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E-Procurement in Malaysian Construction: Benefits and Challenges in Implementation Mohd Nasrun Mohd Nawi; Rafikullah Deraman; Jibril Adewale Bamgbade; Faisal Zulhumadi; Salman Riazi Mehdi Riazi
International Journal of Supply Chain Management Vol 6, No 1 (2017): International Journal of Supply Chain Management (IJSCM)
Publisher : International Journal of Supply Chain Management

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Abstract

In this paper, the benefits and challenges embedded in Electronic procurement (e-procurement) are highlighted. Specifically, the benefits of introducing e-procurement (termed e-Perolehan) for tendering and online registration of businesses and companies in Malaysia was emphasized. This study also focus on the advantages of E-procurement adoption such as cost reduction, improved efficiency in government business with the aid of internet-based information and communication technology. The study concluded with recommendations to policy makers to pay more attention to the availability of infrastructure such as information technology for a better E-procurement implementation.
Payment Issues in Industrialized Building System (IBS) Projects in Malaysia: Towards a Better Approach Mohd Nasrun Mohd Nawi; Salman Riazi Mehdi Riazi; Radzi Ismail; Muhammad Fazlisha Shaharizan; Riduan Yunus; Omar Saleh Alhawatmeh
International Journal of Supply Chain Management Vol 8, No 3 (2019): International Journal of Supply Chain Management (IJSCM)
Publisher : International Journal of Supply Chain Management

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Abstract

Industrialised Building System (IBS) was first implemented in Malaysia during the year 1960s and since then it has shed light on the many advantages this system has to offer such as having a systematic and efficient deliverable of fabricated factory-made products, reduced construction period, improved safety on site and many more. Nevertheless, despite the benefits, the level of uptake till today is still way lower than expectation and one of the main contributors to this dilemma is the payment issues that surround projects that uses IBS system. Due to the different nature of work between IBS and conventional in-situ construction, there is a need for proper handling of payment mechanisms so as to not cause burden to any party which would contribute to poor IBS adoption rate. This paper therefore explores the risks associated with IBS uptake, the payment issues surrounding its projects in Malaysia, the way forward and to propose other payment method that suits Malaysia. Besides performing extensive literature reviews, expert opinion was also obtained by interviewing four (4) Malaysian construction industry practitioners from different supply chains of an IBS project with each of them possessing a minimum of 25 years of working experience. Their vast experience was important in getting an insight on the real-world scenario of the subject matter. In the end, it was found that IBS adoption in Malaysia is generally still at far from convincing and poor payment mechanism was a major contributor to this scenario thus, to improve the situation, initiatives should come not only from the government bodies but also from financial institutions; and attention should be placed from both technical and procurement aspects if any improvement on IBS uptake are to be expected.
The Roles, Challenges & Improvement of Project Manager in Project Financial Management in Building Development in Penang, Malaysia Kiu Mee San; Salman Riazi Mehdi Riazi; Mohd Nasrun Mohd Nawi; Muneera Esa
International Journal of Supply Chain Management Vol 6, No 1 (2017): International Journal of Supply Chain Management (IJSCM)
Publisher : International Journal of Supply Chain Management

Show Abstract | Download Original | Original Source | Check in Google Scholar | Full PDF (13.161 KB)

Abstract

Project Manager holds roles and responsibilities to ensure the success of construction projects for his organisation. And one of the roles is to ensure the well-management of Project Financial Management in his organisation. Recent research has identified project cost overrun has been a major issue in construction industry. These project cost overrun cases have been repeating and have reduced the profit and revenues of the project owners. Therefore, it comes across the researchers mind of what the project managers who work for developer companies have been doing in order to overcome repeated cost overrun cases in the near future project developments. Hence, the set objectives of the research are: 1) To identify the important roles of Project Manager in Financial Management in building project development in Malaysia, 2) To identify challenges faced by Project Manager in Financial Management of building project development in Malaysia. 3) To identity solutions to overcome such challenges faced in Financial Management in building project development in Malaysia. However, due to time constraint, this research is limited and carried out in Penang, which is the second-smallest state in Malaysia, with strong population growth and has undertaken numerous construction projects in Malaysia. The research methodology used for this study is qualitative approach. Semi-structured interviews are used as research instrument for the data collection for this research. An overall of six interviews had been conducted with highly experienced Project Managers in Penang construction industry who has the knowledge and experiences in the Financial Management of building development. The data from the successful interviews are then been analysed using content analysis method in which the data collected are categorized into groups in table forms. From the findings, the respondents had defined the Project Financial Management relating to three main aspects. Four (4) out of six (6) respondents are having moderate involvement and two (2) respondents are having high involvement in the Financial Management in building development in Penang. The research findings had also identified five (5) major roles of project manager in Project Financial Management. Furthermore, five (5) major challenges of project manager in Project Financial Management were also identified. Finally, research findings also identified four (4) major solutions to overcome the challenges faced by project manager in Project Financial Management. Ultimately, this research is anticipated to create awareness of the important roles of Project Manager in Project Financial Management to mitigate the cost overrun issues in construction projects.
Review of Material Supply Chain Management during Pre-construction Phases in Malaysia Loh Yong Seng; Salman Riazi Mehdi Riazi; Mohd Nasrun Mohd Nawi; Radzi Ismail
International Journal of Supply Chain Management Vol 7, No 1 (2018): International Journal of Supply Chain Management (IJSCM)
Publisher : International Journal of Supply Chain Management

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Abstract

Construction materials play significant role in construction industry which therefore requires fully attention when creating project plan. Materials form a large part in total cost of construction project. The absence of materials when needed is one of the main causes of loss of productivity in a worksite. Current materials management practices in the construction industry are performed on fragmented basis with many problems faced when managing material supply chain, especially during pre-construction phases. These problems are the main root that causing performance-related problems such as delay in material ordering and receiving, low productivity, cost and time overrun, conflict and disputes. Thus, this paper reviews and discusses the activities and problems faced in material supply chain management during pre-construction phases. It also reasons out on the potential of SCM to be the way forward for improving problems of construction industry (i.e. material supply chain management). A series of in-depth literature review was conducted towards digging the relevant points towards achieving the aims of this paper. In the end, it was clear that material supply chain practices at pre-construction phases are still at below optimum level and that SCM literatures strongly support of it being the potential saviour.