Construction industry is considered as one of the most important and second largest industries in India after agriculture. It is well known that most construction projects in Kerala are exposed to time and cost overrun or both. This phenomenon may affect the progress of construction industry in Kerala as well as may expose many institutions of construction to be destroyed. The study clarified that “labour and equipment factors" was the most critical factor that influence project delay. The survey also indicated that "material- related factors" occupied the second rank in importance. The study illustrated that prices fluctuations of constructions materials, tendering manoeuvres and design changes are some important factors that may lead to cost overrun. Also it clarified that contractor's delay of material delivery and equipment has led to cost overrun. The study also clarified that prices inflation highly contributes to cost overrun. The study recommends owners, contractors, and consultants to hold their responsibilities to avoid any delay or cost overrun which could be achieved by good management of the project, improving worker productivity and for storing the needed materials from the beginning of the project.
