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Table of Contents
ACKNOWLEDGEMENT............................................................................................ 6
ABSTRACT.............................................................................................................. 7
Chapter 1: Introduction
1.1 INTRODUCTION................................................................................................ 8
1.2 BACKGROUND OF THE RESEARCH...................................................................8
1.3 RESEARCH PROBLEM AND RATIONALE.............................................................9
1.4 RESEARCH AIM............................................................................................... 11
1.5 RESEARCH QUESTIONS..................................................................................11
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2.8 SUMMARY....................................................................................................... 33
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Chapter 5: Discussion
5.1 INTRODUCTION.............................................................................................. 59
5.2 CAUSES OF TIME AND COST OVERRUNS........................................................59
5.2 SIMILARITIES AND DIFFERENCES BETWEEN LIBYAN AND UK PM PRACTICES. .60
5.3 FACTORS THAT HINDER THE ADOPTION OF PM PRACTICES............................62
List of Figures
Figure 2.1: Theoretical framework of the
study...................................................................
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Figure 4.2 UK
Professionals................................................................................................
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Figure 4.3 Libyan
Professionals..........................................................................................
Figure 4.4: Types of construction projects (UK
Respondents)..............................................
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List of Tables
Table 3.1: Positivist vs.
Interpretivist....................................................................................
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ACKNOWLEDGMENT
Acknowledgement
First of all, I would like to thanks Almighty GOD for giving me courage to finish this
dissertation on time utilising my best knowledge and skills. A special thanks to my
supervisor, Dr. Walter Mswaka who encouraged me and guided me so well throughout the
dissertation period. I am extremely thankful to my parents and other persons who motivated
me during this research and also throughout my studies. Last but not least, I am thankful to
Huddersfield University for providing me tremendous opportunity for the partial fulfilment of
my MSc Business Project Management.
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ABSTRACT
Abstract
Over the past two decades, the Libyan construction sector is experiencing many problems
particularly housing shortages, cost and time overruns, and construction defects due to lack of
adequate project management practices. The purpose of this study is to investigate the role of
project management practices in Libya compared to the UK to avoid time and cost overruns
of construction projects. A blend of primary and secondary data collection methods are used
to achieve this aim where primary data is collected through survey method. The findings of
the paper suggest that Libyan construction industry is different from the UK in terms of not
adequately practicing most of the project management practices. A majority of construction
participants agreed that such practices are inherent to avoid the cost/time overruns but some
problematic factors are hindering the implementation of those practices in Libya. Some of the
critical factors include changes in the scope of the project, lack of knowledge, skills and
experience, fear of change, lack of top management commitment, and excessive bureaucracy.
The paper concludes with a set of recommendations to Libyan construction sector explaining
how they can adopt modern PM practices undertaken in developed countries particularly in
the UK to avoid the cost/time overruns.
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Chapter 1: Introduction
1.1 Introduction
This chapter provides a reasoned discussion on research problem and research background to
set the scene for developing aim and research questions of the study. Furthermore, the chapter
also includes research questions, research rationale, and theoretical framework of the study.
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On the other hand, in Libya many leading construction firms from the UK, USA and other
European nations have taken up construction projects in Libya. Hence, the flow of PM
practices and methods in construction industry of Libya has been initiated already. The
Libyan Project Management Association (LPMA) is a body formed by the project managers
in Libya which is responsible for training and providing help to project managers for better
results (Libyan Project Management Association, 2012). But still the level of PM practices in
Libya is inadequate compared to the UK (Shebob et al. 2012).
With this background, the thesis attempts to find out to what extent PM practices used in
Libyan construction industry are different or similar from those utilised by UK construction
professionals? Also, to identify the factors that hinder the adoption of significant PM
practices to avoid construction cost/time overruns?
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new challenge for the construction industry in Libya. The above issues and challenges are
witnessed due to lack of technical abilities, lack of PM practices, inadequate managerial
competencies, improper planning/scheduling techniques, and problematic circumstances in
the industry (ibid). As a result, construction industry in Libya is facing many issues such as
time overrun, cost overrun, and quality problems.
People working in construction domain are also subject to expose wide varieties of internal
issues such as environmental, contractual, financial, stakeholders, communication risk etc.;
and external risks such as political and regulatory risks. Consequently, the projects success
could be influenced in many aspects such as cost, time, and quality if these issues are not
handled properly (Charoenngam and Yeh, 1999). The issues and challenges stated above are
important at this time when construction industry in Libya is facing problems such as
cost/time overruns, housing shortages, and construction defects (Abubaker et al. 2008). In
order to avoid the impact of these issues and threats, the project management becomes an
essential topic in the desire of delivering successful projects (ibid).
From the above discussion it can be acknowledged that the construction industry in Libya
requires adopting innovative PM practices. But unfortunately very limited research is
available in the literature that how Libya can adopt latest PM practices undertaken in the
developed countries to avoid construction cost/time overruns (Tumi et al. 2009; Shebob et al.
2012). Also, researchers community has paid little attention in exploring causation factors
that hinder Libyan construction industry to adopt modern PM practices (Hammad et al.
2011). This literature gap exists because of lack of comparative studies that compare and
evaluate PM practices used in Libya with those of undertaken in developed countries.
Therefore, there is a strong need to conduct a study that fills this gap by highlighting major
issues in the Libyan construction industry and devise a solution how identified issues and
threats can be mitigated to achieve project success.
The primary focus of this research is first to explore current PM practices undertaken in the
Libyan construction industry and then compare them with the practices used in the UK for
evaluation purposes; or in other words, this study aims to explore how Libyan construction
industry is different from the UK particularly in terms of PM practices. Also, this research is
subject to investigate problematic events and factors that hinder Libyan construction industry
to adopt latest PM practices. It is believed that providing a set of appropriate
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To what extent, PM practices used in the Libyan construction industry are different or
construction industry?
How Libya can adopt modern PM practices to avoid construction cost/time overruns?
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nearly 41.4 billion GDP each year, and the per capita income of Libya is highest in the
region which was approximately 7,190 in 2011 (Ngab, 2007). Libya lacks adequate water
resources; in fact, it is considered as one of the poorest countries in terms of limited water
resources.
The construction industry in Libya contributes around 5.2% to gross GDP and it provides
work to nearly 3.2% of the total workforce (Ngab, 2007). The Libyan construction sector has
experienced several reforms over the past five decades. Since the early 1950s, the
construction sector in Libya has played a vital role in the development of its economy when
the country became independent from the Italian occupation. At the beginning, construction
activities were performed for social purposes but with the passage of time it emerged into
peoples cultures and values, and consequently the skills and knowledge were transferred
generation to generation. Therefore, the vast experience and enriched skills of the
construction participants allow Libya to improve the infrastructure of the country by
increasing the volume and scale of construction activities (ibid).
The country faced a construction boom during 1970s when it was ranked as one of the
frequent consumers of cement. In the past two decades Libya has planned and constructed
The Great Man Made River project which is considered as one of the worlds biggest water
projects. The public sector in Libya played a central role in developing countrys
infrastructure in the context of economic and social development plans. Between 1990 and
2010, the public sector organisations successfully completed 86% construction projects
(Ministry of Planning, 2011). But the industry faced some serious problems in the past due to
heavy reliance on foreign experts (Ngan, 2007).
Time and cost overruns are the most frequent problems in Libyan construction projects.
Several studies mentioned that most of the public construction projects faced concurrent
construction delays during design and construction phases (Hatush et al. 2005) and most of
the local and international bodies failed to achieve quality outcomes due to some critical
causes of delays where contractor and client organisations are mostly responsible for a
majority of delays due to lack of adopting adequate project management practices (Hamzah
et al. 2011). According to Abounahia (1998), more than 70% public construction projects
were delayed in Libya due to several crucial factors. Abubaker et al. (2008) reported 69%
construction project suffered from delays and only 31% finished on time and within the
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estimated budget since 2000 to 2008. Another recent study reveals that more than 50%
construction projects in Libya are cost/time overrun (Hamzah et al. 2011). However, the ratio
is decreasing due to the adoption of some innovative project planning techniques.
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projects from time and cost overruns. The construction project management allows
construction parties to plan, coordinate, and control entire project activities in a systematic
and organised manner in order to accomplish the projects on time and within the estimated
budget (Walker, 2007). This can lead to fulfilling the requirements of the client in producing
financial and quality-wise feasible project.
Project initiation phase refers to some significant activities including defining project scope,
problem identification, finding alternate solutions, and feasibility study. In the project
planning phase, several plans such as resource plan, financial plan, quality plan, risk plan,
communication plan, procurement plan, and timeframes are set to achieve projects core aim.
Project execution phase mainly refers to the implementation of plans devised at the planning
stage; and finally, project closure involves terminating all project activities and handing over
project deliverables to the client (Westland, 2007).
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The model of Walker (1996) is closely related to the descriptive model of Mohieldin (1989).
According to Mohieldin (ibid) descriptive model, condition and resources are the two
inherent inputs in a construction process. The input resources are same as described by the
Walker (1996) such as land, labour, capital, materials, equipment, and the external
environment or the criteria as laid down for the construction. The output of the model
indicates required physical product in the form of the building as shown in figure 2.4.
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2.4.2 UK Perspective
In 1985, Sullivan and Harris conducted their study to investigate major factors leading to
unanticipated cost and time overruns in large construction projects. They surveyed only civil
contractors, consultants, and clients. It was found that contractor-related factors followed by
client-related factors were the prominent causes of concurrent construction delays. Later on
the survey study of Jackson (2002) explores project cost overrun in the UK construction
industry. Their survey findings reveal consultant related factors and then project planning and
project management related issues are major factors causing cost overrun in the UK
construction industry.
Cannon (2008) highlights the cost/time overrun issues that UK construction industry faced in
the past two decades and also addresses challenges ahead. His survey study reveals that
contractor and consultant related issues are critical in the UK construction industry and due to
these reasons client organisations faced many health and safety issues, insolvency, and
legitimacy problems.
Falqi (2004) conducted his comparative study to address delays in construction project
completion. They categorise more than 70 cost/time overrun factors into five significant
categories such as contract related factors, consultant related factors, client related factors,
project management related factors, other factors. Their study reveals that contractor related
factors followed by consultant related factors are the core reasons for delays in the UK
construction industry.
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2.5.1 Procurement
Procurement is a procedure of ascertaining a suitable method for monitoring and controlling a
construction project and choosing the best people to devise, deliver, and operate required
activities (Edum-Fotwe and McCaffer, 2001). Today, lump sum contracts and lowest price
tendering are the common methods for the selection of contractors and sub-contractors. But
latest procurement methods stress the need for choosing best organisations that can work well
in a collaborative environment, and also they understand and exercise the principles of
Partnering (ibid). Several procurement methods include: traditional/ conventional, design
and build, construction management, and integrated.
The procurement is the key problem in the construction industry of Libya as the construction
parties use conventional procurement methods based on lowest bidding policy. El-Hasia
(2005) found that procurement policy in Libyan construction industry is inadequate and lacks
in clarity in defining goals. He further explains that the procurement policy restricts public
construction parties to adopt new or innovative procurement methods that are more beneficial
in terms of achieving clients objectives. As a result, the construction projects are cost and
time overrun.
In contrast to Libya, UK construction industry is popular in using new methods of
procurement. UK construction parties choose a procurement method for their projects on the
basis of contractual agreements in accordance with the clients resources, policies, and
organisational structure. But the latest survey of Civil Engineering Contractors Association
(CECA) consisting of nearly 300 construction firms reveals that bureaucratic and delayed
procurement processes are damaging the UK construction industry (Reynolds, 2012).
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2.5.2 Partnering
Partnering refers to establishing a system that encourages collaborative working approach
during different construction phases (Chan et al, 2006). This means that partnering is a
different but traditional approach in the construction context where all the parties work
together to assist client in order to achieve projects underlying objectives. Figure 2.5 shows
three essential features of partnering described by Bennett and Jayes (1995).
Figure 2.5: Features of Partnering
Libyan construction industry encourages collaborative working approach with local and
foreign companies (Ngan, 2007). Several foreign experts and companies are working on
major construction projects in Libya but in fact, the regulatory environment is restricted for
all foreign partners (Porter and Yergin, 2006). For instance, foreign partners cannot
participate in bidding, procurement, and tendering processes. Also, foreign firms cannot work
as main contractors for both commercial and residential construction projects. However, local
firms often act as key contractors and work with foreign sub-contractors on major
construction projects due to their new knowledge, expertise, and latest specialised equipment
(ibid).
In contrast to Libya, the judicial consideration of partnering in the UK is limited (Begg,
2003) as most of the private and public firms prefer to work own their own, or like to work
with local partners as they find themselves compatible in team working environment. Also,
the working methods/techniques of local partners are almost similar. A comprehensive report
of Egan (1998) emphasised the need of partnering and establishing long-term relationships
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with foreign partners in order to learn new and effective ways to enhance the performance of
the UK construction sector.
In managing risks, risk identification is a significant and major part which usually
commences with discovering and categorising various risks related to the project. Hillson
(2009) highlights the importance of identifying risks prior to initiating a construction project.
Tools that can be used for risk identification include: checklist, interviews, surveys,
flowcharts, SWOT analysis, assumption analysis, Delphi analysis, and diagramming method.
The risk assessment stage refers to analyse significant risks either qualitatively or
quantitatively. A typical risk register is composed of risk categories, risk description, risk
likelihood, and risk consequence (Hillson, 2009). In addition, the risk register may also help
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analyst to formulate a formal risk response strategy to treat risks at the next stage. But it is
important to constantly update the risk register throughout the pre-construction and
construction phases (Garlick, 2007).
After successfully identifying, assessing, and evaluating probable risks, an analyst needs to
develop and implement suitable risk response strategy to treat risks. The risks can be treated
in four ways: risk avoidance, risk retention, risk share/transfer, or risk reduction (Panthi et al,
2007). Figure 2.7 presents a risk matrix which shows common construction risks and
treatment strategies.
Figure 2.7: Risk Matrix
The survey study of Tumi et al (2009) reveals that risk management practices in Libya in
managing construction risks particularly delays are not standardised. They also found that
Libyan construction parties employ no or inadequate tools and techniques to identify and
analyse construction risks and as a result they face concurrent delays. In a comparative study
of delay factors in UK and Libyan construction sectors, Shebob et al (2012) concluded that
most of the main contractors in Libyan construction industry do not adopt any formal risk
management process and techniques but in contrast, UK and other foreign sub-contractors
working in Libya follow proper risk management tools and techniques.
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The sustainable construction is also given high importance in Libya during infrastructural
activities. It is evident in the literature that Libya emphasises on sustainable construction with
a particular focus on energy and water use in the project lifecycle (Bindra et al, 2003). In
addition, the environment and social concerns are also important during local and commercial
infrastructural activities. In Libya, sustainable construction is the responsibility of a particular
government department associated with the construction industry. This department ensures
that constructions in the country are meeting the requirements in all three aspects i.e.
economic, social, and environment (Li, 2012).
2.5.6 Benchmarking
The benchmarking concept in the context of construction means developing a logical and
systematic method of improving quality by measuring and assessing performance against
other construction organisations (Drew, 1997). Benchmarking lead the construction firm to
ensure what is achieved and which areas needs improvement to perform well in future
projects. The Key Performance Indicators (KPIs) under benchmarking concept provide
guarantee for the achievement of Best Value for both private and public sector organisations
in the construction industry (Halliday, 2012). In addition, the KPIs allow construction
companies to satisfy construction clients and other stakeholders in terms of cost, time, safety,
quality, profitability, and productivity. Figure 2.9 illustrates a general benchmarking process
that can be applied to the construction projects to achieve Best Value.
Figure 2.9: Benchmarking process
Hammad et al (2011) analysed entire construction process of Libyan constructions and found
that the major barrier to improving performance is lack of proper benchmarking by the
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construction parties. They admit that benchmarking practices exist in Libyan construction
sector but they are disorganised. They emphasised on the adoption of a realistic benchmark
framework for improvement in the industry. In contrast, Alarcn et al (1996) emphasised the
need of collaborative benchmarking in the UK construction sector. Benchmarking with the
development of individual KPIs emerged in the UK construction industry in 1999 after the
encouraging paper from Egan (1998) Rethinking Construction. The investigation of Costa
et al (2006) reveals that benchmarking is adopted by many construction companies in their
normal practice but still they are lacking in some particular areas or KPIs in improving
performance.
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Source: Department of the Environment, Transport and the Regions (2000, p. 12)
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waste/disruption from the processes, focus on desired product with desired value, and
continuous improvement in operations.
The literature suggests that a public authorised body Lean Construction Institute (LCI) has
been established in Libya since 2005 to help and peruse construction stakeholders to adopt
lean construction but it is still not officially adopted and practiced by the construction
industry (Abubaker et al, 2008). Similarly, Alsadey et al (2010) claim that lack of lean
construction concept in Libyan construction industry triggered several common defects such
as structural defects, intrusion damps, detachment, defect related to water, and cracks in
Libyan buildings.
On the other hand, Egans (1998) report Rethinking Construction inspired UK authorities to
develop Construction Lean Improvement Programme (CLIP) in 2003 to facilitate
construction stakeholders in order to improve their knowledge, skills, values, and financial
performance (BRE Trust, 2012). A new concept of Lean Supply Chain given by CLIP is
also emerging in the UK construction industry to manage manpower, equipment, materials,
and quality delivery of the construction projects. Mossman (2009) confirmed that lean
construction is evident in the UK but it is piecemeal and disorganised. The construction
parties are slowly adopting and implementing lean concept.
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team environment. Furthermore, it eliminates non value-added tasks from the entire
construction process and promotes conflict resolution.
Burtonshaw-Gunn (2009) states that employing different risk management tools and
techniques during construction process account for several benefits such as reducing the
impact of unforeseen events, improving safety, providing effective monitoring and control,
enhancing communication between construction stakeholders, and encouraging positive
attitude towards the management of risks (p. 10). Similarly, Edwards and Bowen (1998)
reported three foremost advantages of risk management practices such as avoid time/cost
overruns, monitoring and control, and reduced environmental impact.
Value management including value engineer methodology is closely related to other concepts
like TQM, sustainable construction, six sigma, life cycle costing, and lean construction. In the
opinion of Al-Yousefi (2004), the value engineering process during design and construction
phases is subject to reduce cost, improve performance, continuous improvement and provide
quality project delivery. In fact, value management is primarily beneficial for construction
clients to gain all functional as well as cost benefits. Also, it is a kind of project management
practice that usually results in high client satisfaction by saving costs and preventing
concurrent delays (Kelly et al. 2008).
Sustainable construction highlights economic, social, and environmental benefits by reducing
the costs of energy and raw materials (Ding, 2008). Economic benefits mainly refer high
profitability of the construction firm by preventing cost/time overrun whereas social benefits
surround the rights of employees and other construction stakeholders. Furthermore, the
environmental benefits show the provision of safe and sound environment for people and
community around the construction site (Kilbert, 2012). In developed countries, sustainable
construction gives extreme importance to: reduce energy consumption, reduce waste, avoid
air and water pollution, reduce carbon emissions, and protecting natural resources such as
wildlife, trees, habitat, and waterways.
Today, benchmarking is considered as an important element of project management practices
in construction projects. Benchmarking in construction industry measures true productivity
and results in better performance in meeting clients requirements (Rojas, 2008). This means
that benchmarking allows construction firms to satisfy clients in terms of cost, time, safety,
quality output, and high profitability. In addition, it helps both private and public construction
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organisations to measure business excellence and achieving best value in the construction
industry (Kelly et al. 2009).
According to Walker and Alber (1999), each construction project is required to reduce project
timeframe, reduce costs, and improve quality delivery. Supply chain management due to its
holistic nature has the prospect to resolve such issues and challenges. Supply chain
management is subject to several functional benefits due to integration of entire operations,
resources, people, and processes. In addition, it helps the management to provide better
service, reduce costs and paperwork, and effectively organise inventories (Ahmed et al.
2002). Stanford et al (1999) found that professionally managed supply chain relationships
provide effective monitoring and control which usually result in low transaction costs.
Lean construction like sustainable construction and benchmarking helps construction
participants to enhance performance and timely delivery of the project by eliminating waste
from the entire construction process (Green, 2011). In construction context, the waste
represents the disruption or intervention of factors that cause time/cost overruns. Egan (1998)
in his paper Rethinking Construction highlights the importance of lean construction to:
enhance performance, achieve higher returns, and continuous improvement.
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estimate budget. Ling and Bui (2010) from Vietnam reported five significant factors such as
fear of change, intense conditions of accomplishing a project on time, too much bureaucracy,
poor communication, and inadequate governance.
A lot of studies in the UK perspective appreciate the role of PM practices in achieving project
success (Munns and Bjeirmi, 1996; Baker et al. 2008) but they also found some problematic
factors having a slight impact on the adoption of modern PM practices in the construction
industry. For instance, Munns and Bjeirmi (1996) identified top three factors hindering the
success of project management activities. They are: change in projects scope, economic
factors, and time factors. Baker et al (2008) also agreed with Munns and Bjeirmi (ibid) but
they further added that construction participants sometimes avoid adopting recently evolved
PM practices due to extreme pressure of project delivery time, and therefore they stick to use
traditional practices. Similarly, Franke (2010) claims that environmental and economic issues
are the prominent factors that hamper the implementation of PM practices in the UK
construction industry to some extent.
Egan (1998) and Begg (2003) highlighted the fact that the judicial system of the UK
sometimes restricts few inherent PM practices such as partnering. Egan (1998) emphasised
the need of partnering and establishing long-term relationships in order to avoid time/cost
overrun of the construction projects. Similarly, Costa et al (2006) claim that benchmarking in
the context of PM practices is adopted by several UK construction firms but still the industry
is lacking in some particular domains due to changes in scope of the project as well as
changing client requirements.
On the other hand, several studies highlight the factors influencing the role of project
management practices in Libya. For example, Tumi et al (2008) and Shebob et al (2012)
emphasised the need of employing skilled, experienced, and knowledgeable workforce to
practice different project management activities to avoid construction delays. Furthermore,
they regarded bureaucracy as a key issue needs to be resolved to achieve underlying
benefits of PM practices. It is found from the literature review that value management,
benchmarking, and risk management are not properly practiced in Libya due to lack of
knowledge about modern PM practices (Omran et al. 2008; Shebob et al. 2012). Moreover,
fear of change, wrong person as project manager, and lack of top management commitment
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are also the influencing factors that hinder the proper implementation of PM practices in the
Libyan construction industry (Tumi et al. 2009; Hammad et al. 2011).
Some project management practices such as supply chain management in Libyan
construction industry are also not implemented properly and subject to several problems due
to miscommunication between stakeholders (El Dubee and Hokoma, 2012) and as a result
many construction projects are cost overrun. Similarly, Alsadey et al (2010) claim that the
lack of top management commitment and lack of the latest knowledge and skills are
hindering Libyan construction industry to adopt lean construction concept and value
management which results in many structural problems in the buildings.
2.8 Summary
The chapter concludes that Libyan construction parties are not adopting latest project
management practices such as procurement, risk management, value management,
benchmarking, supply chain management, and lean construction for improving their
performances on the basis of cost, time, and quality. As a result, they are experiencing delays
and other construction risks. On the contrary, most of the UK construction parties take into
account proper procurement, risk management, value management, sustainable construction,
and supply chain management as best project management practices. However,
benchmarking, lean construction, and partnering are practiced at the basic level and therefore
disorganised.
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Interpretivist
Inductive
Perceptive, strong arguments
Relative (social, value-bound)
Socially constructed, manifold
Flexible, participative cooperative
Positivist
Deductive
Descriptive, valid arguments
Absolute (science, value-free)
Based on objectives, single or few
Inflexible, rigid, uncooperative
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results of quantitative analysis are also critical to provide recommendation how Libyan
construction parties can adopt PM practices currently undertaken in the UK construction
industry.
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scientific method is inappropriate for this study as this research is not based on testing
hypothesis and drawing conclusions on the basis of laboratory or field tests (ibid).
The following process is followed by applying the historical research method in this study:
1. Identification of the research problem and establishing the need for certain knowledge
2. Collecting adequate and relevant information about the research problem to set a
scene to form research questions
3. Careful consideration and verification of knowledge acquired from various sources
4. Analysing relevant information and results, and drawing of conclusions; and
5. Recording of results and conclusions in a significant manner
The primary data collection method refers to collecting first-hand data from people
using various methods (Saunders et al. 2009). Due to lack of exact information about PM
practices in the Libya and UK construction sectors, it was necessary to use primary data
collection method using questionnaires. Therefore, the researcher used descriptive survey
method using close-ended questionnaire to record the opinions of construction participants
from both countries. A descriptive survey method helped the researcher to ascertain the
experiences and perceptions of survey respondents, in a structured manner, about project
management practices used in both countries. Similarly, the close-ended questionnaire is used
because it is simple and quick to answer and also can be easily analysed using statistical
techniques (Bryman 2008). The questionnaire was designed in two languages: in English for
the UK participants; and in Arabic for Libyan respondents. An extensive care was taken to
provide clear guidelines on how to fill the questionnaire. In addition, the participants were
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informed about the core aim and underlying questions of the research (Bryman and Bell
2007).
The questionnaire was structured in a significant manner by dividing it into three significant
parts: (1) personal information including gender and experience; (2) general information
about construction projects undertaken by the respondents; and (3) specific information about
PM practices used by the respondents in carrying out construction projects. Due to quickly
approaching submission deadline for this thesis, the questionnaire was distributed to 120
construction participants in Libya and UK through email. After sending the questionnaires,
the researcher followed-up with many participants over the phone in order to receive
maximum responses on time.
3.6.1.2 Secondary Data Collection Method
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In this study, questionnaires are sent through email to investigate PM practices used by
construction participants in the UK and Libya. Few limitations applied to online
questionnaires are as follows:
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On the other hand, Microsoft Excel is used to exhibit data/information graphically using
stylish tables, charts, and graphs. Furthermore, three important questions are included in the
questionnaire where respondents are asked to rate each option using a Likert scale. The
answers of the respondents are ranked using Relative Index (RI) formula stated below:
Where, nx = number of respondents marked option x. Table 3.2 illustrates the ranking
criteria for RI formula
Table 3.2: Ranking criteria
X
5. Very important
4. Important
3. Somewhat important
2. Not important
1. Neutral
N
30
47
20
15
8
120
Ranking
1.0
0.8
0.6
0.4
0.2
RI Calculation,
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The research methods, research approach, and data collection methods adopted in this study
are presented graphically in figure 3.2.
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The email addresses of Libyan construction participants were acquired from two sources: (1)
using personal relations (2) from the website http://www.libyabusiness.com. The researcher
has more than 5 years experience of working with construction professionals in Libya, so he
used his personal relations to acquire email addresses of most of the construction participants
and asked them to fill the questionnaire with their best knowledge and experience. Some
email addresses of engineers and project managers were acquired from libyabusiness.com
website. On the other hand, most of the email addresses of UK construction participants were
obtained from foreign partners working in Libya. In addition, Yell.com and Europages.co.uk
websites helped the researcher to contact UK professionals through their email addresses.
The selection of Libya and UK construction industries is also based on some reasons. Libya
as an example of a developing country is selected because the country is facing many
problems in finishing construction projects on time and within the estimated budget. Most of
the problems are evident due to lack of modern PM practices. On the other hand, UK as a
developed country is selected because UK construction companies are popular worldwide in
employing latest PM practices. This will consequently help the researcher to formulate a set
of recommendations for Libyan construction industry on how latest PM practices can be
adopted in an effective manner.
Z2 P(1 P)
C2
Where
N = Sample size required
Z = Confidence level
P = Estimated prevalence of malnutrition
C = Confidence interval
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P = 0.05
(1-0.95)
C = 0.09
2
N = 1.96 0.5(10.5)
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= 118.57 119
.092
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Time was a limiting factor because the construction industry is one of the huge
industries where construction participants are very busy in meeting the schedule. So,
normally they do not have time to fill questionnaires. As a result, the researcher found
it extremely hard to follow-up participants for getting maximum questionnaires back
on time. But due to personal relations in the Libyan construction industry, the
2.
3.
not always same in social science disciplines (Dahms and Hazelrigg, 2010)
Some evitable limitations associated with statistical analytical techniques can also
affect the results to some extent
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UK
Libya
Gender
Male Female
26
0
43
Experience
< 10Y > 10Y
5
21
8
35
Excellent
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0.9>C>0.8
0.8>C>0.7
0.7>C>0.6
0.6>C>0.5
C<0.5
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Good
Acceptable
Questionable
Poor
Unacceptable
It is clear from the above criteria that the value of C should be between 0 and 1 where value
closer to 1 is considered more appropriate. The results illustrated in table 4.2 indicate the
reliability and standardisation of primary data obtained during the study.
Table 4.2 Reliability analysis
Questionnaire (Part I)
General information
Questionnaire (Part II)
Project management techniques & practices
Ranking Questions
Q1.5 Causes of cost/time overrun
Q2.3 Benefits of project management practices
Q2.5 Factors hindering adoption of PM practices
Overall data reliability
C
0.751
C
0.838
C
0.797
0.811
0.953
0.844
Questions
5
Questions
8
Elements
7
9
14
Result
Acceptable
Result
Good
Result
Good
Good
Excellent
Good
The respondents were asked about their position/designation in the construction company.
The questionnaires were filled by different types of professionals including the owner,
engineer, consultant, and project manager, but most of the respondents from both countries
were either contractors or sub-contractors as shown in figure 4.2 and 4.3.
Figure 4.2: UK Professionals
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The survey participants were enquired about which type of construction projects they
normally undertake. It was found that 38% UK respondents conduct medium size project,
35% do small sized, and 27% likes to work on large size construction projects. On the other
hand, 40% participants from Libya undertake large size projects, 37% do medium size, and
finally 23% works on small sized construction projects as shown in figure 4.4 and 4.5.
Figure 4.4: UK Respondents
The above question was asked to know the ratio of time/cost overrun projects in the past. It is
quite amusing that total 26 Libyan participants said that 70% of their projects were either
time or cost overrun. Similarly, 11 respondents marked 50 to 70% which is also a high
percentage. In contrast, most of the UK participants said that their projects were finished
within the allocated budget and predetermined timeframe. Only 5 out of 26 UK participants
said that their projects were 30% cost/time overrun. Figure 4.6 shows these details.
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Least Cause
Causes of time/cost overrun
Contractor-related factors
Inadequate project planning tools
Consultant-related factors
Project manager-related factors
Lack of proper project management
practices
Owner-related factors
External factors
Total
Major Cause
0
2
2
4
2
2
2
3
3
2
3
5
4
2
2
5
3
4
6
3
5
7
7
3
9
7
4
3
26
26
26
26
0.753
0.720
0.676
0.544
1
2
3
4
26
0.489
6
7
26
5
7
26
4
5
26
4
4
26
5
3
26
1
0
26
1
0
26
26
26
0.451
0.368
6
7
Table 4.3 reveals that according to the UK respondents, contractor-related factors followed
by inadequate project planning tools with respective RIs of 0.753 and 0.720 are the key
factors that often cause time/cost overrun of the project. Similarly, they ranked consultant51 | P a g e
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related factors and project manager-related factors at the third and fourth places. Among all
several causes of time/cost overrun, external factors are the least influencing factors causing
construction delays in the UK.
Rank
Major Cause
R.I
Least Cause
Causes of time/cost overrun
Total
11
12
43
0.751
2
3
6
7
11
13
43
4
3
7
9
10
8
43
5
5
4
7
9
9
43
6
7
6
9
4
5
43
6
5
7
7
6
5
43
8
10
8
3
2
1
43
12
10
5
1
1
2
43
43
43
43
43
43
43
0.701
0.688
0.578
0.472
0.409
0.402
2
3
4
5
6
7
On the other hand, table 4.4 reveals Libyan perspective on causes of time/cost overrun. The
table shows that lack of proper project management practices with highest RI of 0.751,
followed by inadequate project planning tools with RI 0.701 are the major factors that
influence construction projects in Libya. Contractor-related factors and owner-related
factors are ranked at third and fourth places whereas external factors with lowest 0.402 RI
are considered as least causing factor that results in time/cost overrun in Libya.
Table 4.5 Ranking comparison
Causes of time/cost overrun
Lack of proper project management practices
Inadequate project planning tools
Contractor-related factors
Owner-related factors
Consultant-related factors
Project manager-related factors
External factors
Ranking
Libya
UK
1
2
3
4
5
6
7
5
2
1
6
3
4
7
Table 4.3 and 4.4 reveal somewhat different ranking results for causes of time/cost overruns
in Libya and UK. A comparison of two different perspectives is made in table 4.5 which
shows that two factors i.e. lack of adequate project planning tools and contractor-related
factors are common in the list of top three influencing factors that hinder projects to be
completed on time and within the estimated budget. However, the result of Spearmans rank
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The above question was asked from the respondents to find out the significance of PM
practices to avoid cost/time overruns. As shown in figure 4.7 and 4.8 that a majority of
respondents marked yes by agreeing with the importance of PM practices for successfully
completing construction projects without concurrent delays.
Figure 4.7: UK Respondents
The above question was included in the questionnaire to determine which PM practices used
in the construction industries in both countries. It is found that the UK construction industry
is implementing all PM practices comprehensively. But half of the UK respondents said that
they are not using partnering as a PM practice. On the other hand, the case of Libya is
different compared to the UK. A majority of the Libyan respondents is practicing
procurement, partnering, sustainable construction, supply chain management, and lean
construction. But benchmarking and risk management techniques are not adopted by almost
half of the respondents from Libya. For example, Total 19 out of 43 (44%) said that they are
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practicing risk management; and similarly 25 out of 43 (58%) said that they employ
benchmarking technique. Interestingly, value management is rarely practiced in the Libyan
construction industry. Only 6 participants (nearly 14%) reveal that they are implementing
value management during the construction process. Figure 4.9 provides a holistic picture of
scenario explained above.
Figure 4.9: Project management practices in UK and Libya
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Least Benefit
Major Benefit
1
0
0
1
4
2
6
4
8
26
1
1
1
2
3
4
4
5
5
26
0
1
1
2
1
3
6
4
8
26
1
3
2
4
2
4
2
6
2
26
2
1
5
5
4
3
2
4
0
26
6
3
5
1
5
3
1
1
1
26
3
5
3
5
2
4
3
0
1
26
5
7
5
4
2
1
0
1
1
26
7
5
4
2
3
2
2
1
0
26
26
26
26
26
26
26
26
26
26
0.756
0.752
0.705
0.611
0.547
0.521
0.406
0.397
0.303
1
2
3
4
5
6
7
8
9
Table 4.6 shows that the responses of UK participants against each benefit are substantial but
prevent cost and time overruns followed by effective monitoring and control with
respective RIs of 0.756 and 0.752 are the foremost benefits they gained by applying PM
practices in the construction projects. Similarly according to the UK respondents, high client
and employee satisfaction, quality output, and minimised environment effects are ranked
next to top two benefits. It was interesting to find that UK respondents believe that enhanced
performance is the least benefit they received while exercising project management
practices.
Table 4.7 Libya Responses
Benefits of project management
practices
Prevent cost and time overruns
High profits
Quality output
Minimised environmental effects
Effective monitoring and control
High client and employee satisfaction
Continuous improvement
Enhanced performance
Improved safety
Total
Least Benefit
Major Benefit
1
3
2
5
4
6
7
7
8
43
2
1
4
3
5
3
7
8
10
43
3
3
5
4
7
7
5
5
4
43
5
4
3
6
7
3
3
7
5
43
3
7
9
3
2
5
7
3
4
43
4
3
3
7
3
7
5
4
7
43
6
5
7
4
6
3
6
5
1
43
10
7
6
2
4
6
2
3
3
43
9
10
4
9
5
3
1
1
1
43
43
43
43
43
43
43
43
43
43
0.713
0.682
0.602
0.592
0.543
0.537
0.465
0.447
0.419
1
2
3
4
5
6
7
8
9
On the other hand, table 4.7 shows that prevent cost and time overruns with highest RI of
0.713, followed by high profits with second highest RI of 0.682 are the major benefits
received by Libyan construction participants. Similarly, quality output, minimised
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environmental effects, and effective monitoring and control are ranked at third, fourth, and
fifth places. Unlike UK respondents, improve safety is the least benefit they gained by
implementing project management practices.
Overall Libyan perspective on benefits of PM practices is quite different compared to the UK
respondents. Table 4.8 indicates the differences in the rankings of benefits. Furthermore, the
table shows that participants from both countries are agreed that prevent cost and time
overruns is the greatest benefit of project management practices. But their opinion differs
about other benefits they received by applying project management practices in construction
projects. However, the result of Spearmans rank correlation r = 0.43 (see calculation in
table B2 appendix C) reveals no major differences between the opinions of construction
participants from both countries about the benefits of project management practices.
Table 4.8 Ranking comparison
Benefits of Project Management
Ranking
Libya
UK
Practices
Prevent cost and time overruns
High profits
Quality output
Minimised environmental effects
Effective monitoring and control
High client and employee satisfaction
Continuous improvement
Enhanced performance
Improved safety
1
2
3
4
5
6
7
8
9
1
8
4
5
2
3
7
9
6
The above question was asked from the respondents to confirm if project management
practices are enough to achieve benefits in table 4.7. As shown in figures 4.10 and 4.11 that a
majority of respondents from both countries marked yes.
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1
0
0
0
0
0
1
1
1
1
1
1
0
1
1
1
0
1
2
1
1
1
2
2
2
0
0
1
3
2
5
4
5
6
6
5
7
6
4
10
11
9
4
11
9
10
7
9
7
10
4
7
12
7
10
9
17
12
12
11
12
10
11
9
12
10
7
8
5
6
26
26
26
26
26
26
26
26
26
26
26
26
26
26
66.92
66.15
65.38
63.85
62.31
61.54
60.00
59.23
58.46
57.69
56.92
56.15
55.38
53.85
Rank
Relative Index
V. Imp
Total
Imp.
S. Imp
F5
F10
F12
F14
F3
F1
F6
F8
F11
F4
F13
F2
F7
F9
Not Imp
Neutral
1
2
3
4
5
6
7
8
9
10
11
12
13
14
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In contrast to the UK perspective, the Libyan ranking results are totally different. According
to the Libyan perspective, first five problematic factors that hinder the adoption of project
management practices are: (1) changes in scope of the project, (2) lack of knowledge,
experience, and skills, (3) fear of change, (4) lack of top management commitment, and (5)
excessive bureaucracy. The ranking results showing Libyan perspective are illustrated in table
4.10.
2
1
1
1
0
3
1
2
2
2
0
2
1
4
2
2
1
1
3
1
3
2
4
1
1
4
2
3
5
3
6
9
8
8
10
9
10
15
18
8
15
11
6
16
17
12
13
15
14
16
11
11
15
19
16
12
28
21
18
20
19
16
15
14
16
14
9
10
9
13
43
43
43
43
43
43
43
43
43
43
43
43
43
43
66.05
65.12
63.26
62.79
62.33
58.60
58.14
57.67
56.28
55.81
54.88
54.42
53.95
52.56
Rank
Relative Index
V. Imp
Total
Imp.
S. Imp
F10
F2
F3
F1
F7
F9
F6
F8
F13
F4
F12
F11
F5
F14
Not Imp
Neutral
1
2
3
4
5
6
7
8
9
10
11
12
13
14
The differences between the rankings are clearly evident in table 4.11. In addition,
Spearmans ranking correlation result r= 0.23 (see calculation in table B3 appendix C)
also reveals major differences between the opinions and experiences of Libyan and UK
construction participants about problematic issues they faced in adopting project management
practices in the past.
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Problematic Factors
Changes in scope of the project
Lack of knowledge, experience, and skills
Fear of change
Lack of top management commitment
Excessive bureaucracy
Changing client requirements
Wrong person as project manager
Poor governance
Social and cultural factors
Conflict between construction parties
Lack of communication between construction parties
Economic factors
Extreme pressure of project delivery time
Environmental factors
Ranking
Libya
UK
1
2
3
4
5
6
7
8
9
10
11
12
13
14
2
12
5
6
13
14
7
8
11
10
3
9
1
4
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5.1 Introduction
This chapter addresses the research questions with a reasoned discussion on the findings of
this research by comparing them with what is found in the literature review. In addition, this
chapter focuses on highlighting the fact that the current study will add value to the previous
studies related to the PM practices undertaken in Libyan and UK construction industry
context.
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related factors and inadequate project planning tools are the common issues amongst top
three problematic factors causing cost/time overruns in the construction projects in Libya and
UK.
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supply chain management is also practiced at basic level in the UK (Akintoye et al. 2000)
due to inadequate support systems, lack of top management commitment, and basic level of
knowledge of supply chain philosophy. Similarly, these problems are also evident in Libya;
plus miscommunication between manufacturer and supplier also causes many problems in the
Libyan construction industry in the context of supply chain management (El Dubee and
Hokoma, 2012).
The literature evidences suggest that lean construction concept is not officially implemented
in the Libyan construction projects (Abubaker et al. 2008) but the results of this study are
different. It is found from the results that most of the Libyan construction participants (86%)
adopted lean construction concept to organise and manage construction activities by focusing
on the understanding the meaning of value for the client. However, it is also exposed that due
to lack of adequate knowledge in this domain, they faced many critical issues and defects in
the infrastructure of buildings. Similarly, it is interestingly found that all UK participants said
that they use lean construction concept in their projects but literature study confirmed that
this adoption process is quick but in fact it is piecemeal and disorganised (Mossman, 2009).
Furthermore, survey investigation reveals that both UK and Libyan participants agree with
the benefits of PM practices to improve the productivity of construction projects. According
to survey participants from both countries, five top most benefits of PM practices, with a
back and forth ranking are: (1) prevent time or cost overruns, (2) high profits, (3) quality
output, (4) minimised environmental effects, and (5) effective monitoring and control. These
results are in line with several studies that have been conducted in the past. But those studies
describe the benefits of different PM practices and unfortunately there is hardly any study
available in the literature which states the collective benefits of PM practices as a whole.
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Apart from few similarities, several major differences are found in the opinions of the UK
and Libyan participants regarding the factors that hinder the adoption of PM practices in
construction industries. It is evident from the ranking results (see tables 3.9 and 3.10) that
participants from both countries are agreed with Munns and Bjeirmi (1996) and Baker et al.
(2008) that change in scope of the project is the top most influencing factor that affects the
adoption of PM practices in the UK.
Furthermore, Libyan participants regarded lack of knowledge, experience, and skills as the
second influencing factor in this study. This issue is also raised in previous researches that the
Libyan construction industry lacks in adequate knowledge, experience, and skills for
applying PM practices and this is the reason that the industry is facing too many concurrent
delays from last three decades (Tumi et al. 2008; Shebob et al. 2012). But on the other hand
UK perspective is different in this regard. They consider that lack of knowledge, skills, and
experience as one of the least factors that hinder PM practices in the UK construction
industry. This is may be because UK construction industry employs highly qualified and
skilled personnel to deliver quality outcomes.
The ranking results of fear of change and lack of top management commitment also
slightly differ. For example, Libyan participants rate fear of change at third number and UK
participants rate it at fifth position. Similarly, lack of top management commitment is
ranked in fourth place by Libyan participants whereas it is positioned at sixth number by UK
respondents. In Libya construction participants are reluctant to adopt different PM practices
(Hammad et al. 2011) as they are afraid to use innovative techniques due to lack of time and
excessive pressure for finishing projects on time. Similarly, lack of top management
commitment is a common factor between two countries which is given importance by
promoting it in the list of top five influencing factors.
Another major difference in ranking is found with respect to excessive bureaucracy in
adopting PM practices. From Libyan perspective, bureaucracy is the major factor hindering
the success of adoption of PM practices. The ranking results reveal that excessive
bureaucracy is not given high importance by UK participants perhaps due to the fact that
bureaucracy element is not common in the UK economy compared to the Libyan economy
(Baker et al. 2011).
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From the UK perspective, two factors ranked at third and fourth positions are economic
factors and environmental factors. Both these factors are highly important in the UK to
adopt recently evolved PM practices. The reason of their importance in the construction
industry is the inflexibility of predetermined budget and environmental standards in the UK
(Franke, 2010).
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Chapter 6: Conclusions
6.1 Introduction
This chapter contains the conclusion of the current study which is based on the underlying
objective that was set in the beginning of the research. In addition, this chapter also includes a
set of appropriate recommendations on how Libya can adopt latest PM practices undertaken
in the UK construction industry to avoid time/cost overruns. The limitations and future
research directions are also the part of the chapter.
6.2 Conclusion
The construction industry in every country is different in terms of projects infrastructure,
size, nature, cost, time limit, and desired quality standard. These constraints make it difficult
for the construction stakeholders to manage all activities on time and within the
predetermined budget. As a result, construction projects in many countries often face delays.
The Project Management (PM) practices are inherent in this regard to achieve construction
projects quality by hindering the causes of cost and time infested. Therefore, this study is
significant to investigating the role of PM practices in Libya compared to the UK to avoid
current problems associated with crossing predetermined time limit and costs. In addition, the
research also signifies the importance of eliminating the factors that hinder the adoption of
PM practices in the construction industry. To achieve core aim and underlying research
questions effectively, the study followed a combination of qualitative and quantitative
approaches. The findings and conclusions of the study are based on both types of data i.e.
primary and secondary.
The construction industry in Libya contributes around 5.2% of GDP to the countrys
economy. Since 1950s the construction industry has passed through several reforms and
undertaken many big projects. During the study, it is concluded that more than 50% of the
construction projects are time/cost overruns due to several causation factors where lack of
PM practices is one of the most critical issues that often result in delays. Other prominent
factors include: inadequate project planning tools, contractor-related factors, and clientrelated factors.
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In contrast to Libya, the UK construction companies are popular in the world in terms of
using latest PM practices and delivering best quality construction outcomes and this is the
reason that UK construction professionals are welcomed worldwide to avoid construction
related time/cost overruns. Apart from this, the construction industry is also experiencing
cost/time overruns due to: contractor-related factors, employing inadequate planning tools,
and consultant-related factors. The construction industry in the UK contributes around 8% of
GDP to the Kingdoms economy but the recent economic downturn had an adverse impact on
the demand of the construction activities and the industry faced a considerable decline. The
government is keen to stimulate the economy and it is predicted that the construction sector
will grow nearly double in value in this decade.
The study reaches the conclusion that an adequate use of PM practices is inherent to avoid
cost/time overruns in the construction industry. Overall it can be said that Libya is vulnerable
in adopting modern PM practices compared to the UK. Although the Libyan construction
industry is implementing procurement, partnering, sustainable construction, supply chain
management, and lean construction; but these practices are not standardised and practiced at a
very basic level due to lack of skills, knowledge, and experience of project managers and
other key construction professionals. Consequently, the industry is still facing concurrent
cost/time overruns.
On the other hand, most of the UK construction firms adequately adopted PM practices
except partnering. Partnering has not received much attention due to limited judicial
consideration. Also, some PM practices (e.g. value management, supply chain management,
and lean construction) adopted by the UK construction industry are piecemeal and
disorganised due to lack of sufficient attention in these domains. However, the industry is
worldwide popular in implementing risk management tools, sustainable construction, and
benchmarking.
There are few similarities but several differences between the PM practices undertaken in
Libyan and UK construction industries. For example, both countries give high importance to
sustainable construction in managing construction wastes, utilising waste resources,
monitoring actions, and reducing carbon emissions. Similarly, supply chain management is
also practiced in both countries at the basic levels and therefore needs greater improvements.
But on the other hand, both countries are different in terms of practicing procurement,
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partnering, risk management, value management, benchmarking, and lean construction. Apart
from partnering, most of the PM practices are undertaken in a professional way in the UK but
due to lack of skills, knowledge, and abilities of key construction professionals these
practices are not adequately implemented in Libya. Although, the PM practices in Libya are
not standardised compared to the UK but Libyan construction professionals are aware of the
role of PM practices in preventing cost and time overruns in order to satisfy client with the
delivery of quality output with minimised environmental effects and improve safety.
Another noteworthy part of this study is the identification of factors that hinder the adoption
of PM practices in the construction industry. The study concludes that these factors vary
country-to-country depending on the environment, regulations, culture, economic and social
condition, and other similar constraints.
Apart from few similarities, several major differences are found in the opinions of the UK
and Libyan participants regarding the factors. For instance in Libya top five problematic
factors hindering the implementation of PM practices are: (1) changes in scope of the project,
(2) lack of knowledge, experience, and skills, (3) fear of change, (4) lack of top management
commitment, and (5) excessive bureaucracy. On the other hand, top five factors from UK
perspective include: 1) extreme pressure of project delivery time, (2) changes in scope of the
project, (3) economic factors, (4) environmental factors, and (5) fear of change. It is evident
from the ranking that only two issues i.e. changes in scope of the project and fear of
change are common in the list of top five factors that affect the implementation of PM
practices in both countries.
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1. The procurement policy in Libya is inadequate and lacks in clarity in defining goals.
Therefore, it is recommended to construction companies to: improve communication
within the industry to reduce conflicts; adopt new and innovative procurement
methods or commercial approaches; negotiate to create value for money; and to
conduct training on a regular basis on procurement and risk management.
Construction procurement management is the new procurement method that allows
clients for early contractor involvement to work closely with designers or architects to
speed up the procurement process (Lingard and Rowlinson, 2005).
2. The Libyan construction industry already supports collaborative working approach
but it could be a better practice to involve foreign partners in bidding, procurement,
and tendering processes as they can assist the local contractors to avoid difficulties in
early phases of the construction projects.
3. The risk management practices in Libya are not up to the mark. Therefore, it is
essential to develop proper risk identification, risk assessment, and risk response
strategies to effectively address cost/time overruns. Today, a number of tools and
techniques are available that can be used to identify, assess, and respond probable
risks in the construction industry. In this regard, the risk register is commonly used to
record possible risks according to the probability and consequence of each risk. These
risks can then be represented through risk map and probability impact index to
determine appropriate risk response strategy to treat them (Bartlett, 2004).
4. Value management is rarely used in the Libyan construction industry. It is important
to have full understanding about the value for client to complete construction projects
on time and within the estimated budget. Thus, Libyan construction participants are
required to bring best value in the operational activities by implementing a value
engineering process which is composed of five basic steps such as: (1) information
defining and understanding the nature of the problem, (2) speculation generating
alternative ideas, (3) evaluation assessing the feasibility of those ideas, (4)
development developing and testing ideas, and (5) recommendation/implementation
choosing the best solution and implement them (Woodhead and Downs, 2001).
5. Lack of proper benchmarking is also a major barrier to improving performance of the
construction industry in Libya which often cause time/cost overrun. The Libyan
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construction industry can conduct several client satisfaction surveys to develop KPIs
to improve performance. Among four different types of benchmarking methods (e.g.
internal, competitive, functional, and generic), Libyan construction companies can
adopt internal or functional benchmarking methods. Internal benchmarking can be
used to benchmark within the organisation such as among business units whereas
functional benchmarking method can be employed to benchmark similar processes
within the construction sector (McCabe, 2008). Furthermore, to reduce cost overruns,
a metric benchmarking technique can be used to make performance comparisons
using aggregative cost and construction information (McGeorge and Palmer, 2009).
6. Lack of supply chain management in cement industry in Libya is subject to several
delay problems. The industry can utilise supply chain cube (see figure 2.9) to
manage the supply chain. The supply chain cube is a comprehensive framework
developed in the UK that suggests construction firms how to integrate individual KPIs
with cost, time, quality, construction parties, and techniques to improve supply chain
management throughout the project lifecycle (Department of the Environment,
Transport and the Regions, 2000).
7. Lean construction concept also needs to be standardised in Libyan construction
industry compared to the UK. Therefore, it is suggested to follow five principles of
the lean construction described by Sacks et al. (2010) to improve the performance of
the construction projects to facilitate easy and transparent delivery process. These
principles are: understanding the clients perspective of value, recognise and
assimilate value-driven processes, eliminating or reducing waste/disruption of the
processes, focus on desired product with the desired value, and continuous
improvement in operations.
8. To address the factors that hinder the adoption and implementation of PM practices, it
is suggested to top management personnel to encourage modern PM practices by
conducting ongoing training sessions. These training sessions will help construction
participants to acquire new knowledge and enrich their skills. As a result, they will be
more confident in adopting new technology and techniques to devise solutions for
construction time/cost overruns.
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It is believed that the above recommendations will help Libyan construction industry to
achieve several benefits of PM practices and consequently the issues of cost/time overruns
will be mitigated to a great extent.
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Appendices
Appendix A: Questionnaire
Gender: ________________________________
Libya
Contractor
Sub-Contractor
Consultant
Project Manager
Engineer
Medium size
Large size
1.4 How many of your construction projects were time or cost overrun in the past?
Less than 10%
10 to 30%
30 to 50%
50 to 70%
Over 70%
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No
2.2 Which project management practices you are practicing during the construction process?
a) Procurement
b) Partnering
c) Risk Management
d) Value Management
e) Sustainable Construction
f) Benchmarking
g) Supply Chain Management
h) Lean Construction
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2.3 Please rank each benefit of applying project management practices in construction project
Scale (1 = least benefit and 9 = major benefit)
High profits
Quality output
High client and employee satisfaction
Improved safety
Minimised environmental effects
Continuous improvement
Enhanced performance
Prevent cost and time overruns
Effective monitoring and control
2.4 Do you agree that project management practices in Q2.2 are enough to achieve benefits
given in Q2.3?
Yes
No
2.5 Please rank factors that hinder your organisation to adopt modern project management
practices
0
SCALE
Neutral
1
Not
Important
2
Somewhat
Important
3
Important
SCALE
FACTORS
0
F1
F2
F3
Fear of change
F4
F5
F6
F7
Excessive bureaucracy
4
Very
Important
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F8
Poor governance
F9
F1
0
F11
F1
2
F1
3
F1
4
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Economic factors
Social and cultural factors
Environmental factors
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UK
Male
Female
Total
EXPERIENCE
Frequency
Libya
26
0
26
UK
< 10 Years
> 10 Years
Total
43
0
43
5
21
26
UK
Owner/client
Contractor
Sub-contractor
Consultant
Project Manager
Engineer
Total
Small size
Medium size
Large size
Total
19
81
100
18.6
81.4
100
Frequency
Percent (%)
26
43
69
37.6
62.4
100
Frequency
Libya
5
7
6
3
1
4
26
UK
100
0
100
Percentage (%)
UK
Libya
8
35
43
UK
Libya
Total
100
0
100
Frequency
Libya
Q 1.1 RESPONDENTS
Q1.2 - DESIGNATION
Percentage (%)
UK
Libya
Percentage (%)
UK
Libya
7
12
11
4
3
6
43
Frequency
Libya
9
10
7
26
19.23
26.92
23.08
11.54
3.85
15.38
100
16.28
27.91
25.58
9.30
6.98
13.95
100
Percentage (%)
UK
Libya
10
16
17
43
34.62
38.46
26.92
100
23.26
37.21
39.53
100
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UK
Frequency
Libya
14
7
2
2
1
26
Contractor-related factors
Inadequate project planning tools
Consultant-related factors
Project manager-related factors
Lack of proper project management practices
Owner-related factors
External factors
Yes
No
Total
UK
0
3
3
11
26
43
53.85
26.92
7.69
7.69
3.85
100
Major Cause
0
2
2
4
5
6
7
2
2
2
3
5
5
7
3
2
3
5
4
4
5
4
2
2
5
5
4
4
3
4
6
3
2
5
3
5
7
7
3
3
1
0
9
7
4
3
2
1
0
Major Cause
1
2
3
6
7
11
13
2
4
3
7
9
10
8
4
5
5
4
7
9
9
6
6
7
6
9
4
5
7
6
5
7
7
6
5
11
8
10
8
3
2
1
12
12
10
5
1
1
2
Frequency
Libya
25
1
26
0.00
6.98
6.98
25.58
60.47
100
Least Cause
Percentage (%)
UK
Libya
Least Cause
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Percentage (%)
UK
Libya
6
37
43
96.15
3.85
100
13.95
86.05
100
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UK
Frequency
Libya
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Percentage (%)
UK
Libya
Procurement
In use
Not in use
25
1
26
38
5
43
96.15
3.85
100.00
88.37
11.63
100.00
In use
Not in use
Total
13
13
26
40
3
43
50.00
50.00
100.00
93.02
6.98
100.00
In use
Not in use
Total
24
2
26
19
24
43
92.31
7.69
100.00
44.19
55.81
100.00
In use
Not in use
Total
19
7
26
6
37
43
73.08
26.92
100.00
13.95
86.05
100.00
In use
Not in use
Total
22
4
26
39
4
43
84.62
15.38
100.00
90.70
9.30
100.00
In use
Not in use
Total
23
3
26
25
18
43
88.46
11.54
100.00
58.14
41.86
100.00
In use
Not in use
Total
24
2
26
40
3
43
92.31
7.69
100.00
93.02
6.98
100.00
In use
Not in use
Total
26
0
26
37
6
43
100.00
0.00
100.00
86.05
13.95
100.00
Partnering
Risk Management
Value Management
Sustainable Construction
Benchmarking
Lean Construction
Least Benefit
Major Benefit
1
0
0
1
4
2
6
4
8
1
1
1
2
3
4
4
5
5
0
1
1
2
1
3
6
4
8
1
3
2
4
2
4
2
6
2
2
1
5
5
4
3
2
4
0
6
3
5
1
5
3
1
1
1
3
5
3
5
2
4
3
0
1
5
7
5
4
2
1
0
1
1
7
5
4
2
3
2
2
1
0
88 | P a g e
Dr. Saeed
1
3
2
5
4
6
7
7
8
2
1
4
3
5
3
7
8
10
3
3
5
4
7
7
5
5
4
5
4
3
6
7
3
3
7
5
3
7
9
3
2
5
7
3
4
4
3
3
7
3
7
5
4
7
6
5
7
4
6
3
6
5
1
10
7
6
2
4
6
2
3
3
9
10
4
9
5
3
1
1
1
Frequency
Libya
25
1
26
Percentage (%)
UK
Libya
3
40
43
96.15
3.85
100
6.98
93.02
100
V. Imp
UK
Imp.
Yes
No
Total
S. Imp
Major Benefit
Not Imp
Least Benefit
Neutral
+44 141
4161015
1
0
0
0
0
0
1
1
1
1
1
1
0
1
1
1
0
1
2
1
1
1
2
2
2
0
0
1
3
2
5
4
5
6
6
5
7
6
4
10
11
9
4
11
9
10
7
9
7
10
4
7
12
7
10
9
17
12
12
11
12
10
11
9
12
10
7
8
5
6
89 | P a g e
Imp.
V. Imp
S. Imp
F10
F2
F3
F1
F7
F9
F6
F8
F13
F4
F12
F11
F5
F14
Not Imp
+44 141
4161015
Neutral
Dr. Saeed
2
1
1
1
0
3
1
2
2
2
0
2
1
4
2
2
1
1
3
1
3
2
4
1
1
4
2
3
5
3
6
9
8
8
10
9
10
15
18
8
15
11
6
16
17
12
13
15
14
16
11
11
15
19
16
12
28
21
18
20
19
16
15
14
16
14
9
10
9
13
90 | P a g e
Dr. Saeed
+44 141
4161015
d
-4
0
2
-2
2
2
0
0
d2
16
0
4
4
4
4
0
d2 = 32
Formula:
Calculation:
A
B
C
6d2
n(n2 - 1)
A/B
1C
6*32
7*(49-1)
192/336
1 0.57
= 192
= 336
= 0.57
= 0.43 (correlation)
91 | P a g e
Dr. Saeed
+44 141
4161015
d
0
-6
-1
-1
3
3
0
-1
3
0
d2
0
36
1
1
9
9
0
1
9
d2 = 66
Formula:
Calculation:
A
B
C
6d2
n(n2 - 1)
A/ B
1C
6*66
9*(81-1)
396/720
1 0.55
= 396
= 720
= 0.55
= 0.45 (correlation)
92 | P a g e
Dr. Saeed
ID
F10
F2
F3
F1
F7
F9
F6
F8
F13
F4
F12
F11
F5
F14
+44 141
4161015
d
-1
-10
-2
-2
-8
-8
0
0
-2
0
8
3
12
10
0
d2
1
100
4
4
64
64
0
0
4
0
64
9
144
100
d2 = 558
Formula:
Calculation:
A
B
C
6d2
n(n2 - 1)
A/ B
1C
6*558
14*(196-1)
3336/2730
1 1.22
= 3348
= 2730
= 1.23
= 0.23 (correlation)
93 | P a g e