Analysis of Cost Overruns in Construction Projects: A Case Study of Residential Developments

Thesis Abstract

Abstract
Construction projects are inherently complex endeavors that often face challenges related to cost overruns, which can have significant implications for project success and stakeholder satisfaction. This thesis presents an in-depth analysis of cost overruns in construction projects, with a specific focus on residential developments. By examining the factors contributing to cost overruns and their impact on project outcomes, this research aims to provide valuable insights for project managers, developers, and other industry stakeholders. The study begins by introducing the background of the research, highlighting the prevalence of cost overruns in construction projects and the need for a deeper understanding of their causes and consequences. The problem statement underscores the significance of addressing cost overruns to ensure project success and financial sustainability. The objectives of the study are outlined to guide the research process, followed by a discussion of the limitations and scope of the research. A comprehensive literature review is conducted in Chapter Two, which examines existing research on cost overruns in construction projects. The review covers various factors contributing to cost overruns, such as inaccurate cost estimation, design changes, poor project management, and external influences. By synthesizing the key findings from previous studies, this chapter lays the foundation for the empirical investigation of cost overruns in residential developments. Chapter Three details the research methodology employed in this study, including data collection methods, sample selection criteria, and data analysis techniques. The chapter outlines the research design, data sources, and analytical framework used to investigate cost overruns in residential construction projects. By adopting a mixed-methods approach, the study aims to provide a comprehensive understanding of the factors influencing cost overruns. In Chapter Four, the findings of the research are presented and analyzed in detail. The empirical results shed light on the primary causes of cost overruns in residential developments, highlighting the most significant factors contributing to project budget deviations. The chapter also examines the impact of cost overruns on project performance, stakeholder relationships, and overall project success. Finally, Chapter Five presents the conclusions drawn from the study and provides a summary of the key findings and implications for practice. The research findings offer valuable insights for project managers, developers, and policymakers seeking to mitigate cost overruns and improve project outcomes in residential construction. Recommendations for future research and practical implications are also discussed to guide future endeavors in this area. In conclusion, this thesis contributes to the existing body of knowledge on cost overruns in construction projects by focusing on residential developments. By identifying the root causes of cost overruns and their implications for project success, this research aims to inform more effective cost management practices and enhance the overall performance of residential construction projects.