scholarly journals An Artificial Neural Network Approach to Predicting Most Applicable Post-Contract Cost Controlling Techniques in Construction Projects

2020 ◽  
Vol 10 (15) ◽  
pp. 5171 ◽  
Author(s):  
Temitope Omotayo ◽  
Awuzie Bankole ◽  
Ayokunle Olubunmi Olanipekun
Keyword(s):  
Decision Support ◽  
Construction Projects ◽  
Cost Management ◽  
Management Practice ◽  
Project Managers ◽  
Construction Process ◽  
Neural Network Approach ◽  
Cost Overruns ◽  
Effective Cost ◽  
Artificial Neural

The post-contract phase of the construction process remains critical to cost management. Several techniques have been used to facilitate effective cost management in this phase. However, the deployment of these techniques has not caused a reduction in the incidence of cost overruns hence casting doubts on their utility. The seeming underwhelming performance posted by these post-contract cost control techniques (PCCTs), has been traced to improper deployment by construction project managers (CPM) and quantity surveyors (QS). Utilizing the perspectives of CPM and QS professionals, as elicited through a survey, produced 135 samples. The instrumentality of the artificial neural networks (ANN) in this study enabled the development of a structured decision-support methodology for analysing the most appropriate PCCTs to be deployed to different construction process phases. Besides showcasing the utility of the emergent ANN-based decision support methodology, the study’s theoretical findings indicate that CPM and QS professionals influence decisions pertaining to PCCTs choice in distinct phases of the construction process. Whereas QS professionals were particularly responsible for the choice of PCCTs during the initial and mid-level phases, CPM professionals assumed responsibility for PCCTs selection during the construction process close-out phase. In construction cost management practice, the crucial PCCTs identifies more with the application of historical data and all cost monitoring approaches.

scholarly journals Method of Assessing the Risk of Implementing Railway Investments in Terms of the Cost of Their Implementation

2021 ◽  
Vol 13 (23) ◽  
pp. 13085
Author(s):  
Jan Kowalski ◽  
Mieczysław Połoński ◽  
Marzena Lendo-Siwicka ◽  
Roman Trach ◽  
Grzegorz Wrzesiński
Keyword(s):  
Construction Projects ◽  
Original Method ◽  
Project Managers ◽  
Simple Method ◽  
Construction Companies ◽  
Risk Forecasting ◽  
Specific Object ◽  
Effective Cost ◽  
The Cost ◽  
The Impact

Exceeding the approved budget is often an integral part of the implementation of construction projects, especially those where unforeseen threats may occur. Therefore, each construction investment should contain elements of risk forecasting, mainly in terms of the cost of its implementation. Only a small number of institutions apply effective cost control methods, taking into account the specifics of a given industry. Especially small construction companies that participate in the structure of the implementation of large construction projects as subcontractors. The article presents a method by which it is possible to determine, with certain probability, the final cost of railway construction investments carried out in Poland. The method was based on a reliable database of risk factors published in sources. In this article, the main presumptions of the original method are presented, which take into account the impact of potential, previously recognized, risks specific to railway investments, and enable project managers to relate them to the conditions where the implementation of a specific object is planned. The authors assumed that such a relatively simple method, supported by a suitable computational program, would encourage teams that plan to implement railway projects to use it and increase the credibility of their schedules.

Optimizing time–cost in generalized construction projects using multiple-objective social group optimization and multi-criteria decision-making methods

2020 ◽  
Vol 27 (9) ◽  
pp. 2287-2313 ◽  
Author(s):  
Duc Hoc Tran
Keyword(s):  
Decision Making ◽  
Construction Projects ◽  
Project Managers ◽  
Multiple Objective ◽  
Cost Curve ◽  
Multi Criteria Decision Making ◽  
Construction Process ◽  
Time Cost ◽  
Content Type ◽  
Social Group Optimization

PurposeProject managers work to ensure successful project completion within the shortest period and at the lowest cost. One of the main tasks of a project manager in the planning phase is to generate the project time–cost curve, and furthermore, to determine the most appropriate schedule for the construction process. Numerous existing time–cost tradeoff analysis models have focused on solving a simple project representation without regarding for typical activity and project characteristics. This study aims to present a novel approach called “multiple-objective social group optimization” (MOSGO) for optimizing time–cost decisions in generalized construction projects.Design/methodology/approachIn this paper, a novel MOGSO to mimic the time–cost tradeoff problem in generalized construction projects is proposed. The MOSGO has slightly modified the mechanism operation from the original algorithm to be a free-parameter algorithm and to enhance the exploring and exploiting balance in an optimization algorithm. The evidential reasoning technique is used to rank the global optimal obtained non-dominated solutions to help decision makers reach a single compromise solution.FindingsTwo case studies of real construction projects were investigated and the performance of MOSGO was compared to those of widely considered multiple-objective evolutionary algorithms. The comparison results indicated that the MOSGO approach is a powerful, efficient and effective tool in finding the time–cost curve. In addition, the multi-criteria decision-making approaches were applied to identify the best schedule for project implementation.Research limitations/implicationsAccordingly, the first major practical contribution of the present research is that it provides a tool for handling real-world construction projects by considering all types of construction project. The second important implication of this study derives from research finding on the hybridization multiple-objective and multi-criteria techniques to help project managers in facilitating the time–cost tradeoff (TCT) problems easily. The third implication stems from the wide-range application of the proposed model TCT.Practical implicationsThe model can be used in early stages of the construction process to help project managers in selecting an appropriate plan for whole project lifecycle.Social implicationsThe proposal model can be applied to multi-objective contexts in diversified fields. Moreover, the model is also a useful reference for future research.Originality/valueThis paper makes contributions to extant literature by: introducing a method for making TCT models applicable to actual projects by considering general activity precedence relations; developing a novel MOSGO algorithm to solving TCT problems in multi-objective context by a single simulation; and facilitating the TCT problems to project managers by using multi-criteria decision-making approaches.

MULTIPLE CRITERIA DECISION SUPPORT SYSTEM FOR ASSESSMENT OF PROJECTS MANAGERS IN CONSTRUCTION

2012 ◽  
Vol 11 (02) ◽  
pp. 501-520 ◽  
Author(s):  
EDMUNDAS KAZIMIERAS ZAVADSKAS ◽  
POVILAS VAINIŪNAS ◽  
ZENONAS TURSKIS ◽  
JOLANTA TAMOŠAITIENĖ
Keyword(s):  
Decision Support ◽  
Decision Support System ◽  
Support System ◽  
Construction Projects ◽  
Assessment Method ◽  
Project Managers ◽  
Multiple Criteria ◽  
Expert Judgement ◽  
Effective Management ◽  
Decision Aiding

Construction processes planning and effective management are extremely important for success in construction business. Head of a design must be well experienced in initiating, planning, and executing of construction projects. Therefore, proper assessment of design projects' managers is a vital part of construction process. The paper deals with an effective methodology that might serve as a decision support aid in assessing project managers. Project managers' different characteristics are considered to be more or less important for the effective management of the project. Qualifying of managers is based on laws in force and sustainability of project management involving determination of attributes value and weights by applying analytic hierarchy process (AHP) and expert judgement methods. For managers' assessment and decision supporting is used additive ratio assessment method (ARAS). The model, presented in this study, shows that the three different methods combined (ARAS method aggregated together with the AHP method and the expert judgement method) is an effective tool for multiple criteria decision aiding. As a tool for the assessment of the developed model, was developed multiple criteria decision support system (MCDSS) weighting and assessment of ratios (WEAR) software. The solution results show that the created model, selected methods and MCDSS WEAR can be applied in practice as an effective decision aid.

scholarly journals The Amoebic Growth of Project Costs

2005 ◽  
Vol 36 (2) ◽  
pp. 15-27 ◽  
Author(s):  
Colin Eden ◽  
Fran Ackermann ◽  
Terry Williams
Keyword(s):  
Construction Projects ◽  
Project Managers ◽  
Total Expenditure ◽  
Claims Analysis ◽  
Private Industry ◽  
Cost Overruns ◽  
The Public ◽  
Project Costs ◽  
Industrial Projects ◽  
Public Construction

In the public arena, we often hear about projects that have suffered massive cost overruns. Often they are related to large public construction projects such as airports, bridges, or public buildings. Large overruns also exist in private industry. However, often these do not appear in the newspapers, so the public is not as aware of them. Of course, not all projects go badly wrong, but quite a few do, and frequently we find ourselves uncertain of the causes for such overruns. In this paper, industrial projects that overrun and overrun in a surprising manner are considered. In other words, the paper considers those many projects where the extent of the overrun is well beyond what might ever have been anticipated, even though what was going wrong within the projects was, for the most part, understood. The basis for the content of the paper (that is, the structure and lessons), are drawn from a postmortem analysis of many large projects as part of claims analysis, particularly “delay and disruption” claims for projects whose total expenditure appeared, at first look, inexplicable or surprising. The aim of the paper is to contribute to an understanding of how projects go badly wrong, when they do, and in particular to draw some lessons from this exploration that are likely to help all managers. The reasons for cost escalation are not just the responsibility of project managers.

A deterministic contractor selection decision support system for competitive bidding

2017 ◽  
Vol 24 (1) ◽  
pp. 61-77 ◽  
Author(s):  
Nabil Semaan ◽  
Michael Salem
Keyword(s):  
Decision Support ◽  
Project Management ◽  
Decision Support System ◽  
Support System ◽  
Project Managers ◽  
Cost Overruns ◽  
Contractor Selection ◽  
Content Type ◽  
Selection Decision

Purpose The construction industry today is one of the biggest industries in the world. As projects continue to grow in complexity, project management continues to evolve. Contractor selection is a difficult task that owners and project managers face. Although previously researchers have worked on the subject of contractor selection, a comprehensive decision support system for contractor selection has not yet been developed. Recent reports of major delays and cost overruns in mega projects highlight the need for a model that is able to be flexible and comprehensive becomes evident. The paper aims to discuss these issues. Design/methodology/approach The research focuses on obtaining insights from field experts using both quantitative and qualitative methods. Then, a model was developed in the light of the data collected. Accordingly, the model was tested on a case study. Findings This paper presents a model for contractor selection that is wholesome in its take on the topic. The model incorporates both managerial and technical aspects of the problem. The model was tested on a case study and it was proven to be feasible in real world applications. The contractor selection decision support system serves the needs of both academics and industry managers, as an integral part of project management. Originality/value The model presented in this paper is innovative in its take on the problems. MCDA tools have been uniquely modified in this paper to cater to the needs of the selection problem while accounting for the criteria hierarchy that incorporates aspects that are instrumental for proper evaluation of a contractor’s likelihood of success.

scholarly journals Applying Interpretive Structural Modeling to Cost Overruns in Construction Projects in the Sultanate of Oman

2015 ◽  
Vol 12 (1) ◽  
pp. 53 ◽  
Author(s):  
K. Alzebdeh ◽  
H.A. Bashir ◽  
S.K. Al Siyabi
Keyword(s):  
Cost Estimation ◽  
Construction Projects ◽  
Project Managers ◽  
Decision Makers ◽  
Sultanate Of Oman ◽  
Interpretive Structural Modeling ◽  
Cost Overruns ◽  
Complex Interactions ◽  
Project Costs ◽  
The Us

Cost overruns in construction projects are a problem faced by project managers, engineers, and clients throughout the Middle East.  Globally, several studies in the literature have focused on identifying the causes of these overruns and used statistical methods to rank them according to their impacts. None of these studies have considered the interactions among these factors. This paper examines interpretive structural modelling (ISM) as a viable technique for modelling complex interactions among factors responsible for cost overruns in construction projects in the Sultanate of Oman. In particular, thirteen interrelated factors associated with cost overruns were identified, along with their contextual interrelationships. Application of ISM leads to organizing these factors in a hierarchical structure which effectively demonstrates their interactions in a simple way. Four factors were found to be at the root of cost overruns: instability of the US dollar, changes in governmental regulations, faulty cost estimation, and poor coordination among projects’ parties. Taking appropriate actions to minimize the influence of these factors can ultimately lead to better control of future project costs. Thisstudy is of value to managers and decision makers because it provides a powerful yet very easy to apply approach for investigating the problem of cost overruns and other similar issues.  

scholarly journals The Influence of Delays in the Implementation of Work on Budget Plan and Field Management on Building Project in Banjarmasin

2019 ◽  
Vol 280 ◽  
pp. 05010
Author(s):  
Candra Yuliana
Keyword(s):  
Construction Projects ◽  
Project Managers ◽  
Project Work ◽  
Primary Data ◽  
Dominant Factor ◽  
Cost Overruns ◽  
Structural Work ◽  
Project Construction ◽  
Building Project ◽  
The Impact

The construction service company needs to think about the best strategy for dealing with delay in the project work schedule so that the cost overruns can be reduced to a minimum. The purpose of this research is to make a strategy for overcoming the delay of building project construction work in Banjarmasin. Primary data were obtained by field survey and interviews. The survey was conducted to project directors, project managers and the field, supervisors, and experts who are experienced in handling construction projects. The survey aims to collect data on the dominant factors causing delays in structural work, the impact of such delays on the budget plan, and the strategy of handling delays. The data were analyzed descriptively and AHP. Variable Y, which is the impact of the delay on changes in the work plan cost budget structure, is at a large level that is changing between 3% - 4% of the budget plan cost. The dominant factor to the cause of the delay is the slow decision-making process by the owner, the owner’s financial problem, the financial difficulties by the contractor, the mistake of choosing the construction method, the shortage of the project.

scholarly journals ASSESSING COLLUSION RISKS IN MANAGING CONSTRUCTION PROJECTS USING ARTIFICIAL NEURAL NETWORK

2018 ◽  
Vol 24 (5) ◽  
pp. 2003-2025 ◽  
Author(s):  
Ming Shan ◽  
Yun Le ◽  
Kenneth T. W. Yiu ◽  
Albert P. C. Chan ◽  
Yi Hu ◽  
...  
Keyword(s):  
Neural Network ◽  
Artificial Neural Network ◽  
Construction Projects ◽  
Real Life ◽  
Assessment Model ◽  
Developing Strategy ◽  
Neural Network Approach ◽  
Body Of Knowledge ◽  
Artificial Neural ◽  
Artificial Neural Network Approach

Being an insidious risk to construction projects, collusion has attracted extensive attention from numerous researchers around the world. However, little effort has ever been made to assess collusion, which is important and necessary for curbing collusion in construction projects. Specific to the context of China, this paper developed an artificial neural network model to assess collusion risk in construction projects. Based on a comprehensive literature review, a total of 22 specific collusive practices were identified first, and then refined by a two-round Delphi interview with 15 experienced experts. Subsequently, using the consolidated framework of collusive practices, a questionnaire was further developed and disseminated, which received 97 valid replies. The questionnaire data were then utilized to develop and validate the collusion risk assessment model with the facilitation of artificial neural network approach. The developed model was finally applied in a real-life metro project in which its reliability and applicability were both verified. Although the model was developed under the context of Chinese construction projects, its developing strategy can be applied in other countries, especially for those emerging economies that have a significant concern of collusion in their construction sectors, and thus contributing to the global body of knowledge of collusion.

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