COVER QSLINK
ISSUE NO 28(1/2019) BOARD OF QUANTITY SURVEYORS MALAYSIA BULLETIN
Sr Nur Aziz Abu Bakar, CQS Datuk Sr Charlie Chia Lui Meng, CQS Disruptive Technologies – A Threat or The Legacy - Construction Opportunity for Quantity Surveying Commercial Management Practices and QS P. 17 P. 20
BOARD OF QUANTITY SURVEYORS MALAYSIA
17th Floor, Block F, JKR Headquarters, Jalan Sultan Salahuddin, 50582 Kuala Lumpur. EMBRACE CHANGE Telephone: 603-2696 7999 / 7987 / 7823 Fax: 603-2692 5680 FOR SURVIVAL Website: http://www.bqsm.gov.my
PLAIN AND CONTRACTOR’S INNOVATION SMART CONTRACTS REPORT CARD (CRC) IN QS P.22 P.24 P.27 QSLINK EDITORIAL COMMITTEE 19TH SESSION (2019-2021)
MANAGING EDITOR CHIEF EDITOR CONTRIBTORS PATRON EMERITUS ASSOCIATE PROFESSOR PROFESSOR Sr Sr NORIDAH Sr OMAR QSLINKDr. SARAJUL SHAFFII, CQS MUNIR, FIKRI CQS MOHAMED, CQS
SECTION EDITOR SECTION EDITOR DATUK SECTIONSR CHARLIE EDITOR CHIA LUI MENG, CQS Sr Dr. KHAIRIL Sr NAZIR HIZAR MD Sr MASNIZAN MUHAMAD KHUZAIMAH, CHE MAT, NOR, PQS CQS PQS
SECTION EDITOR SECTION EDITOR Sr Dr. Sr SITI NORAZIAN MAZZUANA MOHAMAD SHAMSUDDIN, YUSUWAN, PQS PQS
BQSM BQSM SECRETARIAT SECRETARIAT EMI AZWA HAZATULLAILA HARUN ZAINOL
BQSM SECRETARIAT BQSM SECRETARIAT NUR MAWARDDAH AZIDEE AZMAN YAHYA ARTICLES AND OPINION CAN BE FORWARDED TO:
PUBLICATION & IT COMMITEE BOARD OF QUANTITY SURVEYORS MALAYSIA 17TH FLOOR, BLOCK F, JKR HEADQUARTERS JALAN SULTAN SALAHUDDIN 50582 KUALA LUMPUR
Content Editor’s Note 2 Message From President 3 Congratulatory Notes And Acknowledgement 5 Announcement & Recognition 8 BQSM Activities 14 (January - October 2019) Featured Interview 1 17 Sr Nur Aziz Abu Bakar, CQS Disruptive Technologies – A Threat or Opportunity For Quantity Surveying Practices Featured Interview 2 20 Datuk Sr Charlie Chia Lui Meng, CQS The Legacy – Construction Commercial Management And QS Featured Article 1 22 Plain And Smart Contracts Featured Article 2 24 Contractor’s Report Card (CRC) Featured Article 3 27 Innovation In QS Lessons Learnt 29 Adapted from CIDB Construction Law Report Claim For Payment For Work Done PAQS 2019 Kuching 32 Book Review 34
BQSM invites all readers to contribute articles or express their opinion for publication in future issues. However, BQSM reserves the right to edit materials for clarification purposes and has absolute discretion not to publish any deemed unfit. MESSAGE QSLINK ISSUE 2019
EDITOR’S NOTE
Emeritus Professor Sr Omar Munir, CQS
Assalamualaikum wrm wbth and Salam in a globalised construction industry, PAQS held in Kuching Sarawak which Sejahtera Sr Nur Aziz Abu Bakar examined the managed to gather more than 550 disruptive technologies and its relation delegates from 14 countries across Our theme for this issue is Embrace to QS practices. the globe. Change for Survival. Change is inevitable, but quantity surveyors It is also high time for quantity We would like to extend our sincere must try to embrace these persistent surveyors to explore into different gratitude and appreciation for all of the ups and downs and learn to thrive on parts of the cost management hard work and dedication provided by this era of disruption in which powerful processes especially in venturing into BQSM Board members (2017/2019). global forces are changing how we property and oil and gas industries as We are very pleased to welcome newly live and work. With the advent of the highlighted by Datuk Sr Charlie Chia appointed BQSM Board Members Fourth Industrial Revolution (4IR), in his recent interview. In addition, (2019/2021). We anticipate that quantity surveyors increasingly need to Associate Professor Sr Dr. Noushad your skills and experience would embrace technological advancement Ali Naseem Ameer Ali in his article be an asset to our Board and for the so that we remain competitive and asserts that smart and plain contracts betterment of the QS profession. We thrive in the international arena. It is adopting modern methods such as sincerely trust that you will have as imperative to embrace digitisation artificial intelligence will improve much pleasure reading this edition of and technological disruptions to construction contracts administration QSLINK Bulletin as much as we have transition from being a labour-driven and minimise formal disputes and enjoyed compiling this for you, our industry to one that is more efficient increasing higher productivity. dear BQSM members and readers. and data-driven. This issue is filled in with great photos Happy Reading! In our cover features, given the rapid of BQSM activities such as CPD pace of change in technology and seminars, workshops and technical the fierce competitive environment visits. The most memorable event was
2 QSLINK ISSUE 2019 MESSAGE
MESSAGE FROM PRESIDENT
Adjunct Professor Dato’ Sr Aziz Abdullah CQS
Assalamualaikum wrm wbth and Salam Mesra
The year 2019 is coming to an end soon. In 2018, the construction industry went through a challenging period with the review of several mega projects, However as predicted, the momentum of growth in the construction sector in 2019 saw some positive developments that appeared to help revitalize the construction industry in this country. Although the construction industry only contributes to about 5% of the economy, its importance as a catalyst to the development of other sectors cannot be underestimate.
As has been the case in recent years, the advent of the Industrial Revolution 4.0, which emphasise technological and innovative aspects of reducing the dependence on manpower, is having an impact on all sectors in this country, and the construction industry is no exception. The Industrial Revolution 4.0, which generally involves various new technologies such as automation, big data, simulations, systems integration, the Internet of Things (IoT), robotic applications and so on, appears to be capable of accelerating the development of the modern world. Indeed, the advent of the Industrial Revolution 4.0 presents a new challenge for all sectors to work together to make changes so as to remain competitive. Looking at the tide of change in the modern world at present, a career as a Quantity Surveyor is also seen as being in line with this digital transformation. To cope with the current trend of modernization, Quantity Surveyors need to equip themselves with knowledge and skills so as to adapt their career to rapidly emerging technologies.
In line with the changing economic landscape and technological developments in the world, the Board of Quantity Surveyors Malaysia (BQSM), as a professional body that promotes and safeguards the quantity surveying profession in Malaysia, is committed in providing various courses and training programmes aimed at equipping participants with information and at enhancing their knowledge and competence in facing the changes that are taking place, not only in the construction sector but also in the world in
3 MESSAGE QSLINK ISSUE 2019
general. The programmes and courses I would also like to take this that were organized were not only opportunity to express my deepest targeted for Quantity Surveyors but appreciation and gratitude for the also students and academicians in dedicated service provided by the the field of quantity surveying, both members of the 18th Session of the nationally and internationally. Some Board, who completed their term of of the other programs organised by service in February. Your kindness the BQSM up to the third quarter of and devotion are etched forever 2019 are the Pacific Association of in our hearts. We welcome the Quantity Surveyors Congress (PAQS), new Members of the Board for the International Quantity Surveying 19th Session (2019-2021), and we Academic Forum (IQSAF), several wish you well in your service. Your series of the Continuous Professional contribution of constructive ideas Development courses, BQSM Dialogue and thoughts all most welcome. Let and so on. us work together with full dedication 2019 marks the 23rd year of the and commitment! It is not the organisation of the PAQS, and for the first time, the city of Kuching Finally, on behalf of the Members of was selected as the venue for the of the BQSM Board and the QS strongest conference. This year’s PAQS saw the Link Editorial Committee, I would the species participation of over 500 delegates like to wish all the very best to from within and outside the country, everyone. Let us end the year 2019 and this was also the largest number successfully and excellently, and that survive, of participants in the history of this hopefully, we will meet again for event. My congratulations to the the next edition. Let us welcome nor the most organizers of the PAQS 2019, namely, the year 2020! the Royal Institution of Surveyors intelligent, but Malaysia (RISM) and the Board of Quantity Surveyors Malaysia (BQSM), for successfully organizing the PAQS the one most 2019 with its very interesting theme - Human Wisdom Amidst Emerging responsive Technologies. to change In addition, this year, as in previous years, BQSM in collaboration with Universiti Malaya, has organized the PQRS; (Programme for QS Registration Scheme), which is aimed at engaging Charles Darwin Provisional Members to upgrade their membership to the level of Professional Members. As a sign of their commitment and efforts to increase the number of Professional Members (PQS), the PQRS theme for this year is #pqsmatters. This annual event was held at the Dewan Tunku Canselor, Universiti Malaya on 22 October 2019.
4 QSLINK ISSUE 2019 CONGRATULATORY NOTES & ACKNOWLEDGEMENT
ACKNOWLEDGEMENTSPECIAL
We would like to extend our sincere gratitude and appreciation for all of the hard work, dedication and leadership provided by the Board of Quantity Surveyors Malaysia (BQSM) committee members Session 2017-2019.
“Management Is Doing Things Right. Leadership Is Doing The Right Things” Peter Drucker
5 CONGRATULATORY NOTES & ACKNOWLEDGEMENT QSLINK ISSUE 2019
Congratulations! Adjunct Professor Dato’ Sr Aziz Abdullah, CQS for the appointment as
President Board Of Quantity Surveyors Malaysia For the term 2019-2021
6 QSLINK ISSUE 2019 CONGRATULATORY NOTES & ACKNOWLEDGEMENT Congratulations to THE NEWLY APPOINTED BOARD MEMBERS OF BQSM (2019-2021)
President : Adjunct Professor Dato’ Sr Aziz Abdullah, CQS Registrar : Sr Noraisah Kadirin, CQS Secretary : Sr Jamisah Ibrahim, CQS Board Members : Sr Nik Zainal Alam Hasan, CQS Sr Amran Mohd Majid, CQS Sr Maselawati Shamsuddin, CQS Sr Isabel Sim Tseu Yu, CQS Sr Dainna Baharuddin, CQS Sr Noridah Shaffii, CQS Sr Mohamad Shazali Sulaiman, CQS Sr Rogayah Yunus, PQS Sr Kamarudin Sulaiman, CQS Assoc. Prof. Sr Dr. Lim Yoke Mui, CQS Sr Mohd Sahak Surip, CQS Sr Roziyah Ismail, CQS Sr Muhamad Zulazhar Mohd, CQS
Representatives from Other Board : Ir. Sundraraj A/L A. Krishnasamy (Representing Board of Engineers Malaysia)
Ar. Mustapha Mohd Salleh (Representing Board of Architects Malaysia)
7 ANNOUNCEMENT & RECOGNITION QSLINK ISSUE 2019
STATISTICS OF REGISTRATION
Registration From Year 2016-2018 Y2018 Y2016 Y2017 2287 1946 2135
Y2017 Y2018 Y2017 Y2018 788 826 705 691 Y2017 Y2018 6 37
Quantity Surveying Consultant Quantity Professional Quantity Provisional Quantity Technologist (QST) Surveyor (CQS) Surveyor (PQS) Surveyor (PVQS)
Note : Consultant Quantity Surveyors, Professional Quantity Surveyors and Quantity Surveying Technologist were introduced since 2017 due to the implementation of QS Act 487 (Amendment) 2015.
New Registration June 2018 – Sept 2019
STATISTICS OF NEW INDIVIDUAL STATISTICS OF NEW REGISTRATION REGISTERED QS PRACTICES 60(4%) 91(5%) 108(6%) 3(12%)
10(38%)
1435(85%) 13(50%)
■ Quantity ■ Provisional ■ Consultant ■ Professional ■ Sole ■ Body ■ Multi-Disciplinary Surveying Quantity Quantity Quantity Proprietor Corporate (FM) Technologist Surveyor Surveyor Surveyor (FS) (FC) (QST) (PVQS) (CQS) (PQS)
8 QSLINK ISSUE 2019 ANNOUNCEMENT & RECOGNITION
NEWLY REGISTERED CONSULTING QUANTITY SURVEYING PRACTICES (CQSP)
YEAR 2018 YEAR 2019
1. BIZREKA GROUP SDN BHD 1. H QS CONSULT
2. GABUNGAN JURUKUR BAHAN SDN. BHD. 2. WSUQS SDN BHD
3. DCC CONSULT SDN BHD 3. RD QS CONSULT
4. ITQAN QS SDN BHD 4. SLQS CONSULT SDN BHD
5. VERTEX QS CONSULT SDN BHD 5. NBM QS CONSULT
6. YQS CONSULTANCY SDN BHD 6. HAW QS CONSULT
7. SR EXPERT PRACTICE SDN. BHD. 7. ZUL-QS.CONSULT
8. QSUN QUANTITY SURVEYORS SDN BHD 8. BKQS CONSULT SDN BHD
9. PQS KONSULTANT SDN BHD 9. AMN COSTING CONSULTANT
10. RM QS CONSULT 10. QYN QS CONSULT
11. ZULOTHMAN QS CONSULT 11. QUBIC QS CONSULT SDN BHD
12. ISRAK QS CONSULT
13. PERUNDING UKUR BAHAN PS
9
QSLINK ISSUE 2019 ANNOUNCEMENT & RECOGNITION
NEWLY REGISTERED PROFESSIONAL QUANTITY SURVEYORS (PQS)
YEAR 2018 YEAR 2019
1. AHMAD FAIZ ABD RASHID 1. CHEONG GUO UNN 51. LIAW KOK CHENG 2. AIDATUL AKMAL MUHAMAD 2. MIRACLE LIAM WEE LIT 52. HEW WEI GIAN 3. ASMAH ALIA MOHAMAD BOHARI 3. ‘AFIF SHAPIAI 53. SOO KOK FUIE 4. BETTY BONG YIAN CHYN 4. SHIRLEY C LIYUNG 54. MOHD FAIZAL ABD RASHID 5. CHEONG SOO MEE 5. NUR YUSRINA MUHAMMAD HASMI 55. HASBULLAH SHAFIE 6. CHIN WEI MIN 6. LUQMAN A ZAMANI 56. MOHD KHAIRUL FITRI OTHMAN 7. FARHAN MD DAHLAN 7. FATIN LIYANA KAMARUDIN 57. TAN CHEE LIM 8. FAZIDAH ZAINAL ABIDIN 8. CHONG PHUI HOONG 58. SUPARDI LANUS 9. FRAULINE ANAK ENGKAMAT 9. MOHD AZIZI IBRAHIM 59. LIM VIN PEI 10. GAN HOCK LEONG 10. EVELYN TEOH CHING TING 60. NUR ATHIRAH ZAINAL ARIFFIN 11. GOH CHUAN YANG 11. WONG YEE VERN 61. HARYATI MOHD ISA 12. GOKULAKUMAR A/L BALA KRISHNAN 12. HASSAN BERO 62. WONG BEE CHIAN 13. HAZALAN HARON 13. NOR FAZREENA MOHAMAD ZAKI 63. WAN MOHD NURDDEN WAN MUHAMMAD 14. HO JUNE KHAI 14. ANNELINE EUGENIE ROBINSON STABAL 64. NOR AZLINDA BINTI MOHAMED SABLI 15. IMRAN MOHD YUSOP 15. SHAMSIDA SAIDAN KHADERI 65. LIM LI FEN 16. INTAN IDAYU MOHAMAD 16. ANI SAIFUZA ABD SHUKOR 66. NG YEN FAH 17. KHAIRY HADAFI KAMARUDIN 17. SITTI DIANA TAMJEHI 67. ADDEY SHAM BAHARIN 18. LEE HONG JONG 18. NORAZIAH WAHI 68. MOHD NASIR HASHIM 19. LIM HOCK KEE 19. ANIS SAZIRA BAKRI 69. MOHAMAD FAIRUZ KIPRAWI 20. LIM SING LING 20. SHAMSULHADI BANDI 70. FIONA WONG ZHEN YI 21. LOH WAI JENG 21. HAJAR MARYAM MOHAMED HASHIM 22. LYDIA CHIONG CHEW LIAN 22. LIM TZE SHWAN 23. MADIAH EMBONG 23. SITI HAIZAN AZMI 24. MIERANIE WATIE SHAHARUDIN 24. MOHAMAD NOOR AFFENDDY MISMAN 25. MOHAMMAD AZLAN KAYAT 25. POH KOON POO 26. MOHAMMAD NOR RAFIQ JUNAIDI 26. MOHD REEZA YUSOF 27. MOHD MAZLY MAHANI 27. LEONG LAI YEE 28. MOHD YUSOFF DAUD 28. CHEAH KEA SUE 29. MOHD ZULHUSNI HASBULLAH 29. SITI ‘AZURA BINTI MOHD SAIFULLAH 30. NOOR ASHIMA SHAHIMI 30. MUHAMMAD FAZLISHA SHAHARIZAN 31. NORAZIAN MOHAMAD YUSUWAN 31. IKHWAN KAMARUL ABD. MANAN@ABDUL 32. NUR RAFIDAH HAMDAN JALIL 33. NURUL JALILAH HABSAN 32. MOHD FARID OMAR 34. ONG CHEN CHEAK 33. TEE WEI KIN 35. OOI POH SIANG 34. WONG TECK ING 36. RIDZUAN MOHAMED RADZI 35. FONG MEI LING 37. ROSHIDI ROSLI 36. MOHAMAD ASHMUNI HAJI HUSSAIN 38. ROSSITA KARTIMON 37. NURUL AZNA AZMAN 39. RUAIDAH IDRIS 38. KUO HUA LING 40. RUZIDA HASSAN 39. ABD RAZAK ALI 41. SITI FADZILAH ZAINUDIN 40. MOHAMED ABD NAIM MOHAMED NAWI 42. SITI HAJAR AB. SAMAD 41. TAN CHUNG YONG 43. SITI MAZZUANA SHAMSUDDIN 42. FARAH AIN ZAINUDIN 44. SUHAIRI NGAH 43. ONNY IRIAWAN OTHMAN 45. SYED RIDZUAN SYED RAINUDDIN 44. PUTERI NUR FARAH NAADIA MOHD FAUZI 46. TEH BIN SIN 45. NUR FARIHA HAMZAH 47. WAN HUZAIMI WAN ABDULLAH 46. SITI NABILAH ABDULLAH 48. WOO KAH KHEONG 47. YOW LI PING 49. ZAIDATULNAIM IDRIS 48. NORAZLIN MAT SALLEH 49. SITI KHADIJAH SABAR 50. MOHD HELMI ZAKARIAH
11 ANNOUNCEMENT & RECOGNITION QSLINK ISSUE 2019
LIST OF BQSM ACCREDITED QUANTITY SURVEYING PROGRAMME
NO. LOCAL PROGRAMME ACCREDITATION PERIOD
UNIVERSITI TEKNOLOGI MARA (UiTM) SERI ISKANDAR 1. 9.9.2018 – 8.9.2023 BACHELOR OF QUANTITY SURVEYING (HONS)
UNIVERSITI SAINS MALAYSIA INTAKE 2019 / 2020 – 2. BACHELOR OF SCIENCE (HOUSING, BUILDING & PLANNING) (HONOURS) 2023 / 2024 (QUANTITY SURVEYING)
UNIVERSITI TEKNOLOGI MARA (UiTM) SHAH ALAM INTAKE 2019 / 2020 – 3. BACHELOR OF QUANTITY SURVEYING (HONS) 2023 / 2024
INFRASTURCTURE UNIVERSITY KUALA LUMPUR 4. 18.6.2019 – 17.6.2022 BACHELOR OF QUANTITY SURVEYING (HONS)
UNIVERSITI TUNKU ABDUL RAHMAN (SG. LONG CAMPUS) 5. 20.1.2017 – 21.1.2022 BACHELOR OF SCIENCE (HONS) QUANTITY SURVEYING
TAYLOR’S UNIVERSITY 6. 20.1.2016 – 19.1.2021 BACHELOR IN QUANTITY SURVEYING (HONS)
LINTON UNIVERSITY COLLEGE 7. 28.8.2018 – 27.2.2021 BACHELOR OF SCIENCE (HONOURS) IN QUANTITY SURVEYING
UCSI UNIVERSITY 8. 28.2.2018 – 27.2.2021 BACHELOR OF QUANTITY SURVEYING (HONS)
UNIVERSITY OF READING MALAYSIA 9. 20.7.2018 – 19.7.2021 BSc (HONS) QUANTITY SURVEYING
UNIVERSITI MALAYSIA SARAWAK 10. JULY 2018 – JULY 2021 BACHELOR OF QUANTITY SURVEYING (HONS)
IMPERIA COLLEGE (formerly known as IMPERIA Institute Of Technology) 11. BSc (HONS) QUANTITY SURVEYING & COST MANAGEMENT (3+0) IN 19.12.2019 – 18.12.2021 COLLABORATION WITH LIVERPOOL JOHN MOORES UNIVERSITY
HERIOT WATT UNIVERSITY MALAYSIA 12. 20.2.2017 – 19.2.2020 BACHELOR OF SCIENCE IN QUANTITY SURVEYING
SEGi UNIVERSITY 13. 5.9.2018 – 4.9.2020 B.SC. (HONS) QUANTITY SURVEYING
INTI INTERNATIONAL UNIVERSITY 14. 9.9.2018 – 8.9.2020 BACHELOR OF SCIENCE (HONS) QUANTITY SURVEYING
UNIVERSITI TEKNOLOGI MARA (UiTM) SAMARAHAN 15. SEPT 2018 – SEPT 2020 BACHELOR OF QUANTITY SURVEYING (HONS)
UNIVERSITY COLLEGE OF TECHNOLOGY SARAWAK 16. 29.10.2018 – 28.10.2020 BACHELOR OF QUANTITY SURVEYING (HONS)
12 QSLINK ISSUE 2019 ANNOUNCEMENT & RECOGNITION
LIST OF BQSM ACCREDITED QUANTITY SURVEYING PROGRAMME
NO. LOCAL PROGRAMME ACCREDITATION PERIOD
TUNKU ABDUL RAHMAN UNIVERSITY COLLEGE 17. 17.12.2018 – 16.12.2020 BACHELOR IN QUANTITY SURVEYING (HONS)
UNIVERSITI TEKNOLOGI MALAYSIA (SPACE) 18. 5.10.2014 – 28.10.2019 BACHELOR OF QUANTITY SURVEYING - PART TIME STUDY ONLY
UNIVERSITI TEKNOLOGI MALAYSIA 19. 5.10.2014 – 28.10.2019 BACHELOR OF QUANTITY SURVEYING - FULL TIME STUDY ONLY
UNIVERSITI MALAYA 20. 1.1.2015 – 31.12.2019 BSc (HONS) IN QUANTITY SURVEYING
LIST OF BQSM ACCREDITED QUANTITY SURVEYING PROGRAMME
NO. FOREIGN PROGRAMME ACCREDITATION PERIOD
LIVERPOOL JOHN MOORES UNIVERSITY 1. 21.7.2016 – 20.7.2021 BACHELOR OF SCIENCE (HONS) IN QUANTITY SURVEYING
UNIVERSITY OF PORTSMOUTH 2. 3.5.2015 – 2.5.2020 BSc (HONS) QUANTITY SURVEYING
UNIVERSITY OF READING 3. 3.5.2015 – 2.5.2020 BSc (HONS) QUANTITY SURVEYING
SHEFFIELD HALLAM UNIVERSITY 4. 26.6.2015 – 25.6.2020 BSc (HONS) QUANTITY SURVEYING
HERIOT WATT UNIVERSITY 5. 1.9.2015 – 31.8.2020 BSc (HONS) QUANTITY SURVEYING
UNIVERSITY OF THE WEST OF ENGLAND 6. 1.9.2015 – 31.8.2020 B.SC. (HONS) IN QUANTITY SURVEYING & COMMERCIAL MANAGEMENT
NORTHUMBRIA UNIVERSITY 7. 26.10.2016 – 25.10.2019 BACHELOR OF SCIENCE (HONS) QUANTITY SURVEYING
CURTIN UNIVERSITY OF TECHNOLOGY 8. BACHELOR OF APPLIED SCIENCE (CONSTRUCTION MANAGEMENT & 17.12.2014 – 16.12.2019 ECONOMICS) – For Internal Full-Time Mode of Study Only
13 BQSM ACTIVITIES (JAN-OCT 2019) QSLINK ISSUE 2019
BQSM JAN ACTIVITIES
CPD : YOUR 50 CONSTRUCTION CONTRACT FAQ MAR 16 January 2019 | Premiera Hotel, Kuala Lumpur CPD : BENGKEL PENILAIAN DAN PENILAIAN TUNTUTAN KONTRAK (WORKSHOP & ISSUES IN CONTRACTUAL CLAIMS 6 – 7 March 2019 | Premiera Hotel, Kuala Lumpur CPD : PRACTICAL AND LEGAL ISSUES PERTAINING TO PAYMENT IN CONTRUCTION PAYMENT APR (PWD 203 & 203A) 19 – 20 March 2019 | Riverside Hotel, CPD : BEST PRACTICE FOR Kuching, Sarawak S.O AND P.D IN CONTRACT ADMINISTRATION 22 – 23 April 2019 | The Klagan Hotel, Kota Kinabalu, Sabah JUN
MAJLIS PENYAMPAIAN SIJIL PROFESSIONAL LJBM JUL TAHUN 2018/2019 24 Jun 2019 | Premiera Hotel Kuala Lumpur TIER-II EXAMINATION BRIEFING JULY SESSION 2019 1 July 2019 | Ministry of Works, Kuala Lumpur ACCREDITATION VISIT TO INFRASTRUCTURE UNIVERSITY KUALA LUMPUR 16 – 17 July 2019 | Infrastructure University Kuala Lumpur (IUKL) CPD : KNOW YOUR TERM OF CONTRACT – PAYMENT, EXTENSION OF TIME, VARIATION AND TERMINATION 17 – 18 July 2019 | Premiera Hotel, Kuala Lumpur PREPARATION OF THE CRITICAL ANALYSIS REPORT WORKSHOP 2019 27 July 2019 | RISM Building TIER-II EXAMINATION CQS JULY SESSION 2019 29 July 2019,Ministry of Works, Kuala Lumpur ACCREDITATION VISIT TO NOTTINGHAM TRENT UNIVERSITY, UNITED KINGDOM 30 – 31 July 2019, Nottingham Trent University (NTU), United Kingdom
14 QSLINK ISSUE 2019 BQSM ACTIVITIES (JAN-OCT 2019)
BQSM ACTIVITIES AUG CPD : LEGAL ISSUES IN ADJUDICATION 6 – 7 August 2019, Premiera Hotel, Kuala Lumpur ICT STRATEGIC PLAN BRIEFING 14 August 2019, KKR2 TOWER ANNUAL DIALOGUE SESSION 2019 25 August 2019, Dewan Tunku Abdul Rahman (DeTAR), UNIMAS SEP
ACCREDITATION VISIT TO UNIVERSITI TEKNOLOGI MARA (UiTM) SHAH ALAM 12 – 13 September 2019, UiTM Shah Alam ACCREDITATION VISIT TO UNIVERSITI SAINS MALAYSIA 19 - 20 September 2019, Universiti Sains Malaysia CPD : ISU-ISU PRAKTIKAL & PERUNDANGAN BERKENAAN BAYARAN DALAM KONTRAK BINAAN (CIPAA) 24 – 25 September 2019, Grand Continental Hotel, Kuala Terengganu, Terengganu
OCT
CPD : ARBITRATION ISSUES IN MALAYSIA CONSTRUCTION INDUSTRY 14 October 2019, Premiera Hotel, Kuala Lumpur BENGKEL PANEL PENILAI AKREDITASI PROGRAM IJAZAH & DIPLOMA UKUR BAHAN / SIRI 2 15 October 2019 PROGRAMME FOR QS REGISTRATION SCHEME (PQRS 5.0) 22 October 2019, Universiti Malaya
15 ACHIEVEMENT
LEMBAGA JURUUKUR BAHAN MALAYSIA BOARD OF QUANTITY SURVEYORS MALAYSIA Has Been Certified
ISO 9001:2015 By QSLINK ISSUE 2019 INTERVIEW
FEATURED INTERVIEW 1 Distruptive Technologies - A Threat or Opportunity for Quantity Surveying Practices Sr Nur Aziz Abu Bakar, CQS
Sr Nur Aziz Abu Bakar (CQS, FRISM, MRICS) started his career with JUBM Sdn Bhd in 1988 as a Project Executive and was appointed as the Director of JUBM in 2001. JUBM and its sister company Arcadis often injects electronic measurement approach and BIM integration into their work to achieve project efficiency.
QSLINK content editor, Sr Masnizan JUBM has always been in the forefront software that enhance speed and Che Mat and Sr Nazir Muhamad Nor when it comes to adopting new accuracy in QS works. Since then, had the privilege of interviewing technologies. Since the 1990s, we have been exploring with different Sr Nur Aziz, Mr Sean Chong Kong when most of the QS firms were still types of software. Yoong and Mr George Wong Hong doing their works traditionally, JUBM Chong of JUBM/ Arcadis IT team. and its associate companies has When BIM was introduced, we decided JUBM/Arcadis is now working on developed and maintained a suit of to move into a paradigm shift from enhancing productivity in design in-house innovative software, tailored our traditional practice to disruptive and construction, researched on specifically for quantity surveying task. technology. We started BIM on a few Computational BIM, virtual reality and Our “DalasNet” provided a secure projects. Adopting change is always a other productivity enhancement topics. intranet workspace for communication challenge, we however has managed and knowledge management. to pull it through. It was indeed a 1. How should a QS The “AtlesPro” and “L10Pro” are learning curve for everyone. Consulting Practice respectively BQ and e-tendering (CQSP) change their current practice to incorporate disruptive technology? What do you think?
Disruptive technology is an innovation that significantly alters the way consumers, industries or businesses operate. It sweeps away the old system or habits. QS profession is influenced by technology breakthroughs and the use of ICT has increased opportunity for globalization within the construction industry.
17 INTERVIEW QSLINK ISSUE 2019
For a CQSP, measurement and preparation of Bills of Quantities are an important part of QS services. We believe that students should be proficient in the area of digital measurement, Revit and have strong construction technology knowledge. In JUBM, we conduct in-house training programs where we train and upskill our new employees particularly in the area of digital measurement and BIM competencies. In the next few years 2. Moving from traditional 3. You did mention that we should be 100% BIM. way of doing things to the new generation are the digitalization using technology savvy. Do you all the latest technology, think we need to review in your opinion what the current QS syllabus is the hurdles or the to create readiness obstacles? towards disruptive BIM has existed for more than 20 years, technology? Do you think but its adoption by the construction that the current syllabus industry was not favourable due to cost is sufficient or there is a and limitation of knowledge. need to incorporate new elements, be it local or It is always the mindset, for example international program? 4. People always see in the office we have different type of that the most remarkable users i.e. traditional users and users In my opinion, there’s no one syllabus among the new generation. For those that can prepare students to be change brought by traditional users we have no choice industry ready. Different university will disruptive technology but to embark into a paradigm shift; have different teaching philosophy. is the increased to slowly introduce to them what Some are still very traditional in efficiency of QS is technology all about and how while others are inclined towards productivity. Do you technology can help them with their management-oriented approach, think that this could lead work. where minimum teaching hours are spent on measurement subject. to an adoption of flexible There is always advantages and Different university would aim to working hours at the disadvantages when it comes to prepare their students for a different workplace? technology. And this is what we would niche. In reality, universities should The use of new technology has like to address. We have been through prepare their students to meet the changed the way we perform our into the paradigm shift process and current needs as well as anticipate routine. Financial and time investments had gained experience from there. future needs. are required to develop new skills After 4 to 5 years of implementation through staff training and upskilling in and venturing into this journey, we order to meet the current and future are currently reviewing the business needs. processes. What do we missed-out? What did we learn? What are the disadvantages that we went through? We need to correct them and come out with solutions.
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“There will always be a need for Quantity Surveyors and Cost Managers but thanks to digital disruptions, the skill set required in the future will be different from the current ones.”
5. Do you think that There will always be a need for disruptive technology Quantity Surveyors and Cost Managers but thanks to digital disruptions. The will create more job skill required in the future will be opportunities? different from the current ones. It will be a challenge for the older generation The QS scope of works and roles are to keep up with the technologies continuously evolving and disruptive and future expectations compared technology has created new job with the young digital savvy Quantity opportunities such as business Surveyors. advisory etc.
Technology keeps on changing To take advantage of the growing The best opportunity for Quantity rapidly. Nowadays everyone is hungry technology, JUBM has been exploring Surveyors is in the area of algorithms for data. People want to capture as ideas for a change in our working through the form of software which many data as possible so that they can environment such as implementation automates the process. While I believe use the Artificial Intelligence to perform of flexi working hours, working from human will always be involved in the predictions etc. If the processing home, hot desking, possibility of process, much of the traditional QS power is fast enough with the huge alternate Friday off etc. We hope to way of doing things will be automated. amount of data collected, it is possible implement some of these ideas in the that one day through machine learning, near future. 6. Any advice for future the routine Quantity Surveying job QS? will be placed by hardware and/or We need a paradigm shift and change software. in the people’s mind set.
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FEATURED INTERVIEW 2 The Legacy - Construction Commercial Management And QS Datuk Sr Charlie Chia Lui Meng, CQS Datuk Sr Charlie Chia Lui Meng, CQS is highly experienced in Property Management and Quantity Surveying and often introduces commercial management approaches into his work to achieve to project profitability. He has a CLP and is knowledgeable in construction claim and disputes.
QSLINK Managing Editor, Associate my LLB Honours degree from the management services throughout the Professor Sr Dr Sarajul Fikri Mohamed University of London in 1994. I was project life cycle. My ultimate aim was to had the privileged of interviewing obtained my CLP in 1995 and was provide a comprehensive QS services him. Datuk Sr Charlie is now working admitted into the Malaysia Bar in 2017. especially contract management and on improving construction contract cost control division. Currently QS management new project development 2. Your company is practices in real estate development with UMLand. Datuk Sr Charlie Chia considered one of are dealing with procurement works, shares his perspective on Commercial the pioneers Master calls for tender, selection of contractor, Management Construction: Challenges Developer in Malaysia; planning for contract suppliers for and Opportunities major materials such as sanitary can you share with us fittings, steel reinforcement, ready 1. Could you please on how you embark mixed concrete etc. briefly explain about into housing project yourself? development? 3. What do you think is the greatest challenge I graduated with Bachelor of After almost 18 years working as faced by Malaysian Quantity Surveying from UTM. I then quantity surveyor in the public housing developers sector and 2 years as a construction started my professional career as through Government an quantity surveyor at JKR and contractor, I am determined to change worked for 18 years in several key my career to real estate development. policies changes? QS sectors. Later, I joined UMLand In the early days, the majority of One of the challenges that influence as General Manager, involved in real estate developers in Malaysia the growth of housing development mixed development such as housing, had no set up for contract and cost firms is the governance and policies commercial and infrastructure. In 2008, management in their organisation. I joined a Vietnamese Developer and After 20 years in QS practices was directly involved in overseeing for public sector and contracting construction projects in Vietnam. In company, I have decided to venture 2012, I was appointed Group CEO into property development industry. of UMLand and retired in 2016. I A lot of real estate developers do remain as a non Executive Director in not have a proper QS division to a number of UMLand companies. On provide cost management and contract professional development, I received
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government initiatives. Location is a Quantity surveyors are often seen as major factor and the low cost of land the “accountants” of the construction and the development of affordable industry as they advise on, measure, housing should be connected with quantify and calculate construction efficient and systematic public related costs. In my opinion, skills transport such as MRT and BRT of measurement are still relevant system. to produce a good cost advice on costing, estimation and final 5. Please share with us account. For example in property some of the projects you development, QS needs to use are currently working the basic knowledge and skills in measurement to perform reverse compliances. It is estimated that on especially on the performance evaluation in helping about ten to fifteen percent of the total commercial management property developers to evaluate gross construction costs is attributed aspects you were the cost of a product against land to a range of pertinent and critical considered in achieving costs to forecast and control project laws that should be complied (i.e. project profitability as profitability. In general, QS profession Uniform Building by Law 1984 (UBBL), Developer? is very versatile, methodological and Environmental Quality Act 1984, flexible and can venture to other Local Government Act 1976, Street, The QS profession is a wide-ranging sectors such as banking, project Drainage and Building Act 1974 (Act profession in terms of cost and management and oil and gas industry. 133). However, government policy also procurement management required in benefits developers and home buyers the real estate business development 7. Last, but not least, in Malaysia. For example the adoption activities. This means they are involved, what advices can of Industrialized Building System (IBS) often on the site, through to the will not only help meet the required you give to young completion of construction, keeping quality of final building products but QS to become a good a constant eye on the budgetted and will reduce its dependency on foreign commercial manager. actual costs, as well as being required workers. to react quickly to problems and Commercial Management is a 4. There is a shortage changes in specifications with updated new service that needs to be costings and feasibility reviews. During explored by the new generation of affordable housing the construction process, quantity in Malaysia with of QS. Commercial managers are surveyors offer an invaluable cost construction professionals who are only a quarter planning and commercial management very knowledgeable and well vested of houses launched role to track budgets and financial with construction cost management, nationwide from 2016 performance. project procurement and project to March 2018 priced management and able to evaluate, 6. QS is very much under RM250,000. What select and manage the various types stereotype in doing is your company strategy of construction procurement and their their businesses and associated costs and financial risks. to support Malaysian lacking in innovation government initiatives on in promoting their affordable housing? services. What is your Residential property can only be opinion in making QS categorized as an affordable unit profession relevant in if it fits these three criteria; priced other industries? Please under RM250,000, with a minimum comment. 800 square feet and at least two bedrooms. Therefore, developers need to implement cross subsidies from “In general, quantity surveying profession is other types of development projects very versatile, methodological and flexible and to meet these criteria. In my opinion, Government needs to create a single can venture to other sectors such as banking, agency for management of affordable project management and oil and gas industry” housing to ensure it meets Malaysian
21 FEATURED ARTICLE QSLINK ISSUE 2019
In Malaysia, like many other parts of the FEATURED ARTICLE 1 world, the number of contract dispute cases in the construction industry are rising yearly. Two years ago, PLAIN AND SMART 700 cases were filed with the Asian International Arbitration Centre (then CONTRACTS known as the Kuala Lumpur Regional Centre for Arbitration), with the value ADAPTED FROM CIDB MAGAZINE of claims totally RM1.38 billion. Most CONSTRUCTION BEYOND 2020 : ICW 2019 can be traced to poorly drafted HIGHLIGHTS contracts, resulting in disagreements over financing and costs, delayed Associate Professor payments, quality issues, delays and Sr Dr Noushad Ali Naseem Bin Ameer Ali, CQS disruptions, and other contractual and Massey University, New Zealand ex-contractual contentions.
ALAYSIA’s construction industry growth may have slowed from 6.7% in 2017 and 4.9% forecasted for 2019 but it is still a vital “LARGE NUMBER OF pillar of the economy with a significant role in driving the nation CONSTRUCTION CONTRACTS towards developed status. From the basic skills used during its WRITTEN IN TRADITIONAL Minfancy in the 1950s to the latest technologies revolutionising the business of LANGUAGE OR LEGALESE LINKING building, the industry has evolved tremendously. MULTIPLE PARTIES. THE CONTENTS Today’s technologies cover augmented reality, robotics, drones, real-time OF THE AGREEMENT ARE OFTEN collaboration software, green and sustainable practices, mobile and IoT adoption, LITTLE UNDERSTOOD BY THE modular construction, smart buildings, and if research progress rapidly enough, SIGNATORIES TO THE CONTRACT.” in the not too distant future - smart contracts using blockchain technology. The speed of construction, better quality, cost efficiency and sustainability – DR NOUSHAD ALI NASEEM have been vastly improved through systems like the Industrialised Building Systems (IBS) and Building Information Modelling (BIM).
Despite the advances, the industry is still fraught with problems, including Associate Professor Sr Dr questionable project awards, poor workmanship, unsafe work environments, Noushad Ali Naseem Bin Ameer and manpower shortages. Ali, a multidisciplinary construction professional with over 30 years of industry and academic experience, DESIGN AND BUILD suggested how practices could be CLIENT improved as the industry progressed towards adopting modern methods such as artificial intelligence to DESIGN AND BUILD CONTRACTOR administer construction contracts. Construction contracts must be written in modern plain language, but this should be done without corresponding ARCHITECT ENGINEERS QUANTITY SUB-CONTRACTORS SURVEYOR legal intent. “Make everything as simple as possible, but not simpler,” he said paraphrasing Einstein during his DESIGN AND BUILD - CONTRACT AND PAYMENT FLOWS talk on ‘ Vision 2030 - Plain and Smart Construction Contract’ at the recent CIDB, International Construction Week 2019. A significant and constant issue facing builders and other stockholders alike is contract disputes. This is not surprising given the large number of construction Dr Naseem asked, “What is plain contracts written in traditional language or legalese linking multiple parties. English or plain language? I like to take The contents of the agreement are often little understood by the signatories a simple and ‘good sense’ approach or to the contract.
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a common sense approach - which unfortunately is not very common. A plain services or goods have been delivered language contract is one which the parties to the contract and those who have instantaneously. This can prevent an interest in it can understand the contents easily, ideally on first reading – fraud, undue delays, or interference and possibly upon re-reading.” It should be fundamental right of everyone to at any level. only sign a contract only after he/she fully understands the contents. He explained the concept of smart “And as construction contracts are typically based on standard published forms contracts,” Imagine a client has of contracts, they should not require the services of lawyers to understand entered into a contract with the main the voluminous documents - either before signing or during implementation contractor who in turn has multiple of the project,” he explained. contracts with other subcontractors for a project. The quantity surveyor, Dr Naseem’s view is that contract administrators - as with architects, engineers, architect, engineer, contractor, and and quantity surveyors - should not need lawyers’ services when they prepare subcontractors might then do a joint valuation for progress payment on site TRADITIONAL PROCUREMENT using a digital device like an iPad.
QUANTITY ARCHITECT ENGINEERS SURVEYOR “A SIGNIFICANT AND CONSTANT CLIENT ISSUE FACING BUILDERS AND OTHER STAKEHOLDERS ALIKE IS MAIN CONTRACT DISPUTES.” CONTRACTOR
“Upon agreement and authorisation DOMESTIC DOMESTIC SUB- NOMINATED SUB- NOMINATED SUPPLIERS CONTRACTORS CONTRACTORS SUPPLIERS by the relevant parties, payments may then be transferred online, the THE TRADITIONAL PROCUREMENT ROUTE – timing of which could range from CONTRACTS AND PAYMENT FLOWS being instantaneous to all parties to a date in the future say in 30 days, if so agreed by the parties in the typical tender and contract documents and when administering the contract contract. Banks would also be keen throughout the construction stage. to use this technology because it is more efficient, safe, and effective.” Can contracts like construction contracts be written in modern plain language without losing legal intent? Dr Naseem said the technology would keep all transactions transparent, He said his research on construction contracts showed that this is clearly adding that there will be zero payment possible. He backed his claim, quoting learned authorities like Emeritus delays or defaults if transactions Professor Peter Butt from Sydney Law School, Associate Professor Rachelle are instantaneous or paid within the Lintao from the Santo Tomas University in the Philippines, Professor Joseph contractually agreed time frames. Kimble from the USA, Mark Adler and Martin Cutts from the UK, and the findings Such efficiency would result in of several other researchers. minimal formal disputes and higher He said plain language contracts could be drafted more clearly and effectively productivity, leaving the parties to using two examples that have been accredited as a “Clear English Standard” concentrate on the quality and timing document by the Plain Language Commission, UK. aspects of their work. This would help construction projects to be completed One is the Standard Terms of Construction Contracts for Renovation and Small on time and to the contractually agreed Projects (STCC-RSP 2015) published by the CIDB Malaysia, in collaboration quality. with various professional and trade organisations in Malaysia. The other is a contract for Quantity Surveying Professional Consultancy Services (NZIQS- “Technology would keep all CQSCS) published by the New Zealand Institute of Quantity Surveyors. transactions transparent adding that there will be zero payment Dr Naseem is also involved in the research of smart contracts that may be delays or defaults if transactions are administered by machines with little or no human intervention. Smart contracts instantaneously or paid within the have embedded codes to enable the instantaneous exchange of money after contractually agreed time frames”
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FEATURED ARTICLE 2: THE CONTRACTORS REPORT CARD: A STEP TO RELIABLE DECISION MAKING Sr Ida Zuraida Mohd Yusoff, CQS Construction Industry Development Board (CIDB) Malaysia
In line with the Construction Industry CIMS, housing the core database of Transformation Programme initiative the Construction Industry has enabled for Ease of Doing Business, CIDB has the creation of a comprehensive embarked on a Strategic Enterprise information tool on contractors Resource Planning (ERP) project known as the Contractors Report since the year 2017. The result is Card (CRC). The CRC consists of the establishment of its first ERP company profile, list and status of known as the Centralised Information licensing registrations, SCORE ratings, Management System (CIMS), certifications and awards, information integrating eight core processes with on contractor’s personnel including fifteen external systems to promote the list of training and competencies a seamless business process for acquired. The CRC also consists of the industry’s convenience. The current and past project information objective : to facilitate the Ease of as well as the regulatory compliance Doing Business for stakeholders information (legal and enforcement). through the concept of Connected Government and seamless business The CRC is meant to gauge the process integration. construction companies’ dynamics, providing a fair and justified information
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on contractors’ commercial and technical performance, achievements, expertise, merits and demerits. The objectives of the CRC is to promote a good-practice environment within the Construction Industry through the sharing of transparent and factual “Synergy is better information that would serve as a guide in clients’ decision making. It is than my way or envisioned that the CRC would help to establish a more effective governance your way. It is our of the industry’s conduct, encourage positive competition, enabling the way” selection of credible contractors for projects thus increasing the success Stephen Covey of projects delivery rate. The CRC is expected to be fully accessible in January 2020.
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QSLINK ISSUE 2019 FEATURED ARTICLE
FEATURED ARTICLE 3: INNOVATION IN QS “AUTOMATION AND ARTIFICIAL INTELLIGENCE TECHNOLOGIES IN QUANTITY SURVEYING PRACTICES” Associate Prof. Sr Dr. Sarajul Fikri Mohamed, CQS Universiti Teknologi Malaysia (UTM), Johor Malaysia
INTRODUCTION Quantity Surveyor (QS) work in a diverse range of market conditions – in terms of companies as well as project types. Some major companies may have well-established processes and knowledge of the construction industry and of their project’s requirements, while others may only have limited experience. Hence, quantity surveyors will need to change and adapt their approaches according to the needs of the industry and the market. As such, Figure 1 : Benefits of Automation Implementation in Construction the flexibility and ability of quantity surveying professionals to evolve with of technology adoption due to the are supported by several programmes changing market demands are keys to Third Wave of Internet Revolution. It and initiatives in order to achieve the the survival and continuing relevance represents a new era of information and CITP agenda. Steering towards a high- of the profession. While Artificial communication technology in which income nation, it is imperative for our Intelligence (AI) and machine learning successful organisations will focus construction players to be on par with can greatly increase efficiency, even to on tackling Third Wave verticals or the technological advancements and the point of replacing many functions build ‘Deep Tech’ businesses through new talents in the global construction within the quantity surveying domain, technological break-throughs like arena. nothing replaces the human insight automation and artificial intelligence and intuitive problem solving abilities. technologies as shown in Figure 1. Trends of artificial Nevertheless, the QS profession intelligence and In line with this, the ultimate goal of CITP is desired to be different to what automation technologies is to transform the construction industry it was even thirty years ago. The in construction industry by 2020 to create highly competent construction industry is changing and competitive players for both the It is imperative to embrace digitisation the shape in terms of investment local and international construction and technological disruptions to adoption and technology adoption. industry. Quantity surveyors must achieve the transition from being a Privatization over the past thirty years have complete confidence and the labour-driven industry to one that revealed that the share of the public necessary professional acumen to is more efficient and data-driven. sector’s construction segment has handle increasingly complex and Industry 4.0 has enabled the quantity been considerably reduced. Coupled challenging global construction surveying profession to enhance the with this, have been strategic changes projects. The CITP strategic thrusts quality of the services to their clients.
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One example is the ability to produce highly accurate Bills of Quantities measurement through tools such as Building Information Modelling (BIM). Through BIM, quantity surveyors are able to automate measurement, speed up the traditional estimating process and update any design changes simultaneously. This increases the accuracy and efficiency in delivering construction projects. Figure 2 illustrates ten trends of artificial intelligence and automation technologies shaping the construction Figure 2 : Ten trends of automation technologies shaping the construction industry since 2016 and beyond. industry a. Photo Nett II – Project Monitoring System b. Earned Value Analysis Using Microsoft Project This is an automated real-time monitoring system developed to link time-lapse and Primavera digital imaging of construction activities, integrating critical path method (CPM) and progress control techniques to display planned versus actual schedules Microsoft project and Primavera are project management software that are widely used in the construction industry for planning, and controlling construction activities. Earned Value Analysis defines and monitors three key parameters which include, Planned Value (PV), Earned Value (EV) and Actual Cost (AC). Conclusion The recent advances in artificial intelligences and automation have touched virtually every aspect of construction process including quantity surveying practices. Integrating automation technologies to specifically address real-time construction cost management will improve construction cost performance and drastically remove unnecessary bottlenecks faced by project participants especially quantity surveyors and project design team.
“Through BIM, quantity surveyors are able to automate measurement, speed up the traditional estimating process and update design changes simultaneously” 28 QSLINK ISSUE 2019 LESSONS LEARNT
*CLAIM FOR PAYMENT FOR WORK DONE “KWAN HEE WEE v T MONTBUILDERS SDN BHD” [2017] 1 CIDB-CLR 134 HIGH COURT, KUALA LUMPUR CIVIL APPEAL NO: 12BC-6-07/2015 MARY LIM THIAM SUAN J 22 JANUARY 2016 *Adapted From CIDB Construction Law Report 2016
Facts of the Case The Defendant/Respondent had subcontracted the interior and exterior fit out works in a construction project to the Plaintiff/Appellant. The subcontract was purportedly pursuant to a work order which fixed the contract sum at RM2,614,250.00. The Plaintiff claimed that it had accepted the Defendant’s work order on 28 November 2012 and had commenced work, accomplishing certain preliminary works. After the Plaintiff had completed the mock-up unit for the project in January 2013, the Defendant told the Plaintiff to cease work and thereafter the Defendant unilaterally terminated the Plaintiff’s services without any explanation. The Plaintiff then invoiced the Defendant for work done up to that date, i.e. for preliminary works to the value of RM968,846.00; and for loss of profits. The Defendant refused to pay, hence the Plaintiff sued. The following issues arose for determination: (i) whether there was a contract between the parties and if the answer was in the positive, whether the Defendant was entitled to unilaterally terminate the services of the Plaintiff as subcontractor; (ii) whether the Plaintiff had carried out its preliminary works and whether the Plaintiff was therefore entitled to claim the sum of RM968,846.00. The learned Sessions Court Judge (“SCJ”) had held that the Plaintiff had failed to provide conclusive evidence that the work order had been finalized. The Court was of the opinion that the parties were still at the negotiating stage. That being the case, the SCJ held that there was no issue that the Defendant had unilaterally terminated the Plaintiff’s appointment because there was no valid agreement to begin with. The SCJ had further held that whilst there was clear evidence of work done and that the Plaintiff was entitled to make a claim for such preliminary works, the Plaintiff’s claim of RM968,846.00 was not proven. The SCJ also held that the Plaintiff’s claim was one for “expenses”. The SCJ thus only awarded the Plaintiff nominal damages of RM70,000.00. The Plaintiff appealed against this quantum of RM70,000.00. The Defendant cross-appealed on the grounds that the damages of RM70,000.00 was excessive.
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Held, allowing the appeal and dismissing the cross-appeal:
1. The SCJ’s decision to dismiss the Plaintiff’s claim for the sum of RM968,846.00 and award instead a nominal sum of RM70,000.00 was a Serious misdirection in law and in fact which required appellate intervention to set right.
2. The existence of a contract was actually not in issue; certainly not in the Defence filed. The Defendant’s pleaded case was that the Plaintiff did not do the work as instructed; and that it was not obliged to pay because the work had not been approved by the local authorities; and that the work order could not be relied on as the Plaintiff was proposing changes to it; and that it was not signed. All these were far removed from saying there was no contract between the parties in the first place. Since the pleaded case did not devolve any issue on the question of the existence of a valid contract, but really whether the Defendant had a right to terminate where the Plaintiff was said to have not carried out work according to the work order; or that the work had to be approved by the local authorities, the SCJ had asked the wrong question.
3. The SCJ was in fact presented with ample evidence on the existence of contract. There was the quotation which itemised the details of work for the project and to which the Plaintiff had pegged its price; emails exchanged between the parties on the work order to be issued where the parties were merely deciding whose name to designate for the contract; and the Defendant’s unequivocal instructions to the Plaintiff to carry out preliminary works. A valid contract was established.
4. The claim for preliminary works was not a claim for out-of-pocket expenses. It was a claim for work or services rendered at the preliminary stage; hence, what was termed as “preliminary work” or “preliminaries”. The details of such work were set out in the work order and comprised general matters, materials and samples, pricing, temporary works, contract administration, statutory requirements, particulars of contract conditions, commission and completion; contingencies. The Plaintiff’s claim was for a liquidated sum by measurement to the type and progress of the works required at that particular stage of the works.
5. As the parties had agreed on how the contract price was to be paid, and since for “Preliminaries”, there was plenty of evidence proving that the Plaintiff had carried out works to the value of RM637,500.00, the claim must be allowed. The details of the Plaintiff’s work were properly before the Court and there was not much in challenge or serious challenge by the Defendant. Consequently, the Plaintiff’s claim for RM637,500.00 should have been allowed.
Commentary by: Datuk Sr Chia Lui Meng, CQS, FRISM, MRICS LLB (Hons), CLP Director, UM Land Group of Company
Introduction This case highlights the formation of contracts and the basis for the contract. In this instance, the Contract Document was a “Works Order” issued by the Main Contractor (Defendant) to the Subcontractor (Plaintiff). The basis for the Works Order was the Quotation submitted by the Subcontractor which listed down the items and quantities. Amongst them is the Preliminaries Items which were priced by the Plaintiff.
In contract administration, the Subcontractor’s Quotation was considered as an Offer and the Main Contractor’s “Works Order” was the Acceptance. The question in relation to the validity of an existing Contract and the Subcontractor’s and Main Contractor’s intention to bind each other in a Contract was not disputed by their subsequent conduct. The Main Contractor subsequently issued work instruction order for the mock up unit and the Preliminaries Items and the completion of the scope of work by the Subcontractor was sufficient to establish a legal relationship and a proper contract.
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Upon completion of the mock up unit and the Preliminaries Items, these works could be measured in a bill of quantities or lump sum by using the rates in the established “Work Order” when certifying the payment made.
The claim for work done by the Subcontractor are not special damages nor are they to be measured on “Quantum Meruit” basis as these completed works are regarded as “Works Done” and to be paid according to the rates and quantities measured. The Subcontractor’s claims which were in this format were sufficient for the evaluation for of payments.
The termination without notice and without justification or any default by the Subcontractor was considered invalid. The Main Contractor had pleaded that there was no Contract upon the non-signing of the first Works Order and the non finalization of the negotiation. However, the Main Contractor’s conduct in terminating the Subcontractor’s employment is deemed to have bound the Main Contractor into a contractual relationship.
Had the Contract not subsisted as pleaded, the fact that the subsequent issuance of an instruction to the Subcontractor to carry out the preliminary works in view of the urgency of the project, was evidence enough to create another legal relationship and thus a binding contract.
Lessons learnt from the case Works can only commence upon the finalization of negotiations and issuance of a valid Letter of Award/ Works Order. The Works Order need not be signed but receipt of such must be acknowledged. This suffices to justify a valid contract.
Care should be taken to ensure that if the “Works Order” is varied or changed, proper Architect’s Instructions or new “Works Order” is obtained to validate the changes.
Preliminaries Items are not “out of pocket expenses” but form part of the scope of works in the contract. Upon completion of works, the stipulated evaluation of the quantities shall be made for the certification of payment.
Suggested best practices to be adopted A Subcontractor’s obligations is to complete the works as stipulated and any changes shall be considered a Variation Order.
Authorities approvals are always the Employer or Main Contractor’s responsibilities to obtain and if Authorities requires further amendments, these should be in the form of an Architect’s Instruction to vary the works done and a Variation Order to follow with a price adjustment if necessary.
If an Architect’s Instructions is not forthcoming, then the Subcontractor can send a letter to the Architect to confirm in writing the variations ordered, and which can be used to later support a construction claim.
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PAQS 2019 KUCHING SARAWAK
“23rd PAQS 2019- Human Wisdom Amidst Emerging Technologies”
The 23rd Pacific Association of Quantity Surveyors (PAQS Pre Congress Event 2019) was co-organised by Royal Institution of Surveyors Malaysia (RISM) and Board of Quantity Surveyors Malaysia The Pre-Congress started on Friday, with the Young QS (BQSM) and strongly supported by Sarawak Convention Programme & PAQS Committee Meetings. The PAQS Board Bureau, CIDB, Ministry of Tourism, Arts & Culture (MOTAC). Meeting was held on Saturday, 24th August followed by This year Kuching, Sarawak one of Borneo’s biggest cities PAQS Golf Tournament at Samarahan Country Club. hosted the 23rd PAQS Congress. With the main theme: “Human Wisdom Amidst Emerging Technologist”, a two- Attended by more than 550 delegates, from over 14 day congress was organised from 26th–27th August 2019 countries participated in the two-day congress which was at the Pullman Hotel in Sarawak, Malaysia. preceded by International Quantity Surveying Academic Forum (IQSAF) with the theme ‘Quantity Surveyor as a The Congress explored how technology is completely Project Manager in Digital Age’, jointly organised by the transforming how we think, feel and work. Immerse ourselves RISM, BQSM, Universiti Malaysia Sarawak (UNIMAS) & in technology and develop a greater understanding of the Universiti Teknologi MARA Sarawak Campus and was digital world as we explore some of the most significant held on 25th August at UNIMAS. Other than that, a challenges facing our professionals. memorandum of understanding between RISM and UNIMAS was exchanged during the ceremony.In the afternoon there was a BQSM Annual Dialogue Session with Institutions of Higher Learning in Malaysia. UNIMAS also announced their collaboration on the bulk registration of UNIMAS’ QS graduates with the BQSM. 32 QSLINK ISSUE 2019 QS HIGHLIGHTS
The next keynote speaker was delivered by the Senior Independent Non-Executive Chairman, Y. Bhg. Tan Sri Rafidah Aziz, spoke about a relevant of human wisdom in the era off emerging technologies. In total, more than 40 speakers from all over countries like Australia, New Zealand, Hong Kong, China Singapore, Nigeria, Sri Lanka, Japan, Philippines, and Malaysia have presented their papers.
The Congress was a great success with thanks and congratulations to the PAQS Congress Organising Committee. At the closing ceremony, Adjunct Prof Sr Dato’ Aziz Abdullah, President of BQSM handed the PAQS’s flag to Mr Khoo Sze Boon - President (QS Division) Singapore Institute of Surveyors & Valuers for the upcoming 24th PAQS Congress to be held from 4-8 September 2020. The congress concluded with a Gala Dinner on 26 August 2019. During the dinner, the night featured several local acts and performances from all countries and the entertainment was excellent.
Congress Days During the Plenary Session 1 and before the official Opening, Yang Berhormat Tuan Baru Bian, The Honourable Minister of Works Malaysia presented the keynote address at the congress, which was officiated by Chief Minister Datuk Patinggi Abang Johari Tun Openg. He pointed out that construction industry players need to have the foresight to adopt new technologies, methodologies and ways of thinking in order to continue to thrive in this brave new world. He said that “The future of construction promises to be challenging yet holds many exciting opportunities. In fact, the future is already here and I urge all of us here to embrace the emerging technologies in order to fully benefit from it.”
33 BOOK REVIEW QSLINK ISSUE 2019
Reviewed by Assoc. Prof Sr Dr Sarajul Fikri Mohamed Title : Creating Smart Enterprises - Leveraging Cloud, Big Data, Web, Social Media, Mobile and IOT Technologies Author : Vivek Kale Publisher : CRC Press, Taylor & Francis Group ISBN No : 9781498751285
Synopsis: This book proposes that to sustain in an VUCA (volatility, uncertainty, complexity and ambiguity) ecosystem, an enterprise must upgrade as per the IMM (intelligence maturity model) consisting of the following stages: data, communication, information, concept, knowledge, intelligence, wisdom. An enterprise can achieve this progressively by deploying the SMACT (social media, mobile, analytics & big data, cloud computing, and Internet of Things) technologies. This book unravels the enigmatic of SMACT environments and applications and their power and potential to transform the operating contexts and business enterprises.
Reviewed by Assoc. Prof Sr Dr Sarajul Fikri Mohamed Title : Big Data Analytics for Cloud, IoT and Cognitive Learning Author : Kai Hwang and Min Chen Publisher : John Wiley & Sons Ltd ISBN No : 9781119247029
Synopsis: In the big data era, successful cloud system, web services and data centres must be designed to store, process, learn and analyse big data to discover new knowledge or make critical decision. This book consists of eight chapters presented in a logic flow of three technical parts which include: big data, clouds and Internet of Things, Machine learning and deep learning algorithms and Big data analytics for health care and cognitive learning. This book blends big data theories with emerging technologies on smart clouds and exploring distributed datacentres with new applications. For example emotion-detection robotics, virtual reality, augmented reality and cognitive services can be implemented in QS practices for cost planning and monitoring.
Reviewed by Assoc. Prof Sr Dr Sarajul Fikri Mohamed Title : Architecture for Blockchain Applications Author : Xiwei Xu, Ingo Weber and Mark Staples Publisher : Springer Nature Switzerland ISBN No : 9783030030346
Synopsis: This book provides an excellent overview of the engineering aspects of block chains. It covers the current options for platform, the application areas in which they may be used and design software to utilize block chain technology. Although block chains did not spring fully realized and built on prior work, the introduction of Bitcoin in 2009 can be considered the birth of block chain. In addition technologies that are disruptive to the consumer are actually quite rare. Smart phones and the World Wide Web are now of the most recent ones. In the QS context, we should look for opportunities bot to deepen our understanding about block chains and to apply them in QS practices where they provide the correct set of functionalities that we need for cost and contract management processes and problem.
34 QSLINK ISSUE 2019 ADVERTISEMENT
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Quantity Surveyor Project Manager 5D BIM Consultant
Permit No: 2018/FC00606
Quantity Surveyor Project Manager 5D BIM Consultant
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JUBM Sdn Bhd ( 27638-X) c ost & c ontract m anagement | q uantity s urveying c ost e ngineering | p roject c ontrol s ervices
Petaling Jaya MANAGED SOLUTIONS: Level 5, Menara TSR 12 Jalan PJU 7/3, Mutiara Damansara Maximising value for clients investing in 47810 Petaling Jaya, Selangor Darul Ehsan infrastructure, construction & property Tel: 03-2106 9000 Fax: 03-2106 9090
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Kota Kinabalu LJBM Permit No. : 1993/FP00037 Lot No. H-06-07 & H-06-08, Level 6, Block H Aeropod Commercial Square, Tanjung Aru, Jalan Aeropod Off Jalan Kepayan 88100 Kota Kinabalu, Sabah, Malaysia. NO 40 A, JALAN KUNING Tel: +6 088 215 530 / 531 Fax: +6 088 215 570 Kuching TAMAN PELANGI 3rd Floor, No. 2 Jalan Song Thian Cheok 93100 Kuching, Sarawak 80400 JOHOR BAHRU Tel: 082-232 212 Fax: 082-232 198 JOHOR
FS 699729 EMS 699778 Tel No.: 07-332 2872/3322888 ISO 9001 ISO 14001 Fax No.: 07-3325255 Email: [email protected] Affiliated with Arcadis Asia Ltd China & Hong Kong, Macau, India, Indonesia, Philippines, Singapore, Taiwan, Thailand, Vietnam
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PERUNDING UKUR BAHAN CS KPK Quantity Surveyors (Semenanjung) Sdn Bhd (SA0263639-P) BQSM Permit No.: 1994/FC00137
QUANTITY SURVEYING • COST & CONTRACT ENGINEERING • PROJECT MANAGEMENT Chartered Quantity Surveyors /
Head Office Construction Cost Consultants Level 6, Guoco Tower, Damansara City BQSM Registration No. 2006/CQS01319 No. 6 Jalan Damanlela Bukit Damansara NO. F-04-04, BLOK F, P 50490 Kuala Lumpur USAT PERDAGANGAN PUCHONG PRIMA, Tel: (603) 2770 1888 Fax: (603) 2770 1838 JALAN PRIMA 5/3. PERSIARAN PRIMA UTAMA, E-mail: [email protected] TAMAN PUCHONG PRIMA, 47150 PUCHONG, SELANGOR DARUL EHSAN Johor Penang rd 23 Floor, Suite 3 22, Jalan Irrawadi TEL. : 03-8066 3493 Komplek Tun Abdul Razak 10050 Pulau Pinang FAZ : 03-8066 3483 80000 Johor Bahru, Johor Tel: (607) 2229 787 Tel: (604) 2291 595 E-MAIL : [email protected] Fax: (607) 2241 778 Fax: (604) 2291 591 E-mail: [email protected] E-mail: [email protected]
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Q S F
QS FOCUS SDN BHD QS 98 CONSULTANT QUANTITY SURVEYOR PROJECT MANAGEMENT CONSULTANT PROPERTY DEVELOPMENT COST CONSULTANT QS CONSULTANTS SDN BHD. (1076287-V) REG. NO : 380873-D 98 BQSM NO : 1996/FC00201 (Chartered Quantity Surveyors & Construction Cost Consultants.) GST NO : 001987739648 ( BQSM PERMIT NO.: 2017/F C00597 ) HQ OFFICE : BRANCH OFFICE :
SELANGOR : JOHOR : WISMA QSE, ARAS 3(KIRI), NO. 270B, JALAN SIMBANG, No. 3-3, Jalan Puteri 2/6, LOT PT 45211, KG. MERBAU INDAH TAMAN PERLING, KM 20, JALAN KUALA SELANGOR 81200 JOHOR BAHRU, Bandar Puteri, 47100 Puchong, 47000 SUNGAI BULOH JOHOR DARUL TAKZIM. SELANGOR DARUL EHSAN TEL. : 07-238 0099 Selangor Darul Ehsan, Malaysia. FAX. : 03-9235 1155 +603-8063 2488 / 5886 0779 TEL. : 03-6038 8696/797 EMAIL : [email protected] FAX. : 03-9235 1155 +603-8061 2488 EMAIL : [email protected] EXCELLENT AWARD [email protected] SERVICES PROVIDER OF THE YEAR 2009 (SME) PERUNDING HARAPAN 2009 (JKR KEDAH) ANUGERAH FIRMA UKUR BAHAN CEMERLANG LJBM 2010 ISQ 2011 AWARD
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LJBM Permit No.: 2000/FC00291
MALAYSIA OFFICE UNIT 11-1-2 JALAN 4/101C, BATU 5, JALAN CHERAS, CHERAS BUSINESS CENTRE, 56100 KUALA LUMPUR Tel: +603 9131 8787 Fax: +603 9131 8759 Email: [email protected]
VIETNAM OFFICE 4TH FLOOR, 728-730, VO VAN KIET STREET, WARD 1, DISTRICT 5, HO CHI MINH CITY, VIETNAM Tel: +84.28.7300 4541 Fax: +84.28.7300 4540 Email: [email protected]
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ARCADIS (MALAYSIA) SDN BHD (520443-H)
MANAGED SOLUTIONS: Petaling Jaya Level 5, Menara TSR Maximising value for clients investing in 12 Jalan PJU 7/3, Mutiara Damansara infrastructure, construction & property 47810 Petaling Jaya, Selangor Darul Ehsan Tel: 03-2106 9000 Fax: 03-2106 9090
Penang Suite 3A.3, Level 3A, Wisma Great Eastern Over 70 years of No. 25 Lebuh Light, 10200 Penang Tel: 04-264 2071 / 2072 / 2073 construction cost management Fax: 04-264 2068
…in trusted hands Johor Bahru 47, Jalan Setia Tropika 1/30, Taman Setia Tropika 81200 Johor Bahru, Johor Darul Takzim, Tel: 07-232 8300 Fax: 07-232 8232
Kota Kinabalu Lot No. H-06-07 & H-06-08, Level 6, Block H Aeropod Commercial Square, Tanjung Aru, Jalan Aeropod O Jalan Kepayan 88100 Kota Kinabalu, Sabah, Malaysia. Tel: +6 088 215 530 / 531 Fax: +6 088 215 570
FS 699729 EMS 699778 ISO 9001 ISO 14001
A¡liated with Arcadis Asia Ltd
China & Hong Kong, Macau, India, Indonesia, Philippines, Singapore, Taiwan, Thailand, Vietnam
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COVER QSLINK
ISS E NO 2 (1 2019) OARD O Q ANTIT S R E ORS MALA SIA LLETIN
Sr Nur Aziz Abu Bakar, CQS Datuk Sr Charlie Chia Lui Meng, CQS Disruptive Technologies – A Threat or The Legacy - Construction Opportunity for Quantity Surveying Commercial Management Practices and QS P. 17 P. 20
OARD OF UANTITY SUR EYORS MALAYSIA
F B F R H S S L EMBRACE CHANGE T F FOR SURVIVAL
PLAIN AND CONTRACTOR’S INNO ATION SMART CONTRACTS REPORT CARD CRC IN S P P P