Causes of Time and Cost Overrun: A Case Study of Health Sector Projects in Peshawar, KP

Muhammad Zaffar, Shahnawaz Khan, Waqar Ahmad


Public sector projects in KP suffers time delays leading to years of delay and cost overrun of over Rs25 billion, surprisingly close to half of this amount i.e. 11.2 billion is reported in the health sector projects in KP. This paper therefore, explores factors leading to time and cost overrun in the construction and IT projects of Health Department Peshawar, Government of KPK, Pakistan. To explore the causes of cost and time overrun, the study utilized Yin’s case study model thus collecting data through qualitative semi-structured interviews. The study used Miles and Huberman (1994) approach of thematic modelling for data analysis. The finding reveals that factors leading to time and cost overrun are administrative issues, delays in fund release, political Issues, monitoring &control, work site issues, inflationary effects, poor cost estimation, issues from contractor’s side, stakeholders and IT issues. While, certain factors causing overrun in specific to IT projects are resistance by the stakeholders for change, lack of understanding on the part of consumer about the benefit of the project and rapid changes in technology.


Cost overrun, Time overruns, Public Sector Projects, Construction Projects, IT Projects

Full Text:

Full Paper


Ade-Ojo, C., O., & Babalola, A., A. (2013). Cost and Time performance of construction projects under the due process reform in Nigeria. Research Inventory. International Journal of Engineering and Science, 3 (6), 1-6.

Akbar, A. (2015, March 28). Less than 25% of KP development budget utilized. The Dawn.

Akhund, M. A., Siddiqui, F. H., Imad, H. U., Khoso, A. R., Memon, N. A., & Panhwar, A. A. (2018). Contributing Factors of Time Overrun in Public Sector Construction Projects. 8(5), 4.

Akinsiku, O. E., & Akinsulire, A. (2012). Stakeholders' perception of the causes and effects of construction delays on project delivery. Journal of Construction Engineering and Project Management, 2(4), 25-31.

Ali, A. S., Smith, A., & Pitt, M. (2012). Contractors' Perception of factors contributing to Project Delay: Case Studies of Commercial Projects in Klang Valley, Malaysia. Journal of Design and Built Environment, 7(1).

Alinaitwe, H., Apolot, R., & Tindiwensi, D. (2013). Investigation into the Causes of Delays and Cost Overruns in Uganda's Public Sector Construction Projects. Journal of Construction in Developing Countries, 18(2), 33-47.

Al-Momani, A. H. (2000). Construction delay: a quantitative analysis. International Journal of Project Management, 18(1), 51-59.

Al-Najjar, J. M., (2002). Factors Influencing Time and Cost Overruns on Construction Projects in the Gaza Strip: Master’s Thesis: The Islamic University of Gaza.

Anigbogu, N. A., Ahmad, Z. B., & Molwus, J. J. (2019). Cost Overruns on Federal Capital Territory Authority Road Construction Projects. FUTY Journal of the Environment, 13(1), 1-14.

Asiedu, R. O., & Adaku, E. (2019). Cost overruns of public sector construction projects: A developing country perspective. International Journal of Managing Projects in Business, IJMPB-09-2018-0177.

Avots .I. (1983). Cost-relevance analysis for overrun control. International Journal of Project Management, 1, 142-148.

Baccarini, D. (1996). The concept of project complexity: A review. International Journal of Project Management, 14(4), 201-204.

Bajjou, M. S., & Chafi, A. (2018). Empirical study of schedule delay in Moroccan construction projects. International Journal of Construction Management, 1–18.

Bruzelius, N., B. Flyvbjerg& W. Rothengatter (2002).Big decision, big risks. Improving accountability in mega projects.Transport Policy, 9 (2): 143–54.

Cantarelli, C. C. (2011). Cost Overruns in Large Infrastructure Projects. A Theoretical and Empirical Exploration for the Netherlands and Worldwide. Retrieved 20th March, 2018 from

Divya, R., &Ramya, S. (2015). Cause, Effects and Minimization of Delays in Construction Projects. In Proc. Conf. on the Research in Communication, Computation, Electrical Science and Structures (NCRACCESS-2015) (pp. 47-53).

Eddy, Matthew Daniel (2004). "Fallible or Inerrant?A Belated review of the "Constructivist Bible"". British Journal for the History of Science 37: 93–8.

Enshassi, A., Al-Najjar, J., & Kumaraswamy, M. (2009).Delays and cost overruns in the construction projects in the Gaza Strip. Journal of Financial Management of Property and Construction, 14(2), 126-151.

Dolma, S. (2010).The central role of the unit of analysis concept in research design. Istanbul University Journal of the School of Business Administration, 39(1), 169–174.

Doloi, H. (2012). Cost Overruns and Failure in Project Management: Understanding the Roles of Key Stakeholders in Construction Projects. Journal of Construction Engineering and Management. 139, 267-279.

França, A., & Haddad, A. N. (2018). Causes of Construction Projects Cost Overrun in Brazil. International Journal of Sustainable Construction Engineering and Technology, 9(1), 69-83.

Flyvbjerg, B., Holm, M. S., & Buhl, S. L. (2003). How common and how large are cost overruns in transport infrastructure projects? Transport reviews, 23(1), 71-88.

Flyvbjerg, B., N. Bruzelius and W. Rothengatter (2003), Megaprojects and Risk: An Anatomy of Ambition, Cambridge: Cambridge University Press.

Goddard, T. (2012).Encyclopedia of Case Study Research. Encyclopedia of Case Study Research, 164–165.

Haslinda, A. N., Xian, T. W., Norfarahayu, K., Hanafi, R. M., & Fikri, H. M. (2018). Investigation on the Factors Influencing Construction Time and Cost Overrun for High-Rise Building Projects In Penang. Journal of Physics: Conference Series, 995, 012043.

Hinze, J., & Wiegand, F. (1992).Role of designers in construction worker safety. Journal of construction engineering and management, 118(4), 677-684.

Johnson, R. M., & Babu, R. I. I. (2018). Time and cost overruns in the UAE construction industry: A critical analysis. International Journal of Construction Management, 1–10.

Khan, A. (2013).IPI Pipeline and its Implications on Pakistan. ISSI Publication, 7.

Kaming, P. F., Olomolaiye, P. O., Holt, G. D., & Harris, F. C. (1997).Factors influencing construction time and cost overruns on high-rise projects in Indonesia. Construction Management & Economics, 15(1), 83-94.

Keng, T. C., Mansor, N., & Ching, Y. K. (2018). An Exploration of Cost Overrun in Building Construction Projects. Global Business and Management Research, 10(3), 638.

Kothari, C. R. (1990). Research Mathodology : Methods and Techniques (Second Edi). New Age International (P) Limited, Publishers.

Lather, P. (1992). Critical frames in educational research: Feminist and post-structural perspectives. Theory into Practice, 31(2), 87-99.

Le-Hoai, L., Dai Lee, Y., & Lee, J. Y. (2008). Delay and cost overruns in Vietnam large construction projects: A comparison with other selected countries. KSCE Journal of civil engineering, 12(6), 367-377.

Mansfield, N. R., Ugwu, O. O., & Doran, T. (1994).Causes of delay and cost overruns in Nigerian construction projects. International Journal of Project Management, 12(4), 254-260.

Memon, A. H., Rahman, I. A., & Azis, A. A. A. (2012). Time and cost performance in construction projects in southern and central regions of Peninsular Malaysia. International Journal of Advances in Applied Sciences, 1(1), 45-52.

Miles MB Huberman AM (1994). Qualitative Data Analysis: An Expanded Source Book, Sage.

Morris, S. (1990). Cost and time overruns in public sector projects. Economic and Political weekly, 15 (47), 154-168.

Munir, M., Ahsan, M., &Zulfqar, S. (2013). Iran-Pakistan Gas Pipeline: Cost-Benefit Analysis. Journal of Political Studies, 20(2), 161.

Munns, A., &Bjeirmi, B. (1996).The role of project management in achieving project success. International Journal of Project Management, 14(2), 81-87.

Odeck, J. (2004). Cost overruns in road construction – what are their sizes and determinants? Transport Policy, 11 (1): 43–53.

Rachid, Z., Toufik, B., & Mohammed, B. (2019). Causes of schedule delays in construction projects in Algeria. International Journal of Construction Management, 19(5), 371–381.

Sinesilassie, E. G., Tabish, S. Z. S., & Jha, K. N. (2018). Critical factors affecting cost performance: A case of Ethiopian public construction projects. International Journal of Construction Management, 18(2), 108–119.

Sohu, S., Mari, H. B., Shaikh, M. H., Abdullah, A. H., Nagapan, S., & Kumar, K. (2017). Factors contributing Delay in Highway Projects of Pakistan.

Thomas, D. R. (2003).A general inductive approach for qualitative data analysis.

Umar, T. (2018). Causes of delay in construction projects in Oman. Middle East J. Management, Vol. 5, No. 2.

Yin, R. K. (2003). Case study research: Design and methods (3rd ed.). Thousand Oaks, CA: Sage.

Zidane, Y. J.-T., & Andersen, B. (2018). The top 10 universal delay factors in construction projects. International Journal of Managing Projects in Business, 11(3), 650–672.



  • There are currently no refbacks.

Copyright (c) 2019 International Journal of Experiential Learning & Case Studies

Creative Commons License

This work is licensed under a Creative Commons Attribution 4.0 International License.