Abstract

Malaysia is a fast developing country in Asian region and has undergone rapid economic growth since
the seventies. The construction industry (CI) has played an important role in the Malaysia economic
growth. The industry has been consistently contributed approximately 3% to 5% of the national Gross
Domestic Product (GDP) (Shari, 2000, Takim, 2005). The growth in construction has been increase from
6% to 15% since the seventies until middle nineties. (Raftery et al, 1998, Shari, 2000). There are two
main sector for construction projects in Malaysia; public and private sector. Most of the public sector
projects are handled by Public Works Department (PWD). In Malaysia, the Construction Industry
Development Board (CIDB) is a body with the main function of developing, improving and expanding the
Malaysian construction industry and is involved with the public and private sectors project development
(Takim, 2005). However, the construction sector has been much affected by unexpected situations such
as construction delays. Delays in the construction industry are one of the common problems that
happened to most construction projects. Students are required to analyse the causes contribute to the
delay that shows in Table 1 and give a remedy to the problem

Category Causes of Delays

Client Related Factors
Contractor Related Factors
Delay in progress of payment
Delay to deliver the site
Changes of order
Late in approving or revising the document design
Mitigate the drawing or material’s sample approval
Slow in making a decision
Lack coordination with the contractors
Selection of contractor should not be cost driven s
Late in delivering materials
Financial difficulties
Shortage of site labor
Coordination and communication problems with other
Management site are not well managed
Insufficient tool and equipment
Ineffective planning and scheduling
Lack skills of subcontractor
Often changing the sub-contractor
Introduction:

The problem of delays in the construction industry is a global phenomenon and the
construction industry in Malaysia is no exception. The main purpose of this study is
to identify the delay factors and their impact (effect) on project completion.

Malaysia is a fast developing country in Asian region and has undergone rapid economic growth since
the seventies. The construction industry (CI) has played an important role in the Malaysia economic
growth. The industry has been consistently contributed approximately 3% to 5% of the national Gross
Domestic Product (GDP) (Shari, 2000, Takim, 2005). The growth in construction has been increase from
6% to 15% since the seventies until middle nineties. (Raftery et al, 1998, Shari, 2000). There are two
main sector for construction projects in Malaysia; public and private sector. Most of the public sector
projects are handled by Public Works Department (PWD). In Malaysia, the Construction Industry
Development Board (CIDB) is a body with the main function of developing, improving and expanding the
Malaysian construction industry and is involved with the public and private sectors project development
(Takim, 2005). This empirical study on the time and cost overruns of construction project in Malaysia is
undertaken because of a lack of previous study of the causes of cost and time overrun in the Malaysian
construction industry. Chan (2001) investigated the relationship between times and cost of building
projects using Bromilow’s model. The study concluded that the Malaysian public sector project contract
costing RM 1 million takes about 269 days to complete and produced a best predictor of average
construction time as T=269C0.32. This study does not represent the whole of Malaysia, because the data

used was based on one state out of fourteen states in Malaysia. Other studies undertaken have
investigated factors affecting construction labour, construction safety and constructability
implementation by Abdul Kadir et al. (2005), Abdul Aziz & Hussin (2003) and Nima et al. (2001)
respectively. Adnan & Morledge (2003) and Takim, (2005) conducted research related to success factors
in Malaysia construction industy. In view of the importance of the construction industry to the
Malaysian economy, the study of the time and cost overruns in the Malaysian construction industry and
the factors influencing these overruns has become important. These influencing factors can come from
all project stakeholders in the construction development such as owners, contractors, consultants,
financial and government authorities. To establish the extent of time and cost overruns of construction
projects in Malaysia, the first primary data collection were conducted in early 2005. This paper presents
an evidence-based analysis on the time and cost overruns of the public and private sectors projects in
Malaysia based a questionnaire survey conducted in early 2005 in Malaysia as part of a PhD research
schedule for time and cost overrun in of construction projects. The premise for the paper is that a
construction project can be regarded as successful when the project is completed on time, within
budget and with appropriate technical performance or quality (William, 2003). According to Chimwaso
(2000), projects completed within budget are rarely found compared with cases of projects with cost
overrun. Cost and time overruns are major problems in project development and are regular features in
construction industry especially for developing country. This makes projects costly for the parties
involved in construction especially for contractors and clients. The same holds for time overrun. Impact
of project time overrun or delays for contractors include increased costs, reduced profit margin and
battered reputation. Clients are also affected by additional charges and professional fees and reduced
incomes because of late occupancy. As part of the factors responsible for delays in construction
completion, Ng et. al. (2001) noted that most contractors assume that duration set by the client is
realistic and prepare their bid accordingly.

Objective Of Study

i. To identify the factors that contributes to the delay in government construction project.
ii. ii. To study the effect of delays in government construction project.
iii. Give an ideas how to solve the problem.

Significant Of Research

This research was done for the purpose to fulfil several of significant which considered important to
refer for the parties that will involve in construction especially the contractor. These significant
involve: i. To study the factor that cause delay in construction project and produce the statistical
result. The result of the study will be the guideline to the parties that involve, so that it will avoid
any source that will happen in their project. ii. To suggest several factors that can avoid the delay in
construction project. The factor can be study for the parties that involve in construction to reduce
the risk of delay in construction project. iii. To study the effect of the delay in construction project.
The result of the study will give good information to the involve parties to prepare fuiltime work and
responsibilities to ensure every activities will be done according to the plan.
Category of Client Related Delays

There are several studies by numerous researchers identified the factors of client related delays.
According to Chabota et al (2008) identified the economic problems, contract modification
contribute to causes of delays. Murali et al (2007) identified the owner interference, slow decision
making, unrealistic contract duration and requirements imposed contribute to causes of delays. N.k.
Fong et a! (2006) identified the client type, lack of timely making decision, unrealistic imposed
contract and client initiated variations contribute to causes of delays. Essam (2006) identified the
change or variation orders, delay caused by owner, oral change orders by owner contribute to
causes of delays. Sadi A. et a! (2006) identified the delays to furnish and deliver the site to the
contractor by the owner, change orders by owner during construction owner, late in revising and
approving design documents by owner, delay in approving shop drawings and sample materials,
poor communication and coordination by owner and other parties, slowness in decision making
process by owner, conflicts between joint-ownership of the project, unavailability of incentives for
contractor for finishing ahead of schedule, suspension of work by owner contribute to causes of
delays. Abdalla et al (2002) note the owner interference, slow decision making by owner, unrealistic
impose contract duration contribute to causes of delays. G. Sweis et al (2007) identified the delays in
site preparation, delay in contractor's claims settlements, work suspension by the owner, too many
change orders from owner, slow decision making from owner, inference by the owner in the
construction operations, delay in progress payments by the owner. 12 There are a lot of factor that
were get from previous study about the factor cause the delay in construction project. Most of the
researchers agree that are the factor that always happen relate to the client: i. Inference by the
owner in the construction operations change orders by owner during construction owner. ii. Poor
communication and coordination by owner and other parties. iii. Slow decision making from owner.
By considering the case study refer in Kuantan, there are other factor that also important that
causes the delays construction: i. Late to furnish and deliver the site to the contractor by owner. ii.
Delay in contractor's claims settlements. iii. Suspension of work by owner. iv. Unavailability of
incentives for contractor for finishing ahead of schedule. v. Late in revising and approving design
documents by owner.

tegory of Labour Related Delays Group of labour related delays, one of the groups of causes
identified earlier, was commonly cited in the literature that caused of delays. Several factors that
related to labour can be distinguished and categorized under the principle cause. The methodology
of establishing the factors of this group of causes was similar to that of the material related delays.
Several studies identified the factors of labour related delays. According to Murali et al (2006)
identify the labour supply and labour productivity that contribute to causes of delays. Abdalla et al
(2002) identify the labour supply and labour productivity that contributes to causes of delays. Yaw et
al (2003) identify the labour shortages that contribute to causes of delays. Sadi A. et a! (2006)
identify the shortage of labours and low productivity level of labours that contribute to causes of
delays. G. Sweis et a! (2007) identify the shortage of manpower (skilled, semi-skilled, unskilled
labour) and presence of unskilled labour that contribute to causes of delays. There are a lot of factor
that were get from previous study about the factor cause the delay in construction project. Most of
the researchers agree that are the factor that always happen relate to the labour: i. Labour supply.
ii. Labour productivity. By considering the case study refer in Kuantan, there are other factor that
also important that causes the delays construction: i. Shortage of manpower (skilled, semi-skilled
and unskilled labour). ii. Presence of unskilled labour.

Category Of Material Related Delays

Several studies identified the factors of material related delays. According to Hyunjoo et al (2007)
identify the material delivery were identified as factors to causes of delays in construction project.
Murali et al (2006) identify the quality of material and shortage in material contributed the cause. P.
A. Koushki et al (2004) revealed that the material selection duration contribute to causes of delays.
G. Sweis et al (2007) identify the shortage of materials, delay in materials delivery contribute to
causes of delays. A.A. Aibinu et a! (2002) identify the material management problems that
contribute to causes of delays. 13 Abdalla et al (2002) identify the poor quality of material and
shortage having high influence to causes of delays. Murali et a! (2007) identify the shortage in
material and quality of material that contributes to causes of delays. Sadi A. et a! (2005) identify the
shortage of construction materials in market, changes in material types and specifications during
construction, delay in material delivery, damage of sorted material while they are needed urgently,
delay in manufacturing special building materials, late procurement of materials and late in selection
of finishing materials due to availability of many types in market that contributes to causes of
delays. G. Sweis et al (2007) identify the shortage of materials, delay in materials delivery,
modifications in materials specifications that contribute to causes of delays. There are a lot of factor
that were get from previous study about the factor cause the delay in construction project. Most of
the researchers agree that are the factor that always happen relate to the material: i. Shortage of
construction materials in market. ii. Unpunctually material delivery. in. Poor quality of material in
construction. By considering the case study refer in Kuantan, there are other factor that also
important that causes the delays construction in Malaysia: i Modifications in materials
specifications. ii. Changes in material types and specifications during construction. iii. Identify the
material management problems.