Dr.Ibtisam M. A. Al.Hamidi & Manaf A.
Mohammed “quality control of cost estimation process
in construction organizations” in that Quality has been
emerged in the 1980s as the top strategic issue in industry.
Statistical process control (SPC) is an important element of
total quality management (TQM).Though SPC techniques
were originally developed for manufacturing; they have
been successfully applied to certain administrative and
service functions. The objective of this research is to
demonstrate the applicability of SPC techniques for quality
control and improvement in engineering organizations
involved in construction (implementing projects). One of
the most important processes to be controlled in
construction projects (cost estimation process) has been
focused on. The technique of controlling such a process has
been defined depending on reviewing the subject in the
previous studies. Adopting individual measurement charts is
reached as the technique used to control this process
statistically. Practical data, represented as a list of projects
implemented in 2002 by the State Company for
Transportation Projects together with their estimated and
actual costs, have been obtained and considered for this
purpose (through applying individual measurement charts as
a suitable technique for controlling processes statistically)
showing the applicability of SPC techniques in engineering
construction organizations which undertake projects along
long period of time. The conclusions reached from this
research are: The application of SPC in Iraqi construction
engineering organizations is extremely disregarded. Change
in culture of the organization is required before SPC
technique can be effectively used. Management
commitment and training are very important in bringing
about the cultural change. Control chart technique can be
used not only in industry but also in engineering
organizations. This study has been dedicated to apply this
technique in a construction engineering organization (on theorganization level); it has been found that this technique is a
very efficient tool to separate special causes from common
causes of variance. It is possible to include further quality
measures like cost and schedule measures beside the
traditional ones (defect measures) to control quality in
engineering organizations. Five projects (from 24)
undertaken by SCTP have been discovered out of the
control limits, which are approximately ±6.5 percent. The
engineers in charge of those projects are advised to take
action, and the management to make improvements to the
estimation system, considering that as a policy, by reducing
the limits to ±5.0 percent to eliminate or reduce the effect of
the common causes. It is recommended to adopt SPC in all
engineering, design and construction companies in Iraq to
control and improve their processes.