There were 24 respondents out of a total of 25, to the question on what the biggest obstacles are and in their opinion, with regard to the small-medium sized contractor meeting or sticking to the planned programme completion dates. PM20 did not respond to this question.
To summarise the responses of the respondents the observations on how small-medium sized contractors execute their projects are poor planning, lack of technical skills, a need for mentorship, quality, attitude of the contractor and slow site establishment. The most observed challenge that small-medium sized contractors experience during the execution of their projects were planning, followed by lack of technical skills and so on.
They revealed that poor planning was as a result of small-medium sized contractors not looking at the implication of their cash flow or fully executing any task. It is a case of taking on the assignment without having pre-planned the execution and resources required.
They add that small-medium sized contractors are willing to succeed but lack (in most cases) the technical and management skills required to succeed as well as the lack of discipline and respect for professionals. Small-medium sized contractors have the potential to become established contractors but with the correct leadership. These contractors tend to cut corners and compromise on quality during the execution of their construction projects, poor quality means work to be redone.
They acknowledge the brilliance of some of these contractors. One in ten of these contractors are brilliant but for the rest, it is difficult to make them understand the importance of finishing within time and quality. The good ones have professional backup while for the rest it is a struggle. Things such as
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site establishment are usually slow and real completion of tasks left very late in the project cycle. These contractors start slow because they need the first payment certificate to get funds, to kick off the Project.
4.1.2.1 Poor planning and programming of resources
A total of 10 out of 24 (42%) respondents mentioned that the obstacles faced by small medium sized contractors in meeting or sticking to the planned programme completion dates were as a result of the poor planning and programming of resources. PM1 stated that the problem starts at the beginning during tender stage “they would submit certain resources during tender stage but in reality, on ground, once the project has been handed over we see a different set of resources being ceded for the project; usually this would be more junior staff than what they had represented on paper during the tender process. The problem starts right there in terms of having that experience on site, so it escalates to delays being anticipated on the project”. PM5 attributed the problem to the misunderstanding of the resources needed for the project. PM7 concurred by saying it is a matter of poor resource planning. PM9 added on by saying it is the inability to mobilise themselves at the beginning of the project, they lose time that cannot be won back. PM10, PM19 andPM22 emphasised planning by saying it is an issue of proper planning, poor planning and a lack of planning. PM11 highlights that these contractors over estimate their own ability and hence as a result of this they experience difficulty in accepting their ability to meet target dates. PM23 and PM13 were a little more specific by saying it is an issue of their inability to manage the programme and apply the required resources to meet the planned project requirements; as well as no ability to program the works.
4.1.2.2 Cash flow management and access to credit
A total of 7 out of 24 (29%) respondents mentioned that the obstacles faced by small medium sized contractors in meeting or sticking to the planned programme completion dates were as a result cash flow management and access to credit. PM4, PM6 and PM17 believed respectively it is an issue of cash flows, cash and cash flow management problems. PM8elaborated it is a lack of adequate cost controls and slack cash flow management. PM12 attributed the issue to poor access to credit and this is often caused by improper management and poor ethics.PM13 said they do not have ability to do cash flows and PM25said it is a lack of financial planning.
4.1.2.3 Experience and expertise of the contractor
A total of 6 out of 24 (25%) respondents mentioned that the obstacles faced by small-medium sized contractors in meeting or sticking to the planned programme completion dates is as a result of the experience and expertise of the contractor. PM5 said that these contractors make technical mistakes due to lack of expertise and lack of the right equipment for the job. PM14 and PM18 believed it is an issue of education; they are not educated enough to understand that this is business “…not a means of exploiting workers and subcontractors” and it is a lack of
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“…education and understanding schedules, cash flows, budgets etc.” PM15 said they lack experience, while PM24 went further by saying it is a lack of practical experience and that the contractors learn information off by heart at university and are not able to apply same in practice. PM21 says that it is a problem of understanding the project requirements.
4.1.2.4 Client and professional team influence on the project
A total of 2 out of 24 (8%) respondents mentioned that the obstacles faced by small-medium sized contractors in meeting or sticking to the planned programme completion dates is as a result of the client and professional team influence on the project. PM5 added on by giving a different perspective on the matter by saying that “most delays in the construction industry point back at the professional team or the client. Smaller contractors have difficulty putting pressure on these people”.PM8 concurred with the above and expatiated, stating that the poor performance of municipal and government clients in processing claims and making payments, acts as an obstacle for the contractor to achieve planned completion date. In the South African context, over regulation and client-caused delays in appointments have significant cost implications that are often not taken into account by these contractors.
4.1.2.5 Others – Administrative discipline, Communication, Retaining skills, Supervision and Management problem
PM2 believed that they do not hold enough meetings to communicate goals of the bigger project “the lines of communication, in terms of what needs to be done by them, is not communicated by them (small medium sized contractors)”.PM3 attributed the problem to retaining skills. PM25 said it is a lack of administrative discipline and lack of experienced staff/supervision. PM16 said it is a problem of management. A total of 1 out of 24 (4%) respondents mentioned that the obstacles faced by small medium sized contractors in meeting or sticking to the planned programme completion dates were as a result of the administrative discipline of the contractor, poor communication, retaining skills on site, a lack of experience supervision or staff and management problems, as listed above.
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