Structural equation model for investigating factors affecting delay in Indian construction projects

Abstract

The rapid growth of the Indian construction sector over the last few decades and recurring failure in on-time delivery highlight the need for a systematic analysis of the factors influencing delay. A theoretical structural equation model representing the influence of four key latent variables on project delays in the Indian construction industry has been developed. Data collected from a questionnaire survey and personal interviews, with 77 valid responses from clients, contractors and designers or architects, were used to further formulate and analyse the model. The results of the structural equation model suggest that client’s influence is one of the most significant factors affecting time performance on Indian projects. Client’s influence is also found to be one of the key contributing factors resulting in lack of commitment and contractor’s inefficiency in the project. Lack of efficient construction planning plays the second key role in adverse time performance. While the effect of lack of commitment on contractor’s inefficiency is highly significant, neither of these two factors has any direct impact on time delay in projects. Contrary to the notion that the contractor is the only party responsible for delay in construction projects, the results clearly highlight the importance of the role of clients and technical expertise in planning in achieving satisfactory time performance on Indian projects. It is hoped that these research findings will contribute significantly to the Indian construction industry’s efforts in addressing the root causes of delay and enhancing the time performance on projects.