CHALLENGES FACING ARCHITECTS IN PRACTICE IN NIGERIA

BY

AWOLERE OLUWAFUNMILAYO OLUBUNMI

JUNE, 2011
TABLE OF CONTENTS

List of Tables and Figures

1.0 Introduction
2.0 Overview of challenges facing the building and construction
sector in Nigeria
2.1 Macro-economic challenge:
Effect of global recession and explosion of real estate
sector
High cost of building materials
3.0 Challenges facing architects in practice in Nigeria
3.1 Lack of understanding of the duties and work process
of the architect
3.2 Non- payment of professional charge based on
standardized scale of fees for architects
3.3 Corruption
3.4 Organizational challenges
40 Conclusion
Bibliography
LIST OF TABLES
Table 1 Nigerian Architect’s Scale of Fees (1960- till date)

LIST OF FIGURES
Figure 1 Sector contributions to GDP at current basic prices
Figure 2 Sector contributions to GDP at current basic prices (billions)

Figure 3 Average factory gate prices per 50kg bag of cement (Naira)
Figure 4 Organogram of AD Consulting
Figure 5 Approach view of the building
Figure 6 Approach view of the building
1.0 INTRODUCTION

Professional practice is the application of an expert body of knowledge to solve certain

social and personal needs. In architecture, professional practice is concerned with creating value

for the customer; such value has come to mean conceiving designs whose structures last longer,

use energy more efficiently and are cost efficient to owners.

Architectural practice involves combining the art, science as well as the management

components; applying them to design and building construction under an organized system or

business to make profit.

However, as with any human enterprise, several factors set themselves as barriers to an

architectural practice achieving its laudable aim. Some of these challenges are a direct fall-out of

prevailing economic climate; while many of them are recurrent issues that have plagued

architects in practice for years. These issues both the external and internal challenges that

architects in practice face will be duly explored in this write-up.

2.0 OVERVIEW OF CHALLENGES FACING THE BUILDING AND

CONSTRUCTION SECTOR IN NIGERIA

Conducting business affairs has never been more arduous than is currently being

observed in the Nigerian economic landscape. The impact of the global economic melt-down in

2007 while ricocheting through Nigeria’s economic landscape with a seemingly mild fervency

compared with other nations in the Western world; was still impactful enough to be felt across

the business sectors that form a major part of Nigeria’s GDP. Indeed the building and

construction sector has not been immune to the scourge.

2.1 Macro-economic challenge

Effect of global recession and explosion of the real estate sector

Following the crash of the Nigerian stock market in 2008 due to the global recession a shift in

focus was witnessed with more investments being credited to the real estate sector. Instructively,

the real estate sector now constantly generates more economic activity than other sectors,

particularly of note is the huge disparity between the real estate and building/construction sector

under which architectural firms are grouped. What the illustration clearly shows is that the

building construction sector has experienced only a marginal increase in trade volume during the

period under review indeed, we see that it’s growth has been falling lax in comparison to the real

estate sector for years. While some pockets of architectural practices may have profited privately

from this statistic, the building and construction sector as a whole has been worse off for it.
Figure 1: Sector contributions to GDP at current basic prices

Source: Central Bank of Nigeria, Annual Report 2008

The direct effect of this explosion in the real estate sector is that clients now prefer to

hand over their design and construction services in a holistic package to the real estate

development companies who can in some cases also help them access mortgage financing

thereby shunning independent building and construction services professionals. Architectural

firms have been susceptible to this phenomenon as the veritability and credibility albeit need for

having an architect design and supervise one’s building project has been debased in the sight of

unwily clients who prefer the packaged deal. Hence the slow and steady rut of many architectural

firms in Nigeria today.

High cost of building materials

According to the Global Asset Allocation report for Nigeria (2010), inflation levels reached an

average of 13% in the first quarter of 2010.The impact of this on the building sector is seen in the

fluctuation of prices of building materials. The major culprit is cement which in addition to

making up to 70% of the materials used in

Figure 2: Sector contributions to GDP at current basic prices (billions)

Source: Cement Manufacturers Association of Nigeria (CMAN), Ministry of Commerce and

Industry, ARM Research

building projects; the cement industry also happens to be an oligopolistic market influenced

predominantly by 2 active players Dangote Group and Lafarge. These and other factors combine

to make cement prices unpredictable and subject to constant change leading to increased project

costs and constraints in project planning as it is well known that when cement prices go up, the

cost of building also rises.

At the basic level, an unforeseen spike in material cost will lead to a variation in the

project sum, if we extend the scenario further, it may lead to conflict and distrust of the

professionals involved by the client, at the most extreme it may lead to the end of the

professional’s contract.

In the case of a professional services contract, the architect may be left with unpaid professional

fees. If the architect is also the project manager in a turn – key contract, where the project

manager’s contract is terminated, the situation becomes even more precarious.

Figure 3: Average factory gate prices per 50kg bag of cement (Naira)

Source: ARM Research

The relatively high cost of importing alternative building materials used in modern construction

methods such as pre-fab building elements, hydraform , other green technology forms and their

non-availability locally as dictated that cement remains the life blood of the Nigerian building

and construction sector.

3.0 CHALLENGES FACING ARCHITECTS IN PRACTICE IN NIGERIA

3.1 Lack of understanding of the duties and work process of the architect

The National Building Code is the regulatory instrument for the building and construction

industry in Nigeria. Established on 2nd August 2006, the code was evolved to tackle the

following existing conditions of our cities and environment.

a. The absence of planned towns and cities.

b. Incessant building collapse, fire infernos, and the abuse of the environment.

c. Lack of reference standards towards development plans.

d. Use of non professionals and quacks for building projects.

e. Use and application of untested products.

f. Lack of maintenance provisions.

“Accordingly, this noble document is expected to be the guide for all activities directly or

indirectly within the building industry. The National Building Code shall be used by all

professionals, institutions, government offices, suppliers of building products, manufacturers and

all relevant players within the building industry in particular and the built environment in

general.” Arc M.B Bello (FNIA), Chairman, Building Research & Standards Committee, 2006.

Thus, every professional within the building and construction industry is thus expected to own a

copy of the NBC and apply the work processes and documentation outlined in all their

supervisory projects;

“The professional architect shall endeavor to put to use the compliance forms with a view

towards ensuring a better building project supervision.” National Building Code (NBC).
 However while the code also states that, “They shall also encourage and advice their

numerous clientele, contractors, suppliers and players within the building industry.” This is not

always the case in many projects especially when it comes to dealing with clients. In the first

place many individual clients frown at and even refuse to sign necessary legal documentation as

outlined under the provisions for a design and or supervisory contract. Many architects register

that this is a common occurrence; while tact should be applied in dealing with such an issue,

some clients refuse out rightly to formalize transactions with architects. Perhaps the awareness

level of the NBC has not reached a major portion of the Nigerian public although observations

show that the problem has been with implementation or enforcement. Whatever the case, this

phenomenon has seen many design commissions which should have been handled by duly

certified architects turned over to quacks; who charge lower fees no questions asked; likely

contributing to the spate of failed buildings in the country.

Secondly, where the client commissions an architect to supervise his project only, the

level of professionalism and experience of the building contractor becomes a critical element

which according to the NBC must be monitored and documented by the architect using

“Compliance forms”, but where the contractor happens to be a brother, uncle or friend of the

client, it becomes more tricky and sometimes downright difficult for the architect to maintain

order and efficient work process.

3.2 Non - payment of professional charge based on standardized scale of fees for

architects

Arc. Tunde Kuye in his paper Basic Information for (Building) Construction Works– The

Architect’s Role (2007)stated “ I am sure that if the client is made to know what goes into
producing the design and realization of a building project, he/she will not toy with the meager

fees that consultants charge. But it is incumbent on the architect to establish him (her) self as

deserving of his/ her fees based on information for construction works.”

While this should be the case, a succinct appreciation of the architect’s creative, intuitive

and therefore detailed work, the opposite is the experience of many architectural firms today

particularly small and upcoming practices. Clients indeed toy with the “……….meager fees that

consultants charge”. One might add especially architects.

Following the April 2010 call by architects for a review of the government regulated 1996 scale

of fees; the NIA adopted a new scale.

Table 1: Nigerian Architect’s Scale of Fees (1960- till date)

1960 - 1975

NIA Scale based on RIBA sliding scale ranging between 10% - 6% of the Contract Sum.

1975 and 1978 Scale

Up to 250,000.00 - 4.50%

250,001 - 1,000,000.00 - 4.25

1,000,001 - 2,000,000.00 - 4.00

2,000,001 - 5,000,000.00 - 3.50

5,000,001 - 10,000,000.00 - 3.00

10,000,001 - 20,000,000.00 - 2.50

Over 20,000,000.00 - 2.00

1992 and 1996 Scale

Up to 5 Million - 4.75%

Next 10 Million - 4.50

Next 15 Million - 4.25

Next 45 Million - 4.00

Next 75 Million - 3.50

Next 150 Million - 3.00

Next 200 Million - 2.50

Next 500 Million - 1.75

2009 ACAN Scale

Up to 250 Million - 4.75%

Next 500 Million - 4.50

Next 750 Million - 4.25

Next 2,250 Million - 4.00

Next 3,750 Million - 3.50

Next 7,500 Million - 3.00

Next 10,000 Million - 2.50

Next 25,000 Million - 1.75

However, the reality today is regardless of the upward review standardized scale of fees,

a major portion of clients were not adhering to the previous scale, claiming they were too high

and not commensurate to the amount of work that the architects execute. This forced many

architects to adopt personalized mode of charging for their professional services and in some

cases these fees are even further discounted all in the bid to keep the client happy. In the end, the

architect finds ever more difficult to fulfill the terms of agreement with the client which may lead

to frayed relationships and contract termination. This view was highlighted in Arc Roti Delano’s
March 2010 paper, Architects New Remuneration and Commensurate Professional

Services: the Architects Duties and the Clients’ Rights “We also need to appreciate our value

and the services we render by not giving unreasonable discounts on fees just to get the job. Light

fees will make it difficult for practices to reinvest in information technology, CPD and quality

systems all of which are ultimately essential for the level of service that can be provided to

clients.”

While the new scale of fees is being applauded in the architectural community, its

success is dependent on how well architects’ practices across board can insist on adherence in

the face of dwindling client base.

3.3 Corruption

As with every other sector in the country, bribery and corruption has eaten deep into the fabric of

the Nigerian psyche; the building and construction sector and indeed architectural practices are

not safe from the onslaught. There is almost nothing one can get done within the civil service or

government parastatals without Naira exchanging hands and the disease has even infiltrated the

quarters of private companies and multinationals.

Not only does this demeaning practice destroy national image, giving bribes in other to

obtain a service or win a building service contract is a violation of the NIA Code of Professional

Conduct and Ethics whose first principle is Professional Integrity. Under clause1.1 of the

document, (Honesty, Integrity, Faithfulness, Impartiality and Responsibility) it states that,

“Members shall be honest in all their dealings, act with impartiality and responsibility and

uphold the credibility and dignity of the profession at all times in their professional and business

activities.”
Furthermore under clause 1.3, it says, “Members shall not offer or take bribe in connection with

their professional and business activities.”

Bribery and corruption makes it more difficult for an architect to perform his professional duties

in a credible manner with dignity and integrity. On the other hand, it means professional design

services and supervision contract will be awarded to the highest bidder; either an indigenous

firm/ consortium with close affliations with weighty political figures who may not necessarily

have the merit to execute or foreign firms who lacking allegiance to the country and professional

body are capable and sufficiently motivated to engage in such unpatriotic behavior.

Other challenges include;

a. Proliferation of non-professionals and quacks.

b. Proliferation of project management approach as opposed to traditional method.

c. Increased competition due to an increase in the number of practices contending for the

few jobs.

d. Infringement of allied professions on the roles of the architect

e. Lack of a strategic plan for the profession of architecture in Nigeria, with intended to

increase its sphere of influence and service delivery of individual firms.

3.4 Organizational challenges

Many of the issues challenging architectural practices in Nigeria today are hinged on the

manner those practices are structured i.e the organizational structure of the businesses. These

issues can be classified under 3 broad headings; management related, operations related and

technology related.
Management related

Currently, when existing organizational structures of the architectural practices are

juxtaposed with volatile economic factors, changing trends viz-a-viz advancements in

information technology, globalization of construction many fall erringly short.

Since the aim of any business is to survive and make profit, the cost of running the business must

be provided for in its proceeds. There is therefore the urgent need to run the office efficiently

with the most stringent cost to the business’ purse.

The difficulty of applying conventional ideas about effective management to the practice of

architecture in order to achieve more flexible responses to change is also a dire concern. Other

managerial challenges confronting architectural practices as organizations include;

a. Inability of the Principals to establish the appropriate management philosophy and

strategy.

b. Inability to plan for the future of the practice lacking knowledge of sound business and

management principles and or faulty organizational set-up.

c. Need to reorganize the architectural firm in line with its objectives as well as reorganize

staffing policies to reflect scale/type of projects, range of services provided and reduce

employee turnover.

d. Also the need to carve market share by balancing specialization with profitability is a

critical element of the challenges architectural practices face.

Operations related

Some of the operational issues affecting architectural practices as organizations include;

 a. Non-anticipation and inadequate response to trends and new developments e.g internet or

new softwares that gradually and speedily produce changes requiring strategic re-

direction from participating firms

b. They also appear to be changing rapidly due to increased globalization of the industry;

shifts in competition to international and global levels;

c. Changes in target users and user experience dictating varied or personalized mode of

service delivery.

d. Conservative and static nature of architectural practice owners who take decisions based

on assumptions, rather than adopting strategies that fit their characteristics and goals.

e. Poor quality of architecture education curriculum means schools churn out students

lacking local context of practice and knowledge of relevant softwares which burdens

architectural firms with the time and cost constraints of training them before they can be

absorbed into their organizational structure.

f. Nigeria’s epileptic power supply has resulted in high business operating cost evidenced

by high average monthly fuel expenditure of about N22, 000 or more.

g. The architecture profession revolves around providing value for the client, so whatever

affects the client’s purse ultimately affects the practice. Inability of client’s to access

mortgage facilities for their projects and the high interest rates where they are available

inhibits continuance or commencement of construction projects which seriously threatens

the existence architectural firms.

Technology related

In the actual project management and construction supervision, the barriers to advanced

technological input in practice include;

a. Unfamiliarity of both citizens and authorities with IT performance and under-developed

economy.

b. High cost of telecommunication i.e. internet and web-based facilities and poor integrated

telecoms network.

c. Fear of virus attack and susceptibility to cybercrimes.

d. Lack of necessary regulations and poor monitoring of e-business in the country.

e. Poor communication lines and lack of cooperation amongst different units and divisions in

industries and organizations.

f. High cost of maintenance and low return on investment.

4.0 CONCLUSION

Without doubt the challenges faced by architects in practice are critical to the success of

the firms and can make the difference between a high performance and mediocre results. While

the external macro-economic challenges exist within a larger socio-economic framework, a lot

can be done in raising the standards of architectural education;

a. By providing a more robust training grid containing local context of practice and

particularly knowledge of the use of relevant industry software should be offered in

the tertiary schools’ curriculum.

Government should display a more concerted effort at eliminating the incursion of quacks in the

building and construction industry through a solid regulatory and implementation framework.

b. The building approval fees and process should also be reviewed; in the UK, the

approval process takes about 6 steps from land purchase but in Nigeria it is a

whopping 16 rigorous steps spanning a long period.

Internally, Principals should approach their practice from a more global view; they should

endeavor to appropriate the available knowledge on business management models and strategies

that are crucial for the architectural practice today. Business plans, market research, financial

planning e.t.c are not far off terms from the architectural business today.

The NIA also has a lot to do in creating wide scale awareness on the challenges such as

proliferation of quacks, National Building Code, effects of housing policies, as it affects the

architectural practice and also seek necessary remedies from government. It should also sensitize

the public on the work process of the architect and the scale of fees.
 The NIA should also be at the forefront of crafting a “unified and strategic plan” for the

survival of the profession and future sustenance in Nigeria and then going forward to champion

its inclusion relevant government policies and programmes.

BIBLIOGRAPHY
1.ARM Research, (2010). Global Asset Allocation report for Nigeria 2010.
2.Bello, M.B, (2007). Seminar paper on the National Building Code presented to Nigerian
Institute of Architects, Lagos Chapter.
3. Delano, Roti, (2010). Architects New Remuneration and Commensurate Professional
Services: The Architects Duties and the Clients’ Rights. A Seminar paper presented to the
Nigerian Institute of Architects, Lagos State Chapter.
4.Enhancing Financial Innovation and Access (EFInA), and FinMark Trust (2010). Overview
of the Housing Finance Sector in Nigeria.
5.Ezeh, G.N, Chukwudebe, G.A, Ezeh J.C, (2011). Impact Assessment of Barriers Facing E-
Management of Engineering Projects in Nigeria in International Journal of Applied
Engineering Research, Vol. 6, Number 2, pp 183 – 192.
6.Oluwatayo, A.A, (2009). A Critical Study of the Practice Characteristics of Architectural
Firms in Nigeria. A PhD research thesis submitted to the Department of Architecture,
Covenant University, Sango Otta, Ogun State, Nigeria.
7.Kuye, Tunde (2007). Basic Information for (Building) Construction Works– The
Architect’s Role. A Seminar paper presented to the Nigerian Institute of Architects, Lagos
State Chapter.
8.Nigerian Institute of Architects (NIA 2011). Code of Professional Conduct and Ethics.