Delays in Handing Over the Construction Site to a Developer in the Malaysian Construction Industry

Hoe, Xin Jie (2024) Delays in Handing Over the Construction Site to a Developer in the Malaysian Construction Industry. Final Year Project (Bachelor), Tunku Abdul Rahman University of Management and Technology.

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Abstract

The development of the construction industry plays a pivotal role in propelling a country's economic growth. Successful completion of construction projects in Malaysia is intricately tied to the country's overall economic progress. Consequently, any delays or disruptions in construction projects directly impact the country's economy. Construction delays present a widespread challenge encountered within the Malaysian construction industry and overseas countries, often arising from unforeseen circumstances. Despite dedicated attempts to reduce delays, they persist as a persistent barrier. This research endeavours to enhance public awareness regarding the significance of the timely completion of construction ventures. This study aims to investigate methods that can effectively mitigate delays in handing over construction projects to developers. To achieve this aim, an in-depth analysis of current research studies is carried out, with a focus on three research objectives: identifying the root causes of construction project delays, understanding the consequences of delays in handing over construction projects to developers, and studying the ways to mitigate the delays for construction projects. Through the review of a few research studies, this study posits a hypothesis: construction parties who lack understanding or inexperience are a common cause of delays because the responsible party cannot predict potential problems and fails to monitor progress and implement a solution. To qualify this research investigation, a mixed methods research was utilised which is a combination of quantitative and qualitative research approaches. The questionnaire included a mix of open-ended and closed-ended questions, aiming to gather evidence and additional insights from respondents based on their experiences, thus enriching the research discussion. Before distributing the questionnaire, a pilot test was carried out to confirm its practicality. The primary data was gathered from 91 respondents using purposive sampling. These participants were professionals affiliated with G7 contractors. The acquired data was analysed using both Microsoft Excel and the SPSS to assess the research findings. At the conclusion of the research, the results from the frequency analysis indicate that a prevalent cause of delays in handing over construction projects is the inability of the responsible party to anticipate potential issues and effectively monitor progress, leading to a lack of timely solutions. Additionally, the study finds that the main consequence of construction delay is the construction cost and time overruns. The overrun in time and associated cost can consequently trigger a cascade of further adverse effects, termed as a jeopardising effect. Moreover, the research also highlights that an efficient work programme is the most effective approach for mitigating delays in construction projects.