Assessing Egyptian construction projects performance using principal component analysis

2018 ◽  
Vol 67 (9) ◽  
pp. 1727-1744 ◽  
Author(s):  
Mohamed Mahdy Marzouk ◽  
Emad Fayez Gaid

Purpose The construction sector is a major contributor to the Egyptian economy and gross domestic products, plus considered as one of its fastest-growing sectors. Various deficiencies such as low productivity, delays, cost overrun, poor quality, etc. have plagued the construction sector, leading to undesirable project performance across Egypt and several other countries. One of the best methods to measure and improve performance evaluation and consequently a step toward industry improvement is key performance indicators (KPIs). The paper aims to discuss this issue. Design/methodology/approach A questionnaire survey was conducted to identify the importance index for 35 KPIs. The KPIs were identified and selected based on an extensive literature review and one on one interview with expert construction professionals. Moreover, exploratory factor analysis method has been used to analyze and determine the inter-relationships between the set of indicators. Findings Seven indicators that have the highest importance indicator were selected to create project overall performance indicator assessment models to consistently measure the performance of different construction projects. Seven equations are introduced reflecting the output of the research while considering both organization size and project type. Practical implications The proposed evaluation assessment models can be used to: evaluate the relative success of projects; indicate the areas of strengths and weaknesses in performance and establish company benchmarking. Three projects were selected to validate the performance evaluation models. Originality/value This paper provides mathematical assessment models for evaluating overall construction project performance in Egypt, taking into consideration organization size and project type. Previously published research works on the subject matter are quite limited, and frequently deal with only one or two selected aspects.

2014 ◽  
Vol 4 (1) ◽  
pp. 55-70 ◽  
Author(s):  
Mei-Yung Leung ◽  
Jingyu Yu

Purpose – The use of public engagement (PE) has been encouraged by the Hong Kong government in recent years, with the construction industry under particular pressure to employ it. However, society as a whole has been suffering as a result of various levels of discontent and conflict in many construction development projects. The logical paths to analyze public need and resolve conflict in the PE process are vague. Value methodology (VM), a logical method, is thus proposed as an initial framework to support PE activities in construction projects. The purpose of this paper is to enhance PE performance for the complicated construction development projects with the application of VM principles. Design/methodology/approach – Based on an extensive literature review, PE logical team process factors and PE outcomes were identified. A questionnaire survey was conducted to investigate the relationships between the logical PE team decision-making process (VM application in the logical process and team behaviors) and final PE outcomes. Findings – The results showed that the PE team process with the application of VM, especially information and analysis phases, influenced PE outcomes positively. Conflict (both destructive conflict and constructive conflict) influenced PE outcomes in different directions. Practical implications – It is recommended that the information and analysis phases of VM are applied to PE process in order to achieve consensus, cultivate team spirit, improve project performance, and enhance organizational reputation. Originality/value – This paper innovatively proposes the application of VM into the PE team process in order to analyze the project logically and subsequently improve holistic PE project performance and finally promote social cohesion.


2017 ◽  
Vol 15 (2) ◽  
pp. 181-198 ◽  
Author(s):  
Samuel Famiyeh ◽  
Charles Teye Amoatey ◽  
Ebenezer Adaku ◽  
Collins Sena Agbenohevi

Purpose In Ghana, the duration of construction projects from inception to completion is becoming a great concern, recently, especially among clients and beneficiaries, because of the rising interest rates, inflation, development plan targets, among other factors. Hence the need to understand the causes of delays and cost overrun in the construction sector has become more important than ever. This study therefore aims to identify the major factors underlying time and cost overruns in projects related to the education sector in Ghana to proffer practical solutions in addressing them. Design/methodology/approach The study conducted a survey among clients’ consultants and representatives of the contractors working on about 60 government school projects. A relative importance index was used to determine the relative effects of the factors causing construction time and cost overruns. Findings The key factors causing construction time overrun were: financial problems, unrealistic contract durations imposed by clients, poorly defined project scope, client-initiated variations, under-estimation of project cost by consultants, poor inspection/supervision of projects by consultants. Other factors were underestimation of project complexity by contractors, poor site management, inappropriate construction methods used by contractors and delays in the issuance of permits by government agencies. Factors affecting cost overruns were financial difficulty by client, delays in payments of completed works, variations in designs, lack of communications plans, poor feasibility and project analysis, poor financial management on site and material price fluctuations. Research limitations/implications The research was limited to only the educational sector projects. Practical implications Practically, this study highlights for the construction sector the critical factors causing project time and cost overruns in Ghana. Identification of these factors provides the basis for pragmatic solutions to enhance the chances of project success. Social implications The identification and solutions to project time and cost overruns, especially for educational sector projects, contribute toward making public goods more affordable and accessible to most citizens, particularly in developing countries. Originality/value This study contributes to the debate on factors causing project time and cost overruns in the construction sector especially from a developing country’s perspective.


2017 ◽  
Vol 11 (7) ◽  
pp. 20 ◽  
Author(s):  
Hedaya A. M. Abusafiya ◽  
Saad M. A. Suliman

Cost performance is one of the basic criteria for measuring construction project success. Despite its proven importance it is not uncommon to see a construction project failing to achieve its objectives within the specified cost. The paper attempts to identify the major causes of cost overrun in Bahrain construction sector, and to assess the effect of these causes on cost overrun.  A list of these causes was collected through an extensive literature review, historical construction projects records and expert opinions. In total 45 factors were short-listed to be made part of questionnaire used in a survey conducted with representatives from local contracting, consulting, and client firms. Findings are presented in form of tables that classify cost overrun factors, and their ranking. The overall results showed that frequent design changes, mistakes during construction, and schedule delay were considered as the most important factors of cost overrun causes in Bahrain construction industry.


2016 ◽  
Vol 14 (3) ◽  
pp. 543-562 ◽  
Author(s):  
Amaka Chinweude Ogwueleka ◽  
Marthinus Johannes Maritz

Purpose Incentives are mechanisms used to create genuine opportunity for contracting parties to work together to achieve good results, rational returns and bear appropriate risks. The question of how to motivate the construction workforce rightly so as to achieve best performance has remained paramount to project owners. This paper aims to investigate on how to model for incentive payoffs in the Nigerian construction industry to effectively use the benefits of incentive mechanisms. Design/methodology/approach The collected data are analysed using descriptive and inferential statistics, such as frequency counts, charts and principal component analysis. Findings The findings reveal the metrics for measuring organisational incentive payoff and the scaling factor for each metric. The study further develops the employee incentive payoff models for both operational workers and management staff in the construction sector. Originality/value This study provides a practical solution to the application of incentive mechanisms in construction projects. The paper recommends the need for restructuring of incentive mechanisms to significantly impact on other performance criteria, therefore contributing to best performance in project delivery.


2014 ◽  
Vol 14 (2) ◽  
pp. 229-244 ◽  
Author(s):  
Ali Mohammed Alashwal ◽  
Hamzah Abdul-Rahman

Purpose – The purpose of this paper is to determine the measurement constructs of learning within construction projects' milieu. The literature indicated some mechanisms of learning in projects under four aspects, namely knowledge sharing, knowledge creation, team action to learn, and learning support. The empirical study attempts to verify whether intra-project learning can be measured through these aspects. Design/methodology/approach – The study used a survey method to collect the data from 36 mega-sized building projects in Malaysia. In total, 203 questionnaires were collected from professionals working in the sites of these projects. The data were analysed using principal component analysis (PCA) to determine the constructs of intra-project learning. Partial least squares-path modeling was used then to confirm the results of PCA and determine the contribution of each construct to intra-project learning. Findings – The results affirmed two constructs of intra-project learning, named, social and technical and each consisted of four indicators of learning. Originality/value – The paper emphasized the socio-technical perspective of learning and contributed to developing a hierarchical measurement model of learning in construction project. A project manager can propose new initiatives in response to the new perspective of learning for team building and continuous development. Lastly, the paper provides a comprehensive presentation of how to estimate the hierarchical measurement models of project learning as a latent variable.


2021 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Lan Luo ◽  
Limao Zhang ◽  
Xian Zheng ◽  
Guangdong Wu

PurposeThis paper proposes a novel hybrid simulation approach that incorporates the structural equation model (SEM) and system dynamics (SD) to investigate the impacts of leadership dynamics on project performance under different scenarios.Design/methodology/approachSEM is used to identify and validate a correlation between leadership variables and project performance statically. On this basis, the SD model is constructed to depict a system model connecting the leadership and project performance. Different scenarios are simulated to dynamically model the variation in leadership on the evolution of project performance.FindingsResults indicate that (1) leadership can be divided into personal ability, relationship atmosphere and organizational strategy in complex construction projects; (2) personal ability, relationship atmosphere and organizational strategy positively correlate with project performance over time; and (3) L1 (stress management ability), L7 (team building) and L17 (institution support) are the leading factors influencing project performance and should be paid more attention under limited resources.Originality/valueThis research contributes to (1) the state of the knowledge by proposing a hybrid methodology that can systematically model the impacts of leadership dynamics on project performance over time and (2) the state of the practice by gaining a better understanding of the strategy of resource distribution for enhancing project performance in complex construction projects.


2019 ◽  
Vol 27 (1) ◽  
pp. 66-82
Author(s):  
Beste Ozyurt ◽  
Irem Dikmen ◽  
M. Talat Birgonul

Purpose In the global construction industry, experience gained in various countries is a major source of competitive advantage. By transferring the knowledge gained in previous projects using an effective knowledge management strategy, they can increase their competitiveness by adopting best practices and by not repeating the same mistakes under similar conditions. The purpose of this paper is to demonstrate how similar countries can be clustered to facilitate learning in global markets. Design/methodology/approach Initially, country factors that can affect success in international projects and can be used to assess the similarity of markets were identified by an extensive literature review and prioritised by a web-based questionnaire. A country evaluation form was prepared to collect country-specific data to be used in the cluster analysis of 39 countries where the Turkish contractors have been frequently working since the last 45 years. Cluster analysis was performed with SPSS 23.0. Findings Three country clusters were obtained and validated. Ultimately, how obtained country clusters may be used to facilitate learning from international construction projects was demonstrated by using an illustrative example. Research limitations/implications The findings depend on the experience and perspective of Turkish contractors doing business abroad. Thus, the identified clusters are not generic. Moreover, country clusters were not identified considering only the country factors such as economy, culture, politics, etc.; thus, countries in the same cluster do not necessarily represent “similar” countries in terms of macro-factors. Clusters were identified so that the lessons learned can be effectively transferred within the same cluster considering construction and project-related factors as well as country-related factors. Although the findings cannot be generalised and clusters are not static, it is believed that the methodology used in this research is repeatable for different countries considering different timeframes. Originality/value Theoretical contributions include the identification of factors that can be used for similarity assessment of countries for transferring lessons learned as well as a methodology for clustering. Findings may also have a practical value for the Turkish contractors.


2020 ◽  
Vol 27 (8) ◽  
pp. 1763-1794
Author(s):  
Zhao Xu ◽  
Xiang Wang ◽  
Ya Xiao ◽  
Jingfeng Yuan

PurposeThere is often a lack of accurate performance evaluation in Public–Private Partnership (PPP) projects. It is a challenging issue to effectively use Building Information Modeling (BIM) for PPP project performance evaluation. The objective of this study is to develop a PPP project performance evaluation model based on Industry Foundation Classes (IFC) and an enhanced matter-element method to more precisely evaluate PPP project performance.Design/methodology/approachThe performance evaluation of PPP projects in the construction and operation period was explored. The PPP project performance evaluation indicator system was first established based on a literature review and PPP project practice. Then, the evaluation indicator information was expressed through IFC mapping and extension. After that, an IFC-based PPP project performance evaluation model was developed, and a case study was provided to validate the use of the proposed performance evaluation model.FindingsThe results of the case study show that the proposed approach can accurately and efficiently evaluate PPP projects, and it could favorably contribute to performance evaluation in PPP projects.Research limitations/implicationsThis study only concerns the performance evaluation of one type of PPP project. Further research is required to study different types of PPP projects; the model needs to be more efficient and intelligent.Originality/valueThe performance evaluation of PPP projects utilizing IFC extension and the enhanced matter-element method provides guidance for the government and private parties to accurately and efficiently evaluate PPP project performance.


Author(s):  
Martin Oloruntobi Dada

Purpose – Using projects executed with both traditional and integrated procurement methods, the study sought to investigate relationships that exist among project participants and the influence of those relationships on cost growth. The paper aims to discuss these issues. Design/methodology/approach – Questionnaires were administered among 274 construction projects located in 12 states including the Federal Capital Territory of Nigeria. Responses were obtained from 96 projects. Data were subjected to both descriptive and inferential analyses. Findings – In terms of cordiality, relationships between client and contractors ranked highest, while those among in-house project teams ranked lowest. Cost growth or cost overrun is significantly correlated with client-contractor relationship, consultant-contractor relationship, client-consultant-contractor relationship and in-house team relationships. No association between procurement method and cost growth was found. Research limitations/implications – The limitation of generalizability of results due to the sampling method used is acknowledged. One implication of the findings is that in the context of this research, any explanation for cost growth has to be found outside procurement methods. Practical implications – Findings may assist project participants on variables to consider in anticipating, preventing or managing cost growth in building construction projects, beyond formularization of contracts and structures. Originality/value – The research has uniquely investigated the association between intangible project team relationships and tangible variable of cost growth.


2020 ◽  
Vol 10 (4) ◽  
pp. 547-565 ◽  
Author(s):  
Temidayo Oluwasola Osunsanmi ◽  
Clinton Ohis Aigbavboa ◽  
Ayodeji Emmanuel Oke ◽  
Muredini Liphadzi

PurposeConstruction 4.0 technology has the capabilities for improving the design, management, operations and decision making of construction projects. Therefore, this study aimed at examining the willingness of construction professionals towards adopting construction 4.0 technologies.Design/methodology/approachThe study adopts a survey design, and construction professionals in South Africa are assessed using a convenience sampling technique through a structured questionnaire. The questionnaire was analysed with SPSS while statistical test like; mean score, t-test and principal component analysis was used to present the data.FindingsThe findings, from the analysis, revealed that the construction professionals are willing to adopt construction 4.0 technologies for construction project. However, the possibility of fully integrating the technologies into the construction industry is low. This is because the major technologies such as; Internet of things, robotics, human-computer interaction and cyber-physical systems that encourage smart construction site are rated as not important by the construction professionals.Practical implicationsIt is believed that the findings emanating from this study will serve as an indicator for investors that are interested in procuring construction 4.0 technologies for the construction industry.Originality/valueThis paper presents a framework for the application of construction 4.0 technologies for the construction industry. It also contributes to the development of digitalising construction industry in South Africa.


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