Significant Factors Causing Delay and Cost Overruns in Construction of Groundwater Projects in Ghana

Abstract

In groundwater construction projects, many variables affect construction schedule and cost overruns. This paper aims to examine and evaluate the relative importance of the main factors that cause delay and cost overruns in groundwater construction projects. In order to identify these factors, a questionnaire survey was conducted. Questionnaires were sent to professionals involved in groundwater construction projects in Ghana. The data was analyzed and ranked, based on the profession of the respondents and their roles in the industry (i.e. owners, contractors and consultants). The questionnaire survey consisted of 49 factors which were grouped into nine major categories, and the level of importance of the categories was measured and ranked by the relative importance weights. The percentage agreements in ranking among the three groups were measured. The results shows that: (1) the surveyed groups generally agreed that the project financing category is the main reason for groundwater construction delay and cost overruns, whereas the labor category is the least; (2) owners, consultants and contractors substantially agree on the ranking of the major categories of delay and cost overruns factors. The paper concludes that all the three groups felt that project financing, micro-economics, natural conditions and materials factor categories play a predominant role in causing delay and cost overruns to groundwater construction projects.

Delays in Building Construction Projects in Ghana

“…This result agrees with Frimpong and Oluwoye (2003) who found that financial problems are the main factors that cause delay in the construction of groundwater projects in Ghana. Financial difficulties have also been identified as the first major factor causing delay in construction projects in Malaysia (Alaghbari et al 2007, Assaf et al 1995.…”

“…It is endemic and its economic and social impact is often discussed. However, studies on the causes could not be found in the published literature except the study by Frimpong and Oluwoye (2003) which investigated the significant factors that cause delay and cost overruns in the construction of underground projects in Ghana. They reported that to a large extent, consultants, owners, and contractors agreed that project financing, economic and natural conditions and material supply were the four major categories of causes of delay and cost overrun factors.…”

Financial-related causes contributing to project delays

“…Most of the survey results ( Al-Khalil and Al-Ghafl y, 1999 ;Frimpong and Oluwoye, 2003 ) show that fi nancial problem is one of the main causes of delays. Although the problem of delays looms large in the local construction industry, no attempt has been made to identify the root causes of fi nancial-related problems.…”

Impacts of the Financial Factors on Schedule Delays Risk of the International Contracting Projects: Evidence from Highway BOT Pro-jects in Vietnam

“…Scholars have done a lot of research on the cause of this problem, pointing out that financial factor is one of the main reasons affecting the construction progress. Research has shown that financial factor is one of the main reasons for delays of engineering construction progress and cost overrun in Ghana [7]. In Thailand, survey and design, the contractor and the relevant factors of supervision are the important factors influencing the large engineering project delays, of which the lack of resources, such as the contractor's financial difficulties matters a lot [8].…”