Assessing the cost overruns issues in SME construction projects in Malaysia

Mohd Daharie, Nor Adriana Irdina and Zulkeflee, Azreen Ariff (2025) Assessing the cost overruns issues in SME construction projects in Malaysia. In: 17th RISM International Surveying Conference for Undergraduates (ISCU 2025): Embracing Construction Revolution 4.0 (CR4.0): Transforming Malaysia's Built Environment, Universiti Teknologi MARA, Perak.
Abstract

Cost overruns remain a persistent challenge in the Malaysian construction industry, particularly among small and medium enterprises (SMEs). The construction industry plays a crucial role in socioeconomic development by providing essential infrastructure such as schools, hospitals, and roads. This study aim to assess strategies for enhancing construction project workflow efficiency by (1) identifying key factors contributing to cost overruns and (2) identifying their impacts on construction projects. A quantitative research approach was employed, utilizing questionnaire surveys distributed to CIDB contractors from Grades G1 to G5. Descriptive statistics, descriptive analysis are used to organise and summarise obtained data. The findings are expected to highlight the primary causes of cost overruns and their effects on project timelines and financial stability. The study’s contribution is anticipated to offer practical recommendations for improving cost management and optimizing project performance in SME construction projects in Malaysia.

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