Durdyev, S (2021) Review of construction journals on causes of project cost overruns. Engineering, Construction and Architectural Management, 28(4), pp. 1241-1260. ISSN 0969-9988
Abstract
Purpose: The study investigates the causes of project cost overruns (COs) that have been reported in the construction-management-related articles since 1985. Design/methodology/approach: To achieve the aim and provide recommendations to avoid project COs, 48 selected journal articles were reviewed and assessed with regard to the countries, institutions and researchers that have contributed to the subject. Findings: The review of the articles shows that the subject has attracted a considerable attention from the researchers worldwide. However, the problem mainly occurred in developing countries and the researchers drew the attention on the resource-related, economic/financial as well as political problems. While 79 causes of COs were identified, the top ten causes of project COs, which have received the highest number of citations by the reviewed articles, were presented and discussed. These causes are: design problems and incomplete design, inaccurate estimation, poor planning, weather, poor communication, stakeholder's skill, experience and competence, financial problems/poor financial management, price fluctuations, contract management issues and ground/soil conditions. Research limitations/implications: The study findings have several implications, which are not only for the academic world, but also for the construction front line. For scholars, the study provides a list of project COs that the researchers in the area could benefit for their future studies. The industry practitioners could find ways to improve project cost performance by giving attention to the causative factors that are significantly affecting construction projects and investing their resources and efforts towards the most occurred ones. Originality/value: Thus, this study provides insight into the research output on the subject and a checklist of COs, which is believed to provide a better understanding of significant areas requiring attention where steps should be taken to minimize or control factors causing COs in construction projects.
| Item Type: | Article |
|---|---|
| Uncontrolled Keywords: | construction; construction planning; estimating |
| Index terms: | developing country, practitioner, construction project, financial management, estimating, construction planning, future study, weather, estimation, contract management, journal, research output, competence, methodology, overrun, project cost |
| Subjects: | production management, construction planning, research products and data, research dissemination and communication, financial and cost management, economic analysis, development economics, contract management, economics, project controls, practitioner, air quality, personnel development, research methods, research design and methodology |
| Topics: | Information Management, Business Strategy, Time Control, International Construction, Contract Administration, Roles and Professions, Sustainability, Site Management, Project Management, Research Practice, Human Resources, Cost Management |
| Descriptive scope: | 4 PCTA |
N.B. Descriptive scope is a count of how many of the five facets of empirical research are indicated by the words used in title, abstract and keywords. It is not intended as a judgement on the research; merely a count of the kind of word we would expect to indicate Phenomenon, Concepts, Theoretical framing, Empirical techniques, Analytical techniques. If all five are present, then a code of “5 PCTEA” will indicate this. If you feel the coding for this record is questionable, we welcome discussion around the terms we matched or the way we categorized them. The facet you would expect may not be coded, or a facet may be coded inappropriately. This can also bear on a larger question, of which facets should be treated as defining in construction management research. Please get in touch, and we will look at it. More details here