Dr John Keung Dean, Building and Construction …mbam.org.my/.../2017/09/Final-MBAM-Presentation-Slides.pdf2D Design (Hardcopy) Stagnating Value Added Productivity Low site productivity

Challenges and The Way Ahead

Dr John KeungDean, Building and Construction Authority Academy, Singapore

Impetus for Productivity Drive

Foreign Rank & File Workers vs Construction Output

Workforce Strength Inexperienced Workforce

> 300,000 workers^

Approx. 70% are foreign

Aus, UK & US Singapore

< 4 years

≥ 4 years

87%

13%

51%49%

^ as of 2012

Source : Restructuring the Singapore Built Environment to Achieve Higher Productivity, Boston Consulting Group

Unsustainable Workforce Growth

2D Design (Hardcopy)

Stagnating Value AddedProductivity

Low site productivity of0.380 m2 per manday(as of 2009)

Infancy in Digital Engineering Application

Impetus for Productivity Drive

70

80

90

100

110

120

1994 1996 1998 2000 2002 2004 2006 2008

Value Added Productivity Growthfor Construction Industries

Singapore

Stagnant

Manual and Labour Intensive Construction Methods

Extensive External Scaffold

Concreting with Bucket

Manual Construction Involving Multiple Trades at Site to Construct a Bathroom : 13-15 Trades

Building a brick wall

Conventional timber framework

The Productivity Problem?

Dominance of Low Cost and Low Skilled Workers

Low Construction Wages

Average Weekly Wages (USD)

Source : Boston Consulting Group’s Average Weekly Wages chart cited in its 2014 Benchmarking report on Restructuring the Singapore Built Environment to Achieve Higher Productivity; )

Productive Technology (High Cost)

Manual Labour (Low Cost)

Cost ($)

High Substitution Cost

$$$

$


Limited flow or exchange of information along value chain

Unproductive and costly reworks, inefficient building maintenance


Silo Mentality in Construction Value Chain

Construction 21 (C21)c

“The construction industry must transform itselfinto a knowledge and high-value added industry…”

C21 Report, 1999

2010

2015

1999

1st Construction Productivity Roadmap

c

c

1970s -1980s

“In the late 1970s…HDB…build over 50,000 units using prefabricated and industrialised methods of construction.”

Minister Khaw Boon Wan, 2014

c

Setting the stage and closing the substitution cost gap

Changing the way we build

2nd Construction Productivity Roadmap

Key Milestones in Raising Productivity

Our Productivity Journey

Foreign Worker Levy

MYEMYE

MYEMYE

MYEMYE

MYEMYEMYE

CONSTRUCTIONWORKS

CONTRACT

$100m

Man-year allocated to Main Contractors based on their

project contract value

$180$250 $300 $300 $300 $300 $300 $300

$230

$350

$450$550 $600 $650 $700 $700

Jul-11

Jul-12

Jul-13

Jul-14

Jul-15

Jul-16

R1 (Higher Skilled)

Raise Manpower Cost to Drive Technology Substitution1

Quota control Price mechanism+Man-Year Entitlement

(MYE) Quota

Note: Currency in SGD

Jul-17

Jul-18

How Did We Address the Productivity Problem?

MinimumBuildable Design Score

Apply toArchitectsEngineers( )

MinimumConstructability Score

(Apply to Builders)

Downstream – Construction StageUpstream – Design Stage

Pro

gre

ssiv

e

Enh

ance

me

nts

BuildabilityThe extent to which a building design facilitates ease of construction

ConstructabilityThe extent to which labour-efficient technologies and methods are adopted downstream during construction

Set Minimum Standard through the Buildability Framework2


2011 2013 2014 2015 2017

Voluntary BIM submission

Mandatory BIM submission for new building projects> 20,000 m2

Mandatory BIM submission for new building projects> 5,000 m2

2010

2013

2015 andbeyond

Drive BIM Adoption through Regulation to Level Up Industry2


ConstructionProductivity

and CapabilityFund (CPCF)

Workforce Training andUpgrading (WTU) Fund

Continuous Education Training (CET) for existing workforce

Enhanced BCA-IndustryBuilt Environment

Scholarship / Sponsorship

Attract high quality entrants

Building InformationModelling (BIM) Fund

Enhance integration and promote collaborative BIM

ProductivityInnovationProjects (PIP)

Encourage technology adoption and process re-engineering

Mechanisation Credit(MechC) Scheme

Encourage mechanization and reduce labour reliance

Capability Building

Integration of Value Chain

Technology Adoption

Incentivise Private Sector to be 1st Movers3


Workforce Training andUpgrading (WTU) Fund

Continuous Education Training (CET) for existing workforce

Enhanced BCA-IndustryBuilt Environment

Scholarship / Sponsorship

Attract high quality entrants

Capability Building



1. Training and assessment in

CoreTrade Scheme and Multi-Skilling Scheme

2. Selected PMET* courses related to

productivity

Up to90%



*Professional Managerial Executive and Technical Personnel


and CapabilityFund (CPCF) Productivity

InnovationProjects (PIP)

Encourage technology adoption and process re-engineering

Mechanisation Credit(MechC) Scheme

Encourage mechanization and reduce labour reliance

Technology Adoption



Productivity Innovation Project Scheme

• Co-fund up to 70% of cost of game- changing

technology or process improvement

• Each application must yield > 20% productivity improvement

• Funding cap per application up to $10 mil*, but must yield 40% productivity improvement

Mechanisation Credit Scheme

• Co-fund site mechanisation through purchase & lease of equipment

• Co-fund up to 70% of cost of

equipment

• Each approved application must

yield > 20% productivity

improvement

*Must create great impact in driving productivity gain in the industry



Building InformationModelling (BIM) Fund

Enhance integration and promote collaborative BIM

Integration of Value Chain



• Co-fund up to 70% of cost of

adopting BIM into work processes.

• To enjoy up to 70% funding support, the firm must form a team of > 3 different disciplines, including the main contractor

• Each application must achieved >30% improvement in the project KPI*

*Example for KPI is time taken to resolve Request for Information (RFI) between 2 parties.

Image: Synergis Engineering

Architect

MEP Structure

Construction

• Adoption by single companies to defray the hardware, software and training costs.

http://www.tecton.com.hk/why-bim

http://www.tecton.com.hk/why-bim





Committed $480mil

out of $800mil

About 9000

firms benefitted

More than 90%

small firms and medium enterprises

Driving Productivity through Public Sector Procurement4


Driving Productivity through Public Sector Procurement4

Quality Price / Fee Productivity

Quality Fee Method (QFM)(procurement of consultancy services)

Increment in Productivity weightage:

Price Quality Method (PQM)(procurement of construction services)

Increment in Productivity weightage:

9% - 12% 20% 3% - 6% 10%

Tender


Nurture a Pipeline of Building Professionals5

Executive Programmes Academic Programmes Specialist Cert. Programmes

Pro

fess

ion

al L

eve

lA

sso

ciat

e Le

vel

Executive Development Programme Postgraduate Degree Specialist Certificates

DegreeSeminars

Specialist Diploma

Diploma

Stanford-BCA Advanced Management Program: VDC LeadershipEnhancing Construction Productivity & Management (Kyoto University)

Workshop on Game-Changing Technologies (Build Smart Conference)

BCA-IFMA FM Conference

Master in International Construction Management with major in Construction Productivity (University of Florida, USA)

Bachelor of Construction Management (Building), Bachelor of Civil Engineering (University of Newcastle, Australia)

PBU, MET & PPVC courses

VDC courses / workshops

Prefabricating our Future (PBU) Workshop

Certification Course in BIM Management

BIM Modelling courses

BIM Planning

S. Diploma & Advanced Cert. in Construction ProductivityS. Diploma in DfMA

S. Diploma in BIM; S. Diploma in VDC

S. Diploma in Lean Construction

Diploma in Construction IT


Attracting and Building a Core of Young Talent6

Government-Industry Scholarships/Sponsorships

Rebranding Roadmap+


Productivity Target: Annual average of 2-3% productivity improvement by 2020

Site productivity is defined as the floor area completed per manday

0.380 0.3810.384

0.389

0.395

0.403

0.411

0.419

0.375

0.380

0.385

0.390

0.395

0.400

0.405

0.410

0.415

0.420

2009 2010 2011 2012 2013 2014 2015 2016

m2

pe

r m

and

ay

1.5%

0.8%0.3%

1.3%

2.0%

Year-on-Year Improvement in Site Productivity (building works)

2.0%

2.0%

10% cumulative

improvement since 2010

Encouraging Progress Made

2011 2014 2016

2011

2% Higher Skilled R1 Workers

2016

40% Higher SkilledR1 Workers

Ratio of Higher Skilled R1 Workers in the Industry

Improved Workforce Profile

2%

20%

40%


0

50

100

150

200

250

300

Larger Consultants Smaller Consultants Larger Contractors Smaller Contractors

14%

36%

50%

58%

25%

17%

15%

50%

35%14%

33%

53%

LargerConsultants

SmallerConsultants

LargerContractors

SmallerContractors

Adopted Collaborative BIM

AdoptedBasic BIM

Have notadopted BIM

Types of BIM Adoption in Singapore

No

. of

Firm

s

Increased Adoption of BIM across Construction Value Chain

Note: Classification of firm sizes are done according to Singapore’s public sector procurement framework and BCA’s Contractors Registry System (CRS)

Note: Basic BIM refers to BIM adoption at the firm level; Collaborative BIM refers to BIM adoption beyond firm level


Sustain the Momentum

Riding the Challenges to Transform the Sector

Moving work offsite will improve productivity in 3 ways

• Controlled offsite environment• Scope for automation of offsite work• Scope for offshoring of offsite work

Designfor Manufacturing(off-site and automation)

and Assembly(on-site)

Changing the Way We Build 40% DfMA Adoption by

2020

Benefits of DfMA

High quality

Faster construction

For the industry For the public

Less workers on site

Greater automation in factory

Less dust

Less noise

Fewer delivery trips

Moving towards a more productive construction sector, while reducing disamenities to the public

Conducive Working Environment


Continuum of Prefabrication and DfMA

Prefab Components

Stru

ctu

ral

MEP

Arc

hit

ect

ura

l

Structural Steel / Advanced Precast / Hybrid

PBUs

Advanced Prefab Systems Integrated Sub-assemblies Fully Integrated Assemblies

PPVC

PPVC

Precast Prefabricated Prefinished Volumetric Construction

(PPVC)

Wallpaper Engineered timber floor

On-site Dry Applied Finishes

Prefab MEP Deck

Prefab Module with Platform/ Catwalk

Manpower Savings [Project Level]35%

40%

20%10%

70%

Manpower Savings [Trade Level]45% 60%

Prefab Ceiling Module/ Prefab Plant

Prefinished Surfaces

Flexible Water Pipe/ Sprinkler Dropper

Mass Engineered Timber (MET)

Components: Incremental Improvement…

…Integrated Assemblies: Game-Changing Improvement


30%

Modules complete with internal

finishes, fixtures and fittings are

manufactured in factories and

transported to site for installation in

a Lego-like manner Photo: Crowne Plaza Hotel

Substantial quantum of reduction in on-site manpower

Better construction environment

Why PPVC?

Prefabricated Prefinished Volumetric Construction

What’s PPVC?

Mass Engineered Timber

MET refers to engineered wood products

that exhibit improved structural integrity

for various construction purposes. Some

examples include Cross Laminated Timber

(CLT), Glued Laminated Timber (Glulam)

and Laminated Veneer Lumber (LVL).

What’s MET?

Increase construction productivity, faster construction time & reduce

manpower on-site

Sustainable construction

(reduced carbon emission, less environmental impact & reduce wastage)

Why MET?

CLT is an engineered

structural material

comprising layers of

wood stacked

perpendicularly to each

other. The layers are

bonded with structural

adhesives

Glulam is produced in

a similar fashion as

CLT but with grain

aligned in one

direction.

Courtesy: UB


DfMA Technologies

Adoption of PPVC atCrowne Plaza Changi Airport Hotel


Video: OUL & Dragages

Karma House, UK

(Residential)

Habitat 67, Canada

(Residential)

By Arch Moshe Safdie

STEEL

PPVC

19 STOREYS

CONCRETE

PPVC

12 STOREYS

Victoria Hall, London

19 STOREYS

STEEL

PPVC


PPVC buildings can achieve a variety of building forms

Photo: Tower Trip

Photo: ArchiTravel Photo: FreeIndex

Photo: Host Wembley

Photo: BCA

Photo: BCA

Greenwich Creekside (UK) Apex House (UK) Olympic Way (UK)

21

STOREYS

28

STOREYS

20

STOREYS

Oval & Triangular shaped floor plan &

curved facade designs

External bolted balconies & use of

various facade elements


PPVC buildings can achieve a variety of building forms

Non-rectangular floor layout

Photo: Essentialliving.co.uk

Image: HTA.co.uk

Photo: World Architecture News

Image: Democracybrent.gov.uk

Image: HTA.co.uk

Photo: HTA.co.uk

24 projects

(4 completed , 20 on-going)

Development types:

Hostel, Nursing Home,

Hotel, Dormitory,

Residential, Industrial,

Commercial etc.

PPVC

10-Storey Crowne Plaza

Hotel Extension

Completed in 2016

9-Storey Woodlands Care

Home

Completed in 2017

13-Storey

NTU Nanyang Crescent Hostel

Completed in 2017

12-Storey Wisteria

Commercial & Condominium

To be completed in 2018

40-Storey

Clement Canopy

Condominium


COMPLETED

COMPLETED

ON-GOING

ON-GOING

COMPLETED


Singapore Projects Adopting DfMA Technologies

13-Storey NTU North Hill

Hostel

Completed in 2016

COMPLETED

Photo: Dragages Photo: NTU

Photo: Dragages

Photo: NTU

Photo: NorthernOne Dev.Photo: UOL

ON-GOING

36-Storey

Parc Riviera Condominium


Photo: EL Development.

Adoption of MET atNTU Sports Hall, The Wave Project


Video: NTU, B19 & Struts Building

COMPLETED COMPLETED

BCA SkyLab Visitor Lounge

Completed in 2016

NTU Sports Hall

Completed in 2016

3-Storey JTC Launchpad

Light Industrial Building

Completed in 2016

Singapore Sustainability Academy

Completed in 2017

10 projects

(4 completed , 6 on-going)

Development types:

Institutional, Office,

Industrial, Sports Hall,

Recreational, Dormitory etc.

COMPLETED

COMPLETED

DESIGN STAGE

NTU Academic Building


Singapore Projects Adopting DfMA Technologies

MET

Photo: BCA Photo: NTU

Photo: JTCPhoto: CDL Photo: NTU

Our Target

To achieve the target

of 40% adoption

rate for DfMA

technologies and

BIM/VDC by 2020

Advancing BIM and VDC Adoption


Integrated Digital Delivery (IDD)Integrating design to fabrication,

logistic, site management and commissioning

Virtual Design and Construction (VDC)Build Virtual, then Real

to improve planning, resolve clashes, before physical construction

Building Information Modelling (BIM)Digitalisation, visualisation,

simulation and optimisation of design

Advancing BIM and VDC Adoption

Co-created a wide spectrum of BCA BIM Guides with industry BIM Managers

FIRST fully integrated, large-scale immersive and experiential learning

facility in SE Asia for the built environment sector to

drive VDC & BIM

Virtual Design and Construction: Build twice - first virtual, then real


Public Sector Take The Lead

Making productivity improvement as KPI

Identify pilot projects

Adopt game-changing technologies

• Government must walk the talk and spearhead the adoption of productive technologies to get the private sector moving

*The agencies above constitute up to 90% of total public sector building and civil engineering works

Key Takeways

Balancing Legislations and Incentives

Carrot

Stick

• Combination of regulatory levers and financial incentives is crucial to ensure success in transforming the industry

Active communication and feedback between Government and industry is essential to achieve desired balance between “carrot” and “stick”

Key Takeways

Photo: Coaching Journey

• Rejuvenation of our workforce – 3,000 BCA-Industry Scholarship and

Sponsorship Recipients in recent years…

Capability Building is Critical

Key Takeways

We must continue to do more to bring young talents into the industry

Image: Alphacoders

Government Industry

DfMA

IDD

Thank You

Documents

Dr John Keung Dean, Building and Construction …mbam.org.my/.../2017/09/Final-MBAM-Presentation-Slides.pdf2D Design (Hardcopy) Stagnating Value Added Productivity Low site productivity