EFFECT OF DESIGN BID BUILD PROJECT DELIVERY METHOD ON PERFORMANCE OF BUILDING PROJECTS IN SOUTHERN ETHIOPIA

Abstract

Construction projects in Ethiopia are usually completed within a period longer than what is agreed upon by the contracting parties and with greater cost differences from contract amount. A project is regarded as successful, if the project is delivered at the right time, at the appropriate price; quality standards and providing the client with a high level of satisfaction. These problems are related with project delivery methods employed by the organizations. Construction industries employ different project delivery methods. Design bid build (DBB) method is one of them and it is widely employed in different countries. This method involves three role players in the project delivery process, the owner, the consultant and the contractor traditionally which involves competitively bid and lump sum construction contracts. The issue is common in developing countries like Ethiopia, where the magnitude of variation between originally contracted amount, time and quality are different with actually executed. By using descriptive survey study design data was obtained from clients, consultants and contractors by using open and close ended self reported questionnaires and interviews. Descriptive statistics was reported as Mean ± SD, frequency and percentages. Also to compare performance of the projects with budget used to date independent sample t-test was employed. The performance of DBB projects with regard to timely on cost and quality completion is analyzed in this study. Thus, the mean percentage of the projects‘ current progress (54.41±17.36) compared to mean percentage of costs incurred to date from planned budget (68.41±13.60) indicated a significant difference (p<0.000) higher cost incurred with lowest progress. The challenges and role of client, consultant and contractor on timely, quality and on cost completion of projects are discussed. From the study, it was found that DBB projects is poor in cost and time but it is better in maintaining quality whereas DB projects perform much better than in cost and time. The contribution of this study is giving awareness about effect of delivery method on performances of building project and to identify and evaluate favorable condition to apply DBB delivery method