Construction cost performance under quality-gated framework: The cases of Norwegian road constructions

Belay, A M and Torp, O (2023) Construction cost performance under quality-gated framework: The cases of Norwegian road constructions. International Journal of Construction Management, 23(6), pp. 1030-1043. ISSN 1562-3599

Abstract

Cost increase during the planning phase of major infrastructure projects is a crucial challenge which is typical in construction management. This research aims to provide a better understanding of the cost development of road-construction projects and enhance the knowledge on various project attributes that affect cost development. A detailed cost development study (quantitatively chart the cost- trends) and analysis on cost departures at each key-milestone starting from the initial to the final cost is conducted. The impact of different project attributes/settings (size, location, and quality assurance) on cost development are investigated. The research used a dataset of 110 projects from the last two-decades and analyzed using various statistical tests such as trend-analysis, probability-plots, and cost development over-time at the different project milestones. The results showed a decrease in cost-deviation after quality assurance scheme implemented (except few projects). The overall cost development showed an average increase of 5%. The research found different project-setting affect cost development at different magnitude. It provides new insight for construction managers, quality assurers, and cost-estimators to consider different project settings at the early-phases of the project. It helps to understand the individual and combined effects of project-settings and enable decision-makers to act proactively in cost decisions.

Item Type: Article
Uncontrolled Keywords: cost development; infrastructure; project setting; quality assurance; trend analysis
Index terms: statistical test, dataset, construction manager, estimator, cost increase, construction project, quality assurance, infrastructure project, road construction, deviation, construction cost
Subjects: civil engineering, economics, production management, data management, statistical analysis, quality assurance, infrastructure and transport systems, profession, financial and cost management
Topics: Quality Management, Digital Applications, Engineering Principles, Research Practice, Project Management, Cost Management, Roles and Professions
Descriptive scope: 3 PCA

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