The risks and opportunities of social procurement in construction projects: a cross-sector collaboration perspective

ABSTRACT

Purpose>This research addresses the lack of project management research into social procurement by exploring the risks and opportunities of social procurement from a cross-sector collaboration perspective.Design/methodology/approach>A content analysis of five focus groups conducted with thirty-five stakeholders involved in the implementation of a unique social procurement initiative on a major Australian construction project is reported.Findings>Results show little collective understanding among project stakeholders for what social procurement policies can achieve, a focus on downside risk rather than upside opportunity and perceptions of distributive injustice about the way new social procurement risks are being managed. Also highlighted is the tension between the collaborative intent of social procurement requirements and the dynamic, fragmented and temporary project-based construction industry into which they are being introduced. Ironically, this can lead to opportunistic behaviours to the detriment of the vulnerable people these policies are meant to help.Practical implications>The paper concludes by presenting a new conceptual framework of project risk and opportunity management from a social procurement perspective. Deficiencies in the Project Management Body of Knowledge (PMBOK) are also highlighted around an expanded project management role in meeting these new project management requirements.Originality/value>Social procurement is becoming increasingly popular in many countries as a collaborative mechanism to ensure construction and infrastructure projects contribute positively to the communities in which they are built. This research addresses the lack of project management research into social procurement by exploring the risks and opportunities of social procurement from a cross-sector collaboration perspective.