Home Project-material AN ASSESSMENT OF THE EFFECT OF COST CONTROL TECHNIQUES ON BUILDING PROJECT DELIVERY IN NIGERIA

AN ASSESSMENT OF THE EFFECT OF COST CONTROL TECHNIQUES ON BUILDING PROJECT DELIVERY IN NIGERIA

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Abstract

Despite the availability of various cost control techniques and assessment of the effect on building project techniques many construction projects still do not achieve their cost and time objectives. Research in this area so far has maini been devoted to identifying causes of cost and time overruns. There is limited research geared at studying factors inhibiting the ability of practitioners to effectively control their projects. To fill this gap, a survey was conducted on 250 construction project organisations in the UK, which was followed by face-to-face interviews with experienced practitioners from 15 of these oiganisations. The common factors that inhibit both time and cost control during construction projects were firstly identified. Subsequently 90 mitigating measures have been developed for the top five leading inhibiting factors-design changes, risks/uncertainties, inaccurate evaluation of project time/duration, complexities and non-performance of subcontractors were recommend

1.1       BACKGROUND OF THE STUDY

In construction almost all clients are interested in obtaining fully functional facilities completed in time, cost, quality and scope. A builder who so able to construct within the estimated time and budget, to the right standards and scope is an excellent builder. Cost control is a process where the construction cost of the project is managed through the best methods and techniques so that the cotr s nc suffer losses when carrying out the activities of the project. One of the aim of cost control is to construct at the cheapest possible costs consistent with the project objectives. Ultimately the decision of the manager that something should be done differently and the translation of that decision into practice are the actions to achieve control (Harris and McCaffer 2002).

Raina (1999) observes that it is of little use after a process has been completed to discover that its cost was actually too much. Most project managers and contractors in Nigeria find difficulty in controlling costs on their constructions sites due to a number of problems which include poor project preparation, lapse in management and control, over budgeting, poor materials, labour shortages, increased cost of materials, delays in deliveries, wastage of materials, unexpected whether changes, loss of materials, insecurity and poor communication. This results into cost and time overruns, conflicts, and sometimes abandoning projects. This study was therefore carried out to identify the cost control techniques used in Nigeria and propose effective ones to building construction parties. It specially worked at problems faced by the contractors in controlling the cost on site, studied the cost control techniques commonly used by the contractors during the construction stage and proposed remedies to be used by contractors on sites control their costs.

 

 

 

 

 

 

1.2       AIM AND OBJECTIVES

The aim of this paper is to access the effect of various cause control techniques available for use in building project delivery in Nigeria with a view to reduce their effectiveness and efficiency.

To achieve the aim the following are the set objectives

  • To access the effect of cost control techniques
  • To ascertain the importance of applying cost contol in local construction in Nigeria.

1.3       SCOPE AND LIMITATION OF THE STUDY

The project set outs to investigate of site an assessment of cost control the effect of cost control techniques on building project delivery in Nigeria.

1.4       JUSTIFICATION OF THE STUDY

Indigenous Contractors needs to focus of focus on Cost Control Techniques for Building Project in Nigeria to development and training on management skil1and ability, design quality, project communication, project with their full responsibililities in building process and delivery high quality project, within Nigeria Construction Industry.

1.5       RESEARCH METHODOLOGY

This study was carried out between July 2010 and November, 2010 mainly by means of “Questionnaire”. Data were colleted with the aid of well structured questionnaire which provided a set of alternative responses from which the respondents selected. The population of this study was made up of construction professions and technicians in the Nigeria Building Construction Industry, but it was practicable to study the building construction in Nigeria in its totality in the situation which was investigated, hence a sample of the population was taken. The sampling technique adopted for this study was the multi-stage but simple random sampling was used at each stage. The study was carried out by administering well-structured questionnaires on selected construction professionals and technicians (Builders, Quantity Surveying, Engineers, and Purchasing/supply personnel) who by position are Storekeepers/Stock Controllers, Site Supervisor, Site Quantity Surveyors, Site Engineers and Project Managers of forty-eight (48) randomly selected building conruction firms in different categories viz: small, medium and large size, located in Lagos, Oyo, Osun, Ogun and Ondo State of south western Nigeria. Ninety-six (96) construction sites being managed by these firms were considered in this study and were located, the same region.

1.6       SIGNIFICANCE OF THE STUDY

This research work will be useful for both professionals in the building industry and their clients but principally is will be more useful for students in tertiary institutions and there are lots of other benefits which cannot be measured.

However, it states vividly the cost implications of wrong device of building materials on construction project. Meanwhile it is pertinent for client to consult the professionals in the field of construction such as Architect, Civil Engineer, Quantity Surveyor, Builder, etc. so as to meet the required taste in accordance to building standards.

This project also facilitates estimation of construction project and other professional services.

More so, it helps building owners and bring into reality and assisting prospective project owners in selecting standard prospective project owners in selecting standard building materials for construction project.

1.7       DEFINITION OF TERMS

  1. TECHNIQUES: Is procedure used accomplished a specific activity or task
  2. COST: An amount that has to be paid or given up in order to get something
  3. CONTROL: Is the power to influence or direct people’s behaviour or the

course of event

  1. DEVELOPER: Person or a firm that improves raw land with labour and

capital, and arranges for utilities.

  1. BUDGET: An estimate of costs revenues, and resources over a specified

period. reflecting a reading of future.

  1. INSPECTION: Is most generally, an organized examination or formal

evaluation exercise. In engineering activities.

  1. PAUCITY: Is the present of something only in small or insufficient quantities

or amount; scarcity.

 

 

  1. CONSTRUCTION

Isic (UN 1968) defined construction as a process by which building and civil engineering works are procured, altered, repaired, maintained and demolished.

  1. PROJECT

OwunSonye (2005) defined project as a structure which are erected in accordance with idea of the designer.

  1. FLUCTUATION

Olateru (1982) defined fluctuation as change in price of building materials in upward or downward movement.

  1. BUILDING MATERIALS

Researcher defined building mate arils as the materials used in construction of building project.

  1. LABOUR

Researcher defined labour as a manual or mechanical effort of men used in execution of a project.

  1. MARKET SURVEYING

Onwusonye (2002) defined market survey as the process of visiting market in other to know the current price of building materials.

  1. MARKET SCHEDULE

The researcher defined market schedule as the result of price of building materials investigated after market survey.

 



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