Analytical Review of the Construction Contractors' Challenges in the Contractual Claims

Abstract

Due to the uncertainties in the construction projects and their differences with the service and manufacturing industries in terms of scope of the work, environmental factors, executive and scheduling challenges, contractors and clients always face with significant damages, regarding contractual disputes. In such circumstances, it is essential to empower contractors in making contractual claims and managing the claims. The aim of this study is to identify contractors’ challenges in the claiming process and the way for dealing with these challenges. In this regard, these challenges along with the most important shortcomings of claims are identified, analyzed and prioritized. Research method including literature review, analysis of 16 claims in 4 projects, interviewing with ten experts and finally applying a questionnaire method, by obtaining 60 experts opinions about 38 challenges and the key shortcomings of the claim’s statements have been done. According to the research findings, 40% of the challenges are related to contractors and their internal organizational processes, 29% of the challenges are related to governmental organization and their rules, 21% of the challenges are related to clients and finally 10% of the challenges are related to the consultants and their monitoring systems.

Keywords

• contract management
• claim management
• contractual challenges
• project management