Several influential industry reports have pointed out that a decline in construction quality and
productivity could be attributed to the performance of subcontractors who are entrusted to
complete the actual works, yet subcontractor performance appraisal is a much neglected
subject in construction. To facilitate subcontractor registration, management and/or selection,
an equitable and reliable subcontractor performance appraisal would be indispensable. Being
regarded as a reliable and practical means for performance evaluation, the balanced scorecard
should have a high potential for improving the quality subcontractor appraisal decisions. This
paper discusses the issues in developing a balanced scorecard model for subcontractor
performance appraisal. The current practice of appraising subcontractor performance begin is
first outlined. It is then followed by introducing the research methodology. The structure of
the balanced scorecard model for subcontractor performance appraisal is proposed. Finally, a
prototype Internet-based model for appraising subcontractors based on the balanced scorecard
concept is presented. The initial results indicate that it is possible to establish a balanced
scorecard model to formalise the subcontractor performance appraisal decisions.published_or_final_versio