Identification and assessment of compensation events under Public Procurement Authority's conditions of contract for medium contracts: consultant, client and contractor's perspective

Abstract

This article which is the first in the compensation events series identified significant compensation events in relation to construction time from the perspective of the consultant, client and contractor. Significant compensation events under cost and profit will be looked at in the subsequent papers. Quantitative research approach was espoused and purposive sampling was used to determine the respondents. Twenty-five identified compensation events were significantly tested and ranked in order of importance using the relative importance index. Inexperience, poor communication and clients with no technical background were identified to be the most significant. Factor analysis carried out indicated that variables had common underlying factors. The significant common factors of compensation events identified after reduction analysis were work interruptions, inconsistent instructions and late implementation. It was also revealed that compensation events tend to drag most construction projects. Hence, their origination must be assessed and solutions implemented for a successful project completion.