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Abstract
Title: Factors Affecting Success of Construction Projects in Egypt
Submitted by : Zeinab Yousef AlZarrugh ¹
Supervised by Prof. Dr. Ayman Hassan², and Dr. Mohamed Badawy²
¹.² Structural Department, Faculty of Engineering, Ain Shams University
The construction industry is one of the most important economic activities that contribute to the economic growth of any nation. The real estate market in Egypt increased by demand due to high rates of population growth. It has been fluctuating, especially in recent years. The Egyptian real estate market is one of the strongest sectors in which investors feel safe to inject money and increase their investment. However , the current situation and casts doubts on the sector, but it is still one of the most important sectors that are seen by investors to have hope and positivity.The goal of all parties involved in construction projects (Owners, Contractors, Engineers and Consultants) in either the public or private sector is to successfully complete the project on schedule, within planned budget, with the highest quality and in the safest manner. Construction projects are frequently influenced by either critical success factors that help project parties reach their goal as planned.
The purpose of this research is to identify, investigate, and rank critical success factors which can help project parties reach their intended goals with greater efficiency. The adopted methodologies to accomplish this study are review of literature related to factors affecting success in construction projects and questionnaire to collect the data and perspectives of the respondents. Total of ninety-four (94) factors were short-listed made part of the questionnaire survey and were identified and categorized into twelve (12) major categories. The survey was conducted with experts and representatives from private, public of local general construction firms. The data were analyzed using Relative Importance Index (RII), ranking. Ranking of factors and categories was demonstrated according to their importance level on success. According to the highest percentage of Relative Importance Index ,the top ten factors are prioritized for owners, consultants, and contractor’s every alone and for all of them which express the top ten factors affecting success of construction projects in Egypt.
The results of the questionnaire reveal that important factors affecting success of construction projects in Egypt were: contractor experience, payments on time, client financial capability, changes in tax and accounting system, type of client (private vs. public), decision making effectiveness, project manager’s experience, overall managerial actions, adequacy of plans and specifications, and project size and value. The top five groups of factors affecting success of construction projects in Egypt for all respondents were: contractor related factors, financial related factors, project manager related factors, client related factors, and project management factors.
According to the feedback of owners, consultants, and contractor’s respondent’s opinions using statistical analysis, there was a good correlation between parties with respect to most of success factors discussed. There was no significant difference between owners, consultants, and contractors regarding factors affecting success of construction projects.
Keywords: Egypt, Critical Success Factors, Construction Projects, Relative Importance Index (RII).