THE EFFECT OF EFFECTIVE CONTRACT PLANNING ON CONTRACTORS PROFIT
ABSTRACT
Effective contract planning in construction projects is not only crucial to attainment of project objectives but necessary if project failure is to be avoided, losses minimised and profitability enhanced by the Contractor. While research has shown general low usage of formal and effective contract planning in the UAE, Hong Kong, Kuwait, UK and Ghana, the practices used by Nigerian Construction Contractors to manage risk are not known. Available research in Nigeria on this subject only highlighted risk factors with most impacts on construction site and also the means of mitigating such risks. This study aimed to appraise contract planning practices used by Julius Berger Construction Company in Akwa Ibom State. The study utilised a qualitative approach with review of existing literature, semi-structured interview and transcription of data for conceptual content analysis. The researcher used Julius Berger Nigeria PLC (Uyo Branch), as a case study to find out the effects of contract planning on cost and time, considering that the organization is involved in numerous contracts with suppliers, vendors and the government of Akwa-Ibom state. Concerning methodology, data used in compiling this research were gathered from both primary and secondary sources. The management and employees of Julius Berger, Uyo were issued questionnaires. Text Books, Magazines and News Papers on contract management, planning and control were also used in compiling this research. Based on the responses gotten form the respondents after the study might have been successfully conducted, the researcher will outline the findings and recommendations from the study.
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