EFFECT OF PROCUREMENT SYSTEMS ON THE DELIVERY OF REFURBISHMENT PROJECTS IN LAGOS STATE, NIGERIA

Abstract

Refurbishment project is an important division, rapidly growing in the construction sector, which were initiated due to many reasons and some of which includes; obsolescence and physical deterioration, technological, social, location, legal and visual reasons. Selection of procurement method becomes a very important task for project managers as employing inappropriate procurement system may affect the delivery of the construction project. The aim of this study was to assess the procurement systems for the delivery of refurbishment project with a view of improving the performance of such projects. The study employed qualitative and quantitative research methods. Data for the research were collected through the use of questionnaire and semi structured interview. Semi-structured interview was initiated to procurement officer to collect data on Forty (40) refurbishment projects in the selected part of Lagos state (Lekki, Ajah and Ikeja) carried out in by the Ministry of Works, Power and Housing, Lagos State within the time frame 2007 to 2015. Questionnaire were administered to two hundred and twenty seven (227) construction professionals, who were directly involved in the execution of refurbishment projects done within the period of study out of which 174 were fully completed and returned for analysis. Mean Item Score and Kruskal-walis test were used for ranking the types of procurement system used and impact of procurement system used for the delivery of refurbishment project projects as well as determination of significance difference of the data collected. Also, paired samples t-test was employed to determine the effect of the various procurement systems on the cost and time delivery of refurbishments project executed within the study area. Findings of this study revealed traditional method with mean score (MS=4.51), design and build (MS= 4.42), construction management (MS=4.23), management contracting (MS=4.13) were the most used procurement systems in the delivery refurbishment project. However, uncertainties associated with construction projects with mean score (MS=4.51), increase in price of construction materials (MS=4.38), dispute (MS=4.26), materials shortage/late delivery (MS=4.16), technical incompetence’s (MS=4.09) and corruption (MS=4.00) were the foremost challenges uncounted when employing various procurement systems. Design and build procurement system has significant impact on timely delivery of the projects with mean score (MS=4.58),client’s satisfaction(MS=4.44),cost of the project(MS=4.33), integration of design and construction(MS=4.32) and quality of the project (MS=4.29). Furthermore, better cost and time performance can be experienced when design and build and direct labour method of procurement was adopted for the delivery of refurbishment project. The study finally recommends; training courses, seminar to ensure selection of appropriate procurement systems.