Browsing by Author "Oppong, Priscilla"

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    Determination of variance between project cost contigencies and overruns in Ghana
    (2013-08-06) Oppong, Priscilla
    All construction projects are prone to various types of risk at various stages of the project. These risks which are either predictable or unpredictable are the reasons why contingencies are allowed on projects. The contingency percentage allocated on a project is to cater for these risks that may occur during the course of the project. Studies have shown that these contingencies allocated on projects above the estimated cost of the project to cushion any overruns that may occur are not adequate. Various factors have been identified to contribute to this some of which are: nature of the project, percentage of contingency allocated, variations and economic conditions The aim of this study is to advance knowledge in contingency calculation methods in Ghana and identify how these methods used greatly affect the cost overruns of projects. The study also seeks to establish if there is a relationship between cost overruns and contingencies allocated to on projects. The tools for the collection of data included questionnaires, interviews and extensive literature review of works already done in this area of study. The target population for the data collection was forty (40) professionals including building consultants and quantity surveyors. Twenty (20) out of the questionnaires were fully answered and used for the study. Statistical Package for Social Scientists (SPSS V 16) was employed to analyze data obtained and the variance for the study. Research findings reveal a variance between project contingencies allowed on delivered projects and cost over runs. Among the factors that were identified to have an effect on contingencies, project variations were found to be the most prevalent of all.