African Urban Design Journal (Technical/Design focus) | 28 January 2008
Methodological Evaluation of Process-Control Systems in South Africa: Panel Data Estimation for Cost-Effectiveness Measurement
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Abstract
This study evaluates process-control systems in South Africa's urban infrastructure projects to assess their cost-effectiveness. Panel data estimation was employed to analyse the cost-effectiveness of process-control systems in South African urban projects, focusing on infrastructure improvements across multiple regions over time. A significant proportion (85%) of monitored projects showed a decrease in costs when implementing process-control systems compared to non-implemented projects, with an estimated reduction in total expenditure by $10 million per year on average. Process-control systems have demonstrated cost-saving potential in South African urban infrastructure projects, warranting further implementation and evaluation. Authorities should prioritise the adoption of process-control systems to enhance cost-effectiveness and efficiency in future urban development initiatives. The maintenance outcome was modelled as $Y<em>{it}=\beta</em>0+\beta<em>1X</em>{it}+u<em>i+\varepsilon</em>{it}$, with robustness checked using heteroskedasticity-consistent errors.