Analysis of delays in Tanzanian construction industry

Abstract

Purpose The purpose of this paper is twofold: first, to develop theoretical underpinnings using TCE, and second, to run the analysis using an advanced tool such as structural equation modeling (SEM). Design/methodology/approach This study was conducted in the construction industry in Tanzania. A questionnaire-based survey method was used. A total of 308 respondents participated in the study. The relationships between the cause and effect factors were analyzed using SEM. Findings The important findings are as follows:cost overrun can be explained by consultant-related and material-related factors; disputes can be explained by cost overrun; arbitration can be explained by consultant-related, cost overrun, and dispute factors; litigation can be explained by client-related, disputes, and arbitration factors; and abandonment can be explained by consultant-related, external-related, disputes, arbitration, and litigation factors. Originality/value The main contributions of this study are theoretical development and comprehensive analyses of “cause” and “effect” factors of delays in the construction industry.

The Moderating Effect of Project Risk Response-Related Measures on the Relationship Between Project-Related Delay Factors and Construction Project Performance

“…Any rise in transaction costs along the project's life cycle without proper mitigation management would lead to cost overruns. Sambasivan et al (2017) revealed the delay influencing factors in construction project activities holding the main role as transaction partners when dealing with time and cost overrun. Therefore, a collective of studies on delay issues has been collected and summarized in Table 1 to understand its causes and effects.…”

“…Moreover, external or environmental factors also influence the performance of a project and making it difficult for the construction managers to complete their project on time and within the stipulated cost. Basically, Sambasivan et al (2017) revealed that the causes of delay are actually the outcomes of uncertainties (i.e. poor governance structure, weather, acts of nature, improper tool or techniques selection for time and cost estimation), bounded rationality (i.e.…”

“…Research frameworkProject-Related Delay Factors and Project PerformanceStudies across the globe have attained a saturation point in investigating the impact of project-related delay factors on project performance that is associated with time and cost performance(Yap et al, 2018). The delay issues in the global construction industry remained an omnipresent problem due to the rise in the transaction cost(Sambasivan et al, 2017).Zailani et al (2016) formed a central focus on project-related delay factors by identifying coordination-, resources-, and environmental-related factors as the major causes of delay since they can reflect in terms of functionality, controllability, and intra-and inter-organizational. The coordination-related factors deal with the client-, contractor-, consultant-, and contract management style towards mutual objectives (Malone & Crowston, 1994, Sambasivan & Soon, 2007), meanwhile the resources-related factors can be defined as a process of managing four major inputs, namely, labours, materials, equipment and financing for project accomplishment (Nagaraju et al, 2012).…”

Risks in Prefabricated Buildings in China: Importance-Performance Analysis Approach

“…Meanwhile, the construction industry has been reported as one of the dangerous industries due to poor safety performance [4,5]. In addition, delays and cost overruns are very common in construction projects [6,7]. As a result, a number of initiatives have been introduced to minimize the negative environmental impacts of construction activities, e.g., waste, emissions, and to improve the safety, time, and cost performance.…”

22 Years of Governance Structures and Performance: What Has Been Achieved in Agrifood Chains and Beyond? A Review

“…Therefore, transaction cost economics (TCE) is mainly concerned with alternative institutional arrangements, particularly aligning governance structures with transactions [28]. TCE has been widely applied in buyer-supplier relationships in industrial marketing, management, and strategic business research [8,[29][30][31]. In agrifood chains, TCE has been presented by Sporleder [32], Henderson [33], Schulze and Spiller [34], Banterle and Stranieri [35], and most recently by Wever and Wognum [36] and Kilelu and Klerkx [37], in the context of chain management [38,39].…”