordingly. Safety and Health training
will be provided for workers during the course of the Contract. The Safety and Health
performance of the sub-contractors will be monitored by the managing staff on site.
Sub Contractor Management Plan (Issue No. 0)
February 2019
6.6 Environmental Impact Control
Sub-contractors should strictly request to obey and follow statuary environmental
ordinances and regulations. They will provide mitigation and protective measures to
prevent causing adverse impact on the environment due to the works. The
environmental performance will be monitored on site.

The above measures are used to monitor the performance of the sub-contractors until the
completion of the Contract.
Sub Contractor Management Plan (Issue No. 0)
February 2019
7.0 Approved list of sub-contractors and suppliers of material

The ‘Approved list of sub-contractors and Suppliers of Materials’ is established and

maintained for contract use and evaluation of sub-contractor’s and supplier’s performance.

Evaluation of Sub-contractors and Suppliers of Materials:

a) The performance of the sub-contractors and suppliers of materials shall be assessed

annually using the Performance Form in Appendix C & D. it ensures that the sub-
contractors and suppliers in the list are competence to the Subletting works.

b) Suppliers shall only be approved if they are satisfied in the quality management system or
they have obtained an ISO 9001:2008 qualifications.

c) For new sub-contractors or suppliers of materials, the Evaluation Form in Appendix E & F
will be filled in for evaluation.

d) Project Manager shall maintain and update the ‘Approved List of Sub-contractors and
Suppliers of Materials’ as a basis to evaluate the performance for subletting.
Sub Contractor Management Plan (Issue No. 0)
February 2019
8.0 Financial Audit
8.1 Sub-contractor Audit
We would closely monitor the payments to be made on the Main-contractor to our Sub-
contractor & the Sub-contractor to their workmen.

8.2 Payments payable form Main-contractor to Sub-contractors

We would produce a list of payment summary to show the payment made payable to our
sub-contractors. Quantity Survey Team would use their spreadsheet to monitor the
payments against the time-frame. If any sign to show the payments were unsoundness,
Bestkind would liaise with Project Manager on the subject of the Interim Payment
against the work to be done.

8.3 Payments payable from Sub-contractors to Workers

If any disputes and complaints on handling of worker wages, the sub-contractors are
required to submit the attendance records of workers and receipt of wages of workers
signed by each worker at the end of each month. This approach helps us to keep updated
daily attendance records of all workers, including sub-contractor’s workers on site. In
receive of any industrial dispute problems or complaints from workers on site regarding
wages arrears disputes. We shall motivate our Team at the head office and appointed a
person to handle complaints and to inform the situation to the site at the earliest stage.
Sub Contractor Management Plan (Issue No. 0)
February 2019

Appendix A
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Appendix B
Appendix C

P.15
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Appendix D
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Appendix E
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Appendix F
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Appendix G
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Appendix H