Causes of contractors' failure in industrial projects in Saudi Arabia

Sadi Assaf*, Mohammad A. Hassanain, Salman Al-Zahrani

*Corresponding author for this work

Research output: Contribution to journalArticlepeer-review

18 Scopus citations

Abstract

The study aims at identifying and assessing the main causes of contractors' failure in industrial projects in Saudi Arabia. 24 causes were identified from the literature for assessment by owners, contractors and subcontractors. These causes were classified under five categories, namely managerial causes, financial causes, growth causes, environmental causes and uncontrollable causes. A survey of 36 participants was conducted. Data was collected from 15 owners, 11 contractors and 10 subcontractors. The results indicated that lack of experience in the business field, war, poor project management, poor cost estimation, unavailability of stationed project leader at site, neglect and type of the contract are the most severe causes behind contractor's failure in construction projects. The rank correlation coefficient indicated that there is a high level of agreement among owners, contractors and subcontractors on the severity of the different failure causes. The research provides a severity of the ranking of the different causes of failure so that mitigation measures could be developed to avoid them or lessen their effects.

Original languageEnglish
Pages (from-to)158-164
Number of pages7
JournalResearch Journal of Applied Sciences, Engineering and Technology
Volume9
Issue number3
DOIs
StatePublished - 2015

Bibliographical note

Publisher Copyright:
© Maxwell Scientific Organization, 2015.

Keywords

  • Causes of failure
  • Contractor's failure
  • Industrial projects
  • Owner
  • Saudi Arabia
  • Subcontractor

ASJC Scopus subject areas

  • General Computer Science
  • General Engineering

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