CAUSES OF CONSTRUCTION PROJECT FAILURES AND ABANDONMENT IN NIGERIA


CAUSES OF CONSTRUCTION PROJECT FAILURES AND ABANDONMENT IN NIGERIA

ABSTRACT

The paper critically analyses causes of construction project failures and abandonments in Nigeria.The unceasing abandonment and failure of development projects is so shocking in the developing countries such that Nigerian has remained one of the countries in such difficulty. The major objectives of the paper are: To examine the causes of construction project failure and abandonments in Nigeria, To examine the effect of construction project failure and abandonments in Nigeria and To determine the solution to the problem of construction project failure and abandonments in Nigeria.

Concerning methodology, both secondary and primary sources of data was used for the study. A survey research design was used with a sample size of 50 from the population. Data was analyzed using chi-square statistical tool. Key findings from the study showed that with a significance level of 0.05, there is a significant effect of construction project failure and abandonment on the socio economic development of Nigeria. Construction project failure and abandonment does not encourage foreign investments.

Recommendations for the study include; The general public and the experts should be educated the construction projects industry on the causes of construction project failure and abandonments in Nigeria, this will go a long way to proffer solution to the problem.

Before the execution of community development projects, the financial analysis should be considered to reduce the chance of abandoning the project half way.

TABLE OF CONTENTS

Title Page - - - - - - - - - i

Approval Page - - - - - - - - ii

Declaration - - - - - - - - iii

Dedication - - - - - - - - - iv

Acknowledgement - - - - - - - v

Abstract - - - - - - - - - vi

Table of Contents - - - - - - - vii

CHAPTER ONE – INTRODUCTION

1.1Background of the Study-----

1.2Statement of General Problem----

1.3Objective of the Study------

1.4Research Questions------

1.5    Hypothesis   -      -      -      -      -      -      -        -        -        

1.6Significance of the Study-----

1.7Scope of the Study------

1.8Definition of Terms------

CHAPTER TWO – REVIEW OF RELATED LITERATURE

2.1 Introduction - - - - - - - - -

2.2 Concept of Construction Project Abandonment- - - -

2.3 EFFECTS OF CONSTRUCTION PROJECT ABANDONMENT

- - - - - - - - -- - - -

2.3.1 Effect on Individuals--------

2.3.2. Effect on the community-------

2.3.3 Effect on government- - - - - - - -

2.4 WAYS TO FORESTALL CONSTRUCTION PROJECT ABANDONMENT- - - - - - - - -        -

2.5CONCEPT OF CONSTRUCTION PROJECTS MAINTENANCE AND MANAGEMENT--------

2.6EMPIRICAL REVIEW--------

CHAPTER THREE – RESEARCH METHODOLOGY

3.1 Introduction - - - - - - - - -

3.2 Research Design - - - - - - - -

3.3 Area of the Study - - - - - - - -

3.4 Population of Study - - - - - - - -

3.5 Sample size and Sampling Techniques - - - - -

3.6 Instrument for Data Collection - - - - - -

3.7 Validity of the Instrument - - - - - - -

3.8 Reliability of the Instrument - - - - - -

3.9 Method of Data Collection - - - - - - -

3.10 Method of Data Analysis - - - - - - -

CHAPTER FOUR – DATA PRESENTATION AND ANALYSIS

4.0 Introduction - - - - - - - - -

4.1 Data Presentation and Analysis - - - - - -

4.2 Characteristics of the Respondents - - - - -

4.3 Data Analysis - - - - - - - - -

4.4 Testing Hypothesis - - - - - - - -

4.5 Summary of Findings - - - - - - - -

4.6 Discussion of Findings - - - - - - -

CHAPTER FIVE – SUMMARY, CONCLUSION AND RECOMMENDATION

5.0 Introduction - - - - - - - - -

5.1 Summary - - - - - - - - - -

5.2 Conclusion - - - - - - - - - -

5.3 Recommendations - - - - - - - -

References ----------

Appendix - - - - - - - - - -

CHAPTER ONE

INTRODUCTION

1.1 BACKGROUND TO THE STUDY

Abandoned projects and construction failure including construction projects and other civil engineering infrastructure development project like houses, churches, schools, roads, bridges, dams, tunnels, air port, sea port etc. litter the whole Nigeria. Osemenan (1987) reported that Nigeria has become the “world’s junk-yard of abandoned and failed projects worth billions of naira and it is greatly unthinkable that Nigeria blessed with so great potentials in the construction projects and construction industry can experience such magnitude of project failure and abandonment. According to another report by Kotangora (1993) there are about 4000 uncompleted or abandoned project belonging to the Federal Government of Nigeria with an estimated cost of above N 300 billion which will take 30 years to complete at the present execution capacity of government, also according to him this issue of abandonment and construction project failure is been left without adequate attention for too long which is now having a multiplier effect on the construction industry in particular and the national economy as a whole.The construction projects and construction industry plays a very dominant role in the economy of any nation. A healthy economy usually experience an increase in construction projects and construction activities, but in a depressed economy, the incidence of project abandonment and construction failures tends to be more prevalent.Akindoyeni (1989) qualitatively reasoned that some of the causes of project abandonment and construction failure in Nigeria are deaths of client, inability of client to attract fund and lack of good planning.

The abandonment of development projects is the act of discontinuing any activities or maintenance works on suchdevelopment project within a time frame of the contract agreement and with no intention of returning back to thedevelopment (Spelman, 1993). Similarly, O’Flaherty (1993) while reflecting on property development projects suggest thatit is when an owner or developer is ceasing to provide the required maintenance management to a developed property. There could also be construction failure due to improper planning.

However, real property development projects being a capital intensive undertaking should be critically analyzed toascertain its feasibility and viability before embarking on it. But, on several occasions and as it had been observed,governments, contractors and agencies have abandoned development projects mid-way into construction and completion.

The causes and effects of these development projects abandonments and construction failure are not just peculiar to a particular reasonrather cut across several reasons (Ayodele and Alabi, 2011), and as well as creating a total dwindling effects on the valuesof developed properties located close and within the vicinity. The expected prominence of any earmarked developmentprojects is to be completed, while at the same time, adding values to the built environment aesthetics. Although,development projects are temporary endeavors undertaken to create a unique product and services with a defined beginningand ending date (Gardner, 2005). The accomplishment of such purposes should be realized at all times otherwise needlessof such development (Gardner, 2005). The development projects specific in the study framework is infrastructural projects(such as; house, electricity, road, schools, and drainage). However, the study purpose is to investigate and assess the causes and effects of development projectsabandonment  and construction failure in Nigeria. 

1.2 STATEMENT OF THE PROBLEM

The unceasing abandonment and failure of development projects is so shocking in the developing countries such thatNigerian has remained one of the countries in such difficulty (Ayodele and Alabi, 2011; Kotangora, 1993; Osemenan,1987). Therefore, the significance that the incessant abandonment of projects and construction failure would bring several effects on the aesthetics of the environment, real propertiesand its values and the economy cannot be overemphasized since some of the development projects provide the basicservices that should meet the needs of the people. However, this study will examine the causes of construction project failure and abandonments in Nigeria.

1.3 OBJECTIVES OF THE STUDY

The following are the objectives of this study:

1. To examine the causes of construction project failure and abandonments in Nigeria.

2. To examine the effect of construction project failure and abandonments in Nigeria.

3. To determine the solution to the problem of construction project failure and abandonments in Nigeria.

1.4 RESEARCH QUESTIONS

1. What are the causes of construction project failure and abandonments in Nigeria?

2. What is the effect of construction project failure and abandonments in Nigeria?

3. What is the solution to the problem of construction project failure and abandonments in Nigeria?

1.6 SIGNIFICANCE OF THE STUDY

The following are the significance of this study:

1. This study will educate the general public and the experts in the construction projects industry on the causes of construction project failure and abandonments in Nigeria with a view of proffering solution to the problem.

2. This research will also serve as a resource base to other scholars and researchers interested in carrying out further research in this field subsequently, if applied will go to an extent to provide new explanation to the topic. 

1.7 SCOPE/LIMITATIONS OF THE STUDY

This study on causes of construction project failure and abandonments in Nigeria will cover the issues of abandoned projects, failed project and all other abandoned infrastructural facilities.

LIMITATION OF STUDY

Financial constraint- Insufficient fund tends to impede the efficiency of the researcher in sourcing for the relevant materials, literature or information and in the process of data collection (internet, questionnaire and interview).

Time constraint- The researcher will simultaneously engage in this study with other academic work. This consequently will cut down on the time devoted for the research work.

REFERENCES Akindoyemi, A. (1989), the Management of Abandoned Project, Journal of Nigerian Institute of Building, Vol. 1, Iss. 2, pp. 27. Ayodele, E.O. and Alabi, O. M. (2011), Abandonment of Construction Projects in Nigeria: Causes and Effects; Journal of Emerging Trends in Economics and Management Sciences (JETEMS), Vol. 2, Iss. 2, pp. 142-145. Gardiner, P.D. (2005). Project Management: A Strategic Planning Approach: Palgrave Macmillan, USA, and the UK. Kotangora, O. O. (1993); Project Abandonment, Nigerian Tribune. O’Flaherty, B. (1993) Abandoned Building: A Stochastic Analysis; Journal of Urban Economics, Vol. 34, pp. 43-74. Osemenan, I. (1987); Project Abandonment; New Watch Magazine, Vol. 1, pp. 15. Spelman, W. (1998); Abandoned Buildings: Magnets for Crime; Journal of Criminal Justice, Vol. 21, National Vacant Properties Campaign.

 

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