Project – An apppraisal of the use of construction management techniques in Nigerian construction industry

CHAPTER ONE

1.0                BACKGROUND INFORMATION

A major concern of construction stakeholders (clients, consultants, and contractors) in Nigerian construction industry is how to improve service delivery

(Akinyele, 2012).  Mitullah and Wachira (2003) have reported that the development of an efficient construction industry is an objective of policy in most countries. The construction industry contributes immensely to employment, gross fixed capital formation and gross domestic products. It can be said that housing, education, religion, etc and in fact all amenities of civilization lay claim on the construction industry (Timothy, 2003). Attah (2014) emphasized that Construction sector is the major contributor of the GDP in Nigeria and in the practice of construction management; there are some tools to be used to achieve the best results in project delivery. According to Owolo-Okereke (1988), the construction  industry accounts for about 60 percent of the Nation’s Capital Investment and 30 percent Domestic Product (GDP). During the last decades, the Nigerian construction sector has experienced some rapid changes and advancement in the construction practices as well as the management of the construction work.

Construction is no longer limited to the physical activities involving men, materials  and machinery but covers the entire gamut of activities from conception to realization of the construction project (Gahlot, 2002)

The United Nations Environment Program (UNEP) has noted that about one-tenth of the global economy is dedicated to construction and operating homes and offices (UNEP, 1996). Mitullah and Wachira (2003) also stated that construction activity plays a vital role in the process of economic growth and development, both through its products (infrastructure, buildings) and through the employment created in the Process of construction itself.

The construction industry is very important in the economic development of any nation, especially in an expanding economy like Nigeria (Timothy, 2003). Construction sector grows by 7.66 percent in Q2 2018 from1.54 percent inQ1 2018 and4.14 percent in Q4 2017, Www.dailytrust.com.ng. Therefore, effort gears towards improving the efficiency of the construction industry in Nigeria in terms of enhancing construction management techniques as this contribute to better performance of the industry. This study therefore examines the construction management techniques among contracting firms in Owerri Metropolis, Imo State.

A project is made up of a group of interrelated work activities constrained by a specific scope, budget, and schedule to deliver capital assets needed to achieve the strategic goals of an Agency (Idoro and Patunola – Ajayi, 2009). The requirement of any successful project is that it must have a beginning and an end. The management of construction projects requires a sound knowledge of modern management techniques as well as an understanding of the design and construction process. However, they are serious concern about  construction projects delivered in various parts of the country after huge financial mobilization made. The practice of construction management requires appropriate skill and techniques that go beyond technical expertise only. Moreover, it encompasses good and sound management skill to manage resources within the budget, monitor the progress of the work, and prepare job schedule and unpredicted outcome, while at the same time dealing with people and organizational issues (Abbasi & Al-Mharmah, 2000).

The application of construction management practice is an approach which would aid in improving management capabilities and enable the construction sector to efficiently deliver projects and attain developmental objectives (Arnaboldi, Azzone & Savoldelhi, 2004). Construction projects have a specific set of objectives and constraints such as a required time frame for completion. While the relevant technology, institutional arrangements or processes will differ, the management of such projects has much in common with the management of similar types of projects in other specialty or technology domains such as aerospace, pharmaceutical and energy developments (Muller and Turner, 2007).

Construction project in Nigeria are worth Billions of Naira, and it is of great importance that construction management practice is given great attention, including the best practices methods of construction and its challenges (Ugwu and Attah, 2014). Construction Project management is the art of directing and coordinating human and material resources throughout the life of a construction project by using modern construction management techniques to achieve predetermined objectives of scope, cost, time, quality and participation satisfaction (Idoro et. al, 2009).

By contrast, the general management of business and industrial corporations assumes a broader outlook with greater continuity of operations. Nevertheless, there are sufficient similarities as well as differences between the two so that modern management techniques developed for general management may be adapted for project management (Arnaboldi et.al, 2004)

Knowledge of general management and familiarity with the special knowledge domain related to the project are indispensable. Supporting disciplines such as computer science and decision science may also play an important role. In fact, modern management practices and various special knowledge domains have absorbed various techniques or tools which were once identified only with the supporting disciplines. (Arnaboldi et.al, 2004). For example, computer- based information systems and decision support systems are now common-place tools for general management. Similarly, many operations research techniques such as linear programming and network analysis are now widely used in many knowledge or application domains.

Construction management encompasses a set of objectives which may be accomplished by implementing a series of operations subject to resource constraints. There are potential conflicts between the stated objectives with regard to scope, cost, time and quality, and the constraints imposed on human material and financial resources (Idoro, et.al, 2009). These conflicts should be resolved at the onset of a project by making the necessary tradeoffs or creating new alternatives

1.1 STATEMENT OF RESEARCH PROBLEM

Embarking on a construction project involves taking risks, as the Nigeria construction industry is not risk free. Also the Nigerian construction industry is characterized with the lack of capacity to deliver optimally as a result of poor service delivery which creates dissatisfaction among clients, according to Nwachukwu  and  Ajayi (2009), the Federal Government of Nigeria stipulated that procurement of public assets and services must be through the application of value for money standards and practices in order to improve service delivery. Most construction projects in Nigeria suffer from either cost overrun, disputes among the parties, unnecessary claims or abandonment. All of these are as a result of non implementation of proper management techniques in the construction industry despite the advocacy. (Akinyele, 2012) It is in view of this that the study is carried out to assess the readiness of the Nigerian construction industry with a view to achieve value for money in project delivery by assessing the extent of implementation

1.2 AIM AND OBJECTIVES OF THE STUDY

1.2.1 The Aim of the Study

The aim of this study is to evaluate tools / techniques for managing construction project with a view to improving project delivery process in Owerri Metropolis, in Imo state

1.2.2 The Objective of the Study

To achieve the above stated aim, the following objectives are set to:

1. investigate the extent of the use of management tools in Nigeria using Owerri Metropolis, Imo State as a study area
2. examine the effect of the application of construction management techniques on construction cost, time and quality in the study area.
3. assess factors limiting the use of the construction management techniques in Owerri Metropolis in Imo State
4. develop strategies to improve the adoption of construction management

Techniques

1. demonstrate how some of the techniques can be used

1.3 RESEARCH QUESTIONS

From the above objectives, the research question generated which this study provides answers to are:

1. To what extent is the use of management techniques in the study area?
2. What are the effect of the application of some construction management techniques on        construction cost, time and overall performance in Owerri Metropolis, Imo State?
3. What are the factors limiting the use of construction management techniques in Owerri Metropolis, Imo State?
4. What are the strategies required to improve the adaptation of construction management techniques?
5. What are the ways some of the techniques can be used?

1.4 RESEARCH HYPOTHESIS

Ho₁: there are no effects on the use of construction management techniques on Cost, Time, Quality and Overall performance in the construction industry in Imo State.

Ho₂: there are no factors to improve the awareness of construction management techniques in the study area.

1.5 JUSTIFICATION OF THE STUDY

Nigeria has large expanse of undeveloped land requiring road construction to link many part of the country with other parts and construction of low cost housing to accommodate many of its city dwellers. Also that many state governments are coming to terms with the importance of sticking to master plans and town planning laws means that in coming years many large scale construction projects will be embarked upon. Infrastructure such as road, electricity, water supply, hospitals, telecommunication, and security systems among others facilitate agricultural, industrial and commercial production; render social services; and maintain the security of a community (Adewoye, 2007).

This has prompted governments at both state and federal levels to embark on long term infrastructure projects. State and Federal governments are looking for alternative sources of revenue (non-oil based sources) like taxation which depends largely on available infrastructure. Of recent, crude oil deposits have been found in some parts of Nigeria implying that very soon infrastructural work would begin in surrounding areas. However, this is also dependent on security as the Niger delta is highly notorious for security threats from militants. Therefore, good management techniques will definitely determine the kind of output of the industry and measure the efficiency of the industry in Nigeria with Owerri Metropolis in Imo State as a case study.

1.6 SCOPE / DELIMITATION OF THE STUDY

1.6.1 Scope of the Study

The management of construction project is a tool for achieving an efficient construction industry. The scope of this study is on the application of construction management techniques which range from buildings such as institutional, commercial, residential building and civil engineering works such as roads, culverts, bridges etc among others. The scope of this study is limited to some Construction

Industries

1.6.2 Limitation of the Study

The following are the limitation to the scope of the study:

1. Time constraints imposed by the limited period within which Msc programme lasts is a limiting factor. Therefore, the focus is on some of the public / private buildings and some civil engineering projects. Thus every type of building project and civil engineering projects are not covered in the study. Much time will be spent in travelling to meet the respondents and visit to the project sites Restrictive feedback of respondents resulting from high level of secrecy experienced within most construction professionals. Construction professionals and contractors usually viewed it as revealing vital information to the public irrespective of its confidentiality
2. Accessibility to the project sites occasioned by uncontrollable insecurity such as kidnapping, theft, rape etc

1.7 DEFINITION OF TERMS

In order to have an in-depth knowledge of some of the key words which we be constantly used in the cause of achieving this project, it will be what while to explain the following:

Construction: The action of building, typically a large structure. This is the techniques / technology of production of either building or civil works

Management: Management is a social process by which a co-operative group (supervisors) directs the action of others (subordinates) towards accomplishing a common goal. This is an effective method of management that helps to develop a productive work place. It is equally the act getting things done by others for an effective and efficient result

Construction Industry: The branch of manufacture and trade based on building, manufacturing and repairing structures.

Timothy (2003) posited that the construction industry is almost as old as nature itself and unlike many manufacturing industries, is concern mostly with one-off project. The construction industry is very important in the economic development of any nature especially in an expanding economy like Nigeria. It contributes immensely to employment, gross fixed capital formation and gross domestic products. Therefore, it can be said that housing, education, religion etc and in fact all amenities of civilization lay claim on the construction industry

According to Aginah and Irem (2019), the construction industry refers to the organized economic activities involving assembling materials, labour and other resources (such as money and machines and managing all these inputs towards achieving a desired goal which is usually a permanent structure (project) to serve not only individuals but also public interest at large in a societal group

The Construction Industry the world over is often perceived to be the life wire of its respective economics as it cuts across all aspect of human activities (Aginah and Irem 2019)

Management Techniques:

Different techniques are used in managing projects for a describable outcome. There are several kind of techniques but not limited to the following: Work Breakdown Structure, Gantt Charts, PRINCE 2, and Project Networks (Critical path Networks and Programme Evaluation and Review Techniques), Project Sensitivity Analysis, Cost Benefit Analysis, Graphical Evaluation and Review Technique (GERT) and Construction Project Software. Line of Balance, ABC Cost Analysis

Project – An apppraisal of the use of construction management techniques in Nigerian construction industry