Over the past decade, the Malaysian construction industry has contributed significantly to the Malaysian economy as an enabler of growth to other industries. Although it accounts for less than 5% of GDP, the industry is an essential growth enabler because of its extensive linkages with the rest of the economy, for example, the manufacturing industry (such as basic metal products and electrical machinery) and financial services industry. Besides, it contributes towards the objectives of Malaysia to be a developed nation by 2020, which envisaged that Malaysia will develop a construction industry that is internationally competitive. The industry will be seamless and all stakeholders will work in collaboration with each other. With the above in mind, a vision for the construction industry has been formulated with the objectives and goals of Vision 2020. This vision for the construction industry is intended to drive the development and implementation of all the strategies recommended in achieving its objectives. It is the Government’s aim to promote this vision to all stakeholders so that it is shared by both public and private sectors.
The CIMP (Construction Industry Master Plan) was developed to overcome some of the weaknesses that were inherent in the construction industry before this. They include, inter alia, quality deficiencies, over-dependency on foreign labour leading to a leak in the economy as a result of repatriation of earnings by foreign labour as well as numerous ensuing social and health problems, several major catastrophes, and the low productivity of the construction industry. The construction industry gave itself ten years, from 2006 until 2015, to rectify the weaknesses and to improve the industry’s performance as well as its image. The following are some of the main features of the Construction Industry Master Plan:
Vision: The Malaysian construction industry shall be a world class, innovative and knowledgeable global solution provider
Mission: To be a dynamic , productive and resilient enabling sector, supporting sustainable wealth creation and value creation, driven by technologically-pervasive, creative and cohesive construction community.
Seven Strategic Thrusts were identified:
1. Integrate the construction industry value chain to enhance productivity and efficiency
2. Strengthen the construction industry’s image.
3. Strive for the highest standard of quality, occupational safety and health, and environmental practices
4. Develop human resource capabilities and capacities in the construction industry
5. Innovate through research and development and adopt new construction methods
6. Leverage on information and communication technology in the construction industry
7. Benefit from globalization including export of construction products and services
According to strategic trust 1, by integrating the value chain of construction, productivity enhancement can be generated as the various parties that make up the value chain of construction can integrate their functions and save time both during development as well as during modifications. Communication is also facilitated through the integration of value chain. The early identification of members of the project team will also bring about greater understanding of the client’s and project’s needs. Further, if the integration were to include public sector functions, such as approval and issuance of certificates, the whole development process can be improved. Leveraging on the powers of ICT, these processes can be managed in a productive and effective manner.
On the other hand, strategic trust 6 stated that, the powers of ICT have, as yet, not been fully tapped to benefit the construction industry, not only in Malaysia, but all over the world. There are many more areas in the construction industry that can capitalise on the powers of ICT and improve its performance. Currently, even digital submission for approval by local authorities is at an experimental stage. Integration of the various softwares needed in the construction industry to achieve inter-operability is still being researched. Utilising the digital world to achieve mass purchase of construction resources has also not been implemented. These are all activities that will improve both the supply chain management as well as the integration of the value chain leading to improvement in productivity. The use of ICT will also allow the industry to traverse the digital world. It will provide opportunity for outsourcing and off-shoring. At the same time it allows for the formation of virtual partnership without a need to be physically close. Many projects are secured through the Internet nowadays. As such, focusing on the development of ICT in construction can also provide an opportunity to expand the construction market as well as the market of all the services and products related to it.
Information and communication technology (ICT) has a significant role to play in transforming the project visions and ideas into physical reality, from facilitating the creation and modification of building plans to expediting the review and approval process. It will bring significant improvements to the industry, enhance its efficiency in several areas such as knowledge sharing, and improve the industry's image. For example a construction industry portal has to meet the knowledge requirements of all the stakeholders in the industry such as contractors, suppliers, clients/developers, regulatory authorities, professionals, academia, students, financiers and the general public. This knowledge sharing initiative is also in line with the Government's vision to create a knowledge-based economy, as evident from the Knowledge Economy Master Plan. On the other hand, E-Construction, has been developed by CIDB EConstruct Services Sdn Bhd. It offers a range of information, which are mostly limited to members only, such as tender information, recent projects awarded, information on registered contractors, market information and articles on international projects, laws and technical issues, land and soil information, training programmes, etc.
As the local construction industry becomes more technologically advanced, more opportunities will be available to the local construction software industry in both public and private sectors. IT has increasingly been used to increase efficiency and productivity, and reduce cost in the long run. The promotion of the use of technology aims to achieve higher adoption of technology in the construction community. Increase in demand will in turn create more opportunities for the local construction software industry. The "IT Strategy Plan for the Construction Sector" is a study to formulate a strategic plan for the holistic adoption of ICT to enhance productivity and competitiveness of the sector. The study encompasses the sector's supply chain partners and aims to identify current state of IT usage in the sector, to determine IT initiatives to enhance productivity and to project gains in the sector.
One of the initiatives being carried out is the online planning submission and building plan approval at the local authorities. PWD and CIDB are currently developing an online tendering system which aims to automate and enhance its tendering process using Internet and the Web as the communication medium.
The Construction Industry Computing Association (CICA) is the independent membership programme for ICT decision-makers in Architecture, Engineering and Construction (AEC Sector). It has a 30 year track record in promoting, facilitating and enabling best practice in the sector. It provides independent guidance and facilitate genuine peer level networking and experience-sharing to enable our members improve their performance and competitiveness through the effective use of information and communications technology. AEC Sector can help in the increasing set of pressing challenges as an ICT decision-maker in today's complex world.
2. Strengthen the construction industry’s image.
3. Strive for the highest standard of quality, occupational safety and health, and environmental practices
4. Develop human resource capabilities and capacities in the construction industry
5. Innovate through research and development and adopt new construction methods
6. Leverage on information and communication technology in the construction industry
7. Benefit from globalization including export of construction products and services
According to strategic trust 1, by integrating the value chain of construction, productivity enhancement can be generated as the various parties that make up the value chain of construction can integrate their functions and save time both during development as well as during modifications. Communication is also facilitated through the integration of value chain. The early identification of members of the project team will also bring about greater understanding of the client’s and project’s needs. Further, if the integration were to include public sector functions, such as approval and issuance of certificates, the whole development process can be improved. Leveraging on the powers of ICT, these processes can be managed in a productive and effective manner.
On the other hand, strategic trust 6 stated that, the powers of ICT have, as yet, not been fully tapped to benefit the construction industry, not only in Malaysia, but all over the world. There are many more areas in the construction industry that can capitalise on the powers of ICT and improve its performance. Currently, even digital submission for approval by local authorities is at an experimental stage. Integration of the various softwares needed in the construction industry to achieve inter-operability is still being researched. Utilising the digital world to achieve mass purchase of construction resources has also not been implemented. These are all activities that will improve both the supply chain management as well as the integration of the value chain leading to improvement in productivity. The use of ICT will also allow the industry to traverse the digital world. It will provide opportunity for outsourcing and off-shoring. At the same time it allows for the formation of virtual partnership without a need to be physically close. Many projects are secured through the Internet nowadays. As such, focusing on the development of ICT in construction can also provide an opportunity to expand the construction market as well as the market of all the services and products related to it.
Information and communication technology (ICT) has a significant role to play in transforming the project visions and ideas into physical reality, from facilitating the creation and modification of building plans to expediting the review and approval process. It will bring significant improvements to the industry, enhance its efficiency in several areas such as knowledge sharing, and improve the industry's image. For example a construction industry portal has to meet the knowledge requirements of all the stakeholders in the industry such as contractors, suppliers, clients/developers, regulatory authorities, professionals, academia, students, financiers and the general public. This knowledge sharing initiative is also in line with the Government's vision to create a knowledge-based economy, as evident from the Knowledge Economy Master Plan. On the other hand, E-Construction, has been developed by CIDB EConstruct Services Sdn Bhd. It offers a range of information, which are mostly limited to members only, such as tender information, recent projects awarded, information on registered contractors, market information and articles on international projects, laws and technical issues, land and soil information, training programmes, etc.
As the local construction industry becomes more technologically advanced, more opportunities will be available to the local construction software industry in both public and private sectors. IT has increasingly been used to increase efficiency and productivity, and reduce cost in the long run. The promotion of the use of technology aims to achieve higher adoption of technology in the construction community. Increase in demand will in turn create more opportunities for the local construction software industry. The "IT Strategy Plan for the Construction Sector" is a study to formulate a strategic plan for the holistic adoption of ICT to enhance productivity and competitiveness of the sector. The study encompasses the sector's supply chain partners and aims to identify current state of IT usage in the sector, to determine IT initiatives to enhance productivity and to project gains in the sector.
One of the initiatives being carried out is the online planning submission and building plan approval at the local authorities. PWD and CIDB are currently developing an online tendering system which aims to automate and enhance its tendering process using Internet and the Web as the communication medium.
The Construction Industry Computing Association (CICA) is the independent membership programme for ICT decision-makers in Architecture, Engineering and Construction (AEC Sector). It has a 30 year track record in promoting, facilitating and enabling best practice in the sector. It provides independent guidance and facilitate genuine peer level networking and experience-sharing to enable our members improve their performance and competitiveness through the effective use of information and communications technology. AEC Sector can help in the increasing set of pressing challenges as an ICT decision-maker in today's complex world.
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