Characteristics and Implications of Managing the Construction Cost : Case Studies of the United Kingdom, France, and Germany

You, Jae-Kwang; Woo, Ji Won; 이동훈; Cheong-Hyun Rho

doi:10.15793/kspr.2016.91..006

An additional indirect cost has been incurred by the delay of public construction projects. Main reasons of the construction prolongation, however, were reported due to the limited budget which were taking charge in the ordering agencies. As it is getting delayed longer, it is controversial to whom and how the prolongation cost will be charged. Therefore, this study deals with major reasons why construction costs occurs, institutional remedies such as a regulation and a guideline when it happens. In specific, the case studies of the United Kingdom, France, and Germany were throughly investigated. As the result of the case studies, the three countries commonly put tremendous efforts in the preparatory stage in a large scale of the public construction project. From the lesson, an in-depth review and consensus will be necessary from the planning stage so that we can be more prepared for the risk management in any case. Especially, the “reserve fund” from the United Kingdom is the desirable example for managing the additional costs from the construction prolongation so that we can avoid the unnecessary lawsuit and solve the issue amicably.

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* 2021년 이후 발행 논문의 참고문헌은 현재 구축 중입니다.

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