Factors influencing change orders in oil and gas construction projects in Saudi Arabia
Built Environment Project and Asset Management
ISSN: 2044-124X
Article publication date: 14 February 2023
Issue publication date: 17 May 2023
Abstract
Purpose
The oil and gas construction projects in Saudi Arabia are commonly impacted by the frequent occurrence of change orders. Therefore, this study aims at determining the factors influencing change orders in the oil and gas construction projects in Saudi Arabia.
Design/methodology/approach
Firstly, the factors are extracted by examining the literature and further refined through experts' feedback. Twenty-one factors were identified in this manner. Thirdly, the factors are prioritized using a questionnaire survey. Responses from 162 professionals have been collected through surveys and ranked using the significance index. The correlation between factor rankings between classes is assessed using Spearman's correlation coefficient. Lastly, using principal component analysis, a change order-related factors conceptual model is developed.
Findings
The five most significant factors were identified and ranked in a general manner or per the category involved. Four main types were involved: project management team (PMT), consultants, contractors and clients. Moreover, a change order-related factors model is proposed. The factors are grouped under four main groups: project definition and planning factors, project stakeholder-related factors, project execution-related factors and project performance and control factors.
Originality/value
Despite the vast factor-related literature in Saudi Arabia. Nevertheless, there has never been a study that investigates the factors influencing change orders in oil and gas projects in Saudi Arabia before. This study not only identifies the change order-related factors but also proposes a model that captures the importance of these factors. This model can aid project professionals in mitigating the impact of the most critical factors encountered during the various phases of the project.
Keywords
Acknowledgements
The authors would like to thank kfupm, in particular, the IRC, for Smart Mobility and Logistics Center for facilititaing this research.
Citation
Alkhalifah, S.J., Tuffaha, F.M., Al Hadidi, L.A. and Ghaithan, A. (2023), "Factors influencing change orders in oil and gas construction projects in Saudi Arabia", Built Environment Project and Asset Management, Vol. 13 No. 3, pp. 430-452. https://doi.org/10.1108/BEPAM-06-2022-0081
Publisher
:Emerald Publishing Limited
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