Contractor's Perspective Research Articles

The Major Causes of Construction Delays Identified Using the Delphi Technique: Perspectives of Contractors and Consultants in Thailand

At present, in the Bangkok Metropolitan Area of Thailand, numerous construction projects are in process or have recently been brought to completion. In pursuing this work, contractors regularly face construction delay problems, many of which are likely to have been avoidable. The research objective is to survey and prioritize the factors leading to construction delays from the perspective of both the consultants and the contractors. Data were collected via a survey instrument and the Delphi technique was used as the research methodology. To identify the factors that lead to construction delays relevant to the study context, a panel of experts comprising 18 construction public company leaders and 17 project engineers and 17 project consultants, 1 from each of the largest construction contractor and consultant companies in Thailand, and 20 academics in the field of construction were invited to share their opinions. Eventually, 13 factors leading to construction delays were identified from the data collected from the expert panel. A questionnaire was generated using a Likert scale with a range of 1–5 based on the factors suggested by the experts’ opinions. A total of 17 respondents from the contractor companies and 17 respondents from the consultant companies responded to the questionnaire. The numeric value of the responses was computed using the Delphi technique. The responses reached constancy at the second round of data collection. According to the statistical analysis, a Shortage of qualified labor was the most important factor leading to construction delays, according to both the contractors’ and the consultants’ perspectives with a mean value of 4.65 and 4.53, respectively. Change orders made by owners were the second most important factor according to both the contractors and the consultants with a mean value of 4.24 and 4.28, respectively. In addition, insufficient financial liquidity on the part of the contractor ranked as the third most important reason according to both the contractors and the consultants with a mean value of 4.18 and 4.12, respectively. The outcomes are applicable to the causes of construction delay in the Bangkok Metropolitan Area of Thailand, but may not be applicable to other settings. A review of the literature suggests significant differences in relation to such matters as the regulatory environment, societal practices and expectations, economic considerations, the environment, technology, and religion across settings may have an impact on what causes construction delays.

Impact of Delays on Cost of Construction Project- A Cross Sectional Study of Pakistani Construction Industry

It is widely believed that construction sector helps developing aggregate economy and reducing unemployment. Currently, Pakistan is experiencing a major transformational phase in the back drop of China-Pakistan Economic Corridor (CPEC). CPEC is valued at US$ 62 Billion. The present study is undertaken to ascertain the impact of time overrun of projects on their cost, the correlation between stakeholders and to predict the effect of delays on cost overruns. Causes of delays are identified by stakeholders of the construction industry of Pakistan. Two models for projects that had delay less and greater than 100 days are developed. Structured questionnaires and personal interviews are carried out to extract primary data for the study. Relative Importance Index (RII) was utilized for ranking of delay causes, and Pearson’s correlation to formulate correlation between causes of delays and cost of construction projects from the perspective of client, contractors and consultants. For predicting the impact of delays on cost of projects Linear Regression technique has been used. The results reveal that the causes of delay related to design, procurement and on-site has significant impact on delays. Pearson’s result indicates strong covenant between client and contractor. Whereas, there is a weak degree of association between consultant and contractor. Results from linear regression concluded that there is a significant effect of delay on cost of the project.

AN INVESTIGATION OF THE GENERATION AND MANAGEMENT OF CONSTRUCTION AND DEMOLITION WASTE IN VIETNAM

As a developing country in the context of globalization, Vietnam is experiencing a boom in its economy, characterized by a rapid rate of urbanization nationwide. Together with its benefits, this process also puts pressure on the environment, among which the increasing generation of construction and demolition waste (CDW) is an urgent issue. In this study, the authors conducted an in-depth investigation of various aspects in the generation and management of CDW in Vietnam. Firstly, part of the overall picture of CDW management in Vietnam was revealed in detail from the perspective of demolition contractors, one of the important stakeholders in the field. Their insights provide valuable information on current situation, practice, and attitude towards CDW recycling. Secondly, this paper reports the generation rate of different categories of materials from demolition sites of building structures in Hanoi, Vietnam, with the main focus on crushed concrete and crushed brick (CC–CB) and steel as they make up the majority of the generated waste. In order to achieve two mentioned goals, close contact was constantly kept with a key collaborator – a renowned demolition contractor in Hanoi throughout the investigation. The collaborator provided proper introduction to enable interviews with various other contractors, together with information of buildings being dismantled.

The Causes of Variation Orders and Their Effects on Cost and Time of Projects in Sulaimani Governorate

Variation orders are a permanent phenomenon in the construction of projects and industries around the world, and particularly in the province of Sulaymaniyah. Where construction industries suffer from variation orders. It includes an amendment of the initial scope of work as in the awarded contract. This study analyses the causes of variation orders and their effects on cost and time of projects in Sulaimani governorate. This study involves a questionnaire survey to selected 36 causes and 10 effects of variation orders from the perspective of owner, design consultant, and contractors. A total of 223 completed questionnaire sets were returned out of 270 questionnaires distributed among the practitioners. Then the data was analyzed statistically. Also, 40 projects at different construction sectors that constructed during 2007-2013 were investigated by calculating cost and time overrun because of variation orders. The results showed that in Sulaimani governorate the most effective causes of variation orders are owner's financial problems, preparing typical design for different districts, errors and omission in design, desired profitability of contractor and lack of adequate or appropriate site before design stage to construct of project. On the other hand of impacts of variations, the study discovered that top five effects of variation orders on the projects are: schedule overrun, cost overrun, productivity degradation, dispute between contract stockholders and payment delay. Also, all projects affected by cost and time overruns at average of 20 percent of cost and 65.4 percent of time of project.

Improving BIM asset and facilities management processes: A Mechanical and Electrical (M&E) contractor perspective

Despite BIM asset information management processes having advanced to globally recognised standards, facilities and asset integration remains problematic for many companies engaged in the construction project lifecycle. Challenges typically stem from deficiencies in the BIM regulations and standards, inaccurate information exchanges, software interoperability issues and unclear requirement definitions that ultimately result in higher project costs and poorer operational efficiencies. An exploration of these challenges and their potential solutions is therefore important if BIM-FM integration issues are to be improved. Few studies have systematically investigated this subject from the perspective of a BIM-accredited Mechanical and Electrical (M&E) company engaged on projects. This paper combines a literature review with an empirical case study of a BIM-accredited Mechanical and Electrical (M&E) contractor to explore the critical issues surrounding facilities and asset management integration; this combination of evidence providing a distillation of the issues surrounding BIM/FM asset integration and its' resolution. 15 key issues from the literature were classified under 4 broad themes (Informational, Technological, Organisational and Industrial) as being of primary concern; the case study analysis verifying the findings and also providing a series of bespoke recommendations for improving industry practice. The paper clarifies the problem issues (both negotiable and systemic) afflicting the industry, indicating how individual companies can develop their own processes for improving BIM-based asset integration. It may be concluded that although BIM asset integration processes have reached globally recognised standards, systemic characteristics of the industry result in persisting problems that impact the BIM-FM asset management journey.

Implementing 5D BIM on construction projects: contractor perspectives from the UK construction sector

PurposeThe purpose of this paper is to report on primary research findings that sought to investigate and analyse salient issues on the implementation of 5D building information modelling (BIM) from the UK contractors’ perspective. Previous research and efforts have predominantly focussed on the use of technologies for cost estimation and quantity takeoff within a more traditional-led procurement, with a paucity of research focussing on how 5D BIM could facilitate costing within contractor-led procurement. This study fills this current knowledge gap and enhances the understanding of the specific costing challenges faced by contractors in contractor-led projects, leading to the development of 5D framework for use in future projects.Design/methodology/approachTo develop a fully detailed understanding of the challenges and issues being faced in this regard, a phenomenological, qualitative-based study was undertaken through interviews involving 21 participants from UK-wide construction organisations. A thematic data analytical process was applied to the data to derive key issues, and this was then used to inform the development of a 5D-BIM costing framework.FindingsMulti-disciplinary findings reveal a range of issues faced by contractors when implementing 5D BIM. These exist at strategic, operational and technological levels which require addressing successful implementation of 5D BIM on contractor-led projects adhering to Level 2 BIM standards. These findings cut across the range of stakeholders on contractor-led projects. Ultimately, the findings suggest strong commitment and leadership from organisational management are required to facilitate cost savings and generate accurate cost information.Practical implicationsThis study highlights key issues for any party seeking to effectively deploy 5D BIM on a contractor-led construction project. A considerable cultural shift towards automating and digitising cost functions virtually, stronger collaborative working relationship relative to costing in design development, construction practice, maintenance and operation is required.Originality/valueBy analysing findings from primary research data, the work concludes with the development of a 5D BIM costing framework to support contractor-led projects which can be implemented to ensure that 5D BIM is successfully implemented.

Minimizing Theft on Construction Sites in Ghana: The Perspective of Contractors in the Upper West Region of Ghana

Theft has been recognized as a major problem in the construction industry. Theft have an impact on the potential profitability of a construction project and also on the overall success of the construction industry. This research is set out to explore the most efficient and appropriate security measures to employ at construction sites in Ghana that would minimize or eliminate the incidence of theft on construction sites. This study was conducted in the upper west region of Ghana with a relatively homogenous population of contractors. The study was conducted using a quantitative research approach in which questionnaires were administered to contractors. The results from the analysis of the data ranked various security measures based on their Mean of frequency. Lighting of sites, fencing of sites and locking of gates were ranked above other security measures as being more efficient in preventing theft both when construction sites are located in densely and sparsely populated areas. The results indicated that employment of watchman is the most efficient and most used security measure on construction sites with security cameras, alarm systems and warning signs constituting the least used security measures. Effective implementation of the most critical security measures whiles giving some consideration to other security measures would most likely protect sites from theft whiles ensuring that value for money invested in securing sites is also achieved. Keywords: Building materials, construction sites, plants, Security, theft, watchman . DOI: 10.7176/CER/12-5-03 Publication date: May 31 st 2020

Cost Performance and Cost Contingency during Project Execution: Comparing Client and Contractor Perspectives

AbstractCurrent literature shows that poor cost performance in projects has become routine. Research on cost performance has mostly focused on one of the involved parties, either the client or the ...

AN EXPLORATORY FACTOR ANALYSIS (EFA) OF BUILDING INFORMATION MODELLING USES TOWARDS BIM ADOPTION FOR BIM-BASED PROJECTS: CONTRACTORS PERSPECTIVE

Building Information Modelling (BIM) is a modelling technology that is associated with a set of processes to produce, communicate, and analyse digital information in a construction life-cycle. BIM is important for various stakeholders including contractors to adopt in order to boost project performance. However, the previous report showed that the adoption of BIM among contractors is still low compared to other stakeholders. This is because the contractors have no profound understanding of BIM and its requirements. Hence, the purpose of this paper is to determine the uses of BIM from the contractors’ perspective by adopting BIM from the planning phase to the construction phase as well as to determine the reliability and validity of the research instrument. A component questionnaire on Building Information Modelling (BIM) had been developed to determine the uses of BIM among contractors in Malaysia. This study was conducted in Selangor and Kuala Lumpur, which involved 100 respondents, in order to affirm the development of valid and reliable instrument. The reliability test and Exploratory Factor Analysis (EFA) were used to measure the instrument to produce an empirical verification of the validity and reliability of the questionnaires. Literature search and a pilot study on contractors involved in BIM-based projects were carried out from which the appropriate items were extracted. From these, twenty (20) items remained and were to be completed in the study: fourteen (14) items were BIM uses from the planning to the designing phase and six (6) items were BIM uses in the construction phase. The fourteen (14) items used to measure from the planning to the design phase comprised existing condition, cost estimation, phase planning, programming, site analysis, design review, design authoring, structural analysis, lighting analysis, energy analysis, mechanical analysis, other engineering analysis, sustainability evaluation (LEED), and code validation. Meanwhile, six (6) BIM uses for the construction phase consisted of 3D coordination, site utilizing planning, construction system design, digital fabrication, 3D control and planning, and record model. All twenty (20) items had high reliability index value, which was between 0.7 and 0.8. Accordingly, the factor analysis outcome resulted in two (2) components, obtained with 40.938% of cumulative variance, while the factor loading for each component ranged from 0.5 to 0.7, reflecting the dimension of the two (2) components. Hence, the result obtained proved that the instrument of this study had high reliability and validity.

Understanding the Determinants of Construction Robot Adoption: Perspective of Building Contractors

AbstractConstruction robots have emerged as a revolutionary technology for buildings. However, real-world adoption is still limited. Little is known how the decision of adopting construction robots...

An artificial neural network approach for cost estimation of engineering services

In a globally competitive world, with diminishing profit margins and decreasing market shares, the cost of a project is one of the major criteria in decision making at the early stages of a building design process in the construction industry. To remain competitive in the market, it is crucial for companies to have an accurate estimate of their projects. Nevertheless, given that very little is known about the scope and details of the project, the conventional cost estimation methods tend to be slow and inaccurate. With the rise of computing power, there is now a tendency to use Machine Learning (ML)-based methods, such as Artificial Neural Networks (ANNs), for more accurate cost estimation that can remain reliable in face of insufficient details during the tendering phase. While the use of ANN for cost estimation has been abundantly investigated from the perspective of contractors, there are very limited studies on the development and application of ML-based methods for engineering consultancy firms. Given that the nature of products/services offered by consultancy firms is inherently different from that of contractors (i.e. they are more abstract and less material-based) and also given that the type and level of detail of the available data at the tendering stage is dissimilar, it is important to investigate the applicability of ML-based methods for cost estimation in consultancy firms. To this end, this paper presents an artificial neural network approach for the cost estimation of engineering services. In developing the model, first, the influential factors that affect the costs of engineering services are identified. Thereafter, a model is developed using the data of 132 projects. Subsequently, a heuristic method is developed to systematically improve and fine-tune the performance of the model. Eventually, the findings show that artificial neural networks (ANNs) can obtain a fairly accurate cost estimate, even with small datasets. In fact, the model proposed in this paper performed better than those proposed in other similar works. The model developed in this study showed a 14.5% improvement in the accuracy of the model, considering MAPE.

Bid/no-bid decision factors for Chinese international contractors in international construction projects

Purpose Factors affecting bid/no-bid decisions of international projects are more complex than those of domestic projects. The purpose of this paper is to identify and rank decision factors considered by variously sized Chinese international contractors (CICs) and categorize those groups of factors important to experienced practitioners. Design/methodology/approach The analysis of factors identified by a literature review is conducted based on data derived from questionnaire results received from 119 CIC project and bidding managers. The relative importance of factors is measured by mean value and standard deviation. The discrepancy in rank and importance value perceived by variously sized CICs are explored by ranking disparity analysis, non-parametric test and Spearman’s rank correlation coefficient test. Finally, factor analysis is used to categorize the underlying groups of factors considered by CICs. Findings In sum, 41 factors are identified through the literature review as having an impact on the bid decision. Significant disparities in ranking and importance are found in several factors, which partially affect the consistency of the ranking of factors perceived between large and small-medium CICs. Ultimately, nine major factors are identified as impacting the bidding decision, with “contractor’s capability” and “country risk of the host country,” being the most important. Research limitations/implications The weight of a factor considered in a decision varies across contractors as a function of contractor size. Whether using models or subjective judgment in making decisions, it is beneficial to fully understand the main groups of factors influencing the decision. Vulnerability to country risk emerges as the first criterion accessed in the bid decision. Originality/value A comprehensive set of factors is established for CICs, including both general factors common to domestic projects, and international factors unique to international projects. All factors are grouped by inferential analysis from the perspective of contractors, which reveals the underlying mechanism of the bid decision-making process. While the data were collected from CICs, the methodology in exploring factors, along with implications, is determined to be applicable internationally.

Risk factors influencing the building projects in Pakistan: from perspective of contractors, clients and consultants

Risk management in construction projects is an important process to achieve the project objectives in terms of cost, quality and time. Construction projects faces delays, cost overrun and quality defects due to avoidance of risk factors by contractors, clients and consultants. So the present study aims to investigate the risk factors that influence project objectives namely cost, quality and time of building construction projects in Pakistan from perspective of contractors, clients, and consultants. Risk factors were selected from literature survey and were finalized after consultation with construction experts. A questionnaire survey was prepared and various construction professionals were approached for feedback. Based on feedback of 164 experts, collected data was analysed statistically and were ranked based on relative importance index. As per the survey results, inadequate project management is the most critical factor effecting time performance of construction projects, rework due to error effect cost performance, and poor supervision effect quality of construction projects. Additionally, the study will help in planning and monitoring stages of the projects and shall improve the performance of construction industry of Pakistan.

Causes and Mitigation Strategies of Delay in Power Construction Projects: Gaps between Owners and Contractors in Successful and Unsuccessful Projects

Few studies have verified the different causes of project delays between the owner and contractor perspectives. This article’s goal is to find what the causes of delay are and how to mitigate this delay depending on project performance. Thus, this study investigated 82 owner-side experts and 106 contractor-side experts in Tanzanian power construction projects. In successful projects (less than 10% time delay), the owners and contractors weighted similar causes such as vandalism and permits from authorities. They suggested similar mitigation strategies such as close project supervision, capacity building training, and proper logistics management. While in unsuccessful projects (more than 10% time delay), they exhibited many different responses. In particular, contractors weighted the causes incurred by changes in scope, owner’s poor supervision, delays in approval, failure in planning and designing risk more than contractors. Owners weighted the mitigation strategies such as top management support and timely procurement more than contractors. These findings will help project managers to understand owners’ and contactors’ different concerns and develop better solutions. This study mainly contributes to improving delay management in power construction projects in developing countries.

Critical factors affecting the performance of large construction projects in developing countries

PurposeThis paper aims to analyse the factors affecting the performance of large construction projects in Sri Lanka. The causes, impacts and mitigations in association with the critical factors are explored and discussed.Design/methodology/approachThe research focuses on the evaluation and perspectives of clients and contractors of large projects in Sri Lanka. Combined quantitative and qualitative methods were applied in this research. Initially, a questionnaire survey was conducted with clients and contractors involved in large projects to evaluate the factors affecting the performance of projects and to identify the ten most critical factors. Interviews with the clients and contractors of three large projects were conducted to examine the causes and impacts of the critical factors and the approaches used to mitigate them.FindingsSignificant differences in the factors were observed for more than 40 per cent of the total factors under study, the contractors assigning more weight to most of the factors than the clients. The study identified nine internal factors and one external factor as the critical factors. Of these, seven were related to the contractors, which suggested that the contractors have greater roles in defining performance. Lack of management and technical skills of the parties involved, human capacity, lack of understanding and knowledge of the local context, changes in government policies and political interference were identified as significant causes of the critical factors.Originality/valueThe study analysed the factors affecting the performance of large projects in Sri Lanka, which, at the time of research, had just ended a 26-year-long civil war and was pushing the construction of large projects to be competitive. The challenges faced in this effort were explored as lessons learnt that might improve the efficiency and effectiveness of infrastructure development in Sri Lanka. The combined quantitative and qualitative methods applied in this study are expected to provide new insights in the project performance research, especially the interviews of the critical factors to gain an understanding on how the factors occurred and manifested themselves in real projects. The findings are, however, expected to be applicable to other developing countries that are currently aggressively developing their large infrastructure.

Economics of integrated harvests with biomass for energy in non-industrial forests in the northeastern US forest

Economic drivers explaining the harvest of biomass for energy use in northeastern forests in the United States are not well understood. However, knowledge of these drivers is essential for bioenergy policy development, biomass supply estimates, and assessments of harvesting impacts on forest ecosystems and carbon stocks. Using empirical data from 35 integrated harvest sites in northeastern US non-industrial forests, we analyzed the economics of mixed wood product logging operations that included biomass for energetic use from both landowner and logging contractor perspectives. Results were highly variable but indicate that biomass harvest removal intensities were not explained by primary forest management objectives, harvest area, or harvested wood product quantity. Rather than harvest area or choice of machinery, we identified biomass harvest intensity as a main driver of profits for a harvest operation, as measured in hourly and total net income to the logging contractor. While biomass stumpage payments to the landowner were marginal, tree bole biomass constituted more than half (54%) of the extracted volume by weight, far outweighing biomass derived from tops and limbs only. Biomass harvests, therefore, might encourage logging contractors to intensify harvest removals rather than increase harvest area or choose a specific harvest type or method. Such intensification could have beneficial or detrimental impacts on a stand and needs to be addressed through further studies of potential consequences for biodiversity and various ecosystem services.

Factors affecting performance at the Iraqi Construction Projects, Ministry of Construction, and Housing and Municipalities and Public Works of Iraq as a case study

Iraqi construction projects suffer from complex issues and several problems. It is rarely to find construction project in Iraq implemented with the schedule cost, schedule time and required quality due to the poor management and absence of adequate performance measurements. Traditional performance measurements such as cost, time and quality are not acceptable in the recent complex working environment. The aim of this research is to find factors affecting performance of Iraqi construction projects and ranking them according to the perspective of three construction project parties (owners, consultants, contractors). Literature review about performance was executed and interviews with a number of experts in the field of Iraqi construction environment were held. Consequently, a questionnaire was designed, consists of 69 factors affecting performance of Iraqi construction projects. These factors categorise into nine items. Field survey was carried out to rank these factors from the owner, consultant and contractor perspectives using relative importance index (RII). The total numbers of distributed questionnaires are 125 forms, representing 35 for owners, 33 for consultants and 57 for contractors. The survey findings specify that performance factors related to contractor, consultant and resources are ranked in the first, second and third position with overall RII equal to 83.7, 82.9 and 79.9, respectively.

Forming Mechanism of Political Risks in International Construction Projects: From the Perspective of Chinese Contractors

The performance is analysed from the perspective of the characteristics of overseas business of Chinese contractors and political risks. Based on the results of this research project, it further analyse the funds and pricing model of Chinese Contractors Overseas Projects, as well as their ability to withstand political risks and coping strategies. This study aims to explore the statistical analysis of the project system and transnational operations to political risks in international construction projects. This research is based on one belt and one road. The questionnaire was distributed to 100 Chinese international contractors in the form of emails. Of the 100 contractors, 50 are in the top 225 of the 2017 ENR. Researches based on the project, each project only fill in a questionnaire, the final recovery of 370 copies, and recovery rate of 37%. 370 respondents are from 46 Chinese international contractors, of which 28 (60.87%) are from top ENR225 enterprises and 18 (39.13%) are from other enterprises. This survey reflects the general situation of political risks of Chinese contractors in overseas project management. Generally speaking, Chinese contractors are facing higher political risks, and they do not attach enough importance to political risks, and their ability to deal with political risks. This research study is a useful reference for managing the political risks for international contractors when expanding into this emerging market.

Clustering of host countries to facilitate learning between similar international construction markets

Purpose In the global construction industry, experience gained in various countries is a major source of competitive advantage. By transferring the knowledge gained in previous projects using an effective knowledge management strategy, they can increase their competitiveness by adopting best practices and by not repeating the same mistakes under similar conditions. The purpose of this paper is to demonstrate how similar countries can be clustered to facilitate learning in global markets. Design/methodology/approach Initially, country factors that can affect success in international projects and can be used to assess the similarity of markets were identified by an extensive literature review and prioritised by a web-based questionnaire. A country evaluation form was prepared to collect country-specific data to be used in the cluster analysis of 39 countries where the Turkish contractors have been frequently working since the last 45 years. Cluster analysis was performed with SPSS 23.0. Findings Three country clusters were obtained and validated. Ultimately, how obtained country clusters may be used to facilitate learning from international construction projects was demonstrated by using an illustrative example. Research limitations/implications The findings depend on the experience and perspective of Turkish contractors doing business abroad. Thus, the identified clusters are not generic. Moreover, country clusters were not identified considering only the country factors such as economy, culture, politics, etc.; thus, countries in the same cluster do not necessarily represent “similar” countries in terms of macro-factors. Clusters were identified so that the lessons learned can be effectively transferred within the same cluster considering construction and project-related factors as well as country-related factors. Although the findings cannot be generalised and clusters are not static, it is believed that the methodology used in this research is repeatable for different countries considering different timeframes. Originality/value Theoretical contributions include the identification of factors that can be used for similarity assessment of countries for transferring lessons learned as well as a methodology for clustering. Findings may also have a practical value for the Turkish contractors.

COMPARISON OF OWNER AND CONTRACTOR PERSPECTIVES IN ESTABLISHING COST CONTROL STRUCTURE

Cost control is a part of cost management which is carried out by the project owner and the contractor throughout a project. However, the structures of the control function developed by each party generally differ since the purpose of the function and the level of the structure are not exactly the same. Contractors have several advantages while building a cost control system such as more detailed information about the project, more background, more dedicated personnel, specifically developed software etc. Therefore, contractors have a broader vision on the issue. Owners need to utilize cost control systems not only for common reasons but also due to some specific necessities. Unlike contractors, owners have to capitalize projects just before they put their investments into operation. This paper intends to focus the necessities prioritized by the owners and contractors on the issue. A comparison will be made to distinguish the differences between the cost perspectives of project owners and contractors. An assessment will be done of the matters that owners pay attention while establishing a cost control structure in light of the experiences practiced in oil and gas projects. Thus, the important points which should be better to consider by the owners' project control teams will be advised.