Timely Identification of Claims in Construction Industry: A blessing in Disguise

Abstract

Construction industry represents one of the important pillars of the national industry and contributes to a handsome portion of the gross domestic product and jobs at national and international level. The construction industry builds mega infrastructure projects around the world. These mega infrastructure projects change the dynamics of the cities and provide thousands of job opportunities. It has been reported that the construction industry faces a huge number of claims, especially during the project execution. These claims lead to various problems including project delays, cost overrun and effects the quality of the projects. This research aims to identify the causes of delay factors and the impact of claims on construction projects. A qualitative study has been carried out for this research and data was collected by questionnaire from the experienced respondents working on various mega infrastructure projects. The results show that timely identification of claims should be done on the early stage of the project, timely information to the client, continuous communication between parties, and adoption of effective claim management process will support to sort out the delay issues on a timely manner.