Assessment of cost management practices of civil engineering (project procurement) organisations in Ondo State, Nigeria

Abstract

PurposeThe purpose of the work presented here is to assess the cost management practices of civil engineering organisations in Nigeria, with an overall aim of developing a generic cost management process map. The first objective is to compare existing frameworks theoretically to highlight their strengths and weaknesses. The second objective is to use the findings of the first objective to assess or benchmark the developed process map obtained from the multiple cases. The third objective is to compare the generic process map with the traditional building cost management process map to evaluate the strengths and shortcomings of the generic process map, which resulted in conclusions and recommendations made at the end of the research.Design/methodology/approachData for the work was collected via semi-structured interviews, review of literature and official documents of the civil engineering organisations visited. To achieve the stated objectives, comparative analysis technique was used to compare existing frameworks on cost management to obtain the basis to benchmark the generic process map. The single case narrative technique was used to present each case; and the cross-case synthesis technique was used to present the multiple cases on each cost management process examined. Then, process maps were deployed to represent the homogeneous sets of civil engineering organisations, out of which the generic process map was developed. Comparative analysis was again deployed to compare the generic process map with the traditional building process map of cost management practice to evaluate the findings.FindingsIt was found out that the generic civil engineering process map is not as detailed and effective as the building process map in providing best value for money, accurate early cost estimates, accurate cost certainty and post-contract cost control.Originality/valueThis research study provides an industrial impetus to push for the involvement of more quantity surveyors (QS) as cost management process owners in the procurement of civil engineering projects in Nigeria, hence encouraging government’s efforts in the enforcement of more accurate project cost estimates and promoting the QS’s project-specific advice on capital, operational, maintenance and life cycle costs.