THE IMPACT OF EFFECTIVE COMMUNICATION ON THE PERFORMANCE OF A CONSTRUCTION PROJECT A CASE STUDY OF UGANDAS CONSTRUCTION INDUSTRY By Tayebwa Duncan

11/MMSPPM/25/098

Supervisors

Dr. Kyohairwe Stella Uganda Management Institute

Mr. Namanya Anaclet Uganda Management Institute

A Proposal submitted to the Higher Degrees Department in partial fulfillment of the requirements for the award of a Masters Degree in Management Studies (Project Planning and Management) of Uganda Management Institute

May, 2012

CHAPTER ONE 1

INTRODUCTION 1.1 Introduction

Effective communication has been considered an important variable in the construction industry (A. Mehta, 2008). Indeed, effective communication does not only enhance production and completion of projects within stipulated time and cost , but also acts as a temperate on which the project should be managed from its adoption to implementation. This proposal commences by offering background of the study, and then sets out the scope and objectives that inform the study. It goes on to outline the methodology that will be used, followed by the layout of the study, and finally a summary of the intended project layout 1.2 Background of the study

1.2.1 Historical review Communication is as old as itself; man has always wished to talk and join with others (J.T Butler, 1983). As the world has developed and made `smaller through means of communication, so the systems used have become more sophisticated and complex. J.T Butler further stresses that communication is of vital importance in the controlling, coordinating and motivating people, and all through history, it has played its part. He cited examples, which included Nelsons immortal message at Trafalgar, a message that steered many to great effort; and Churchills memorable speeches during the second Great War, when millions received hope and encouragement through a medium of radio. Construction communication, within an organizational context, is to convey an instruction to influence the actions/behaviours of others, or may involve an exchange of, or request for information during a construction project. (www.csi-s.org/News/moll1999.htm). It is a means by which information is exchanged between different parties. In construction, communication is a means by which operatives and other members of the building team are linked in order to achieve the central goal (A. Mehta, 2008).

Communication usually involves the transfer of information, a generic term that embraces meaning such as knowledge, processed data, skills and technology. Communication within project-based environments presents special challenges. This is especially true within the construction industry, where interaction tends to be characterised by unfamiliar groups of people coming together for short periods before disbanding to work on other projects. According to M.E.L Hoezen, 2011 the efficiency and effectiveness of the construction process strongly depend on the quality of communication. Hoezen cited mainly four reasons why improvements in communication are needed. The first reason is that an improvement in the communication within the building team, in project teams and between project manager and contractors, could reduce failure. Second, more open communication at all levels could lead to innovations and better technical solutions. Third, communication improvements in early phases of projects would positively influence the quality as perceived by all stakeholders involved. Finally, improved communication during the briefing might lead to better decision-making, for example less haste in moving to solutions and better ways of looking at the requirements first. Communication is essential for the success of any business activity; it enables an organization, and is an integral part of the construction process (A. Mehta, 2008). Beyond this argument, any improvement in communication can improve an organizations operating effectiveness. Good communication within an organised construction project setting will greatly improve motivation levels and improve the processes involved. Conversely, inadequate communication can result in a demotivated and lead to problems in construction. (Christopher A. 2003). 1.2.2 Theoretical review A number of theories have been developed over time. Rory Burke, 2003 urges that communication is essentially the interpersonal process of sending and receiving messages. He identifies the key components of communication process as including; the sender, who encodes the message and transmits the message, and the receiver, who decodes and interprets the message. To close the gap, the receiver then feeds back a response to the sender. Burke indicated that communication can be transmitted in many forms; formal or informal, written or verbal, planned or ad-hoc. Under this theory, the choice of the medium influences the impact of the message. 3

Burke further stresses that the use of written communication should be encouraged because it addresses misinterpretation and forgetfulness. However, the theory also urges that verbal communication works best for complex messages that are difficult to convey, may need explanation and where immediate feedback may be required. This research will be under pinned by this theory. Another communication theory is the Cognitive Dissonance theory which was developed by Leon Festinger (1957). He argued that the experience of dissonance (or incompatible beliefs and actions) is aversive and people are highly motivated to avoid it. In their efforts to avoid feelings of dissonance, people will avoid hearing views that oppose their own, change their beliefs to match their actions, and seek reassurance after making a difficult decision. Another communication theory is the Coordinated Management Theory which was introduced in the late 1970s by W. Barnett and Vernon Cronen. Theorists in Coordinated Management of Meaning (CMM) believe that in conversation, people co-create meaning by attaining some coherence and coordination. Coherence occurs when stories are told, and coordination exists when stories are lived. CMM focuses on the relationship between an individual and his or her society. Through a hierarchical structure, individuals come to organize the meaning of literally hundreds of messages received throughout a day. Burgoon, et al., 1989 developed the expectancy violation theory and examined how nonverbal messages are structured. The theory advances that when communicative norms are violated, the violation may be perceived either favourably or unfavourably, depending on the perception that the receiver has of the violator. Violating anothers expectations may be a strategy used over that of conforming to anothers expectations. EVT focuses on how people react to other people's behavior and nonverbal communication and the expectancies people have for an interaction based on the other person's behavior and their relationship to them. People have certain expectancies about other people's behaviors in their interactions with them. People derive these expectancies through interaction, culture and social norms. The expectancies people have for others lead them to make predictions about other people's behavior when they interact with them. Violations of these expectations cause them to feel either positive or negative arousal based on how they receive the deviation 4

There is also the organizational information theory which argues that the main activity of organizations is the process of making sense of equivocal information. Organizational members accomplish this sense-making process through enactment, selection, and retention of information. Organizations are successful to the extent that they are able to reduce equivocality through these means. Last but not least, there are structurational theorists who argue that groups and organizations create structures, which can be interpreted as an organizations rules and resources. These structures, in turn, create social systems in an organization. Structurational theorists argue that groups and organizations achieve a life of their own because of the way their members utilize their structures. Power structures guide the decision making taking place in groups and organizations. 1.2.3 Conceptual review The study will be based effective communication as the independent variable and performance as the dependent variable with dimensions of time cost and quality (workmanship). Effective communication involves both sending and receiving messages, which involves ensuring timely and appropriate generation, collection, dissemination, storage and ultimate deposition of project information (Project Management Institutes Standards Committee, 1996, pg 103). There are various ways through which effective communication can be achieved. For instance in construction, it be achieved through oral instructions, written instructions, drawn details, letters, symbols, and signposts (J. T. Butler, 1982). These mentioned generic forms of communication assists personnel in an organization or construction industry to send and receive information. Therefore, effective communication is by large a tool used to express facts, ideas and opinion between individuals for good relations. According to the annual report 2005/2006 of the Construction Industry Development Board (CIDB) in South Africa, performance is measured interms of contracts completed within budget, time and degree of client satisfaction (Workmanship). Construction projects are complex and risky, requiring the active participation of all parties involved. Co-operation and co-ordination of activities through interpersonal and group communication are essential in ensuring the project is completed successfully (http://en.wikipedia.org/wiki/Communication). 5

Poor communication, lack of consultation and inadequate feedback are to be found as the root cause of defects in many constructed works. Poor co-ordination and communication of design information lead to design problems that cause design errors. Given that construction is such a fragmented, dynamic and disparate sector, the challenges of communicating effectively are greater than in most other production environments. Contractually driven relationships, conict and a lack of mutual respect and trust, all combine to hinder open communication and render the role of the project manager extremely demanding and problematic. Nevertheless, addressing communication in the industry can be seen as a principal towards enabling and improving the industry in the future. A research by J. Katende et al. 2008 cites lack of coordination as on the factors hindering construction growth in Uganda. This fact is further affirmed by J. Onen el al. 2009 in which poor coordination and poor relationship with employees are cited as factors hindering the growth and competitiveness of Local Contractors in Uganda. All these are key ingredients of effective communication that must properly be addressed if high level performance level is to be achieved. 1.2.4 Contextual review Whereas effective communication has been emphasized as one of the tools in enhancing service delivery for a given construction project, the trend today in Uganda is has taken the opposite direction. In light of the above perceptions on effective communication, it is assumed that every party on a construction project ought to communicate irrespective of their positions that is individual being the information transmitter or receiver. In a nutshell, most professions acknowledge communication as a vital central tool through which information can be delivered to the rightful recipients in an organization. Indeed, through effective communication, the workers especially in construction industry find it easy and are highly productive to work together and this ensures that the product is completed in the specified time, cost and quality. For example, instruction and orders are carried out as expected once they are well understood and acted upon rightly. Hence, the working day of every individual is characterized by continuous flow of information through orders, requests, directives and 6

conversation. Short of the mentioned forms of communication, it would be difficult to complete the assigned task within the stipulated time frame. Failure to realize the completion of a project in its specified time, at the estimated cost with the utmost quality definitely means poor project performance. This research therefore will assess the impact of lack of effective communication during construction process and recommend a way forward for different stakeholders normary involved in the construction process. 1.3 Statement of the problem

There is evidence that effective communication has not been given enough attention by stake holders in the construction industry in Uganda and in particular those involved on a particular project (J. Katende el al. 2008 & Onen el al. 2009). This has created many loopholes in information dissemination and has undermined performance of construction projects. If this trend is not reversed, it likely to continuously reduce on service delivery (performance) and this hinders the growth and development of the construction industry in Uganda. It is from such backdrop, that the intended study will aim at assessing the impact of effective communication in a construction project. This thesis accounts for the merits of effective communication so as to bridge the gap created by ineffective communication in construction projects. 1.4 General objectives of the study The major objective of the intended study is to identify how effective communication impacts on performance in executing a construction project.

1.5

Specific objectives In order to achieve the above mentioned objective, the study will; 1. Examines whether there is a relationship between effective communication and timely completion of projects 2. Assess the impact of effective communication on the overall cost of the project 3. Assess the impact of effective communication on the workmanship of a construction project. 7

4. Analyses and draws recommendations and conclusions on the impact of effective communication on the general performance of a construction project, drawing on the case study findings. 1.6 Research questions 1. What are the common forms of communications commonly in execution of a construction project? 2. What is the relationship between effective communication and timely completion of a construction project? 3. What is the impact of effective communication on the overall cost of a construction project? 4. What is the impact of effective communication on the workmanship/quality of a construction project? 1.7 Hypotheses of the research 1. There is a relationship between communication and timely completion of the project 2. Effective communication has a great impact on the overall project cost 3. Effective communication has a great impact on the workmanship of a construction project.

1.8

Conceptual framework Independent Variables 2 Effective communication The sender 3 The receiver 4 The message The medium 5 Feed back Dependent Variables 6 Project Performance Timely Completion 7 Completion with in estimated cost 8 Quality of the product/Workmanship 9

Variations/Changes Conflicting parties Legal framework Misunderstanding Geographical location Intervening Variables Source: Adopted from R. Burke 2003, J.T Butler 1983, but modified by the researcher 1.9 Significance of the study

From the information that will be gathered, the importance of effective communication on execution and delivery process will be made known to all stakeholders especially those involved at the supervisory level of construction work. The project will also illustrate how ineffective communication negatively affects project performance based on the facts gathered. In addition, the intended project will be useful in the management of construction companies and their professional status since some of the stakeholders on a construction projects hardly offer attention to communication. Whereas previous studies have done little in attempting to make these stakeholders understand the impact of effective communication on the general performance of the Project, it is from such background that the intended study seeks identify and recommend the relevance nexus the merits of effective communication in a construction industry.

1.10

Justification of the study

Most stake holders on a construction projects do not give due attention to communication. Previous studies have done little in attempting to make these stake holders understand the impact of effective communication on the general performance of the Project. The research therefore seeks to put forth general solutions to the impact of ineffective communication and made known to all stake holders 1.11 Scope of the study

The study will examine the efficiency and effectiveness of communication as an aid to construction project performance in Uganda but with a special attention given to a few construction sites within the

regions of Kampala and Wakiso Districts. This is because these two Districts house most of the large and medium construction firms in the Country. 1.12 Operation definitions

The key concepts in this research include; effective communication which is the independent variable, and performance the dependent variable with dimensions of time cost and quality/workmanship. For the purpose of this research, effective communication will mean an exchange of information between different parties on a construction project. On the other hand, performance will be regarded as having been able to accomplish project objectives within a stipulated time and cost while meeting the required standards.

References 1. A Study into the Factors hindering development of the construction industry in Uganda. Jack Katende1, Henry Alinaitwe, Dan Tindiwensi 2. An Analysis of the Competitiveness of Local Construction Contractors in Uganda Samson. J Ocen1, Henry Alinaitwe2, Dan Tindiwensi
3. Project Management for Construction Fundamental Concepts for Owners, Engineers, Architects

and Builders by Chris Hendrickson, Department of Civil and Environmental Engineering, Carnegie Mellon University, Pittsburgh, PA l52l3 Copyright C. Hendrickson 1998 10

4. Project Management , planning and control Techniques, fourth Edition, Rory Burke 2003 5. Management principles and Guidelines, Thomas N. Duening, J.M Ivancevich Third Edition, 2003 6. Elements of Administration for Building Students, Third Edition John Butler 1983
7. Kearsley, G. (1999). Cognitive dissonance. Theory into Practice (TIP) Database [online]

Available: http://www.gwu.edu/~tip/festinge
1. Construction industry standardization and effective communication Kotz BG1, Verster JJP2

and Berry FH3 1. Department of Quantity Surveying and Construction

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