Effect of organizational culture on delay in construction

Delay is one of the most common problems in the construction industry. This study aims to explore the relationship between a construction company's organizational culture and delay. A questionnaire survey was administered to construction companies located in the U.S. and India in order to collect data on their organizational culture and the amount of delay that they experienced in their projects. The results of this study show that construction organizations in the U.S. are dominated by “clan” culture whereas those in India are dominated by “market” culture. The study also shows that the percentage of delay relative to project duration is lower in the U.S. compared to India. Despite the fact that delays are caused by a multitude of reasons often mentioned in the literature, statistical analysis indicates that there is also a significant relationship between organizational culture and the magnitude of delays. This relationship could be useful for a construction company in cultivating an organizational culture that is expected to reduce project delay. It could also be of benefit to international contractors relative to their expectations vis-à-vis time performance in projects undertaken in different countries.