Construction Procurement Practices And Its Impacts On Ethiopian Road Construction Case Study - Ethiopian Road Authority

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In Ethiopia, road construction projects are playing the major role in the Ethiopian economicrnsector. The Ethiopian Roads Authority (ERA) is charged with the duties and responsibilitiesrnof providing adequate road infrastructure to support the socio-economic development of therncountry. To improve the Ethiopian economic somewhat appropriate and effectivernprocurement approach is essential to reduce the impact in construction budget, completionrntime and performance in the road construction. The major aim of this research is to review,rnanalyze and recommend construction procurement practice and its impact on Ethiopian roadrnconstruction. Two major research methods are used to achieve the research objective,rnnamely, primary and secondary data collection. To address the problems, a questionnairernwas designed and distributed to contractors, consultants and employers participating in roadrnconstruction sector. To supplement the questionnaire, a desk study was conducted onrnEthiopian Road projects. A total of 91 questionnaires from client, consultants andrncontractors were collected and a desk study of 12 completed and ongoing road constructionrnprojects in Ethiopia were investigated. From the results it was found that most of the roadrnconstruction projects suffered both time and cost overrun. The rate of time overrun rangesrnfrom a minimum of 25.75 % to the maximum of 79.86 % of the contract amount and costrnoverrun ranges from a minimum of 0% to the maximum of 26% of the contract amount,rnthese results are based on the 12 projects. As a result, the findings show that the mainrnfactors that affects procurement practice in Ethiopian road construction projects are:rnimproper planning, improper designing, construction methods, shortage of labor andrntechnical personnel, quality and shortage of materials, construction mistakes and defectivernwork, lack of training to project team in regard to procurement, lack of risk consideration,rntechnical and financial capability and past experience of contractor and consultant are notrnverified in selecting contactor and consultant and poor monitoring and controlling, as wellrnunclear process of closing a procurement have been found as the areas that needsrnimprovement. Thus, provide training, seminars, workshop with regard to innovative projectrndelivery system, establish other tender evaluation system other than low bid method tornimprove the cost overrun, time overrun and quality of the construction projects, and copy orrnmodifying other country method may not be work full for our county are some of thernrecommendation made under this study on what actions should be taken in order to improvernproject procurement practice in the project.

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Construction Procurement Practices And Its Impacts On Ethiopian Road Construction Case Study - Ethiopian Road Authority

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