A STUDY INTO THE EFFECTS OF TIMELY DELIVERY OF CONSTRUCTION PROJECT ON ECONOMIC DEVELOPMENT OF NIGERIA

EFFECT OF BASIC MOTIVATIONAL FACTORS ON CONSTRUCTION WORKFORCE PRODUCTIVITY

CHAPTER ONE

INTRODUCTION

1.1      Background of the study

The construction industry plays an important role in the development of the economy of the country. Construction industry is an area influenced by many different factors such as labor, material, equipment and construction methods etc. Among these factors, human resources come first without which, other resources would not be utilized or transformed into productive use. Any improvement in labor productivity would contribute a great deal to the improvement of the overall productivity as identified by Hashim (1995). The motivation concept is generally defined as a composition of powers and mechanisms which help to direct human behavior in a desired manner, or with a more specific context it is described as the all convincing and encouraging actions which help workers fulfill their tasks willingly and to come closer to project objectives. Motivation of the labor force is of paramount importance because the quality of human performance at the workplace depends largely upon motivation. That is, higher motivation brings higher productivity which is suggested by Kazaz et al (2008). According to most researchers there is a positive relationship between motivation and productivity. This means that when motivation increases, a rise in productivity is also expected. This reflects the belief that an increased motivation level causes an increase in productivity. Achieving the results demands that an adequate quality of inputs is provided in this first place and improved construction workforce productivity means a better input and this it will help contractors to be more competent and reliable whilst executing their jobs. The construction sector has a strategic role in all developed and developing countries. Employing more than 7 % of Nigerian’s workforce, this sector is the largest industrial employer on the country (Proverbs et al. 1999). In the US, construction industry accounts for about 14 % of the gross national product and some 8 % of total employment (Thieblot 2002). Similar to them, the sector in Turkey has a share of 4.6 % in the gross national product and 5.3 % in total employment. In addition, the employment share of construction among industrial sectors (which is a real indicator of a country’s development level) is about 27 % (SIS 2005). As can be comprehended from these macro level data, the industry possesses a strong and particular structure all over the world as compared with manufacturing industry. Variations in the construction labor productivity can naturally make a great impact on national economy and productivity, since the sector also augments production capacity of its dependent sub-sectors that are more than 200. If the subsectors procuring inputs for the industry are considered together in Nigeria, the share of construction in the gross national product rises to approximately 33 %, while it includes some 15 % in total employment (SIS 2005). However, construction workforce especially in developing countries is not seen as an important input, although project labor generally make up the most variable and the largest percentage of total project costs. Due to this high cost of labor, labor cost control is a very important function for profitability in the industry. Despite the fact that these costs change with the type of projects in a broad range, site workers typically account for up to 40 % of the direct capital cost in large construction projects.  The labor cost component of electrical and mechanical works also represents 40–60 % of their final cost.

EFFECT OF BASIC MOTIVATIONAL FACTORS ON CONSTRUCTION WORKFORCE PRODUCTIVITY