INTER-RELATIONSHIP BETWEEN COST OVERRUN AND QUALITY OF PROVINCIAL PUBLIC SECTOR DEVELOPMENT PROJECTS (PSDP) ANALYZING DYNAMICS INVOLVED IN PROVINCIAL PROJECTS OF PUNJAB, PAKISTAN

Aim of Study This study aims to understand the relationship between cost overrun and quality within Public sector development projects (PSDP) executed in Punjab, Pakistan. Inter-relationship between cost and quality will explore the major and foremost factors affecting quality.Problem Statement Quality is one of the important aspect of all projects. Project success level is very much dependent on the quality performance. Public sector development projects are fronting with very thoughtful quality related issues, which lead to unsuccessful and incompetent projects in terms of cost-overrun, huge level rework and delays. There are several cost factors that are affecting the quality of the public sector projects. Cost and Quality both are interrelated, directly dependent on each other. Identification of important factors along with its priority could be beneficial for the successful project completion. This research will help to identify the factors which are critically associate with cost as well as quality. Moreover, it is further required to integrate inter-relationship between cost and the quality in the Public sector development projects.Methodology This research was executed through survey and interviews, using the self-managed questionnaires among the respondents including top level management to lower level management of the PSDP, Punjab, Pakistan. The data was analyzed through Statistical Package for Social Sciences (SPSS-20). To measure the impact of each variable Likert scale was used. Moreover, Regression Model, Correlation, Anova Test, coefficient of determination and Standard error of estimated also used.Research Findings This study revealed that there is highly positive and significant relationship between cost and quality of the PSDP, Punjab, Pakistan. This study has also categorized the most vital factors affecting cost and quality within PSDP, Punjab, Pakistan respect to their significance. This study also subsidizes by enabling the contractor/consultants to succeed with maximum quality ensuring at reasonable cost, thus confirming safety performance within PSDP, Punjab, Pakistan. Limitations This study is limited to the PSDP, Punjab, Pakistan only.

Keywords:

Cost , Quality , Public Sector Development Projects (PSDP)