Analysis of project success factors in construction industry
Abstract
A great emphasis has taken place to identify and analyse the factors that have been affecting the success and the failure of construction projects in recent decades. As a project-based industry, construction has heavily invested in such research. Moreover, the construction industry suffers the most to meet deadlines and budgets limits. The objective of this paper is to identify the critical success factors in construction industry. The study focused on Middle East region. In order to achieve this objective, 25 project success factors were identified by reviewing related literature. The factors were assessed for their impact and contribution to the actual performance of the project on three criteria: schedule, cost, and quality. Then a questionnaire was developed and sent to different experts in the construction industry. The collected data of 111 responses was then analysed statistically by using different tools such as: importance index, Spearman’s rank correlation factor and T-test. As a result, company’s technical capacity and scope and work definition were ranked the most important factors. The results of this research may provide a great assistance to professionals and researchers in identifying the critical factors in the construction industry.
First published online 28 December 2015
Keywords:
project success factors, construction industry, importance indexHow to Cite
Gunduz, M., & Yahya, A. M. A. (2018). Analysis of project success factors in construction industry. Technological and Economic Development of Economy, 24(1), 67–80. https://doi.org/10.3846/20294913.2015.1074129
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Copyright (c) 2018 The Author(s). Published by Vilnius Gediminas Technical University.
This work is licensed under a Creative Commons Attribution 4.0 International License.
References
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Doloi, H.; Sawhney, A.; Iyer, K. C.; Rentala, S. 2012. Analysing factors affecting delays in Indian construction projects, International Journal of Project Management 30(4): 479–489. <a href= "http://dx.doi.org/10.1016/j.ijproman.2011.10.004" target="_blank"> http://dx.doi.org/10.1016/j.ijproman.2011.10.004</a>
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Atkinson, R. 1999. Project management: cost, time and quality, two best guesses and a phenomenon, its time to accept other success criteria, International Journal of Project Management 17(6): 337–342. <a href= "http://dx.doi.org/10.1016/S0263-7863(98)00069-6" target="_blank"> http://dx.doi.org/10.1016/S0263-7863(98)00069-6</a>
Barber, R. 2005. Understanding internally generated risks in projects, International Journal of Project Management 23(8): 584–590. <a href= "http://dx.doi.org/10.1016/j.ijproman.2005.05.006" target="_blank"> http://dx.doi.org/10.1016/j.ijproman.2005.05.006</a>
Bryde, D. J.; Robinson, L. 2005. Client versus contractor perspectives on project success criteria, International Journal of Project Management 23: 622–629. <a href= "http://dx.doi.org/10.1016/j.ijproman.2005.05.003" target="_blank"> http://dx.doi.org/10.1016/j.ijproman.2005.05.003</a>
Chan, A. P. C.; Scott, D.; Chan, A. P. L. 2004. Factors affecting the success of a construction project, ASCE Journal of ConstructionEngineering and Management 130(1): 153–155. <a href= "http://dx.doi.org/10.1061/(ASCE)0733-9364(2004)130:1(153)" target="_blank"> http://dx.doi.org/10.1061/(ASCE)0733-9364(2004)130:1(153) </a>
Chua, D. K. H.; Loh, P. K.; Kog, Y. C.; Jaselskis, E. J. 1997. Neural networks for construction project success, Expert Systems with Applications 13(4): 317–328. <a href= "http://dx.doi.org/10.1016/S0957-4174(97)00046-8" target="_blank"> http://dx.doi.org/10.1016/S0957-4174(97)00046-8</a>
Chua, D. K. H.; Kog, Y. C.; Loh, P. K. 1999. Critical success factors for different project objectives, ASCE Journal of Construction Engineering and Management 125(3): 142–150. <a href= "http://dx.doi.org/10.1061/(ASCE)0733-9364(1999)125:3(142)" target="_blank"> http://dx.doi.org/10.1061/(ASCE)0733-9364(1999)125:3(142) </a>
Coskun, H.; Erdis, E.; Demirci, M. 2013. Pricing policies as a marketing strategy in the construction industry: case study of Turkish companies, Technological and Economic Development of Economy 19(Supplement 1): S1–S21. <a href= "http://dx.doi.org/10.3846/20294913.2013.821688" target="_blank"> http://dx.doi.org/10.3846/20294913.2013.821688</a>
Cooke-Davies, T. 2002. The “real” success factors on projects, International Journal of Project Management 20: 185–190. <a href= "http://dx.doi.org/10.1016/S0263-7863(01)00067-9" target="_blank"> http://dx.doi.org/10.1016/S0263-7863(01)00067-9</a>
Dissanayaka, S. M.; Kumaraswamy, M. M. 1999. Evaluation of factors affecting time and cost performance in Hong Kong building projects, Engineering, Construction and Archetictural Management 6(3): 287–298. <a href= "http://dx.doi.org/10.1108/eb021119" target="_blank"> http://dx.doi.org/10.1108/eb021119</a>
Doloi, H.; Sawhney, A.; Iyer, K. C.; Rentala, S. 2012. Analysing factors affecting delays in Indian construction projects, International Journal of Project Management 30(4): 479–489. <a href= "http://dx.doi.org/10.1016/j.ijproman.2011.10.004" target="_blank"> http://dx.doi.org/10.1016/j.ijproman.2011.10.004</a>
Fortune, J.; White, D. 2006. Framing of project critical success factors by a systems model, International Journal of Project Management 24(1): 53–65. <a href= "http://dx.doi.org/10.1016/j.ijproman.2005.07.004" target="_blank"> http://dx.doi.org/10.1016/j.ijproman.2005.07.004</a>
Ghosh, S.; Buckler, L.; Skibniewski, M. J.; Negahban, S.; Kwak, Y. H. 2014. Organizational governance to integrate sustainability projects: a case study, Technological and Economic Development of Economy 20(1): 1–24. <a href= "http://dx.doi.org/10.3846/20294913.2014.850755" target="_blank"> http://dx.doi.org/10.3846/20294913.2014.850755</a>
Gudiene, N.; Banaitis, A.; Podvezko, V.; Banaitiene, N. 2014. Identification and evaluation of the critical success factors for construction projects in Lithuania: AHP approach, Journal of Civil Engineering and Management 20(3): 350–359. <a href= "http://dx.doi.org/10.3846/13923730.2014.914082" target="_blank"> http://dx.doi.org/10.3846/13923730.2014.914082</a>
Gunduz, M.; Hanna, A. S. 2005. Benchmarking change order impacts on productivity for electrical and mechanical projects, Building and Environment Journal 40(8): 1068–1075. <a href= "http://dx.doi.org/10.1016/j.buildenv.2004.10.004" target="_blank"> http://dx.doi.org/10.1016/j.buildenv.2004.10.004</a>
Jaselskis, E. J.; Ashley, D. B. 1991. Optimal allocation of project management resources for achieving success, ASCE Journal of Construction Engineering and Management 117(2): 321–340. <a href= "http://dx.doi.org/10.1061/(ASCE)0733-9364(1991)117:2(321)" target="_blank"> http://dx.doi.org/10.1061/(ASCE)0733-9364(1991)117:2(321) </a>
Jaśkowski, P.; Biruk, S. 2011. The method for improving stability of construction project schedules through buffer allocation, Technological and Economic Development of Economy 17(3): 429–444. <a href= "http://dx.doi.org/10.3846/20294913.2011.580587" target="_blank"> http://dx.doi.org/10.3846/20294913.2011.580587</a>
Jha, K. N.; Iyer, K. C. 2007. Commitment, coordination, competence and the iron triangle, International Journal of Project Management 25(5): 527–540. <a href= "http://dx.doi.org/10.1016/j.ijproman.2006.11.009" target="_blank"> http://dx.doi.org/10.1016/j.ijproman.2006.11.009</a>
Kaming, P. F.; Olomolaiye, P. O.; Holt, G. D.; Harris, F. C. 1997. Factors influencing construction time and cost overruns on high-rise projects in Indonesia, Construction Management and Economics 15(1): 83–94. <a href= "http://dx.doi.org/10.1080/014461997373132" target="_blank"> http://dx.doi.org/10.1080/014461997373132</a>
Kog, Y. C.; Loh, P. K. 2012. Critical success factors for different components of construction projects, ASCE Journal of Construction Engineering And Management 138(4): 520–528. <a href= "http://dx.doi.org/10.1061/(ASCE)CO.1943-7862.0000464" target="_blank"> http://dx.doi.org/10.1061/(ASCE)CO.1943-7862.0000464</a>
Leung, M. Y.; Ng, S. T.; Cheung, S. O. 2004. Measuring construction project participant satisfaction, Construction Management and Economics 22(3): 319–331. <a href= "http://dx.doi.org/10.1080/01446190320000000000" target="_blank"> http://dx.doi.org/10.1080/01446190320000000000</a>
Mitkus, S.; Trinkūnienė, E. 2008. Reasoned decisions in construction contracts evaluation, Technological and Economic Development of Economy 14(3): 402–416. <a href= "http://dx.doi.org/10.3846/1392-8619.2008.14.402-416" target="_blank"> http://dx.doi.org/10.3846/1392-8619.2008.14.402-416</a>
Munns, A. K.; Bjeirmi, B. F. 1996. The role of project management in achieving project success, International Journal of Project Management 14(2): 81–87. <a href= "http://dx.doi.org/10.1016/0263-7863(95)00057-7" target="_blank"> http://dx.doi.org/10.1016/0263-7863(95)00057-7</a>
Ogunlana, S.; Siddiqui, Z.; Yisa, S.; Olomolaiye, P. 2002. Factors and procedures used in matching project managers to construction projects in Bangkok, International Journal of Project Management 20: 385–400. <a href= "http://dx.doi.org/10.1016/S0263-7863(01)00017-5" target="_blank"> http://dx.doi.org/10.1016/S0263-7863(01)00017-5</a>
Pinto, J. K. 1985. Project managers and major projects, Project Management Journal 3(4): 225–230. <a href= "http://dx.doi.org/10.1016/0263-7863(85)90054-7" target="_blank"> http://dx.doi.org/10.1016/0263-7863(85)90054-7</a>
PMI. 2004. A guide to the project management body of knowledge [online], [cited 07 April 2014]. Available from Internet: <a href= "http://www.pmi.org" target="_blank"> www.pmi.org</a>
Pocock, J. B.; Liu, L. Y.; Kim, M. K. 1997. Impact of management approach on project interaction and performance, ASCE Journal of Construction Engineering and Management 123(4): 411–418. <a href= "http://dx.doi.org/10.1061/(ASCE)0733-9364(1997)123:4(411)" target="_blank"> http://dx.doi.org/10.1061/(ASCE)0733-9364(1997)123:4(411) </a>
Sambasivan, M.; Soon, Y. 2007. Causes and effects of delays in Malaysian construction industry, International Journal of Project Management 25: 517–526. <a href= "http://dx.doi.org/10.1016/j.ijproman.2006.11.007" target="_blank"> http://dx.doi.org/10.1016/j.ijproman.2006.11.007</a>
Sanvido, V.; Parfitt, K.; Guveris, M.; Coyle, M. 1992. Critical success factors for construction projects, ASCE Journal of Construction Engineering and Management 118(1): 94–111. <a href= "http://dx.doi.org/10.1061/(ASCE)0733-9364(1992)118:1(94)" target="_blank"> http://dx.doi.org/10.1061/(ASCE)0733-9364(1992)118:1(94) </a>
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2018-01-17
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Copyright (c) 2018 The Author(s). Published by Vilnius Gediminas Technical University.
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Gunduz, M., & Yahya, A. M. A. (2018). Analysis of project success factors in construction industry. Technological and Economic Development of Economy, 24(1), 67–80. https://doi.org/10.3846/20294913.2015.1074129