scholarly journals Identifying the Global Performance of the Construction Industry

Author(s):  
Alfredo Rivera ◽  
Nguyen Le ◽  
Jacob Kashiwagi ◽  
Dean Kashiwagi

This paper presents a literature research assessing the performance and issues of delivering construction services worldwide, by exploring reasons for delays and increased construction costs. The study shows a comparison of the performance of the construction industry between different continents and countries. Multiple research databases were looked through and performance information was taken from over 95 publications. The results reveal that although the construction industry is growing throughout the world, there are many of the same problems being experienced in delivering construction projects in developing countries and developed countries. The literature reveals that all countries and continents are experiencing the same issues. On average, 72% of projects are delayed with 38% increase in original contracted duration, also, 63% of projects experienced cost overruns with 24% increase in original contracted cost. Additionally, rework is also a factor that affects performance and accounts for 6% increase in total project costs. Customer satisfaction on projects is low, and 90% of all major issues causing non-performance are due to people. A best value approach was identified as a potential solution to overcome the poor performance on construction projects with the following results: tested over 1900 times, totaling over $6B of procured services, a 94% on time and 97% on budget, and 98% customer satisfaction.

2021 ◽  
Vol 4 (1) ◽  
pp. 50-64
Author(s):  
Ja’far A. Aldiabat Al-Btoosh

Variation order (VO) is one of the main issues faced by the construction industry in Jordan. Many researchers had investigated on the causes of VO and proposed procedures to minimize and control this issue; however, the VO is affecting the construction industry badly even at moment. Building Information Modeling (BIM) is a powerful management system that can make a significant difference in the project costs. However, BIM has not been examined as a tool to minimize the VO in Jordan. The main target of this study is to utilize BIM applications in reducing the effect of VO on the governmental projects in Jordan. In order to achieve this target, the researcher has designed a questionnaire to gather data related to VO causes and the BIM capability to solve this problem. The data collected from the questionnaires were analyzed statistically. The result from the analysis found that the consultant initiated the highest VO of 50% followed by the clients and the contractors of 20% and 10% unforeseen variation respectively. Moreover, it is found that BIM Design Applications, Facility Operations Simulation, Exploration Design Scenarios, BIM Design Detection and BIM Quantity Take-off and Cost Estimation were significantly capable of minimizing VO. The results show positive relationship with the application of BIM in minimizing VO in the construction industry in Jordan. © 2018. JASET, International Scholars and Researchers Association


2021 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Tirivavi Moyo ◽  
Benviolent Chigara

Purpose Increased waste during projects execution has led to time and cost overruns within the Zimbabwean construction projects industry. However, contextual barriers to lean construction implementation are yet to be established for derivation of effective remedies. The purpose of this paper is to report on a study that sought to determine barriers to lean construction implementation and assess the existence of statistically significant differences because of gender, designation and educational levels of respondents. Design/methodology/approach A questionnaire survey was administered on construction professionals for the collection of quantitative data. Factor analysis was used to reveal interrelated significant sets of barriers to lean construction implementation. Non-parametric statistical methods were also used to determine significant differences because of demographic variables. Findings Integration- and performance-related, human capital management–related, quality management–related barriers were determined as the highest-ranked of the nine significant components. Significant differences because of gender, designation and educational levels were non-existent for aggregated barriers, generally indicating consensus on the barriers. However, individual barriers showed inadequacies in management requirements for lean construction implementation from architects and those with diplomas and degrees. Research limitations/implications The determination of barriers establishes the knowledge for construction policy evaluation for enhanced performance of the construction industry. However, because of the exploratory nature of this study, the insights of clients were not considered. Originality/value Context-specific barriers to lean construction implementation were determined for consequent construction policy improvements in the construction industry.


Author(s):  
Saud Almutairi ◽  
Dean Kashiwagi ◽  
Jacob Kashiwagi ◽  
Mohammed Algahtany ◽  
Kenneth Sullivan

Research has shown that construction projects in Saudi Arabia have exhibited poor performance for the past three decades. The Saudi construction environment lacks many of the best practices found in more developed countries, such as prequalification, bonding, and 3rd party insurance. The government’s construction relies on the low bid delivery method and prequalified contractors using the Contractors’ Classification System (CCS). However, the current CCS does not accurately represent contractors’ capabilities and performance. This paper reviews all of the parts of the Saudi CCS, including the workflow and the evaluation criteria. This paper proposes to analyze the current classification system and identify the issues incorporated in the CCS regulations and classification process. This paper summarizes the authors’ critical review through interviews that have been carried out with key persons in the CCS. Several issues with the CCS are identified, such as no performance feedback, complexity of the system, and high resource requirements. The findings identify that the current CCS must be modified to be able to accurately reflect contractor capability and performance.


2021 ◽  
Vol 10 (3) ◽  
Author(s):  
Osama Salim Al Adawi ◽  
Hussin Yahia

Cost overrun is a common phenomenon in construction projects of any country, be it in developing or developed countries. This issue is a critical issue that impacts a project's success. It, therefore, needs serious attention from all the participants in the construction project to keep the projects in safe mode, to be completed within its limited cost, time, and performance. Cost overrun has a negative impact on construction project performance, which is because the construction industry is vast and complex. Any difficulty occurring during the project's life cycle leads to other problems in various parts of the project. Studies by many researchers’ cost overruns by literature review, and according to their studies suggested the most cost overrun causes. The aim of this study is to identify the most critical factors leading to cost overruns on road projects in Oman, and then provide suggestions to resolve them.


2021 ◽  
Vol 14 ◽  
pp. 1-9
Author(s):  
Jeffrey Boon Hui Yap ◽  
Shi Min Tan

Construction practitioners recognise that rework is undesirable due to the detrimental effects. While rework literature has examined rework causation factors in construction projects, the problem continues to plague the industry resulting in poor delivery performance. To better understand this phenomenon and given the scarcity of Malaysian-based rework study, a questionnaire survey involving 130 Malaysian construction practitioners (consultants, contractors and clients) were undertaken to obtain feedback about nature, implications, causes and solutions for rework. Data were analysed using descriptive statistical techniques to prioritise the variables studied. From the analyses, rework is a causal factor for delays and cost overruns, higher wastage and productivity inhibitor. The findings revealed the leading causes of rework are poor quality management, improper planning, lack of communication, design changes and poor subcontractor management. Some practical rework minimisation approaches are also suggested to better manage and prevent rework towards enhanced project performance.


Author(s):  
Syed Nihas ◽  
Kristen Barlish ◽  
Jacob Kashiwagi ◽  
Dean Kashiwagi

The Indian construction industry has been characterized by poor performance. This paper analyzes the potential impact of the Indian culture on the poor performance. If the culture is a major cause in the construction industry subpar performance, can the cultural influence be overridden to minimize construction project delays and cost overruns. The authors propose to identify the  unique cultural issues, identify using the Construction Industry Structure (CIS) model the impact of the cultural issues on the construction industry, and identify a potential solution to the problem. The paper proposes to test the solution in actual tests with industry participants. What makes this research unique is the approach of using deductive logic to create a simple solution, and then convincing a major research client to test the proposal.


2021 ◽  
Vol 318 ◽  
pp. 02003
Author(s):  
Hassan Kamal Alhilli ◽  
Sedki I. Rezoqi

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.


2012 ◽  
Author(s):  
Mohd Azraai Kassim ◽  
Jen Loong Lee

Perubahan dalam pembinaan telah lama menjadi isu pertikaian antara pelbagai pihak yang terlibat dalam projek pembinaan. Namun, hanya sejumlah kecil kajian yang rasmi telah dijalankan untuk menganalisis sebab-sebab dan kesan-kesannya. Kajian ini tertumpu kepada analisis kekerapan dan keterukan berbagai-bagai faktor yang mengakibatkan perubahan dalam projek pembinaan rangkaian pembetungan. Adalah penting bagi sesebuah syrikat bukan sahaja mengetahui kos perubahan, tetapi juga mengenal pasti perkara-perkara yang perlu diberi perhatian untuk mengurangkan kos-kos sedemikian dalam projek akan datang. Kesemua data dan maklumat yang diperlukan diperolehi dari fail-fail arkib bagi tiga belas projek yang disahkan melalui temubual. Data-data dikategori untuk menganalisis kekerapan dan keterukan faktor-faktor. Jadual dan carta digunakan untuk menunjukkan hasil-hasil kajian. Daripada hasil analisis, keadaan tapak yang berbeza merupakan faktor utama yang mengakibatkan perubahan. Faktor-faktor ini menyumbangkan 49.3% daripada jumlah bilangan perubahan, 56.2% daripada jumlah kos perubahan dan 3.8% daripada jumlah kos projek. Dua ciri projek, iaitu nilai anugerah kontrak dan gred pendaftaran kontraktor dengan Lembaga Pembangunan Industri Pembinaan (mewakili pengkhususan, kedudukan kewangan dan sumber-sumber lain kontraktor) menunjukkan penyebab yang tertentu dengan perubahan. Kata kunci: perubahan; kekerapan; keterukan; pembetungan; rangkaian; pengkhususan Variations in construction have long been a debatable issue among the different participants involved in construction projects. However, only a few formal studies have been carried out to analyse its couses and effects. This study is focused on the frequency and severity of various factors causing variations in sewerage networks construction projects. It is important for a company not only to know the variation costs, but also to identify the most likely areas on which to focus in order to reduce these costs for the future projects. All the necessary data and information are obtained from archival files of thirteen projects and verified through interviews. These data are categorised to analyse the frequency and severity of factors. Tables and charts are presented to show the research findings. From the analysis, differing site conditions appear to be the major factors contributing to variations. They average 49.3% of the total number of variations, 56.2% of the total variation costs and 3.8% of the total project costs. Two project characteristics i.e. contract award value and the contractor´s registration grade with the Construction Industry Development Board (which represents the contractor´s specialisation, financial and other resources standing) show certain causal relationships with variations. Key words: variation; frequency; severity; sewerage; network; specialisation


2020 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Benti Gadisa ◽  
Hong Zhou

PurposeIt is well recognized that the construction industry is characterised by inefficient and ineffective service delivery due to various causative factors. Thus this study aims to examine the influential factors affecting public construction project performance in Ethiopia to improve the industry's service delivery.Design/methodology/approachFrom the extensive literature reviewed, 58 potential factors affecting construction project performance have been compiled. Based on the evidence accumulated, the conceptual model of this paper has been developed. By using survey questionnaires, valuable data were collected from the construction industry professionals in Ethiopia; analysed and interpreted with the use of both SPSS and AMOS software.FindingsIt is concluded that failure factors related to the “performance” of the contractor, the “capability” of the owner, the “project design-procurement process,” and project contract management can significantly contribute to the poor performance of public construction projects in Ethiopia. Ten key factors include inadequate contractor capacity, weak project site management and supervision, weak project management skills and capabilities of the owner, additional work orders, delayed payment, lack of comprehensive project plans between parties and incomplete project design, rising material prices, ineffective project schedules, and cost management, rising market prices and devaluation of the currency.Research limitations/implicationsThe scope of this study confined to public projects in Ethiopia. It suggests that further research needs to consider public and private construction from a comprehensive perspective in the developing countries.Practical implicationsIt provides practitioners with information and guidance on the factors that affect the performance of construction projects.Originality/valueIt provides inclusive evidence related to many factors that affect the performance of public construction projects.


Author(s):  
Vanissorn Vimonsatit ◽  
Alex Chai Mui Foo

This paper presents findings of an investigation into benefits of using Building Information Modelling (BIM) in construction projects. The research methodology includes a review of BIM development and achievement in construction industry, questionnaire survey, interview, and content analysis of secondary data. Data was collected and analyzed to identify the various benefits reflected from BIM implementation in addressing common problems experienced by the construction industry. The review and survey results indicate that a high frequency of occurrence of time and cost overruns occur in construction projects. Contributing factors were mainly rework, poor planning, documents delivery and approval, constructability issues, resources and weather condition. While some of the factors were unpreventable, BIM could be used as a tool to eliminate problems causing time and cost overruns. Various project benefits have been reflected through the content analysis of project case studies. It was found that time was the most positively influenced by the use of BIM followed by coordination, procurement, communication, cost and change of scope of the project, and lastly, risk.


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