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Article
Publication date: 17 June 2020

Johnson Adafin, James O.B. Rotimi and Suzanne Wilkinson

There has been a lack of research, particularly within the New Zealand (NZ) context, focusing on the identification and assessment of risk factors for construction projects…

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Abstract

Purpose

There has been a lack of research, particularly within the New Zealand (NZ) context, focusing on the identification and assessment of risk factors for construction projects, leading to a wide variation between design-phase elemental cost plans (ECPs) and the outturn tender sums (OTS). Still to be investigated is how risks interact to produce such variability. This study aims to determine the risk-influencing factors, identified through risk measurement, during design development.

Design/methodology/approach

This study adopted literature review and online questionnaire survey. The literature review was used to identify the factors affecting project budgetary performance, which was used to design the questionnaire survey culminating in data analysis. The questionnaire was administered to 64 practising project managers (PMs) in NZ. Their responses were analysed using descriptive statistics, mean ranking analysis, degree-of-risk measure and correlational analysis, to find the top-five risk factors impacting the variability observed, through ranking the mean and degree of risk values that produce such variability.

Findings

Significant risk factors were identified from the questionnaire survey analysis, such as changes in project owner/stakeholder requirements, experience of project team, site condition information, competency of consultants and information flow and quality. These provided some insights in explaining the variability between the design-phase ECPs and OTS based on risk impacts from PMs’ viewpoints.

Research limitations/implications

Findings revealed a drift of 23.86% in budgeted costs (inflated risks), which seems significant. Prioritising top risk factors may provide handy information for researchers on the variables that could be relied upon for the development of a forecasting model for application in NZ.

Practical implications

The study findings have implications for PMs seeking to provide information on mitigation strategies by using risk management approach, considering the influence of development risks on building project delivery and, consequently the project owner’s financial position. To guard against wide variation between design-phase ECPs and OTS, the main contribution of this study is to raise consultants’ awareness of the important risk factors for their planning at the outset, thus assisting PMs in pro-actively managing their clients' budgets.

Originality/value

This study creates value by synthesising literature on construction project budgeting and highlighting areas for further research. By giving adequate attention to key risks associated with budget overruns in commercial projects, variability between ECPs and OTS, a common phenomenon in NZ, can be controlled to achieve cost savings. Based on this, further study suggests the development of a model that could assist the stakeholders in NZ to more reliably predict OTS from the design-phase ECP and pro-actively avoid unfortunate budget/cost overruns, disputes and even project abandonment.

Details

Journal of Engineering, Design and Technology , vol. 19 no. 1
Type: Research Article
ISSN: 1726-0531

Keywords

Article
Publication date: 23 November 2021

Olufisayo Adewumi Adedokun, Temitope Egbelakin, Deborah Oluwafunke Adedokun and Johnson Adafin

Despite the huge capital outlay in tertiary education building projects (TEBP), these projects undoubtedly failed in meeting the set objectives of cost, time and quality, among…

Abstract

Purpose

Despite the huge capital outlay in tertiary education building projects (TEBP), these projects undoubtedly failed in meeting the set objectives of cost, time and quality, among others. Therefore, rather than the impacts of risks on the overall project performance, which is common in the construction management literature, the purpose of this study is to assess the impacts of risk factors on the criteria for measuring the success of public TEBP.

Design/methodology/approach

The paper adopted a quantitative research method where the data collection was via a questionnaire survey. The researcher administered 452 questionnaires to the client representatives, consultants and contractors involved in building projects across five public tertiary education institutions in Ondo State, Nigeria. Of 452 questionnaires, 279 were retrieved and suitable for the analysis, translating to a 61.73% response rate. The reliability analysis of the research instrument showed 0.965 and 0.807, via Cronbach’s alpha test, indicating high reliability of the instrument used for data collection.

Findings

The study found different risk factors affecting the criteria for measuring the success of TEBP. For instance, the environmental risk factor significantly impacted completion to cost, while financial and political risk factors significantly impacted completion to time. In addition, while environmental, legal and management risks significantly impacted end-user satisfaction, safety performance was significantly impacted by logistic, legal, design, construction, political and management risks. Besides, the logistic, legal, design, construction, financial, political and management risk factors impacted profit. However, despite profit being one of the criteria for measuring the success of building projects, it recorded the highest risk impacts amounting to 41% variance.

Research limitations/implications

The findings are limited to the public tertiary education building projects procured via competitive tendering; therefore, the results might differ when considering other procurement methods.

Practical implications

The practical implication is that rather than focusing on all risk factors, the project stakeholders could give adequate attention to the significant risk factors impacting each of the parameters for measuring the success of education building projects.

Originality/value

The study revealed specific risk factors impacting the criteria for measuring the success of TEBP, which extend beyond the use of the overall project performance approach.

Details

Journal of Engineering, Design and Technology , vol. 21 no. 6
Type: Research Article
ISSN: 1726-0531

Keywords

Article
Publication date: 22 June 2021

Johnson Adafin, Suzanne Wilkinson, James O.B. Rotimi, Casimir MacGregor, John Tookey and Regan Potangaroa

This study aims to examine how innovation can be accelerated within the New Zealand (NZ) building industry to improve the productivity and efficiency of the industry.

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Abstract

Purpose

This study aims to examine how innovation can be accelerated within the New Zealand (NZ) building industry to improve the productivity and efficiency of the industry.

Design/methodology/approach

The study adopted a mixed philosophical approach combining interpretivism and post-positivism. Data for the study were obtained through a focus group of 50 practitioners that were selected using a stratified sampling procedure. All focus group data were audio-recorded, notes of the discussions were taken and then transcribed, de-identified and managed using NVivo software. Data analysis was undertaken using thematic analysis and inductive reasoning consistent with interpretative phenomenological analysis.

Findings

The study findings revealed that the industry could benefit from the adoption of new and emerging technologies to improve its performance, especially its productivity and efficiency. Key drivers for the adoption of innovative practices included the adaptation of “local best practices” from case studies that would consist of stories of successful innovations that could foster confidence in future innovation. It was also identified that Government and industry should nurture innovation through collaborative contracts, policies and regulations. Further, it was highlighted that a culture of innovation needed to be developed to help nurture competencies and capability within the industry workforce.

Research limitations/implications

This study provides an in-depth examination of the need for innovation from the point of view of building industry practitioners. This study provides a useful starting-off point for further research and for the creation of policies that could help to support and accelerate innovation within the NZ building industry.

Practical implications

NZ’s building industry productivity and efficiency have been sub-optimal relative to other industries. But using evidence from the experiences and knowledge of industry practitioners, strategies can be developed to accelerate innovation within the NZ building industry that could help reverse industry performance. Further, the research findings can help inform government policies to develop support mechanisms that could encourage innovation in the industry in NZ. In addition, it is anticipated that the findings will provide a useful set of guidance for other countries that have similar market and physical constraints as those encountered by NZ.

Originality/value

There is a dearth of empirical studies on innovation in the NZ building industry which the current study contributes to. By sharing industry practitioners’ experiences and knowledge of innovation, the paper seeks to counteract more technocratic and technological optimist accounts of innovation within the building industry. Further, the paper provides insights into how the NZ building industry can transform its performance through innovation.

Details

Construction Innovation , vol. 22 no. 1
Type: Research Article
ISSN: 1471-4175

Keywords

Article
Publication date: 3 August 2015

Johnson Adafin, James O.B. Rotimi and Suzanne Wilkinson

The aim of this study is to investigate the reasons for disparity between design stage elemental cost plan and final tender sum (contract sum) in building procurement. A number of…

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Abstract

Purpose

The aim of this study is to investigate the reasons for disparity between design stage elemental cost plan and final tender sum (contract sum) in building procurement. A number of risk factors responsible for such variation were identified through case study projects from which data were extracted.

Design/methodology/approach

Literature review determined the risk factors inherent in the preparation of design stage elemental cost plan. Interviews and thematic analysis identified the risk factors responsible for the disparity between design stage elemental cost plans and final tender sums. Analysis of documents obtained from the archives of study participants (consultant quantity surveyors) complemented responses from the interviews.

Findings

The review revealed a number of inherent risks in the design stage elemental cost plan development. The interviews further indicated that risks have an impact on and are responsible for the deviations experienced. The assessment of these risk elements could assist in determining the final tender sum from cost plans.

Research limitations/implications

Findings revealed disparity between elemental cost plans and final tender sums in the region of −14 and +16 per cent. The risk factors identified were responsible for the deviations observed. With this information, Quantity Surveyors are more able to accurately forecast final tender sums of building projects from cost plans through proper risk identification and analysis, thus increasing the accuracy of design stage elemental costing.

Originality/value

To the best of the knowledge of the researchers, there is no recent documentary evidence of an investigation into the reasons for disparity between design stage elemental cost plan and final tender sum in traditional building procurement in New Zealand construction.

Details

Journal of Financial Management of Property and Construction, vol. 20 no. 2
Type: Research Article
ISSN: 1366-4387

Keywords

Article
Publication date: 28 June 2023

Chinthaka Niroshan Atapattu, Niluka Domingo and Monty Sutrisna

Cost overrun is one of the critical issues faced in construction projects, as nine out of ten projects will likely go over the budget. In particular, transportation infrastructure…

Abstract

Purpose

Cost overrun is one of the critical issues faced in construction projects, as nine out of ten projects will likely go over the budget. In particular, transportation infrastructure (TI) projects, such as roads and bridges, are vastly affected by cost overruns, which can delay the entire project. This research intends to identify the factors affecting the cost overruns in New Zealand (NZ) TI projects.

Design/methodology/approach

The research was conducted using a questionnaire survey involving ninety-two participants experienced in infrastructure project estimation in NZ. Quantitative methods were used to analyse the data.

Findings

Fifty-three factors were identified through literature under ten categories. Based on the survey, ten significant factors were identified with a high grade of importance. The three most critical factors were “frequent design changes,” “poor planning and scheduling” and “inadequate tender documentation.” It was found that the cost overrun is primarily affected by the pre-contract stage causes.

Research limitations/implications

The data were collected from professionals involved in NZTI projects. Therefore, the implications may be different for other contexts.

Practical implications

The results will improve the current estimation practice by developing a new statistical model considering all the significant variables for NZTI projects.

Originality/value

Although much research is done to identify these factors, they are only considered in a few statistical cost models. These new statistical models mainly focused on technical variable factors similar to the current standard estimation process. However, the results of this research, qualitative and quantitative factors, will be used for the future cost model.

Details

Built Environment Project and Asset Management, vol. 13 no. 5
Type: Research Article
ISSN: 2044-124X

Keywords

Article
Publication date: 4 May 2022

Jakob Brinkø Berg, Christian Thuesen and Per Anker Jensen

Efficient and effective knowledge transfer is important in complex building renovation projects. The addition of sustainability requirements in building renovation adds…

Abstract

Purpose

Efficient and effective knowledge transfer is important in complex building renovation projects. The addition of sustainability requirements in building renovation adds complexity. This paper aims to investigate the development of innovative public procurement schemes to support sustainable building renovation projects. These blueprints for procurement innovation can support similar efforts in other countries.

Design/methodology/approach

This study is based on a longitudinal case study using interviews with primary stakeholders and workshops with industry practitioners to supplement the analysis of public tender documents from the Danish public building clients.

Findings

The key tenants of the Danish model for strategic partnerships are a single strategic partner, systematic conflict resolution, framework agreements, risk management and joint educational programs. Three phases in the development of the procurement scheme are identified: experiment, definition and replication.

Originality/value

Strategic partnerships and other types of relational contract schemes are not very prevalent in most countries. How these contracts are developed and defined is not well understood. This paper shows how one such contracting scheme is developed, how it is defined and replicated.

Details

Construction Innovation , vol. 23 no. 3
Type: Research Article
ISSN: 1471-4175

Keywords

Article
Publication date: 3 August 2015

Gary D. Holt, Akin Akintoye and Peadar T. Davis

This paper aims to analyse the characteristics of papers published in the Journal of Financial Management of Property and Construction (JFMPC) for the period 2010-2015 (Volumes…

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Abstract

Purpose

This paper aims to analyse the characteristics of papers published in the Journal of Financial Management of Property and Construction (JFMPC) for the period 2010-2015 (Volumes 15.1-20.1 inclusive), to consider characteristics and recent trends among said publications and to discuss possible future directions in the subject field.

Design/methodology/approach

Descriptive statistics and qualitative content analysis via word count frequencies.

Findings

Eighty papers were published by a combined group of 216 authors. Lead authors were from a total of 50 academic and five private organisations. Sixty-seven papers were multi-authored, 10 of which were multi-national. Eighty-six papers were classified as research papers, 5 per cent were conceptual, 4 per cent general review, 2.5 per cent technical, 1.3 per cent case study and 1.3 per cent viewpoint. There were 46,251 downloads of these papers, which when time-adjusted, represented an average of 64 downloads per paper, per issue of availability on the Web. Most popular keywords were “construction”, “industry”, “project” and “private”. Among all keywords, the most popular themes were countries, organisations, miscellaneous and business.

Research limitations/implications

Analysis highlights previous trends and possible future research themes.

Originality/value

The findings are unique to JFMPC and therefore novel/new.

Details

Journal of Financial Management of Property and Construction, vol. 20 no. 2
Type: Research Article
ISSN: 1366-4387

Keywords

Article
Publication date: 29 August 2023

Ayesh Udayanga Nelumdeniya, B.A.K.S. Perera and K.D.M. Gimhani

The purpose of this study is to investigate the usage of digital technologies (DTs) in improving the mental health of workers on construction sites.

Abstract

Purpose

The purpose of this study is to investigate the usage of digital technologies (DTs) in improving the mental health of workers on construction sites.

Design/methodology/approach

A mixed research approach was used in the study, which comprised a questionnaire survey and two phases of semi-structured interviews. Purposive sampling was used to determine the interviewees and respondents of the questionnaire survey. Weighted mean rating (WMR) and manual content analysis were used to rank and evaluate the collected data.

Findings

The findings of this study revealed bipolar disorder, anxiety disorders, attention-deficit/hyperactivity disorder, obsessive-compulsive disorder, work-related stress and depression as the six most significant mental disorders (MDs) among the construction workforce and 30 causes for them. Moreover, 27 symptoms were related to the six most significant MDs, and sweating was the most significant symptom among them. Despite that, 16 DTs were found to be suitable in mitigating the causes for the most significant MDs.

Originality/value

There are numerous studies conducted on the application of DTs to construction operations. However, insufficient studies have been conducted focusing on the application of DTs in improving the mental health of workers at construction sites. This study can thus influence the use of DTs for tackling the common causes for MDs by bringing a new paradigm to the construction industry.

Details

Construction Innovation, vol. ahead-of-print no. ahead-of-print
Type: Research Article
ISSN: 1471-4175

Keywords

Article
Publication date: 4 May 2023

Xichen Chen, Alice Yan Chang-Richards, Tak Wing Yiu, Florence Yean Yng Ling, Antony Pelosi and Nan Yang

With growing concern about sustainable development and increased awareness of environmental issues, digital technologies (DTs) are gaining prominence and becoming a promising…

Abstract

Purpose

With growing concern about sustainable development and increased awareness of environmental issues, digital technologies (DTs) are gaining prominence and becoming a promising trend to improve productivity, sustainability and project performance in the construction industry. Nonetheless, the uptake of DTs in the construction industry has been limited and plagued with roadblocks. This study aims to identify critical barriers for construction organisations to adopt DTs and to demonstrate relationships between organisational characteristics and the perceived DTs adoption barriers.

Design/methodology/approach

This study adopted an explanatory sequential design by combining the advantages of quantitative and qualitative data. Data collection methods include literature review, a pilot study, questionnaire survey, and semi-structured interviews. Questionnaire data were analysed by using SPSS and multivariate regression technique. The interview data were processed by using content analysis to validate and supplement findings from the questionnaire.

Findings

Based on the survey and interview results, eight critical barriers were identified: the three top critical barriers are (1) “status quo industry standards”, (2) “lack of client interest” and (3) “lack of financial need/drive for using DTs”. The eight critical barriers were further classified into technical, environmental, and social dimensions to determine the major constructs that hinder DTs adoption. A theoretical framework articulating critical barriers with underlying components and root causes was also proposed. Furthermore, by using multivariate regression analysis, a model was developed to link the organisational characteristics with barriers to DTs adoption.

Practical implications

By referring to the framework and the model developed, academics, industry practitioners, and decision makers can identify pivotal areas for improvement, make informed decisions and implement remedial measures to remove the barriers to digitalisation transformation.

Originality/value

This study contributes to the literature on construction innovations by investigating barriers to DTs adoption holistically as well as perceptions of the impact of organisational attributes on these barriers. It establishes the groundwork for future empirical research into the strategic consolidation of movement of DTs adoption and diffusion.

Details

Engineering, Construction and Architectural Management, vol. 31 no. 11
Type: Research Article
ISSN: 0969-9988

Keywords

Article
Publication date: 28 June 2022

Andrew Thomas Hall, Serdar Durdyev, Kerim Koc, Omer Ekmekcioglu and Laura Tupenaite

Building information modeling (BIM) is a prominent concept to digitalize data collection and analysis processes. Small and medium-sized enterprises (SMEs) account for a…

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Abstract

Purpose

Building information modeling (BIM) is a prominent concept to digitalize data collection and analysis processes. Small and medium-sized enterprises (SMEs) account for a considerable percentage of the works performed in the construction industry. The adoption rate of BIM by SMEs is still, however, not at the desired level in the New Zealand construction industry. This study aims to evaluate barriers to BIM implementation for SMEs in the New Zealand construction industry.

Design/methodology/approach

This study adopted four-step methodology to evaluate barriers to BIM adoption for SMEs. First, a comprehensive literature review, followed by a focus group discussion was performed to identify barriers to BIM adoption. Then, analytical hierarchy process (AHP) was used to assess identified barriers. Finally, experts’ agreements (both internal and external) were ensured by consistency analysis and Kendall’s coefficient of concordance (Kendall’s W) tests.

Findings

The findings indicate that (1) interoperability between software platforms, (2) lack of government mandate on BIM usage at project level, (3) high cost of acquiring the software and licensing required to use BIM and (4) lack of client demand for adopting BIM were the most significant barriers in terms of technological, governmental, resource and cultural categories, respectively. Further investigation of the expert evaluation showed strong consistencies (each expert separately) and agreements (among experts) in each AHP matrix.

Practical implications

Primary focus should be training of local market (particularly SMEs) professionals as the shortage in qualified professionals makes the country-wide adoption challenging. The publicity in the local market can help SMEs understand how BIM is leveraged for further improvements in project performance.

Originality/value

Overall, this research not only provides a roadmap for the widespread adoption of BIM within SMEs in New Zealand through analysis of the barriers encountered but also highlights the power that policymakers hold over the mass adoption of BIM within SMEs.

Details

Engineering, Construction and Architectural Management, vol. 30 no. 9
Type: Research Article
ISSN: 0969-9988

Keywords

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