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Assessment of Cost Control Methods of Construction Companies in Nigeria (8486)

Olufemi Oyedele (Nigeria)
Mr. Olufemi Oyedele
Managing Director
Fame Oyster & Co. Nigeria
Estate Managers and Project Managers
38, Adeyemi Street
Off L.U.T.H. Road
Mushin
100009
Nigeria
 
Corresponding author Mr. Olufemi Oyedele (email: femoyede[at]yahoo.com, tel.: 2348162481223)
 

[ abstract ] [ paper ] [ handouts ]

Published on the web 2017-03-10
Received 2016-10-01 / Accepted 2017-02-01
This paper is one of selection of papers published for the FIG Working Week 2017 in Helsinki, Finland and has undergone the FIG Peer Review Process.

FIG Working Week 2017
ISBN n/a ISSN 2307-4086
URL n/a

Abstract

Clients, contractors, sub-contractors and consultants’ common interests in construction projects is to ensure that projects are delivered to time, within cost and acceptable quality. This is a herculean task because clients, contractors, sub-contractors and consultants have differing primary requirements of projects. The client wants his or her project to be delivered at the lowest cost, fastest time and best quality. The contractor and sub-contractors want a project that guarantees maximum profit, while the consultants want the job with a smooth cash flow so that minimum time can be expended on site, ensuring maximum savings on consultancy fee. Cost control is the only means that can ensure that projects meet the common interest of all stakeholders: the client, the contractors, the consultants, members of public as end-users and government as control agents. Cost control is the processes undertaken by all parties to a project in order to ensure that the project is delivered within cost, to time and to acceptable quality. Cost control is not synonymous with cutting costs to record a reduction in estimates or overall cost expended on projects. It is about ensuring that all the activities that need to be carried out to ensure the processes of a project as detailed in the working (building plans), structural and mechanical and electrical drawings are carried out without any omission. This paper explored the quantitative methods to inquire the cost control methods in practice in Nigeria.
 
Keywords: Cost management; Contingency, Cost control, Elements of construction costs, Monitoring and Evaluation (M&E), Project Management.

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