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Causes of Construction Delay

construction management

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Causes of Construction Delay

construction management

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xforce
Copyright
© © All Rights Reserved
We take content rights seriously. If you suspect this is your content, claim it here.
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com
Procedia
Engineering
Procedia Engineering 00 (2011)20000000
Procedia Engineering (2011) 490 495
www.elsevier.com/locate/procedia

The 2nd International Building Control Conference 2011

Cause of Construction Delay - Theoretical


Framework
N. Hamzaha*, M.A. Khoirya, I. Arshada, N. M. Tawilb and A. I. Che Anib
a
Department of Civil & Structural, b Department of Architecture, Faculty of Engineering and Built Environment, The National
University of Malaysia, Bangi, 43600 MALAYSIA

Abstract

Delay can be defined as time overrun or extension of time to complete the project. Construction delay is something
that cannot avoided especially in government agencies in Malaysia. Therefore delay is a situation when the actual
progress of a construction project is slower than the planned schedule or late completion of the projects. The causes
of delay are taken from the pass literature review. There are two main type of delay: excusable delay and non-
excusable delay. The literature reviews are summarized and the delay framework is constructed based on the
literature review summary in context of public higher learning institution

2011 Published by Elsevier Ltd. Open access under CC BY-NC-ND license.


Selection and/or peer-review under responsibility of Universiti Teknologi MARA Perak and
Institution of Surveyors Malaysia (ISM)

Keywords : Construction delay, factors, public institution of higher learning

1. Introduction

Construction industries are a growing industry in Malaysia. Fundamentally, construction activities


are derived from the local economic activities in Malaysia. Construction of non-residential and residential
buildings contributed between 40 to 55 percent of the total construction market between 2006 and 2009.
The market revenues for building construction reached approximately $7.21 billion in 2008 and $6.67
billion in 2009, and it will potentially hit the $9.00 billion mark by 2015. (Leong 2010)
Ministry of Housing and Local Government (KPKT) is the agencies who manage and monitor the
residential construction in Malaysia. KPKT (KPKT 2010) define the project delay is the project who are
__________

*Corresponding author. Tel.: +60389216219; fax: +60389216841.


E-mail address: [email protected].

1877-7058 2011 Published by Elsevier Ltd. Open access under CC BY-NC-ND license.
doi:10.1016/j.proeng.2011.11.192
N. Khoiry,
N. Hamzah, M. A. HamzahI.etArshad,
al. / Procedia Engineering
N. M. Tawil/ 20 Engineering
Procedia (2011) 490 00
495
(2011) 000000 491

experiencing delays in construction period where different gaps between the actual in progress sites work
compared to the work scheduled which is between 10% to 30%. Meanwhile sick project is the project are
experiencing delays in construction period where gap between actual work progresses compared to the
work scheduled is more than 30% or the projects are failed to complete in the construction period.
Failure to achieve: targeted time, budgeted cost and specified quality result in various unexpected
negative effects on the projects. Usually, when the projects are delayed, they are either extended or
accelerated the time and therefore, invite to the additional cost. The standard practices usually allow some
percentage of the project cost as a contingency allowance in the contract price and this allowance is
usually based on judgment. Although the contract parties agreed upon the extra time and cost associated
with delay, in many cases there were problems between the owner and contractor as to whether the
contractor was entitled to claim the extra cost. (Murali Sambasivan 2007)
This study will focused on the delay that happened in public higher learning institution that
conducted by Ministry of Higher Education. A numbers of cases are recorded. Recent case is at main
campus of University Malaysia Kelantan and second case of delay is a construction of research complex
in National University of Malaysia, Bangi. Both cases are experienced delay. Delays give increase to
disturbance of work and loss of productivity, late completion of project increased time related costs, and
third party claims and abandonment or termination of contract. It is important that general management
keep track of project progress to reduce the possibility of delay occurrence or identify it at early stages.
(Saleh Al Hadi Tumi 2009)

2. Objective

The objective of this study to get the theoretical framework that causes construction delay in public
higher education institution in Malaysia. The causes of delay are collected from the previous
international journal paper. The consequence of this study is to make a future study about the cause of of
delays in construction industry in Malaysia, especially for projects in the Ministry of Higher Education
Malaysia

3. Literature Review

Types of delay

Non- Excusable Concurrent


Delay delays

Excusable
Delay

Non-compensable Compensable

Figure 1: Types of Delay


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3.1 Review

There are two type of delay non-excusable delays and excusable delays (Saleh Al Hadi Tumi 2009).
A non-excusable delay is delay caused by the contractor or its suppliers, through no fault by the owner.
The contractor is generally not entitled to relief and must either make up the lost time through
acceleration or compensate the owner. Therefore, non-excusable delays usually result in no additional
money and no additional time being granted to the contractor.
Excusable delays are divided into two: compensable and non-compensable delays. Compensable
delays are caused by the owner or the owner's agents. While non-compensable delays are caused by third
parties or incidents beyond the control of both the owner and the contractor. These delays are commonly
called acts of God because they are not the responsibility or fault of any particular party. (Wael
Alaghbari 2007; Saleh Al Hadi Tumi 2009)
Alaghbari et. al. (Wael Alaghbari 2007) future study has added another type of delay, concurrent
delays. If there is there only one factor is delaying the construction project; it is usually quite easy to
calculate both the time and money resulting from that single issue. Concurrent delay is a more
complicated and this is very typical in construction project. This situation happened when more than one
factor delays the project at the same time or in overlapping periods of moment.

3.2 Previously reviewed literatures

The studies were carried to figure out the main causes of construction delay. Battaineh et. al.
(Battaineh1 2002) survey stated that the most significant cause of delay in the traditional type of contract,
in perspective of contractor and consultant. It is also stated that to imparting the economic feasibility of
capital project, extensive delays provide a fertile ground for costly deputies and claim. The result
indicated the contractor and consultant agreed that owner interface, inadequate contractor experience,
finance and payment, labor productivity, slow decision making, improper planning and subcontractor are
among the top ten important factor.
In Saudi Arabia, Assaf et. al. (Sadi A. Assaf * 2006) conduced a research about construction project
delay different type of project in the state. It was concluded that 70% of projects experience time overrun.
The survey was conducted with 23 contractors, 19 consultant and 15 owners. Seventy-three cause of
delay was recognized and the causes are grouped into nine classes. The outcome of the survey that agreed
by all three parties is change order. The overall results are stated that the factor related to labor,
contractor, project, owner and consultant are in the highest rank.
In Florida, Ahmed et. al. (Syed M. Ahmed 2003) identified the major causes of delay in building
construction industries. The primary aim of this study is to identify the perception of the different parties
regarding causes of delays, the allocation of responsibilities and the different types of delay. It was found
that; the consultants play a very important role in design-related delays because they are in charge of the
design process in conjunction with the owner of the project. Furthermore delayed in payments categories
do not have the same negative impact on project completion times as other factors considered in this
study such as code, design and construction related issues.
130 public project in Jordan has been investigate the causes of delay by Al-Momani (Al-Momani
2000) in year 2000. The whole projects indicated that poor design and carelessness of the owner, change
orders, weather condition, site condition, late delivery, economic conditions, and increase in quantities are
the main causes of delay. The presence of these factors has an impact on the successful completion of the
projects at the time contractual particular.
Abdullah et. el. (Mohd Razaki Abdullah 2010) has made a survey of on delay on Majlis Amanah
Rakyat (MARA) one of government agencies in Malaysia. MARA management procument construction
N. Khoiry,
N. Hamzah, M. A. HamzahI.etArshad,
al. / Procedia Engineering
N. M. Tawil/ 20 Engineering
Procedia (2011) 490 00
495
(2011) 000000 493

project phenomenal issues of delayed has been argument for a long time. Eighteen of causes have been
identified. The respondents are person who work as consultant such as executive, resident engineers, and
clerk of work and client, MARA itself consist of director, project officer and engineers. The studies has
conclude that cash flow and financial difficulties faced by contractors, contractors poor site management
and ineffective planning and scheduling by contractors are the main cause of the delay.
Sambasivan (Murali Sambasivan 2007) has made the study about the cause of delay in Malaysia
itself. About 150 respondents participated in the survey. This study identified 10 most important causes of
delay from a list of 28 different causes and 6 different effects of delay. The ten most important causes
were: contractors improper planning, contractors poor site management, inadequate contractor
experience, inadequate clients finance and payments for completed work, problems with subcontractors,
shortage in material, labor supply, equipment availability and failure, lack of communication between
parties, and mistakes during the construction stage.

4. Discussion

The framework are develop from three different author. Assaf et. al. (Sadi A. Assaf * 2006)
groped the factor to a few group in the construction field. Responsibility was rated among the parties that
may be involved on a construction project starting from the owner, contractor, and consultant, external
factor, project, materials, labors and equipment. The result of his study is as follow: (1) Financial
difficulties and economic problems, (2) Financial problems, (3) Supervision too late and slowness in
making decision, (4) Slow to give instructions, (5) Lack of materials on market, (6) Poor site
management, (7) Materials shortages on site, (8) Construction mistakes and defective work, (9) Delay in
delivery of materials to site, and (10) Slowness in making decisions.
In 2003, Ahmed et. al. (Syed M. Ahmed 2003) are groped the cause of delay by responsibility
and type of delay as table 3. The result of the study from rank number one to rank number ten is as
followed: Building Permits Approval, Change order, Changes in Drawings, Incomplete Documents,
Inspections, Changes in Specifications, Decision During Development Stage, Shop Drawings Approval,
Design Development and Changes Laws and Regulations.
Next in year 2007 Alaghbari et. al (Wael Alaghbari 2007) of significant factor causing delay of
building construction project in Malaysia. The study groped the cause of delay by the responsibility there
are contractor, owner, consultant and external factor. The results from the study are as contractors
improper planning in the first place followed by contractors poor site management, inadequate contractor
experience, inadequate clients finance and payments for completed work and the problems with
subcontractors. Moreover shortage in material get the sixth, then labor supply, equipment availability and
failure, lack of communication between parties, and mistakes during the construction stage.

5. Conclusion

For many years, the issue of delay in Malaysia construction projects has been phenomenal. Its
impacts were so significant that it tends to decelerate the implementation of Malaysia Plans. The
improvement of delay factors not only limited to technical factors, but also factors in project management
perspective both from the aspect of processes involve and the influence of human attitudes, mentality,
skills and behavior. With that spirit, study based on the same issue and problems but looking from a
different angle had been conducted and delay framework has been proposed as in Figure 2.
The depth studies as to what extent these factors and variables can positively and negatively affect
the construction project are suggested for future study. The reliability and criticality of framework are
also required to validate the significance of the framework.
494 N. Hamzah
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DELAY

EXCUSABLE CONCURENT NON-EXCUSABLE

Compensable Non-Compensable

Caused by contractor
Caused by owner/consultant Caused by third parties
@ act of God

Delay to furnish and deliver the site to Difficulties in financing project


the contractor Change orders by owner Fire by contractor
during construction Conflicts in sub-contractors
Flood
Late in revising and approving design schedule in execution of project
Wind Damage
documents by owner Rework due to errors during
Snow
Delay in approving shop drawings and construction
Suspensions
sample materials Conflicts b/w contractor and
Transportation Delays
Poor communication and coordination other parties (consultant and
between parties Contract Modifications owner)
Slowness in decision making process Labor Dispute and Poor site management and
Conflicts between joint-ownership of Strike supervision by contractor
the project Poor communication and
Unavailability of incentives for coordination by contractor with
contractor for finishing ahead of other parties
schedule Improper construction methods
Suspension of work implemented by contractor
Inflexibility of consultant Delays in sub-contractors work
Late in reviewing and approving Frequent change of sub-
design documents by consultant contractors because of their
Conflicts between consultant and inefficient work
design engineer Poor qualification of the
Inadequate experience of consultant contractors technical staff
Financial problems (delayed Inadequate Planning &
payments, financial difficulties, and Scheduling
economic problems) Underestimation of Productivity
Contract modifications (replace and Staffing Problems
add new works to the project; change in Lack of coordination On-site
specifications) Scheduling Mismanagement
Lack of coordination with contractor Inadequate Review
Lack of working knowledge Lack of High-Technology
Supervision too late and slowness in Poor Managerial Skills
making decisions Inspections
Slow to give instructions Material/Fabrication Delays
Lack of consultants experience Material Procurement
Incomplete documents
Lack of consultants site staff
experience (managerial and supervisory
personnel)
Absence of consultants site staff

Figure 2 : Construction Delay Theoretical Framework


N. Khoiry,
N. Hamzah, M. A. HamzahI.etArshad,
al. / Procedia Engineering
N. M. Tawil/ 20 Engineering
Procedia (2011) 490 00
495
(2011) 000000 495

References

[1] Al-Momani, A. H. (2000). "Construction delay: a quantitative analysis." International Journal of Project Management 18:
51-59.
[2] Battaineh1, A. M. O. a. H. T. (2002). "Causes of construction delay: tradisional contracts " International Journal of Project
Managemen(20): 67 - 73.
[3] KPKT (2010). Kementerian Perumahan dan Kerajaan Tempatan. Putrajaya.
[4] Leong, M. (2010) The Construction Markert in Malaysia. Frost & Sullivan
[5] Mohd Razaki Abdullah, I. A. R., Ade Asmi Abdul Azis (2010). "Causes of Delay in MARA Management Procurement
Construction Projects." Journal of Surveying, Construction & Property 1(1): 123-138.
[5] Murali Sambasivan , Y. W. S. (2007). Causes and effects of delays in Malaysian construction industry. International Journal
of Project Management. 25: 517-526.
[6] Sadi A. Assaf *, S. A.-H. (2006). "Causes of delay in large construction projects." International Journal of Project
Management 24 349-357.
[7] Saleh Al Hadi Tumi, A. O. a. A. H. K. P. (2009). CAUSES OF DELAY IN CONSTRUCTION INDUSTRY IN LIBYA.
The International Conference on Administration and Business. Faculty of Administration and Business, University of Bucharest,
Romania.
[8[ Syed M. Ahmed, S. A., Pragnya Kappagantula, and Dharam Gollapudi (2003). Delays in Construction: A Brief Study of the
Florida Construction Industry. ASC Procedings of the 39th Annual Confrence Clemson University Clemson, South Carlolin
[9] Wael Alaghbari, M. R. A. K., Azizah Salim and Ernawati (2007). "The significant factors causing delay of building
construction projects in Malaysia." Engineering, Construction and Architectural Management 14( 2): 192-207.

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