CAUSES OF VARIATION ORDER IN BUILDING AND CIVIL ENGINEERING PROJECTSIN NIGERIA
DOI:
https://doi.org/10.11113/jt.v77.6404Keywords:
Variation, variation order, construction industry, NigeriaAbstract
Variation does not only affect labour productivity but also leads to the dispute, time and cost overrun. Consequently, it affects projects performance. It is, therefore, imperative for construction professionals to eliminate unnecessary additional cost from a project so as to optimize the client’s benefit against input resources. This paper identifies and examines the most significant causes that contribute to the variation orders. Also, Nigerian construction industry is used as a case study. Variation orders causing factors were assessed. Questionnaires were administered to clients, consultants and contractors to elicit information regarding variation causing factors. These factors were analyzed using frequency aggregation, mean score method and subsequently ranked according to their severity. The result revealed three most significant causes of variation which are: ‘Change of plan’’ with the highest frequency of 58% then followed by ‘‘Conflicting contract documents (50%). The next most frequent causing factors were the “substitution of materials†and “change in design†each with frequency of 43%. The least causing factor of variation was the “error and omission in design†with the frequency of 10%. Also differing site condition, new government regulation, weather condition were identified as other cause of variation with the frequency of 27%, 29% and 10% respectively. It has also shown that most critical source of variation order is the client due to change of plan then followed by consultant due to conflicting contract document.
References
Osman, Z., Omran A. and Foo, C.K. 2009. The Potential Effects Of Variation Orders in Construction Projects. Journal of Engineering. 2: 141-152.
Ijaola I. A and Iyagboa O. 2012. A Comparative Study of Causes of Change Orders in Public Construction Project in Nigeria and Oman. Journal of Engineering Trends In Economics aAnd Management Sciences. 3(5): 495-501.
Arain F. M., Assaf S and Low S. P. 2004. Causes of Discrepancies Between Design And Construction. Architectural Science Review. 47(3): 237-249.
Ubani, E., C. Nwachukwu, and O. Nwokonkwo. 2010. Variation Factors of Project Plans and Their Contributions to Project Failure in Nigeria. American Journal of Social and Management Sciences. 1(2): 141-149.
Ayodele E. O. and Alabi O. M. 2011. Abandonment of Construction Projects in Nigeria: Causes and Effects. Journal of Emerging Trends in Economics and Management Sciences (JETEMS). 2 (2): 142-145.
Mohamed, A. A. 2001. Analysis and Management of Change Orders for Combined Sewer over flow construction projects. Dissertation, Wayne State University Occupational Health and Safety Act No 85 of 1993, 2003, Construction Regulation.
O’Brien, J. J. 1998. Construction Change Orders. McGraw Hill, New York, NY.
Fisk E. R. 1997. Construction Project Administration. 5th edition. Prentice Hall, New Jersey.
Akinsola A. O., Potts K. F., Ndekugri I. and Harris F. C. Identification and Evaluation of Factors Influencing Variations on Building Projects. International Journal of Project Management. 15(4): 263-267.
Ssegawa, J. K., Mfolwe, K. M., Makuke, B. and Kutua, B. 2002. Construction Variations: A Scourge Or A Necessity. Proceedings of the 1st CIB-W107 International Conference on Creating a Sustainable Construction Industry in Developing Countries, Cape Town, South Africa. Available at www.odsf.co.za/cdcproc/docs/3rd/ssegawa_jk_mfolwe_km.pd.
Ruben, N. and Theo, H. 2009. Variation Orders on Construction Projects: Value Adding Or Waste? International Journal of Construction Project Management. IJCPM. 1(2): 1-17.
Manzoor, A., Faisal, and Low, S. P. 2005. The Potential Effects of Variation Orders on Institutional Building Projects Facilities. 23(11/12): 496-510.
Yates, D. J. and Hardcastle, C. 2003. The Causes Of Conflict And Disputes In The Hong Kong Construction Industry. RICS Research Paper Series. 4 (22): 1-50.
William Ibbs, Long, D. Nguyen and Seulkee L. 2007. Quantified Impacts of Project Change. Journal of Professional Issues In Engineering Education and Practice. 1(45): 45-52.
Hester, W. T., Kuprenas, J. A., and Chang, T. C. 1991. Construction Changes And Change Orders: Their Magnitude And Impact. Constr. Industry Inst. (Cll), Source Document 66, CII, Austin, Tex.
Moselhi, o., Leonard, C., and Fazio, P. 199 I. Impact of Change Orders On Construction Productivity. Canadian. Journal of Civ. Engineering. Ottawa, Canada. 18: 484-492.
Thomas, H. R. and Napolitan, C. L. 1995. Quantitative Effects Of Construction Changes On Labor Productivity. Journal of Construction Engineering and Management. 121(3): 290-296.
Hanna, A. S. and Gunduz, M. 2004. Impact Of Change Orders On Small Labor-Intensive Projects. Journal of Construction Engineering and Management. 130(5): 726-733.
Muhd Z. A. M., and Ronald M. 1998. Factors of Non-Excusable Delays That Influence Contractors’ Performance. Journal of Management in Engineering. 14: 42-49.
CII. 1990. The Impact of Changes on Construction Cost and Schedule, Construction Industry Institute, University of Texas at Austin, Austin, TX.
Kumaraswamy, M. M., Miller, D. R. A. and Yogeswaran, K. 1998. Claims for Extensions Of Time In Civil Engineering Projects. Construction Management and Economics. 16(3): 283-294.
Oladipo A. A. 2007. A Quantitative Assessment Of The Cost And Time Impact Of Variation Orders On Construction Projects. Journal of Engineering, Design and Technology. 5 (1): 35-48.
Planning Committee on National Construction Policy. 1989. Draft National Construction Policy, Federal Ministry of Works and Housing, Lagos.
Aniekwu, A. 1995. The Business Environment Of The Construction Industry in Nigeria. Construction Management and Economics. 13: 445-55.
Okuwoga, A. A. 1998. Cost-time Performance Of Public Sector Housing Projects in Nigeria. Habitat International. 22(4): 389-95.
Adeyemi, A. Y., Oladapo, A. A. and Akindele, O. 2005. Balancing Globalization, Glocalisation And The Sustainable Development Equation In The Nigerian Construction Industry. Paper Presented at 3rd Postgraduate Conference, Johannesburg, 9-11 October.
AfDB/OECD. 2004. African Economic Outlook. 247-60. Available at: www.chathamhouse. org.uk/pdf/research/Africa/Nigeria.pdf.
Ogunsami, O. E. 2013. Effects of Procurement Related Factors On Construction Project Performance In Nigeria. Ethiopian Journal of Environmental Studies and Management. 6(2): 215-222.
Dadzie, J, Abdul-Aziz A. R. and Kwame A. 2012. Performance of Consultants on Government Projects in Ghana : Client And Contractor Pespective. International Journal of Business and Social Research. 2(6): 256-67.
Ayininuola, G. M. and Olalusi, O. O. 2004. Assessment of Building Failures In Nigeria: Lagos And Ibadan Case Study. African Journal of Science and Technology. 5(1): 73-78.
Diekmann, J. E., and Nelson, M. C. 1995. Construction Claims: Frequency And Severity. Journal of Construction. Engineering and Management. ASCE. 111(1).
Jacobs, R. C., and Richter I. 1978. How to Cope With Claims And Change Orders. Construction Contracting. McGraw-Hili Inc. New York, N.Y.
Clark, W. G. 1990. Claims Avoidance And Resolution. Trans. Am. Assn. Cost Engrs. Boston, Mass. R-I: 1-6.
Clough, R. H. and Sears, G. A. 1994. Construction Contracting. 6th ed. John Wiley & Sons Inc., New York.
Arain and Low Sui Pheng. 2006. The Potential Effects Of Variation Orders On Institutional Building Buildings Projects. The Emerald Research. Facilities. 23(11/12): 496-510.
Weisfeld, M. and Ciccozzi, J. 1999. Software Project Management Software By Committee. Project Management. 5(1): 30-36.
Hibberd, P. R. 1986. Variations on Construction Contracts. Collins, London.
Cambridge Systematics, Inc. 1998. Department of Transportation, Highways And Rail Programs Performance Audit, Report 98-2. Cambridge Systematics. Inc., Cambridge, MA.
Gbeleyi, S. A. 2002. An Evaluation Of The Causes And Effects Of Variation On Building Project Execution In Nigeria. Unpublished BSc dissertation, Department of Quantity Surveying, Obafemi Awolowo University, Ile-Ife.
Richard O. A and Kofi O. N. 2013. Variation Determinants in Building Construction: Ghanaian Professionals Perspective. Journal of Construction Engineering and Project Management. 3(4): 20-25
Zou P.X.W, Zhang G and Wang J. 2007. Understanding the Key Risks In Construction Projects in China. International Journal of Project Management. 25(6): 601-614.
Mohammad, N., Che, A. I. A., Rakmat, R. A. O. K and Yusof, M. A. 2010. Investigation on the Causes of Variation Orders in the Construction of Building Project–A Study in the State of Selangor, Malaysia. Journal of Building Performance. 1(1): 73-82.
Jaspal, S. N., Abdul Aziz, H. and Abdelnaser, O. 2010. Variations in Government contract in Malaysia. Information Management. 12.
Sun M., and Meng, X. 2009. Taxonomy for Change Causes And Effects In Construction Projects. International Journal of Project Management. 27(6): 560-572.
Remon Fayek Aziz. 2013. Factors Causing Cost Variation For Constructing Wastewater Projects in Egypt. Alexandria Engineering Journal. 52: 51-56.
Gambo, N., Shehu, A. I. and Mohammed S. A. 2012. An Appraisal Of Proportional Influences Of Fluctuations And Variations On The Final Cost Of Public Building Projects In Nigeria. Journal of Environmental Science and Resources Management. 4: 88-95.
Heap, Y. C. and Rozli, M. Z. 2012. Selection of Dispute Resolution Methods: Factor Analysis Approach. Engineering, Construction and Architectural Management. 19(4): 428-443.
Zaimi, A. M., Zakaria, W., Lamit, H., Keyvanfar, A. and Shafaghat, A. 2012. Executive Information Site Management System For Monitoring Project Performance: System Requirement Study. International Journal of Sustainable Development. 3(3): 11-26.
Henry. A. O and Ade Y. 1997. The Causes And Effects Of Construction Delay On Completion Cost Of Housing Projects In Nigeria. Journal of Financial Management of Property and Construction. 34(1): 31-42.
Chong, Heap-Yih, and Rosli Mohamad Zin. 2012. Selection of Dispute Resolution Methods: Factor Analysis Approach. Engineering, Construction and Architectural Management. 19(4): 428-443.
Downloads
Published
Issue
Section
License
Copyright of articles that appear in Jurnal Teknologi belongs exclusively to Penerbit Universiti Teknologi Malaysia (Penerbit UTM Press). This copyright covers the rights to reproduce the article, including reprints, electronic reproductions, or any other reproductions of similar nature.
