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Habibi, M and Kermanshachi, S (2018) Phase-based analysis of key cost and schedule performance causes and preventive strategies. Engineering, Construction and Architectural Management, 25(08), 1009–33.

  • Type: Journal Article
  • Keywords: Design; Schedule performance; Cost overruns; Delay; Estimating; Construction planning; Engineering phase; Construction phase; Procurement phase; Optimization strategies;
  • ISBN/ISSN: 0969-9988
  • URL: https://doi.org/10.1108/ECAM-10-2017-0219
  • Abstract:
    It is estimated that more than half of the construction industry’s projects encounter significant cost overruns and major delays, resulting in the industry having a tarnished reputation. Therefore, it is crucial to identify key project cost and schedule performance factors. However, despite the attempts of numerous researchers, their results have been inconsistent. Most of the literature has focused solely on the construction phase budget and time overruns; the engineering/design and procurement phase costs and schedule performances have been rarely studied. The paper aims to discuss these issues. Design/methodology/approach The objective of this study was primarily to identify and prioritize engineering, procurement and construction key performance factors (KPFs) and to strategize ways to prevent performance delays and cost overruns. To achieve these objectives, more than 200 peer-reviewed journal papers, conference proceedings and other scholarly publications were studied and categorized based on industry type, physical location, data collection and analysis methods. Findings It was concluded that both the time required to complete engineering/construction phases and the cost of completing them can be significantly affected by design changes. The two main causes of delays and cost overruns in the procurement phase are construction material shortages and price fluctuations. Other factors affecting all phases of the project are poor economic condition, equipment and labor shortages, delays in owners’ timely decision making, poor communication between stakeholders, poor site management and supervision, clients’ financial issues and severe weather conditions. A list of phase-based strategies which address the issue of time/cost overruns is presented herein. Originality/value The findings of this study address the potential confusion of the industry’s practitioners related to the inconsistent list of potential KPFs and their preventive measurements, and pave the way for the construction research community to conduct future performance-related studies.

Jacob, J and Varghese, K (2018) A framework for ad hoc information management for the building design process. Engineering, Construction and Architectural Management, 25(08), 1034–52.

Jacobsson, M and Merschbrock, C (2018) BIM coordinators: a review. Engineering, Construction and Architectural Management, 25(08), 989–1008.

Meng, J, Yan, J, Xue, B, Fu, J and He, N (2018) Reducing construction material cost by optimizing buy-in decision that accounts the flexibility of non-critical activities. Engineering, Construction and Architectural Management, 25(08), 1092–108.

Rohani, M, Shafabakhsh, G, Haddad, A and Asnaashari, E (2018) Strategy management of construction workspaces by conflict resolution algorithm and visualization model. Engineering, Construction and Architectural Management, 25(08), 1053–74.

Sawan, R, Low, J F and Schiffauerova, A (2018) Quality cost of material procurement in construction projects. Engineering, Construction and Architectural Management, 25(08), 974–88.

Sepasgozar, S M, Davis, S, Loosemore, M and Bernold, L (2018) An investigation of modern building equipment technology adoption in the Australian construction industry. Engineering, Construction and Architectural Management, 25(08), 1075–91.