Project Cost Overruns in the Australian Construction 
Industry: Cost Management and Case Studies

Zhaoxuan Fan

doi:10.70711/memf.v2i5.6103

Project Cost Overruns in the Australian Construction Industry: Cost Management and Case Studies

Zhaoxuan Fan

Abstract

Cost overruns are a persistent issue in the Australian construction industry, leading to financial and operational challenges. This
paper explores key factors contributing to cost overruns, including inaccurate initial cost estimates, supply chain disruptions, and unforeseen
field conditions. Through case studies of Sydney-based projects, the paper analyzes the role of project stakeholders in cost management and
provides strategic recommendations to mitigate overruns. Findings suggest that improving cost estimation accuracy, enhancing supply chain
resilience, and implementing robust contingency planning can significantly reduce budget deviations.

Keywords

Cost overruns; Cost management; Supply chain; Contingency planning; Australian construction industry

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DOI: http://dx.doi.org/10.70711/memf.v2i5.6103

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