Dispute causation in the Swaziland construction industry

Abstract: This research investigated dispute causation in construction projects in Swaziland, and also examined the methods that can be used to minimise construction disputes as well as methods of alternative dispute resolution to resolve construction disputes in projects in the Swaziland construction industry. The data used in this study were derived from both primary and secondary sources. The secondary data for the study were derived from the review of literature. The primary data were obtained through the use of a structured questionnaire which was distributed to client (government), contractor, subcontractor and consultant representatives (quantity surveyor, civil engineer, architects, project managers and mechanical and electrical engineers). Only organisations registered with the Ministry of Public Works and Transport in Swaziland and other professional bodies were surveyed. A total of 90 questionnaires were distributed, while 63 were returned, representing a response rate of 70 per cent. These data formed the basis of this study. Frequency analysis and various statistics procedures were used to analyse the returned questionnaire data. Findings emanating from the survey revealed that the major causative factors of construction dispute in Swaziland construction projects are client-related factors, contractor-related causes, design-related factors, contract-related causes; project-related factors and external-related factors. Findings on the effects of disputes in construction projects in Swaziland were the loss of productivity, loss of company reputation, loss of business viability, and loss of profitability. However, with respect to the cost of disputes, the findings revealed that hidden costs, indirect costs, and direct costs were major factors regarding the cost of disputes. In terms of dispute minimisation or dispute avoidance, strategies such as supply chain management, partnering, and alliancing have been identified from the study. From the findings it was discovered that the respondents felt that arbitration and the Dispute Resolution Board are the most efficient, effective and preferred methods to resolve disputes in construction projects. The results of this study contribute to the body of knowledge and provide valuable insights into the actual causes of disputes in Swaziland construction projects and ways to minimise the occurrence of dispute since resolving disputes is costly, and the effects are ugly. The study recommends that all stakeholders in the Swaziland construction industry familiarise themselves with the strategies of avoiding construction dispute to prevent the occurrence. Also, the government must take the initiative of educating all stakeholders about dispute avoidance since this would translate into massive savings in terms of projects and companies.M.Tech. (Construction Management