Liberalising property management

Purchasers and residents of strata properties can breathe easier thanks to the introduction of the Register of Property Managers. Stakeholders hailed the move as “liberalising” the industry.

Launched on Jan 11, the register is the latest twist in a decade-long debate over the status of property managers in national legislation.

This included the controversy over defining the term in the Strata Management Act 2013.

Minister of Urban Wellbeing, Housing and Local Government (KPKT) Tan Sri Noh Omar said: “I am confident that introducing the Register of Property Managers will raise the standards of property management in the industry.

“In addition, with the Board of Valuers, Appraisers, Estate Agents and Property Managers (BOVAEP) regulating the profession, it is my hope that all property managers will help improve living standards for society at large.”

Battersea sale timely for SP Setia

SP SETIA Bhd’s move to sell off some of its assets in the Battersea project in London to Permodalan Nasional Bhd (PNB) and the Employees Provident Fund (EPF) has taken some industry players by surprise. But the move is largely seen as positive for the property giant.

A property analyst tells FocusM that although there are some concerns that the developer is disposing its assets too early, in the long run, it could be a win-win situation for buyers and sellers.

“It is quite normal for a developer to monetise assets when the time is right. With the uncertainty surrounding Brexit [UK’s withdrawal from the European Union] still hanging over the London market, it could be the right time for SP Setia to dispose some its prime assets there.

“This would raise funds for them to utilise in other projects. On the other hand, the buyers [PNB and EPF] have more financial muscle and staying power to weather the storm and profit when the London property market moves upward again.

“London properties are still favoured by foreign investors despite experiencing a slowdown last year. Prices have escalated 70% in the last decade,” says the analyst.

Crest Builder lands RM328m construction project

KUALA LUMPUR: Crest Builder Holdings Bhd has secured a contract by Perdana Parkcity Sdn Bhd for the construction of main building works in Desk ParkCity, Kuala Lumpur, for RM328.8mil.

StarBiz Premium reported earlier on Tuesday that the construction and property developer was poised to land the contract, its second over the last week.

At market close on Tuesday, the counter was three sen or 3.09% higher at RM1 a share with 2.08 million shares exchanging hands.

According to the filing with Bursa Malaysia, the construction of main building works consists of two blocks of 40-storey residential apartments and a car park podium.

The contract, which was awarded to the group’s wholly-owned subsidiary, Crest Builder Sdn Bhd, is for a period of 33 months from Feb 9, 2018 to Nov 8, 2020, and will bring the company’s order book to about RM1.3bil.

“The contract is expected to contribute positively to the earnings of the Group for the financial years ending 31 December 2018 and onwards,” the group said in the filing.

Last week, the company announced that it had won the mandate to construct the main building works of a 44-storey hotel and a car park in Kuala Lumpur for RM149.5mil.

Crest Builder, which has won several large contracts to build high-rise buildings, recorded a net profit of RM20.28mil on turnover of RM342.95mil for the nine months until September 30, 2017.

Turnover and profit were significantly higher compared to the corresponding period last year where it managed a profit of RM9.9mil on turnover of RM180.14mil.

The company attributed the stronger performance in FY17 to the higher sales generated by its ongoing property projects.

Crest Builder started as a small construction outfit in 1983 with less than 10 staff by the late Yong Soon Chow. Today it is a large builder and property developer with more than 500 people.

Malaysia construction industry offers positive news

Malaysia is a “brightening spot” in the Asia Pacific infrastructure market, according to recent analysis from BMI Research, providing good news for the country’s construction industry. Growth in the construction sector is now expected to hit an annual average of 6.3% between 2017 and 2021, after growth of 10.6% in 1H2017.

The boost to growth forecasts comes as the Malaysian government prioritises infrastructure development with MYR46 billion (US$10.8 billion) allocated in 2017 to infrastructure projects. The country is also on the received end of significant inward investment from China as part of the Belt and Road Initiative.

The Belt and Road Initiative is a Chinese development strategy that aims to boost land and maritime connectivity from China to Europe. The maritime element – the so-called 21st Century Maritime Silk Road – includes investment in infrastructure in southeast and south Asia, the Middle East and North Africa.

Despite this, Malaysia’s largest cement producer, Lafarge Malaysia Bhd, a subsidiary of Swiss-based major, LafargeHolcim, is cautious on the outlook for cement demand this year, after a 6% contraction in 2016.

“This year we see a number of infrastructure projects that are gaining momentum and this will have more of an impact in the second half of the year,” said Lafarge Malaysia’s President and CEO, Thierry Legrand told reporters after the company’s Annual General Meeting in May. “With infrastructure projects gaining momentum, it should bring more volumes. But how fast this will happen, it is difficult to say.

Katerra, a construction startup, raises new round from Softbank

LONDON: Over just three years, Katerra has grown from a startup with an unusual approach to the construction industry into a company with $1.3 billion in bookings.

Now it has drawn support from one of the biggest and most disruptive backers of startups around.

Katerra planned to announce on Wednesday that it has raised $865 million in a new round of financing led by SoftBank’s Vision Fund, the nearly $100 billion investment vehicle that has shaken up the world of ..

Read more at:
http://economictimes.indiatimes.comhttps://economictimes.indiatimes.com/small-biz/startups/newsbuzz/katerra-a-construction-startup-raises-new-round-from-softbank/printarticle/62644991.cms?utm_source=contentofinterest&utm_medium=text&utm_campaign=cppst

Barchart CPM & NETWORK DIAGRAMS

[pdfviewer width=”100%” height=”800px” beta=”true/false”]https://people.utm.my/shaifulamri/files/2017/04/Barchart-CPM-NETWORK-DIAGRAMS.pdf[/pdfviewer]

What project management really is about Alternative perspectives on the role and practice of project management

13 Signs You Need Construction Management Software

And, if you’re already using construction management software, do you have the right solution? Few in the construction industry would argue with the statement that capital projects are becoming more complex. This is due to several factors, including advances in construction and engineering methods, an increasingly sophisticated workforce, rising labor and materials costs, and higher expectations of built assets.

Project teams are larger, crossing a broader range of different organizations that need to share project information and processes in a controlled environment. As a result, project risk is higher and more difficult to manage.

There is more project information to process than ever before. More documents and drawings. More multi-dimensional models, with BIM gaining momentum around the world. More RFIs and other communications between project team members.

With the proliferation of project data, workflows and other processes require more rigorous management. The ripple effect of errors can have project-wide consequences, impacting delivery schedules, budgets and margins.

Do You Have Control of Your Construction Projects?

Here are 13 indicators to help you assess your current level of project control:Construction Management Software Infographic

  1. RFIs take several weeks and sometimes months to process through to closure.
  2. Design reviews also drag out because clashes aren’t detected and resolved right away.
  3. The project team is working with documents that are incomplete, inaccurate or out of date.
  4. The project team misses critical emails and fails to respond in time – or at all.
  5. You have limited or no visibility of what the project team is doing.
  6. Project workflows are breaking down, and you don’t find out until deadlines are missed.
  7. Field inspections lead to an endless paper chase as issues remain unresolved.
  8. The handover of operation and maintenance (O&M) manuals is a mad scramble at the end of each project.
  9. You can’t find the project information you need when you need it.
  10. You’re missing key milestones in project schedules and aren’t sure why.
  11. You’re incurring additional project costs and running over budget and aren’t sure why.
  12. Your built assets have quality and operational issues.
  13. Overall, your projects have more excuses and conflicts than on-time deliverables.

 

Source: 13 Signs You Need Construction Management Software

Better Document Version Control for Construction Projects

Mitigating risk in construction projects between different organizations requires a systematic approach to the causes of risk. A key cause of project risk is project teams mistakenly working with out-of-date documents. Version control helps ensure that collaborating team members are working on the latest revision of a document. Construction document management software should support five principles for sound version control:

  • A project-wide document numbering system. Participants should agree on this at the start of the project to avoid confusion resulting from multiple internal numbering systems.
  • No duplicate document numbers within the same project. Participants should agree on protocols for registering identical documents in more than one format – e.g., file name suffixes to identify file types (PDF, DWF, ZIP, DWG, DGN).
  • A consistent revision coding system. Participants should agree on this as part of the project-wide document numbering system. Revision codes can be numeric (1, 2, 3), alphabetic (A, B, C) or a combination of the two (A1, A2, B1, B2, C1, C2).
  • Sequential coding of revisions for the life of documents. This enables all participants, including those not involved in the creation of a document, to understand how different versions of documents relate to each other.
  • Clear identification of revisions within a document. This can vary depending on the format of a document – e.g., revision clouds with letters for drawings, tracked changes for Word documents, colored text or cell backgrounds for Excel documents, etc.

Revisions should be annotated with the current revision number and date on the document or drawing cover. Each annotation should include the reason for the revision – e.g., coordination between disciplines or the owner’s instruction to make a change – which supports cross-checking for cost control and variation management. Since most documents are revised frequently during the course of a project, each version should be maintained for comparison, auditing, time reporting, cost management, and other purposes.

Project Risk Multiplied by Inadequate Document Version Control

Document management software that tracks document revisions chronologically by issue date helps reduce the time required for project teams to review and compare historical information. Conversely, a document version control process that is inadequately planned or managed can cause changes in design, scope of works and materials to be overlooked, impacting all participants and multiplying project risk:

  • Unidentified changes can mislead the owner, making it difficult to manage expectations.
  • Project teams can lose confidence in the reliability of documents, which adversely affects the efficiency and quality of collaboration between them. For example, flawed revision control in the design phase can make tender information incorrect, which increases the number of requests for information (RFIs) and tender queries, as well as overall uncertainty and financial risk.
  • Document updates can take more time, which requires substantiation of both time and cost increases due to earlier information mismanagement.
  • If contractors and subcontractors perceive increased project risk because of issues with document quality, interdisciplinary coordination or version control, their RFIs and tenders will reflect this.

All project participants should be able to compare historical versions of the same document. This can be difficult and time-consuming, even more so when an annotation of changes is unclear or missing. Electronic comparison of sequential versions makes the process fast, easy and accurate.

Examples of Document Version Control in Action

On the Aconex platform, revised documents replace earlier versions in a process known as ‘superseding.’ Superseded documents can be transmitted automatically to project team members who received the prior versions.

Aconex provides a permanent audit trail of all document transmittals and automatically updates registered documents with each new revision. Previous document versions are automatically archived to avoid confusion and can be quickly retrieved and easily compared as needed.

An integrated online viewer generates a color-coded comparison of each version of a file, showing the current information with data that has been added, deleted or changed at an earlier stage. For example, users can compare all versions of a drawing side-by-side in a single screen or overlay multiple files as if they were one. This makes it easy to identify the impact of any changes and rapidly verify apparent inconsistencies.

Users can quickly find all versions of all project documents through web search capabilities using metadata. They can generate reports by selecting one or more search parameters, such as document type, discipline, title, number, author, or status. For example, a list of all current design drawings can be generated and exported to an Excel file for detailed analysis.

Aconex Clients on Version Control

“By logging what’s been changed and discussed, the system made our document management more structured and auditable. It helps us to avoid issues as everyone on the project can react whenever they need to.”

Rakesh Yadav
Vice President, Legal and Commercial
Delhi Airport Metro Express Pvt. Ltd. (India)

“On a program as large as FasTracks, everyday tasks can turn into major roadblocks if project teams spread across eight counties and dozens of projects can’t collaborate effectively. We knew that we needed a combination of good teamwork and great document control practices to help us speed information transfer and resolve common communication issues, and our technology investment has done just that.”

Brian Starck
Enterprise Records and Information Manager
Denver Regional Transportation District (RTD) (USA)

“This is a complex project involving the deployment of advanced technology. To ensure its success, we require a seamless flow of information, especially during critical phases such as the transition from design to construction. Aconex enables us to track document revisions so that we all work with the latest version, which will mitigate delays and disputes.”

Enrique Morillo
Construction Director
GS Inima (Lagares Sewage Biofiltration Plant, Spain)

“Working from outdated documents has certainly happened before – not regularly, but the potential was there for it to happen. One of the contractors might not be vigilant enough to check the dates on his drawings. With Aconex, it’s not only that we’re now confident that we’re all working from the latest version of each drawing, but everyone has to be responsible for what they do. If the latest version is there and they don’t use it, that’s their error. So if there are any cost implications there’s no argument – it’s there on the system and that’s why we’re using it.”

Vince Persi
Senior Project Officer
Swinburne University (Australia)

Read more about the critical importance of document control in mitigating project risk between different organizations.

See Document Version Control for Yourself

Aconex has been used to manage documents and other project information and processes for more than 15,000 construction and engineering projects worldwide. See for yourself how the Aconex platform’s document version control can help you reduce risk, improve efficiency and deliver high quality across even the most complex projects.

 

Source: Better Document Version Control for Construction Projects

How To Keep Construction Project Variations Under Control

Variation might be the spice of life, but it can be the death of a complex construction project operating on tight margins.

No matter how methodically you’ve planned a project and how carefully you’ve spec’d out materials and labor costs, change will inevitably occur. Change or variation orders are where a lot of highly complex construction projects bog down.
Construction Project Variations: Causes and Statistics
When we evaluate construction change order and variation management, it’s important to consider the common causes of variation orders including:

-the scope or the schedule of the project has changed
-the equipment needed to perform a task is unavailable
-the project owner or contractor is suffering financial difficulties
-there are conflicts between contract documents
-working drawings are inadequate or incomplete
-changes in design by consultants
-a shortage of skilled manpower
-a shortage of quality materials
-shoddy workmanship, requiring demolition and rework
-delays in procuring building materials
-poor weather conditions or natural disasters
-a lack of strategic planning

Even if you manage to avoid most of these, your projects will inevitably experience some of them. As the time needed to complete the project goes up, the cost spikes, and the quality of the work may be compromised.

A 2012 study of more than 220 large construction projects by the American Society of Civil Engineers found that 4 out of 10 suffered cost and time overruns, in large part thanks to variation orders. And the more changes that are required, the more productivity suffers, as owners are forced to choose between approving overtime, hiring additional workers, or suffering project delays.

A crucial element is timing; researchers found that the faster a variation order was dealt with, the less impact it had on productivity and cost. But the only way to know how efficiently variations are being handled is to have a standard way to measure it across all project partners.

This is where Aconex can help.

How to Improve Project Variation Management and Workflow

In a traditional model, a subcontractor may submit a request for variation to the head contractor, who then must get it approved by the contracts administrator. If the client approves the request, that information is passed down the chain to the subcontractor. This cycle, can require 21 days to complete, but may take much longer, especially if the parties involved are relying on Excel spreadsheets and email to manage the flow of communications.

By contrast, with Aconex, your variation workflow and correspondence is captured in the one place. This provides you with a more efficient process, complete set of information and an effortless way to report on activity, so there’s no misunderstanding regarding changes.

The Aconex Insights module displays all your variation activity on a single screen. You can see how many variations that are pending, and which have been approved or rejected. You can generate reports on the average time required to resolve each variation request, and identify which contractors initiate the most change orders and create the most delays.

By gaining visibility into the status of all variations across all your project partners, you’re able to measure performance and institute a process of continual improvement. After adopting a collaborative platform, some Aconex clients have been able to cut their cycle times by as much as 80 percent.

Some things you simply can’t control. But you can control how long it takes to communicate the need for variations, validate, and resolve them in an effective matter.

That’s the kind of change anyone would welcome.

Source: How To Keep Construction Project Variations Under Control