Development of zero-based budgeting approach for multinational construction contractors
Yükleniyor...
Tarih
2023
Dergi Başlığı
Dergi ISSN
Cilt Başlığı
Yayıncı
Emerald Group Publishing Ltd
Erişim Hakkı
info:eu-repo/semantics/closedAccess
Özet
Purpose Cost overruns remain a persistent problem in the construction industry. Although various cost management strategies have been implemented, innovative approaches are still required. Therefore, the authors attempted to introduce and test a new cost management strategy for the construction industry. Design/methodology/approach Zero-based budgeting (ZBB) is one such method whose effectiveness has been proven in different industries over many years. Therefore, the authors initially developed two different frameworks related to the integration of ZBB into a multinational construction contractor and the application process of ZBB for a construction project in this study. Then, the effectiveness and feasibility of the proposed frameworks are tested via an actual field study in a mega construction project. Findings The results show savings of 0.81% of the total project budget and 4.74% of the focused cost items by following the ZBB framework compared to the traditionally estimated project budget. The feedback received from the employees in the construction company shows that ZBB could be efficiently implemented during ongoing construction projects. Research limitations/implications The authors believe that implementing new cost management strategies such as ZBB will open doors to deal with the complex cost overrun issues and improve construction cost performances. Originality/value This manuscript is the first actual application of the ZBB cost management approach in the construction industry.
Açıklama
Anahtar Kelimeler
Zero-Based Budgeting, Cost Control, Cost Performance, Projects, Delay
Kaynak
Engineering Construction and Architectural Management
WoS Q Değeri
Q1
Scopus Q Değeri
Q1
Cilt
30
Sayı
10