Assessment of Construction Claims and its Effect on the Performance of Building Construction Projects: The Case of Commercial Bank of Ethiopia, Building Construction Management Department

dc.contributor.advisorBahran Asrat (PhD)
dc.contributor.authorAbiy Aderaw
dc.date.accessioned2025-08-06T12:20:00Z
dc.date.available2025-08-06T12:20:00Z
dc.date.issued2024-10
dc.description.abstractConstruction claims are a prevalent issue in the building construction industry, negatively impacting project time, cost, and quality. This study aimed to examine the effect of construction claims on building projects undertaken by the Commercial Bank of Ethiopia's Building Construction Management Department (CBE-BCM Department) and recommend effective claim prevention and resolution methods. Specifically, the study investigated the root causes, types, and effects of claims on project performance. Three categories of claim causes were considered: contractors' defaults, client's or consultants' defaults, and external factors. Literature review and surveys were employed to gain insights into how construction claim analysis influences project performance at CBE's projects. Additionally, interviews were conducted with top management of the CBE-BCM department to gather in-depth information on the subject. A census survey was conducted with all 55 professional project team members of the CBE-BCM Department. A high response rate of 96.36% (53 returned questionnaires) was achieved. Data analysis involved both descriptive and inferential statistics using SPSS version 27. Descriptive analysis included frequency, percentage, mean, standard deviation, and Relative Importance Index (RII) values. Pearson's correlation and multiple regression analysis were used to examine relationships between variables. The study revealed a positive correlation between all sources of construction claims and project performance. The analysis of beta coefficients indicated a gradient of influence. Contractor defaults (β = 0.409) exhibited the strongest negative impact on project performance. Whereas, external factors (β = 0.293) and client or consultant defaults (β = 0.109) influenced project performance to a lesser extent. Consequently, these factors predicted 39.2% of the variance on project performance. By combining the analysis of beta coefficients, descriptive statistics, correlation results, and qualitative findings, the study provided a comprehensive understanding of how claims affect construction project performance at the Commercial Bank of Ethiopia. Finally, the study concludes by recommending the implementation of effective claim prevention and resolution strategies to enhance project performance efficiency within cost, time, and scope constraints. Keywords: Construction claims, Contractors’ default, Client’s default, External factor, Project Performance
dc.identifier.urihttps://etd.aau.edu.et/handle/123456789/6138
dc.language.isoen_US
dc.publisherAddis Ababa University
dc.titleAssessment of Construction Claims and its Effect on the Performance of Building Construction Projects: The Case of Commercial Bank of Ethiopia, Building Construction Management Department
dc.typeThesis

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