EFFECTS OF MATERIAL-WASTE CAUSES ON COST OVERRUN IN … · 5th CM Conference. EFFECTS OF...

5th CM Conference

“EFFECTS OF MATERIAL-WASTE CAUSES ON COST OVERRUN IN ABUJA, NIGERIA: A PROJECT

PLANNING STAGE PERSPECTIVE”

22nd August, 2014````````````````````````````

SAIDU, Ibrahim and Winston MW Shakantu

CONTENT OF THE PRESENTATIONBrief introductionMain problem and purposeMaterial waste and Cost overrunMethodologyResultsConclusion and recommendations

Common Found across 20 nations &

5 continents of the world. Affects 90% of completed

projects (Memon, 2013)

The argument on how to reduce or totally remove it has been ongoing for the past 70 years (Memon, 2013; Allahaim and Liu, 2012)

Waste & Co occur at diff stages of project: planning, design, estimating & constr

MATERIAL WASTE COST OVERRUNCommon 10-15% of the materials delivered to site in the UK end up as waste (Osmani et al. 2008)

The US gen 164m ton of constrwaste annually=30-40 % of the country’s MSW (Osmani, 2011)

China alone generates 30% of the world’s MSW, with C&D waste represents 40% of the MSW (Lu &Yuan, 2012)For 100 houses built in Nigeria, there is sufficient waste material to build another 10 (Ameh & Itodo, 2013)

RESEARCH PROBLEMMost managers of the Nigerian construction

projects pay little attention to the effects of material waste on project-cost overrun

There is little understanding of the effects of material-waste causes on cost overrun at the

planning stage of a projectFurther on-site investigation of material waste

causes and those of cost overruns at stages of projects was recommended

(Ameh & Itodo, 2013; Memon, 2013; Saidu, 2016; Saidu & Shakantu, 2016)

RESEARCH PURPOSEExamine the effects of

material-waste causes and their control measures on

cost overruns at the planning stage of a project

MATERIAL WASTE AND COST OVERRUN Construction waste is classified into: the physical (material

waste/solid waste) & the non-physical (time and cost overrun)

A DESK STOP research revealed: All (100%) material waste causes are related to the causes of cost overruns at the pre and post contract stage of a project, but not vice versa.

Construction Waste

Non-physical construction wastePhysical waste

Material waste Time overrunCost overrun

96.88% AND 81.81% of the causes of cost overrun were found in the causes of material-waste at the pre

and post contract stages respectively; with an average of 86.74%

An EMPIRICAL INVESTIGATION (on-site measurement of waste and cost overrun) revealed a

statistical significant relationship with a material waste contribution of 1-8% with an average of 4% to cost

overrun.

RESEARCH METHODOLOGY

RESULTS (MATERIAL WASTE ON COST OVERRUN)Very high effect: Inadequate site investigation; Poor communication flow among members; Inadequate plan for waste management unit; Improper planning of project risks; and The lack of regular site meetings at the planning stage

High effect : Improper co-ordination of the project and professionals; Communication error between clients & designers; Inexperienced personnel in planning & waste management Compliance with local authority in the case of local laws

RESULT (WASTE CONTROL MEASURES ON COST OVERRUN)VERY HIGH EFFECT:

Plan for early sub-soil investigations;Proper co-ordination and communication among members

HIGH EFFECT: Establishment of a good waste-management unit; Regular site meetings; Setting a target for material-waste reduction; and Engaging experienced personnel in planning

VERY LITTLE EFFECT:Proper insurance of workPlan for waste management in bidding & tendering process Re-improving process

Result of ANOVAThere was no SS difference in the views of

the respondents on the effects of construction material waste and their control measures on cost overruns

The respondents have the same views on the results.

CONCLUSION AND RECOMMENDATIONMaterial-waste causes and their control measures were

found to have significant (very-high, high, medium, low, and very-low) effects in causing / controlling cost overruns at the planning stage of a project. The respondents have the same views on the results

Effective management of material waste causes at theplanning stage would translate into a reduction in thelevel of cost overrun for a project

Management of material waste and cost overrun shouldbe revised based on the findings of this research as areference document and included as part of the precontract planning process for a project