scholarly journals Capital Budgeting Evaluation Practices of Building Contractors in Hong Kong

2012 ◽  
Vol 2 (1) ◽  
pp. 81-93 ◽  
Author(s):  
K.C Lam ◽  
S.O Cheung ◽  
C.M Tang ◽  
S.T Ng
Keyword(s):  
Hong Kong ◽  
Construction Industry ◽  
Function Analysis ◽  
Capital Budgeting ◽  
Financial Evaluation ◽  
Capital Budget ◽  
Similar Survey ◽  
Budget Evaluation ◽  
Evaluation Techniques ◽  
Risk Analysis And Management

This paper reports the results of an investigation into capital budgeting evaluation practicesin the construction industry of Hong Kong. The aim of this study was to identify thepopularity and extent of usage of various techniques for capital budget evaluation, investmentappraisal, risk analysis, and management science. The current study was comparedwith a similar survey conducted in 1994 to establish the changes in the capital budgetingevaluation practices of contracting firms over time. The results indicate that there was ageneral increase in the popularity and extent of usage in certain capital budget evaluationtechniques such as “best/worst estimate” and “formal financial evaluation”. In addition,the evaluation techniques examined were fitted into a discriminant function analysis (DFA),and a model has been developed which allows contracting firms to be classified accordingto their predominant characteristics in capital budget evaluation.

Management of client requirements for design and build projects in the construction industry of Hong Kong

Facilities ◽  
2010 ◽  
Vol 28 (13/14) ◽  
pp. 657-672 ◽  
Author(s):  
Ann T.W. Yu ◽  
Edwin H.W. Chan ◽  
Daniel W.M. Chan ◽  
Patrick T.I. Lam ◽  
Peony W.L. Tang
Keyword(s):  
Hong Kong ◽  
Construction Industry

Dice manufacturing company: the acquisition decision

2021 ◽  
Vol 11 (1) ◽  
pp. 1-26
Author(s):  
Aliaa Bassiouny ◽  
Enjy Toma ◽  
Farida Dawood ◽  
Haneen Aljammali ◽  
Salim Seif El Nasr ◽  
...  
Keyword(s):  
Learning Outcomes ◽  
Business Model ◽  
Net Present Value ◽  
Capital Budgeting ◽  
Strategic Decision ◽  
Issues Management ◽  
Content Type ◽  
Project Valuation ◽  
Manufacturing Company ◽  
Evaluation Techniques

Learning outcomes The learning outcomes of this paper is as follows: understand the issues that faced private Egyptian textile producers following the January 2011 revolution and how that impacted their business model. Evaluate whether Dice’s inorganic expansion through acquiring Alex Clothing Company is a sound strategic decision given the economic uncertainty in Egypt. Analyze the acquisition decision through projection evaluation techniques, including net present value (NPV), internal rate of return (IRR) and modified IRR (MIRR), to measure whether the acquisition will add value to Dice. Discuss non-financial issues post-acquisition that are not captured by traditional capital budgeting and project evaluation techniques. Case overview/synopsis Dice Manufacturing Company, an established and successful textile manufacturing family business, is facing an important investment decision with regard to inorganic expansion through the acquisition of Alex Clothing Company and its subsidiary United Dyers. The case is intended to be discussed in an undergraduate corporate finance class. The case setting is inside Dice Manufacturing Company, where one of the founders, Nagy Toma and his CFO Victor ElMalek are analyzing the acquisition decision in January 2015. The protagonist is Victor ElMalek, who has to recommend a course of action for the company owners. The case allows students to apply capital budgeting and project valuation methods to make a decision on whether the acquisition brings value to Dice and to analyze issues management can face post-acquisition. The case follows through the history of Dice, presenting its business model and changes that accompanied the 2011 revolution. It then moves on to outline the acquisition opportunity and provides data for students to analyze through traditional project valuation techniques, including NPV, IRR and MIRR. Complexity academic level Undergraduate. Subject code CSS 1: Accounting and Finance. Supplementary materials Teaching notes are available for educators only.

Establishing the synergy between the perceptions of construction professionals and the phases of value management

2021 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Mujahed Thneibat ◽  
Motasem Thneibat ◽  
Bader Al-Tamimi
Keyword(s):  
Construction Industry ◽  
Structural Equation ◽  
Success Factors ◽  
Function Analysis ◽  
Local Context ◽  
Equation Modeling ◽  
Value Management ◽  
Content Type ◽  
Implementation Phase ◽  
The Status

PurposeThis study aims to lay the groundwork for the potential application of value management (VM) in construction projects. This paper presents a critical review on the status of VM in a developing country and highlights the role of perceptions on critical success factors (CSFs) for the phases of VM studies, as the participants in a VM study should consider CSFs tailored to the local context.Design/methodology/approachA series of interviews and a questionnaire were conducted to understand the drivers, perceptions, barriers, and CSFs of VM in the Jordanian construction industry. Although descriptive statistics were used to analyze the status of VM, a structural equation modeling (SEM) approach was adopted to highlight the interrelationships between perceptions and the CSFs of the three phases of VM (i.e. pre-workshop, workshop, and implementation).FindingsThe descriptive analysis revealed conflicting viewpoints for perceptions and drivers. Most practitioners acknowledged little awareness of VM phases, and the SEM results indicated that perceptions of VM, in terms of its capacity in improving the scope and objectives of the project, and reducing overall costs, most strongly influenced the CSFs of the implementation phase in terms of support and clear plan for implementation, and had the least influence on the pre-workshop phase. Further, the perceptions had a moderate effect on the CSFs of the workshop phase and it tended to be positive, highlighting the importance of function analysis in this phase.Originality/valueThis is the first study to reveal the status of VM in Jordan in terms of adoption, drivers, perceptions, barriers and CSFs; no prior studies have investigated how perceptions can affect the CSFs of each phase of VM and the endorsement of VM by the construction industry. The contributions of this study include linking the perceptions of construction professionals with the CSFs of VM.

scholarly journals Process Information Modelling (PIM) Concept for On-site Construction Management: Hong Kong Case

2018 ◽  
Vol 49 (2) ◽  
pp. 165-175 ◽  
Author(s):  
Wen Pan ◽  
Bahriye Ilhan ◽  
Thomas Bock
Keyword(s):  
Hong Kong ◽  
Life Cycle ◽  
Construction Industry ◽  
Manufacturing Industry ◽  
Cost Overrun ◽  
Time Data ◽  
Process Information ◽  
Information Modelling ◽  
Project Life Cycle ◽  
Project Life

When compared to the manufacturing industry, the advances of intelligent and seamless project management approaches lag behind in the construction industry. This is due to the complexity of the construction projects as well as various stakeholders who acquire specific interest of the project. For instance, public building construction has many sub-tasks and numerous systematised working processes such as planning, mobilisation, scheduling, procurement and controlling. The management of the processes of each phase of the project life cycle is of great importance in order to prevent project delay and cost overrun. A particular importance is required if construction robotics is involved since precise process and scheduling information as well as feedback are critical to ensure each task is completed accordingly. This paper proposes a holistic system approach, which focuses on the process-oriented management for on-site construction. To succeed, the Process Information Modelling (PIM) concept is introduced. The main goal of PIM is to integrate Building Information Modelling (BIM) for extensible solutions with a process-based database platform, which allows for smooth data transfer and supports continuous data sharing among all stakeholders. The overall aim is to develop a collaborative way of planning, designing, producing, assembling and managing the entire project life cycle strategy. Digital documentation, simulation and real-time data are produced progressively to facilitate decision-making. A case study applying the PIM concept for the façade painting task by a painting robot for an on-going consultancy project commissioned by the construction industry council (CIC) in Hong Kong is presented. This paper is the revised version of the paper that has been published in the proceedings of the Creative Construction Conference 2018 (Pan et al., 2018).

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