Assessment of the strategies that mitigate cost overruns in construction projects: A case study in the Free State

Cost overruns remain a major challenge in construction projects, often resulting in financial losses, delayed completion and reduced project performance. This study assessed the strategies used to mitigate cost overruns in construction projects in the Free State Province of South Africa. A qualitative research approach was adopted, using semi-structured interviews to collect data from 15 construction professionals with experience in project planning, cost management, and project delivery. The participants included project managers, construction managers, quantity surveyors, contractors, and other relevant built-environment professionals. The interview data were analyzed thematically to identify the key strategies for controlling project costs. The findings revealed that effective cost-overrun mitigation depends on accurate cost estimation, realistic budgeting, comprehensive project planning, regular cost monitoring, efficient procurement, early risk identification, effective communication and strict management of scope changes. The study also found that experienced project teams, timely decision-making, and improved coordination among stakeholders contribute to better cost performance. However, the effectiveness of these strategies is often weakened by inadequate planning, delayed payments, material-price fluctuations, poor contractor performance and limited cost-control skills. The study concludes that cost overruns can be reduced through integrated cost-management practices applied throughout the project life cycle. It recommends improved pre-contract planning, continuous cost reporting, stronger risk-management systems, and enhanced collaboration among project stakeholders.