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Assaad, R and El-adaway, I H (2020) Enhancing the Knowledge of Construction Business Failure: A Social Network Analysis Approach. Journal of Construction Engineering and Management, 146(06), 04020052.
Chew, Y T E, Atay, E and Bayraktaroglu, S (2020) Female Engineers’ Happiness and Productivity in Organizations with Paternalistic Culture. Journal of Construction Engineering and Management, 146(06).
Dhal, M (2020) Labor Stand: Face of Precarious Migrant Construction Workers in India. Journal of Construction Engineering and Management, 146(06).
Herrera, R F, Mourgues, C, Alarcón, L F and Pellicer, E (2020) Understanding Interactions between Design Team Members of Construction Projects Using Social Network Analysis. Journal of Construction Engineering and Management, 146(06).
Hoseini, E, Bosch-Rekveldt, M and Hertogh, M (2020) Cost Contingency and Cost Evolvement of Construction Projects in the Preconstruction Phase. Journal of Construction Engineering and Management, 146(06).
- Type: Journal Article
- Keywords: Risk management; Cost contingency; Cost estimate; Construction projects; Unknown unknowns;
- ISBN/ISSN: 0733-9364
- URL: https://doi.org/10.1061/(ASCE)CO.1943-7862.0001842
- Abstract:
The current literature discusses the methods to estimate the costs and cost contingency. The literature also distinguishes “known unknowns” and “unknown unknowns” contingencies. Little is written, however, about the evolvement of total project cost estimates during the preconstruction phase of construction projects. Moreover, not many studies are investigating the “known unknowns” and “unknown unknowns” contingencies in real construction projects. Practice expressed the need for getting more insight into the development of the estimated costs of the projects in the preconstruction phase. This paper, therefore, discusses the estimate of the total project costs (and cost contingency) in the preconstruction phases of 29 Dutch flood defense projects using a case study approach. Altogether, the projects have experienced an 11.51% increase in the estimated costs compared to the initial estimates, which is low compared to previous studies. This increase in the cost estimates of the flood defense projects can be explained by “technical” reasons. The investigation of “known unknowns” and “unknown unknowns” contingencies shows that the percentage of the “unknown unknowns” contingency has increased in the preconstruction phase while a reduction was expected. This increase suggests that the projects were not confident about their estimates and the increase can be explained by a lack of experience, organizations’ culture, or the phenomenon of “pessimistic bias.” Practitioners can avoid “pessimistic bias” behavior by asking for opinions about their estimates and using historical project data. Further research is suggested into realized cost contingency after project execution.
Jang, Y, Song, K, Park, M and Ahn, Y (2020) Classifying the Business Model Types of International Construction Contractors. Journal of Construction Engineering and Management, 146(06).
Jin, Z and Gambatese, J (2020) Exploring the Potential of Technological Innovations for Temporary Structures: A Survey Study. Journal of Construction Engineering and Management, 146(06).
Li, G, Zhang, G, Chen, C and Martek, I (2020) Empirical Bid or No Bid Decision Process in International Construction Projects: Structural Equation Modeling Framework. Journal of Construction Engineering and Management, 146(06).
Li, S, Wu, X, Wang, X and Hu, S (2020) Relationship between Social Capital, Safety Competency, and Safety Behaviors of Construction Workers. Journal of Construction Engineering and Management, 146(06).
Liang, Y, Ashuri, B and Sun, W (2020) Analysis of the Variability of Project Cost and Schedule Performance in the Design-Build Environment. Journal of Construction Engineering and Management, 146(06).
Liu, X, Wang, X, Zhao, Y and Xia, N (2020) Solving Workplace Deviant Behavior in Construction by Leader–Member Exchange and Leader–Member . Journal of Construction Engineering and Management, 146(06), 04020061.
Lu, H, Behbahani, S, Azimi, M, Matthews, J C, Han, S and Iseley, T (2020) Trenchless Construction Technologies for Oil and Gas Pipelines: State-of-the-Art Review. Journal of Construction Engineering and Management, 146(06).
Mohammadi, A, Amador-Jimenez, L and Nasiri, F (2020) Reliable, Effective, and Sustainable Urban Railways: A Model for Optimal Planning and Asset Management. Journal of Construction Engineering and Management, 146(06).
Sherafat, B, Ahn, C R, Akhavian, R, Behzadan, A H, Golparvar-Fard, M, Kim, H, Lee, Y, Rashidi, A and Azar, E R (2020) Automated Methods for Activity Recognition of Construction Workers and Equipment: State-of-the-Art Review. Journal of Construction Engineering and Management, 146(06).
Shoieb, K, Serror, M H and Marzouk, M (2020) Web-Based Tool for Interoperability among Structural Analysis Applications. Journal of Construction Engineering and Management, 146(06).
Yao, M, Wang, F, Chen, Z and Ye, H (2020) Optimal Incentive Contract with Asymmetric Cost Information. Journal of Construction Engineering and Management, 146(06).
Zhang, M, Cao, Z, Yang, Z and Zhao, X (2020) Utilizing Computer Vision and Fuzzy Inference to Evaluate Level of Collision Safety for Workers and Equipment in a Dynamic Environment. Journal of Construction Engineering and Management, 146(06).
Zhang, X and Tariq, S (2020) Failure Mechanisms in International Water PPP Projects: A Public Sector Perspective. Journal of Construction Engineering and Management, 146(06).