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Time-Cost Relationship for Infrastructure Projects in India

Abstract

Studies indicate that there is a relationship between project cost and construction time for different construction markets and construction sectors. The purpose of this study is to validate the time-cost relationship model developed by Bromilow et al.1 in context with infrastructure (i.e. bridges and roads/ highways) projects in India. The model was extended to include change orders to determine whether this variable also has an effect on project duration. Data related to 50 infrastructure projects in India completed within last five years was obtained for the study. SPSS® program was used for analysis of the data. The statistical technique used for the analysis was a multiple linear regression. The results indicate that Bromilow et al.’s1 model holds good for the Indian Construction Industry at the level of significance (p-value) of < 0.0001. The results indicate that there is a statistically significant relationship between construction time of infrastructure projects and their actual construction cost and number of change orders.

Key words: Change Orders, Construction time, Construction Cost, Infrastructure Construction, Indian Construction Industry

Introduction

Prediction of construction time at planning and bid preparation stages is necessary for including realistic project duration in the bid package. It represents a problem of continual concern and interest to both researchers and contractors. It is also important for the studies related to estimating, scheduling, and management of construction works taught both at the graduate and undergraduate levels in the schools of construction. A number of studies have been conducted on time-cost relationship for various construction sectors around the world. This study takes into infrastructure construction projects in India; a time-cost relationship model developed by Bromilow et al.1 and validated by few other researchers has been used to verify whether such a relationship holds good for this sector of the construction industry in India. Infrastructure in India generally means highways and utilities pipelines. The model was extended to include the effect of change orders also on construction time of such projects. It is hypothesized that the total construction time for infrastructure construction India is (1) positively correlated with the total construction cost of a project and (2) affected by the number of change orders issued during the construction period.

Empirical model for prediction of construction time

A relationship between completed construction cost and the time taken to complete a construction project was first mathematically established by Bromilow et al.1 For the updated model, the authors analyzed the time-cost data for a total of 419 building projects in Australia. The equation describing the mean construction time as a function of project cost was found to be:

T = K*CB (1)

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Choudhury, I. (2009, June), Time Cost Relationship For Infrastructure Projects In India Paper presented at 2009 Annual Conference & Exposition, Austin, Texas. 10.18260/1-2--4877