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International Journal of Civil Engineering and Technology (IJCIET), ISSN 0976 – 6308 (Print),
ISSN 0976 – 6316(Online) Volume 5, Issue 3, March (2014), pp. 209-216 © IAEME
209
ANALYSIS OF CRITICAL FACTORS AFFECTING THE CONSTRUCTION
PROJECTS IN PUNE REGION, INDIA
Dr. A. W. DHAWALE1
, S. C. TANDALE2
1
Associate Professor, Department of Civil Engineering, JSPM's Imperial College of Engineering and
Research, Pune, India
2
Post graduate student, JSPM's Imperial College of Engineering and Research, Pune, India
ABSTRACT
Construction project located in India suffer from many problem and complex issues, which
leads to delays and cost overruns. This study is very important as per Indian construction industry
point of view. Delays and cost overruns are becoming common facts in the Indian construction
industry. Researchers have tried to find many solutions to mitigate such problems but still in
construction industry above problems are untraced and unrecoverable. This paper deals with the
study of unnecessary delay occur in construction projects to find the Importance Index of critical
factors affecting the project productivity. A survey with various construction companies located in
Pune region, India is carried out to find the reasons which are affecting the construction projects in
India.
The various factors are found out with detail study of literature review and these critical
factors are then categorized into owner, contractor, consultant, material, design, labour and
equipment and external factors. The two questions were asked in this survey: what is the frequency
of occurrence of this factor and what is the severity of this factor in five point scales. This survey
includes various contractor, consultant and owners from the construction industry.
Keywords: Construction Projects, Delays, Importance Index, Construction Industry, Critical Factors.
INTRODUCTION
Time and cost are the lifelines of any and every project. The success or failure of any project
depends largely on these two factors apart from its quality. They are vital, still they are neglected.
India is the tenth largest country in the World and yet her record of implementing major projects has
been far from satisfactory. It has been observed very frequently that most of the projects in India
INTERNATIONAL JOURNAL OF CIVIL ENGINEERING
AND TECHNOLOGY (IJCIET)
ISSN 0976 – 6308 (Print)
ISSN 0976 – 6316(Online)
Volume 5, Issue 3, March (2014), pp. 209-216
© IAEME: www.iaeme.com/ijciet.asp
Journal Impact Factor (2014): 7.9290 (Calculated by GISI)
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IJCIET
©IAEME

210
ended with extra involvement of time, money and resources. It's a rare scene in construction
industry, that a project is completed well within the estimated budget and time and with desired
quality. Technological advances are fast making their inroads into construction as a result of the
process of global sharing of experience and wider networking.
The New World order has impressed upon us the need for a paradigm shift in approach in
construction management and the constituent processes. The involvement of multiple skills,
equipment, machineries and materials dependency on number of interrelated activities makes
construction a complicated process. And if the industry is largely unorganized as well, the problem is
compounded. That is why to manage and successfully coordinate and complete a project is a
formidable problem. The client and contractor in a project, although, have a common objective i.e. to
complete the project on time. The client in order to utilize the end result of the project, which has a
value to him, the contractor in order to terminate indirect expenditure on it as early as possible in
order to start further projects. Still, most of the projects cross the limits of time. Delay in completion
results in definite increase in cost, because of immense sums held up, which bring no income. In fact,
some projects often become uneconomical due to the time and cost overrun.
SCOPE OF THE STUDY
In this study, we will be studying the causes responsible for overruns of a construction project
and suggest the probable measures. Our study shall include the various causes or factors of the delay
and cost overruns in construction projects are studied and analysed in terms of severity and their
occurrence. Very small number of projects gets delivered on time. In India the problem of time and
cost overruns is widespread and severe. Few empirical studies and analysis exist on these topics in
India.
Overall this study will be very useful for the previous, ongoing and upcoming future
construction projects to minimize the unnecessary delay and cost overruns in the construction
projects. We shall get the questionnaire filled from around a number of organizations. This survey
can help us to predict the exact reasons for overruns.
LITERATURE REVIEW
For any construction project unnecessary delay and cost overruns have severe effect on the
productivity of the project. It also affects the economy and the industry of the country and causes
other effect on the development of the project and activities depending on these construction projects.
AymanH.Al-Momani (2000)
Studied “Construction delay: a quantitative analysis”. Author concluded that, the delay and
cost overrun in construction is a critical function in public projects construction. It has been of great
interest to researchers but in the case of Public related projects it has not been well understood.
Practically oriented research is vital for proper man-agreement of construction projects. Reliable
prediction of construction duration and then controlling cost withinbudget is widely used in decision
making and is an essential part of successful management. They concluded that, the maincauses of
delay in construction of public projects relate to designers, user changes, weather, site conditions,
late deliveries, economic conditions and increase in quantity.
Daniel W M Chan and Mohan M. Kumaraswamy (1997)
“A comparative study of causes of time overrun in Hong Kong construction projects”. Poor
site management, unforeseen ground conditions, supervision, low speed of decision making and
client initiated variations are the five various reasons for the delay in Hong-Kong construction

211
projects. The relationship between success on site and 'strong' management teams underlines the
need for effective site management and supervision by contractor’s and consultants. They found that
there was a difference in perceptions as to causes of delays by different groups of participants in
building and civil engineering works. Suggestions were made with this study that biases of various
industry groups might directly blame for delays to other groups.
Noulmanee et al.2004
This study was conducted in Thailand for the various causes of delays in highway
construction and concluded that the delay can occur due to various parties involved in the
construction. The main reason for the delay in highway construction was due to improper planning of
the sub-contractors, lack of sufficient sources, unclear and incomplete drawing and deficiencies
between consultant and contractor. This study suggested the solution that understanding between
various problems will solve the problem.
Ram Singh (Economic and Political Weekly2010)
Study concluded that the main reason behind the cost overrun is the delay. Bigger projects
have experienced higher cost overrun as compared to the smaller one. Delays in building
construction project are less as compared to the infrastructure projects. Analysis shows that, due to
imperfect techniques and contractual incompleteness some delays and cost overruns are inevitable.
Sebastian Morris (Cost and time overruns in public sector projects, IIM Ahmadabad 1990)
In the Indian economy Public Sector (PS) occupies an important place. As a leading sector, a
substantial part of the autonomous investments arise therein. These investments pull (and push)
along with other investments in the private corporate and cottage and small industries sectors. Indeed
the very reason of the Public Sector's central place in Planning in India is to raise the level of
investment economy-wide. Economists have been keenly aware of this central aspect of the PS, as
much of the discussions of the "stagnation debate” that started in the early seventies and continues
till today would indicate.
RESEARCH METHODOLOGY
The methodology adopted for this study is the by hand distribution of formulated
questionnaire. The questionnaire was designed carefully so that the objectives of the study are
fulfilled and it is believed that the questionnaire is the best practice for gathering data from the site.
The questionnaire has been distributed to various government employees (client); contractor and
consultant involved in the project initiations to the completion stage. Eighty two factors causes delay
has been found out with detail study of the previous literature and with continuous site visit to
projects personals, contractor, clients and their feedback had helped to prepare and formulate the
questionnaire. This questionnaire is distributed to various sites which are delayed due to various
causes.
QUESTIONNAIRE DESIGN
The questionnaire is written in very simple language so that it is easily understood to the
respondents. The data gathered from various contractors, owner, consultant, project manager and site
engineer is analysed by using frequency, Severity and Relative importance index. Agreement on the
ranking of the importance of the causes of delay between contractor, consultant and owner and
various parties was also tested. Recommendations to minimize delays occurring due to various
reasons emphasized in view of the results of the study.
Data gathered through questionnaire circulated to various construction projects are analysed.
The questionnaire consists of two question were asked what is the frequency of occurrence for this

212
cause and what is the severity for this cause in project delay. For these two questions five point scale
(1 to 5) rating was provided to the respondents to respond for the causes. Then the various parties
involved in construction projects are requested to respond to the above factors according to the
experience in the construction industry. These causes are categorized into various categories
according to the source of delay; these are the factors related to the project, consultant, contractor,
owner, design, labour and equipment, material and external factors. For both questions frequency of
occurrence categorized as follows: not occur, rarely, sometimes, often and always (on 5 to 1 point
scale) and for degree of severity were categorized as follows: no effect, low effect, medium effect,
high effect, very high effect (on 1 to 5 point scale).
The data were collected from the following construction companies
Table 1: Details of the data collected
Sr.
No.
Name of the Company
1
Town Planning Department
(Govt.of India)
2
Larsen & Turbo
(Economical Construction Company)
3 Rohan Builders
4 Pristine Properties Pvt Ltd
5 J. Kumar Pvt Ltd
6 Kumar Builders
7 Unity InfraPvt Ltd
8 Urban Infracon Pvt Ltd (Contactors)
9 Marvel Realtors India pvt Ltd
10 Madhav Limaye Group (Consultancy)
11 Tejaswini construction (Yin Yang)
The collected data were analysed through statistical techniques and indices.
• Frequency Index: To rank the causes of delay based on frequency of occurrence
identified by the respondents, formula used is as follows
Frequency Index = ( ∑ (A* n) )(100 ÷ 5)
• Where A is the constant expressed as weightage given to the factor from (1 to 5), n is
the frequency of responses, N is total number of responses.

213
• Severity Index: To rank the causes of delay depending on the severity of the cause
identified by the respondents, formula used is as follows
Severity index = (∑ (A * n) ) (100 ÷ 5)
• Where A is the constant expressed as weightage given to the factor from (1 to 5), n is
the frequency of responses, N is total number of responses.
• Importance Index: The importance index of factors or cause is calculated as a function
of both frequency and severity indices, as follows:
• Relative Importance Index (I.I%) = (Frequency Index % × Severity Index %) ÷ 100
DETAILS TO BE FILLED BY THE RESPONDENT
The following data were asked to the respondents to fill in the questionnaire so that if some
data is missing and for further information can be contacted and cleared.
Sr.
no.
Title Information to be filled by respondents
1 Name :
2 Organization :
3 Qualification :
4 Work Experience :
5 Contact No :
6 Sign & Date
The nine categories of delay are:
• Delay at Project level.
• Delay due to Owner.
• Delay due to Contractor.
• Delay due to consultant.
• Delay due to Designer.
• Delay due to Material.
• Delay due to Labours & Equipment.
• Delay due to External factors.
RESULTS AND FINDINGS
The questionnaire circulated to various already delayed construction project was analysed
using frequency of occurrence and degree of severity for the various causes affecting the productivity
of the project. The result obtained is tabulated in the format with relative importance index which is
shown in table no 2.

214
Table 2: Relative Importance Ranking of Critical Factors.
Sr.N
o.
Factors responsible for delays Categories Frequency
index %
Severity
index %
Relative
Importance
index %
1.
Legal disputes between various
parties
PROJECT
74.45 64.47 45.64
2.
Type of project bidding and
award procedure
61.36 54.55 33.47
3.
Original contract duration is
short
62.50 47.73 29.83
4.
Poor communication and
coordination between consultant
and other parties
CONSULTANT
59.09 53.41 31.56
5.
Delay in approving major
changes in thescope of work by
consultant
60.23 50.00 30.11
6.
Inadequate experience of
consultant
61.36 48.86 29.98
7.
Rework due to error by
contractor
CONTRACTO
R
59.09 57.95 34.25
8.
Difficulties in financing project
bycontractor
69.32 61.36 42.54
9.
Delay due to sub-contractor
work
61.36 52.27 32.08
10.
Delays in progress payments by
owner
OWNER
70.45 59.09 41.63
11.
Changes in government
regulations and laws
65.91 59.09 38.96
12.
Delaying delivering the site to
consultant and contractor
61.36 60.23 36.96
13.
Delays in producing design
documents
DESIGN
56.82 60.23 34.22
14.
Insufficient data collection and
surveybefore design
52.27 53.41 27.92
15.
Use of advance software for
design purpose
51.14 54.55 27.89
16.
Lengthy procedure to issue
material from stores
MATERIAL
65.91 63.64 41.94
17.
Shortage of construction
materials in market
59.09 65.90 38.95
18.
Delay in material delivery from
the supplier
60.23 62.50 37.64
19.
Unavailability of equipment on
site
LABOUR
&
EQUIPME
NT
62.50 59.09 36.93
20.
Shortage of manpower (skilled,
semi-skilled, unskilled labour)
59.09 52.27 30.89
21. Frequent equipment breakdown 52.27 44.32 23.17
22. Ruling party of the locality
EXTERN
AL
71.59 67.05 48.00
24.
Locals against the project
causing delay to work
60.23 67.05 40.38
25.
Delay from obtaining sanctions
from various authorities
59.09 52.27 30.89
EXTREMELY CRITICAL
VERY CRITICAL
CRITICAL

215
CONCLUSION AND RECOMMENDATIONS
For reducing the unnecessary delays occurring in the various construction projects it is
necessary to find the root cause of delay. This result provides a listing of root causes and issues that
are directly responsible for most Construction project delays. Additionally it is found that
fundamental principles must be adopted before significant improvements can be made.
In order to minimize and control delays the following points can be recommended by all
parties in construction projects:
1. Owner’s Should Give Special Attention To The Following Factors
• Pay progress payment to the contractor on time because it gives the contractor’s
ability to finance the work.
• Resources and capabilities of contractor and consultant, before awarding the contract
to the lowest bidder
• Avoiding delays in producing drawing and changes in specifications to the contractors
and consultant
• Frequent changes in rules and regulations also affect the construction productivity at
site (Example: Due to local body tax in Pune, there was undue strikes of suppliers and
distributers which caused delays in various construction projects)
2. Contractor’s Should Consider The Following Factors
• Shortage of labours: Sufficient number of labour should be assigned and motivated for
improving the productivity on site
• Contractor should manage his financial problem by utilizing progress payment
• Site management and supervision: staff assigned for the supervision and management
should be well qualified and experienced
• Delay due to sub-contractor: Delays occurring due to sub-contractor should be
minimized and instructions to minimize the delay and cost overrun with the already
planned schedule
3. Consultant’s Should Look To The Following Factors
• Delay caused due to the Reviewing and approving design documents by the consultant
engineer in checking, reviewing and approving the design submittals need to be done
prior to construction phase
• Daily site meetings with contractor and consultant should be arranged to create the
effective planning and coordination to avoid unnecessary delays
• Delay in preparation of bill of work done by contractor should be minimized and
avoided the delay in progress payment
ACKNOWLEDGMENTS
The authors are gratefully acknowledges the contribution provided by the various
Construction Company, Contractors, Consultants, Project managers, Architect, Engineers and
Supervisors in the above study. The authors are also thankful to Town Planning Department (Govt.
of India) for continuous help and support during this study.

216
REFERENCES
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Enquiry into Extents, Causes and Remedies, Department of Economics Delhi School of
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2. Sebastian Morris(1990);Cost And Time Overruns In Public Sector Projects by, Institute of Public
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3. Narinder Gupta(December 14, 2009); “Avoiding Time and Cost Overruns in the Construction of
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International Journal of Civil Engineering & Technology (IJCIET), Volume 4, Issue 3, 2013,
pp. 63 - 72, ISSN Print: 0976 – 6308, ISSN Online: 0976 – 6316.

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