Original scientific paper
https://doi.org/10.2478/otmcj-2018-0003
Appraising the use of labour-only procurement system for building construction in Nigeria
Olutayo Gabriel Akinkunmi
; Dannok Cost Consultants
Douglas Omoregie Aghimien
orcid.org/0000-0002-6661-5679
; School of Engineering Management, Faculty of Engineering and Built Environment, University of Johannesburg
Oluwaseyi Alabi Awodele
; Department of Quantity Surveying, Federal University of Technology, Akure, Nigeria
Abstract
Labour-only procurement system is gaining fast
popularity among construction clients who want to make
savings by procuring materials themselves, leaving the
contractor to provide only the labour needed. This study,
therefore, appraised this procurement system by assessing its cost performance, its suitability, construction participant’s willingness to use it for subsequent projects and
its merits and demerits. Using a survey design approach
through the use of questionnaire and a pro forma, data
were gathered from a total of 98 construction professionals and contractors who have been involved in the
use of this procurement system. Analyses of data were
done using percentage, mean item score, Mann–Whitney
U test and paired samples t-test. The study revealed that
this procurement system is best for procuring residential
buildings and minor alteration works. Construction participants who have used this system before are willing
to still use it for subsequent works, as it delivers projects
within budget and discourages short-changing of specifications and standard by contractors. However, the need
for the time commitment and reduction in contractor’s
profit are its major disadvantages. For its cost performance, an overall cost saving of about 2% was discovered
for the assessed 32 projects. The findings of this study will
be beneficial to various interest groups such as clients
and estate developers in selecting the right procurement
option to use.
Keywords
building projects; construction; cost performance; cost saving; labour-only; Nigeria; procurement
Hrčak ID:
215714
URI
Publication date:
16.2.2018.
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