Delay & Cost Overrun in Construction Projects: Implementation of Lean Techniques for minimizing the risks on Time & Cost

Abstract

Major challenges faced by the Construction Industry in today’s competitive market are delay & cost overruns. Many projects be in any sector energy; construction causes inefficiency in the outcomings of projects due to process or productivity reduction, quality standards & specifications, poor management practices, leading to an increase in cost & delay overruns. Many types of research in the past have researched these delay & cost overrun issues in general & propose suitable measures to overcome the issue. The research aim is to study various causes of delay & cost overrun in the construction industry & propose a strategy in minimizing risks for future projects by implementing six sigma & 5S operations. The methodology adopted during research to validate the study is the literature review, case study, questionnaire survey. Results from each helped in finding a strategy & validating results through a mixed approach of triangulation. The research provides a strategy by integrating lean, six-sigma & 5S techniques in a project to overcome the issue of proximity of delays & cost overruns by adopting various management standards. The strategy consists of management of quality, site, planning, procurement practices in the project. These will help in improving & managing complex construction projects in the future in avoiding risk. The findings are analyzed theoretically & statistically, to overcome the challenges. There is a need for incorporating such management practices to improve the early drawbacks of various quality standards, stakeholders’ issues, site practices in the construction projects. The research helps in integrating & providing knowledge of various practices that can be implemented in various aspects of construction to improve construction practices & reduce significant delay & cost overruns issues. The strategy formulated by the author could help avoid & minimize risk & could be adopted in future projects