The cost performance and causes of overruns in infrastructure development projects in Asia
Open accessAbstract
Infrastructure plays a major role in the economic development of countries, especially in Asia which has experienced tremendous growth in recent years. The procurement of infrastructure continues to be characterized by cost overruns resulting in significant academic interest and theoretical propositions on the influential factors. This study contributes to this issue through adoption of pragmatic research methodology involving deterministic statistical analysis of real project data from reports as well as a qualitative analysis of these reports to unearth underlying issues from a thematic analysis. Furthermore, the study design takes a multi-country view towards establishing the role of contextual and geographical influences on cost overrun. An evaluation of 102 major infrastructure projects was performed covering railways, roadways and energy sectors in different regions in Asia. Findings reveal that differences in the propensity for cost overrun are mostly dependent on a type of infrastructure with rail projects being the most likely to overrun budget. Theoretically, propositions on the influence of project contextual factors are tested highlighting the influence of project size, project type, geographical locations, and the length of implementation period of a project as well as factors related to political, economic, strategic, and competence in infrastructure delivery which vary across countries.
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Extant PM studies have largely explored project quality, cost, and time-overrun problems have become a common phenomenon for public sector projects in developing countries.
“Extant PM studies have largely explored project quality, cost, and time-overrun problems have become a common phenomenon for public sector projects in developing countries [7,8].”
From Blockchain Technology: Potential Applications for Public Sector E-Procurement and Project Management (2022) · cites this paper as [8]
The Introduction says cost overruns have occurred in a significant number of infrastructure projects, and the Conclusions table reports cost overruns in 58 of the 100 Asian projects tabulated (page numbers unavailable). The paper does not establish that quality problems and time overruns are common in public-sector projects in developing countries; the Conclusions instead identify time overruns and delays as topics for future research. (LLM, conf=0.90)
Experimental — accuracy not yet measuredIn those 41 Bangladeshi projects, the maximum time-overrun was 400% and the cost-overrun was 250%.
“Additionally, it was found that the maximum time-overrun was 400% and the cost-overrun was 250% in those 41 projects [8,10].”
From Blockchain Technology: Potential Applications for Public Sector E-Procurement and Project Management (2022) · cites this paper as [8]
Section 2.1 describes a sample of 102 projects across Asia, not 41 Bangladeshi projects. Section 3.1 reports cost-overrun figures for that Asian sample, while the Conclusions say time overruns are a topic for future study. Searches for Bangladesh, 41 projects, 400%, and 250% found no passage reporting the claimed maxima for the 41 projects. (LLM, conf=0.77)
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- Authors
- Andrić, J. M., Mahamadu, A.-M., Wang, J., Zou, P. X. W., & Zhong, R.
- Affiliations
- Shenzhen University (CN)
- University of the West of England (GB)
- Swinburne University of Technology (AU)
- Venue
- Journal of Civil Engineering and Management
- Published
- 2019-03-01
- Volume
- 25
- Issue
- 3
- Pages
- 203-214
- ISSN
- 1392-3730 (ISSN-L)
- 1822-3605
- OpenAlex
- W2919068267
- Cited by
- 61
- References
- 27
- Citations by year
- 2026: 5 · 2025: 6 · 2024: 14 · 2023: 13 · 2022: 11 · 2021: 2 · 2020: 7 · 2019: 3
- FWCI
- 4.12
- Type
- journal article
- Language
- en
- Open access
- gold
- doi.org
- Licence
- cc-by
- Locations
- Journal of Civil Engineering and Management (publishedVersion, cc-by)
- UWE Research Repository (UWE Bristol) (submittedVersion, cc-by)
- DOAJ (DOAJ: Directory of Open Access Journals) (submittedVersion, cc-by-sa)
- Swinburne figshare (Swinburne University of Technology) (submittedVersion, other-oa)
- Funders
- National Natural Science Foundation of China (71272088)
- China Postdoctoral Science Foundation (2017M622743)
- Topics
- Social Sciences › Decision Sciences › Management Science and Operations Research › Construction Project Management and Performance
- Social Sciences › Business, Management and Accounting › Strategy and Management › Public-Private Partnership Projects
- Social Sciences › Economics, Econometrics and Finance › Finance › Capital Investment and Risk Analysis
- Keywords
- cost overruns, infrastructure projects, cost performance, rail projects, road projects, energy projects, project size, project types, geographic location, implementation period, political and economic factors, Asia
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