The concepts of Supply Chain Management (SCM) have been applied in the construction industry seeking to improve the company's efficiency, profitability and customers' satisfaction level. This paper discusses the evolution of SCM, and its application in construction. Literature in this area suggests that immense benefits can be derived from the use of SCM in construction. Moreover, its implementation has been met with obstacles. In this study, a questionnaire survey was used to identify the major problem obstructing the implementation of SCM in construction. It was found that unfair allocation of risks and benefits commonly adopted in current contracting systems impede the effective use of SCM in construction. In addition, the degree of seriousness of these problems is found to vary with the scale and duration of projects.
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