Perceived claim sources in the Nigerian construction industry

Olanrewaju, A A and Anavhe, P J (2014) Perceived claim sources in the Nigerian construction industry. Built Environment Project and Asset Management, 4(3), pp. 281-295. ISSN 2044-124X

Abstract

Purpose – With the increase in the cases of construction claims in Nigeria, many projects have remained uncompleted, while many of those completed receive poor client satisfaction. The purpose of this paper is to investigate how construction claims are managed. Design/methodology/approach – In total, 58 claim factors were identified and addressed to construction professionals through survey to indicate the extent at which the factors contributed to claims. A case study was conducted to illustrate claim management. Findings – In total, 37 factors were the major source of claims. Late payment, delayed approval of change order and delay cost were the extremely influential while the least were storage charges, loss of productivity, and costs of preparing claims. Evidences revealed that all stakeholders should play active roles to deliver “claim free” projects. Practical implications – The findings will be useful to practitioners in the effort to improve project delivery by providing some guidance on claim minimization. It is hoped that this study will encourage academics to conduct more research on this issue. Originality/value – There is no known conclusive empirical study on construction claim factors in Nigeria. In light of this, the findings offer greater opportunities for claim minimization/avoidance.

Item Type: Article
Uncontrolled Keywords: conflict management; construction industry; contract law; design management; Nigeria; project management
Index terms: claim management, methodology, empirical study, design management, construction professional, evidence, client satisfaction, practitioner, construction industry, late payment, construction claim, project management, project delivery, approval, conflict management, contract law, minimization, case study, productivity, Nigeria, change order, survey
Subjects: project delivery, practitioner, client relations, data collection methods, evaluation and assessment methods, contractual role, industry analysis, payment, conflict resolution, professional development, design process, project management theory and practice, Geography, contractual condition, research methods, algorithms, contract law, management
Topics: Contract Administration, Legal Issues, Design Practice, Digital Applications, Procurement, Roles and Professions, Stakeholder Management, Project Management, Geographical Context, Research Practice, Information Management, Business Strategy
Descriptive scope: 5 PCTEA

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