ASSESSMENT OF CONTRACTORS’ PRACTICES TOWARDS RISKS OUT OF CONTRACTORS CONTROL IN CONSTRUCTION INDUSTRY

2018 ◽  
Vol 5 (1) ◽  
Author(s):  
Mohammed Algahtany ◽  
Dean Kashiwagi ◽  
Kenneth Sullivan ◽  
Jacob Kashiwagi ◽  
Majed Alzara
Keyword(s):  
Risk Management ◽  
Saudi Arabia ◽  
Performance Measurement ◽  
Construction Industry ◽  
Questionnaire Survey ◽  
Construction Projects ◽  
And Performance ◽  
Public Construction ◽  
Measurement Practices ◽  
Current Risk

Research has shown that public construction projects in Saudi Arabia have exhibited poor performance for the past three decades. Recent studies have identified the ownership of parties who cause risks and lead to low performance in the Saudi construction industry. These studies identified that contractors are not the main party that cause risks as owners, consultants, and other parties have the major share of causing risks in the industry. The aim of this study is to assess the current risk management and performance measurement practices applied by contractors to minimize risk out of their control (caused by other parties) through conducting a questionnaire survey. The questionnaire survey was sent to contractors who work in public construction projects in Saudi Arabia. The assessment included the contractors’ practices in the identification of projects activities and risks, contractors’ practices in mitigating other parties’ activities and risks, and contractors’ practices in measuring the performance of all project parties. The study identified that contractors’ current risk management and performance measurement practices are not effective in minimizing projects risks caused by other parties and ineffective in measuring performance of all parties. The study recommends a proactive risk management approach that can help contractors to minimize risks caused by other parties and can measure the performance of all parties in projects.

Application of Risk Significance Index Score to Construction Projects in Malaysia

2013 ◽  
Vol 838-841 ◽  
pp. 3102-3108
Author(s):  
Boon Hoe Goh ◽  
Byung Gyoo Kang ◽  
Chung Lian Liew ◽  
Wee Kang Choong ◽  
Tuck Wai Yeong
Keyword(s):  
Risk Management ◽  
Project Management ◽  
Literature Review ◽  
Construction Industry ◽  
Questionnaire Survey ◽  
Construction Projects ◽  
Index Score ◽  
Project Risk ◽  
Interview Survey ◽  
Potential Risks

Risk management is one of the most important areas in project management particularly in the construction industry. However it is not possible to analyze all of the potential risks as it will require too much time and effort. Therefore in order to identify and analyze the significant risks, the risks should be categorized and ranked. This research applied the concept of risk significance index score to construction projects in Malaysia. A comprehensive list of 40-potential risks has been developed through literature review and an interview survey. A questionnaire survey was conducted to produce project risk significance index score for the risks. The ranks of the risks have been identified and solutions for the significant risks have been produced through interviews. This research proves the practical use of risk significance index score for construction projects in Malaysia.

Analysis of Risk in Construction Projects

2019 ◽  
Vol 1 (1) ◽  
pp. 64-69
Author(s):  
B Dhivya ◽  
V Prabu
Keyword(s):  
Risk Management ◽  
Construction Industry ◽  
Construction Projects ◽  
Behavioral Pattern ◽  
Survey Questionnaire ◽  
Cross Sectional ◽  
Project Risks ◽  
Key Barrier ◽  
Priority Model ◽  
Current Risk

The construction industry is subject to more risk and uncertainty than any other industry. Most of the participants experience risks in cost and time over runs and many times fail to meet quality standards and operational requirements. Therefore the need to increase the understanding of risk management. In this project, the qualitative analysis of all types of risks except financial and economical risks in the construction projects is done by ‘Risk factor and priority model’. The industry has shifted from risk transfer to risk reduction, current risk management systems are inadequate to manage project risks, and lack of joint risk management mechanisms is the key barrier to adequate risk management. SPSS (Statistical Package for Social Sciences) software is used for statistical analysis of the data collected from respondents. The general methodology of this study relies largely on the survey questionnaire which was collected from the local building contractors of different sizes by mail or by personnel meeting. A thorough literature review is initially conducted to identify the risk factors that affect the performance of construction industry as a whole. The survey questionnaire is designed to problem the cross-sectional behavioral pattern of construction risks in construction industry.

scholarly journals Contractor Selection Criteria: a Study on Malaysian Public Construction Projects

2018 ◽  
Vol 7 (3.25) ◽  
pp. 65
Author(s):  
Izwan Rashid ◽  
Syuhaida Ismail ◽  
Zainai Mohamed ◽  
Abd. Latif Saleh
Keyword(s):  
Social Sciences ◽  
Content Analysis ◽  
Construction Industry ◽  
Questionnaire Survey ◽  
Construction Projects ◽  
Selection Criteria ◽  
Systematic Approach ◽  
Contractor Selection ◽  
The Public ◽  
Public Construction

The complexity of a construction project renders the implementation of a systematic approach in selecting contractors to be of vital importance, especially for the public construction projects. Nevertheless, public construction projects in Malaysia often suffer from delay, over budget and low-quality issues. These are very much affected by the contractors who tend to manipulate the tender price with the sole intention of getting the contract, thus led to many issues throughout the projects delivery. Hence, this paper is aimed to investigate a list of contractor selection criteria for public construction projects in Malaysia. A total of 43 selection criteria have been identified and categorised into seven categories from an initial review via content analysis. These findings were then verified via a questionnaire survey, which was responded by 276 local Malaysian construction industry practitioners. Data collected were analysed using the IBM Statistical Package of Social Sciences (SPSS). The analysis showed that all 43 selection criteria were significant in selecting contractors. It is hoped that the findings of this paper would encourage the governing bodies and authorities to consider the use of multi criteria assessment in selecting contractors for public construction projects, rather than being solely reliant on the tendered price. 

scholarly journals Establishing Core Factors of Risk Management Influencing Performance Outcome of Small and Medium Firm's Construction Projects in Gauteng

2020 ◽  
Vol 25 (2) ◽  
pp. 93-127
Author(s):  
Berenger Yembi Renault ◽  
Justus Ngala Agumba ◽  
Nazeem Ansary
Keyword(s):  
Risk Management ◽  
Construction Industry ◽  
South African ◽  
Construction Projects ◽  
Geographical Area ◽  
Risk Identification ◽  
Influential Factors ◽  
Performance Outcome ◽  
Management Factors ◽  
Project Objectives

The quest for delivering successful construction projects has urged South African small and medium enterprises (SMEs) to adopt risk management in their projects. However, it has been evinced that SMEs projects in South Africa especially in the Gauteng province have encountered poor performances. Thus, this article determines core risk management factors influencing project outcome of SMEs. A deductive approach was embraced using a questionnaire. The data were collected from 181 conveniently sampled respondents in Gauteng, graded from Grade 1 to 6 of the CIDB (Construction Industry Development Board) grading system. The Statistical Package for the Social Science (SPSS) version 23 was used to analyse the data by computing exploratory factor analysis and multiple regression analysis. It was revealed that SMEs performance outcome is influenced by eight risk management factors. The influential factors are organisational environment, defining project objectives, resource requirements, risk measurement, risk identification, risk assessment, risk response and action planning and monitoring, review and continuous improvement. The risk management factors established in this article are reliable and valid in projects undertaken by SMEs in the South African construction industry and the findings can serve as a guideline for contractors to achieve success in this context. The study may be repeated in other countries globally, however, it cannot be generalised due to the restrictions pertaining to the geographical area.

scholarly journals Investigating Variation Orders Causes in Iraqi Building Construction Projects

2021 ◽  
Vol 318 ◽  
pp. 02003
Author(s):  
Hassan Kamal Alhilli ◽  
Sedki I. Rezoqi
Keyword(s):  
Construction Industry ◽  
Construction Projects ◽  
Harmful Effect ◽  
Fuzzy Cognitive Map ◽  
Future Research ◽  
Change Orders ◽  
Management Processes ◽  
And Performance ◽  
The Relationship ◽  
Comprehensive Reference

Changes are a common phenomenon in the construction industry, impacting the project's cost, time, and performance. The purpose of this work is to a comprehensive review relating to variation order causes. Also, the aim here is to determine variation order causes in the building’s construction. More importantly, explore the relationship between these causes. However, the importance of specifying the causes for change orders is the first step in managing variation orders to reduce the harmful effect on a project. The field survey was conducted for several institutions such as health (Karkh’s health), higher education (University of Baghdad and University of Kufa). As a result, a field visit was made to the project sites. They were then, Conducting interviews with the resident engineer, the consultant, and the contractor. A developer tool called cause (variation orders) breakdown structure (CBS) included 12 causes at the first level, including 103 sub-causes. There is a relationship between the variation orders causes, which is evident in the third level. The study recommends adopting (CBS) a comprehensive reference for variation order causes in projects due to facilitating their management processes. Future research could examine the relative importance of variation order causes, in addition to using a fuzzy cognitive map to find the extent of each cause’s influence on the other.

scholarly journals Identification of Causes and Minimization of Delays in Highway Projects of Pakistan

2019 ◽  
Vol 38 (1) ◽  
pp. 103-112
Author(s):  
Samiullah Sohu ◽  
Abdul Fattah Chandio ◽  
Kaleem ullah
Keyword(s):  
Literature Review ◽  
Construction Industry ◽  
Questionnaire Survey ◽  
Construction Projects ◽  
Structured Interview ◽  
Mitigation Measures ◽  
Structured Interviews ◽  
Highway Projects ◽  
Mean Values ◽  
Causes Of Delays

The problem of delay in construction industry is a regular phenomenon worldwide, and construction industry of Pakistan has no exception, particularly in highways projects. Delay can be described as the extension of time to complete the construction project. The aim of this paper is to identify main causes of delays in highway projects of Pakistan, and to determine mitigating measures for the identified causes. The research method of this study is based on literature review, questionnaire survey and semi structured interview. From in-depth literature review, twenty-six common causes of delay were found. A questionnaire survey was carried out among construction professionals of highway projects. The causes of delay in highways projects were ranked referring to their Mean values. A semi structured interview was carried out to determine mitigation measures for the top ten causes of delays. The data gathered from questionnaire survey was analyzed using SPSS (Statistical Package for the Social Sciences) while, data collected through semi structured interviews was analyzed using Nvivo software. The findings of this study are expected to be useful for construction parties, to mitigate the delays in highway construction projects of Pakistan.

scholarly journals Upgrade the Saudi Arabian Procurement System Delivery Method

2015 ◽  
Vol 7 (1) ◽  
pp. 146
Author(s):  
Ahmed Alofi ◽  
Yasir Alhammadi ◽  
Dean Kashiwagi ◽  
Kenneth Sullivan
Keyword(s):  
Saudi Arabia ◽  
Construction Projects ◽  
Public Procurement ◽  
Saudi Arabian ◽  
The Public ◽  
Public Projects ◽  
Potential Risks ◽  
Low Performance ◽  
And Performance ◽  
Procurement System

Saudi Arabia has had many issues in delivering mega construction projects, such as delays, high costs, and low customer satisfaction. Some studies show that around 70% of public projects in Saudi Arabia are delayed. One factor that might be causing these performance issues is the traditional low bid contracting system in Saudi Arabia, or the Saudi procurement system. In Saudi Arabia, owners select contractors based only upon the lowest price. This paper researched ways to modify the current Saudi procurement system and show quick and simple modifications that can be done to improve the low performance. This research proposes that by adding the clarification phase from the Performance Information Procurement System (PIPS) to the Saudi traditional procurement process could greatly improve construction performance. The clarification phase requires the selected contractor to submit a project scope, detailed and milestone schedule, potential risks that they do not control, and performance measurement before a contract is awarded. The PIPS system is one of the most successful systems around the world, which shows success rate of 98% in six different countries with risk and cost reduction up to 30%. The clarification phase has been identified as the most important step in the PIPS to ensuring a successful project. This paper conducted a survey among construction professionals in Saudi Arabia, including 157 engineers, 33 consultants 9 owners, 5 vendors, 13 academics, and 28 architects, in order to develop the public procurement system in Saudi Arabia. The participants work in government sectors with an interest in the Saudi Arabian procurement system. The survey confirmed that professionals in the Saudi construction industry believe that the procurement system should be changed and that the inclusion of the clarification phase to the procurement system is a way to improve the procurement system.

Emerging Performance Measurement Responses to Changing Political Pressures at State Departments of Transportation

2005 ◽  
Vol 1924 (1) ◽  
pp. 175-183
Author(s):  
Daniela Bremmer ◽  
Keith C. Cotton ◽  
Brooke Hamilton
Keyword(s):  
Performance Measurement ◽  
Performance Management ◽  
Measurement Development ◽  
Transportation Industry ◽  
Changing Practice ◽  
Emerging Trends ◽  
And Performance ◽  
Measurement Practices ◽  
Departments Of Transportation ◽  
Transportation Agencies

Performance measurement is an evolving practice. All state departments of transportation (DOTs) have used some aspect of performance measurement for analyzing system uses and conditions as part of the engineering and planning disciplines. Yet the business management process and accountability aspects of the performance measurement field have emerged in the transportation industry just in the past decade. State DOTs operate under heightened political pressures, and accountability mandates drive change in performance measurement practices. This paper illuminates important trends that drive the evolution of the field and that need greater attention in research. The emerging purposes and needs for performance measurement and performance management have substantial implications for practitioners and managers. The paper first describes the research purpose and method and presents a generational model for conceptualizing the stages in performance measurement development in transportation agencies. Next, the major pressures that drive performance measurement development are noted, and the most pertinent responses uncovered by this research are summarized. The paper concludes with recommendations for advancing the field and opportunities for further research. This report does not critique specific practices or judge state capabilities. Its intention is to describe emerging trends and needs driving the changing practice of performance measurement at state DOTs by using illustrative examples to help practitioners understand the state of the field and prepare for potential challenges ahead.

BIM in the Saudi Arabian construction industry: state of the art, benefit and barriers

2019 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Abdullah Al-Yami ◽  
Muizz O. Sanni-Anibire
Keyword(s):  
Saudi Arabia ◽  
Construction Industry ◽  
Construction Projects ◽  
State Of The Art ◽  
Pilot Project ◽  
Lessons Learned ◽  
Information Modeling ◽  
Perceived Benefits ◽  
Content Type

Purpose Although there is a boom in the construction industry in the Kingdom of Saudi Arabia (KSA), it is yet to fully adopt building information modeling (BIM), which has received a lot of attention in the US, UK and Australian construction industries. Thus, the purpose of this paper is to provide the current state of the art in BIM implementation in Saudi Arabia, as well as perceived benefits and barriers through a case study. Design/methodology/approach A broad overview of BIM, the construction industry in KSA and the research and implementation of BIM in KSA was presented in this study. The research further established the perceived benefits and barriers of BIM implementation through a case study of a local AEC firm. A questionnaire survey was used to obtain lessons learned from the BIM team of the pilot project and was further analyzed using the RII approach. Findings The study’s findings include the lack of policy initiatives in KSA to enforce BIM in the construction industry, as well as the lack of sufficient research in the domain of BIM in KSA. Furthermore, the case study also revealed that the most important benefit of BIM adoption is “detection of inter-disciplinary conflicts in the drawings to reduce error, maintain design intent, control quality and speed up communication,” whereas the most important barrier is “the need for re-engineering many construction projects for successful transition towards BIM.” Originality/value The study provides a background for enhanced research towards the implementation of BIM in Saudi Arabia and also demonstrates the potential benefits and barriers in BIM implementation.

Mental health and addictions policy priorities and performance measurement frameworks

2019 ◽  
Vol 32 (2) ◽  
pp. 105-112
Author(s):  
Frank Sirotich ◽  
Carol E. Adair ◽  
Janet Durbin ◽  
Elizabeth Lin ◽  
Christopher Canning
Keyword(s):  
Mental Health ◽  
Performance Measurement ◽  
Future Development ◽  
Measurement Framework ◽  
Starting Point ◽  
The Future ◽  
The Common ◽  
Performance Domains ◽  
And Performance ◽  
Measurement Practices

To inform the future development of a pan-Canadian Mental Health and Addictions (MHA) performance measurement framework, we undertook a review and comparison of current provincial/territorial MHA policies and performance measurement frameworks. Most did not have performance measurement approaches that were explicitly linked to policy actions but eleven acknowledged the importance of performance measurement. Among the provinces with a framework, there were few performance domains in common. The common policy priorities and areas of convergence in current performance measurement practices may provide a useful starting point for the development of a pan-Canadian MHA performance measurement framework.

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