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Malaysia considers the construction industry as one of the main contributors for the country"s Gross Domestic Product (GDP) towards a developed country by 2020. In view of that, Malaysian Government proposed a new strategy through industrialization technology called Industrialized Building System (IBS). Although IBS was introduced since 40 years ago, with well-documented benefits and strong support from the Government, the pace of implementation and usage of IBS is still slow and below of the Government target. Current literature found out that investigation by many researchers mostly focusses on technical (hard) issues such as design structure, material testing and product development rather than on the studies related to management or soft issues, such as vendor development programs, readiness of practices, collaborative and integrated design, and supply chain processes. With regards to the challenge, this research is hoped to highlight issues pertaining on supply chain perspective towards the betterment of the IBS implementation in the Malaysian construction industry. Therefore, this paper will review the trend of Malaysian IBS in the current construction industry. Later on, followed by suggestions for the future work for more efficient and effective IBS implementation in Malaysia.
A Review of IBS Malaysian Current and Future Study
Mohd Nasrun Mohd Nawi
, Herman Shah Anuar
, Angela Lee
School of Technology Management and Logistic, Universiti Utara Malaysia, 06010 Sintok,
Kedah, Malaysia.
School of Built and Human Environment, University of Salford, United Kingdom.
Abstract: Malaysia considers the construction
industry as one of the main contributors for the
country‟s Gross Domestic Product (GDP) towards
a developed country by 2020. In view of that,
Malaysian Government proposed a new strategy
through industrialization technology called
Industrialized Building System (IBS). Although
IBS was introduced since 40 years ago, with well-
documented benefits and strong support from the
Government, the pace of implementation and usage
of IBS is still slow and below of the Government
target. Current literature found out that
investigation by many researchers mostly focusses
on technical (hard) issues such as design structure,
material testing and product development rather
than on the studies related to management or soft
issues, such as vendor development programs,
readiness of practices, collaborative and integrated
design, and supply chain processes. With regards to
the challenge, this research is hoped to highlight
issues pertaining on supply chain perspective
towards the betterment of the IBS implementation
in the Malaysian construction industry. Therefore,
this paper will review the trend of Malaysian IBS
in the current construction industry. Later on,
followed by suggestions for the future work for
more efficient and effective IBS implementation in
Keywords: Malaysian Construction,
Industrialised Building System (IBS), Supply
1. Introduction
The Construction Industry Development Board
(CIDB) Malaysia, in collaboration with various
organizations representing the
construction industry, developed the Construction
Industry Master Plan (CIMP) that identified and
recommended measures to address these problems
and challenges (CIDB, 2009). Thus, the Malaysian
construction industry has been urged to use
innovative construction techniques, and to move
from the traditional practice (or method) of bricks
and mortar system (non-IBS projects) to an
Industrialized Building System (IBS) of
construction, or Off-site Manufacturing/ Off-site
Construction as it is more commonly termed in
other countries. The importance of IBS was
highlighted under Strategic Thrust 5: Innovate
through R&D to adopt a new construction method
in the Construction Industry Master Plan 2006-
2015 (CIMP 2006-2015) which has been published
as a means to chart the future direction of the
Malaysian construction industry (CIMP, 2005).
This initiative has been recommended for the
analysis of IBS used in other countries, such as the
UK government commissioned reports which have
proposed IBS as an important contributor to
progress in the construction industry (Blismass &
Wakefield, 2008; Barker, 2004; Egan, 1998).
Numerous studies (Nawi., 2011a; Buildoffsite,
2008; Pan, 2006; Venables et al., 2004; Parry et al.,
2003; IEM, 2001; Gibb, 1999) showed that
implementation of IBS offers a significant number
of benefits to adopters. These would be in terms of
cost and time certainty, attaining better
construction quality and productivity, reducing
risks related to occupational health and safety,
reducing the number of skilled workers and
dependency on manual foreign labor, and achieving
the ultimate goal of reducing the overall cost of
construction whole life performance and profits.
Based on these benefits, Malaysian government
had recognized IBS as one of the strategies in the
National Construction Industry Master Plan which
aimed to speed up the delivery time, and to build
affordable and quality houses.
2. Methodology
This ongoing research is still at the initial stage;
therefore, the information presented in this paper is
primarily based on the thorough review of the
International Journal of Engineering Research & Technology (IJERT)
Vol. 2 Issue 10, October - 2013
ISSN: 2278-0181
relevant literature within the scope of the
Industrialized Building System (IBS) and
construction fragmentation. Wisconsin (2008)
identified that a literature review is a “critical
analysis of a segment of a published body of
knowledge through summary, classification, and
comparison of prior research studies, reviews of
literature, and theoretical articles.” Through the
literature review, the definition, application,
related, current and future studies of Industrialized
Building System (IBS) in the construction project
are being examined and highlighted. This study
will concentrate on the Malaysian construction
industry, particularly on the implementation of the
entire IBS value chain. The timeline for this study
will focus after the CIMP (2005) being launched
until today.
At the same time, numerous tools and strategies
developed to improve IBS supply chain process
and team integration in the traditional practice and
its future applicability for IBS will be discussed as
well. Data and information will be gathered directly
from libraries, books, articles and other printed
materials searched in the international and national
journals, proceedings and bulletins. This literature
review is very important and helpful in the process
of developing for the theoretical sections of the
actual research.
3. Current Trend in IBS Research
Despite the well-documented benefits and strong
support from the Malaysian government, the take-
up for IBS has not been as high as anticipated
(Hamid et al., 2008; IBS Roadmap Review, 2007;
Waleed et al., 2003). The low cost of labor and
high dependency on a foreign workforce in
Malaysia could, perhaps, be the root cause of the
problem (Kamar et al., 2009; Hamid et al., 2008;
IBS Roadmap Review, 2007). Although members
of the industry are open to the new idea, a major
proportion of industry stakeholders in the private
sector are indifferent, perhaps due to resistance to
change, and insufficient funds and information to
support the feasibility of change (Kamar et al.,
2009; Hamid et al., 2008).
In an attempt to understand the poor diffusion of
IBS, some researchers (Nawi et al., 2011b; Kamar
et al., 2009; Hamid et al., 2008; IBS Roadmap
Review, 2007; Nawi et al., 2007a) had investigated
the barriers to effective IBS implementation in
construction. One of the main barriers of IBS
implementation in the Malaysian construction
industry is related to poor integration among
stakeholders during the design stage (Kamar et al.,
2009; Haron et al., 2009; Hashim et al., 2009;
Chung, 2006; Haron et al., 2005; Thanoon et al.,
2003a) and it is reported that this is more critical to
address this issue rather than the aforementioned
barriers to IBS implementation (CREAM, 2010;
CIDB, 2009; Blismass & Wakefield, 2008; IBS
Roadmap Review, 2007). This central issue can
specifically affect the various stakeholders in the
IBS value chain: either, manufacturers, designers,
local authorities, contractors, suppliers or clients.
These problems requests for an improvement in
communication and integration among the relevant
IBS players such as designers, contractors and
manufacturers, more so at the design stage (CIDB,
According to CIDB (2009) and IBS Roadmap
Review (2007), a radical improvement in the
procurement system and supply chain process
towards a more integrated approach is needed in
order to achieve successful IBS implementation. As
construction becomes more innovative, competitive
and complex, more participants are involved in IBS
projects and thus, more integrated and collaborative
approach is needed especially during the design
phase of the construction project life cycle process.
In addition, the current research trend of IBS in
Malaysian came from both practical and academic
perspectives. From a practice perspective, previous
studies identified that the construction industry still
facing following problems:
The IBS Roadmap (2003) sets the target for at
least 50% of completed projects in Malaysia
will have used IBS by the year 2006, and this
figure should increase up to 70% by the year
2008. According to the IBS Roadmap Review
(2007), it was reported that approximately 10%
of completed projects in Malaysia used IBS,
while less than 35% of total construction
projects used at least one IBS product in the
year 2006. Hence, IBS usage falls significantly
low from the government target. Nevertheless,
the government is still pushing forward the
implementation of IBS in order to address the
challenges of the industry (CIDB, 2009).
Therefore, there is a lot more to be done for a
Malaysian government‟s strategy to improve
the IBS implementation,
Nawi et. al (2012) highlighted the importance
of supply chain collaboration and set a target
of 20% of construction projects (by value) that
should be undertaken by integrated teams and
collaborative supply chains by the end of 2004,
rising up to 50% by the end of 2007. However,
in reality, the IBS Malaysian industry as a
whole is still highly fragmented. The
confrontational culture still prevails in the
There are lacking on the appropriate guidance
for IBS Malaysian construction practitioners
on how to understand the key issues of
integrated teams and how they can achieve
continuous improvement (Nawi et al., 2012;
International Journal of Engineering Research & Technology (IJERT)
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ISSN: 2278-0181
CIDB, 2009; Faizul, 2006). Although
integration frameworks, concepts and
principles such as partnering, concurrent
engineering (CE), lean principle, and supply
chain management (SCM) exists, most of them
did not provide any specific guidelines to be
followed by practitioners on how to achieve
effective integrated design team delivery
especially for Malaysian IBS implementation.
From the perspective of academic research, the
following drivers for this research are relevant:
Many studies on IBS usage in the Malaysian
construction industry focus on two areas;
firstly, a cluster of studies focus on technical
(hard) issues such as design structure, material
testing and product development (Rashid,
2009; Haron et al., 2005); secondly, there are
limited studies relating to management or soft
issues, such as vendor development programs,
readiness of practices, collaborative and
integrated design and supply chain processes
(Hanafi, 2008). Hence, management/ soft
issues need to be further investigated because
of its broad research focus to facilitate
widespread IBS implementation in Malaysia.
The construction industry has been encouraged
to learn from the manufacturing industry
(Egan, 1998; Blismass & Wakefield, 2008).
These reports clearly encouraged designers,
manufacturers and developers work together
(collaborate) to create a design-led solutions,
to meet the needs of the modern household at
an affordable price. Since there has been a lack
of integration in the construction industry,
emergent schemes such as concurrent
engineering (CE), supply chain management
(SCM), lean principle and partnering have
been established. In contrast, many of these
initiatives do not fully address the problem and
therefore have not achieved the expected
success. Further study is needed to improve
Most research in Malaysia promotes the
benefits of IBS (Hamid et al., 2008; IBS
Roadmap Review, 2007; Thanoon et al.,
2003a; IBS Survey, 2003) but fail to briefly
develop guidelines on how it can be
implemented, particularly on how to improve
team integration.
Based on the above discussion, the need for greater
team integration and collaboration of the supply
chain particularly in design project team delivery of
Malaysian IBS projects are paramount. According
to Titus & Brochner (2005), to achieve integration,
improvement in communication and relationship
are needed. This includes maintaining a long-term
relationship with supply chain members (Buzell &
Ortmeyer, 1995), working cooperatively and
without boundaries with various project members
(Baiden et al., 2006), free information sharing with
the supply chain (Lee & Whang, 2000), strong
commitment at all levels of the multidisciplinary
project team (Evbuomwan & Anumba, 1998); and
operating in an atmosphere where relationships are
equitable, members show respect for each other and
operate a „no blame‟ culture (Dainty et al., 2001).
In this context, information and knowledge sharing
is a fundamental approach that underpins both
communication and collaboration. According to
Baiden et al (2006), this information sharing
approach can be achieved through an integrated
working environment that involves different
participants. However, tangible examples of full
integration achievement in the industry are limited
(Nawi & Lee, 2010; Vyse, 2001; Vincent &
Kirkpatrick, 1995). Previous researchers (Lee,
2002; Akintoye, 2000; Egan, 1997; & Latham,
1994) suggested that level of integration is still
lacking in the construction process, particularly
during the design stage.
Even though many studies (e.g. Song et al, 2006;
Baiden et al., 2006; Buzell & Ortmeyer, 1995)
have concentrated on this area that attempt to
improve construction design team integration, they
do not provide any specific guidelines on how to
achieve successful integrated design team delivery.
Many frameworks/ approaches that have been
developed to aid project team integration through
„relationship contracting and integrated
procurement such as Design and Build, Early
Contractor Involvement, Partnering (Bowron,
2002; Edwards, 2007; Matthews, 1996; Chan et al.,
2003; Black et al., 2000); Concurrent Engineering
(Kamara et al., 2000; Evbuomwan & Anumba,
1998; Broughton, 1990); Lean Thinking (Huovila,
et al., 1997; Matthews & Howell, 2005); and
Supply Chain Management (Khalfan &
McDermott, 2009; Love et al., 2003; Vrijhoef &
Lauri Koskela, 1999). However, the impact of these
initiatives on the implementation of IBS is still
4. Recommendations for Future Work
This section discusses related areas of research
where additional investigations may be valuable or
would further improve the level of adoption in
implementation of Malaysian IBS. In the entire
process of this research, there are various issues
that were uncovered and highlighted. In response to
that challenge, and consistent with the needs of the
construction industry, therefore, some
recommendations for the further improvement in
Malaysian IBS construction projects are as follows:
International Journal of Engineering Research & Technology (IJERT)
Vol. 2 Issue 10, October - 2013
ISSN: 2278-0181
Further research on IBS implementation in
other developing Asian countries that have
similar practices and the same cultural
construction background would be helpful to
focus on this issue. Additionally, it might be
useful to consider a comparative study with
other Asian countries that are at a different
stage of development (developed countries) to
Malaysia. This is to see how effective and
efficient IBS being implemented in another
country as compared to current practice in
Since the study of effective integrated team
delivery for IBS Malaysia were already there, a
further study was suggested in order to
investigate and produce detailed guidelines or
procedures for successful implementation of
the factors in Malaysian IBS projects.
Further study is required in terms of
investigation and validation processes among
non-Malaysian IBS practitioners to generalize
and enhance the applicability and validity of
the current approach of effective integrated
team in Malaysian construction projects.
Since the implementation of integrated design
teams in IBS projects involves so many parties
such as clients, designers, manufacturers,
contractors, transporters, and various
government bodies, there needs to be research
into whether there should be a governing body
to act as mediator to gather together all the
parties involved, as well as to be in charge of
the design process in IBS projects.
A future study should also focus on the state of
readiness aspect. It is really important to know
whether the current local IBS practitioners are
well prepared or have enough capability in
terms of knowledge, skills, and resources to
consistently deliver IBS projects with a fully
integrated team practice.
Although there are a lot of frameworks or
approaches for effective integrated team in IBS
however as highlighted before the impact of
these initiatives on the implementation of IBS
is still limited. This is because of the confusion
and partial understanding that exists between
current construction industry stakeholders
either in terms of unclear working processes or
lack of framework, model or guidelines that
can be practically applied. For example,
confusion or misunderstanding arises because
most of the integrated framework/ approaches
adopted different ways. Consequently, it
creates difficulties among practitioners when
deciding which one of the framework/
approaches is the most suitable for use in their
project. Furthermore, some of the framework/
approaches have not focused specifically on
how IBS project teams can integrate and work
together to become a single entity. Therefore,
it is important to conduct this type of research
in order to identify what the important factors
for integrated project team design delivery,
especially in IBS projects.
Despite the above limitations, the contribution of
knowledge of this paper came from both practical
and academic perspectives. From the practical
perspective, previous discussion on Malaysian IBS
project implementation guides already exist, but
most of them did not provide any specific
guidelines to be followed by practitioners on how
to achieve effective integrated design team
delivery. According to previous researchers, there
has been a lack of attention paid to IBS supply
chain integration, which is why the emergent
schemes such as Concurrent Engineering (CE),
Supply Chain Management (SCM), Lean Thinking
or Partnering have been developed. However, many
of these attempts have not fully addressed the
problem and achieved the expected success.
Therefore, further research is required particularly
focusing on the tangible example of the Malaysian
construction industry to improve supply chain
integration, especially in the design team, among
Malaysian IBS projects.
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ISSN: 2278-0181
... In effort to improve the effectiveness of traditional procurement process, the term procurement process coordination (PPC) had been introduced by Othman (2011) which emphasizes on coordination of procurement activities between contractors and suppliers. This is important particularly in the construction industry in which the industry is naturally specialised and fragmented (Bemelmans, 2012;Mirawati, Othman, & Ismail, 2013;Nawi, Anuar, & Lee, 2013;Othman, 2011;Proverbs, Holt, & Cheok, 2000). Due to the fragmented nature of the construction industry, coordination is required to deal with the interdependencies and complexities of activities and processes (Othman, 2011). ...
... Coordination of activities is crucial among different entities in the supply chain to ensure effective management (Hu et al., 2013). Especially in construction industry which is known to be fragmented and specialised in nature (Bemelmans, 2012;Mirawati et al., 2013;Nawi et al., 2013) , coordination among supply chain members is essential to ensure management effectiveness and efficiency (Hu et al., 2013;Othman, 2011). Accordingly, coordinated procurement process introduced by Othman (2011) which emphasizes on coordination of procurement activities between contractors and suppliers in construction industry, is to deal with the interdependencies and complexities of procurement processes among chain members (contractors and suppliers). ...
Full-text available
Malaysian construction industry is one of the key economic sectors that has a significant contribution on national economic development with a steady contribution around 3-5% towards Gross Domestic Product (GDP) for the past 20 years. However, despite its growth and contribution to the GDP, this fragmented sector has a poor coordination among its project participants, leading to horrific material control with time and cost overrun. As such, there is a need to investigate the coordination aspect of the business conduct among project participants, particularly the procurement process that is considered as the initiator of construction project. At the same time, the firms’ internal resources such as human success factor (HSF) and information technology (IT) play a significant part in determining the operational performance of construction project. Thus, the main objective of this study is to propose a conceptual framework on the relationships of internal resources (HSF and IT) and performance, mediated by procurement process coordination (PPC). The framework is using resource-based view as the underpinning theory to explain the relationships of the variables used. The scope of study is on one of the key business processes in supply chain management (SCM) and concentrating on one of the groups (G7) in the population. Future empirical research is expected to be carried out in effort to test this proposed conceptual framework.
... The issues and challenges include competency and performance (H. L. T. Ariffin et al., 2019), implementation (Nawi et al., 2013), and the acceptance among the Pertanika J. Soc. Sci. ...
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IBS has been theoretically and practically proven to improve the construction delivery apart from reducing the lead of time and cost throughout its supply chain. Under the Malaysian Construction Industry Transformation Programme (CITP) 2016-2020, it is stated that the government is accelerating the adoption of IBS through mechanisation and modern practices. Despite the government’s initiative, there have been relatively small amounts of materials published discussing the patterns in IBS publications in Malaysia and what the future holds for IBS. This paper explores a thematic review of the literature regarding new definitions and patterns that juxtaposes IBS in the construction industry in Malaysia from 2015 till 2019 by using the thematic review. The findings from the code-to-document analysis using ATLAS.ti 8 found that the patterns and trends on IBS from the year 2015 to 2019. This paper contributes to analysing the patterns and trends of IBS by identifying the thematic code within IBS publications for recommendations of future studies on IBS in Malaysia.
... These disruptive events had caused the public organisations' to not get the best value for money for their expenditure, which consequently hampered their reputation in the public eyes. Many initiatives have been put forward by the Malaysian government and previous researchers in light of this supply chain issue such as partnering and outsourcing [4,15], but there is still a lack of understanding on the current resiliency of the public organisations and its supply chain and how they currently respond and recover from actual disruptions. ...
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In today’s interconnected world, disruptions arising from one party in a supply chain network could cause disruptions to other parties in the chain. Indeed, recent evidence suggests that supply chain disruptions had caused a wide-scale impact to the construction industry in various developing countries including the Malaysian construction industry, with increasing report on project performance deficiencies such as cost and time overruns of severe magnitudes. Although risk management is widely practiced in construction, the challenge now is to make systems and construction supply chains sufficiently resilient so that the project organisations can bounce back and thrive from catastrophes and disruptive events. Past studies of supply chain resilience however tend to overlook the underlying latent conditions that reside in the system that made an organisation vulnerable to such disruptions in the first place. The “pathogen” metaphor is used in this study to reflect these inherent hidden vulnerabilities that remain dormant in a system until a critical failure occurs. Although these pathogens are hidden and may not be causing any problem at the moment, they might trigger a later onset problem causing cascading impacts to the supply chain and its operations. While disruptions in construction are often difficult to foresee and is hard to eliminate entirely, these pathogens, however, can be identified and mitigated before a disruptive event occurs, which this paper aims to discuss. This paper therefore presents the identification of key pathogenic effects in the Malaysian construction industry through preliminary interviews with four experts in the field. Overall, the identification of the pathogens in the study will help the researcher to assess how vulnerable the project organisations are to making significant errors in a systematic way, thus providing the foundation to build appropriate strategies for their prevention and build the resilience of the construction supply chain to disruptions.
... [4] classified IBS as " a system in which concrete components prefabricated at sites or in factories are assembled to form structures under strict quality control and minimum in situ construction activity while [5] explained that this industrialization process is essentially an organizational process continuity of production implying a steady flow of demand; standardization; integration of the different stages of the whole production process; a high degree of organization of work; mechanization to replace human labour wherever possible; and where research and organized experimentation are integrated with production[4][6]. Numerous studies [7][11] showed that implementation of IBS offers a significant number of benefits to adopters such as productivity, quality improvement, less wastage, time and workers reduction According to the [12], there are five main categories of IBS; Pre-cast Concrete Framing, Panel, and Box Systems; Steel Formwork Systems; Steel Frame System; Prefabricated Timber Framing Systems; and Block Work System. ...
In our daily life, everyone is exposed to the risk of fire. This is because each people need fire as one of the main source of energy, from cooking to lighting up cigarettes. There are many cause of fire and it might get worse if there is no precaution been taken. Therefore it is vital for us to take precaution acts to prevent or at least to reduce the risk of fire. One of the prevention methods is known as crowd management. It is crucial for us to have a very good crowd management in assembly occupancies such as hotels, cinemas and apartments as well. The main idea in crowd management is that how you direct the building occupants in a building into a smooth flow from the affected area to the safe area. Crowd management consists of two major areas which are human psychology and also design involving fire safety in building. Human psychology will involves with human behaviors in fire and the factors that influence them to behave such alike. Designs involving fire safety are mainly focused on the specific area in the building, emergency exit and also fire safety system. This paperwork will discuss the importance of crowd management in IBS buildings in order to save many of innocent lives during fire outbreak or in other emergencies. It is also hoped that all the building management or the person in charge of the building will take proactive actions towards making the building is a safer place to stay.
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Industrialised Building System (IBS) is defined 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 work. The Malaysian construction industry has been urged to change from using a conventional method to IBS to attain better construction quality and productivity, reduce risks related to occupational safety and health, alleviate issues for skilled workers and dependency on manual foreign labour, and achieve the ultimate goal of reducing the overall cost of construction. The use of IBS has been made compulsory in the construction of public buildings and the adoption was supported by the government through programmes, incentives and encouragement policies stipulated under the IBS Roadmap 2003-2010. Despite acknowledging its benefits, the construction industry is still not rapidly embracing IBS. This is mainly due to its traditional and conservative nature where anything new or different, faces implementation barriers. Investigation by some researchers identified that one of the main barriers of IBS implementation in the Malaysian construction industry is related to poor integration among stakeholders involved during the design stage. A number of reports challenged the construction industry to create a fully integrated process capable of delivering predictable results to clients through processes and team integration. Responding to the challenge, this research hopes to counter this problem and help towards the betterment of the IBS Malaysian construction industry using an integrated design team delivery approach. Therefore, this paper discusses the critical success factors (CSFs) that are pertinent to improving the integration of design and construction activities and summaries the recommendations from industry workshops on the critical success factors towards effective integrated design team delivery.
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Manufacturing Excellence is the second report of the Housing Forum Modern Methods of Construction Group. In our first report HOMING IN ON EXCELLENCE we set out why we believe modern methods of construction – and in particular off-site manufacture – could make a major contribution to improving and expanding the nation's housing stock. Support for this view has grown both inside the house-building industry and also within government. To build momentum we decided to look at how far and fast the offsite manufacturing of new homes has developed. What we found is the subject of this report. It is the first such snapshot and for that reason it is imperfect. Even so our research shows that an increasing number of organisations are ready and willing to respond to the real challenges that off-site manufacture represents.
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Supply chain management (SCM) is a concept that has flourished in manufacturing, originating from Just-In-Time (JIT) production and logistics. Today, SCM represents an autonomous managerial concept, although still largely dominated by logistics. SCM endeavors to observe the entire scope of the supply chain. All issues are viewed and resolved in a supply chain perspective, taking into account the interdependency in the supply chain. SCM offers a methodology to relieve the myopic control in the supply chain that has been reinforcing waste and problems. Construction supply chains are still full of waste and problems caused by myopic control. Comparison of case studies with prior research justifies that waste and problems in construction supply chains are extensively present and persistent, and due to interdependency largely interrelated with causes in other stages of the supply chain. The characteristics of the construction supply chain reinforce the problems in the construction supply chain, and may well hinder the application of SCM to construction. Previous initiatives to advance the construction supply chain have been somewhat partial. The generic methodology offered by SCM contributes to better understanding and resolution of basic problems in construction supply chains, and gives directions for construction supply chain development. The practical solutions offered by SCM, however, have to be developed in construction practice itself, taking into account the specific characteristics and local conditions of construction supply chains.
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The realization that concurrent engineering can be adopted in construction has led to various efforts to develop appropriate tools and techniques for its implementation in the industry. This paper discusses the role of client requirements processing in implementing concurrent engineering in construction. Client requirements processing refers to the definition, analysis, and translation of client requirements into solution-neutral specifications for design. It is essential in maintaining focus on the client, and provides for the effective consideration, resolution and prioritization of the various perspectives within the client body. It also facilitates collaborative teamwork, compliance checking at every stage of the design and construction process, and the traceability of design decisions to explicit and implicit client requirements. The paper concludes with a description of a model for processing clients' requirements in construction, and an example of its practical application.
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In essence, the growing demand for affordable housing, increasing construction costs, lower productivity rate, and heightened concern for energy-efficiency has prompted the Malaysia's construction players to realise the immense benefits of industrialised building system. Despite its advantages, the adoption of industrialised building system has been low in gaining popularity, partly due to lack of awareness and coordination among the relevant parties. Indeed, the need to be competitive in the emerging global market has prompted the local construction players to be more open minded and receptive to novel building technology. In other word, the awareness of current trends and latest innovation in industrialised building system is essential in order to survive in the competitive market. Therefore, this article seeks to enlighten the construction industry players about the characteristics of an industrialised building system as well as its major advantages and disadvantages.
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This paper investigates the extent of integration achieved by construction project teams managed by award-winning construction managers within successfully completed projects. The research findings reveal that construction project teams exist as individual competent units within their organisationally defined boundaries. They exhibit varying degrees of integration, which are determined by the team practices adopted and their congruence with the procurement approach. The findings of this research do not, however, support the argument espoused by many construction industry authorities, that seamless operation is a fundamental requirement of integrated team performance. It is concluded that either fully integrated teams are not necessary for effective project delivery within the industry, or that the sector must overcome existing organisational and behavioural barriers if further improvements in project performance are to be fully realised in the future.
Advances in information system technology have had a huge impact on the evolution of supply chain management. As a result of such technological advances, supply chain partners can now work in tight coordination to optimise the chain-wide performance, and the realised return may be shared among the partners. A basic enabler for tight coordination is information sharing, which has been greatly facilitated by the advances in information technology. This paper describes the types of information shared inventory, sales, demand forecast, order status, and production schedule. We discuss how and why this information is shared using industry examples and relating them to academic research. We also discuss three alternative system models of information sharing - the information transfer model, the third party model and the information hub model.
The purpose of this paper is to provide a better understanding of construction procurement within the supply chain management framework and develop a model for information flow. This paper adheres to the supply chain perspective and integration as theoretical point of departure, typically the role that information plays in a complex network such as construction procurement. The co-ordination within partners and the integration across partners are critical in effective project management. Sharing information is a key component for tight integration to optimize the chain-wide performance. It helps produce highest quality, low cost and minimum time to service. The tender offer from the procurer or invitation from a supplier triggers the requirement process. In response to the requirements there has to be an opposite flow of information, termed the fulfilment flow in the model described. The requirement information from a procurer is broken down to the project requirements for various partners in the project. Once the supply chain is identified in the postcontracting phase, information regarding specific tasks, materials, and so on, are communicated to the project partners. Information must be managed to bring in value. The quality of information received, the timeliness of the manner it is received and the costeffectiveness in obtaining the information determine the efficiency of a project partner. Another classification considered is that of the changing role of the partner with regard to information handling, i.e., the project partner as a recipient, decision-maker and communicator of information. All these factors jointly contribute to increasing efficiency in construction procurement. This framework needs to be explored in future research to define subsequent steps in construction supply chain management, as the challenge is to adapt a totally integrated supply chain.
Maximizing value and minimizing waste at the project level is difficult when the contractual structure inhibits coordination, stifles cooperation and innovation, and rewards individual contractors for both reserving good ideas, and optimizing their performance at the expense of others. This paper describes an innovative contractual structure that aligns the interests of all contractors with the objectives of the lean delivery system. The approach, requirements for implementation, and results obtained will be described and a brief reflection on theory offered.