FACTORS INFLUENCING PRODUCTIVITY IN CONSTRUCTION

Abstract

Over the past three decades, the Kingdom of Saudi Arabia (KSA) has witnessed a significant increase in new building projects and construction industry activity. The KSA construction industry is expected to continue developing and growing at a significant rate in the coming decades. However, several serious issues currently face the construction industry, in particular low productivity, which have contributed to poor outcomes where projects have been delayed or postponed. This paper discusses the major factors influencing productivity in the KSA construction industry. A questionnaire survey using a 5-point Likert scale was used to measure the importance of these factors. It was administered to 176 respondents from Grades 1, 2 and 3 construction companies, which are registered in the Contractors Classification Agency under the Ministry of Municipal and Rural Affairs (MMRA). The questionnaire included five major factors identified from the literature review: managerial, labor-related, materials, tools and equipment, financial, and project-related. Using descriptive statistical analyses, it was found that the most important factors influencing construction productivity were financial factors, including issues such as the limited financial liquidity of the company, payment delays by owners, and limited cash flow. The next main influential factor was project-related, followed by factors related to materials and equipment, labor-related factors, and administrative and managerial factors.