Material Wastage on Cost Overrun in Construction Projects: An Impact Study Carried Out in Sri Lanka

Abstract

Cost overruns are a prevalent issue in construction industry, and material wastage is recognized as one of the key contributory factors of it. Against that background, this research investigates the impact of material wastage on cost overruns in construction projects experienced in Sri Lanka. It strives to achieve the objective of providing insights into the relationship between material wastage and cost overruns and identifying potential strategies to mitigate its impact. The research methodology developed in this concern involves a comprehensive literature review to establish a theoretical premise of material wastage and cost overruns in construction projects. The data about the issue was collected through surveys, interviews, and site inspections of a series of ongoing and completed construction projects in Sri Lanka. Later, the data was analyzed statistically to determine the extent of material wastage and its impact on cost overruns. The findings achieved thereby reveal a significant correlation between material wastage and cost overruns in construction projects in Sri Lanka, highlighting that inefficient project planning, inadequate supervision, lack of skilled labour, and ineffective procurement practices contribute to material wastage, which ultimately leads to cost overruns. The financial implications of this situation are substantial and affect project budgets and profitability. Based on the research findings, the paper strives to make recommendations for strategies to mitigate material wastage and reduce cost overruns in construction projects. These include improved project planning and scheduling, enhanced supervision and training, effective procurement and inventory management, and adoption of sustainable construction practices.