Chapter One 1.1 Background of The Study
Chapter One 1.1 Background of The Study
Chapter One 1.1 Background of The Study
Introduction
overheads and profits; and managing all these inputs towards achieving desired
goals and objectives (Ojo, 2005; in Adafin, Daramola and Ayodele (2010). The
cost of materials has been identified to account for a major cost of the overall
The use of these materials and their control includes cost, and these could
influence cost incurred by the client or the profit margin of the contractor, or
flows.
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The material management can be described as a system for planning and
controlling all the efforts necessary to ensure that the correct quality and
reasonable cost, and importantly are made available at the required point. The
Strategies are planned action and procedures to achieve the projects objectives.
the achievement of projects goals and objectives that are prescribed in the
project plan. The strategies aid in the successor of project. A project is said to
are available at their point of use when needed, the material management
system attempts to ensure that the right quality and quantity of materials are
2
inventories exist in three aggregate categories which are: raw material (RW),
work in process (WIP) and finished goods (FG). Managing the flow of material
materials and services. This is more so as many companies today are relying
more than ever before on suppliers from around the world. Because material
comprises such a large component of sales money, companies can reap large
profits with a small percentage reduction in the cost of materials. That is one
Most often contractors carry out project with little or no profit which is so due
contract. In trying to cope with lowest bid contract and at the same time avoid
elements, shoddy jobs through use of cheap inexperience labour which most
3
profits can be made even with the lowest bid and the various bad practices by
cost and time overruns in Nigeria due to several factors such as clients’
to Adeagbo & Kunya (2003), materials constitute more than 60 % of the total
cost of projects. Cement is one of the most expensive, easily stolen and
unstable construction materials in Owerri today, owing to the fact that most of
the cement used comes from West African Portland (Lafarge) and Dangote
Cement factories with its attendant high cost. Also, several buildings are
collapsing due to poor quality of work. This paper sets out to appraise the
otherwise this affects the general cost of projects and also provides a current
municipal.
4
1.3 Aim and Objectives of the study
construction site
construction site.
construction, thus the ability of contractor to manage his team and the flow of
supplies are absolutely necessary for the successful project delivery and profit
management team is required to buy the correct amount of material at the right
5
ordered and on time. The post-construction team has to evaluate remaining
However, this is not easy; First, if materials are purchased early, capital may be
tied up and interest charges incurred on the excess inventory of materials. Even
worse, materials may deteriorate during storage or be stolen unless special care
site to control cost of contract and materials wastage. It is not only desirable
since Proper material management will benefit the firm in terms of increase
profit margin, quick execution and reduce cost of the project. This brings the
industry.
6
3. what are the factors affecting effective material management on building
construction site ?
construction site ?
firms. The study was limited to only building construction sites in Owerri
Municipal, therefore not all the country was covered. Site waste management
7
CHAPTER TWO
Literature Review
management functions which include planning and material take off, vendor
influence the total project cost, time and the quality (Che Wan Putra et al.,
1999). Proverbs et al. (1999) stated that costs for materials handling may range
proper work plan, inappropriate materials delivery and excessive paperwork all
adversely affect materials management. Furthermore, Dey (2001) noted that the
• Receiving materials before they are required, causing more inventory cost and
8
• Not receiving materials at the time of requirement, causing loss of
productivity;
• Damage/loss of items;
Planning
also mentioned that material planning would provide guidance for all the
subsequent activities and that this could have a great impact on the project plan.
The materials planning process covers the set up and maintenance of records
and determines the target inventory levels and delivery frequency (Payne,
Chelsom & Reavi 1996). Planning of access and routing of materials within a
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can therefore afford to take all material management plans concerning cement
with levity.
Procurement
at the right time, in the right place, at the right quality on an agreed budget.
In the case of cement, all the above problems should be avoided by any
HANDLING
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Tompkins & White (1984) defined effective material handling as using the
right method, amount, material, place, time, sequence, position, condition, and
materials. Handling of materials is the flow component that provides for their
is highlighted by the fact that they are expensive and require critical decisions.
attention in order to avoid waste, loss and any damage of materials which
would affect the operation of the construction project. Problems always arise
(Canter, 1993). Previous studies have identified that building materials often
require a large storage capacity which is rarely available on site (Agapiou et al.,
1998). However, Stukhart (1995) suggested that there are a few considerations
to take in the planning of the storage space such as timing of the initial buy,
should seek to reduce loss of profit due to theft, damage and wastage, as well
as running out of stock. It is also important to ensure that the right quality and
11
timely manner, are obtained at a reasonable cost, and are available when
is a technique devised to cover and ensure all items are available when required
and can include raw materials, processed materials, and components for
work in progress and finished products (Prabu & Baker, 1986). Construction
activities can generate an enormous amount of waste (Teo & Loosemore, 2001)
and materials waste has been recognised as a major problem in the construction
indicates that it can arise at any stage of the construction process from
facility (Faniran & Caban, 1998). Waste can be reduced through the careful
in both the design and construction phases (Dainty & Brooke 2004).
Logistics
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Logistics is a concept that emphasises movement and it may encompass
planning, implementing, and controlling the flow and storage of all goods from
to the production areas in both the factory and the worksite (Pheng & Chuan,
2001). Previous research suggested that the routing of materials is one of the
main points which affect cost and time during construction projects (Varghese
& O'Connor, 1995). Hence, these factors should be taken into consideration
during the logistics process for effective materials management and should
include:
and,
Cement
The main source of raw material necessary for cement production is limestone,
such as clay, iron carbonate, feldspar, pyrite, and quartz (Microsoft Encarta,
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valleys of the Niger, Benue, and Sokoto rivers as well as in Ewekoro and
The demand for cement is the function of construction activity spurred by the
2009, and has been growing by approximately 10.5% annually over the last six
consumption per head is low by international standards, and this is seen in the
housing deficiency and relatively poor infrastructure within the country with a
population of over 170 million. Oluwakiyesi (2011) reported that Nigeria’s per
compared to UAE’s 4,198 kg, China’s 1,055 kg and Saudi Arabia’s 1294 kg.
Luckily for Nigeria now, Dangote cement has been meeting the local demands
with Lafarge brands, and we can safely predict that we may not have to resort
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Efficient management of materials plays a key role in the successful
comprise between 20-70% of the total project cost and sometimes more
(Bernold and Treseler, 1991, Patil and Pataskar 2013, Gulghane and Khandve
Performance benefits
reduce material hauling costs which leads to reducing overall project costs,
and reused can perform as well as or better than virgin products in many
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improvements in project schedule, quality control, better field material control,
materials on site, labour savings, stock reduction, purchase savings and better
Stukhart and Bell, (1987) conduct a study on twenty heavy construction sites
and noted that in one of the project, a 6% reduction in craft labour costs
another project, an 8% savings was recorded due to reduced delay for materials
per unit without a system to 1.14 man-hours per unit with a new system. Again,
warehouse costs were found to decrease 50% on one project with the
Vieira, Pasa, Borsa, Milan & Pandolfo (2011) observed that the importance
construction companies and provisions should be made to handle and store the
materials adequately when they are received, special attention should also be
given to the flow of materials once they are procured from suppliers.
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Bailey and Farmer (2002) define materials as the goods purchased from
sources out of the organization that are used to produce finished products.
Chandler (2001) informed that the construction materials can be classified into
different categories depending on their fabrication and in the way that they can
Bulk materials: These are materials that are delivered in mass and are deposited
in a container.
Bagged materials: These are materials delivered in bags for ease handling and
controlled use.
Palleted material: These are bagged materials that are placed in pallets for
delivery.
Packaged material: These are materials that are packaged together to prevent
Loose materials: These are materials that are partially fabricated and that
play in this modern age of technology, although their most important use is in
national economy as its output governs both the rate and the quality of
quantities. Examples of such materials include pipes, wiring, and cables. They
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manufactured to an industry specification in a shop away from the site. These
materials are used for a particular purpose. This includes materials that require
detailed engineering data while fabricated materials are materials that are
Examples of such materials include steel beams with holes and beam seats.
products.
2.3.1 Materials planning method: Khyomesh (2011) informed that the most
commonly used basis for planning things out for the project is the Bill of
Quantity prepared by the client. Companies may have two major levels in
planning that is micro and macro level. Time, cost, material and labor are the
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progressing as planned. During the planning prices, detailing the project in
members’ roles and responsibilities, schedules, resources, scope and costs are
needed. At the end of this phase, a project management plan is produced, which
is a document that details how your project will be executed, monitored and
Burt (1996) observed that planning and programming of work should include
strategies, tactics, and tools for managing the design and construction delivery
processes and for controlling key factor to ensure the client receives a facility
operation”
project funds for materials, equipment, and services. This activity may be
on the size and the scope of the project. The home office must maintain
planning, procedural, and policy direction over the field operations in order to
ensure consistent purchasing practices (Stukhart and Bell 2007). The term
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implementation of a project. The objective of procurement in materials
management is to provide quality materials at the right time and place, and at
and personnel to the job site represents a unique and specialization element of
(Ahuja and Dozzi 1994). Good logistics involved the use of minimum of
materials on site awaiting assembly, as well as being good for cash flow, this
makes it easier to keep the site clean and tidy and reduces opportunities for
slips trips and falls, an effective logistics team will also pay attention to the
material handling as using the right method, amount, material, place, time,
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sequence, position, condition, and cost. This involves handling, storing, and
component that provides for their movement and placement. The importance of
which are: Motion which implies that materials movement from one place to
to minimize cost, Time which indicate that materials handling officer must
ensure materials get to, or remove from production unit at the right time, Place
that materials should be at the right place at the right time to enhance smooth
operations, Quantity: which means that materials supply to, or remove from the
right place should be according to operating unit demands and Space: which
devised to cover and ensure all items are available when required. Stock
control can include raw materials, processed materials, and components for
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assembly, consumable stores, general stores, maintenance materials and spares,
amount of waste (Teo, 2001), it has been recognized as a major problem in the
2.3.6 Just-in-time method (JIT): The acronym JIT has been highly visible
referred to as Lean production (Akintoye, 2005). Stock (2001), stated that Just
appropriate order of materials available to each operating unit at the right time
JIT transportation and JIT production. These three elements combine to create
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a material handling system that avoids waste and minimizes inventory
investment. The technique has changed employees’ belief, attitude, work habits
time, elimination of waste, have respect for people and cost minimization and
these can be achieved if firms hold zero inventory; a system known as lean
supply chain. The summary of the objectives of lean supply chain oriented
factory layout.
amount of orders that minimizes total variable costs required to order and hold
quantity (EOQ) refers to the order size that will result in the lowest total of
unnecessary orders it will incur unneeded order costs. If a firm places too few
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order, it must maintain large stocks of goods and will have excessive carrying
economic Order Quantity which are : deal with only one material whose
constant over a period of time; Holding and ordering related costs per unit
remain constant during the period of one year irrespective of the order quantity,
No stock out is allowed and ordered materials arrive instantaneously and The
lead time which is the time between ordering and receiving goods is
collecting materials that are often considered trash and remanufactured tin to
new products that can be resold or used again, construction recycling as the
make it ready for recycling. That is, removal of materials from the solid waste
can be defined as materials management that houses and stores materials (raw
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or for sufficient period between the point of origin and place of consumption
keep for future operation whether they operate JIT or traditional delivery
excessive length of time but there are times when inventory storage is
operations.
materials (raw materials, parts, components, and finished goods) are stored in a
operating places. This method is most suitable for small organizations because
have different plants and product lines scattered over the country. Leenders
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expenses, but they may be traded off with lower cost realized if JIT
and demand- firms that experience highly seasonal production and sales most
warehouse
helps them to even out supply and demand of materials over a given period;
companies that have where to store materials always purchase materials and
work, and the long distance of materials from the work location is the principal
that poor planning for construction materials and difficulties associated with
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Goodrum and Maloney (2009) recognized that waiting for transportation of
materials and equipment on site as the most significant factor impinging on the
construction site; materials are sometimes needed to be shifted from one place
machinery (Anwar 2015). Pauline (2014) also informed that difficulty to store
especially high rise buildings insufficient space for the required material is a
subcontractor may arrange an additional warehouse nearby that can cater for
occurred.
(2013), opine that the following areas have to be taken very seriously i.e.
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Training of management and other staff, Inventory control of materials on site,
Materials schedule for the contract on hand, Materials delivery, Provision and
2.5.1 Training of both management and other staff: Vivian (2006), opine
the benefit in reuse, recycling and reduce the material consumption; however,
cost saving for reuse and reduce the material consumption is difficult to
measure, in which the material can be reuse and reduce the consumption for
that it involves taking note of the use and inventory of materials on site and
recordings i.e. the loading and off-loading, transit and handling of materials. It
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When a construction material is delivered to a site, it should be checked for
location and stocking. Stores are also responsible for the physical verification
of stocks and reconciling them with book figures. The inventory control covers
ordering quantities, setting safety stock levels, lead time analysis and reporting.
reflects the planning process in relation to real time (Griffith and Watson,
project. All but the simplest tasks require planning in order to be accomplished
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2.5.4 Management, supervision and administration of sites: Supervision is
the direction of people at work and management is the planning and control of
administration of site are gradually spread over the earth because it is a more
efficient way of accomplishing work (Alwi, et al, 1999). All work requires the
and assigned time in which they are to accomplish these tasks, but instruction is
flow among stakeholders, for processing and further actions during and after
project construction.
storage on site requires close attention in order to avoid waste, loss and any
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needs for different materials to be permanently stored and preserved; the
functional, efficiency and safety of the visiting public and operating personnel;
and the protection of the materials from fire, water and man-made threat (Pat,
some materials are usually not stored in shed or locked up building, also double
storage facility constitute to waste. Old stock must be available for use after a
fresh delivery is made and these materials must be placed in such a way that
materials such as cement should be stored in a place that is free from moisture.
2.5.6 Proper usage of materials: Phu and Cho (2014), describes usage of
materials is the flow component that provides for their movement and
job site at times may have had a little defect due to poor storage or poor quality
2.5.7 Materials schedule for the contract on hand: Kelvin (2013), It has
been established that preparation of a good materials schedule helps a long way
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in solving the problem of material handling on site. This is prepared at the
order to know accurately how much material to mobilize the site. This entails
accurately detailed type, the size of materials and all other possible information
regarding the required materials and the quantities and date on which it should
be delivered. Materials schedules are valuable to buyer for ordering and also to
unloaded at or for the projects or building elements for which they are specified
resources of, equipment and labor with the construction projects tasks over a
2.5.8 Provision and accessibility site layout: Construction site layout involves
construction site (Heap, 2007). These temporary facilities range from simple
plant, and residence facilities. Required temporary facilities and their areas are
depending in many factors including project type, scale, design, location, and
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considerable improvement by minimizing travel time, waiting time, and
Site layout involves the study, planning and organization of unused area of site
construction equipment, materials and buildings for use in the execution of the
construction works (Kwakye, 1991). One of the primary considerations for site
preparing a layout plan and this consideration would aid materials handling on
construction project.
(2012), severe weather conditions were ranked in the first positions as the most
materials to inclement weather such as steel bars which rust and may get
Adverse weather is considered one of the main factors causing delays and cost
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CHAPTER THREE
Research Methodology
3.1 Introduction
In this chapter, we would describe how the study was carried out.
Survey research method was used to carry out this research because of its large
group of people or items is studied by collecting and analyzing data from only
The data for this study were generated from two main sources; Primary sources
who share similar characteristics. These similar features can include location,
gender, age, sex or specific interest. The emphasis on study population is that it
(Prince Udoyen: 2019). In this study the study population constitute of all the
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3.6 Sample size determination
its result on the population. In essence, it is that part of a whole that represents
the whole and its members share characteristics in like similitude (Prince
Udoyen: 2019). In this study, the researcher used the [TARO YAMANE
ASSUMPTION:
P = .5
n= 60/1+60(0.05)2
n= 60/1+60(0.0025)
n= 60/1+0.15
n=52
3.8 Instrumentation
This is a tool or method used in getting data from respondents. In this study,
the main research instrument used for the study to gather necessary data from
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the sample respondents. The questionnaire is structured type and provides
This instrument is divided and limited into two sections; Section A and B.
Section A deals with the personal data of the respondents while Section B
contains research statement postulated in line with the research question and
3.9 Reliability
The researcher initially used peers to check for consistence of results. The
supervisor played a pivotal role in ensuring that consistency of the results was
3.10 Validity
of the study (Prince Udoyen: 2019). Questionnaire items were developed from
the reviewed literature. The researcher designed a questionnaire with items that
were clear and used the language that was understood by all the participants.
The questionnaires were given to the supervisor to check for errors and
vagueness.
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3.11 Method of Data Collection
The data for this study was obtained through the use of questionnaires
through which data was also collected as well as interview. Oral questioning
The study employed the simple percentage model in analyzing and interpreting
the responses from the study participants. Data obtained from the survey were
method. The Relative importance index (RII) was calculated using the formula:
Where
0 <RII<0.50 = Disagree,
A rank ordering of these variables were then assigned based on the calculated
RII.
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3.13 Ethical consideration
Informed consent was obtained from all study participants before they were
enrolled in the study. Permission was sought from the relevant authorities to
carry out the study. Date to visit the place of study for questionnaire
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CHAPTER FOUR
Total 37 100%
39
direct purchase by site manager or engineer. The low percentage of 5% of
Table 2 gives the responses to the list of causes of material wastage on building
construction sites. From the results the relative index for all the list of causes of
material wastage on building construction sites were all greater than 0.5 which
is an indication that respondents agree and strongly agree with the list of causes
and rework due to poor workmanship, inadequate supervision and poor site
40
security having higher relative index of 0.86, 0.85 and 0.8 and ranked 1st, 2nd
and 3rd respectively. This implies that damage by handling and rework due to
poor workmanship; inadequate supervision and poor site security are the main
Construction Sites,
design changes and lack of proper planning and scheduling are the factors
ranked 1st, 2nd, and 3rd with relative index of 0.85, 0.81 and 0.80 respectively.
relative index of 0.76, while storage facility, lack of security personnel and
waste on construction sites are ranked 5th, 6th, and 7th with relative index of
Construction Site
41
management on Building Construction k
Site Ord
er
1 Employment of skilled craftsmen and 24 11 2 - 0.8 1
operators 6
2 Training of both management and other 16 15 4 2 0.8 2
staff. 0
3 Employment of store keeper and 17 12 8 - 0.7 5
security personnel 5
4 Procurement requisition to specify 12 13 10 - 0.7 4
quality, 6
quantity and delivery time
5 Ensuring proper planning and 21 9 7 - 0.7 3
scheduling of building works 9
6 Introducing material management at the 16 6 13 2 0.6 6
design stage 8
7 Attention to weather conditions 6 12 15 4 0.5 7
5
Table 4 gives the responses to the measures for effective material management
operators and training of both management and other staff being the measures
ranked 1st and 2nd with relative index of 0.86 and 0.8 respectively. Ensuring
proper planning and scheduling of building works is ranked 3rd with relative
delivery time is ranked 4th with relative index of 0.76. Employment of store
stage and attention to weather conditions are ranked 5th, 6th, and 7th with
relative index of 0.75, 0.68 and 0.55 respectively. The higher relative index
values for employment of skilled craftsmen and operators and training of both
42
inefficient workforce was being identified as the main factor affecting material
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CHAPTER FIVE
sites. Findings shows that procurement of materials with requisition from site is
more common with the contractors and its best practice of materials
study also establish that the following: damage by mishandling and re-work
material supply, inadequate supervision, poor site security, weather and other
materials, theft and vandalism are the causes of material wastage on building
construction sites are as follows: design changes, lack of proper work planning
both management and other staff, employment of store keeper and security
conditions.
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The study recommends that Contractor should make provisions for training and
efficiency for effective material management and contractors should ensure the
use of skilled craftsmen for their works and provide efficient supervision with
sites.
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Formoso,L.T., Isatto, E.L. and Hirota, E.H. (1999). Methods for Waste Control
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Hinkel E; Wiersma, W and Jurs, S.G (1988): Applied Statistics for the
Ltd.
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