Cost Over-Run in Civil Works: A Case-Study of Engineering, Procurement and Construction (EPC) Gas Depot Construction Projects in Nigeria

Ogbu, Chukwuemeka Patrick; Ehigiator-Irughe, R.

doi:10.24018/ejgeo.2020.1.4.54

Cited by 2 publications

(2 citation statements)

References 20 publications

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“…The SL CI also suffers from these problems [16]. Among those problems, the inability to achieve employer satisfaction is the most profound problem [20]. Therefore, for a construction project to be successful in satisfying the employer, it should achieve the three thresholds of sustainable project management: time, cost, and quality [15].…”

Section: Problems In the Construction Industry Due To The Procurement...mentioning

confidence: 99%

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Lean Integrated Project Delivery for Construction Procurement: The Case of Sri Lanka

et al. 2022

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The choice of proper procurement methods has an impact on the overall productivity and sustainability of construction projects. The current procurement methods have alerted the construction industry (CI) due to the exacerbating fragmentation among parties and the resulting low level of productivity. Therefore, introducing a new procurement system to eliminate the above challenges is imperative to the CI. Therefore, this research investigated the applicability of lean integrated project delivery (LIPD) as a construction procurement system and developed a framework for its successful implementation. A qualitative exploratory approach was adopted, informing an interpretivism stance. Accordingly, semi-structured interviews with 15 Sri Lankan (SL) CI experts were conducted to determine the applicability of the LIPD concept in a real-life CI context. Qualitative content analysis was used to analyse the collected data. This research identified the significance of LIPD compared to existing procurement methods, which may contribute to the long-term planning and management practices in the CI. However, the findings elicited several barriers that could hinder successful LIPD implementation. As a result, some of the strategies discovered include providing LIPD training and awareness, obtaining expert support, and encouraging professionals. This is the first study of its kind to reveal a LIPD framework in a developing country like SL without restricting itself to a specific construction type. Therefore, this study is expected to impact the global CI by paving the way for LIPD as a new procurement system to improve the performances of similar CIs in developing countries across the world.

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Section: Problems In the Construction Industry Due To The Procurement...mentioning

confidence: 99%

“…Conflicts and disputes [65] Constructability issues [20] Over budgeting [15] Time-consuming [15] Many change orders [41] Lack of transparency [9] Low level of efficiency [19] Low level of productivity [19] Price fluctuation issues Not referred…”

Section: Literature Reference Identified By Respondentsmentioning

confidence: 99%

Lean Integrated Project Delivery for Construction Procurement: The Case of Sri Lanka

et al. 2022

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Evaluation Cost Over-Run in Construction of CFSPP EPC Contract:

Haryono,

Silviana,

Setyo Huboyo

2023

JPII

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Coal Fired Steam Power Plant (CFSPP) Project is a complex project that requires multidisciplinary knowledge in its implementation. As a result, cost overruns often occur in its implementation. In Indonesia, most power plant projects are using EPC contracts (Engineering, Procurement, and Construction). The contractor is fully responsible for any failures that may occur during the work implementation period. The aim of this study is to compare the realization of completion costs for CFSPP projects with Bill of Quantity (BoQ) and the factors that influence deviations. This research was conducted qualitatively based on the data obtained. Deviations are calculated based on the difference between completion costs and BoQ. Discussions and interviews were conducted with Project Managers and Site Commercial and Risk Managers who were directly involved in construction phase to determine the causes of cost overruns. The result is that the actual cost incurred in the CFSPP project is 3x the cost listed in BoQ. There are cost overruns in each work group including Civil Works, Mechanical Works, Electrical Works and Others Works. Indirect cost realization is 29.84% of total completion cost. The factors that influence cost overruns are: (i) Contractors do not understand the details of the work to be done, (ii) Changes in design and (iii) Realization volume exceeds initial planned volume. The results of this study are expected to be input in preparing owner estimate for CFSPP projects and adding new risk factor lists in CFSPP during construction phase.

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Cost Over-Run in Civil Works: A Case-Study of Engineering, Procurement and Construction (EPC) Gas Depot Construction Projects in Nigeria

Cited by 2 publications

References 20 publications

Lean Integrated Project Delivery for Construction Procurement: The Case of Sri Lanka

Lean Integrated Project Delivery for Construction Procurement: The Case of Sri Lanka

Evaluation Cost Over-Run in Construction of CFSPP EPC Contract:

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