Recent Advances in Civil Engineering and Mechanics

Delay in Government Project Delivery in Kedah, Malaysia

AZLAN OTHMANa AND SYUHAIDA ISMAILb
a
Faculty of Civil Engineering
Universiti Teknologi Malaysia Johor Bahru
81310 Johor
MALAYSIA
irazlan@gmail.com
b
Razak School of Engineering and Advanced Technology
Universiti Teknologi Malaysia Kuala Lumpur
54100 Kuala Lumpur
MALAYSIA
syuhaida_ismail@yahoo.com http://www.syuhaidaismail.com

Abstract: - In construction industry, delays have become a norm and global phenomenon which led to many
negative effects of lawsuits, claims, loss of productivity and revenue and also contract termination between all
parties involved, and Malaysia is of no exception. All of these factors retard the development of construction
industry, where in Malaysia, only 46.8 percent of the public sector projects completed within the budget whilst
70.3 percent of governments contract were delayed or abandoned for more than three months. Hence, this paper
aims at appraising the delay factor of Government project delivery in Kedah, Malaysia through its objectives of
identifying of the main causes of construction delay, determining the impact of delay factors in the construction
project and ranking the delay factors in government project delivery. A structured questionnaire was distributed
to various respondents from within the Kedah State, which include the contractors, clients and consultants.
Findings from this study revealed that the most contributing factors and categories to delays were delays in sub
contractors works, ineffective planning and scheduling, delay in approval shop drawing and sample materials
and difficulties in financing project. This serves as a guide to the relevant parties to mitigate and alleviate the
delay in construction project particularly in government projects in the State of Kedah, Malaysia.

Key-Words: - Delay, government project, project delivery, Kedah, Malaysia

1 Introduction reveals that the performance of activities undertaken

In todays world of globalization, the construction
industry plays an important and integral role to
enhance the nations competitiveness. Malaysian
Government has moved forward under the 10th
Malaysia Plan (2011-2015), which has been
formulated with various new approaches towards
becoming a high income and high productivity
economy, in line with the New Economic Model. 52
high-impact projects worth of RM63 billion has
been identified for the implementation. To
effectively deliver these projects, the government
has recognized the need to improve their capacity
and competency [1].
In a construction project, completion on time is
extremely important because time is essential and
time is money. Although timely completion is seen
as one of the important criteria of the project
success, late completion is a common problem in
construction projects not only in Malaysia but
worldwide as reported by [2], [3] and [4]. An
example of project delayed in Malaysia as reported
by [5] is the Bakun hydro project that experienced a
huge delay in completing civil works, which in turn
caused delays to the implementation of the electro-
mechanical works. According to [6], an audit
ISBN: 978-960-474-403-9
in relation to the Bakun project were not satisfactory
as there was delay in four major packages. The
contractor concerned was allowed one to three
extension of time ranging from 555 to 1403 days.
Refinery and Petrochemical Integrated Development
(RAPID) was also reported delay by [7], which is
supposed to start operation in 2016 but can only
operate in early 2017 and many more.
Delay gives rise to disruption of work and loss
of productivity, late completion of project, increased
time related cost, third party claims and
abandonment or termination of contract [8]. In many
cases, construction projects suffer from delay will
cause suspension, which means stoppage of works
directed to the contractor by a formal form from the
client. However, delay when slowing down of work
does not mean entire stop to the project. There are
many causes, which must be identified in order to
control delay in the early stages of the project.
Delay could be a result of low performance of
contractor during construction, inadequacies or
defaults in early planning and design, poor owner
administration and involvement in construction,
problem in supervision, restriction in government
laws and regulations or obstructions at the site [9].
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 Recent Advances in Civil Engineering and Mechanics

Any of these factors could cause problems in the identify the most crucial delay factors that need to
progress of the construction project leading to be addressed especially in the government project
delay. delivery. These challenges are the motivating factor
As Malaysia moves from developing country in this study because completion on time of
status towards a developed and industrialized nation construction projects is in the interest of all
as envisaged in Vision 2020, her construction construction parties involved including the public.
industry needs to respond to the changes in Hence, this paper aims to appraise the delay
construction demand. This has resulted in rapid factor of Government construction project delivery
implementation of several large-scale infrastructure in Kedah. To achieve the aim of this paper, the
and building projects. However, Malaysian objectives identified are (1) To identify the main
construction industry also faced many problems causes of construction delay in Kedah; (2) To
which affect this industry in terms of manpower, determine the impact of delay factors in the
quality of productivity, time and payment issues construction project; (3) To rank the delay factors in
especially during the closing of final accounts in the government project delivery.
construction projects [10]. Like other developing
countries, such as Saudi Arabia [11], Libya [12] and
Nigeria [13] construction industry has suffered 2 Causes of Delay in Construction
many setback in terms of completion of the project
at stipulated period within the predetermined sum.
Project
According to [18], delay has been acknowledged as
[14] find out that only 46.8 percent and 37.2 percent
one of the most common, costly, complex and risky
of public sector and private sector projects out of
problems. Many studies have been conducted to
259 projects in Malaysia were completed within the
identify and overcome the causes of delay in
budget respectively with an average cost deviation
construction projects both locally and
of 2.08 percent. It is also revealed that 90 percent
internationally. [11] identify 56 causes of scheduled
of MARA large construction project experienced
delay that existed in Saudi Arabia construction
delay since 1984 due to time and cost overrun [15].
projects, where the most important causes of delay
[16] also report that in 2005, about 70.3 percent of
were approval of shop drawings, delays in payment
417 governments contract in Malaysia were
to contractors and the resulting cash problems
delayed or abandoned for more than three months.
during construction, design changes, conflict in
Since majority of the construction projects in
works schedules of subcontractors, slow decision
Malaysia experienced time and cost overrun, which
making and executive bureaucracy in owners
in turn lead to the abandonment of project, the delay
organizations, design errors, labour shortage and
would definitely jeopardize the governments
inadequate skill labours.
agenda or policies in setting up their vision to
A decade later, the delay causes have increased
develop projects for the public interest and also
to 73 [19]. The delay factors were grouped into
retard the national progress with regards to
nine major categories with different levels of
investment.
importance to different parties. These groups
The state of Kedah is not exceptional from the
comprise of owner/client related, consultant related,
construction delay. Based on SKALA JKR Kubang
contractor related, project related, design team
Pasu Kedah, the Proposed Technical Laboratory for
related, material related, labour related, external
Politeknik Sultan Abdul Halim Muaadzam Shah
related and plant/equipment related delay factors.
Jitra, has been delayed for four months. Its original
The results from the survey indicated 76 percent
completion was in July 2010, whereas the project
from the contractor and 56 percent from the
only completed in November 2010. Another project,
consultant contributed between 10 percent and 30
under Kementerian Kesihatan Malaysia (KK3) at
percent from the original duration. The survey also
Tunjang Kedah, was also delay by 9 months [17].
found that 45 out of 76 projects are considered
Several crucial questions that have been addressed
delay. The main causes of delays related by the
to understand these phenomena are: what are the
owners are slowness in decision-making, delay in
main causes of the delay and what are the impacts
progress payments, late in reviewing and approving
and consequences that affect the relevant parties
documents and change orders during construction.
especially the users? Hence, in this study, there is a
Causes of delay related to consultants are mistakes
need to identify the causes of actual delay, the
and discrepancies in design documents, inflexibility
frequency and extent of delay in the government
(rigidity) of consultants and late reviewing and
project and also ranking the delay factors to
approving documents and delay in producing design
mitigate the problems and delays from recurring in
documents, whereas delays contributed by
construction projects. This will eventually assist
contractor are late procurement of materials and
various parties involved in the construction industry
difficulties in financing project.
to determine the severity of delay, improve their
On the other hand, [10] identify and classify 60
involvement in the construction phase while
causes of delay which occurred frequently in
avoiding the cause of delay. It is also important to
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 Recent Advances in Civil Engineering and Mechanics
medium and large projects and considered severe in
small projects on public water and sewage projects.
There are many important causes of delay related to
owner involvement, contractor performance and the
early planning and design of the project. The most
important causes were financial problems, delay in
making decision and approval by the owner,
difficulties in obtaining permit of work, poor
coordination and communication and changes in the
design and scope.
In Lebanon, [20] reveal that there are 60 causes
of delay which has been grouped into 10 major
groups and the cause of delay from the survey
showed that project management issues, financial
issues and contractual matters were the most
important factors that contribute to the delay. In
Jordan, a quantitative analysis on 130 public
building projects has identified that the main causes
of delay in construction projects were related to
weather, site conditions, late deliveries, user
changes, designers, economic conditions and
increase in quantities [3]. Meanwhile, [21] who
conduct a survey to identify the factors contributing
to the delay and cost overrun in Ghana groundwater
construction projects concluded 26 factors were
responsible for project delays and cost overrun,
which then been listed and ranked. The results of
the study indicate that the main causes of delay and
cost overrun includes poor contractors
management, poor technical performance,
escalation of material prices, improper material
procurement and difficulties in payment by the
agencies.
In Egypt, [22] conduct a survey to identify the
causes of delay in the construction projects. The
focus was from the point of view of the owners,
consultants and contractors. The researchers
identify 32 causes of delay, which were grouped
into nine and contributed to the causes of delay in
the construction industries in Egypt. These groups
were financing, contractual relationships,
scheduling and control, materials, equipment,
manpower, changes, rules and regulations and
environmental related causes. In the construction
industry in Malaysia, [23] highlights the main factor
for causing delay is financial followed by
coordination problem. According to [16], 17.3
percent of Malaysian public sector projects in 2005
were considered sick projects with more than three
months delay or been abandoned. [24] on the other
hand claims that 80 percent of the government
projects in Malaysia were delayed. [25] indicate that
90 percent of MARA (Malaysian Government
Agency) projects exceeded scheduled of the
completion dates. Table 1 shows theoretical
framework on causes of delay in construction
industry some of the countries in the world
including Malaysia.
Referring to the studies conducted by various
researchers as highlighted in the problem
ISBN: 978-960-474-403-9
statements, delay during construction is vital and
problems arising from this delay should be
mitigated. [26] summarize some of the survey
conducted by various researchers to determine the
causes of delay in construction industries, which is
also regarded as a theoretical framework to be
further used and improvised as a conceptual as a
part of key findings of this study. However, the
major causes or ranking of the delay may differ
across the region. The ranking of the delay when
identified will assist in alleviating or mitigating the
delay factor throughout the construction process.
3 Research Methodology
This paper is mainly focused on the government
project delivery in Kedah. Kedah state is chosen for
this paper because no study has been conducted
previously and furthermore, the State Government
also has the social responsibility towards the
development of the nation for the interest of the
public at large. This is also to accomplish the
Malaysian Governments vision to achieve high-
income nation in 2020. The cause of delay factors
was conducted on both ongoing and completed
projects because the data is easily accessible.
Questionnaire surveys were designed based on the
causes of construction delays, where the ranking of
the delay factors are carried out based on various
categories of key players in the construction industry.
The categories involved in the distribution of the
questionnaires are the clients, consultants (architects,
quantity surveyors and engineers) and contractors
because they are directly involved in the government
project.
This paper began with a comprehensive literature
review on the construction delay phenomena.
Questionnaires were designed based on the issues as
highlighted in the problem statement to address the
objectives of the paper. Initially, a pilot study was
conducted on 15 respondents, which is 10 percent of
the 150 respondents in this paper. The Cronbach
Alpha results generated via pilot study to test the
reliability of questionnaires were recorded between
0.820 and 0.946 which indicates that the
questionnaire survey were appropriate and reliable for
the actual survey.
Subsequently, the data was analyzed via Statistical
Package for Social Science (SPSS) Version 17 using
Relative Importance Index (RII). A focus group with
five experts in construction industry was selected to
validate the data. All the experts agreed that the
findings of this paper were acceptable as the delay
factors of the government project delivery in Kedah.
4 Findings
The findings, as illustrated in Table 1, show that the
delay factors for the government project delivery in
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 Recent Advances in Civil Engineering and Mechanics

Kedah are categorized into seven groups of causes, Conflicts in sub-

namely client/owner, consultant, contractor, contractors schedule in Contractor 0.706 20
execution of project
manpower, material, equipment and external factors. Owner /
Three important respondents, who are clients/owners, Poor coordination 0.702 21
Client
consultants and contractors, have evaluated causes of Delay in approving shop
Owner /
delay under those seven groups. The highest Relative drawing and sample 0.688 22
Client
Importance Index (RII) is the delay, which has been materials
Effects of subsurface
caused by sub contractors work giving the value of conditions (soil, high External 0.688 23
0.804. This high percentage was due to the water table, etc)
inexperienced and incompetent subcontractor to carry Frequent change of sub-
Contractor 0.685 24
out the work. contractors
In addition, the top three ranking of delays was Poor coordination Contractor 0.683 25
Shortage of equipment Equipment 0.681 26
dominating by the contractor which is common in
Poor communication and Owner /
construction industry elsewhere that is due to 0.679 27
coordination Client
ineffective planning and scheduling of project as well Poor qualification of
as difficulties in financing the project. Slowness in contractors technical Contractor 0.679 28
decision-making process and delay in progress staff
Low productivity level of
payment caused by client/owner are also in the top Manpower 0.679 29
labours
list with the RII of 0.75. Other causes contributing to Owner /
the delay are shortage of labours, late procurement of Suspension of works 0.675 30
Client
material and late material delivery, escalation of Improper construction
Contractor 0.675 31
material prices and delay in approving major changes methods implementation
in scope of work are in the top 10 list as illustrated in Poor quality of
Material 0.673 32
construction materials
Table 1. Price fluctuation External 0.673 33
Working permit of
Manpower 0.669 34
Table 1. Ranking of delay factors for overall sample labours
(n = 96) Delay to furnish and Owner /
0.667 35
Related deliver the site Client
Delay Factor Rank / Low productivity and
Category RII Equipment 0.665 36
Description Priority efficiency of equipment
Item
Delay in sub contractors Late in approving design Owner /
Contractor 0.804 1 0.662 37
work documents Client
Ineffective planning and Damage of sorted
Contractor 0.779 2 materials while they are Material 0.660 38
scheduling of project
Difficulties in financing needed urgently
Contractor 0.779 3 Equipment breakdown Equipment 0.660 39
project
Shortage of labours Manpower 0.777 4 Unclear details in drawing Consultant 0.647 40
Slowness in process of Owner / Conflicts between
0.758 5 Contractor 0.648 41
making decision Client contractors
Delay in progress Owner / Delay in performing final
0.752 6 inspection and
payment Client External 0.648 42
Delay in material delivery Material 0.736 7 certification by a third
Late procurement of party
Material 0.735 8 Inadequate details in
materials Consultant 0.644 43
Escalation material prices Material 0.733 9 drawing
Delay in approving major Poor communication Contractor 0.642 44
Consultant 0.731 10 Insufficient data
changes in scope of work
Change orders by owner Owner / collection and survey Consultant 0.640 45
0.729 11 before design
during construction Client
Delay in site mobilization Contractor 0.729 12 Inadequate contractors
Contractor 0.638 46
Shortage of construction work
Material 0.721 13 Lack of high technology
materials in market Equipment 0.638 47
Mistakes and mechanical equipment
discrepancies in design Consultant 0.715 14 Low level of equipment
Equipment 0.638 48
documents operator skills
Changes in material types Inadequate experience of
Consultant 0.633 49
and specifications during Material 0.715 15 consultant
construction Late in revising design Owner /
0.631 50
Delay in manufacturing documents Client
Material 0.715 16 Slow mobilization of
special building materials Equipment 0.631 51
Delay in producing design equipment
Consultant 0.713 17 Delay in obtaining permit
documents
Incompetent or unskilled of work from local External 0.627 52
Manpower 0.713 18 council
labours
Rework due to errors Conflicts between
Contractor 0.706 19 Consultant 0.617 53
during construction consultant and design

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 Recent Advances in Civil Engineering and Mechanics
engineer three from the lists causes of delay. Others
Conflict between contributing factors of delay are from owner/client
Contractor 0.615 54
consultant and owner
manpower and material, giving the RII values from
Delay in performing
Consultant 0.604 55 0.740 to 0.810.
inspection and testing
Poor coordination Consultant 0.596 56
Unreliable suppliers Material 0.596 57 Table 2. Ranking of delay factors from different
Poor communication Consultant 0.588 58 categories
Global financial crisis External 0.577 59 Owners / Clients perspective
Lack of experience of Related
Owner / Delay Factor Rank /
owner in construction 0.573 60 Category RII
Client Description Priority
projects Item
Changes in government Ineffective planning and
External 0.573 61 Contractor 0.726 1
regulations and laws scheduling of project
Delay in providing Delay in sub
services from utilities Contractor 0.719 2
External 0.571 62 contractors work
(water, electricity, Traffic control and
telecommunication) External 0.711 3
restriction at job site
Delay in performing Difficulties in financing
Consultant 0.563 63 Contractor 0.696 4
testing project
Accident during Escalation material
External 0.563 64 Material 0.689 5
construction prices
Inadequate project Shortage of labours Manpower 0.681 6
Consultant 0.560 65
management assistance Mistakes and
Traffic control and discrepancies in design Consultant 0.674 7
External 0.560 66
restriction at job site documents
Conflicts between joint- Owner / Poor qualification of
0.546 67
ownership Client contractors technical Contractor 0.674 8
Personal conflicts among staff
Manpower 0.546 68
labours Changes in material
Conflict, war and public types and specifications Material 0.674 9
External 0.506 69
enemy during construction
Neighbours problem External 0.500 70 Price fluctuation External 0.674 10
Unused advanced Contractors perspective
Consultant 0.490 71
engineering software Related
Hot weather effect on Delay Factor Rank /
External 0.458 72 Category RII
construction activities Description Priority
Item
Delay in approving
Owner /
shop drawing and 0.846 1
Client
On the other hand, Table 2 shows the top 10 sample materials
Change orders by owner Owner /
ranking causes of delay from the clients/owner, 0.846 2
during construction Client
contractor and consultants perspective. Ineffective Slowness in process of Owner /
planning and scheduling of projects are in the top list 0.840 3
making decision Client
giving the RII value of 0.726 followed by delay in Delay in sub
Contractor 0.834 4
sub contractors work. Other factors contributing to contractors work
the delay are traffic control and restriction of job site, Delay in producing
Consultant 0.829 5
design documents
difficulties in financing, escalation of material prices, Mistakes and
shortage of labours, mistakes and discrepancies in discrepancies in design Consultant 0.829 6
design documents, poor qualification of technical documents
staff, changes in material type and specifications Escalation material
Material 0.823 7
prices
during construction and price fluctuation. The RII
Shortage of labours Manpower 0.817 8
values are ranging from 0.670 to 0.710. The Shortage of
owners/clients dominated top three ranking from the construction materials Material 0.817 9
contractors view giving the RII of 0.840 that in market
contribute to the delay in the construction. They are Delay in material
Material 0.817 10
delay in approving shop drawing and sample delivery
Consultants perspective
materials, change orders by owner during Related
construction and slowness in process of making Delay Factor Rank /
Category RII
Description Priority
decision. The contractor also agreed that delay due Item
sub contractors work caused the delay to the project. Difficulties in financing
Contractor 0.859 1
Others are related to consultant, materials and labours project
Delay in sub
which give the RII values ranging from 0.810to contractors work
Contractor 0.841 2
0.830. Survey also showed that difficulties in Ineffective planning and
financing project by the contractor gave the highest Contractor 0.826 3
scheduling of project
value of RII that is 0.859, which records the top most Shortage of labours Manpower 0.812 4
rank from the consultants view and dominates top Delay in progress Owner / 0.776 5

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 Recent Advances in Civil Engineering and Mechanics
payment Client occurring occasionally. Hence, these findings is
Slowness in process of Owner / which have been listed in the top 10 ranking is very
0.771 6
making decision Client
useful and will enable relevant parties to focus and
Rework due to errors
Contractor 0.771 7 mitigate or alleviate the delay in construction project
during construction
Late procurement of particularly in government projects in the State of
Material 0.771 8
materials Kedah, Malaysia.
Delay in site
Contractor 0.759 9
mobilization
Frequent change of sub-
Contractor 0.741 10
contractors 6 Acknowledgement
The authors would like to express their sincere
Based on the survey results as shown in Table 1 gratitude to Ministry of Education Malaysia,
and Table 2, there are two main common causes of Universiti Teknologi Malaysia (UTM) and the
delay, which has been agreed by the professional Research Management Centre (RMC) of UTM for
respondents, which are delay in sub contractors work providing the financial support for this paper to be
and shortage of labours. However, other causes of published. This study is financed by the Grant for
delay cannot be neglected since they are still in the Research University (GUP) of UTM for research
top 10 causes of delay which also contribute to the funding under Cost Centre No.
delay in the construction industry. While in Table 3, Q.K.130000.2540.03H87.
the most frequent impact due to construction delay is
time overrun, giving the frequency value of 32.3
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