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Causes of delays in government sector project: a case study of Power Grid Company of Bangladesh (PGCB) Ltd.

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BRAC University

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Abstract

If we are to make a list of the most perennial problems of development Projects, delays in project will top the list. This very phenomenon is also quite common in the development projects of Bangladesh. For a project, delay leaves an adverse effect on the controlling features of cost, time, safety and quality. Time extension, cost overrun, disputes, arbitration, litigation etc. are few of the vital consequences of delay. Throughout last decade, a pivotal period for Bangladesh, a major shift happened regarding the capacity and volume of the infrastructure development. In this reality, it is an unavoidable necessity to run an in-depth systematic analysis of the factors behind delay and develop a lucid understanding among the professionals. In order to dive deep into the investigation on Project-delay in Government Sectors, PGCB is considered as a case study for this research. This study focuses on identifying delay factors on PGCB projects and analyzing these factors using Relative Importance Index method. To achieve this, 56 different delay factors were identified and later categorized into9major groups through detailed literature review and after that, a survey based on questionnaire was conducted where consultants, clients and contractors were asked about the causes of delay. Relative Importance Index method was used to quantify the relative importance of the delay factors. Ranking was made according to the level of importance. Secondary data was collected from different project offices of PGCB and this data was analysed and investigated to point out the factors of delay. Dominating factors affecting time overrun are Ineffective planning and scheduling, poor site management by contractor, type of project bidding and award, late contract award, slowness in decision making etc.Domestic issues of the country are revealed to be the kind of factors that result in delayed completion of projects. Through this work, four recommendations are provided to help reduce delays in projects. Hopefully, these findings and recommendations will help improve the overall efficiency of construction industry and also be helpful to professionals around the globe.

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This dissertation is submitted in partial fulfillment of the requirements for the degree of Masters in Procurement and Supply Management, 2018.

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Dissertation