Factors Influencing Delay And Cost Overrun In Indonesia Shipbuilding Projects

Indonesia is the largest archipelago in the world.However,in the shipbuilding industry,Indonesia is far behind other countries such as China,South Korea,and Japan.Whereas with a strategic position in the world's shipping lanes and areas that are mostly sea,it can be a catalyst for the shipyard industry.Unfortunately,this industry is experiencing obstacles in its development.Delays and cost overruns are common in almost every project,including shipbuilding projects.The purpose of this study is to find factors that are significantly important influencing delay and cost overruns in shipbuilding projects in Indonesia.This study was conducted through a questionnaire survey that consisted of twenty factors of delay and none factors of cost-overruns.Questionnaires were distributed to professional work in the shipbuilding Industry limited to Project Managers,Site Managers,Surveyors,Supervisors,and Engineers.Data were collected from 51 respondents and then were analyzed and ranked using importance index technique based on their frequency of occurrence,level of severity,and importance.The results showed that incomplete drawing,poor Planning and scheduling,mistakes during construction,regulatory permit,and late payment of completed work are five significant factors that influence delays.While five significant factors that are influence cost-overruns are Poor Cost Control,Rework due to Construction Error,Imported Material,Poor Design,and Inaccurate Estimate.The results will help to understand the causes of delays and costs overruns in the shipbuilding project,which will help eliminate or minimize the causes.