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Please use this identifier to cite or link to this item: http://hdl.handle.net/123456789/6225

Title: Management of contractual claims in the Road Construction Industry in Ghana
Authors: Kyerefo, Adu-Boateng Samuel
Issue Date: 1-Aug-2014
Abstract: In the last three decades, Government of Ghana has injected huge resources to the construction and maintenance of rural roads infrastructure across the country with the aim of developing the rural economy and reduce poverty (World Bank, 1998; World Bank, 2001; The IDL Group, 2011). Despite its proven importance, it is not uncommon to see these road construction projects failing to achieve its objectives due to claims. Claim normally arise when one party believes that in some way, by action or inaction, the other party has breached contractual obligations or expectations, and requests a monetary and/or time compensation. Settlement of claims in many of our contract resulted to projects delay, additional cost, financial burden on the government, damage to relationships, stoppage of the work for years (abandonment), and making it difficult to hand over the infrastructure for the public use hence, waste of resources and leading to other project not been implemented. The main aim of this study is to develop strategies to enhance the management of contractual claims in the road construction industry in Ghana. Specific objectives are to identify from literature the sources, and, the requirements for successful claims in the road construction industry. The research carried out was exploratory and case studies were chosen as most appropriate research strategy to collect data on claims through reviewing project documentation and to get as much information on claims from road construction industry in Ghana. The case study project was selected to test validity of the claims factors identified from the related literature and applicable to general projects in Ghana. Methodology is of inductive and reference, generalized, concepts and theories identified from literature to present informative evidence on claims in relation to objectives. The results showed that, the sources of claims often lie buried within the project team. Claims could be avoided if contracting parties had a better relationship, clearer understanding of the contract clauses, disputes can be handled at a lower level hence, Alternative Dispute Resolution. The results of the survey also point to the fact that claims have adverse effect on economy. Major recommendation was that parties to the contract be aware that, their actions and inaction can become claims. It is therefore, the need to change in attitudes, behaviour and procedures in order to decrease claims in the road construction industry in Ghana. These can be achieved through developing capabilities of the contractors and contract managers to manage the new contract in current global shift and also projects must be properly appraised and managed effectively to minimise these claims.
Description: A thesis submitted to the Department of Building Technology, Kwame Nkrumah University of Science and Technology in partial fulfilment of the requirement for the award of Master of Science in Procurement Management,June,2014
URI: http://hdl.handle.net/123456789/6225
Appears in Collections:College of Architecture and Planning

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