1.0 Introduction
1.1 Background of Study
Historically, delay and disruption in building construction projects in Nigeria can be traced back to the post-independence era, particularly during the oil boom of the 1970s. During this period, Nigeria embarked on numerous large-scale construction and infrastructure projects aimed at transforming the urban landscape and enhancing public services. However, many of these projects suffered delays and cost overruns due to mismanagement, lack of proper project planning, and poor coordination among stakeholders (Olotuah, 2000). The Nigerian construction industry has struggled with a reputation for inefficiency, particularly in the areas of project delivery and cost control. Despite the growth of the sector and the involvement of both local and international contractors, delays and disruptions have remained persistent problems. Several studies have identified recurring issues such as inadequate funding, frequent design changes, insufficient materials, lack of skilled labor, and corruption as key contributors to these challenges (Aibinu & Jagboro, 2002; Odeh & Battaineh, 2002).
According to Ogunsemi & Jagboro (2006), the construction industry plays a critical role in the economic development of any nation, serving as a backbone for infrastructural growth, employment generation, and investment promotion. In Nigeria, the building construction sector has experienced considerable growth in response to the increasing demand for residential, commercial, and infrastructural facilities. However, this growth has been marred by persistent challenges, chief among them being project delays and disruptions which significantly impact the overall cost and delivery of construction projects (Ogunsemi & Jagboro, 2006).
Alaghbari et al. (2007) stated that delays in construction refer to the time overrun either beyond the contract date or the date agreed upon for project completion. Disruptions, on the other hand, involve unforeseen circumstances that interrupt the progress or workflow of a project, often leading to inefficiencies without necessarily affecting the completion date (Alaghbari et al., 2007). Both issues are prevalent in the Nigerian context due to a combination of factors including poor project planning, funding inconsistencies, inflation, corruption, unskilled labor, and regulatory bottlenecks (Sambasivan & Soon, 2007).
Construction projects according to Assaf & Al-Hejji (2006) are dynamic and complex processes that involve multiple stakeholders, diverse resources, and various phases of execution. A construction delay refers to the situation where project activities do not proceed according to the initially planned schedule, while disruption is a broader concept that includes any event that disturbs the normal progress of a construction project, potentially without affecting the project timeline but influencing productivity, cost, and quality (Assaf & Al-Hejji, 2006).
In Nigeria, the construction sector is vital for economic growth and development, providing infrastructure and employment opportunities. However, the sector is plagued by frequent delays and disruptions due to factors such as inadequate funding, poor project planning, inflation, corruption, design changes, and contractor incompetence (Aibinu & Odeyinka, 2006). Therefore, this study aims to examine the underlying causes of delays and disruptions in Nigerian construction projects and assess their effects on project costs.
1.2 Statement of Problems
Investigation revealed that delayed projects often result in cost overruns due to extended labor, prolonged equipment usage, inflation of material prices, and additional administrative expenses. These added costs place a financial burden on clients and developers, leading to compromised project scopes or, in severe cases, total abandonment (Aibinu & Jagboro, 2002). Moreover, disruptions caused by poor planning, funding inconsistencies, design alterations, and political interference make the construction process unpredictable and financially unstable.
Furthermore, the situation is further worsened by weak institutional frameworks, inadequate stakeholder coordination, and the lack of accountability mechanisms that ensure project timelines and budgets are adhered to (Odeh & Battaineh, 2002). Additionally, the limited use of technology and data-driven decision-making in project execution is making it difficult to anticipate, track, and resolve delays effectively. It is against the backdrop that this study seeks to address these problems by evaluating the impact of delay and disrupted construction projects on the cost of building construction.
1.3 Aim and Objectives of Study
The aim of this study is to investigate the impact of delays and disruptions on the cost of building construction projects in Nigeria.
The specific objectives of the study are as follows:
- To identify and analyze the primary causes of delays and disruptions in building construction projects in Nigeria.
- To assess the impact of these delays and disruptions on the overall cost of construction projects in Nigeria.
- To explore the relationship between project delays, disruptions, and cost overruns, and identify key factors that exacerbate cost escalation.
- To examine the role of project management practices, institutional frameworks, and stakeholder coordination in mitigating delays and disruptions in the construction industry.
- To propose practical recommendations for construction stakeholders, including government agencies, contractors, and developers, to minimize the occurrence of delays and disruptions and their associated cost implications.
1.4 Research Questions
The study came up with research questions so as to be able to ascertain the above stated objectives. The specific research questions for the study are stated below as follows:
- What are the primary causes of delays and disruptions in building construction projects in Nigeria?
- How do delays and disruptions impact the overall cost of building construction projects in Nigeria?
- What is the relationship between project delays, disruptions, and cost overruns in the Nigerian construction industry?
- How do project management practices, institutional frameworks, and stakeholder coordination influence the occurrence of delays and disruptions in construction projects?
- What practical strategies can construction stakeholders, including government agencies, contractors, and developers, implement to minimize the occurrence of delays and disruptions and mitigate their cost implications?
1.5 Research Hypothesis
The following hypotheses are proposed for the study on the Guidance and Counseling Services in Senior Secondary School in Oredo LGA:
- H01: There is no significant relationship between inadequate project planning, labor issues, and delayed material delivery as primary causes of delays and disruptions in building construction projects in Nigeria.
- H02: Delays and disruptions in building construction projects in Nigeria do not significantly contribute to cost overruns, with projects experiencing delays of more than 20% being more likely to exceed budget estimates.
- H03: Effective project management practices, strong institutional frameworks, and improved stakeholder coordination are not significantly associated with a reduction in the occurrence of delays and disruptions, thereby minimizing their cost implications in building construction projects in Nigeria.
1.6 Significance of Study
The outcome of this research study will be valuable for policymakers and government agencies, as they will provide data-driven recommendations for improving the regulatory and institutional frameworks that govern the construction industry in Nigeria. Additionally, this study will assist in the development of best practices and project management techniques tailored to the Nigerian context, fostering better coordination among stakeholders and enhancing overall project delivery.
Furthermore, the research will be beneficial to academic scholars and researchers interested in construction management, project delays, and cost control. It will provide a foundation for future studies in the field, promoting further exploration into the dynamics of construction delays and their economic impacts.
Lastly, the study will help create a more sustainable and efficient construction industry, contributing to the socio-economic development of Nigeria.
1.7 Scope of Study
This study will focus on the impact of delays and disruptions on the cost of building construction projects in Nigeria, with a specific emphasis on construction projects within Lagos State. The research will cover projects that have experienced significant delays and disruptions over the past five years, allowing for an analysis of both the short-term and long-term cost implications.
1.8 Limitations of the Study
A study of this nature is bound to experience certain problems as such the constraints imposed on the research include:
- Time Constraints: A study of this nature needs relatively long time during which information for accurate or at least near accurate inference could be drawn. The period of the study was short, time posed as constraints to the research.
- Financial Constraints: The research would have extended the survey to other area at the empirical level, but limitation as included cost of transportation to the source of material and the cost of time setting of the already completed work.
- Lack of Cooperation: Many of the respondents are usually aggressive on issue that border cooperation among the respondents border.
1.9 Definition of Terms
Delay:
In the context of this study, delay refers to a situation where a construction project does not progress according to its originally planned schedule, resulting in the extension of time beyond the anticipated completion date. Delays in construction projects may arise from various factors such as labor shortages, financial challenges, regulatory issues, or unforeseen site conditions (Alinaitwe et al., 2013).
Disruption:
Disruption refers to any event or condition that interrupts the normal progress of construction work, causing the project to deviate from its planned timeline or budget. Disruptions can include strikes, changes in project scope, adverse weather conditions, or other external factors that interfere with the smooth execution of a construction project (Loosemore, 2016).
Cost Overrun:
Cost overrun is the situation where the actual cost of a construction project exceeds the initially estimated or budgeted cost. This can result from delays, disruptions, mismanagement, or unforeseen complications that arise during the construction process (Flyvbjerg et al., 2003).
Building Construction Project:
A building construction project refers to the process of constructing a physical structure such as residential buildings, office complexes, or commercial facilities. It encompasses activities such as planning, design, procurement of materials, and the actual construction work carried out by contractors and subcontractors (Kwak et al., 2009).
Project Management:
Project management in construction refers to the application of knowledge, skills, tools, and techniques to project activities to meet project requirements. Effective project management ensures that construction projects are completed on time, within budget, and to the required quality standards (Kerzner, 2017).
Stakeholder:
A stakeholder in a construction project refers to any individual, group, or organization that has an interest or is affected by the outcome of the project. This includes clients, contractors, subcontractors, suppliers, government agencies, and the community (Bourne, 2015).
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