Factors affecting successful completion of ajk governmental construction projects in aftermath of earthquake 2005

I
Factors affecting successful completion of AJK
Governmental construction projects in aftermath of
Earthquake 2005
By:
Name: Mudassar Tahir Khan
Uet roll no:UET-13S-MEM-CASE-03
Supervisor
Prof. Muhammad Umer
DEPARTMENT OF ENGINEERING MANAGEMENT
CENTRE FOR ADVANCED STUDIES IN ENGINEERING
UNIVERSITY OF ENGINEERING AND TECHNOLOGY
TAXILA
Semester: Fall 2014

II
Factors affecting successful completion of AJK
Governmental construction projects in aftermath of
Earthquake 2005
A report submitted in partial fulfillment of the requirements for the M.Sc.
Thesis
By:
Uet roll no: UET-13S-MEM-CASE-03
Approved by:
_____________________
Supervisor:
Name: Prof. Muhammad Umer
_____________________
External Examiner:
Name: Dr Anwaar Ahmad
DEPARTMENT OF ENGINEERING MANAGEMENT
CENTRE FOR ADVANCED STUDIES IN ENGINEERING
UNIVERSITY OF ENGINEERING AND TECHNOLOGY TAXILA
Semester: Fall 2014

III
DECLARATION
The substance of this thesis is the original work of the author and due references and
acknowledgements have been made, where necessary, to the work of others. No part of this
thesis has been already accepted for any degree, and it is not being currently submitted in
candidature of any degree.
______________
Uet roll no:UET-13S-MEM-CASE-03
M.Sc. Thesis Scholar
Countersigned:
______________
Name: Prof. Muhammad Umer
Thesis Supervisor

IV
DEDICATION
I dedicate my research to my parents who always stood by my side during all my life
and inspired and encouraged me to carry out this research work. May ALLAH shower
HIS countless blessings over them. Thank you very much for your affection, prayers
and support.
This research is also dedicated to all my friends who inspired, encouraged and
supported me during all this tough period.

V
ACKNOWLEDGEMENT
These acknowledgements are attempt to thank all those people who helped, supported
and encouraged me in some way to make me able to carry out this research. I would
like to pay my gratitude to following people as without their assistance, guidance and
help, this dissertation would only be a dream.
Firstly, I would pay my heartiest gratitude and appreciation to my supervisor Mr.
Professor Muhammad Umer for his continuous support, feedback, suggestions and
attention that helped me in completing my work. I shall always be thankful and
obliged for his generous academic advices and encouragements.
Secondly, I would like to say thanks to all officials of DRU Poonch, AJK who
supported and helped me in providing official data required to carry out this research.
Without their kindness, this research would never be a reality.
A special thanks to my friends Mr. Engr Qamar Rafique & Mr. Engr Sajid Mehmood
for their continuous encouragement and moral support till end of my work. I shall
always remember this act of sincerity and commitment.
In last, I would pay my gratitude to all my colleagues who not only helped me in
distributing questionnaires, but also ensured to collect and return back to me in time
including Mr. Nabeel Hussain, Mr. Engr Rehan Tasneem, Mr. Engr Hafiz Bashir
Ahmed Taas, Mr. Waheed Sadiq and Mr. Niaz Ahmed. Their efforts were appreciable
indeed.

VI
ABSTRACT
There are areas in Azad Jammu & Kashmir where construction projects run by
government lack factor of efficiency and competency. In 2005, Earthquake hit
northern areas of Pakistan and most areas of Azad Kashmir. Due to that disaster, most
of governmental buildings in various parts of AJK were completely damaged and a
plan was devised to reconstruct those buildings. But after almost completion of 9
years, some of projects are still waiting for completion. Moreover, AJK government
started city development plan in some cities a couple of years back with co-operation
of china and some other countries funding that included construction of Sports
Complex, Judicial Complex and Some other projects as well.
Purpose of this study is to assess all these factors that affect timely and successful
completion of these projects. I shall also try to find out if any major projects in last 10
years completed in time and then I shall try to assess timely completion impact of
such projects on total cost of project. After determining all true factors that resist
successful project completion, I shall try to pass on some recommendations to
improve success rate of particular construction industry.

VII
LIST OF TABLES
Table 1.1 AJK divisions/districts
Table 1.2 Summary of Projects sector wise
Table 1.3 Education sector progress
Table 1.4 Provision of furniture
Table 1.5 Provision of science and computer labs
Table 1.6 Year wise Expenditures detail
Table 1.7 Summary of some completed projects after earth quake
Table 3.1 Overall calculations of RII for delay factors
Table 3.2 RII of delay factor categories
Table 3.3 Overall calculations of RII for success factors
Table 3.4 RII of success factor categories
Table 4.1 Top ten delay factors
Table 4.2 Top five success factors
LIST OF ILLUSTRATIONS
Figure 1.1 AJK Map
Figure 1.2 Sampling
Figure 1.3 Flow chart of research process
Figure 2.1 Venn diagram
Figure 4.1 Respondent categories according to Designation
Figure 4.2 Respondent categories according to Experience
LIST OF ABBREVIATIONS & ACRONYMS
AJK Azad Jammu & Kashmir
ERRA Earth quake reconstruction and Rehabilitation authority
SERRA State Earth quake reconstruction and Rehabilitation agency

VIII
DRU District Rehabilitation unit
GOP Government of Pakistan
ADB Asian development Bank
GBHS Government boys high School
GBHS Government boys high School
HS High School
DAE Diploma of Associate Engineering
RII Relative importance index
THESIS KEYWORDS
1. Construction industry
2. Governmental construction projects
3. Critical delay factors
4. Critical success factors
5. Relative Importance Index
6. Change management implementation
7. Construction Project Management Unit
LIST OF USEFUL WEBSITES
1. http://www.pakistantoday.com.pk/
2. http://www.kashmirnewswatch.com/
3. http://www.erra.pk/
4. http://www.serra.gov.pk/
5. http://www.ijetae.com/

IX
BACKGROUND
Delays and cost-overrun are very much common in construction industry all around
the globe. Studies suggest that almost every country face delay and cost overruns in
its construction industry. Several studies in different countries have been done to
identify possible delay and success factors that affect projects completion in this
industry.
Construction industry in AJK is not an exception, especially governmental projects
running in AJK after earthquake face extensive delays and cost overruns. It has been
ten years since 2005 earthquake, still many projects are under construction phase or
some are even in files. Not any single project completed is on time or within allocated
budget that reflects downfall of construction industry in AJK. At AJK state level, it is
very first time to explore delay and success factors of construction industry in this
remote and mountainous area. No significant research work is found that seem
targeting problems of construction industry even in Pakistan. So, this study becomes
an exploratory study that includes explanatory and descriptive aspects as well.
The first study to determine critical success factors was carried out by David Ashley
(1987), who identified which factors were most important in successfully completing
construction projects.

X
TABLE OF CONTENTS
DECLARATION...……………………………………………………………………………………………………………………….III
DEDICATION................................................................................................................................IIV
ACKNOWLEDGEMENT................................................................................................................V
ABSTRACT.....................................................................................................................................VI
LIST OF TABLES ...............................................................................................................................VII
LIST OF ILLUSTRATIONS .........................................................................................................VII
LIST OF ABBREVIATIONS & ACRONYMS .............................................................................VII
THESIS KEYWORDS..................................................................................................................VIII
LIST OF USEFUL WEBSITES....................................................................................................VIII
BACKGROUND .............................................................................................................................IX
TABLE OF CONTENTS .................................................................................................................X
1 CHAPTER ONE: INTRODUCTION.................................................................................... 12
1.1 INTRODUCTION & BACKGROUND.........................................................................................12
1.1.1 Geographical History..............................................................................................................12
1.1.2 State Districts & Divisions.......................................................................................................15
1.1.3 EarthQuake..............................................................................................................................13
1.1.4 ERRA........................................................................................................................................15
1.1.5 Reports by Pakistani Journalists over EarthQuake Reconstruction Progress........................16
1.1.6 Infrastructure Destruction due to EarthQuake........................................................................17
1.2 PURPOSE OF STUDY......................................................................................................................22
1.3 SCOPE OF WORK............................................................................................................................22
1.4 RESEARCH TITLE.............................................................................................................................22
1.5 SIGNIFICANCE OF THE STUDY..........................................................................................................22
1.6 RESEARCH QUESTIONS OF THE STUDY/PROBLEM STATEMENT....................................................22
1.7 RESEARCH OBJECTIVES.............................................................................................................. 23
1.8 RESEARCH METHODOLOGY........................................................................................................ 23
1.8.1 Survey Method............................................................................................................................23
1.8.2 Sources of PrimaryData............................................................................................................24
1.8.3 Population..................................................................................................................................25
1.8.4 Sampling....................................................................................................................................25
1.8.5 Data Collection..........................................................................................................................25
1.8.6 Data Analysis.............................................................................................................................26
1.8.7 Relative Importance Index.........................................................................................................26
1.8.8 Classification.............................................................................................................................27
1.8.9 Limitation of study.....................................................................................................................27
2 CHAPTER TWO: LITERATURE REVIEW...........................................................................28
2.1 PREFACE ..........................................................................................................................................28
2.2 VENN DIAGRAM...............................................................................................................................28
2.3 INTRODUCTION.................................................................................................................................28
2.4 DELAY FACTORS IDENTIFICATION IN BUILDING PROJECTS......................................................29
2.5 IMPACT OF DELAY FACTORS ON OVERALL PROJECT.................................................................32
2.6 LOWEST BIDDER, CONTRACT WINNER........................................................................................35
2.7 CONFUSION IN UNDERSTANDING SCOPE....................................................................................36
2.8 IMPLEMENTATION OF PROJECT MANAGEMENT TOOLS...........................................................37
2.9 CRITICAL SUCCESS FACTORS IDENTIFICATION.........................................................................37
2.10 CHANGE MANAGEMENT IMPLEMENTATION..............................................................................40
2.11 EXPLANATION OF TERM CONFLICT IN CONSTRUCTION INDUSTRY........................................40
2.12 DELAYS IN PAKISTAN CONSTRUCTION INDUSTRY...................................................................41

XI
3 CHAPTER THREE: ANALYSIS AND DISCUSSION ........................................................ 42
3.1 INTRODUCTION...............................................................................................................................42
3.2 STATISTICS OF RESPONDENTS ....................................................................................................42
3.3 ANALYSIS OF GATHERED DATA..................................................................................................44
3.4 RESULTS OF ANALYSIS ................................................................................................................44
3.4.1 Results of delay factor analysis................................................................................................44
3.4.2 Results of success factor analysis.............................................................................................48
4 CHAPTER FOUR: FINDINGS, CONCLUSIONS AND RECOMMENDATIONS............. 50
4.1 FINDINGS .......................................................................................................................................50
4.2 CONCLUSIONS................................................................................................................................52
4.3 RECOMMENDATIONS......................................................................................................................52
4.4 FUTURE WORK ..............................................................................................................................54
5 END NOTES ......................................................................................................................... 55
6 BIBLIOGRAPHY................................................................................................................. 57
7 APPENDIX-A: QUSTIONNAIRE ....................................................................................... 59
8 APPENDIX-B: REPORT 1................................................................................................... 62
9 APPENDIX-Z: REPORT 2................................................................................................... 63

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CHAPTER ONE: INTRODUCTION
1.1. INTRODUCTION & BACKGROUND:
Delays and cost-overrun are very much common in construction industry all around the globe.
Studies suggest that almost every country face delay and cost overruns in its construction
industry. Several studies in different countries have been done to identify possible delay and
success factors that affect projects completion in this industry.
Construction industry in AJK is not an exception, especially governmental projects running in
AJK after earthquake face extensive delays and cost overruns. It has been ten years since 2005
earthquake, still many projects are under construction phase or some are even in files. Not any
single project completed is on time or within allocated budget that reflects downfall of
construction industry in AJK. At AJK state level, it is very first time to explore delay and success
factors of construction industry in this remote and mountainous area. No significant research
work is found that seem targeting problems of construction industry even in Pakistan. So, this
study becomes an exploratory study that includes explanatory and descriptive aspects as well.
The first study to determine critical success factors was carried out by David Ashley (1987), who
identified which factors were most important in successfully completing construction projects.
1.1.1. GEOGRAPHICAL HISTORY:
Azad Jammu & Kashmir abbreviated as AJK or AK is the part of Kashmir under control of
Islamic Republic of Pakistan authorities. The state of Azad Jammu & Kashmir lies on west of
Indian Occupied state of Jammu & Kashmir, it was previously the part of Princely state of
Jammu & Kashmir whose existence came to an end in the result of first fought war between
India & Pakistan.
Azad Kashmir is a small piece of Kashmir which is basic cause of a very long conflict between
two neighboring countries i.e. India & Pakistan. The borders of Azad Jammu & Kashmir meet
with Punjab of Pakistan in south, to west with Khyber Pakhtunkhwa, and in the east Kashmir is
separated by Indian occupied state of Jammu & Kashmir by the Line of Control, the de facto
border between India and Pakistan. AJK has a total area of 13,297 square kilometers i.e. 5,134 sq
miles, with a population of almost 4.6 million.
AJ&K has a parliamentary form of government, with its capital located at Muzaffarabad.
The President of Azad Jammu and Kashmir is the constitutional head of the state, while the
prime minister, supported by Ministers, is the chief executive. The Azad Jammu & Kashmir
Legislative Assembly elects both the prime minister and president. The state has its own
Supreme Court and a High Court, while the Government of Pakistan's Ministry of Kashmir
Affairs serves as a link between it and Azad Kashmir's government

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The state of Azad Jammu & Kashmir was not a well developed part of Kashmir and was having
homes made of mud and stone at the time when it was severely hit by earthquake of 2005, which
killed almost a million people, and almost three million people were displaced with widespread
devastation. The people of AK mostly rely on agriculture, tourism and by working in foreign
countries. The national language for this Pakistan controlled territory is Urdu but Pahari, &
Panjabi are also spoken here. The literacy rate of this state is almost 64%.
After the 1971 war the current border between India & Pakistan controlled Kashmir was
designated as Line of Control in 1972. The Line of Control remained unchanged till now after
1972 Shimla Agreement which bound two countries to settle their issues through bilateral
negotiations. Some expert political figures claim that this could be possible to resolve the dispute
by mutual negotiations with involving third party such as United Nations.
1.1.2. STATE DISTRICTS AND DIVISIONS:
Below is complete detail of Three Divisions and Ten Districts.(Courtesy of Wikipedia)
Division District Area (km²) Population (2008) Headquarters
Mirpur Bhimber 1,516 301,633 Bhimber
Kotli 1,862 563,094 Kotli
Mirpur 1,010 333,482 Mirpur
Muzaffarabad Muzaffarabad 2,496 638,973 Muzaffarabad
Hattian ? ? Hattian Bala
Neelam 3,621 106,778 Athmuqam
Poonch Poonch 855 411,035 Rawalakot

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Haveli
Bagh
Sudhnoti
AJK Total 10 districts
Table 1.1.
AJK MAP
600 (est.) 150,000 (est.) Forward Kahuta
768 243,415 Bagh
569 334,091 Palandri
13,297 4,567,982 Muzaffarabad
Table 1.1.(Reference from Wikipedia)
FIG 1.1.
Forward Kahuta
Bagh
Palandri
Muzaffarabad

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1.1.3. EARTH QUAKE:
On October 2005, an earth quake took place in the Kashmir region of South Asia. It
was centered in Azad Kashmir, near the city of Muzaffarabad, and also affected
Pakistan's Khyber Pakhtunkhwa province. It registered a moment magnitude of 7.6. As of 8
November 2005, the government of Pakistan's official death toll was 75,000. The severity of the
damage caused by the earthquake is attributed to severe up thrust, coupled with poor
construction in area.
In Kashmir, the three main districts were badly affected and Muzaffarabad, the state capital of
Kashmir, was hardest hit in terms of casualties and destruction. Hospitals, schools, and rescue
services including police and armed forces were paralyzed. There was virtually no infrastructure
and communication was badly affected. More than 70% of all casualties were estimated to have
occurred in Muzaffarabad. Bagh, the second-most-affected district, accounted for 15% of the
total casualties.
In early 2006, the Government of Pakistan organized a donors conference to raise money for
reconstruction and development of the area. A total of $6.2 billion was gathered and a large
amount of the money was delivered in terms of services of international NGOs. The rest of the
money gathered, that was under supervision of Pakistan for reconstruction was handed over to a
newly built authority called Earthquake Reconstruction and Rehabilitation Authority(ERRA),
that included majority of retired army officials at that time of military regime in Pakistan. This
authority has been highly criticized for unfair spending of funds in non development and
irrelevant areas. Turkey, Japan, KSA and UAE not only provided funds but also involved in
practical reconstruction of several mega projects.
1.1.4. ERRA:
After 2005, Earth Quake ERRA was established by Military Government to carry out re-
habitation of damaged infrastructure in KPK and AJK. AJK has totally different domain and
administration policy than KPK. KPK is province of Pakistan whereas AJK is disputed area
under control of Pakistan. So re-habitation process for both of these areas was totally different.
KPK has its own funds and straight forward mechanism being province of Pakistan. AJK has its
Government on paper but in real this so –called Government has no authority over usage of any
kind of funds or even involving in any kind of planning regarding execution of funds. Budget
and all other decision to run government are normally set by federal government of Pakistan.
After this disaster Governmental Machinery was totally paralyzed.
Government of Pakistan established Earthquake Reconstruction and Rehabilitation Authority
(ERRA) with its State and Provincial organs as SERRA and PERRA in AJK and NWFP
respectively to assess the post disaster damages and reconstruct and rehabilitate the affected
areas.

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ERRRA (GOP)
PERRA (KPK) SERRA (AJK)
DRU1 DRU 2 DRU 3 DRU 4 DRU 5 DRU BAGH DRU MZL DRU RKT
In view of the catastrophic earthquake that has struck parts of AJK, SERRA is mandated to
undertake the gigantic task of reconstruction and rehabilitation in the earthquake affected areas
of the Azad Jammu and Kashmir. Just to recount the overall devastation in AJK, the earthquake
killed 47,321 people, seriously injured 33,136 and displaced 1.8 million people. About 7,000 sq
km area was affected, where physical infrastructure, communication network and farmlands
were severely damaged. In addition, 314,474 houses, 2578 education institutions and 334 health
facilities were destroyed. About 810 km roads & 2,725 meter bridges were damaged and 50-70%
of the water supply, sanitation, telecommunication and power infrastructure was rendered un-
operational.
1.1.5. REPORTS BY PAKISTANI JOURNALISTS OVER EARTHQUACKE RECONSTRUCTION
PROGRESS:
Below are remarks from some Independent journalists regarding reconstruction progress few
years back.
SUMMARY OF REPORT 1: (See original report in APPENDIX B)
Writer in this report tried to cover progress of rehabilitation of construction industry after Earth
quake 2005 in AJK. As per this report, almost 6 years after earth quake, still majority of the
projects are far away from completion. Projects completed were possible with the help of several
international donors but now, SERRA who is responsible for completion of all these construction
projects claim that they are facing shortage of funds in carrying out rehabilitation process
smoothly. This report tells that up till that time, only 33% of construction work was done, even
after 6 years from disaster.

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SUMMARY OF REPORT 2: (See original report in APPENDIX Z)
This report also tried to study factors that were responsible for low progress of reconstruction
and rehabilitation after earth quake 2005. This report claims that poor performance of state and
federal governments and mishandling with donated funds were the main reasons for delay in
construction work. This report covered handsomely issues related to problems of people,
students and patients having after delays in construction progress. This report also claims that
majority of people in state are still living in faulty region and due to absence of safety and quake-
resistant construction practices, another thousands of lives are still in continuous danger.
CONCLUSION:
Purpose of including both these reports in our research is to support our study as factors
identified in our study also indicate and highlight same opinion in some manner. Especially,
misuse and unfair utilization of funds is a common and serious issue that is responsible for
delays in rehabilitation progress.
1.1.6. INFRASTRUCTURE DESTRUCTION DUE TO EARTH QUAKE:
In 2005, Earth Quake damaged infrastructure in AJK and some areas of KPK very badly. In
AJK, mostly Governmental buildings from educations, health and agricultural sector were
damaged. Majority of district connecting roads were totally demolished as well due to disaster.
Sector, that effected most was education. Hundred of government school and collage buildings
were totally collapsed. So prime focus of our work targets education sector infrastructure in AJK.
Most of damage was done in three districts of AJK including Muzafferabad, Rawalakot and
Baugh.
Below is detail of damaged governmental infrastructure in two districts of AJK. Data shared is
latest official taken from DRU Pooch, where officials co-operated in healthy way. Data access in
other districts was denied. It is progress of reconstruction and rehabilitation till October 2014.
Summary Of Project Sector Wise(Poonch & Sudhnoti):
Sectors Total Completed Hand
Over
Under
Construction
Tendering Designing Planning
Education 604 239 234 299 59 07 00
Environment 10 10 10 00 00 00 00
Governance 34 17 17 17 00 00 00
Health 37 33 32 02 02 00 00

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Livelihood 305 237 233 34
(20 CLRPs
Duplication
Written for
deletion)
34 00 00
Power 02 02 02 00 00 00 00
Social
Protection
02 00 00 02 00 00 00
Transport 4(75km) 03 03 01 00 00 00
WATSAN 249 225 225 24
Duplication
Written for
deletion
00 00 00
Total 1247 766(61.19%) 756
(60.63%)
382
(30.63%)
95
(7.62%)
07
(0.56%)
00
TABLE 1.2.(Reference: DRU Pooch, ERRA)
In following table, there is list of all National and International contributors who participated or
still are involved in Rehabilitation of effected area and work progress. Most of international
donors helped in reconstruction of education sector, detail of which is as follows:
Education Sector Progress
Funding
Agency
Total Completed Under
Construction
Tendering Designing Planning
GOP 440 82 291 54 07 06
ADB 92 92 00 00 00 00
World Bank 43 43 00 00 00 00
Kuwait Fund 11 06 05 00 00 00

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Saudi Fund 02 00 02 00 00 00
NGOs/ INGOs 16 16 00 00 00 00
Total 604 239 298 54 07 06
TABLE 1.3. (Reference: DRU Pooch, ERRA)
Provision of Furniture
Funding Agency Number of schools Handed over Tendering
GOP 440 56 06
ADB 92 92 00
World Bank 43 43 00
Kuwait Fund 11 04 00
Saudi Fund 02 00 00
NGOs/ INGOs 16 16 00
Total 604 201 06
Provision of Science and Computer Labs
Funding Agency Number of schools Handed over Tendering
GOP 58 05 00
ADB 00 00 00
World Bank 00 00 00
Kuwait Fund 11 00 04
Saudi Fund 02 00 00
NGOs/ INGOs 04 04 00
Total 75 09 04

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Below is year wise amount detail spent in these two districts for purpose of reconstruction and
rehabilitation.
Year Wise Expenditure Details
Financial Year Total Expenditures Rs. In Million
2006-07 Nill
2007-08 48.949
2008-09 395.829
2009-10 816.913
2010-11677.867 677.867
2011-12 583.967
2012-13 327.490
2013-14 203.850
Total Expenditure 3054.865
It has been more than nine years since earthquake hit AJK and northern areas in Pakistan. Below
is List of some mega projects in reconstruction scheme, with complete details of start finish dates
and also complete details of allocated and actual budget. These thirteen projects are
representation of all projects in reconstruction scheme as these are most important projects from
perspective of their importance and their costs. Projects listed are from several areas of AJK.
Summary of some completed projects after Earth Quake:
Project Name Project
Start Date
Completion
Duration
Assigned
Project
Actually
Completed
Work
Order Cost
Actual Cost
when Completed
GGHS Dreak Sep 2008 1 year May 2013 42.044 M 54.8 M
GBHS Hurnamara Jan 2009 1 year March 2012 40.9 M 45.00 M
GBHS Chotogala May 2008 1 year March 2010 45.7 M 46.9 M

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GBHS Pothi Nov 2008 1 year April 2011 29.5 M 27.00 M
GGHS Kherick June 2008 1 year December 2014 37.5 M 36.00 M
Pilot HS Rawalakot March
2010
1.5 year September 2011 84.00 M 70.00 M
Post Boys Graduate
Collage
July 2008 2 year April 2011 136.00 M 165.00 M
GBHS Gorah July 2010 1 year In Progress 61.5 M 42.00 M Till Date
GGHS Baral June 2009 1 year December 2014 59.8 M 57.00 M
Police Station CIA
Rawalakot
June 2009 1 year October 2011 20.9 M 19.7 M
Rural Health Center
Banjosa
Nov 2009 1 year December 2014 105.00 M 125.00 M
Rawalakot to ShujaBad
Road
April 2010 2 year In Progress 167.00 M 249.00 M
CMH Rawalakot March
2007
2year March 2010 2500 M 3000 M
Above detail reflects that there is only one project completed on time and under budget that is
Pilot HS Rawalakot. Reason of successful completion was asked from related officials in several
unstructured interviews and discussions, it was told that this project is part of city development
plan and was built with Chinese loan and was directly supervised and managed by Chinese
government in terms of fund utilization and also was executed by a Chinese contracting

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company. ERRA or GOP had no interference regarding monitoring of this project. Major reason
for all other projects failure identified by some senior Government reconstruction and
rehabilitation projects related employees was unfair utilization of allocated funds by ERRA.
Reconstruction and rehabilitation progress was on track till 2010, but then majority of funds
were transferred to Benazir income support program and for settlement of flood victims later on.
Beside this reason, we shall try to identify some other possible reasons as well, in context of this
area.
1.2. PURPOSE OF STUDY:
This study identifies all possible delay and success factors from perspective of particular area
and then most critical delay and success factors are identified. Identification of critical success
and delay attributes will surely help AJK government and other stakeholders of construction
industry to focus on identified factors to improve success rate of AJK public sector projects.
1.3. SCOPE OF STUDY:
Focus of this research is particularly to identify delay factors in AJK construction industry and
also to highlight some success factors that may help stakeholders to avoid delays. This research
will be carried out by using questionnaire survey with its analysis at the end. This survey will
target professionals that were or currently are engaged with AJK construction projects having
experience of working in this particular area.
1.4. RESEARCH TITLE:
Topic selected for research is, "Factors affecting successful completions of AJK Governmental
construction projects in aftermath of earthquake 2005".
1.5. SIGNIFICANCE OF STUDY:
This research will be helpful for all stakeholders/organizations especially in governmental
domain working on construction projects in hilly and remote areas of AJK to complete their
work within schedule and cost. It will also settle a path for AJK government to monitor all
identified delay factors in future to avoid time delays or cost overruns.
1.6. PROBLEM STATEMENT/RESEARCH QUESTIONS:
After consulting details in files and records of government offices related to construction
projects, we came to know a dreadful truth that success rate of governmental construction
projects in last 10 years is almost zero % i.e. rehabilitation and reconstruction projects after
earthquake in 2005. To identify reasons for such failures, we tried to carry out this research to
identify possible delay reasons in area and also to highlight success factors to help stakeholders
to organize themselves and identified issues to improve success rate. Therefore following
research questions from this study come out as:

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1. What are possible critical factors that cause delay or cost overrun in governmental
construction projects in AJK?
2. What could be possible potential success factors to avoid delays/cost overrun in AJK
construction industry?
Questionnaire survey is conducted to answer these two questions.
1.7. RESEARCH OBJECTIVES:
Purpose of this research is to suggest Construction industry stakeholders a framework that might
help them to improve their success rates by identifying some delay and success factors. so,
objective of this research will be:
1. To identify/investigate all possible delay factors that result in governmental construction
projects delay or cost overrun
2. To identify success factors to avoid delays in AJK construction industry.
1.8. RESEARCH METHADOLOGY:
Prime Focus of our research was to identify possible factors that resulted in delays/cost overruns
in almost every governmental construction project running in AJK after 2005 earthquake. Later
on, after discussion with supervisor, a new aspect was added in our research that was
identification of some success factors that might help in successful completions of particular
projects. Extensive literature study was done at start to gather all possible delay factors that were
abundant in construction industries. Unfortunately, no significant work has been done before on
this topic from viewpoint of AJK or even on construction problems related to Pakistan. There
were almost 250 factors identified from literature study. After gathering handsome list of factors,
several site visits were arranged to asses all identified factors from AJK point of view.
Unstructured interviews and discussions were conducted with many on site and off the field
construction related professionals to identify best suited delay and success factors to this
particular area from list of gathered factors. After several visits and detail discussions with
several senior DRU Poonch professionals, key delay and success factors were finalized. Survey
through questionnaire method was used to gather required data/opinion of respondents.
1.8.1. SURVEY METHOD:
Survey through questionnaire is a method that is commonly used for systematic collection of
data from target whole population or part of that population and then its analysis. A statistical
technique is used to analyze the gathered data to draw conclusions from research.
To start survey, firstly a questionnaire is developed in which respondents are asked to answer
questions, indicating their level of agreement or disagreement. Before designing of any

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questionnaire, researcher must have clear idea about what he has to achieve. One must be clear
about his objective of research, so he/she will be able to design a solid questionnaire.
Designing a questionnaire is most important aspect of research. Questionnaire designed for our
research was assured to be very straight forward and understandable due to lack of understanding
for concept of research here in particular area. It was assured that questionnaire should be very
clear in terms of meaning that every respondent could respond to it in an effective and
understandable way. Tough and difficult questioning and wordings were completely avoided.
Firstly, a questionnaire with likert scale, trending from strongly disagree to strongly agree was
designed including delay and success factors, identified through literature review and then
unstructured interviews. Before distribution, a consultation was done with two most senior
professionals of District Rehabilitation Unit(DRU) Poonch who have been monitoring all
projects since earthquake 2005. Questionnaire was deeply discussed with both of those personals
and was modified as per their suggestions. After modification, questionnaire was redesigned and
was sent for supervisor approval. Some further amendments were made in questionnaires, as
suggested by supervisor.
After finalizing of questionnaire, next step was to select sample population as target of
questionnaire. Sample is normally representation of total population you want to target. In our
research, random sampling method was adopted in which entire sample had equivalent chance to
be chosen. Questionnaires were distributed amongst several construction related professionals,
working on several governmental construction projects in different organizations and under
different designations. Target population included professionals from AJK government related
departments(Clients), Consultants and different contractors. Sample size targeted was around
150 respondents and questionnaires distribution was kept very much organized.
Mostly questionnaires were distributed personally in approachable areas. Purpose of personal
distribution was to make sure that respondent completely understands purpose of this
questionnaire and also if someone feel some confusion, that could be cleared as well. In those
areas, where personal access was not possible, questionnaire were sent to some well known
colleagues through emails who were completely briefed about task. They were asked to
distribute those questionnaires in their particular area to relevant professionals. Beside this, some
questionnaires were also sent through emails and post directly to selected population and were
telephonically briefed in detail.
1.8.2. SOURCES OF PRIMARY DATA:
Several face to face unstructured interviews were arranged with related officials. Records of
organizations and government agencies were consulted as sources of primary data.

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1.8.3. POPULATION:
Target population selected for this research are professionals from construction companies who
were or currently are engaged in any of governmental construction projects in AJK. Minimum
qualification set for respondents is Intermediate/DAE with minimum 2 year experience in
relevant field because of unawareness of people of area to concept of research and also due to
lack of highly skilled, educated and professional personals in area.
1.8.4. SAMPLING:
Technique of random sampling is being adopted in this research. According to this method, any
sample in group randomly taken is selected to get response and entire sample has an equal
chance to be selected.
1.8.5. DATA COLLECTION:
Questionnaire design was finalized with approval of respected supervisor. Questionnaire targets
two different aspects related to construction industry in AJK.
i). Indicators for delay factors
ii). Indicators for success factors
Questionnaire is designed in a way that it is divided within three different sections.
In Part (A), Respondents are asked about related personal information including:
a). Respondents name
b). Respondents age
c). Respondents Highest Education
d). respondents Organization
e). Respondents Designation in Organization
f). Time spent in particular organization(in years)
g). Total experience in related field(in years)
In Part (B), Respondents are asked with 48 questions in total, categorized in 16 different
categories. Firstly, 36 delay causes divided into 10 major categories are mentioned and
respondents are asked to indicate their level of agreement and disagreement with every factor.
Afterwards, respondents are asked to show level of agreement or disagreement with indicated
success factors.

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At the end of part (B), an open ended question is asked from respondents to mention any other
factor not listed in above all, that in their opinion could also be reason for project delays and cost
overruns. In this question, experience of related professional can be an important aspect and
could prove worthy.
In Part (C), An open ended question is asked from respondents to suggest and recommend any
framework, to share any idea with us that could help to improve or enhance success rate of all
these governmental construction projects running in Azad Jammu & Kashmir.
Five Point agreement/disagreement scale will be given rating as follows while doing statistical
analysis:
Strongly disagree= 1
Disagree= 2
Neutral= 3
Agree= 4
Strongly Agree= 5
1.8.6. DATA ANALYSIS:
After getting back responses, Technique of Relative Importance Index(RII) is employed to find
out ranking of every individual factor from respondents point of view. From list of 36 delay
factors, top 10 most critical delay factors are identified by using technique of Relative
Importance Index, and also top 5 critical success factors from 10 identified success factors are
highlighted by using similar technique. After identification of both delay and success factors,
some recommendations are presented to stakeholders.
1.8.7. RELATIVE IMPORTANCE INDEX(RII):
The Relative Importance Index (RII) is the statistical method to determine the ranking of
different causes. In our research, five-point scale ranging from 1 to 5(Trending from Strongly
disagree to strongly agree) was adopted and after gathering of data for analysis, Relative
importance indices (RII) for each factor were calculated as follows:
RII=
∑
×
W= Weight given to every factor by respondents(From 1 to 5)
A= Highest weight(5 is highest weight in our study)
N= Total number of respondents

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RII value must lie between 1 and 0. Highest the RII value, most critical will be factor. In this
way, 10 most critical delay factors and 05 most critical success factors will be identified on basis
of highest RII values.
S. Shujaa Safdar Gardezia, Irfan Anjum Manarvia, S. Jamal Safdar Gardezi[21], Murali
Sambasivan. & Yau Wen Soon[4], Remon Fayek Aziz[16], K.C. Iyer & K.N. Jha[12] and many
more researchers have used technique of RII for analysis in their studies.
1.8.8. CLASSIFICATION:
It is basically an exploratory study as previously, there is not any work found on this topic. Later
on, this research might also look like explanatory and descriptive study.
1.8.9. LIMITATION OF STUDY:
Most of this research will depend upon analyzing government agencies official records, so access
to these records could be a serious limitation as concept of research in this area is not well known
and stakeholders might hesitate in sharing such confidential information.
1.9.0. FLOW CHART OF RESEARCH PROCESS:
Fig 1.3

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CHAPTER 02: LITERATURE REVIEW
2.1. PREFACE:
Deep literature study was undertaken to identify all possible reasons that result in delay and cost
overruns in public sector construction
also tried to highlight through literature study of previo
2.2. VENN DIAGRAM:
Since focus of this research is to identify delay and success factors in construction industry of
AJK, so Venn diagram can be shown as,
2.3. INTRODUCTION:
Construction industry in Pakistan is under serious threat because of many possible reasons.
Factors like Political interference, Funding and Lack of labor commitment are major causes but
beside these reasons, there are many aspects as well that are respons
causes. Remote areas in Pakistan are much m
study was done to identify all possible reasons and then to examine them in context of our
geographical background.
Delay
factors
CHAPTER 02: LITERATURE REVIEW
construction projects running in AJK. Also several success factors were
also tried to highlight through literature study of previous work done.
AJK, so Venn diagram can be shown as,
Fig 2.1
beside these reasons, there are many aspects as well that are responsible for many possible
emote areas in Pakistan are much more effected then mega cities, extensive literature
Construction
industry
Success
Factors
Delay
factors
projects running in AJK. Also several success factors were
ible for many possible
xtensive literature

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2.4. DELAY FACTORS IDENTIFICATIONS IN BUILDING PROJECTS:
This paper focuses on two different aspects regarding construction industry[1]. Firstly,
Researchers tried to highlight key factors causing delays in construction projects in Jordan.
Secondly, they tried to motivate construction managers to adopt statistical data and methods
before award of contracts to avoid mishandling of contract awards. Projects studied in this
research were included from different domains of public buildings. Random Sampling technique
was used to study, i.e. sample of 130 construction projects in Jordan was selected. data from
contract files of several state agencies was used to identify planned time of contract and actual
time of completion. Selected projects were considered as unsatisfactory in terms of successful
completion in opinion of several officials. Excel 5 was used to analyze available data and
constructing diagrams. In first step, parameters for causes of delays were identified and a table
was constructed. In next step, a table showing maximum, minimum and mean durations for
planned and actual duration of projects were calculated that showed variations in actual dates of
projects. Simple regression analysis was technique that was used to study this problem. An
equation developed by using simple linear regression was used for all categories of sample
projects to find out regression co-efficient for every category. This study revealed that all
variables have linear relationship and regression co-efficient are different from zero. This model
used to analyze results can be very helpful to engineers, managers and planners to estimate actual
time of completion before awarding contract. This survey of 130 projects in Jordan showed
various factors that caused delays in project completions or resulted in cost overruns. Since, this
study was done to find out real causes of construction delays, beside all this study does have
limitations in several aspects. Firstly, this study does not consider project planned costs and
actual cost that is said to be shortcoming off the study. Secondly, contractors experience about
construction is also ignored. But later does not has much impact on study results but project costs
were important to be considered and could be helpful to refine this study a bit more. Projects
studied in this paper show significant delays, and this practice will continue until solid actions
are taken to control all these factors identified in paper. But in true sense, this paper gives a
framework to follow to get improved projects in future in terms of duration and cost.
Delays are obvious in construction industry. Especially in governmental projects, it is almost
impossible to avoid delays. In this paper, researchers discussed delays in Malaysian construction
industry[2]. Purpose of this paper was to develop a framework that is responsible of project
duration extensions in Malaysian public higher education institutions. Previous work available in
form of literature was used to identify all possible delay factors. This paper is particularly
targeting a special case in Malaysia, i.e. public higher learning institution that is supervised by
Ministry of Higher Education. A number of cases experienced delays. Delays contribute
intensely negatively to project, so continuous monitoring of running projects is must to minimize
delay factors to get projects successfully. Researchers identified various types of delays from
previous available literature and classified accordingly. Vast study was done to gather all
possible delays in construction industry and then a framework was developed by using work of

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three different authors. This framework includes a number of possible factors that were thought
to be cause of delays in Malaysian public education institutes. Researchers after extensive
literature studied presented with this framework to help Malaysian government to successfully
complete projects by keeping them within time and budget constraints. One important thing as
mentioned above is that beside identification of these factors, project management must establish
continuous and frequent monitoring of projects progress to minimize possibility of delay factor
occurrence.
Researchers in this study tried to highlight delay issues in Jordanian residential sectors.
Construction industry is generally profit seeking industry and an important aspect in economy
development of any country but these delays are responsible for making these profitable projects
into non-profitable entities. These delays can be avoided or minimized if delay factors are
monitored and worked accordingly. So aim of this paper was to clearly identify true reasons of
delays in Jordanian construction industry and then assess impact of those factors from view point
of all stakeholders involved in those projects[3]. Extensive literature study was done to get a list
of all possible delay factors but in this paper, researchers tried to carry on work from existing
studies available to rank all delay factors one by one from all stakeholders viewpoints separately
in context of Drewin’s Open Conversion System. Drewin's system explains that whole
construction conversion system is regulated by many internal as well as external factors.
Therefore, researchers finalized a questionnaire by deeply studying factors explained in previous
literature and also consulting from Derwin's system. A questionnaire was developed by
identifying 40 major causes that were classified in three major categories. Purpose of this paper
was to assess perception of several stakeholders like consultants, contractors and owners about
importance of each delay factors. Random sampling was used to get responses. Questionnaire
were distributed among a sample of 30 consultants, 50 contractors and 30 owners and was
collected back after getting responses. Identified causes through literature were included in
questionnaire. A five point likert scale was used to get respondents opinion. Then analysis was
done after getting back questionnaire. The ranking of delay causes was determined by taking the
respective average score of the reported data for all the respondents. All the three stakeholders
studied, had different opinions about delay factors from each other. After ranking of factors,
ANOVA was used to assess difference in stakeholders perceptions about delay factors. From
above study, financial problems for contractors, changes in order and poor planning were most
common critical factors from viewpoint of all stakeholders. This paper is very good from
prospective that, opinion of contractors, consultants and owners about delay factors is taken
separately and then ranking of those factors is also a fresh aspect. This study was done for
Jordanian construction projects but this study is helpful for other countries with similar
circumstances.
Researchers in this paper targeted on road construction industry of Zambia[13]. Developing
roads and infrastructure are very important factors for economical growth of any developing
country. In this paper, researchers tried to identify factors that were responsible for causing

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delays and cost overruns in road construction projects running in Zambia. A set of specific
projects during a specific duration were studied to know about reasons of project delays and cost
overruns. Data collection was done by arranging personal interviews, conducting surveys,
consulting previous literature and also some case studies targeting similar projects in country.
This paper broadly and clearly explained concepts of delays and cost overruns from previous
literature studies. Structured interviews were arranged to gather information about possible
factors. 10 respondents were randomly selected for sake of interviews and selected population
belonged to various stakeholders involved in road construction industry. Interviews were
formulated by consulting past literature and aim was to highlight possible factors for particular
study. Later on, questionnaire was also formulated by studying past literature and was distributed
randomly amongst participants from several stakeholders. After gathering questionnaires back,
eight key factors were identified that were responsible for cost overruns. From analysis of
interviews and questionnaire survey, several factors were identified that were responsible for
delays and cost escalations, but this paper also presents a limitation. sample size used in
questionnaire was bit small i.e. 26 respondents due to which all possible factors were not
identified. By further enhancing sample size, some more real factors could be highlighted.
Researchers in this study stressed upon practicing project management tools in the projects to
minimize all such factors that cause delays in projects and cost escalations. This study is helpful
to other areas that are in developing phase and have small area and small construction industry
like Zambia.
Most of studies conducted in past focus on identification and ranking of factors that cause delays
in specific construction projects or result in cost overruns. But in this study, researchers tried to
address common and general problems of construction industry. Purpose of this paper was to
identify some general problem of construction projects in developing countries[11]. Here
projects running in Vietnam were discussed. For successful completion of any construction
project, it is very important to meet all key performance indicators set before start of any project.
Previous studies and experience from past projects were source of relevant data collection.
Research methodology adopted was to design a questionnaire. That questionnaire was prepared
from previous available data and also from observation of professionals about problems they
faced during working on running projects in Vietnam. This paper was limited to only problems
experienced. A questionnaire was firstly tested and verified by making coordination with some
highly experienced and authorative professionals of Vietnam construction industry and then that
questionnaire was modified as per their suggestions. Questionnaire was distribute to respondents
by all possible means but preference was given to by hand delivery. After gathering back
questionnaires, analysis was focused on ranking of problems with reference to its occurring and
impact. Later spearman's correlation coefficient was also involved to check any kind of
association among ranking of several respondent groups. Targeted respondents were categorized
in three major groups classified as owners, consultants/designers and contractors/subcontractors.
Total of 62 attributes were identified. After analysis, 20 factors highly ranked as per their
occurrence were identified and most of them were correlated. Researchers after this study were

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confident that this study will provide insight to professionals to get information about factors,
they are responsible for. It will help in minimizing delay causes and their impacts. This paper
discuses general problems of construction industry, rather specific problems of specific projects,
so this study can be helpful in other developing countries as well. This is best point of this paper
that targeted study is for general population.
This paper aimed Malaysian construction industry that is an integral aspect of economical
growth in Malaysia[15]. Beside this fact of economic development, several projects face cost
overrun or escalation. Due to cost escalation, projects face several conflicts. Most of data was
acquired by making extensive past literature search. Key factors responsible for cost overruns in
construction industry were identified. A questionnaire survey approach was adopted to get some
results from study. Questionnaire was divided in two portion. In first portion, respondents were
asked about their personal profile and their projects, including their name and company details.
In second part, those characteristics of projects were asked that were considered to be reason for
overruns from previous literature studies. After formulating questionnaire, validity and
effectiveness of paper was verified by making a pilot study. After verification from academics
and highly experienced professionals, few modifications were done and then questionnaire was
finalized for distribution. Targeted population included all quantity surveying companies running
in Malaysia. Sample almost included every type of infrastructure and building projects. After
getting back those questionnaires, statistical methods were adopted to calculate cost variances
from different aspects. This study revealed that most of projects in Malaysian construction
industry clearly exhibit cost overruns and also that public sector projects perform well then
private sector. This paper provides stakeholders with clear vision to look into cost performance
information with respect to various attributes of projects. This paper can be taken as reference
and then ding same study in other construction industries of other countries might result at the
end in making a comparison. Researchers highlight another important aspect about this study that
these findings are not applicable in other international industries because of different regional
and geographical circumstances. So this study must be taken only with context to Malaysian
industry. But in general, this study provides a good framework for other researchers and
academics to carry further research or use same methodology to highlight findings in their
relative construction industry.
2.5. IMPACT OF DELAY FACTORS ON OVERALL PROJECT:
Delays in construction industry are obvious worldwide. Researchers in this paper worked out on
construction projects in Malaysia[4]. Researchers tried to not only highlight factors causing
delays in Malaysian construction industry but also tried to study and explain impacts of those
effects. As researchers tried to address two separate issues in this study, i.e. identification of
delay factors and secondly, study of impact of delay factors, so they reviewed previous literature
separately for both issues. After extensive literature studies, possible delay factors were
identified and then a questionnaire with five point likert scale was prepared that was divided in
three parts. In first part, respondents were asked about their background. Second part was

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focused on factors of delay and in third part of questionnaire, impact of those factors was tried to
discuss. 28 different factors were classified in eight major categories. At end of second and third
parts, respondents were also requested to give their recommendations how to improve Malaysian
construction industry and how to minimize impact of delay factors. Before distributing
questionnaire to respondents, it was decided to check completeness and validity of questionnaire
by selecting few respondents to respond. All respondents were agreed that questionnaire was
complete in all terms. Snow-ball sampling method was adopted to get required sample. A
handsome number of consultants, contractors and owners were provided with questionnaire and
also it was made sure to include participants from both public and private sectors. To analyze
responses, method of relative importance index was used. By using RII, delay factors were
ranked from client, consultant and contractor point of view separately. in last, co-relation
analysis was used to study relationships between cause and effects. Researchers in the end
identified ten most critical causes of delays by combining opinion of all stake holders and
suggestions of clients, consultants and contractors to minimize delays were discussed. This study
is helpful for both professionals and researchers to work further by using this study.
Egyptian construction industry like other world also suffers from delays. This paper highlights a
possible list of delays by consulting previous existing literature[5]. Researchers tried to identify
possible delays in Egypt through making extensive literature review and after getting a list,
feedback was obtained from experts in Egyptian construction industry. A questionnaire was
formulated highlighting identified factors. Total of 43 delays were identified that were grouped
in seven major categories. In first portion, respondents were asked about their personal
information/background. Top ten delays were ranked then by using frequency index, severity
index and importance index. Questionnaire was distributed among three different groups
including owners, consultants and contractors and most of experts having experience of 20-30
years in field. Sample of 33 respondents was selected statistically. Researchers also discussed a
case study in this paper that also highlights some factors that caused delay in project in Egypt,
despite agreement between owner and contractor. Factors that caused delays in this case study
were equivalent to few listed in questionnaire. SPSS and other statistical tools were used to
analyze obtained data i.e. to get frequency index, severity index and importance index. After
analyzing results, key delay factors were identified and delay factors from opinion of
consultants, owners and contractors were separately expressed. By considering values of FI, SI,
II, top ten delays were ranked according to their highest values.
Researchers in this study tried to study time taken by several construction projects in Saudi
Arabia for completion[6]. A survey was organized to identify possible causes for delays and then
importance of each factor was studied from view point of all stakeholders i.e. owners,
consultants and contractors. Researchers had very clear vision regarding carrying out this study.
They conducted this study to identify possible causes for delays, their importance and then in last
tried to assess perception of all three stakeholders separately. Main source of identifying major
causes was previous literature. Extensive literature study was done to include every possible

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cause of delays. Interviews were also done with some officials to refine list of factors. Total of
73 causes were identified and a questionnaire was designed. Before distributing questionnaire,
detailed information about contractors, consultants and engineers was gathered from respective
offices. After getting back distributed surveys, data was analyzed in terms of frequency, severity
and importance indices. Questionnaire had two parts. In first part, respondents were asked about
general information about them and their organizations, and also they were asked questions
regarding their experience in construction industry. In second part, 73 delay factors classified in
9 major groups were placed and respondents were asked about frequency and severity of each
and every factor. Spearman's rank co-relation was used to check relationship between two parties
and strength of relationship, ignoring third party at time. At the end, factors are shown as per
their frequency of occurrence and severity separately from view point of owners, consultants and
contractors and ranked accordingly. Only one factor was found common in opinion of all
stakeholders and that was change orders. From this study, owners, consultants and contractors
can look onto possible factors in their areas to minimize delays.
Indian construction industry like other parts of world face delays in their project completions.
Since construction industry is grooming in India, researchers tend to make a deep analysis of
possible delay factors and to develop clear vision for professionals to follow. In this paper,
researchers tried to find out most critical factors from list of possible reasons and then studying
any relationship among those factors by using several statistical techniques[7]. Since identifying
factors for delays and then establishing relationship of factors, both are totally of different nature.
So researchers in this paper tried to address both issues separately. Deep literature study was
done to get list of possible attributes causing delays and then interviews with Indian construction
industry professionals were conducted to find factors from that list that were witnessed or
observed in Indian industry. After identifying those factors, a questionnaire was designed to see
impact of those factors on delay of projects. Key stakeholders of Indian construction having solid
experience of construction industry were included in survey. Concept of heterogeneity in sample
was maintained, i.e. professionals with different responsibilities and roles were selected. 45
attributes were identified through literature and personal interviews and placed in six broad
groups. Five point Likert scale was used to ask respondents to rank impact of any factor as per
their opinion. Later, techniques like factor analysis, regression analysis and descriptive analysis
were used for data analysis. Attributes were arranged in ascending order as per their ranking. To
find any relationship between selected variables, spearman rank correlation was used. Then 28
out 0f 47 attributes were selected on basis of correlation and other were found having no
correlation. Other statistical tools were used also to further study correlations in refined form.
After data analysis, this study revealed some key factors that were responsible for delays in
construction industry in India. Monitoring those factors during project execution, and even
taking measure to control in start may lead to successful project completion. This study is
obviously an important study but it has few limitations as well and are highlighted by researchers
themselves. Firstly, sample size in this study is not very much large enough to be used in large
space. Using a bit better and larger sample size with same findings may help professionals in

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other similar cases. Secondly, more critical problem then earlier is that questionnaire was not
distributed equally among professionals having different roles, so it caused similarity in opinion
of respondents.
This paper throws light on most critical factor involved in every construction project, rather in
every project and that factor is time. Time is most fundamental factor and driving force of any
project but it is fact that most of projects face time delays. Researchers tried in this paper to find,
observe and then raking of factors that were responsible for possible delays in Egyptian
industry[16]. This paper tried to target several important points including identifying delay
factors, grouping factors according to relative importance, addressing most critical factor and
then making some recommendations. Ninety nine key factors identified through extensive
literature study and interviewing experienced professionals were grouped in nine major
categories. Questionnaires was developed to assess opinion of various stakeholders about relative
importance of identified factors. stakeholders included were almost from every department
involved in construction industry. Relative importance index was used to analyze results i.e.
ranking of factors according to relative importance. Questionnaire was designed with great effort
after deep brainstorming with respective officials to conclude most appropriate questions.
Questionnaire was divided in two parts. In first part, respondent was asked about personal
information and in second part, factors responsible for delays were discussed and respondents
were asked to highlight frequency of every factor in their projects. questionnaires were sent by
email to respondents and were collected back by emails and fax. Telephone follow ups and
frequent site visits were also arranged for data gathering. A case study was also done to identify
causes of delays. By using RII, twenty top factors according to relative importance from
stakeholders point of view were identified. After this, results were compared by studying opinion
of all factors. From above findings, researchers tried to make some recommendations in order to
reduce and control delay factors in construction industry. Researchers stressed to enhance and
improve effective communication during every phase of project among all stakeholders. Because
lack of effective communication is all responsible for intense misunderstanding in any project.
These findings sets a platform for other researchers and professionals to use this study in any
other particular type of projects and this study also sets a path for further research to work on
estimation of probability of delay in construction industry
2.6. LOWEST BIDDER, CONTRACT WINNER:
Researchers in this paper were aimed to explore those factors that were cause of delays in
successful completion of construction projects in Jordan due to awarding contracts in traditional
way[8]. Traditional contract means awarding contracts to least or lowest bidder. Since
construction industry is an integral part of any nation's economical building but delays in
projects cause many disputes, financial losses in the end. A survey was designed to identify
perception of several stakeholders about impact or importance of those factors. Possible delays
were gathered by making extensive literature review of relevant work done before. After
designing and finalizing of questionnaire. Next step was to adopt distribution methodology of

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questionnaire and they were distributed randomly to consultants and contractors working on
different projects. Questionnaires were collected back and collected data was analyzed. During
analysis, factors were placed or arranged as per relative importance index from view point of
contractors and consultants separately. After ranking factors, researchers used spearman
correlation coefficient to test any relationship between contractors and consultants opinion about
ranking of factors. Total of 28 factors were identified and were placed in 8 major groups. Every
respondent was asked to mark his level of importance for every cause of delay mentioned. One
important thing is that political issues were totally ignored during this study. Building, road and
water and sewer project officials were selected randomly for questionnaires. Questionnaires were
distributed by hand to respondents and person was available to respond any queries. To rank
delay factors, relative important index was used. After ranking and result analysis, this paper
reflected that all stakeholders have their own opinion about ranking of factor. As far as results
are concerned, beside other important point, one most important finding is to improve contact
award system. This study definitely establishes a message that while awarding contract, one must
pay attention to capability and past performance of contractor, not on low rates or bid amount of
contractor.
2.7. CONFUSION IN UNDERSTANDING OF SCOPE:
This paper targets a very general issue that is very common in almost every unsuccessful or
delayed construction project[9]. Researchers in this paper tried to convey clear vision that all
stakeholders must be very clear about scope of project. Since projects start with good intend,
need heavy budget and lot of hard work but unfortunately in construction industry, most of
projects are not well ended. One of very main reason for this unfortunate is absence of clear
project objectives and scope, because successful completion of projects is tied with clear project
scope. This study tried to focus on importance of clear scope, and factors that arise if scope is not
controlled carefully and in last we come to know some ways to control those factors. Objective
of this study focused on discussing importance of project scope and impact of scope on
attainment of project objectives. For this purpose, previous research work was deeply studied in
which project success and scope were studied together. From consultation of previous studies,
researchers tried to setup a theoretical framework regarding importance of project scope.
Researchers tried to explain difference between project and product scope, as both are totally
different entities. This study reflects that in order to reach desired objectives of any project, it is
essential to sit for a time before start of any project. Key activities like defining scope, budget,
time and quality must be discussed in all respects and with all stakeholders before start of project
and reaching on an agreement must be attained for successful execution of project. This paper
solely focuses on importance of scope, leaving all other factors separate. At the end of
discussion, researchers tried to make some recommendations regarding attainment of successful
project by giving attention to defining clear scope and by continuously monitoring performances.
This study can be more reliable if other factors are taken into account along with scope to see
impact of scope misunderstanding on total project efficiency when compared to other factors. As

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per researchers, they proposed to expand this study by making some relationship with customer
satisfaction.
2.8. IMPLEMENTATION OF PROJECT MANGEMENT TOOLS
In this paper, researchers tried to highlight delay factors and cost escalations in groundwater
projects running in Ghana[10]. Researchers in this study tried to target two separate points.
Firstly, This study aimed to identify real causes of delays in groundwater projects and reasons of
cost escalations. Secondly, it aimed to find out their relative importance from all stakeholders
point of view involved in these abovementioned projects. This paper reflected importance of
using project management tools for completion of construction projects successfully. By using
project management tools, one can manage resources according to need of time. Groundwater
projects normally have two different phases that include one before construction phase that
include theoretical work including concept discussion and contract award and second stage is of
construction. Study reflected that most of such projects in Ghana during specific time period
exhibited delays and delays were found in both of above mentioned phases. But normally mostly
causes of delay happen in construction phase and this paper was limited to second phase only.
To identify possible reasons, an extensive survey was carried across Ghana involving officials
involved in such projects. Technique of random sampling was adopted and questionnaire with 26
factors was distributed among several stakeholders. Analysis of data was aimed to find out or
highlight relative importance of factors causing delays or cost overruns. Value for each factor
was calculated by adding values assigned by all respondents to that factor. To check level of
similarity among stakeholders ranking, Kendall's coefficient of concordance was used. After
getting questionnaires back, to find most important delay factors, ranking of items was done by
using relative importance weights formula. At the end, there were five key factors of delays and
cost overruns as per opinion of owners, contactors and consultants combined. From this study,
researchers tried to highlight and rank possible delay factors and also in the end, they provided a
list of steps that could be used to minimize these factors to maximum level.
2.9. CRITICAL SUCCESS FACTORS IDENTIFICATION:
Researchers in this paper targeted Indian construction industry to develop model that represent
critical success factors and also highlighting those factors causing cost escalations in
construction projects. This study aimed to clearly highlight importance of success or failure
factors in Indian construction industry from viewpoint and opinion of several important
professionals involved in those projects[12]. Secondly researched tried to discuss hidden
characteristics of those attributes. Although to carry this study detailed data about completed
construction projects was required but data was not available. So approach of a survey was
adopted to verify effect of several factors on total project performance. As previous, possible
factors that could be success or failure attributes for a project were gathered by making extensive
literature search and also consulting several professionals involved in industry. A questionnaire
was prepared but before distributing a pilot study with experts to see if there were some lags in it

38 | P a g e
and was modified accordingly. A total of 450 questionnaires were sent to respondents by email
and only 112 were received back. Results were analyzed by using SPSS software. After this,
factors were ranked as per respondents responses. Relative importance index(RII) was used for
ranking of success and failure attributes accordingly. Top ranked attributes were identified and
then factor analysis was used to group like attributes according to their correlation. This study
has identified both aspects of issue i.e. critical success factors and also failure factors. From this
study, an important point should be learnt by professionals is that everyone should clear that a
project can never be successful by only focusing on maximizing success attributes but full
attention must also be given on controlling or minimizing identified failure factors. Researchers
also tried to establish some recommendations for above mentioned attributes that should be
followed by every professional who wants successful and timely project completion.
Researchers in this article tried to develop a critical success factor model for successful
completion of any construction project[17]. In this paper, researchers tried to explain deeply
concept of project success and also highlighted previous literature work being done on
identification of critical success factors. Also later, a conceptual model of these factors adopted
for Lithuania was developed and was discussed. Study revealed that knowledge of critical factor
model in any form of business has very positive impact on overall progress of business.
extensive literature study was done to identify all possible critical factors for several aspects of
construction industry. In case of Lithuania, identified factors were placed in group of seven and
all of those variables had some relation with each others. At the end, decision making matrix and
multiple criteria analysis of several alternatives were done. This conceptual model grouped all
factors into seven major categories and factors were interrelated. This model included factors
from external environment, also highlighted issues from organizations, and then also discussed
factors regarding project. factors related to several stakeholders including project managers,
clients and contractors were also mentioned. Researchers proposed a way of further research by
highlighting important aspect by working on factor analysis method. It will help to highlight
hidden relationship among factors in this model and also stressed on multiple criteria analysis
that will provide better opportunity to select most appropriate and successful project amongst all.
Researchers in this paper tried to highlight some key factors from clients perspective that
contribute success to design and build projects of public universities[18]. Several factors that
include clear understanding of project scope, cost and project quality assurance are critically
important including proper monitoring, supervision and coordination of project. Survey through
questionnaires was adopted to gather data and target population were clients and contractors
related to public universities and other D&B projects. But a limitation to this study as mentioned
by researchers themselves was hesitant attitude of respondents towards research. Only 44%
respondents responded over questionnaire and some scheduled interviews also had to postponed
due to different reasons. Average index method was used to rank out most important success
factors. From obtained data, some success factors were separately identified from client and
contractors point of view. From clients perspective, project scope and cost understanding are

39 | P a g e
important aspects. Beside these, contractors proposal must be given clear review. From
contractors perspective, experience of running projects and achieving objectives are important
factors as well having good financial setup to carryout operations are most critical factors.
Limitation to this research is that it only targets a specific area of construction industry i.e. D&B
projects. Further researches can be carried out to expand this study to cover construction industry
in general to improve success rate of construction project worldwide.
Researchers in this study focus on improvisation of plant manufacturing business that face high
risks at the moment[19]. Information of important success factors that might help in enhancing
success rate of related projects may help companies to improve their business. Success factors
study for plant manufacturing business was never given importance before, so researchers in this
study tried to emphasize in particular area. Extensive literature search was done to gather some
possible factors. Since, no comprehensive work regarding manufacturing plant business was
found so success factors from other relevant fields were also identified and after scrutiny, 41
success factors were finally shortlisted. Web based questionnaire was distributed among 114
respondents and only 19 of which responded. Purpose was to identify critical success factors
particularly in area of plant manufacturing. To assess gathered results, a new method named
Balanced Scorecard(BSC). After analysis, factors were categorized and identified as per their
relevance to plant manufacturing. Experience, good project management, better qualification and
trainings are found amongst most important success factors. This study only aimed to identify
possible success factors related to plant engineering but further studies can be carried out to
check impact of these identified factors if any firm try to adopt all these factors. This study also
has many limitations like targeting a particular German speaking respondents and also small
number of respondents with no control or surety about their truthfulness while responding.
Researchers in this research targeted slow progress and productivity of construction industry in
Saudi Arabia[20]. Before this study, many studies had been carried out at project levels to
highlight delay or success factors. But now evaluation and monitoring of projects has become an
integral part in construction industry, so researchers tried to identify and set some key
performance indicators(KPI's) that might help construction companies in KSA to streamline and
smoothen their business productivity. For this performance, extensive literature study was
carried out to identify possible success attributes, Finally 47 key performance indicators were
identified and a questionnaire was designed on basis of identified indicators. Questionnaire was
divided into four different parts. It was distributed among several top GRADE 1 construction
companies operating in Saudi Arabia. Total of 67 questionnaires were distributed amongst
respondents from several firms and 27 were returned back for analysis. Technique of Relative
Importance Index is used in this study to find relative importance of identified indicators. By
ranking of KPI's, 10 most important indicators were indicated that included indicators like cash
flow, stability, external customer satisfaction, quality of service and work, safety and effective
planning. This study only targets construction companies in Saudi Arabia, further research could
help in enlarging this study to other engineering disciplines and also to other areas as well.

40 | P a g e
Researchers in this study tried to identify possible success factors for some urban regeneration
projects in Korea[23]. Ten critical success factors were identified through several brainstorming
sessions and by conducting 29 expert surveys. After identification of critical success factors,
priority for every factor was set by using a three step priority evaluation method. These identified
factors can surely help practitioners while running projects with similar nature. It can also be
called as limitation of study that it only targets urban regeneration projects.
2.10. CHANGE MANAGEMENT IMPLEMENTATION:
Changes are very much obvious in construction industry. One may say one of biggest hurdle in
successful completion of any project is frequent change. Researchers in this paper tried to
address this critical issue. This paper tried to study impacts of changes on project[14]. As per
researchers, change management implementation was an important tool to reduce impact of
change on any project. Singaporean construction industry was targeted in this paper to observe
status, importance and effect of change management implementation on construction projects
running in Singapore. This paper aimed to highlight present implementation strategy for change
management in Singaporean construction industry, then to observe cost and profits on change
management implementation and then in last to observe effect on overall performance of project.
For this study, contractors of small and medium sized firms were considered with accounting for
changes in planning and then execution phases. Extensive literature search was done to study and
understanding deeply concept of changes in project, and then studying project change
management and also effect of project management on project performance. After well
understanding concept, a questionnaire was developed to assess impact of change management
in construction industry of Singapore. Questionnaire was had three different parts. In first part,
respondents were asked for their personal and company profile. In second section, It was tried to
find how many companies and projects executed project change management and in last section,
questions were asked about problems or factors that motivate or demotivate companies to
practice change management in projects. Questionnaire was distributed amongst all stakeholders
but at the end, most of response was given from contractors so results analyzed were from
contractors view point. Results were analyzed statistically to observe impact of change
management on overall, cost, quality and time performance of projects. From study, it was
obvious that change management implementation had positive and improved impact on project
performance but in Singapore, this practice had low trend. Beside some good feature, this paper
has some limitations as one that it reflects only contractors opinion and secondly, it focuses on
only small or medium sized firms. By focusing on these limitations, further research may enable
it to be used in some other generalized prospects.
2.11. EXPLANATION OF TERM CONFLICT IN CONSTRUCTION INDUSTRY:
Researchers in this study tried to study term conflict related to construction industry[22]. In other
words, researchers tried to find possible reasons of conflict in construction industry in this study.
Researchers divided conflicts in three different types in construction projects that relate to

41 | P a g e
behavior, contracts and technical aspects. Aim of this paper was to settle a guideline study for
conflict management for future projects. In this study, researchers defined term conflict in detail
from construction industry perspective. Then extensive literature review was done to find
conflicts in construction industry and then researchers tried to identify and highlight conflicts as
per three categories. Communication problems, multicultural related issues, delay interim
payments, clients slow responsiveness, quality of work and wrong idea of pricing and costs are
important conflict factors categorized separately in different categories.
2.12. DELAYS IN PAKISTAN CONSTRUCTION INDISTRY:
Researchers in this study focused on Pakistan construction industry to find out possible factors
that are responsible for delays in Pakistan construction industry[21]. This study emphasizes on
factors that become reason for time extensions in running projects from client, consultant and
contractors point of view. Researchers in this research tried to identify possible factors by
consulting data of almost 50 extended projects, and then top 10 most critical and highly ranked
factors were identified. By consulting several projects, 27 time extension factors were identified
and then a questionnaire was designed including those factors. Target population was
respondents from several working personals in clients, consultants and contractors organizations.
personal and telephonic discussions were arranged with respondents. Identified factors were
categorized as client, consultant and contractors related. Technique of Relative Importance
Index(RII) was adopted to rank top ten factors from identified 27. Mostly factors identified in
this study belong to domestic circumstances of Pakistan including law and order situation,
unstable political situation, war and terrorism and currency inflation. Beside these domestic
issues, some other factors are also identified. Researchers also passed on some suggestions in
this study that address solution to above mentioned domestic issues. But further studies can be
carried out to identify all possible causes despite of above mentioned domestic problems.

42 | P a g e
CHAPTER 3: ANALYSIS & DISCUSSION
3.1. INTRODUCTION:
Total 150 questionnaires were distributed amongst construction related professionals engaged on
several governmental construction projects in different domains. Respondents were selected
randomly from all possible Client, consultant and contractor companies working in particular
area on different kinds of construction projects, as purpose of this research was to identify
general and common causes of delay in construction industry of particular area. After time
period of exactly one month, respondents were asked to return questionnaires back. During this
period, multiple reminders were sent to respondents as well. At the end, total of 97
questionnaires were returned back. On examination, 12 questionnaires were found incomplete in
any respect, so they were excluded from analysis. Data analysis was done with 85 respondents
opinion with response rate of 57%.
3.2. STATISTICS OF RESPONDENTS:
Respondents selected were based on two important parameters.
i). Designation Of Respondents
ii). Experience of Respondents in particular industry
A): Based on Designation, Respondents were distributed in three different levels i.e. Senior
Management, Middle Management and Lower Management. Senior Management included
Directors, Deputy Directors, Senior Managers, Project Managers, Senior and Chief Engineers.
Middle Managers included Resident Engineers, Site and Project Engineers, SDO's and Field
officers. Lower Management included Assistant and Associate Engineers, Surveyors, Assistant
Surveyors and Site Inspectors. In our research, 33% Respondents were from Senior
Management, 29% Respondents were from Middle management and 38% were from Lower
Management. (Fig. 4.1)
B). Based on Experience, Respondent were also placed in three sub-categories i.e. Experience of
2 years and above but less then 5years, Experience of 5byears and above but less than 10 years
and experience of 10 years and above in relevant field. As per this classification, 23% of
respondents were among 1st sub category, 43% respondents had experience between 5- 9 years
in particular field and 34% respondents were those who had experience of 10 years and above.
(4.2)
Standard set for these two parameters was due to lack of availability of highly Skilled, highly
Educated and highly Experienced professionals in area.

43 | P a g e
Respondents Categories according to Designation
Senior management
Respondents Categories according to experience in
Fig 3.1
Fig 3.2
33%
29%
38%
Senior management Middle management Lower management
23%
43%
34%
relevant field
02-04 yrs 05-09 yrs >=10 yrs
Lower management

44 | P a g e
3.3. ANALYSIS OF GATHERED DATA:
Since, purpose of this study was to identify possible delay causes in construction industry of
AJ&K, possible delay factors were identified through literature study and unstructured
interviews with several experienced senior relevant professionals of AJK construction industry.
Identified factors were circulated among working professionals in area through questionnaire to
know their opinion about every factor. After getting back responses, Statistical Technique called
Relative Importance Index(RII) is employed to rank factors according to importance given to
every factor by all respondents. RII has already been explained in Research methodology
portion.
3.4. RESULTS OF ANALYSIS:
Below are the results obtained after analysis of data.
3.4.1. RESULTS OF DELAY FACTOR ANALYSIS:
Data was analyzed from perspective of a common construction industry professional,
irrespective of the aspect which type of organization he belonged i.e. Client, Consultant or
Contractors, because questionnaire designed was aimed to get general and common opinion of
relevant professionals. By using RII, importance index for every factor was calculated for overall
analysis. Below is table 4.1, that shows results of RII for all delay factors.
Overall Calculation of RII for delay factors
Delay Factors 1 2 3 4 5
Overall
RII
FINANCE RELATED FACTORS
1.1. Delays in payments to contractors 05 12 10 38 20 0.7318
1.2. Unfair utilization of funds by ERRA 06 18 33 19 09 0.6165
1.3. Low salaries/wages of employees 04 15 14 26 26 0.7530
LABOUR RELATED FACTORS
2.1. Labour internal disputes 12 29 24 17 03 0.5295
2.2. Poor qualification of contractors
technical staff
02 13 10 44 16
0.7389
2.3. Shortage of skillful labor in area 08 11 12 35 19 0.7083

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2.4. Low motivation and commitment of
labors
02 11 17 43 12
0.7224
2.5. Labor strikes 10 28 17 21 09 0.5789
EQUIPMENT/MATERIAL RELATED
FACTORS
3.1. Frequent Equipments break down 10 16 20 27 12 0.6353
3.2. Delay in on site delivery of material 02 15 12 40 16 0.7248
3.3. Unreliable suppliers of material 02 12 28 28 15 0.6989
3.4. Use of Obsolete technology 03 12 20 24 25 0.7248
3.5. Carriage delivery problem due to lack
of road access to site
03 10 15 30 27
0.7600
3.6. Compromise on quality of material 16 24 09 26 10 0.5765
CHANGE RELATED FACTORS
4.1. Change orders by clients/consultants 03 09 22 32 19 0.7295
4.2. Frequent change of sub contractors 03 07 21 39 15 0.7318
SKILL/EXPERIENCE RELATED
FACTORS
5.1. Lack of working knowledge and
experience
05 13 14 33 20
0.7412
5.2. Poor management skills of
management staff
03 08 03 39 32
0.8095
CO-ORDINATION RELATED
FACTORS
6.1. Lack of co-ordination with
contractors
05 16 12 42 10
0.6848
6.2. Lack of on site co-ordination of staff 08 12 18 37 10 0.6683
6.3. Lack of trust from client on contractor 07 12 20 32 13 0.6682
6.4. Lack of coordination within
stakeholder departments
07 06 22 30 20
0.6236

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DRAWING RELATED FACTORS
7.1. Delay in approving shop drawings
and sample material
06 16 10 35 18
0.7012
7.2. Unclear and inadequate details in
drawings
08 16 15 26 20
0.6800
7.3. Frequent changes in drawings from
client/consultant
08 10 12 33 22
0.7200
PROJECT MAMAGEMENT
RELATED FACTORS
8.1. Inadequate planning and scheduling
of work
08 12 20 22 23
0.6942
8.2. Inadequate project management
assistance
08 12 22 32 11
0.6612
8.3. Slowness in decision making process 05 14 12 38 16 0.7083
8.4. Inflexibility of consultants 09 12 22 27 15 0.6636
8.5. Lack of quality control/assurance 06 13 12 36 18 0.7106
ENVIRONMENTAL/GEOGRAPHY
RELATED FACTORS
9.1. Intense cold weather 02 07 18 29 29 0.7789
9.2. Foreign contracting companies face
cultural/social barriers
06 10 19 43 07
0.6824
9.3. Problems with local poulation in
surroundings
03 11 22 36 13
0.7059
OTHERS
10.1. Contractors lack of monitoring their
labour work efficiency
11 10 15 37 12
0.6683
10.2. Unfair contract award system 05 19 10 23 28 0.7177
10.3. Site accidents because of lack of
safety measures
12 12 04 36 21
0.6989
Table 3.1

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After individual factors RII calculation, below is table 4.2, that shows average RII of delay factor
categories.
RII of delay factor categories
Delay Factor Categories Average RII Rank
FINANCE RELATED FACTORS 0.7005 4
LABOUR RELATED FACTORS 0.6556 10
EQUIPMENT/MATERIAL RELATED FACTORS 0.6867 8
CHANGE RELATED FACTORS 0.7307 2
SKILL/EXPERIENCE RELATED FACTORS 0.7754 1
CO-ORDINATION RELATED FACTORS 0.6613 9
DRAWING RELATED FACTORS 0.7004 5
PROJECT MAMAGEMENT RELATED FACTORS 0.6876 7
ENVIRONMENTAL/GEOGRAPHY RELATED
FACTORS
0.7224 3
OTHERS 0.6949 6
Table 3.2

Factors affecting successful completion of ajk governmental construction projects in aftermath of earthquake 2005

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