Project delays in the Maltese construction industry

Abstract

The construction industry has always represented one of the most important sectors of Malta's economy. The construction industry contributes to a significant portion of the country's gross domestic product (GDP) and this industry continues to grow on a yearly basis. Project delays on construction projects are synonymous with the global and local construction industry. Certain projects that suffered delays in the local scenario were the Dock 1 Project, the City Gate Project and the National Flood Relief Project. The study aimed to list the causes and effects of project delays in the Maltese construction industry. A questionnaire was distributed to project owners, consulting architects/project managers and contractors. A list of causes of delays was compiled from previous literature and seventy causes of delays were chosen, which were then categorised in eight categories. Six effects of delays were also selected from previous literature. From the questionnaire the causes of delays and effects of delays for every group of participants were ranked to identify the major causes and effects of delays. Finally, the overall ranking irrespective of the participants was also carried out. The ten major causes of delays as ranked by all participants were (1) poor planning and scheduling of the project by the contractor, (2) poor supervision and poor site management (by contractor), (3) too many change orders from owner, (4) unrealistic contract duration imposed by the client, (5) incompetent technical staff assigned to the project, (6) difficulties in obtaining permits, (7) inadequate early planning of the project (by owner), (8) productivity of labourers, (9) poor site management and project management by consultant and finally (10) shortage of labourers. The effects of delay were ranked in the following order; (1) cost overrun, (2) time overrun, (3) total abandonment, (4) litigation, (5) disputes and lastly, (6) arbitration. Finally, recommendations on how to minimise delays were provided for every group of participants.