Time–cost relationship of public sector projects in Malaysia (original) (raw)
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International Journal of Advances in Applied Sciences, 2012
Time and cost performance is the fundamental criteria for success of any project. Unfortunately construction industry in Malaysia has been regarded as industry facing poor performance leading to failure in achieving effective time and cost performance. As a consequence most of the project face huge amount of time and cost overrun. This study assessed the time and cost performance of construction projects in Malaysia using structured questionnaire survey. The findings of study revealed that 92% of construction projects were overrun and only 8% of project could achieve completion within contract duration. The amount of time overrun was in between 5-10% as agreed by respondents. In terms of cost performance only 11% of respondents mentioned that normally their projects are finished within the budgeted cost while 89% of respondents agreed that their projects were facing the problem of cost overrun with average overrun at 5-10% of contract price. The major contributors of this poor performance include design and documentation issues, financial resource management and project management and contract administration issues. Further, qualitative study was carried out using semi-structured interviews with the experience personnel involving in managing construction project which resulted in developing 13 mitigation measure to improve time performance and 15 mitigation measure to improve cost performance in construction project. This study will help the practitioners to implement the mitigation measure at planning stage in order to achieve successful construction projects.
http://iaesjournal.com/online/index.php/IJAAS/article/view/537/644, 2012
Time and cost performance is the fundamental criteria for success of any project. Unfortunately construction industry in Malaysia has been regarded as industry facing poor performance leading to failure in achieving effective time and cost performance. As a consequence most of the project face huge amount of time and cost overrun. This study assessed the time and cost performance of construction projects in Malaysia using structured questionnaire survey. The findings of study revealed that 92% of construction projects were overrun and only 8% of project could achieve completion within contract duration. The amount of time overrun was in between 5-10% as agreed by respondents. In terms of cost performance only 11% of respondents mentioned that normally their projects are finished within the budgeted cost while 89% of respondents agreed that their projects were facing the problem of cost overrun with average overrun at 5-10% of contract price. The major contributors of this poor performance include design and documentation issues, financial resource management and project management and contract administration issues. Further, qualitative study was carried out using semi-structured interviews with the experience personnel involving in managing construction project which resulted in developing 13 mitigation measure to improve time performance and 15 mitigation measure to improve cost performance in construction project. This study will help the practitioners to implement the mitigation measure at planning stage in order to achieve successful construction projects.
2012 IEEE Colloquium on Humanities, Science and Engineering (CHUSER), 2012
Time and cost performance is the fundamental criteria for success of any project. Unfortunately construction industry in Malaysia has been regarded as industry facing poor performance leading to failure in achieving effective time and cost performance. As a consequence most of the projects face huge amount of time and cost overrun. This study assessed the time and cost performance of construction projects in Malaysia using structured questionnaire survey. The findings of study revealed that 92% of construction projects were overrun and only 8% of project could achieve completion within contract duration. The amount of time overrun was in between 5-10% as agreed by respondents. In terms of cost performance only 11% of respondents mentioned that normally their projects are finished within the budgeted cost while 89% of respondents agreed that their projects were facing the problem of cost overrun with average overrun at 5-10% of contract price. The major contributors of this poor performance include design and documentation issues, financial resource management and project management and contract administration issues. Further, qualitative study was carried out using semi-structured interviews with the experience personnel involving in managing construction project which resulted in developing 13 mitigation measure to improve time performance and 15 mitigation measure to improve cost performance in construction project. This study will help the practitioners to implement the mitigation measure at planning stage in order to achieve successful construction projects.
Factors contributing to project time and hence cost overrun in the Malaysian construction industry
Purpose -The delivery of construction projects in Malaysia is plagued by time overruns, which turns what should have been successful projects into those incurring additional costs, or money-losing ventures; as well as leading to various other unexpected negative effects and faute de mieux situations. The purpose of this research is to assess those factors leading to time overrun in Malaysian construction projects. The perceptions of public and private sectors, contractors, clients, and consultants are compared relative to a list of factors derived from the review of extant literature in project delay. Design/methodology/approach -The research data were collected through an industry-wide questionnaire survey circulated across the Malaysian construction industry. The research develops a list of 84 time overrun factors. Responses were collected from 49 clients, 51 contractors, and 105 consultants, to explore and analyse the major factors that are responsible for causing time overrun based on sectors (public and private), organisations (clients, contractors and consultants) and professional roles. Findings -Project delays beyond contract dates are predominantly caused by contractors and are usually associated with financial factors. "Cash flow problems faced by the contractors" was found the major factor, which contributed to project delays, whereas "storage on site" was seen as the least significant factor. Practical implications -It is noteworthy that the findings in this research have a regional focus; it is, therefore, suggested that readers from other sections of the world exercise caution in applying the findings. As it is believed that every construction industry has its nature, culture and regulations, these factors can change as a result of such differences. Originality/value -This research provides stakeholders with information on factors, which, if properly understood, can make project delays less likely.
Time-cost model for building projects in Nigeria
The concept of project duration is important in assessing the success or viability of a construction project. A time-cost relationship for construction projects in Nigeria has been developed based on Bromilow's time-cost model. Cost data on 87 completed building projects executed within the period 1991-2000 were obtained. The data were subjected to regression analyses using double log and later the piecewise model with breakpoint. For the Nigerian situation, the Bromilow's time-cost model was found to be T563C 0.262 with poor predictive abilities (R50.453, R 2 50.205). An improved model using piecewise model with good predictive abilities (R50.875, R 2 50.765) was found to be T5118.56320.401C (C ( 408) or 603.427 + 0.610C (C.408). The model is shown to be useful in predicting construction project durations.
“Investigation of Time-Cost Effectiveness on Construction Projects”
IOSR Journal of Mechanical and Civil Engineering, 2013
Development projects undertaken in various sectors of economy and finance are building blocks of national economy. This paper examines the time-cost effectiveness on construction projects by quantification of 16 different project performance parameters applied on 49 construction projects (both public and private sector projects). A questionnaire was drafted to test the parameters and criteria adopted when assessing the success of construction projects. The results shows that for general group of construction projects all 16 parameters have significant impact on cost growth.
Developing a benchmark model for project construction time performance in Hong Kong
Building and Environment, 2004
Construction time has been acknowledged by construction researchers and industry practitioners over the past three decades as one of the most important performance criteria of many successful projects. This raises an increasing global concern about benchmarking best practice measures of construction time performance (CTP) for use by clients, consultants and contractors in the construction industry. Previously derived statistical time models were ÿrst reviewed in this paper. A questionnaire survey was then undertaken to identify a set of critical factors in uencing construction durations of high-rise public housing projects in Hong Kong. Data were gleaned from a representative sample of 56 standard 'Harmony'-type residential blocks via mailed standard questionnaires. Multiple regression exercises were performed to analyse the project data and establish a prediction model. The results suggested that the overall construction duration of such projects could be modelled on the basis of a set of scope factors, construction method and housing scheme chosen. Predicted durations calculated from the developed model were then compared and assessed against actual durations achieved on-site. The concept of CTP index, which represents the predicted durations of individual projects relative to their actual observed durations, was applied as a useful means for evaluating and benchmarking their CTP. Practical applications of the developed model were also explained. Another construction time prediction model is envisaged to be formulated for private sector housing blocks in Hong Kong for local and international comparisons.
Time and cost models for building projects using prequalification and contract award data in Nigeria
2014
The purpose of this study was to develop models for predicting the probable completion cost and time of building projectsusing contractors' prequalification assessment, the initial contract sum and the proposed contract duration.Data on Contractors' Prequalification Assessment (CPA), Initial Contract Sum (ICS), Planned Contract Duration (PCD), Project Completion Cost (PCC) and Actual Contract Duration (ACD) for 77 completed building projects were sourced from Bureau of Public Procurement (BPP). Multi-colinearity test was conducted on the variables in order to avoid multiple correlations among the data before subjecting them to Multiple Regression Analysis (MRA). The goodness of fit of the models derived as defined by the value of R2 was found to be 98.2% and 92.80% for cost and time; thus signifying thatabout 2% and 7% of the residual variations in the independent variables were not included in the cost and time models respectively. The result of the research would therefore...
Data in brief, 2018
This data article explores the factors that contribute to maintaining steady cost projection on construction projects. The data was obtained using structured questionnaire designed in Likert scale. The responses were solicited from category of construction practitioners. Simple random sampling was employed in the distribution of the questionnaires to the respondents. Data samples were analysed using severity index, ranking and simple percentages. The analysis of the data brought to fore some important data on factors that causes cost overrun, they include: contractor's inexperience, inadequate planning, inflation, incessant variation order, and change in project design. They are critical to causing cost overrun, while project complexity, shortening of project period and fraudulent practices are found to be responsible. The data fall within the percentages of possible consequences of cost overrun when compared with those available in scientific literature. The data can provide in...
Factors Affecting Cost and Time Control in Construction Projects
2016
The quest of construction project stakeholders is effective control of cost and time. Accomplishing this quest however, remains a difficult task. This study examines factors affecting cost and time control of construction projects with a view to proposing recommendations that could assist stakeholders to achieve enhanced cost and time performance of construction projects. A survey of professionals managing construction projects in Lagos, Nigeria was conducted. Structured questionnaire was developed and administered to eighty (80) managers of construction projects who were randomly selected from a sample frame of One-hundred (100) construction project contractors. A total of fifty-two (52) questionnaires were retrieved representing 62% response rate. Using Statistical Package for Social Sciences, version 20.0, descriptive and inferential statistical tools including, bar chart, mean, minimum and maximum values, frequency tables, T-test and Analysis of Variance (ANOVA) were employed to...