WHOLE LIFE COSTING PRACTICES EMPLOYED BY DESIGN TEAMS OF BUILDING CONSTRUCTION PROJECTS IN ABUJA, NIGERIA

Abstract

The Bureau for Public Procurement (BPP), which was established by the Public Procurement Act of 2006 to oversee the procurement of public projects through inter-alia the application of Value for money (VfM) practices, has admitted that “…lowest initial price may not equate to lowest cost over the operating life of the item procured”. The application of Whole Life Costing (WLC) in building projects is still limited and there is a need to explore the application of WLC among members of the design team. This study aimed to evaluate WLC practice by design team members of housing projects with a view to enhancing value for money spent on housing. The objectives of the study include determining the extent to which WLC has been practiced, and examining the drivers and barriers of the use of WLC by design teams. The study adopted a quantitative research design that was based the use of questionnaires. A convenience sample of relevant professionals in construction firms who could be accessed electronically was built up through a snowballing approach, which eventually yielded a total of 63 professionals. The data thus gathered was analyzed using descriptive statistical method (Mean Item Score and Standard Deviation) and the results were presented using tables and charts. The study found that construction professionals tend to consider only construction cost as representative of overall project costs, often to the exclusion of other important types of costs. Availability of data and clients specifically requesting the use of WLC are two key factors that drive WLC use. Use of WLC is however hindered by absence of WLC standards, use of WLC is non-mandatory for public projects, and insufficient end-user training. This study has recommended urgent up-skilling of construction professionals for WLC use through Continuing Professional Development (CPD) seminars, redesign of tertiary education construction curricula, and amendment of existing laws that currently ignore WLC. These can only be achieved through joint effort of the Bureau of Public Procurement (BPP), trade associations such as the NIQS and statutory bodies such as the QSRBN, COREN and CORBON. Further research in this area could be carried out on the effect of type of project on the practice of WLC in building construction projects.