Cost and time performance analysis on construction projects in Addis Ababa: A comparative study on selected local and foreign Real Estate Developers.

Abstract

It is known that there are both local and foreign real estate developers, operating in the development of real estate properties in Addis Ababa. And there is a complaint related to the delivery of real estate construction projects with in estimated time and budgeted cost. With this inadequate cost and time performance of projects as the main driver, this study set major objectives of conducting Cost and time performance analysis on construction companies in Addis Ababa and make a comparative study on selected domestic and foreign Real Estate Developers operating in Addis Ababa. Grade one local and foreign real estate developers are studied. In this research all the available population is used as the research samples. The study adopted quantitative research approach as it tries to explore and compare the project cost and time performance differences between local and foreign contractors in the construction industry of Ethiopia. The study employed mainly primary data collected from primary data sources to gather information relevant in achieving the research objective through questionnaire survey. Descriptive statistical analysis technique is used to analyze and summarize the quantitative data. The outcome of the analysis showed that both local & foreign contractors practice the construction cost and time management methods and the difference is how well they applying it on their projects and the difference was related with the application of the method. Therefore, findings implicates that there is a cost and time performance difference between local and foreign real estate developers operating in Addis Ababa. Therefore it is recommended that there is the need for improvement on project cost and time management performance of local contractors through training to develop their project management knowledge & practice capacity.so that it significantly contributes to the overall improvement of Contractor’s capacity to deliver successful projects.