Factor cost indices practices in the building industry for Nairobi, Kenya
Date
2010Author
Gichunge, H.
Masu, Sylvester M
K'Akumu, O A
Type
ArticleLanguage
enMetadata
Show full item recordAbstract
Purpose - The purpose of this paper is to look at the applications of factor cost indices in the building
industry in Nairobi, Kenya against the possibilities established through a review of the principles so as to
establish the extent of use in practical situations in the industry. There are two organisations involved in
compilation offactor cost indices in Kenya - Central Bureau ofStatistics and Joint Building Council OBC).
Their practices for compilation of factor cost indices are reported in this paper.
Design/methodology/approach - The paper reviews the principles of factor cost index in order to
establish a conceptual framework within which practices are then evaluated. The statistical bureau's
compilation of building cost indices and the instructions by the ]Be are considered as available
evidence of application.
Findings - The paper finds that the application of factor cost index in Kenya is limited, a situation
that therefore demands more research by the construction industry in Kenya.
Originality/value - The research's originality lies in its supportive evaluation of the application of
the indicator concept in the building industry. More applications would imply grliPter possibilities for
research and development within the case study industry.
Citation
Journal of Financial Management of Property and Construction Vol. 15 No.1, 2010 pp.61·70Publisher
Department of Real Estate And Construction Management