scholarly journals Application of direct payment clause 30A.0 of the Asian International Arbitration Centre (AIAC) Standard Form of Contract (with quantities)

2019 ◽  
Vol 6 (1) ◽  
pp. 44-50
Author(s):  
Nur Emma Mustaffa ◽  
Hamizah Liyana Tajul Ariffin ◽  
Norazam Othman ◽  
Shahida Shaima Shamsudin
Keyword(s):  
Construction Industry ◽  
Construction Projects ◽  
Standard Form ◽  
Direct Payment ◽  
International Arbitration ◽  
Legal Cases ◽  
The Future ◽  
Scale Down

Conditional payment such as “pay when paid” or “pay if paid” can create negative chain effect on the parties in construction projects, resulting in delay on the completion of a project, adversarialism and may affect a contractor’s reputation. Asian International Arbitration Centre (AIAC) has launched a standard form of contract which is Construction Industry Payment Adjudication Act (CIPAA) compliance with the aim to reduce payment issues. The aim of the research is to identify whether the clause for “direct payment under CIPAA 2012” of the new AIAC standard form of contract can facilitate problems in direct payment.  In achieving the aim of the research, five legal cases were analysed and thirty questionnaires forms were distributed. Legal cases analysis findings highlighted that the major reasons of the direct payment issue being referred to court is due to the validity of the direct payment agreement between the disputant’s parties. Based on the cases heard before CIPAA enactment, the findings show that out of the three cases,  the disputants went to litigation because of the legality of direct payment agreements. Most of the agreements were made orally. For cases analysed after CIPAA was enacted, the findings show that the disputant parties do not opt for adjudication and that the main contractors try to mitigate their responsibilities to the employer. The results from the questionnaires distributed established that,  the direct payment clause could be successfully adopted for future use of the industry. Eventhough the AIAC standard form of contract has been formally introduced to the industry, but it is not widely used. From the findings of the questionnaire, it shows that with encouragement and support from the industry, direct payment clause of AIAC standard form of contract have the potential in reducing payment issues in the future. With the remodeling of standard form of contracts that are available in construction industry to be CIPAA compliance ,  it is hoped that this move may scale down the prevalent payment issues in Malaysian construction industry.

scholarly journals Selection Criteria and the Related Sub-Criteria for the Selection of Standard Form of Contract for Construction Projects in Sarawak

2013 ◽  
Vol 4 (2) ◽  
pp. 34-39
Author(s):  
Ting Sim Nee ◽  
Chin Lin Wei
Keyword(s):  
Construction Industry ◽  
Questionnaire Survey ◽  
Construction Projects ◽  
Selection Criteria ◽  
Current Practice ◽  
Standard Form ◽  
Survey Method ◽  
Local Construction ◽  
Selection Of ◽  
Construction Works

Construction contract refers to an agreement which in enforced by law; standard form is printed form of contract to define responsibilities to various parties involved to complete the construction works. Malaysian construction industry relies essentially on a number of standard forms namely the JKR Sarawak Form of Contract, PWD 203A, PAM, IEM and CIDB forms to execute its construction projects. However, with the number of choices available and without a clear selection guide, selection of an appropriate standard form for the particular projects has hinged on the familiarity of the form users with the particular form. This study aims to identify the selection criteria that can be used for standard form selection. The study form looks into the current practice and how decisions are made to select the appropriate standard form. Selection criteria are identified and this research carried out verification works with local construction industry players via questionnaire survey method. Results from questionnaire survey also indicated that standard forms are usually predetermined by the client in tender stage. It is also shown that some of the respondents have limited exposure to certain standard forms of contract. With the selection criteria identified, it is hopeful that a selection guideline can be developed.

scholarly journals Developing a strategic perspective for construction industry of Botswana

2013 ◽  
Vol 13 (3) ◽  
pp. 157-172
Author(s):  
Joseph Ssegawa
Keyword(s):  
Focus Group ◽  
Construction Industry ◽  
Construction Projects ◽  
Reform Process ◽  
Supply Side ◽  
Construction Sector ◽  
Group Approach ◽  
Demand And Supply ◽  
The Future ◽  
Strategic Perspective

The paper discusses the outcome of a study conducted to formulate the strategic perspective of the construction industry in Botswana. The study was sanctioned by the two influential entities namely the Ministry of Infrastructure and BOCCIM Construction Sector. The two entities not only represent the demand and supply side of the construction industry but also represent key professions, trades and interests of the industry. A focus group approach was used based on workshops to formulate the strategic perspective. Workshop participants were drawn from various organisations that play a role in the delivery of construction projects. Individually they also represented the various professions, trades, occupations and interests relating to the construction processes in Botswana. Specific statements for industry’s vision, mission, values and goals were formulated through constructive discussions and debates to describe the future desired state of the construction industry. These are to serve as guiding tools for the industry’s reform process. The paper provides a step by step approach that integrates several scholastic frameworks for developing a strategic perspective for the industry.

scholarly journals LATE PAYMENT ISSUES OF SUBCONTRACTORS IN MALAYSIAN CONSTRUCTION INDUSTRY

2020 ◽  
Vol 18 (11) ◽  
Author(s):  
Roziha Che Haron ◽  
Ahmad Lutfil Arazmi
Keyword(s):  
Construction Industry ◽  
Cash Flow ◽  
Research Methodology ◽  
Questionnaire Survey ◽  
Construction Projects ◽  
Standard Form ◽  
Survey Analysis ◽  
Construction Companies ◽  
Flow Problems ◽  
Research Findings

The practice of efficient and timely payment in construction projects is a major factor that can contribute to the success of a project. Delays in payment to subcontractor(s) by main contractor and client on construction projects in the Malaysian construction industry is considered to be a significant factor of concern. It causes severe cash flow problems to subcontractor(s) and this condition may lead to a devastating impact to the contractual payment chain. Withholding or delaying payment creates financial hardship for the construction companies and its impacts are sometimes so harsh that some companies have to close down their services. The research methodology adopted was the questionnaire survey analysis based on thirty (37) respondents from selected main contractors and sub-contractors in Gombak, Selangor. The data and information were also gathered from interviews analysis. From the research findings, among the factor of late payment from the client is payment withhold by the client. Meanwhile, the factor of late payment from the main contractor is when the term of “pay when paid” is applied. To improve the payment situation, the findings of this study suggest that there must be dedicated enforcing provisions for payment delay in contracts. This is proposed by introducing the standard form of contract clause regarding payment between the main contractor and domestic subcontractor which include levying charges on overdue payments.

scholarly journals Whitewashing state capture: Discursive legitimization of large construction projects in the Western Balkans

2021 ◽  
Vol 16 (2) ◽  
pp. 183-214
Author(s):  
Ana Marjanović-Rudan
Keyword(s):  
Empirical Study ◽  
Construction Industry ◽  
Construction Projects ◽  
Analytic Model ◽  
Western Balkans ◽  
Abuse Of Power ◽  
Government Institutions ◽  
State Capture ◽  
Public Resources ◽  
The Future

Through the use of language, government institutions and officials in elective democracies try to present particular instances of abuse of power and public resources as legitimate and enable similar practices in the future. This article aims to identify and reveal the strategies used within the Western Balkans' official discourses to legitimize particular cases of suspected state capture and assess their outcomes. The empirical study of six prominent cases of suspected state capture in the construction industry in the period from 2010 to 2020 indicates that a single legitimization strategy is used region-wide, and this article contributes to better understanding it. To assess the strategy outcomes, an original analytic model is proposed. The findings suggest that the deployment of the strategy to legitimize the suspected cases of state capture encourages potential captors in the region to consider engaging in similar practices in the future.

scholarly journals Understanding the fall-related safety issues in concrete formwork

2021 ◽  
Vol 263 ◽  
pp. 02007
Author(s):  
Vigneshkumar Chellappa ◽  
Urmi Ravindra Salve
Keyword(s):  
Construction Industry ◽  
Construction Projects ◽  
Method Development ◽  
Risk Identification ◽  
Future Research ◽  
Safety Issues ◽  
Safety Risks ◽  
The Future ◽  
Fall Accidents

The construction industry recorded high rates of fatalities and injuries due to falls at the workplace. Among other activities, concrete formwork tends to have more fatal falls. This study aims to understand the fall-related safety issues in the formwork lifecycle of construction projects. To achieve this, the process of formwork activities was mapped, and the safety risks associated with each activity were classified. Method development and risk identification focused on interviews with construction professionals involved in the construction of formwork and site observations of the formwork activities. The overall finding was that pouring, stripping, and erection activities have more issues related to falls. Future research is being carried out to assess the risks of falls from the construction experts’ views to prevent fall accidents in the future.

Inhibiting Factors of Cost Performance in UAE Construction Projects

2020 ◽  
Vol 11 (2) ◽  
Author(s):  
Ahmed Salem Ahmed Marey Alhammadi ◽  
◽  
Aftab Hameed Memon ◽  
Keyword(s):  
Construction Industry ◽  
Construction Projects ◽  
Past Research ◽  
Cost Overrun ◽  
Index Method ◽  
Cost Performance ◽  
Factors Affecting ◽  
Inhibiting Factors ◽  
Critical Problems ◽  
Structured Questionnaire

UAE construction industry frequently faces poor cost performance which commonly known as cost overrun problem. This problem is resulted from several factors and it is important to identify these cost overrun factors in order to avoid and minimize it. Hence, this paper focused on determined the relevancy of factors affecting cost performance in construction projects of UAE. Through a review of past research works conducted globally, 27 factors of cost overrun were listed and used for developing a structured questionnaire. A survey was conducted with 33 practitioners from client, consultant and contractors organizations involved in handling construction projects in UAE. The respondents were requested to state their perception regarding the relevancy of each of the factors that was perceived in context with cost overrun issue using 5-points Likert scale. The responses were analysed using average index method and the results found that all the 27 factors are relevant with construction industry of UAE in causing cost overrun. These factors can be used for further investigation to uncover critical problems of cost overrun.

The Impact of Terrorism on Construction Industry in Iraq

2015 ◽  
Vol 3 (2) ◽  
pp. 69-84
Author(s):  
Wadhah Amer Hatem ◽  
Samiaah M. Hassen Al-Tmeemy
Keyword(s):  
Construction Industry ◽  
Construction Projects ◽  
Historical Data ◽  
Terrorist Attacks ◽  
Construction Sector ◽  
Statistical Procedures ◽  
Qualitative Approaches ◽  
Suicide Attacks ◽  
The Face ◽  
The Impact

     Suicide attacks, bombings, explosions became the part of daily life in Iraq. Consequently, the threat of terrorism put the Iraqi construction sector in the face of unique and unusual challenges that not seen on other countries. These challenges can have extensive impact on construction projects. This paper seeks to examine the impact of the terrorist attacks on construction industry and determine the extent to which the impact of terrorism on construction projects in terms of cost, schedule, and quality. This study adapted quantitative and qualitative approaches to collect data using questionnaire survey and interviews, as well as historical data. The study focused on projects that have been the target of terrorist strikes in Diyala governorate. A variety of statistical procedures were employed in data analysis. The results revealed the extent to which terrorist attacks impact construction projects in terms of cost, time, and quality. The results of this study will enhance the awareness of all construction parties to the impact of the terrorist attacks against construction projects. Eventually, this can develop a risk management assessment and assist contractors to properly protect projects and buildings to minimize injuries and fatalities in the event of terrorism.

scholarly journals An Overarching Review on Delay Analyses in Construction Projects

Buildings ◽  
2021 ◽  
Vol 11 (3) ◽  
pp. 109
Author(s):  
Murat Çevikbaş ◽  
Zeynep Işık
Keyword(s):  
Construction Industry ◽  
Construction Projects ◽  
Web Of Science ◽  
Delay Analysis ◽  
Future Studies ◽  
Main Research ◽  
Research Areas ◽  
Road Map ◽  
Research Themes ◽  
Research Domains

Numerous studies have been conducted by researchers on the delay analysis topic, which is one of the primary areas of scientific study due to the effects of delays on time and cost in construction projects. Following fruitful contributions made by the researchers, it is believed to be extremely important to summarize the existing studies in terms of being a road map for future studies and practitioners. In this context, not only does this study aim to detect the most significant authors, sources, organizations and countries contributing to the improvement of delay domain in the construction industry concerning delay analyses worldwide but also to provide the researchers with extensive insights concerning the prominent research themes, trends and gaps in the literature. Hence, 168 documents related to delay analyses from 1982 to 11 February 2021 were detected through the Scopus Database and the Web of Science Database, and scientometric analyses were conducted via VOSviewer software. By evaluating the related research, two main research areas were detected in this field, namely; improving the delay analysis methods and resolving the disputes before they occur. This study is believed to make theoretical and practical contributions in that it examines the delay analysis topic in all aspects such as prominent institutions, countries, authors and sources, synthesizes the data and highlights possible research domains, gaps and trends concerning the delay analysis topic in construction industry.

Preliminary Benefits of Big Data in the Construction Industry: A Case Study

2022 ◽  
pp. 1-11
Author(s):  
Bernard Tuffour Atuahene ◽  
Sittimont Kanjanabootra ◽  
Thayaparan Gajendran
Keyword(s):  
Big Data ◽  
Construction Industry ◽  
Construction Projects ◽  
Big Data Applications ◽  
Data Application ◽  
Construction Firm ◽  
Big Data Application ◽  
Tangible Benefit ◽  
Design Construction

Big data applications consist of i) data collection using big data sources, ii) storing and processing the data, and iii) analysing data to gain insights for creating organisational benefit. The influx of digital technologies and digitization in the construction process includes big data as one newly emerging digital technology adopted in the construction industry. Big data application is in a nascent stage in construction, and there is a need to understand the tangible benefit(s) that big data can offer the construction industry. This study explores the benefits of big data in the construction industry. Using a qualitative case study design, construction professionals in an Australian Construction firm were interviewed. The research highlights that the benefits of big data include reduction of litigation amongst projects stakeholders, enablement of near to real-time communication, and facilitation of effective subcontractor selection. By implication, on a broader scale, these benefits can improve contract management, procurement, and management of construction projects. This study contributes to an ongoing discourse on big data application, and more generally, digitization in the construction industry.

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