Performance and Profits Sharing between Two-level Building Supply Chain

In order to solve the problem of profit sharing between the contractor and the subcontractor under the background of the construction supply chain, we base on the successful application of performance in sharing supply chain profits, and successfully solve the problem of profit sharing between them. We select the engineering cost, construction period and quality of project as three key performance indicators according to the characteristics of the construction supply chain, then, identify each index weight, determine the target performance, calculate for each indicator of performance value, finally obtain the profit sharing coefficient, and share profits by it. The results show that, the subcontractor´s performance is higher, the share of profit more, and vice versa. At the same time, the contractor can incentive the subcontractor to do his best to obtain higher performance through the profit. This method can improve the subcontractor´s enthusiasm, make reasonable distribution.