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Article
Publication date: 1 March 2007

Joshua O Dada and G O Jagboro

One of the major reasons for ineffective project delivery in the Nigerian construction industry is the improper assessment of risk factors. As a result, the industry continues to…

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Abstract

One of the major reasons for ineffective project delivery in the Nigerian construction industry is the improper assessment of risk factors. As a result, the industry continues to suffer poor performance with many projects failing to meet time and cost targets. This paper identifies the risk factors inherent in different building procurement methods and assesses their perceived relative importance with a view to evaluating their impact on project cost. The paper reports on a study carried out through a questionnaire survey of professionals within the construction industry in order to asses the relative importance placed on risk factors. Responses from the survey were analysed using relative importance index for the purpose of evaluating the impact of risk on projects cost. Data were collected on selected completed projects and analysed using frequencies, mean values and relative important index. The main risk factors identified are finance and political influence. A model was developed by relating the variation between the initial contract estimate and the actual project cost to the risk variables. From the analysis, the percentages of projects cost overrun due to the impact of risk were established for each procurement method investigated. The paper recommends that contingency additions should be based on the procurement method used.

Details

Journal of Financial Management of Property and Construction, vol. 12 no. 1
Type: Research Article
ISSN: 1366-4387

Keywords

Article
Publication date: 27 July 2018

Akintayo Opawole, Godwin Onajite Jagboro, Kahilu Kajimo-Shakantu and Betty Oluwafunso Olojede

The purpose of this paper is to evaluate critical factors that impact public sector organizations’ (PSOs) performance in PPP contracts with a view to improving their capabilities…

Abstract

Purpose

The purpose of this paper is to evaluate critical factors that impact public sector organizations’ (PSOs) performance in PPP contracts with a view to improving their capabilities toward efficient project delivery and attracting more private sector investments.

Design/methodology/approach

The research methodology is a quantitative approach which commenced with an in-depth literature review that provided the basis for identification of the variables that were evaluated through a structured questionnaire. Respondents were professionals from stakeholders’ organizations that had been involved in PPP contracts in the Southwestern region of Nigeria selected using respondent driven sampling technique. These include industrial practitioners from governmental-based organizations (ministries, agencies, corporations/parastatals, etc.), private developers/concessionaires, law firms, and banks, among others. Data collected were analyzed using mean, relative significance index) and factor analysis.

Findings

The critical performance factors of PSOs in concession contracts clustered under nine components. These were technical, legal, political, finance, market maturity, economic, procurement process, performance guarantee and degree of regulation. PSOs’ capability development measure in countries newly experimenting with concession model is expected to focus on these factors for improved project delivery.

Research limitations/implications

The study provided implications for capabilities improvement, legislation and policy making with respect to PPP transactions in countries newly experimenting with PPP contracts. This is highly significant to improving the capabilities of PSOs and attraction of more private sector partnership in infrastructure delivery through the concession model.

Practical implications

The study provided implication for capabilities improvement, legislation and policing with respect to PPP transactions in countries newly experimenting with PPP contracts. This is highly significant to improving the capabilities of PSOs and attraction of more private sector partnership in infrastructure delivery through concession model.

Originality/value

Previous studies on PPP performance had either focused on the projects or generalized the performance assessment to PSOs and private investors. This study extended the researches on PPP performance by revealing factors specific to the public sector stakeholders.

Details

Property Management, vol. 37 no. 1
Type: Research Article
ISSN: 0263-7472

Keywords

Article
Publication date: 30 November 2018

Akintayo Opawole, Kahilu Kajimo-Shakantu, Oluwaseyi Olalekan Alao and Chinanu Patience Ogbaje

The build-operate-transfer (BOT) model is fast becoming a sustainable tool for remedying the deficiencies of public financing of hostel facilities in Nigeria. Being a new concept…

Abstract

Purpose

The build-operate-transfer (BOT) model is fast becoming a sustainable tool for remedying the deficiencies of public financing of hostel facilities in Nigeria. Being a new concept in Nigeria, this study aims to assess clients’ organizations perspective of risk factors associated with BOT model with a view to providing information for their effective management.

Design/methodology/approach

Quantitative descriptive analysis was used, which was based on primary data obtained through questionnaire survey. The respondents included architects, engineers (structural/civil/mechanical/electrical), builders and quantity surveyors who were officials in the physical planning development and works departments of five sampled universities in the southwestern Nigeria who executed at least one BOT hostel project. A total number of 45 copies of questionnaire were administered, out of which 35 copies representing a response rate of 77.8 per cent were retrieved. Data analysis was undertaken using descriptive statistics: percentages, mean item score and relative importance index.

Findings

Severity of the risk factors specific to BOT model for hostel development was revealed. Besides, conceptual allocations and mitigation measures were suggested against each risk factor.

Practical implications

Private sector investor would find the results of this research useful in preparing robust BOT contract packages through the understanding of the nature of risk factors associated with the procurement model.

Originality/value

With limited evaluation of BOT in hostel facilities procurement, this study developed a simplified approach to management of risk factors associated with BOT model in the education sector.

Details

Journal of Engineering, Design and Technology, vol. 17 no. 1
Type: Research Article
ISSN: 1726-0531

Keywords

Article
Publication date: 19 April 2018

Emmanuel Oluwatobi Adebisi, Stephen Okunola Ojo and Oluwaseyi Olalekan Alao

The failure and abandonment of construction projects have proven to be insurmountable problems incessantly militating against the efficient performance of the construction…

1029

Abstract

Purpose

The failure and abandonment of construction projects have proven to be insurmountable problems incessantly militating against the efficient performance of the construction industry in Nigeria. The complexity, technicality and a host of other project execution issues unique to multi-storey building projects do increase their susceptibility to failure and abandonment. Thus, the purpose of this paper is to examine the factors influencing failure and abandonment of multi-storey building projects in Nigeria. This is with a view to provide inferential empirical data that could enhance successful delivery of multi-storey building projects in Nigeria.

Design/methodology/approach

Primary data were used for the study. A structured questionnaire was administered on consultants and contractors’ personnel within Lagos State, Nigeria. A total of 180 copies of the questionnaire were administered ,and 134 copies which represent a combined response rate of 74.4 per cent were retrieved. The data were analysed using frequency distribution and percentages, Mean item score and factor analysis.

Findings

The factors most significant to the failure and abandonment of multi-storey building projects are inadequate funding by the client, improper planning at the pre-construction phase, structural failure in multi-storey building during construction, bankruptcy/business failure of the contractor, improper scheduling of the building project activities and failure to engage qualified professionals with technical expertise and experience. The rated factors clustered under human resources capability, planning and structural quality, contractor selection and variation, insecurity and variation, and force majeure and political risk.

Research limitations/implications

The study was limited to multi-storey building projects in Lagos State, Nigeria. Further studies could focus on specific resuscitation strategies for abandoned multi-storey building projects.

Practical implications

The study provided implications for effective project and contract management of multi-storey building projects which is very paramount to improve the delivery of complex, technical- and capital-intensive building projects in Nigeria.

Originality/value

The study provides specific implications for the management of multi-storey building projects, thereby enhancing the delivery of building projects.

Details

International Journal of Building Pathology and Adaptation, vol. 36 no. 2
Type: Research Article
ISSN: 2398-4708

Keywords

Article
Publication date: 9 April 2018

Akintayo Opawole and Godwin Onajite Jagboro

The purpose of this paper is to develop compensation mechanisms against risks factors that impact private party’s costs in concession-based projects as a basis for minimizing…

Abstract

Purpose

The purpose of this paper is to develop compensation mechanisms against risks factors that impact private party’s costs in concession-based projects as a basis for minimizing failure rate of concession contracts.

Design/methodology/approach

The study extended earlier work on the factors that impact private party’s costs in concession-based projects by developing compensation mechanisms against the risks factors. It commenced with semi-structured face-to-face interviews which were launched with different stakeholders organizations that had been involved in PPP contracts in the Southwestern Nigeria. Responses from the interview were analyzed using interpretative phenomenal analysis via ATLAS.ti6/7. The mechanisms identified from literature review were assessed through structured questionnaire which were administered on professionals selected from governmental-based organizations (ministries, agencies, corporations/parastatals, etc.), private developers/concessionaires, law firms, banks among others, using the respondent-driven sampling technique. The robustness of the quantitative data was achieved by including the initial respondents to the interview in the questionnaire survey. The quantitative data were analyzed using percentile for better understanding of the flexibility between “most” and “more” preferred mechanisms. The criterion for the selection of appropriate mechanism(s) for the factors was based on minimum average of 20.0 percent (the ratio of maximum percentage (100 percent) of the respondents to total number of variables) suggesting the five identified mechanisms. The results in both cases of qualitative and quantitative assessments were compared. Based on the convergences of the findings, preferred compensation mechanisms were developed against concession contract risk factors.

Findings

Options of mechanisms were developed against specific investment risks that are consequent to the defaults of the public party in PPP contracts. The findings indicate that the mechanisms in extant literature with respect to administration of traditional models are relevant for PPPs. The study, however, identified new concepts, including “compensative” “zero compensation,” “equitable sharing” and “adjustment of concession period,” which are suitable in specific cases of PPP contracts.

Practical implications

The study contributes to the body of knowledge on mechanisms for improving PPP project performance. Moreover, insights were provided on mechanisms that satisfy private investor in case of specific risk factors investigated. The findings are therefore expected to guide private party in the preparation of concession contract package that minimizes investments risks and thereby attracting more private investors both from local and international environments. The findings of the study would also contribute to the body of information for documenting standard conditions of concession contract in Nigeria.

Originality/value

Studies on critical performance factors on PPP were extended by developing compensation mechanisms against the investment risks that impact private party’s cost.

Details

International Journal of Building Pathology and Adaptation, vol. 36 no. 1
Type: Research Article
ISSN: 2398-4708

Keywords

Book part
Publication date: 23 September 2022

Temidayo Oluwasola Osunsanmi, Clinton Ohis Aigbavboa, Wellington Didibhuku Thwala and Ayodeji Emmanuel Oke

The challenges confronting the Nigerian construction industry which led to the adoption of supply chain management (SCM) practice were evaluated in this chapter. It was discovered…

Abstract

The challenges confronting the Nigerian construction industry which led to the adoption of supply chain management (SCM) practice were evaluated in this chapter. It was discovered that the Nigerian construction industry is confronted with fragmentation and poor information management. The stakeholders within the Nigerian construction industry proposed the adoption of SCM to overcome the fragmentation and other shenanigans facing the industry. This chapter revealed that construction supply chain (CSC) practices within the Nigerian construction industry focus on waste elimination by adopting the lean concept. The focus on the lean concept could be attributed to the numerous research related to lean or the enormous waste emanating from the Nigerian construction industry. Regardless of the emphasis on lean, the Nigerian CSC is still confronted with fragmentation and heavy waste generation. Thus, this chapter proposed the adoption of principles and technologies driven by the fourth industrial revolution (4IR) is a paradigm shift for the management of CSC in the country. It was discovered in this chapter that Nigerian construction supply stakeholders had not embraced the technologies and principles of the 4IR. The failure to adopt the technologies driven by the 4IR is attributed to the absence of a CSC model that depicts the management of CSC in alignment with the 4IR. This chapter called for developing a SCM model for the Nigerian construction industry in tandem with the principles and technologies of the 4IR.

Details

Construction Supply Chain Management in the Fourth Industrial Revolution Era
Type: Book
ISBN: 978-1-80382-160-3

Keywords

Article
Publication date: 28 May 2021

Betty Oluwafunso Olojede, Akintayo Opawole, Godwin Onajite Jagboro and Oluwaseyi Olalekan Alao

The clarity of requisite roles of public sector organizations (PSOs) for successful procurement of public-private partnership (PPP) infrastructure in Nigeria is not…

Abstract

Purpose

The clarity of requisite roles of public sector organizations (PSOs) for successful procurement of public-private partnership (PPP) infrastructure in Nigeria is not well-established as the country is portrayed with the rising statistics on the haphazard pattern of operation of PPP model for infrastructure procurement. This has greatly beset the expected performance of a number of PPP projects which were intended to bridge the infrastructural deficit in the country. This study therefore examined roles the performed by PSOs in PPP infrastructure procurement with a view to delineate PSOs obligations and consequently improve project success.

Design/methodology/approach

The study was based on structured questionnaire survey of professionals in PSOs who have been involved in PPP infrastructure procurement in Southwestern Nigeria. The sampled professionals were drawn from a build-up of network through a referral chain by the adoption of respondent-driven sampling (RDS) method. The data collected were subjected to mean score analysis and Kruskal–Wallis test.

Findings

The study found that roles pertaining to management of variation, apportionment of penalties and abatements, select preferred bidders, establish management approaches for PPP risks are infrequently performed by PSOs in Nigeria. Whereas these roles are critical to successful procurement of PPP infrastructure as they are prerequisites for PPP infrastructural project success.

Originality/value

The study provides information that would be useful for developing countries with evolving PPP markets for enhanced project delivery.

Details

International Journal of Building Pathology and Adaptation, vol. 41 no. 2
Type: Research Article
ISSN: 2398-4708

Keywords

Book part
Publication date: 23 September 2022

Temidayo Oluwasola Osunsanmi, Clinton Ohis Aigbavboa, Wellington Didibhuku Thwala and Ayodeji Emmanuel Oke

This chapter focused on presenting the result of the Delphi study from the questionnaire distributed to the experts. The Delphi technique was used for modelling the construction…

Abstract

This chapter focused on presenting the result of the Delphi study from the questionnaire distributed to the experts. The Delphi technique was used for modelling the construction supply chain management (CSCM) practice in the fourth industrial revolution (4IR) era. The technique was also used to predict the supply chain management's (SCM) possible trends in the construction industry. A total of 15 experts were selected for this study based on their working experience. The Delphi study also validated the gaps (organisational culture and 4IR component) identified from the existing CSCM model. The findings from the Delphi study revealed that organisational culture has a significant impact on the practice of CSCM in the 4IR era. Regarding adopting the 4IR component for the CSCM in Nigeria, the Delphi study revealed that smart management and virtualisation are the most adopted. Unfortunately, the cyber-physical system, the heartbeat of the 4IR, is yet to be fully implemented for CSCM practice in the Nigerian construction industry.

Details

Construction Supply Chain Management in the Fourth Industrial Revolution Era
Type: Book
ISBN: 978-1-80382-160-3

Keywords

Article
Publication date: 27 March 2020

Betty Oluwafunso Olojede, Akintayo Opawole and Godwin Onajite Jagboro

The purpose of this paper is to evaluate the measures practiced by public sector organizations (PSOs) to develop their capability and strength toward attaining the skills…

Abstract

Purpose

The purpose of this paper is to evaluate the measures practiced by public sector organizations (PSOs) to develop their capability and strength toward attaining the skills requirements for public-private partnership (PPP) program.

Design/methodology/approach

The study adopted a quantitative approach based on primary data obtained via questionnaire survey. The literature review provided the basis for identification of variables that were evaluated through structured questionnaire survey. The respondents were professionals in PSOs that have procured PPP projects in Southwestern Nigeria. These were sampled through the drawing of referral chain, involving respondents-driven sampling technique. The data collected were analyses using descriptive and inferential statistics.

Findings

The capability development measures of PSOs in PPP projects delivery clustered around five components: conventional practices, training and development, organizational practices, human capital enhancement and government-aided intervention. These five components of capability development measures are expected to be focused with adequate and equal interest and embraced by PSOs in countries with evolving PPP markets.

Social implications

The study provides implications for domestic human capital strengthening for enhanced infrastructure delivery in countries with evolving PPP markets.

Originality/value

This study contributes to the existing literature on capabilities improvement on PPP projects. This was achieved by providing empirical evidences with respect to human resource boost for enhanced performance of public sector organizations in their partnership with their private sector counterparts for PPP project success.

Details

Journal of Public Procurement, vol. 20 no. 2
Type: Research Article
ISSN: 1535-0118

Keywords

Content available
Book part
Publication date: 26 April 2017

Prince Boateng, Zhen Chen and Stephen O. Ogunlana

Abstract

Details

Megaproject Risk Analysis and Simulation
Type: Book
ISBN: 978-1-78635-830-1

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