Measuring the Effect of the External Factors on Iraqi Construction Projects Performance USING PESTLE Technique

Abstract

The efficiency of construction industry is positively contributing to cost saving, growth and economy improvement of all countries round the world. However, construction projects execution suffers from several restrictions and risks that affect projects progression operations, which commonly have a substantial negative effect on overall projects performance. Previous researches measured the effect of internal factors related to company or project specific on project performance and ignored the external factors.  This research seeks to fill this gap by using the PESTLE technique to measure the effect of the external factors on Iraq construction industry performance in terms of time, cost, and quality. The research data is collected by a survey questionnaire with several construction project practitioners in Iraq. The PLS-SEM is used to analyze the data and develop the measurement model. The results reveal that the model fits the nature of the data and the research variables. Investigating the effect of these factors will help construction industries to prevent or mitigate risks, control expenditures, and achieve competitive advantages.