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البحث (1):

عنوان البحث:

Construction Projects Cost Overrun: What Does the Literature Tell Us?

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تاريخ النشر:

01/04/2017

موجز عن البحث:

Construction industries have a poor reputation in terms of finishing projects on budget. Nine out of ten projects normally experience cost overrun. Different causes for cost overrun have been identified. This paper critically reviews the literature concerning cost overrun in construction projects in different countries to identify the main potential causes. 173 causes of cost overrun have been found in seventeen contexts with the main potential causes being: frequent design change, contractors’ financing, payment delay for completed work, lack of contractor experience, poor cost estimation, poor tendering documentation, and poor material management.

المؤتمرات العلمية:

المؤتمر (1):

عنوان المؤتمر:

ICSECM 2015 : 17th International Conference on Structural Engineering, Construction and Management

تاريخ الإنعقاد:

19-20 November 2015

مكان الإنعقاد:

Paris, France

طبيعة المشاركة:

Oral presentation

عنوان المشاركة:

Cost Overrun in Delivery of Public Projects in the Saudi Construction Industry: A Review

ملخص المشاركة:

Cost overruns are endemic in the delivery of construction projects. The problem is global. It occurs irrespective of type and size of the project, its location, procurement method or client. The size of overruns can be as high as 200% in some cases. Projects thus unfortunately often make the news headlines, not for their immense socio-economic contribution to society, but for being poorly procured. In Saudi Arabia, two-thirds of construction projects are publicly procured by the Saudi government, which has been invested Billions of dollars in infrastructure projects each year as part of an ambitious strategic development agenda to shift from mainly oil dependency to multi-source dependency. However, reports show that about 3,000 public projects face diverse issues related to time and cost overrun. As part of an on-going study to develop a framework for effective public procurement for the Saudi Arabian construction industry, this paper reports the initial findings of the causes of cost overruns in the context of the Gulf State. It also evaluates the interface between some of the front-end loading issues in public procurement in Saudi and their effects on project performance. A systematic review of the existing literature on construction cost overruns, with focus on the Saudi Arabian construction industry has been used. One of the initial findings is that a fixed-price contract is usually used by the client in an attempt to transfer all financial risks to the contractors. This has the unintended consequence of creating a turbulent environment for the delivery of the project which leads to project abandonment by contractors, poor quality of work and substantial rework. Further work is being undertaken to empirically verify the initial findings reported in this paper and their generalizability for the construction industry as a whole.

المؤتمر (2):

عنوان المؤتمر:

ICCPM 2016 : 2016 7th International Conference on Construction and Project Management

تاريخ الإنعقاد:

24-26 August 2016

مكان الإنعقاد:

Turku, Finland

طبيعة المشاركة:

Oral presentation

عنوان المشاركة:

Construction Projects Cost Overrun: What Does the Literature Tell Us?

ملخص المشاركة:

Construction industries have a poor reputation in terms of finishing projects on budget. Nine out of ten projects normally experience cost overrun. Different causes for cost overrun have been identified. This paper critically reviews the literature concerning cost overrun in construction projects in different countries to identify the main potential causes. 173 causes of cost overrun have been found in seventeen contexts with the main potential causes being: frequent design change, contractors’ financing, payment delay for completed work, lack of contractor experience, poor cost estimation, poor tendering documentation, and poor material management.