Aboelmagd, Y. (2021). Assessments of Barriers to Implementing Cost Control and Optimal Cost Reduction Techniques in Construction Projects: A Case Study of Egypt. test, 49(No 4), 509-529. doi: 10.21608/jesaun.2021.68050.1041
Yasser Aboelmagd. "Assessments of Barriers to Implementing Cost Control and Optimal Cost Reduction Techniques in Construction Projects: A Case Study of Egypt". test, 49, No 4, 2021, 509-529. doi: 10.21608/jesaun.2021.68050.1041
Aboelmagd, Y. (2021). 'Assessments of Barriers to Implementing Cost Control and Optimal Cost Reduction Techniques in Construction Projects: A Case Study of Egypt', test, 49(No 4), pp. 509-529. doi: 10.21608/jesaun.2021.68050.1041
Aboelmagd, Y. Assessments of Barriers to Implementing Cost Control and Optimal Cost Reduction Techniques in Construction Projects: A Case Study of Egypt. test, 2021; 49(No 4): 509-529. doi: 10.21608/jesaun.2021.68050.1041

Assessments of Barriers to Implementing Cost Control and Optimal Cost Reduction Techniques in Construction Projects: A Case Study of Egypt

JES. Journal of Engineering Sciences
Article 7, Volume 49, No 4, July and August 2021, Pages 509-529    PDF (669.22 K)
Document Type: Technical paper
DOI: 10.21608/jesaun.2021.68050.1041
Author
Yasser Aboelmagd*
Assistant Professor, Department of Mathematics and physics Engineering, Faculty of Engineering, Alexandria University, Alexandria, Egypt
Abstract
The earned value management is a leading technique in monitoring and analyzing project performance and project progress. To fill the gap of limited researches for studying factors inhibiting the ability of contractors to effectively control their projects, a survey was conducted on 22 construction project organizations. It was noted that most project managers and contractors in Egypt find difficulty in controlling project costs due to problems which include Change order, Changes in the design, Errors in the design, current economic situation deterioration, Delay project and Rising prices of materials. Main objectives of this paper are; 1) Identify and prioritize main problems for lack of techniques which cause poor management of cost control with poor site organization and inadequate supervision. 2) Demonstrate the modified Activity Based Costing system as best choices for cost accounting approach for determining construction project accurate cost. To improve capital project cost schedule and predictability using project control system for monitoring and predicting the construction project outcomes. The detailed scope of control systems must base on complexity, size and sensitivity strategy of studied project.
Keywords
Ranking factors; Activity Based Costing; Value Engineering; Earned Value Management; Target Cost and Construction Management
References
  1. Kenley, R. (2014). Productivity improvement in the construction process. Construction Management and Economics, 32(6), 489-494. https://doi.org/10.1080/01446193.2014.930500
  2. Bent Flyvbjerg (2014). " What You Should Know About Megaprojects and Why: An Overview", Project Management Journal, Vol. 45, No. 2, 6 – 19.
  3. Beaudet B.; Tobey B. and Harder S. (2019). "Life Cycle Cost Analysis for Decision Making in Collection System Rehabilitation". Pipelines 2019: Condition Assessment, Construction and Rehabilitation, pp. 187 – 197.
  4. Dixit, S, Mandal, S. N., Thanikal, J. V, & Saurabh, K. (2019a). Evolution of studies in construction productivity: A systematic literature review (2006-2017). Ain Shams Engineering Journal. https://doi.org/10.1016/j.asej.2018.10.010
  5. Reza S. and Arditi D. (2018) "Optimizing Financing Cost in Construction Projects with Fixed Project Duration" Journal of Construction Engineering and Management , Volume 144- Issue 4.
  6. Adrian, J.  (1987). “Construction Productivity Improvement”. Elsevier Science Publishing, Amsterdam, Netherlands.
  7. Shah, M. N., Dixit, S., Kumar, R., Jain, R., & Anand, K. (2019). Causes of delays in slum reconstruction projects in India. International Journal of Construction Management, 1-16. https://doi.org/10.1080/15623599.2018.1560546
  8. Abbas, M. (2012). "Improving Measurement of Project Performance in Earned Value Management" thesis submitted to the Civil Engineering Department, Alexandria University, in partial fulfillment of the requirements for the degree of Master of Science in Civil Engineering.
  9. Abdel-Razek, R. (2007). “Labor productivity: Benchmarking and variability in Egyptian projects. International Journal of Project Management 25,189–197.
  10. Dixit, Saurav, Mandal, S. N., Thanikal, J. V, & Saurabh, K. (2019b). Study of Significant Factors Affecting Construction Productivity Using Relative Importance Index in Indian Construction Industry. 09010.
  11. Baccarini, D. (1996). “The concept of project complexity-a review”. International Journal of Project Management Vol. 14, No. 4, pp. 201-204.
  12. Fayek, A. (2001) "Activity-Based Job Costing for Integrating Estimating, Scheduling, and Cost Control, Cost Engineering, Morgantown, Vol. 43, No. 8.
  13. Wang Q.; Mei T.; Kong L.; and Xiao Y. (2019), "Incentive Compensation Structure for Cost Control of Construction Project Based on IPD-Ish in China", International Conference on Construction and Real Estate Management, ICCREM 2019. Innovative Construction Project Management and Construction Industrialization, pp.101-108.
  14. Adjei K.; Aigbavboa C. and Thwala W. (2017). "Corrective Measures for Construction Project Cost Control ". International Conference on Construction and Real Estate Management, ICCREM 2017: Project Management and Construction Technology, pp. 31 - 37.
  15. Dixit, Saurav, Sharma, K., & Singh, S. (2020). Identifying and Analysing Key Factors Associated with Risks in Construction Projects. In K. G. Babu, H. S. Rao, & Y. Amarnath (Eds.), Emerging Trends in Civil Engineering (pp. 25-32). Singapore: Springer Singapore.
  16. Buiten M. and Hartmann A. (2015). "Asset Management Perspective on the Duration of Public-Private Partnership Contracts: Cost-Control Trade-off" Journal of Construction Engineering and Management, Volume 141, Issue 3.
  17. Aziz R. and Aboelmagd Y. (2019). "Integration between different construction bidding models to improve profitability and reduce prices". Alexandria Engineering Journal, Vol. 58, pp. 151–162.
  18. Asmar M., Ramsey D., Gibson E. and Bearup  W. (2020), "Design-Build for Transportation Projects: Cost and Schedule Change Performance Analysis", Journal of Legal Affairs and Dispute Resolution in Engineering and Construction. Volume 12 -Issue 1.
  19. Elmousalami H. (2020). "Artificial Intelligence and Parametric Construction Cost Estimate Modeling: State-of-the-Art Review", Journal of Construction Engineering and Management , Volume 146-Issue 1.
  20. Muhwezi, L., Acai, J., & Otim, G. (2014). An assessment of the factors causing delays on building construction projects in Uganda. Construction Engineering and Management, 3(1), 13-23. https://doi.org/10.5923/j.ijcem.20140301.02
  21. Burke R., (2006)," Project Management. Planning and Control Techniques", John Wiley & Sons.
  22. PMI. (2017). A Guide to the Project Management Body of Knowledge (PMBOK® Guide) - Sixth Edition. PMI.
  23. Liu, L. and Zhu, K. (2007). "Improving cost estimates of construction projects using phased cost factors", Journal of Construction Engineering and Management, Vol.133, No. 1, pp.91-95.
  24. Shaban M., (2013), "Methods Of Cost Control" thesis submitted to the Civil Engineering Department, Alexandria University, in partial fulfillment of the requirements for the degree of Master of Engineering in Civil Engineering .
  25. Guo-li, Y (2010),"Project Time and Budget Monitor and Control", Management Science and Engineering" Vol.4, No.1, PP.56-61.
  26. Liang, K. (2005), "Cost Control in Construction Project of the Site" report submitted in partial fulfillment of the requirements for the award of the degree of Bachelor of civil Engineering (Construction Management) – University Technology Malaysia.
  27. El-Deeb A.,(2006),"Cost Control during construction phases" thesis submitted to the Architectural Engineering Department, Alexandria University, in partial fulfillment of the requirements for the degree of Master of Science in Architectural Engineering.
  28. Lyer, K. and Jha, N. (2005). "Factors affecting cost performance: evidence from Indian construction projects", International Journal of Project Management, Publisher Elsevier UK. Vol.24, No. 4, pp. 283–295.
  29. Olawale, Y. and Sun, M. (2010). “Cost and Time Control of Construction Projects: Inhibiting Factors and Mitigating Measures in Practice”. Construction Management and Economics, 28 (5), 509 – 526.
  30. Hogg, R. V., and Tanis, E. A. (2009). Probability and statistical inference, 8th Ed., Prentice Hall, NJ.
  31. Jarkas, A. M., Kadri, C. Y., & Younes, J. H. (2012). A survey of factors influencing the productivity of construction operatives in the state of Qatar. International Journal of Construction Management, 12(3), 1-23. https://doi.org/10.1080/15623599.2012.10773192.
  32. Rasdorf J. and Abudayyh O. (1991), "Cost and Schedule- Control Integration Issues and Needs", Journal of the Construction Engineering and Management, ASCE, Vol. 117, No3. Page 486-502. 
Statistics
Article View: 1,015
PDF Download: 1,718