Exploring the Potential of SME Alliances in the Construction Sector

Abstract

The paper explores the adoption of information and communication technology-enabled alliance modes of operation by small- and medium-sized enterprises (SMEs) in the construction sector. It argues that SME alliance modes of operations promote business process innovation and allow SMEs to compete in new ways, get better reward for their work, and gain greater financial strength, which in turn, will give them the financial capability to move forward and develop their products and services. Findings from the multiple case study approach used to conduct the research are discussed, including: (1) the concept of an SME alliance and its key features; (2) business relationships management in an SME alliance; (3) SME alliance viability and sustainability; (4) the role of information and communication technologies in an alliance; and (5) technical innovation management in an alliance regime of peers. Recommendations for future research in the form of open questions to the research community are given.