Using Factor Analysis and Regression Technique to Predict Cost Overrun in Road Network Construction Projects

In recent years, road construction projects in Egypt have experienced significant cost overruns. This has coincided with a remarkable increase in the volume and capacity of road construction in Egypt over the last two decades. Consequently, there is an urgent need for a systematic analysis of the reasons behind cost overruns in road construction projects to improve the understanding of industry professionals. In this study, the key factors of cost overruns in road construction projects in Egypt were identified, and the relationship between the critical attributes of each factor were examined. Subsequently, a prediction model was developed to calculate the appropriate contingency costs by assessing the impact of the identified factors on the overall project cost. To examine the significance of specific cost overrun factors, factor analysis and regression modeling were used. This study could significantly improve the efficacy of cost contingency plans for road construction projects in Egypt