Samuel Laryea

Key economic principles and considerations influencing the bidding price of a construction project are discussed in this chapter. The chapter also covers the way that certain factors influence client and contractor economic behaviour in the bidding process. Also highlighted are some of the theories that have been used by academic researchers in the field of construction economics to explain bidding behaviour in construction.

A comparative analysis of public sector infrastructure projects implemented using a traditional public sector model versus projects implemented using a modern management contractor model is presented. Traditionally, the implementation of public sector construction projects in South Africa is undertaken by an implementer such as a Department of Public Works on a traditional design by employer contracting strategy. However, in 2014, the Western Cape Education Department created a framework contract and employed two management contractors with single point accountability to implement maintenance and upgrading projects alongside those implemented in the traditional manner. 122 projects implemented by management contractors are evaluated and compared with 35 implemented by the Western Cape Department of Transport and Public Works based on cost performance, time performance, and professional services costs of the two approaches. The practice of including contingency and provisional sums in contracts distorts the cost performance analysis and superficial comparisons can be misleading. The management contracts delivered more projects on time. The professional service costs associated with management contracts was 9.2% compared to 15.6% for public works projects. The overall evidence demonstrates that the management contracting system is efficient and suited to the nature of maintenance and upgrading projects and delivers significant advantages.

Many of the current textbooks used to teach construction-related courses in West
African institutions fail to fully articulate the local construction practices and
stylized facts that are unique to construction in the region. !is textbook is an
attempt to begin bridging this gap. !e main aim is to illuminate some of the main
issues and local practices relating to construction in West Africa, to provide a basis
for understanding the nature of the construction sector in the subregion, and its
relationship with local practices elsewhere in the world.
!e idea of writing a textbook on construction in West Africa emerged during
the WABER 2010 Conference which took place in Accra, Ghana on 19-21 July.
Looking at the 150+ participants comprising of construction academics, researchers
and practitioners, we saw the WABER conference as an opportunity to mobilise
ourselves and take this "rst step of providing a useful textbook for students and
researchers of construction in West Africa. Although the o#cial title of the book
is: “Construction in West Africa”, its origins and process of development has led
most people to simply refer to it as the “WABER Book”. !e end result just goes
to show what we can collectively achieve when we work together, share ideas and combine what we know.
!e chapters have been written by ten academics of West African origin based in six different countries. !e reviewers of the draft chapters for the book are based
in ten countries. !is scope and diversity is one of the strengths underpinning
the textbook, in that, the authors touch on a variety of interesting areas and draw
upon a broad array of experiences. In some chapters, the authors have been able to
relate their experiences of the construction sector in West Africa to local practices
elsewhere.
!e "rst chapter addresses the nature of economies in West Africa and its
relationship with the construction sector. !e production of construction goods, services, utilities and works happens within an economic context. This chapter helps in our understanding of some of the issues relating to demand and supply of construction goods and services, stylized features of the construction sector,
and economic institutions that support the construction industry such as banks,
insurance "rms, derivative markets and non-bank "nancial institutions.
!e second chapter provides a lens for understanding some of the historical
antecedents shaping the construction of buildings and infrastructure in West Africa. Architecture and urbanisation in most West African cities have been significantly influenced by the colonial period. Many buildings in West African
cities were constructed during the colonial period, as evidenced by the structures in areas such as Accra, Lagos, Abidjan and Bamako. However, one interesting thing about these buildings is how they have been incorporated over time into the local
and dynamic fabric of the locality, although their uses may have changed over
time according to the needs of the population, they continue to stand and testify to the British and French influence of this period and African adaptability in the independence period.
!e third chapter deals with the commonly seen architecture and building forms
in West Africa. !e concepts of traditional architecture, colonial architecture and
contemporary architecture are examined to consider the potential implications
on future design and construction practices. !is chapter examines the material
form and construction of speci"cally West African architecture, attempting a brief
survey of buildings from the nomadic dwellings of the Saharas dry savannah belt,
through to the rainforest wattle and daub settlements, to the stilt buildings found
in the mangrove swamps in coastal West Africa. It highlights the relationship of
building construction and form to socio-cultural economic and environmental
contexts in each case.
As construction activities involve input from people with the relevant knowledge
and skills, the fourth chapter on human resources explores some of the common
Human Resources practices in public and private construction sectors, particularly,
in Ghana and Nigeria. Key issues discussed include the role and demand of human
resources, workforce compositions and human resource challenges. A useful
point discussed is the need for better strategic management of the construction
workforce to improve the development and sustenance of the construction sector
and its contribution to the economic development of the subregion.
One of the initial activities carried out for every construction project or property
development is planning. !is may be carried out in formal and informal ways
depending on the scale of the development, location and regulatory requirements.
Although there is evidence of some level of planning and building regulations
during the pre-colonial era in most countries in West Africa, it was not until
the colonial administration that formal planning and building regulations were
institutionalised. Several decades a%er independence, most of the legislations and
institutions established still take centre stage in current planning and building
regulatory activities. With increasing urbanization in West African countries, the
adequacy and strength of such institutions are put to test. In the "%h chapter, three
issues are discussed in relation to the planning processes and building regulations
of countries in West Africa, i.e. the planning process, building regulations and the
state of cities.
vii
Procurement approaches and contract networks are essential parts of construction
projects. In a wider sense, procurement processes relate to the methods and
relationships involved in the acquisition of goods, utilities, services and works.
In construction, a procurement strategy describes the roles, responsibilities and
relationships of the various organizations involved in developing the funding,
design, construction and operation of a building or facility. In the sixth chapter,
some of the salient issues covered include the institutional framework within which
construction is procured; how to develop a tendering and procurement strategy
for a construction project appropriate to its context; key constraints on organizing
construction supply chains; and the impact of the economy on the options open
to a procurer of construction work. Anyone involved in procurement decisionmaking
should have a clear understanding of the various stages of deciding
on a procurement policy, including sources of funds, management of design,
management of construction, integration of supply chain, calculation of price, and
method for selecting contracting parties including consultants. !ey also need to
have an understanding of the various kinds of contracts used in construction.
!e seventh chapter focuses on the calculation of price which is a fundamental
activity in construction contracts. !ere are various techniques of how prices are
calculated i.e. "xed price or cost reimbursement. !is mechanism for calculating
the construction price has an impact on the pricing strategy of a contractor, and on
the risks associated with cash #ow, "nancial protection and, ultimately, price. !e
issues covered include the calculation of construction costs, elements of a bidding
price, factors considered by contractors in deciding whether or not to bid for a
project, and risks that a$ect pricing levels. !ree important concepts relating to
price formation in contracts are cost, price and value. Cost refers to the amount
people pay for their resources. Price refers to the amount for which people sell
their products or services. Value refers to the amount buyers are willing to pay
for products and services, i.e. how much it is worth to the buyer. !e relationship
between these three concepts is vital in procurement and price formation in
construction contracts.
Once a project is planned and the contractual arrangements are set out between
the employer, contractor and other members of the supply chain, appropriate
materials and methods need to be mobilised for actual production of the work
on a construction site. Chapter eight o$ers a detailed explanation of various
kinds of methods and materials used in construction production, particularly in
Ghana. It discusses the indigenous self-built construction techniques in Ghana
and provides comprehensive range of alternative solutions covering contemporary
and conventional methods of construction. Some of the key areas described
relate to construction methods of foundations and retaining structures, ground
water control, #oors, walls, doors and windows and roofs, which form the major
components of a building structure. Most of these are illustrated with drawings viii
and photographs of actual construction techniques in progress.
Education is key to the development and future of the construction professions
and industry in West Africa. !e "nal chapter looks at the major academic
institutions in the region that provide built environment education, and the courses
o$ered. Most part of the built environment education o$ered in universities has
traditionally been focused around six main areas of architecture, building, estate
management, quantity surveying, surveying and geoinformatics, and urban and
regional planning. New areas like construction management, project management,
real estate, and procurement management are emerging. It is crucial to keep the
built environment programmes o$ered in West African institutions fresh and upto-
date. A possible way to achieve this is to align the programmes with changing
national needs and global trends.
As to the best of our knowledge this is the "rst textbook of its kind focusing on
West Africa. It is impressive to have such an important piece of academic material
from a wide range of West African academics. We wish to thank and commend all eight authors of this first edition on a job well done.
Editors
Construction in West Africa

Proceedings of the West Africa Built Environment Research (WABER) Conference 2013
Accra, Ghana, 12-14 August 2013
Editors
A/Prof Samuel Laryea, University of the Witwatersrand, Johannesburg, South Africa
Dr Sena A. Agyepong, Ashesi University College, Ghana
First published 2013
ISBN 978-0-9566060-6-8
Published by
West Africa Built Environment Research (WABER) Conference
C/o Samuel Laryea
University of the Witwatersrand
School of Construction Economics and Management
1 Jan Smuts Avenue
Johannesburg
PO Box 20
Wits 2050
Tel: +27 11 717-7657
Fax: +27 11 339-8175
Email: samuel.laryea@wits.ac.za
© The copyright for papers in this publication belongs to authors of the papers.
Correspondence
All correspondence relating to the WABER Conference should be addressed to:
Dr Sena A. Agyepong
Ashesi University College
Accra, Ghana
Email: senaagbodjah@yahoo.com
Please visit www.waberconference.com for more information
Declaration
All papers in this publication have been through a review process involving initial screening of abstracts, review by at least two referees, reporting of comments to authors, modifications of papers by authors and re-evaluation of re-submitted papers to ensure quality of content.

Book of abstracts of the West Africa Built Environment Research (WABER) Conference 2013
Accra, Ghana, 12-14 August 2013
Editors
A/Prof Samuel Laryea, University of the Witwatersrand, Johannesburg, South Africa
Dr Sena A. Agyepong, Ashesi University College, Ghana
First published 2013
ISBN 978-0-9566060-7-5
Published by
West Africa Built Environment Research (WABER) Conference
C/o Samuel Laryea
University of the Witwatersrand
School of Construction Economics and Management
1 Jan Smuts Avenue
Johannesburg
PO Box 20
Wits 2050
Tel: +27 11 717-7657
Fax: +27 11 339-8175
Email: samuel.laryea@wits.ac.za
© The copyright for papers in this publication belongs to authors of the papers.
Correspondence
All correspondence relating to the WABER Conference should be addressed to:
Dr Sena A. Agyepong
Ashesi University College
Accra, Ghana
Email: senaagbodjah@yahoo.com
Please visit www.waberconference.com for more information
Declaration
All papers in this publication have been through a review process involving initial screening of abstracts, review by at least two referees, reporting of comments to authors, modifications of papers by authors and re-evaluation of re-submitted papers to ensure quality of content.

Among the various studies that have addressed the application of BIM dynamics in domain of health and safety management, the lack of research regarding the impact of BIM dynamics on safety culture is clearly visible. These days, it is apparent that more and more construction technologies are currently being used for safety and health management. These technologies can be used in different construction applications to mitigate workplace hazards. Among these technologies, BIM and IoT has been shown to have significant potential in high-risk Environment, Health, and Safety (EHS) industries. Several researchers have started to explore the potential synergy between BIM and IOT. Dynamic BIM presents an influential pattern for applications to improve construction safety management. The main purpose of this paper is to demonstrate the necessity of research on the use of dynamic BIM in improving construction safety culture. Hence, the literature review method was used to identify the domains in which dynamic BIM has been applied. Prominent application domains in which dynamic BIM has been applied are construction operation and monitoring, facility management (FM), construction logistic and management, health and safety (H&S) management. Results show that no research has addressed the impact of dynamic BIM on safety culture. Therefore, research related to dynamic BIM and its impact on construction safety culture is necessary.

All papers in this publication have been through a review process involving a review of abstracts, peer review of full papers by at least two referees, reporting of comments to authors, revision of papers by authors and reevaluation of the revised papers to ensure quality of content.

Purpose Construction projects require a range of documents (e.g. drawings and specifications) prepared by built environment professionals. In recent years, there has been a perception amongst professionals that quality of documentation has declined. “Low” professional fees were cited as one of the reasons for poor quality documentation. However, most studies on the topic contained inappropriate methodologies. Therefore, the purpose of this paper was to develop a conceptual methodology to comprehensively examine the relationship between fees and professional service output quality. Design/methodology/approach A systematic literature review (SLR) was conducted to evaluate the limitations of previous methodologies and identify variables in the relationship between fees and quality of professional service outputs. Findings from the SLR were used to develop a conceptual methodology to investigate the relationship between fees and quality of professional service outputs. Findings Based on a frequency analysis of factors in the construction literature, the three main variables influencing professional service output quality were fees, coordination and amount of time available for project tasks. The SLR and shortcomings in previous studies informed the development of a conceptual methodology to examine the relationship between fees and professional service output quality. Practical implications The conceptual methodology will assist in comprehensively investigating the effect of fees on the quality of professional service outputs. This is particularly relevant in countries where clients procure built environment professional services based on the lowest fee tendered but are concerned about quality. The methodology can establish how and to what extent “low” fees impact on professional service output quality. Industry professionals can also use variables identified in this paper to mitigate quality-related risks when producing professional service outputs. Originality/value This paper adds to the body of knowledge by identifying variables in the relationship between fees and professional service output quality. The identified variables can be monitored and controlled by researchers during future investigations. Additionally, a conceptual methodology was proposed to assist researchers to determine the effect of fees on professional service output quality. The flexibility of the conceptual methodology enables it to comprehensively investigate other key variables (apart from fees) impacting on professional service output quality.

Purpose Construction projects require a range of documents (e.g. drawings and specifications) prepared by built environment professionals. In recent years, there has been a perception amongst professionals that quality of documentation has declined. “Low” professional fees were cited as one of the reasons for poor quality documentation. However, most studies on the topic contained inappropriate methodologies. Therefore, the purpose of this paper was to develop a conceptual methodology to comprehensively examine the relationship between fees and professional service output quality. Design/methodology/approach A systematic literature review (SLR) was conducted to evaluate the limitations of previous methodologies and identify variables in the relationship between fees and quality of professional service outputs. Findings from the SLR were used to develop a conceptual methodology to investigate the relationship between fees and quality of professional service outputs. Findings Based on...

PurposeSeveral researchers in the construction industry have mentioned that quality of tender documents is declining without tangibly assessing quality. Similarly, in practice, no standardised instrument exists to assess tender document quality. Therefore, the aim of this paper was to develop a framework to assess the quality of tender documents produced by built environment professionals in the construction industry. A framework was chosen to address the gaps in theory and practice as it provides a flexible but structured mechanism to assess tender document quality.Design/methodology/approachThe research methodology contained three stages, namely: multi-investigator triangulation, a workshop with infrastructure experts and framework development and validation. A consolidated list of key quality indicators was developed following the literature review and multi-investigator triangulation. The indicators were discussed with ten experts in the South African construction industry, who ...

Much of the current literature on target cost contracts is approached from the perspective of the client–contractor relationship. While the financial risk of a project is shared between the parties, the share formula is predominantly set by the client, which demonstrates little evidence of collaboration. The contractor’s business risk is not explicitly taken into account outside of the fee percentage. However, from a contractor’s perspective, the risk in a target cost contract has to be taken into account on two levels: first, the shared risk of the target cost contract (i.e. the financial risk apportioned through the share formula) and, second, the contractor’s own risk in relation to their tender price (i.e. the business risk of the contractor that relates to their profit). The way that five NEC3 Engineering and Construction Contract option C target cost contracts in South Africa actually concluded in practice was examined as a means to develop a better understanding of how risk a...

The scientific information published in peer-reviewed outlets carries special status, and confers unique responsibilities on editors and authors. We must protect the integrity of the scientific process by publishing only manuscripts that have been properly peer-reviewed by scientific reviewers and confirmed by editors to be of sufficient quality. I confirm that all papers in the WABER 2017 Conference Proceedings have been through a peer review process involving initial screening of abstracts, review of full papers by at least two referees, reporting of comments to authors, revision of papers by authors, and reevaluation of re-submitted papers to ensure quality of content. It is the policy of the West Africa Built Environment Research (WABER) Conference that all papers must go through a systematic peer review process involving examination by at least two referees who are knowledgeable on the subject. A paper is only accepted for publication in the conference proceedings based on the ...

The main aim of this study was to ascertain and discuss the current challenges and opportunities facing construction contractors in Ghana. This involved a review of the economic, legal and political environments in which contractors in Ghana operate; a review of published studies on construction in developing countries generally and Ghana specifically; and in-depth interviews and discussions with seven building and civil engineering contractors in Ghana in 2009 and 2010. Six road contractors were also interviewed. The findings indicate significant challenges relating mainly to financing for projects and a harsh business environment. However, most contractors interviewed admitted to significant problems in their own organisations. It is clear that the contracting environment in Ghana is harsh particularly for local contractors who are often not paid on time and without compensation for late payment. However, local construction firms in Ghana who want to breakthrough ought to formulat...

While academic researchers have proposed various theories for managing risk and uncertainty in construction projects, most of the propositions are conceptual in nature and based on analytical modelling approaches rarely used in practice. This research was triggered by an observation in which a R1·5 billion (∼US$100 million) fast-track New Universities Project in South Africa was successfully delivered within budget despite up to 74% of the project scope not being capable of being priced by the contractor at the start of construction. The aim of this paper was to examine the client’s delivery-management approach used to manage uncertainty and deliver within budget successfully. The evidence from document analyses and interviews with the client delivery-management team members shows that setting a rigorous control budget, designing to the budget, working collaboratively, disciplined management of the control budget and continuous value engineering were the key client management techni...

Purpose Construction project management outcomes in the literature typically portray significant deviations from expected outcomes. Various theories from studies that focus superficially on causes of project cost and time overruns rather than root causes have not addressed this problem. The need is for a better understanding of how procurement strategy provides a fundamental means to address this problem. The purpose of this paper is to examine the procurement strategy used to deliver a new universities project in South Africa within budget and to ascertain its influence on the outcomes. Design/methodology/approach A case study was designed to provide a comprehensive and intensive methodology to identify and examine the construction procurement strategy and its influence on the project outcomes. Document analyses and semi-structured interviews were used to collect data on the construction procurement strategy and outcomes from the client team. Findings The evidence brought forward d...

A comparative analysis of public sector infrastructure projects implemented using a traditional public sector model against projects implemented using a modern management contractor model is presented. Traditionally, the implementation of public sector construction projects in South Africa is undertaken by an implementer such as the Department of Public Works. However, in 2014, the Western Cape Education Department created a framework contract and employed two management contractors with single-point accountability to implement maintenance and upgrading projects alongside those implemented in the traditional manner. A total of 122 projects implemented by management contractors are evaluated and compared with 35 implemented by the Western Cape Department of Transport and Public Works based on the cost performance, time performance and professional services costs of the two approaches. The practice of including contingency and provisional sums in contracts distorts the cost performanc...

Early contractor involvement (ECI) has been used for construction procurement in about 30 countries. The reasons for its adoption include collaboration, integration of design and construction, value for money and utilisation of market capacity. At least two models of ECI are reported in the literature. A different model of ECI has been used in framework contracts at Wits University in South Africa. The research aim was to analyse how this type of ECI works and its value to the success of projects. Data were collected through ten interviews, documentary analysis and observation of one ECI session. Through framework agreements, an opportunity is created to have ECI. Once concept designs and elemental cost estimates are prepared, the contractor is brought in to assist with value-engineering of the design and production drawings. ECI produced 12% cost savings in one project and 32% in another. Team integration and ECI are supported by framework agreements and NEC contracts. Although con...

Many construction projects end up with a wide gap between achieved and expected outcomes, which puts value for money for a project at risk. A root cause of this problem may lie in the development of an appropriate procurement strategy for projects. Wits University in South Africa has used a mixture of innovative procurement and contract strategies to deliver a portfolio of capital projects within 6% of the control budget over a period of 6 years (2008–2013). The research aim was to examine the procurement strategies and project organisation techniques adopted to deliver projects successfully. The strategic procurement approach has been based on the philosophy of collaboration, shared risk and integrated project teams, which is different from the conventional approaches in South Africa. A discussion of strategies including framework agreements, New Engineering Contract (NEC3) options, target cost contracts and early contractor involvement is presented to demonstrate how the use of co...

ABSTRACT Digital technologies are increasingly being used to support the execution of all aspects of the construction procurement process. However, there has been no systematic attempt to identify and catalogue the different digital technologies and tools available for executing construction procurement activities so as to guide those involved in procurement on the options available to support the six basic procurement activities identified in ISO 10845. The method used to identify 36 different digital technologies and tools used in construction procurement was a literature survey involving systematic identification and review of 78 articles published in 52 different sources between 1993 and 2014. The 36 digital technologies and tools identified include ten generic tools used across the procurement process. This is followed by four applications for establishing what is to be procured; four for soliciting tender offers; one for establishment of procurement strategy; two for tender evaluation, two for award of contract and thirteen for contract administration. The research shows that the majority of existing digital technologies are web-based applications that facilitate real-time communication and collaboration across construction supply chains. The effort made to map digital technologies with the ISO 10845 framework presents a useful contribution to current discourse on digital technology use in construction procurement. It seems interesting that despite the progress made in the evolution and use of digital technologies in construction, there is still no single digital technology which integrates all six construction procurement activities into a system that procurers can adopt to manage the entire construction procurement lifecycle. This should be addressed.

AbstractContractors rely significantly on quotations from subcontractors to price a tender. However, much of the research carried out in the United Kingdom (UK) on construction-tendering has been done from the perspective of the relationship between the contractor and client. This paper addresses that gap by identifying and examining the major barriers to effective pricing of tenders by subcontractors and the business environment of their commercial relationships with contractors. A questionnaire study involving 94 subcontractors and semistructured interviews with five of them was conducted in 2011. The primary barriers to providing better cost-certainty and quality of response in quotations to contractors relate to quality of documents, bidding time, competition, resource levels, information and communication technology, unethical behavior by the contractor, uneven collaborative relationships, input specificity, level of relationship that exists, and the time to assimilate and provide the output response...

The process of how contractors take account of risk when calculating their bids for construction work is investigated based on preliminary investigations and case studies in Ghana and UK. Ghana and UK were chosen, more or less arbitrarily, for the purpose of case studies, and ...

PurposeThe purpose of this paper is to show the extent to which clients amend standard form contracts in practice, the locus of the amendments, and how contractors respond to the amendments when putting together a bid.Design/methodology/approachFour live observational case studies were carried out in two of the top 20 UK construction firms. The whole process used to review the proposed terms and conditions of the contract was shadowed using participant observation, interview and documentary analysis.FindingsAll four cases showed strong evidence of amendments relating mostly to payment and contractual aspects: 83 amendments in Case Study 1 (CS1), 80 in CS2, 15 in CS3 and 29 in CS4. This comprised clauses that were modified (37 per cent), substituted (23 per cent), deleted (7 per cent) and new additions (33 per cent). Risks inherent in the amendments were mostly addressed through contractual rather than price mechanisms, to reflect commercial imperatives. “Qualifications” and “clarifi...

PurposeThe information a student receives after they have completed a piece of work is often known as “feedback” and this can be provided in a range of formats. Despite its importance, results of the National Students Survey in the UK consistently suggest that feedback is an area where significant improvements are needed across the higher education sector. The purpose here was to explore and advance a better understanding of the way feedback is given by lecturers as part of teaching and how students perceive and use it in their learning.Design/methology/approachIn all, three methods were used for data collection in 2010‐2011. First, semi‐structured interviews with 52 students helped to acquire a preliminary understanding of their feedback experiences. Second, a questionnaire completed by lecturers helped to identify their feedback provision methods. Third, a questionnaire completed by 194 students across all year groups helped to obtain their views about the usefulness of various me...

... 53 Page 4. response in bid pricing, and the meanings behind the responses. ... The selected contractors were each engaged in 2-3h face-to-face interviews. The personnel interviewed had various levels of experience in estimating and construction. ... 55 Page 6. contract knowledge. ...

... Joseph Igwe University of Lagos, Nigeria Adi Irfan Universiti Kebangsaan Malaysia, Malaysia Javier Irizarry Georgia Institute of Technology ... University, UK Julie Adshead University of Salford, UK Alison Ahearn Imperial College London, UK Rachelle Alterman Technion, Israel ...

The countries in West Africa (WA) are pushing for socio-economic development. The construction sector has an important part to play in helping to realise these aspirations. This necessitates an increased emphasis on research in the built environment, as a key contributor to developing capacity, knowledge and technologies for the sector. The West Africa Built Environment Research (WABER) conference was initiated in 2008. The objective was to: help young built environment researchers in West Africa (WA) to develop their research work and skills through constructive face-to-face interaction with their peers and experienced international academics; supply a platform for interaction among more senior academics and an outlet for disseminating their research work; and to serve as a vehicle for developing the built environment field in Africa. Three conferences have so far been organised, 2009 - 2011, bringing together ~300 academics, researchers and practitioners from the WA region. This p...

A review of current risk pricing practices in the financial, insurance and construction sectors is conducted through a comprehensive literature review. The purpose was to inform a study on risk and price in the tendering processes of contractors: specifically, how contractors take account of risk when they are calculating their bids for construction work. The reference to mainstream literature was in view of construction management research as a field of application rather than a fundamental academic discipline. Analytical models are used for risk pricing in the financial sector. Certain mathematical laws and principles of insurance are used to price risk in the insurance sector. construction contractors and practitioners are described to traditionally price allowances for project risk using mechanisms such as intuition and experience. Project risk analysis models have proliferated in recent years. However, they are rarely used because of problems practitioners face when confronted ...

Purpose of this paper The use of electronic procurement in construction is increasing with the associated barriers and prospects in the different countries. However, the extent of barriers to, and prospects of e-procurement uptake in the South African construction industry is not well articulated in the literature. Therefore, the purpose of this paper is to report findings of a study conducted to investigate the barriers to eprocurement adoption in the South African construction industry. This is with a view to suggesting ways to mitigating the barriers and enhancing the prospects of e-procurement in the South African construction industry.

The advent of internet technology has resulted to increasing use of e-Commerce applications, particularly e-Procurement systems in supply chain management by firms across the different industrial sectors. However, there is a paucity of empirical studies on e-Procurement use in the construction sector of African countries. This study therefore investigated the use of e-Procurement in the South African construction industry. The data were derived from an online questionnaire survey involving 603 respondents and interviews with seven experts conducted in South Africa between March and July 2014. Descriptive statistical and content analyses were used to analyse the data. Findings show that the four categories of e-Procurement used were e-mail, static websites, web.2.0 technologies and portals that have capabilities of supporting the execution of functions limited to intra and inter firm communication and exchange of project information and data. Consequently, between 11 percent and 12 p...

One of the aims of a broad ethnographic study into how the apportionment of risk influences pricing levels of contactors was to ascertain the significant risks affecting contractors in Ghana, and their impact on prices. To do this, in the context of contractors, the difference between expected and realized return on a project is the key dependent variable examined using documentary analyses and semi-structured interviews. Most work in this has focused on identifying and prioritising risks using relative importance indices generated from the analysis of questionnaire survey responses. However, this approach may be argued to constitute perceptions rather than direct measures of the project risk. Here, instead, project risk is investigated by examining two measures of the same quantity; one ‘before’ and one ‘after’ construction of a project has taken place. Risks events are identified by ascertaining the independent variables causing deviations between expected and actual rates of retu...

Book Title: Real estate, construction and economic development in emerging market economies Book Authors: Edited by Raymond Talinbe Abdulai, Franklin Obeng-Odoom, Edward Ochieng, Vida Maliene (2015). Taylor & Francis, UK. ISBN: 9780415747899

Researchers often experience difficulties with the negotiation of access into firms for the purpose of data collection. The question we explore is: What are the main obstacles associated with access negotiation into firms; and what strategies do researchers employ to increase their chances of success? Our research work on the tendering process of contractors took place between 2006 and 2008. We successfully negotiated access into four firms (two each in Ghana and the UK) to observe live examples of tender preparation The techniques we employed in negotiating access were personal contacts, contacting firms through online details and professional institutions, etc. With all of this effort, our average success rate was less than 5 per cent. The main obstacles encountered were firms’ reluctance because of commercial sensitiveness and fear that the data could eventually be divulged to their competitors or end up in the public domain. However, some firms agreed mainly because of the writt...

The question of how best to incentivize the parties in a construction contract, particularly contractors, to deliver maximum possible outputs and thus help reduce costs and risk in contracts has been of constant interest to construction researchers and practitioners. There is thus a significant body of literature around incentive contracting but this needs to be critically evaluated for perspectives and future directions. Although the evolving nature, merits and use of incentive contracts within the construction industry has been considerably discussed by practitioners and researchers over several years, there seems to be a lack of critical review of the incentive contracts literature that contextualises and critiques the various perspectives, directions and applications in the construction industry. More importantly it is important to discover what we do not know yet about incentive contracting in construction to provide a means for further scientific enquiry into those aspects. Th...

The aim of this paper was to explore how the current environment of electronic procurement in South African construction industry can be improved to help in maximizing the diffusion and adoption of electronic procurement when it comes to the acquisition of construction works and services. Electronic procurement refers to the use of electronic communication systems and applications to buy services, goods and works or conduct tendering for construction works. While there is growing evidence of application and benefits of e-procurement in some countries, the use of e-procurement in South Africa has been limited and patchy, implying that the benefits are currently not being maximised to support economic growth and industry development. We explore some of the ways in which this problem can be addressed. The paper is organised into four parts. In the first part, we discuss general factors that enable e-procurement adoption based on evidence reported in the literature. These are the regula...

... Thank you to Dr Sena Agyepong of our conference organising team for her capable management of local organising arrangements. And above all, thank you to all of you for coming to this conference. Enjoy and have a safe journey back home. ...

The construction industry is widely recognised as being inherent with risk and uncertainty. This necessitates the need for effective project risk management to achieve the project objectives of time, cost and quality. A popular tool employed in projects to aid in the management of risk is a risk register. This tool documents the project risks and is often employed by the Project Manager (PM) to manage the associated risks on a project. This research aims to ascertain how widely risk registers are used by Project Managers as part of their risk management practices. To achieve this aim entailed interviewing ten PMs, to discuss their use of the risk register as a risk management tool. The results from these interviews indicated the prevalent use of this document and recognised its effectiveness in the management of project risks. The findings identified the front end and feasibility phases of a project as crucial stages for using risk registers, noting it as a vital ingredient in the r...

Good evening everybody. I am grateful for the opportunity to be here, and the chance to address this second transformational meeting of the Young Professionals and Youth Coalition (YPYC) initiative of Ghana. I would like to thank Andy Osei Okrah for leading this initiative and for his strong sense of leadership over the years. I would also like to thank everyone here for making it possible. I think it is important to have meetings like this one. One thing I have learned is that anytime people have come together to spend their time in noble initiatives like this, it often results in a force that can produce transformation. And so this evening I would like to talk about: “The role we can play as individuals to bring about transformational change in Ghana”. Looking at the situation in Ghana today, I am convinced that we need more people who can help to build a brighter future for the country.