Improving the accuracy of cost estimates for Government projects.

Abstract

Estimating is a fundamental part of the construction industry. The success or failure of the project is dependent on the accuracy of several estimates through- out the course of the project (Garold, 2008). The inaccuracy of preliminary estimates sometimes results in wasted development effort if the project is abandoned. To curb this menace, this study aimed at finding ways of improving the accuracy of cost estimates. This was achieved by establishing the gaps that existed between the initial budgeted costs and final costs of the already completed projects and thus proposed ways of improving the accuracy of cost estimates. Questionnaires were used as data collection instruments. The data collected was later presented interpreted and analyzed by using MS-Excel and SPSS software. This study found out that analytical estimation was the commonly used method with 47.6% and its more accurate compared to other methods. The accuracy of cost estimates was greatly affected by variations, unforeseen site conditions, change in scope of works and delayed payments to contractors as well as design changes. In an attempt to improve the accuracy of cost estimates for government projects, the following needs to be done; Build capacity for design of works, Link project planning and budgeting, improve monitoring and quality control of projects and Build capacity for procurement units.