Operation and maintenance budgeting for commercial buildings in Hong Kong

Joseph Hung Kit Lai

Construction Management and Economics, 2010, vol. 28, issue 4, 415-427

Abstract: The significance of whole-life costs for building operation and maintenance (O&M) is well known. The causes of ill-budgeted O&M resources, however, are often uncertain. An in-depth exploration of the problems with budgeting O&M works for commercial buildings in Hong Kong was carried out, based on interviews with building owners, management companies and O&M contractors. The practice of historical-based budgeting predominates among a variety of budgeting bases, and budgets are largely constrained by preceding budgets and predetermined budget ceilings. Budgetary costs are significant, which can be economized through bundling small contracts into larger procurement packages. The importance of satisfying O&M needs is usually recognized but the motivations of practitioners toward preparation of proper budgets are inadequate. Corresponding to the range of problems identified, a framework of improvement measures is outlined, which requires further development to help achieve proper budgeting for sustainable operation and maintenance of buildings.

Keywords: Budgeting; facilities management; maintenance; cost (search for similar items in EconPapers)
Date: 2010
References: View complete reference list from CitEc
Citations: View citations in EconPapers (1)

Downloads: (external link)
http://www.tandfonline.com/doi/abs/10.1080/01446190903365665 (text/html)
Access to full text is restricted to subscribers.

Related works:
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: https://EconPapers.repec.org/RePEc:taf:conmgt:v:28:y:2010:i:4:p:415-427

Ordering information: This journal article can be ordered from
http://www.tandfonline.com/pricing/journal/RCME20

DOI: 10.1080/01446190903365665

Access Statistics for this article

Construction Management and Economics is currently edited by Will Hughes

More articles in Construction Management and Economics from Taylor & Francis Journals
Bibliographic data for series maintained by Chris Longhurst ().