scholarly journals Rank-Order Analysis of Factors Causing Claims on Road Construction Projects in Botswana

2016 ◽  
Vol 8 (2) ◽  
pp. 58
Author(s):  
Aderemi Adeyemi ◽  
Olefile Segwabe
Keyword(s):  
Construction Industry ◽  
Construction Projects ◽  
Rank Order ◽  
Road Construction ◽  
Frequency Of Occurrence ◽  
Cost Overrun ◽  
Planning And Scheduling ◽  
Frequent Type ◽  
Poor Site ◽  
Delay Claims

Claims are considered to be one of the most serious disruptive forces to successful project delivery in the construction industry. In a small developing economy like Botswana, it is germane to identify the sources and the frequency of occurrence of claims so that the burden of project cost overrun, a hallmark of the country’s construction industry is substantially reduced. Detailed literature review and preliminary field investigations were used to identify causes of claims related to road construction projects. The study identified six major types of claim and twenty seven causes of claims. Using questionnaire as research instrument, respondents (construction industry major stakeholders i.e. clients, consultants and contractors) were asked to rank the frequency of occurrence of the types and causes of claims in road construction projects on a Likert-type scale. Relative importance index (RII) method was used to analyze the data collected from the questionnaire survey. The analysis was carried out for each group of respondents and on the overall results (all the parties combined). A total of 27 useful responses made up of nine clients, ten consultants and eight contractors) were analyzed. Findings indicated that the clients and consultants specified delay claims followed by extra work claims were the most frequent type of claims in the construction of roads in Botswana. Contractors perceived differing site conditions followed by delay claims as the most frequent type of claims. From the overall response, delay claims were ranked first followed by extra work claims. Acceleration claims were ranked least. The top five most frequent causes of claims based on overall ranking were: variation in quantities, design errors, poor site management and supervision by contractor, ineffective planning and scheduling of project by contractor, and low price of contract due to high competition. Construction industry research in Botswana has never looked into the issue of claims and yet it is one of the hidden sources of construction project failure in the country. It is perceived that hedging against the most adverse causes of claims will stem the tide of incessant cost overrun, litigation and project abandonment on road projects in Botswana.

scholarly journals Factors influencing decisions on delay claims in construction contracts for Indian scenario

2014 ◽  
Vol 14 (1) ◽  
pp. 32-44 ◽  
Author(s):  
Nitin Balkrishna Chaphalkar ◽  
K. C. Iyer
Keyword(s):  
Construction Industry ◽  
Construction Projects ◽  
Decision Makers ◽  
Infrastructure Development ◽  
Court Cases ◽  
Cost Overrun ◽  
Root Cause ◽  
Delay Claims ◽  
Indian Scenario ◽  
Probing Questions

  Construction industry in India is second largest next to agriculture. In current era of infrastructure development construction projects occupy a key position. In any construction project contract time and cost overrun is a common feature, which gives rise to claims leading to disputes. These disputes if not handled properly tend to consume time and money of all parties to the contract. To resolve the dispute in optimum time, it is essential to understand the root cause of disputes as early as possible. Hence there is a need of analyzing the disputes scientifically.  The present study reveals from the study of arbitration awards that the causes for delay claims can be grouped in domains and the probable decisions to the disputes can be traced through the probing questions considered by decision makers. This paper attempts to identify questions related to disputes for Indian scenario through literature, arbitration awards, court cases and discussions with professionals.

scholarly journals Time and Cost Overrun in the Saudi Arabian Oil and Gas Construction Industry

Buildings ◽  
2019 ◽  
Vol 9 (2) ◽  
pp. 41 ◽  
Author(s):  
Abdulaziz Bin Seddeeq ◽  
Sadi Assaf ◽  
Abdullatif Abdallah ◽  
Mohammad A. Hassanain
Keyword(s):  
Construction Industry ◽  
Construction Projects ◽  
Oil And Gas ◽  
Saudi Arabian ◽  
Oil And Gas Industry ◽  
Cost Overrun ◽  
Eastern Province ◽  
Gas Industry ◽  
Planning And Scheduling ◽  
Highly Sensitive

Many construction projects exceed time and budget. The Saudi Arabian construction projects are not an exception to this phenomenon. However, the causes of time and cost overrun of Saudi Arabian oil and gas construction projects have never been studied. Thus, this paper endeavors to investigate the main causes of time and cost overrun in Saudi Arabian oil and gas construction projects. Thirty-eight causes of time and cost overrun were identified through the literature and an interview. Responses from 48 professionals based in the Eastern Province of Saudi Arabia were obtained. The respondents were solicited to evaluate the significance of the causes, which were then ranked and a test of agreement was conducted. All survey participants agreed that the five major causes of time and cost overrun, combined, were found to be “changing of design and scope by client during construction”, “poor planning and scheduling of project”, “design errors”, “Inadequate comprehension of scope of work at the bidding stage”, and “underestimating of cost and schedules/overestimating of benefits”. On the other hand, the major cause of time overrun was found to be “changing of design and scope by client during construction”. Finally, the major cause of cost overrun was found to be “underestimating of cost and schedules/overestimating of benefits”, respectively. The findings of this study will be beneficial to project stakeholders who must operate in an industry that is highly sensitive. The findings will also facilitate organizations planning to conduct construction projects in the Saudi Arabian oil and gas industry.

scholarly journals Delay Factors and Time-Cost Performance of Construction Projects in Gaborone City Council, Botswana

2016 ◽  
Vol 8 (1) ◽  
Author(s):  
Aderemi Adeyemi ◽  
Keabetswe Masalila
Keyword(s):  
Construction Industry ◽  
Construction Projects ◽  
Cost Model ◽  
City Council ◽  
Archival Data ◽  
Cost Overrun ◽  
Time Cost ◽  
Significant Delay ◽  
Chi Square ◽  
Poor Site

The problem of delays in the construction industry is a global phenomenon and the construction industry in Botswana is not an exception. The objectives of this study were to confirm the presence of significant delay in GCC projects; to identify and rank the perceived delay causes; and construct a Bromilow-type time-cost model for the council’s projects. The study made use of archival data and questionnaire survey soliciting the perceived causes and effects of delay from the clients, consultants, and contractors that are associated with GCC projects. Chi-square statistical method was employed to prove the presence of statistically significant delay in the council’s project. About 150 respondents drawn from three client organizations, five consulting firms and 23 construction contracting companies participated in the survey to rank the perceived causes of delay. The study identified 10 most important causes of delay from a list of twenty eight different causes and six different effects of delay. The ten most important causes are: contractor’s improper planning, contractor's poor site management, inadequate contractor experience, inadequate client's finance and payments for completed work, problems with subcontractors, shortage in material, labor supply, equipment availability and failure, lack of communication between parties, and mistakes during the construction stage. The six main effects of delay were: time overrun cost overrun, disputes, arbitration, litigation and total abandonment. In addition, archival data were used to establish the time-cost relationship of the council’s projects using Bromilow’s model. The derived relationship was given by Time = 1.18Cost0.361861. The adjusted R2 of the model was 0.817812 showing that the model had high predictability. It was concluded that the results of this study can be of immense assistance to the stakeholders of GCC projects in terms of planning future projects and better understanding of the dynamics of project management as lessons for reducing the incidences of project delay and high cost.

Inhibiting Factors of Cost Performance in UAE Construction Projects

2020 ◽  
Vol 11 (2) ◽  
Author(s):  
Ahmed Salem Ahmed Marey Alhammadi ◽  
◽  
Aftab Hameed Memon ◽  
Keyword(s):  
Construction Industry ◽  
Construction Projects ◽  
Past Research ◽  
Cost Overrun ◽  
Index Method ◽  
Cost Performance ◽  
Factors Affecting ◽  
Inhibiting Factors ◽  
Critical Problems ◽  
Structured Questionnaire

UAE construction industry frequently faces poor cost performance which commonly known as cost overrun problem. This problem is resulted from several factors and it is important to identify these cost overrun factors in order to avoid and minimize it. Hence, this paper focused on determined the relevancy of factors affecting cost performance in construction projects of UAE. Through a review of past research works conducted globally, 27 factors of cost overrun were listed and used for developing a structured questionnaire. A survey was conducted with 33 practitioners from client, consultant and contractors organizations involved in handling construction projects in UAE. The respondents were requested to state their perception regarding the relevancy of each of the factors that was perceived in context with cost overrun issue using 5-points Likert scale. The responses were analysed using average index method and the results found that all the 27 factors are relevant with construction industry of UAE in causing cost overrun. These factors can be used for further investigation to uncover critical problems of cost overrun.

scholarly journals Earthwork Planning and Visualisation of Time-Location Information in Road Construction Projects

2016 ◽  
Vol 1 ◽  
pp. 75
Author(s):  
R. K. Shah
Keyword(s):  
Construction Projects ◽  
Progress Monitoring ◽  
Road Construction ◽  
Resource Planning ◽  
Automatic Generation ◽  
Prototype Model ◽  
Accurate Information ◽  
Planning And Scheduling ◽  
Time Space ◽  
College Of Engineering

<p>Accurate information of locations from visual aspect is vital for efficient resource planning and managing the workspace conflicts in the earthwork operations, which are missing in the existing linear schedules. Hence, the construction managers have to depend on the subjective decisions and intangible imagining for resources allocation, workspace conflicts and location-based progress monitoring in the earthwork projects. This has caused uncertainties in planning and scheduling of earthworks, and consequently delays and cost overruns of the projects. To overcome these issues, a framework of computer based prototype model was developed using the theory of location-based planning. This paper focuses on the case study experiments to demonstrate the functions of the model, which includes automatic generation of location-based earthwork schedules and visualisation of cut-fill locations on a weekly basis. The experiment results confirmed the model’s capability in identifying precise weekly locations of cut-fill and also visualising the time-space conflicts at the earthwork projects. Hence, the paper concludes that the model is a useful decision supporting tool to improve site productivity and reduce production cost of earthworks in the construction projects like roads and railways. </p><p><em>Journal of Advanced College of Engineering and Management, Vol. 1, 2015</em>, pp. 75-84</p>

scholarly journals Delay and cost overrun in road construction projects in Jordan

2015 ◽  
Vol 4 (2) ◽  
pp. 288 ◽  
Author(s):  
Nabil Al-Hazim ◽  
Zaydoun Abusalem
Keyword(s):  
Construction Projects ◽  
Road Construction ◽  
Weather Conditions ◽  
Public Works ◽  
Fiscal Year ◽  
Cost Overrun ◽  
Construction Time ◽  
Change Orders ◽  
Critical Problems ◽  
The Cost

This study aims to identify the most important factors that cause delay in road construction projects in Jordan, which results in cost and time overrun allocated for this type of engineering projects and cause critical problems for both the developer and the contractor. The gap between the cost at completion and that originally estimated, known as cost overrun, can be regarded as one of the most important parameters reflecting the success of projects. In the public sector, money spent on project change orders results in increased construction time which in return reduces the number and size of the projects that can be completed during any given fiscal year. To achieve this goal, the documents and the final reports for several sample projects implemented over the years 2000 to 2008 were analyzed. All the projects were administered by the same organization taken from Jordan Ministry of Rural and Public Works. The results of this study can assist highway officials in their design, planning, scheduling and projects completions so that necessary actions can be taken to control these overruns in future projects. The study showed that 19 factors might cause delays of road construction projects as defined through a detailed literature review. The analysis of the study indicated that the top causes affecting time and cost overrun in road construction projects in Jordan are Terrain and Weather conditions.

scholarly journals Analysis of Time Delay and Cost Overrun in Road Construction

2019 ◽  
Vol 8 (9S3) ◽  
pp. 901-907
Keyword(s):  
Economic Development ◽  
Time Delay ◽  
Construction Industry ◽  
Road Construction ◽  
Cost Overrun

Road construction is the important division in the construction industry and the most predominant part of a society. The roadway defines the development of a country or a state and brings in the economic development of the same. The reasons for choosing a project on the roadways are its vast scope of day to day development and progress in this area. Thus it is clearly seen that roadways is the most essential in todays world without which progress and development cannot take place at full fledge. Therefore any delay in completion of a road constructing project may have its impact in degrading of a society. Also at the same time the budget overrun or cost overrun of such project is highly unbearable.

scholarly journals CRITICAL FACTORS VARYING CONSTRUCTION COST

2009 ◽  
Vol 12 (1) ◽  
pp. 104-117
Author(s):  
Tam Thi Minh Nguyen ◽  
Thi Hao Cao
Keyword(s):  
Construction Industry ◽  
Construction Projects ◽  
Multiple Linear Regression Model ◽  
Construction Cost ◽  
Ho Chi Minh City ◽  
Cost Overrun ◽  
Key Factors ◽  
Industry Sectors ◽  
The Relationship ◽  
Chronic Problem

Construction industry is considered to be one of the most important industries in Vietnam's economy. But many construction industry sectors have been experienced chronic problem as cost overrun. Therefore, a conceptual model of factors influencing construction cost was developed to determine the key factors that cause difference between budget cost and actual cost and some solutions are recommended to be applied to achieve the best outcome of cost. The result of analyzing 216 construction projects completed from 2002 to 2007 by companies located in Ho Chi Minh City indicated 6 main factors varying construction cost: project planners, project executives, economics, political, natural environment, fraudulent and lost. The results of multiple linear regression model confirmed the relationship between these above 6 factors and construction cost with the theories are supported at the statistically significant level of 0.05.

scholarly journals Effective Selection of Resources for Construction using Program Tool

2020 ◽  
Vol 9 (3) ◽  
pp. 2927-2931
Keyword(s):  
Construction Industry ◽  
Resource Selection ◽  
Construction Projects ◽  
Cost Overrun ◽  
Cost Performance ◽  
Programming Tool ◽  
Effective Selection ◽  
Selection Factor ◽  
Selection Of ◽  
Indian Scenario

In the Indian scenario construction industry facing a major problem is cost and time overrun. Effective time performance and cost performance are very important to execute the project in a successful manner by keeping them within the prescribed schedule and cost. Overall cost and duration of construction projects affected by the effective resource selection factor. This paper's objective is to rectify the improper selection of resources by a programming tool. Field survey and codebook study did collect the needed data to feed in the programming tool. The prepared tool gets distributed and making to access by every stakeholder of construction projects. This may result in the selection of construction resources as effectively. The term cost overrun in the resource part will be reduced.

scholarly journals Delays and Cost Overruns Causes During Construction of Palm Oil Refinery Projects

2018 ◽  
Vol 203 ◽  
pp. 02004 ◽  
Author(s):  
Muhammad Sani Abdullah ◽  
Wesam S Alaloul ◽  
Mohd Shahir Liew ◽  
Bashar S Mohammed
Keyword(s):  
Construction Industry ◽  
Palm Oil ◽  
Developing Nations ◽  
Project Performance ◽  
Oil Refinery ◽  
Cost Overrun ◽  
Cost Overruns ◽  
Planning And Scheduling ◽  
Important Index ◽  
Common Problems

Delays and cost overruns are obviously common problems in the construction industry in several developed and developing nations. The purpose of this study is to identify factors cause delays and cost overruns in the construction of palm oil refinery projects in Malaysia. A questionnaire survey of a randomly selected sample was filled by 89 respondents. The questionnaire included 179 factors which classified into 13 groups. The degree of importance of the delays and cost overrun factors were evaluated and ranked by importance degree, based on the viewpoints of stakeholders. The data was analytically investigated by descriptive statistic methods and Relative Important Index (RII). The results of RII showed that Delays in subcontractor’s work, Lack of subcontractor skill, and Poor/inadequate planning and scheduling with RII 0.78, 0.77, and 0.75, respectively, are the most important causes. These causes represent the baseline margin for project management of palm oil refinery construction and development. According to these results, it is suggested that: project client should collaborate with contractors and simplify payments procedures to mitigate delays; coordinate continuously and enhance the association among project stakeholders are obligatory in order to improve the project performance.

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