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ENVIRONMENTAL FACTORS INFLUENCING CONSTRUCTION TIME AND COST OVERRUNS ON HIGH-RISE PROJECT IN NIGERIA

ENVIRONMENTAL FACTORS INFLUENCING CONSTRUCTION TIME AND COST OVERRUNS ON HIGH-RISE PROJECT IN NIGERIA

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ENVIRONMENTAL FACTORS INFLUENCING CONSTRUCTION TIME AND COST OVERRUNS ON HIGH-RISE PROJECT IN NIGERIA

 

Introduction

Construction time: The Nigerian construction sector contributes less to the country’s GDP than manufacturing or other service industries. Officially, building accounted for only 5.5% of yearly GDP in 1993 (Langdon, 1994). The Indonesian construction industry’s growth has significantly impacted the country’s economy.

Construction, as defined in industrialised countries (Hillebrandt, 1985), is distinguished by its ability to encourage the expansion of other economic sectors. As a result, focussing solely on the expansion of the building industry in terms of its contribution to GDP is rather misleading: it understates the critical role that construction plays.

As a result, enhancing construction efficiency through cost-effectiveness and punctuality will undoubtedly contribute to overall cost savings for the country.

Efforts aimed at cost and time-effectiveness were linked to time and cost management, which was approached in this study by studying time and cost overruns in Nigerian highrise building.

Indonesia, like other developing countries like Nigeria (Okpala and Aniekwu, 1988; Elinwa and Buba, 1993; Manseld et al., 1994), Saudi Arabia (Assaf et al., 1995), and Malaysia (Yong, 1988), experiences construction delay and expense overruns. This paper’s intentions are as follows:

1. Identify variables influencing construction time and cost overruns. 2. Group these variables into components. 3. Analyse the relationships between these factors to improve knowledge of construction delays and cost overruns.

Although the research focusses on Nigeria, the findings should be applicable to all developing countries because they experience comparable challenges in terms of time and cost overruns on building and infrastructure development projects (Morris and Hough, 1987).

Construction Management and Economics (1997) 15: 83–94. Factors contributing to construction delay and expense overruns for high-rise projects in Nigeria.

Causes of Time and Cost Overruns

Antill and Woodhead (1989) identified three types of time overruns or delays:

There are three types of contract clauses: those over which neither party has control, those over which the construction owner or their representative has power, and those over which the contractor or subcontractor has control.

It is usually accepted that type 1 delays are part of the contractor’s routine and justifiable financial

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