Establishment and Development of IBS in Malaysia

Abstract

Government of Malaysia has done a lot of effort to promote the usage of
Industrialised Building System (IBS) as an alternative construction methods compare to
conventional building system which is a more labour intensive. This paper describes the
experiences of Malaysia in the adoption of industrialised building system (IBS) from the first
level of establishment until its development along with various IBS definitions and categories.
A comprehensive literature review from various sources was made to carry out the study.
The idea of using IBS in Malaysia was first developed during the early sixties when the
Minister of Housing and Local Government visited several European countries and evaluated
their building systems performance. Then, in 1964, the government took a significant
decision to implement one pilot projects using IBS concept which was launched on 1966.
The findings of this research illustrated the timeline of IBS establishment and development in
Malaysia along with the significant consequences of IBS implementation in construction
industry. Therefore, it is hoped that the finding of this research could assist professional
parties in construction industry in providing a better knowledge ground for improving
decisions making to achieve the success of IBS construction projects implementation that
could be along with attaining the project objectives in terms of predetermined objectives that
are mostly within the time, specified budget and standard quality.

Full text

Abedi, M., Fathi, M. S. & Mirasa, A. K. (2011). Establishment and Development of IBS in Malaysia.
International Building and Infrastructure Technology Conference (BITECH 2011), 7 & 8 Jun 2011, Penang,
Malaysia
ESTABLISHMENT AND DEVELOPMENT OF IBS IN MALAYSIA
Mohammad Abedi1 , Mohamad Syazli Fathi2 and Abdul Karim Mirasa3
1, 2, 3 UTM RAZAK School of Engineering & Advanced Technology, Universiti
Teknologi Malaysia, International Campus, Kuala Lumpur, Malaysia
abedm1385@yahoo.com, syazli@ic.utm.my, abdkarim@ic.utm.my
ABSTRACT: Government of Malaysia has done a lot of effort to promote the usage of
Industrialised Building System (IBS) as an alternative construction methods compare to
conventional building system which is a more labour intensive. This paper describes the
experiences of Malaysia in the adoption of industrialised building system (IBS) from the first
level of establishment until its development along with various IBS definitions and categories.
A comprehensive literature review from various sources was made to carry out the study.
The idea of using IBS in Malaysia was first developed during the early sixties when the
Minister of Housing and Local Government visited several European countries and evaluated
their building systems performance. Then, in 1964, the government took a significant
decision to implement one pilot projects using IBS concept which was launched on 1966.
The findings of this research illustrated the timeline of IBS establishment and development in
Malaysia along with the significant consequences of IBS implementation in construction
industry. Therefore, it is hoped that the finding of this research could assist professional
parties in construction industry in providing a better knowledge ground for improving
decisions making to achieve the success of IBS construction projects implementation that
could be along with attaining the project objectives in terms of predetermined objectives that
are mostly within the time, specified budget and standard quality.
Keywords: Industrialised Building System, Malaysia, IBS Roadmap, Project Objectives,
CIDB.
1. DEFINITION OF IBS
Government of Malaysia has done a lot of effort to promote the usage of
Industrialised Building System (IBS) as an alternative construction method.
Since the first project of IBS in year 1966, there has not been one absolute
definition on Industrialised Building System (IBS) that could be describes the
entire building construction system. However, there are several definitions by
researchers who studied into building construction emphasizing on the concept
on off-site construction (Pan, 2008) off-site production (Blismas, 2006),
industrialized and automated construction (Warszawski, 1999), off-site
manufacturing, prefabricated building, pre-assembled building (Gibb, 2003).
Furthermore, IBS could be more elaborated by other definitions such as pre-cast
building, pre-cast construction, non-traditional building, innovative building
solutions and a Modern Method of Construction (MMC) (Goodier et al., 2007).
Different definitions of IBS have been established by many researchers as
illustrated in Table 1.

Table 1. Definitions of IBS
Author IBS Definition
Chung
(2007)
Mass production of building components either in a factory or at site
according to specifications with standard shapes and dimensions
and which are then transported to the construction site to be re-
arranged with certain standards to form a building.
Rahman and
Omar (2006)
A construction system that is built using pre-fabricated components.
The manufacturing of the components is systematically done using
machine, formworks and other forms of mechanical equipment.
Lessing et
al., (2005)
An integrated manufacturing and construction process with well
planned organization for efficient management, preparation and
control over resources used, activities and results supported by the
used of highly developed components.
Gibb (1999)
Preassembly for a given piece of work; the organization and
completion of a substantial proportion of its final assembly work
before installation in its final position including forming any
temporary work or pre-assembly and it can also be carried out on or
offsite which would involve the standard coordination.
Trikha (1999)
Two definitions have been created:
1) A system of construction that has been made to be mainly
industrialized in its manner and process, such as the
manufacturing of automotive components and furniture.
2) A system in which concrete components are prefabricated at
site or in a factory and are assembled to form the structure with
minimum on-site construction.
Warszawski
(1999) A set of interrelated elements that act together to enable the
designated performance of the building.
Esa and
Nurudin
(1998)
A continuum beginning from utilizing craftsmen for every aspect of
construction to a system that make use of manufacturing production
in order to minimize resource wastage and enhance value for end
users.
Parid Wardi
(1997) A system which uses industrialised production techniques either in
the production of components or assembly of the building or both.
Junid (1986)
A process, by which components of a building are conceived,
planned and fabricated, transported and erected at site. The system
includes a balanced combination between software and hardware
component. The software element includes system design, which is
a complex process of studying the requirement of the end user,
market analysis and the development of standardized components.
Dietz, A.G.H
(1971)
Total integration of all subsystem and components into overall
process fully utilizing industrialized production, transportation and
assembly technique.
The most significant, feasible and practical definition of IBS in Malaysia was
introduced by the Construction Industry Development Board in Malaysia’s
Roadmap of IBS (CIDB, 2003). CIDB defines IBS as a construction technique in
which components are manufactured in a controlled environment (on or off site),
transported, positioned and assembled into a structure with minimal additional
site works. This research will use the definition by CIDB in categorising the
building construction system. However, Industrialised Building System (IBS) is
not new to the construction industry because it has just again become feasible
and visible in Malaysia as a valuable solution to improve the construction

industry mainly in terms of efficiency and productivity. In a larger view and open
minded perception, IBS is further than implementing the construction project
through prefabricated methods. According to Kamar et al., (2009), IBS is about
the changing of conventional mindset, enhancing the capability, competency and
value of human capital, developing better cooperation, team working and trust
among the parties in construction industry, promoting intelligibility, innovation,
transparency and most significantly the high integrity that will eventually enhance
the productivity and efficiency within the construction industry. IBS has been
identified as a potential method to improve overall construction performance in
Malaysia in term of quality, cost effectiveness, safety and health, waste
reduction, efficiency and productivity.
There are many benefits of Industrialised Building System (IBS) as a modern
method of construction such as reduction in construction time, less site
materials, better site management, minimal wastage, cleaner and neater
environment, controlled quality, reduction of labour intensity, construction
standardization, quality improvement and lower total construction costs that will
eventually produce better products for the parties such as clients and contractors
in construction industry (Kamar et al., 2009). The Malaysian government have
implemented a lot of various significant efforts in to bringing the IBS for all
professionals involved in the construction industry. One of these significant
efforts is the establishment of IBS Roadmap 2003 -2010 that has been endorsed
by the Government to be the blueprint document for the industrialisation of the
Malaysian construction sector. The effort to promote the usage of IBS as a
valuable (efficient and effective) alternative compare to conventional and labour
intensive construction method should be more emphasized by the CIDB of
Malaysia. Also, Kamar et al., (2009) asserted that although members of the
industry are open to the idea, a major portion of the industry stakeholders are
indifferent, perhaps due to resistance towards change, insufficient information
and lack of technology transfer methods to support the feasibility of change to
IBS. Successful IBS projects are Sekisui Home (Japan), Living Solution (United
Kingdom), Open House (Sweden) and Wenswonen (Netherlands) (Oostra &
Joonson, 2007).
According to Astrand (2002), the existing process of selecting innovative
building systems or IBS can be divided into two main stages which are pre-
occupancy and occupancy. Abdullah and Egbu (2010) stated that the decisions
in pre-occupancy stage, (pre-design stage and design stage) are significantly

valuable in terms of efficiency, effectiveness and productivity that will be made
by stakeholders. These valuable decisions can be considered as combined,
shared, united and consensus decision-making, because there is an efficient
and well organized cooperation between the design teams and clients that will
eventually discuss the best alternative for the building system to be implemented
in the construction project. Furthermore, providing efficient, proper and adequate
information beside the project knowledge will lead us to create and develop the
best decision-making process. Knowledge based decision-making can reduce
uncertainty for successful implementation of risk management that will facilitate
the construction project parties to achieve the project objectives in terms of time,
cost and quality to eventually enhance the success of construction projects.
2. ESTABLISHMENT AND DEVELOPMENT OF IBS IN MALAYSIA
IBS in Malaysia has been established, introduced and applied in construction
industry in order to deal with a growing demand of affordable housing, solving
issues associated with foreign workers and improving quality, efficiency and
productivity of construction industry. Nowadays, IBS has evolved and
implemented in hybrid construction projects to build national landmark as
significant valuable national assets. From the comprehensive literature review,
establishment and development of IBS have been illustrated through the timeline
as shown in figure 1.
First Pilot Project
on IBS in Jalan
Pekeliling, Kuala
Lumpur
1
9
6
6
1
9
6
8
1
9
7
8
1
9
7
8
1
9
9
9
2
0
0
1
2
0
0
3
2
0
0
4
2
0
0
6
2
0
0
7
2
0
0
8
2
0
1
0
2
0
1
5
1
9
8
0
Second Pilot IBS
Project in
JalanRifle Range,
Penang
The Idea of
IBS in
Malaysia
Was
Created
Ta m a n Tu n
Sardon, Penang
Approved by
Cabinet on 9
July 2010
The Penang
State
Government
Launched
Another 1200
Units of
Housing
The Ministry of Defense Build
2800 Unit of Living Quarters
at Lumut Naval Base
IBS
Strategic
Plan
IBS Roa dmap
Review 2008-2010
Manual for IBS
Content
Scoring
Diterbitkan
MS 1064:
Modular
Coordination as
Guideline for
Building Design
2
0
1
1
Construction Industry Master
Plan 2006-1015
IBS Roadmap 2011-2015
IBS Centre
IBS Roadmap 2003-2010
Manual for IBS
Content Scoring
CIS 18 2010:
Diterbitkan
1
9
6
0
Figure 1. Establishment and Development of IBS Timeline in Malaysia

According to figure 1, various efforts have been adopted since the
establishment of IBS in Malaysia on the early 1960’s. Furthermore, these efforts
has been reviewed and improved for enhancing the efficiency, effectiveness and
successful implementation of IBS until 2015.
The usage of IBS in Malaysia has begun since early 1960’s in a low cost
housing scheme when Ministry of Housing and Local Government of Malaysia
visited several European countries and evaluated their housing development
program (Thanoon et al., 2003). After their visit in 1964, the Government had
launched first pilot project on IBS to speed up the delivery time and built
affordable and quality houses. Almost, 22.7 acres of land along Jalan Pekeliling,
Kuala Lumpur was dedicated to the project comprising seven blocks of 17-storey
flats (3,000 units of low-cost flat and 40 shops lot). This project was awarded to
JV Gammon & Larsen and Nielsen using Danish System of large panel pre-cast
concrete wall and plank slabs. The project was completed within 27 months from
1966 to 1968 including the time taken in the construction of the RM 2.5 million
casting yard at Jalan Damansara (CIDB, 2006; CIDB, 2003 and Thanoon et al.,
2003). In 1968, the Government of Malaysia launched a second housing project
which was a six block of 17-storey flats and three blocks of 18-storey flats at
Jalan Rifle Range, Penang. The project was awarded to Hochtief/ Chee Seng
using French Estoit System (CIDB, 2006; CIDB, 2003 and Din, 1984).
According to the two pilot projects, a performance comparison between the
IBS system and conventional system has been carried by Thanoon et al., (2003)
in terms of cost, productivity, and quality. It was discovered that the first pilot
project incurred 8.1% higher cost than a similar building using conventional
construction method, while the second project was 2.6% lower than conventional
construction method. In term of construction speed, both projects required 27
months to complete, inclusive of time required to set up the recasting factories.
Also, it was found that the quality of building finishes was better than the
conventional construction method.
Precast concrete is one of the main IBS category built in Malaysia since
1960s. However, according to Rahman and Omar (2006) these buildings were
normally associated with pre-fabricated mass construction method, low quality
buildings, leakages, abandoned projects, unpleasant architectural appearances
and other drawbacks. Among the earliest housing development project using
IBS was at Taman Tun Sardon, Penang in 1978, (1,000 units of five-storey walk
up flat). IBS pre-cast component and system in the project was designed by

British Research Establishment for low cost housing in tropical countries
(BRECAST system). A similar system was constructed almost at the same time
at Edmonton, North London and about 20,000 BRECAST dwellings were
constructed through out UK from 1964 to 1974 (CIDB, 2006).
Rahman and Omar (2006) also indicated that due to the poor architectural
design, the old pre-fabricated buildings have given the public, bad impression
about precast concrete. There have been quite a number of cases where the
use of IBS had lead to such drawbacks such as, in the case of Pekeliling Flats in
Kuala Lumpur and Taman Tun Sardon, Gelugor, Penang. These two early pre-
fabricated flats were constructed in mass to produce low cost accommodation
for lower income groups. In the case of Taman Tun Sardon the design was very
basic and not considering the aspect of serviceability such as the need for wet
toilets and bathrooms. Lacking in this design consideration leads to problems of
leakage that becomes the common issue with precast buildings. In addition, in
many cases the low cost housing was not maintained properly, thus contributing
further to the poor image of IBS buildings. Other important aspect is the quality
inspection which in housing construction is one of the major factors that general
contractors have to consider for improving customer satisfaction and raising their
intake in the industry (Kim, Oha, et al., 2008).
In 1978, the Penang State Government launched another 1200 units of
housing using prefabrication technology. Two years later, the Ministry of
Defense adopted large prefabricated panel construction system to build 2800
unit of living quarters at Lumut Naval Base (Trikha and Ali, 2004).
Nevertheless, the industrialisation of construction at its beginning stage on
the early 1960’s was never sustained. This issue could be due to failure of early
closed fabricated system which made the professional parties in construction
industry afraid of changing their construction method. Furthermore, other
overseas systems that were introduced during 60s and 70s were found
unsuitable for the Malaysia climate and social practices. Hence, newer
technologies were constantly being introduced to the market such as wet joint
systems that were identified to be more suitable choice for Malaysia tropical
climate. For instance, it was better to utilise the bathroom types which were
comparatively wetter than those types in the European countries (CIDB, 2005).
In the period of 1980 till 1994 there is a huge gap of discontinuous and
decreasing the IBS utilization towards developing and implementing the IBS.
This could be because of problems in the leakage of IBS design that eventually

contributing to poor image of IBS buildings for construction industry. Also, this
gap could be due to lack of clients and contractors trust and interest to these IBS
systems. IBS was not popular in 1980 to 1994. However, IBs become more
popular in 1990’s when many Malaysian infrastructure and mega projects were
build especially for the Commonwealth games in 1998. As a result in Malaysian
construction industry during 1994-1997, pre-cast, steel frame and other IBS
were used as hybrid construction method to build national landmarks such as
Bukit Jalil Sport Complex, Kuala Lumpur Convention Centre, Lightweight
Railway Train (LRT) and Petronas Twin Towers (Kamar et al., 2009 and CIDB,
2006).
According to Construction Industry Development Board (CIDB, 2005) based
on the resolution which was made during the Colloquium of Industrialised
Construction System in 1998, the CIDB eventually formed the IBS Steering
Committee on 1999 for the effort to bring to the forefront all the IBS related
issues in a framework to promote the greater usage of IBS in the construction
industry and to drive the industry forward. The IBS Strategic Plan in 1999 was
published as a result for establishment of this committee. After this significant
effort in 2001, one early initiative was the introduction of the Modular
Coordination Guideline for Building Designs (“MS1064”) which is essential for
the adoption of IBS in the industry. This guideline was a public-private joint
effort towards standardisation through modular coordination. However, this
guideline was not made compulsory. The Construction Industry Master Plan
2006-2015 (CIMP 2006-2015) has been published in December 2006 as means
to chart the future direction of the Malaysian Construction Industry. The
importance and effort to promote IBS is highlighted under Strategic Thrust 5:
Innovate through R&D to adopt new construction methods such as IBS in the
Construction Industry Master Plan 2006-2015 (CIDB, 2007).
These various significant efforts by the government to promote the usage of
IBS as an alternative compare to the conventional method did not made
significant progress. Therefore, the IBS Roadmap 2003-2010 was developed
and published to steer the direction of IBS implementation and promotion
activities, guide the practitioners and policy makers on IBS related issues in
ensuring the global competitiveness of Malaysian construction players through
the efficient and effective usage of IBS. It is a systematic and coordinated
blueprint which is mainly focused towards achieving totally an industrialized
construction industry for Malaysia and achieving open building systems concept

by the year 2010. The formulated roadmap is a comprehensive document that
divided the IBS programme into a 5-M strategy (five main focus areas) that
reflects the inputs needed to drive the programme which are Manpower,
Materials, Management, Monetary and Marketing (CIDB, 2003).
The various efforts by the government to promote the usage of IBS such as
IBS Roadmap 2003-2010 as a significant valuable alternative for construction
industry on the end of 2010 did not achieve the goals of this roadmap. According
to CIDB in Malaysia (CIDB, 2011), only one KPI (Monetary) out of the 5
measurable KPI’s was achieved. The KPI’s was categorized to Manpower
(Reducing the percentage of foreign workers), Monetary (Enhancing the
percentage of governmental construction projects using IBS), Materials
(Increasing the numbers of IBS Manufacturers), Bumiputera Development
(Increasing the numbers of Bumiputera IBS Manufacturers), Bumiputera
Development (Increasing the numbers of Bumiputera IBS contractors or
Installers). Hence, the new IBS Roadmap 2011-2015 is developed by CIDB
under consultation with the industry players to chart the way forward for IBS
industry. On the other hand, Construction Industry Development Board (CIDB,
2011) have emphasized on four policy objectives including quality, efficiency,
competency and sustainability leading to a sustainable IBS industry that will
eventually contribute to the competitiveness of construction industry in Malaysia.
The main goals for this IBS Roadmap 2011-2015 were encapsulated below:
1. To sustain the existing momentum of 70% IBS content for public sector
building projects through to 2015.
2. To increase the existing IBS content to 50% for private sector building
projects by 2015.
3. CLASSIFICATION OF IBS SYSTEM IN MALAYSIA
In Malaysia, Construction Industry Development Board (CIDB, 2003) has
classified the IBS system into 5 categories as follows:
i). Precast concrete framed buildings, ii). Precast concrete wall system,
iii). Reinforced concrete buildings with precast concrete slab, iv). Steel
formwork system and v). Steel framed buildings and roof trusses.
4. ADVANTAGES AND DISADVANTAGES OF IBS
Despite its plausible advantages and systematic implementation plan
established trough the IBS Roadmap, numbers of barriers were identified as

being potential hurdles to the implementation. One of the most important barriers
to IBS Implementation in Malaysia is Awareness and Knowledge (Kamar et al.,
2009). According to IBS Roadmap Review (CIDB, 2007) report, the adoption of
IBS in Malaysia is a client driven. Client with a good knowledge and awareness
of IBS benefit will surely encourage appointed designers to design building
according to IBS. However, lack of awareness program to understand client
needs and giving correct information on IBS has contributing to a lack of interest
from the client and decision makers (Rahman & Omar, 2006). Relatively, the low
labor cost in Malaysia is the main root cause of the construction industry failing
to reform and being complacent with the current systems of IBS, which if
implemented will eventually enhance the level of productivity, efficiency, quality
and safety (CIDB; IBS Roadmap Review, 2007). However, to be competitive
at the international level and become globalized, it is important for the Malaysia
construction industry to evolve, be well organized and prepared. This aim will be
facilitated and achieved through enhancing the productivity, efficiency, quality
and safety of construction industry. The advantages and disadvantages of IBS
can be also compared and justified with the conventional system, whereas,
conventional construction methods that have proven to be more time consuming
, wasteful, dangerous and messy are illustrated in table 2.
Table 2. Advantages and Disadvantages of IBS
Advantag
es of
Industrial
ized
Building
Systems
1. Achieving Higher Quality through careful selection of material, use of
advanced technology and strict quality assurance control (Thanoon et al.,
2003).
2. Faster Construction Time: Wisam (2005) asserted that faster completion
of projects will be achieved due to advance off-site preparations and
simplified installation process.
3. High Cost Saving: Control in using materials, such as: steel, sand, and
timber will contribute in savings in material cost and savings in labor cost that
will ultimately result in substantial savings on the overall cost of the project
(Bing et al., 2001).
4. Reduction of Unskilled Workers and Fewer Site Workers: Warszawski,
(1999) indicated that IBS and particularly prefabrication takes place at a
centralised factory, thus reducing labour requirement at site.
5. Enhancing the Social Benefits: Reducing the dependency on foreign
workers and reducing the money outflow and their social problems, low
quality works, delays, and diseases (CIDB, 2009).
6. Increased Environmental and Construction Site Cleanliness:
According to Wisam (2005), this could be achieved through reduction of
construction material at site and reduction of waste materials at site duo to
casting in factory.
7. Increasing the Safety: Implementing IBS will promote safe and
systematic factory working environment as minimal workers, materials and
construction waste is required on-site (CIDB, 2003).

Disadvan
tages of
Industrial
ized
Building
Systems
1. Higher Initial Investment Cost: IBS requires high initial investment
capital for pre-casters to purchase new machinery, mould, importing
foreign technology and wages of skilled workers (IBS Steering
Committee, 2006; Thanoon et al., 2003; Rahman & Omar, 2006).
2. The Industry is Uncompetitive Due to Lack of Open Collaboration:
Contractors in Malaysia are obligate to close system and getting supply from
the same manufacture throughout the construction (Chung & Kadir, 2007).
3. Specialized Skills which Require more Time and Investment:
This is due to intensive training and apprenticeship such as system
integrator or assemblers (Thanoon et al., 2003; IBS Steering
Committee, 2006; Rahman & Omar, 2006).
5. CONCLUSION
Industrialised Building Systems (IBS) is a construction process that utilizes
techniques, products, components, or building systems which involves mainly
the prefabricated components and onsite installation. Successful and effective
implementation of IBS in Malaysia construction industry can offer various
benefits compare to conventional in-situ systems. Those are: the speed of
construction, less wastage of materials which means cost savings, reduction of
unskilled workers, better quality control of construction, increased site
cleanliness and safety in construction projects. These are very important aspects
in achieving the efficient and effective construction industry which will enhance
the market share of construction industry as well as contributing to the Malaysian
economy. The government has done a lot of efforts to enhance the current
conventional, labor-intensive activities to a more technologically advanced
method of construction such as by developing the Industrialised Building
Systems (IBS) through the Construction Industry Development Board (CIDB).
The government had efforts in creating the 1st and 2nd IBS Roadmap to put
Malaysia construction industry in producing fast, cost effective and high quality
construction products and able to compete with the global construction market.
6. ACKNOWLEDGEMENT
The authors would like to thank Universiti Teknologi Malaysia for sponsoring this
research through grant number Q.K130000.7140.01J58.


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