Examining the Effectiveness of Cost Management Processes in Project Management: A Case Study of the Lusaka-Ndola Dual Carriageway

This study sought to examine the effectiveness of cost management processes in project management, using the Lusaka-Ndola Dual Carriageway as a case study. The general objective of this research is to assess how cost management strategies and practices influence the financial performance and delivery of infrastructure projects. Specifically, the study aims to: (i) establish the types of cost management systems and tools used in the Lusaka-Ndola Dual Carriageway project; (ii) analyze the effectiveness of the current cost management processes in controlling project expenditures and ensuring value for money; and (iii) ascertain the limitations and challenges faced in implementing efficient cost management mechanisms in the project. The study adopted a case study exploratory design, employing a mixed-methods approach to capture both quantitative and qualitative data. Primary data were collected from project managers, financial controllers, engineers, and procurement officers involved in the Lusaka-Ndola Dual Carriageway project through structured questionnaires and in-depth interviews. Quantitative data were entered and analyzed using STATA, applying descriptive statistics such as frequencies, percentages, and means to summarize the findings. Chi-square tests were conducted to examine associations between cost management practices and project performance. Qualitative data from interviews were analyzed thematically to identify key patterns, challenges, and insights. The study findings show that cost management in the Lusaka–Ndola Dual Carriageway Project relies heavily on traditional methods supported by gradual digital adoption. The unit rate method was the most applied cost estimation technique (40%), while bottom-up budgeting dominated (35%), indicating participatory financial planning. A hybrid cost control system (40%) and widespread use of MS Excel (50%) demonstrate a transition toward digital tools, though specialized software remains underused. Bills of Quantities (50%) served as the main basis for cost planning, while quantity surveyors (45%) were the primary cost managers, confirming technical dominance in project control. A significant relationship (χ² = 96.667, p = 0.000) between budget revision frequency and cost alignment suggests that frequent reforecasting improves financial accuracy. However, limitations persist, including lack of digital systems (35%), poor documentation (35%), and material price instability (35%), which hinder data accuracy and cost control. Chi-square tests confirmed significant links between cost data accuracy and cost tool limitations (p = 0.001), and between cost overruns and budget variance sources (p = 0.001), showing interdependence between management processes. Institutional barriers such as weak policy frameworks (30%) and bureaucratic approvals (25%) further constrain efficiency, emphasizing the need for stronger digital integration, policy reform, and capacity building in cost management for large infrastructure projects. The Lusaka–Ndola Dual Carriageway Project applies structured cost management combining traditional methods like unit rate and bottom-up budgeting with emerging digital tools, though hybrid systems and MS Excel indicate partial modernization. Cost estimates largely aligned with actual expenditures, but material price fluctuations and design changes contributed to overruns, and integration with scheduling was limited. Key challenges included inadequate digital infrastructure, inconsistent data, limited skilled personnel, and institutional inefficiencies, affecting cost control and reporting. The study recommends enhanced digital adoption, staff training, improved data integration, contingency planning, and stronger institutional frameworks to achieve more effective and efficient cost management.