Management contracts as practised in Ghana

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In Ghana, various procurement systems have been used over the years to some degrees of success. This is because the nature of projects usually dictates the type of management technique suitable for its implementation. This study was carried out to investigate the practise of some management based procurement system or management contracts in the Ghanaian construction industry. Extensive literature review of two management based procurement system (Project Management and Management Contracting) was conducted and compared with similar practice in Ghana (if any) through questionnaires and interview of clients, contractors, consultants and estate developers. From a total of two hundred and fifty questionnaires sent out, one hundred and fifty-two responses were received and analysed using the binominal approximation to the normal distribution to test the hypothesis stated for the study. This was done with the view to: a. Identifying some management contracts being practised in the Ghanaian construction industry b. Finding out the benefits of such management contracts and how they seek to solve some of the problems associated with the conventional or traditional methods. c. Finding whether construction practitioners use project managing planning models in administering projects in Ghana. d. Recommending a management based procurement system which could be adopted by consultants, clients and contractors to help develop the construction industry in Ghana. When the results of the survey was tested with established hypothesis, it was clear that: a. The principles of Project Management and Management Contracting procurement systems are not strictly adhered to in Ghana. b. Project Management and Management Contracting procurement systems can be applied effectively to small and simple but large and complex projects due to its economic benefits in Ghana. Based on these results, it was recommended that: a. There should be pre-project implementation seminars for project briefing or orientation about the aims of the project, strategies for execution, the responsibilities of individual parties in the project, mode of solving human relation issues and adherence to contractual obligation as indicated in the project contract document. b. Large complex projects should be given to expert management contractors to ensure capacity building in the construction industry in Ghana for practitioners. Strict adherence to Management Contracting principles should be observed. c. Most foreign aided projects should be management contracting concept to ensure effective transfer of technology.
A thesis submitted to the Department of Building Technology, Kwame Nkrumah University of Science and Technology in partial fulfilment of the requirements for the award of Master of Science in Construction Management, 2002
Management Contracting, Project Management, Ghana