ANALYSIS OF FACTORS CONTRIBUTING TO DELAY IN BUILDING CONSTRUCTION PROJECT
{CASE STUDY OF OKEHI LOCAL GOVERNMENT}
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INTRODUCTION
1.0 BACKGROUND OF THE STUDY
The construction industry occupies a focal position in a nation economy. It is an essential contribution to the process of development. It is a sub-sector of the economy that creates basic infrastructures needed to accommodate of all other sectors. Olalooku (1987) state that in Nigeria, the construction industry contributes about 5% to the Gross Domestic Product (GDP). Kazie (1987) affirmed that it constitute about 50% of Nigerian government expenditures. The construction industry is crucial in national development.
The two major factors normally considered from inception of a project are cost and completion period. According to Chan and kumaraswamy (1995), completion of project on time is an indication of an efficient and effective construction management. They further started that a project completed on time within budget and to the specified quality is considered successful.
Construction industry in Nigeria is faced with a lot of problems, among which is delay in project execution. Delay in the execution of building projects has been found to be a major setback in the construction industry in Nigeria. Based on the crucial position of the construction industry in the nation’s economy; it becomes necessary to improve efficiently in terms of productivity and management of this section. For the owner, delay means that the asset cannot be used when intended, causing alternative accommodation costs to be incurred or delay receiving income from the assets costs of financing the project could increase, and depending upon the contractual allocation of risk and the events causing the delay, the delay could give rise to claims by the contractor.
For the contractor, a delay means an increase in overheads, such as site staff and facilities, potential liabilies to the supply chain and depending on the reason for the delay, it can mean a liability for delay damages to the owner. The delayed recovery of payments and tie up of resources in the project can also created cash flow problems and the risk of insolvency (Morris, 2007).
For investment purpose; delay in a project execution is a major problem. This is because every purchase of real property is an investment and the essential nature of an investment is the release of capital sum in return for income to be received over a period of time. There has been a trend in recent years for client to include in construction contract liquidated damages.
Construction loans attract a very high rate of interest and as a results construction project ought not to be delayed for even one day. This is because delay has made contractors to pay more in retaining items such as plants and equipments on site, and salaries of key staff on site.
1.1 PROBLEM OF THE STUDY
The problem of project delay is a fact that occurs mostly in building construction project. Delay are always measure as expensive to all parties concerned in the projects and very often it will result in clash, claims, total desertion and much difficulties for feasibility and it slow the growth of building construction firm. The most common problem of delay in building project are natural disaster or force majeure e.g earthquake, flood and some other problem like financial and payment problem, improper planning, poor site management, insufficient experience etc These problem lead to the need of the study.
1.2 SIGNIFICANT OF THE STUDY
In becomes vital to improve efficiently in terms of productivity, good planning, selecting sound and experience contractor and proper management of any building construction project so as to complete the project within the stipulated time.
1.3 AIM AND OBJECTIVE OF THE STUDY
1.3.1 AIM OF THE STUDY
The aim of this study is to identify the causes and the effect of delay in building construction projects and to suggest possible solutions of eradicating or minimizing them.
1.3.2 OBJECTIVE OF STUDY
The specific objectives of this study are;
I. To identify the major causes of delay in building construction project
II. To evaluate the effect of delay on construction project.
III. To examine the strategies for improving project delivery base on the finding of this study.
1.4 METHODOLOGY
In order to achieve the objectives of this study, the work was pursued through the following;
1.4.1 LITERATURE REVIEW
Relevant literature were reviewed from textbook, journal, past project, internet material etc so as to articulate existing knowledge on causes of delays in building project.
1.4.2 FIELD SURVEY
Primary data were collected using structured questionnaire as the instrument of the study to professional in construction firm. The questionnaires consist of section A and B. section A was use to generate data on respondents profile while section B was to generate data on causes of delay in building construction projects.
1.4.3 DATA ANALYSIS
Data analyses were undertaken using descriptive. Table, means, percentages, likert scale frequency were used to express the statistical result.
1.5 SCOPE AND LIMITATION OF THE STUDY
The study focused on the causes of delay in building project and also to suggest the ways to prevent or reduce them. The study covered a selected building construction firm and some individual in Okehi, Kogi state. Also, the study was limited to only building construction project
