Construction audit-an essential project control function
Abstract
Construction projects are known to overrun their budgets and schedules, poor quality of works, wastages, loss of value and experiences increase in financial frauds. Construction audit is a critical tool for the control and monitoring of frauds and other corrupt practices. The failure of construction organisations to recognise how critical auditing and its practices are in the management of construction projects have been blamed for the poor project performance outcome. The purpose of this study is to assess the benefits of construction audits to establish that it is a useful tool in controlling projects. Data were gathered from experts in consulting and contracting organizations using the well-structured questionnaire and purposive sampling technique in Port Harcourt, River State, Nigeria. With reliability of above 0.90, the collected data were analysed using frequency, percentage, mean score, and Mann-Whitney U test. It was found that the eve of use of auditing is high and it is recognised as a significant project control tool. The main benefits of audit application in construction are; to reduce cost overrun, financial probity and accountability, aid in the recovery of cost to promote cost savings, to protect the clients from avoidable and unnecessary claims from contractors, and ensure that projects are delivered in accordance with the project contract provision. Auditing should be encouraged in the delivery of private and public projects to ensure that value for money is achieved and losses reduced.
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References
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