An Analytical Study of Critical Factors Affecting Contractor Efficiency in Construction Projects in Indian Scenario

Abstract

Purpose: Recent studies show that lowest bidder tech­nique is mainly used in developing countries such as India to award a contract. It has been demonstrated that the lowest bid is not always the accurate one and can lead to cost overruns and time extensions amongst other prob­lems. The aim of this study was to investigate the critical factors impacting contractor’s efficiency in Indian con­struction projects. Research approach: A survey was sent to participants of construction projects awarded by the government with the lowest bidder technique in Uttar Pradesh, India. For further research, snowball sampling was used, and struc­tured interviews were conducted amongst experienced managers and engineers of these projects on both client’s and contractor’s side.Findings: It was observed that, to a greater extent, the delays were caused due to contractor’s opportunistic behaviour. The main findings are that new bidding meth­odologies are to be tested as they can lead to the choice of a more accurate and realistic bidder. In addition, subjec­tive evaluation components, such as schedule and work­force, should be reflected in contract award methods in addition to the cost criteria. Further studies should be per­formed on the choice of contract awarding methodology based on the project size and type. Originality value: The researcher’s focus was to analyze the influence of contracting methodologies and factors affecting contractor’s performance in lowest bid award project, where this is an area of least focus amongst researchers in the Indian subcontinent.

Risk Management on Concrete Structures as a Tool for the Control of Construction Efficiency

“…Another study pointed to the impact of project delays as a risk that affects efficiency. The authors investigated the critical factors affecting contractors' efficiency in Indian construction projects [54].…”

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“…In addition, a graphic illustration by a matrix offers comfort in computer processing [8]. To support this problem, a mathematical approach is proposed for the study and quantification of various factors, sub-factors affecting the performance of civil work [9]. This would lead to determination of single numerical index, which would be useful in assessing and comparing the quality of builders.…”