Critical Success Factors and Success Criteria of Construction Projects: the case of Ethiopian Electric Power

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Date

2017-08-20

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Addis Ababa University

Abstract

The study was conducted on Power Transmission, Substation and Power Generation projects undertaken by Ethiopian Electric Power. The objectives of the study were to describe the critical factors that affect success of construction projects and describe criteria for success of EEP’s construction projects; and further to formulate focus areas needed to improve performance of construction projects. Both quantitative and qualitative data were used for the study; and the data for the study were collected using self-administered questionnaires having both close-ended and open-ended questions from 128 respondents from parties involved in the project implementation (project stakeholders) viz.; Client/Owner’s, Consultant’s, Contractor’s and Sub-Contractor’s project managers, construction managers, supervisors/engineers and workers. And analysis of the data was made using SPSS version 20. The study described the top ten critical success factors of EEP’s construction projects: (1) Selecting inappropriate contractors, (2) Right of Way Problems, (3) Lack of top management support, (4) Absence of Sufficient or well allocated resources, (5) Poor site management and supervision, (6) Ineffective project planning and scheduling, (7) Organizational culture (decision making), (8) Commitment to project goals and objectives, (9) Delay in design approval and (10) Delay in progress payments; and further the study described criteria for success of construction projects: (i) Meeting Predetermined standards (quality), (ii) Functionality of Project outputs, (iii) On Budget Completion, (iv) Timely Completion (v) Stakeholders’ acceptance and (vi) Benefits to the implementing organization. The study recommended that all project stakeholders have to pay greater attention and make their focus on factors related to them out of those described as the top ten critical success factors by prioritizing in their order of importance to bring projects to a success; that means Clients to pay higher attention on: Selecting inappropriate contractors, Right of Way Problems, Having top management support, Poor site management and supervision, Organizational culture (decision making), Commitment to project goals and objectives, and Delay in progress payments. Consultants to pay higher attention on: Selecting inappropriate contractors, Poor site management and supervision, Commitment to project goals and objectives, Delay in design approval and sub-contractor’s capacity as an additional critical success factor. And Contractor have to pay higher attention on: Having top management support, Absence of Sufficient or well allocated resources, Ineffective project planning and scheduling, Commitment to project goals and objectives, and in addition the sub-contractor’s capacity to as one of the main critical success factors. And further the study recommended that project stakeholders to give high attention to the order in which the six success criteria are described to determine EEP’s construction projects’ success

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Keywords

Project Success, Critical Success Factors, Success Criteria

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