Every project involved in oil and gas fabrication erected onshore usually experiences cost overruns. This cost overrun is closely related to the use of machines, manpower, methods, money, and materials (5M) in order in a project where all these resources require a good financial cycle. However, these cost overruns often occur due to improper management planned resource allocation. Therefore, this study was aimed to examine the issue on mismanaged resource allocation affected cost overruns specifically in oil and gas fabrication projects as a preliminary study. Semi structured interviews with ten (10) qualified specialists in the Engineering Procurement Construction (EPC) projects from the Oil and Gas industry were conducted for strengthening the assistance of the cost overruns issues. In accordance with the results of the expert's interview, there are several factors that contribute to project cost overruns, including inconsistent resource allocation to project activities, financial constraints, a lack of suitable resources, and difficulties obtaining resources that are compatible with project objectives. By using the ATLAS-ti to study the networks, it was revealed that money had a greater impact on the allocated resources and the issue of budget or money allocation that does not meet project requirements is a major issue which led to cost overruns. In conclusion, safety, time, quality, and cost are the key considerations for determining the success of the project performance for all projects that are managed by project management in conjunction with numerous phases that are involved from the project's beginning until it is successfully completed in accordance with contractual agreement. Cost or money is one of the most important aspects to pay attention on.
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