How to build a more resilient construction supply chain

A resilient supply chain can be the difference between completing a project on time and costly setbacks.

Considering the dynamic nature of the construction industry, where delays, material shortages and unforeseen events are often common, it’s vital you can rely on your supply chain – yet ensuring resilience can often be a challenge. You want total confidence that your subcontractors’ compliance, finances and insurances are all in order.

In this blog, we’ll take a look at some of the tools available to enable this confidence across your supply chain, and the steps you can take.

Simplify supply chain management

The latest technology innovations are playing a powerful role in making sure your clients remain happy. Software platforms now enable seamless communication and collaboration between buyers and suppliers, providing real-time visibility into inventory levels, orders and delivery schedules.

Supply chain management software – such as Constructionline’s Supply Chain app – lets you monitor and manage all your suppliers from a single platform. The software allows you to easily create segments or lists of subcontractors, quickly add or remove suppliers from these lists, or organise by type or location. Users can also set a compliance policy for each segment.

Enhanced compliance

Meeting industry standards is crucial to maintaining a resilient supply chain. In the construction industry, the Common Assessment Standard and PAS 91 pre-qualification questionnaire provide a standardised process for evaluating a supplier’s capabilities. Adhering to these standards helps ensure suppliers have the necessary qualifications and capacities to meet project requirements.

For instance, the Common Assessment Standard and PAS 91 together assess a company’s credentials for:

Health and Safety
Environmental Management
Quality Control
Equal Opportunities
Modern Slavery
Anti-bribery and corruption

When growing your supply chain, considering only those that comply with the Common Assessment Standard and PAS 91 provides confidence in the stability and resilience of your network.

Financial health check-ups and other risks

Supply chain resilience relies heavily on the financial stability of suppliers – especially during a period of economic uncertainty. A financially vulnerable supplier is more likely to face disruptions, fall into administration or even go out of business, jeopardising the entire supply chain.

To mitigate this risk, buyers should proactively monitor supplier insurance and finances. Some steps you can take to ensure supplier financial stability are:

Verify Insurances

Suppliers should provide proof of adequate insurance coverage to mitigate potential liabilities and risks associated with their products or services.

Audit Finances

Regular financial audits of key suppliers can help identify any concerns as soon as possible, so that appropriate action can be taken.

Diversify Suppliers

Depending on a single supplier makes you more vulnerable. Diversifying suppliers spreads the risk and ensures continuity, even if one supplier comes into difficulties. Platforms such as Marketplace can help you grow your network, letting you easily promote new tender opportunities to pre-qualified subcontractors.

Are the risks on your radar?

To make sure any potential risks stay on your radar, there are a range of intuitive and insightful tools available that you can take advantage of.

The first is Risk Radar, which helps you reduce your reputational risk with accurate insight into a supplier’s financial, ethical, environmental and safety standing. While traditional methods might involve manual checks and time-consuming tasks, this risk assessment software solution streamlines this entire process. Combining information from a broad range of data sources, it makes it easy for companies like yours to review and assess risks.

Our Risk Summary tool also offers an at-a-glance overview of a supplier’s health. Want to know the percentage of time they have been verified in the last six months? The current status of their insurance, SSIP schemes and financials? Now you can, with a few simple clicks.

Meanwhile, our analytics tools provide irrefutable evidence of just how compliant and verified a potential partner may be.

Build greater resilience

In the construction industry, a resilient supply chain is not just a competitive advantage, it’s absolutely essential.

By leveraging supply chain management software, adhering to industry standards, ensuring the financial health of suppliers, and using tools for risk assessment, construction companies can build a robust and adaptable supply chain, capable of weathering unexpected challenges.

The key lies in proactive planning, collaboration, and embracing technology to create a supply chain that’s not just strong, but also flexible enough to handle whatever the future holds. Embrace these steps, and your construction projects will be better positioned for success in an ever-evolving industry.


To discuss your business’s supply chain and find the right tools to increase or maintain its resilience, contact us today.

Blog Buyers, Health and Safety, SSIP, Supplier