Comprehensive Study about Sri Lankan Contractors’ Estimation Practice

Abstract

The “estimating process” is a significant element within the circle of construction due to the lack of financial resources available. Tender cost estimating in Sri Lankan construction industry requires extensive knowledge and expertise. This research proposed a best estimation practice to the Sri Lankan construction industry. This study expects it will fulfil the research gap and uplift the Sri Lankan contractors’ current estimation practice. The aim of this research is to suggest solutions to address the limitations of current estimating practice prevailing in the Sri Lankan construction industry comparing to the proposed best estimation practice. This research has been conducted through literature reviews, questionnaire survey and interviews. The questionnaire included sixteen steps identified as the best estimation practice through literature review and interviews, with a view to find out the current estimation practice of Sri Lankan contractors. The analysis of data revealed although they are following all sixteen steps, they couldn’t able to gain the maximum benefit of those steps owing to some limitations. Therefore in order to find out the solutions for those limitations Seventeen interviews were carried out. Among those, nine interviews were from contractors and eight interviews were from consultants. These conclude that limitations and solutions identified by the contractors were similar with those identified by the consultants. In the comparison of their opinions the degree of agreement on most of the factors between them is high. It shows consultants’ understanding about contractors’ works are quite high. The study recommended that both contractors and consultants give more attention to the cost estimating process to manage the projects in a better way and to hire qualified technical staff in order to obtain an accurate estimate. Contractors were requested to keep databases and to make relevant changes and modifications in their existing estimating practices in their future projects.