Professional Documents
Culture Documents
DQS301:
INDUSTRIAL TRAINING
ASSIGNMENT 1:
SUBMISSION DATE:
2022
STUDENT’S NAME:
LECTURER’S NAME:
1
TABLE OF CONTENTS PAGE
1.0 INTRODUCTION 1
5.0 – CONCLUSION 38
6.0 – APPENDICES 39
7.0 – REFERENCES 45
1
SECTION A
PROJECT REPORT
1
ACKNOWLEDGMENT
Alhamdulillah, First and foremost, I thank The Almighty God for enabling me to finish my
duty. In order to complete my task successfully,I needed to seek assistance and follow guidelines.
I am grateful to Allah for providing me with a clear mind and good health to complete the job. I'd
like to express our heartfelt gratitude to everyone who made it possible for me to accomplish this
project.
Next, I would like to convey my gratitude to my supervising lecturer, Dr. Suhaila Ali,
whose assistance in generating suggestions and encouragement also assisted us in coordinating
my task, particularly in composing this assignment.
I am also grateful to all of the employees of PAKATAN UKUR BAHAN SDN BHD,
particularly Puan Asilnda and all the staff, for their helpful advise and direction. They have taught
me a lot of things, including how to deal with contractors, and manage all of their documentation.
This type of knowledge will be extremely beneficial to my future career as a Quantity Surveyor. I
am grateful to be surrounded by wonderful individuals who are eager to teach me new things.
Finally, I'd want to express my gratitude to Encik Nordin, Associate Director of PAKATAN
UKUR BAHAN SDN BHD, for allowing me to train under his guidance throughout my industrial
training time. During this industrial training time, I studied and practised a lot of things. I was also
given the opportunity to put all I learned at university into practise as a Quantity Surveyor. I will
not be able to complete my industrial training without his guidance and counsel.
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1.0 INTRODUCTION
The building industry is one of the variables that may have a significant influence on
the national economy; it can be stated that all nations in the world, affluent or poor, will
undoubtedly have a process in their own development sector. Therefore, we can see the
construction sector as an indication and confirmation of a country's success.This economic
sector is critical for any country that wishes to improve its people's standard of living and
build infrastructure for the twenty-first century. By allocating a large budget to the country's
building industry, I believe the Malaysian government has also worked hard to increase the
level of life in Malaysia and utilise the current construction capabilities. As a result, the
industry succeeds in delivering more fast development year after year, and Malaysia is
moving toward full modernization in an endeavour to become a global power.
Many parties will be engaged in the success of a building project in the construction
industry, such as clients, also known as developers, contractors, engineers, architects, land
surveyors, quantity surveyors, and many more. Surveyors are often involved in all phases of
the building process since his main responsibility is to guarantee that the construction
budget does not exceed the predetermined budget. As a result, until the construction period
is ended, a surveyor will be involved in the pre-contract and post-contract phases.
so for this case study I have chosen a construction project in Johor which is
"PROPOSED CONSTRUCTION AND COMPLETION OF 216 UNITS OF DOUBLE STOREY
TERRANCE HOUSES (22' X 70') AT PHASE 6M FOR 107 UNIT TYPE MR118 AND 109
UNITS MR119 INCLUDING 1 UNIT TNB SUB -STATION AT MUTIARA RINI, SKUDAI,
JOHOR DARUL TAKZIM" and has worked with TAY HUP BROTHERS CONSTRUCTION
SDN BHD as a main contractor in this housing project.The estimate set by the PAKATAN
UKUR BAHAN is RM57,304,595.64.
2
BACKGROUND PROJECT
3
b) LOCATION Rini Homes, 8, Persiaran Bestari 2, Mutiara Rini, 81300 Skudai,
Johor
c) TOTAL CONTRACT Fifty Seven Million Three Hundred Four Thousand Five
SUM Hundred Ninety Five and Sixty Four Sen Only. (RM57, 304
595.64)
d) CONTRACT 4 YEARS
PERIOD
e) DATE OF 24 DECEMBER 2016
COMMENCEMENT
g) CONTRACT
NUMBER BHB/JH01/C330(A)THBCSB/6M01
h) TYPE OF
CONTRACT PWD FORM 203 (Rev. 1/2010)
4
PARTIES INVOLVED IN THIS PROJECT
SAADON ARCHITECT
5
2.0 CONTRACTUAL ARRANGEMENT
When referring to the procedure by which the several various parties engaged in a
building project split up the duties for designing and constructing the structure, the term
"procurement" is used in the construction industry. Throughout the course of its existence,
the construction industry has made use of a number of distinct procurement tactics, including
traditional procurement, design-and-build procurement, managed contracting, and public-
private partnership procurement. The amount of effort and resources that were necessary,
as well as the advantages and disadvantages that came with implementing each method,
were all distinct from one another. It's possible that the client and the other parties involved
will decide on the approach that will be the most productive for finishing the project.
Since of the nature of this project, procurement strategies that are more typically used
were utilised because such strategies were determined to be acceptable. If this method of
procurement is used, the scope of the work will be subdivided into two parts: building design,
and construction. For this objective to be achieved, the collaboration of a great number of
different people is required. The customer will work in conjunction with a group of advisors to
design the construction undertaking while adhering to the monetary and functional limits that
have been specified. The next step is to choose a final design after a series of meetings
have taken place, during which the client and the design team have discussed the wants and
requirements of the client.
Before looking at the different kinds of procurement, one should first get familiar with the
functions that are performed in the construction sector and the parties that are associated
with it. The term "procurement method" is used to describe the often-complex network of
relationships that are formed between clients, consultants, and construction companies, in
order to enable a building project to be realised. These relationships are necessary for the
successful completion of the building project. It is imperative that the contractual connections
be differentiated from this purchase. This is how we form the contract (kind of contract,
conditions and terms), how we choose the contractor, how we determine the price of the
contract, and how we take into account economic concerns (labour, materials, plants, and
capital). In other words, procurement is a very crucial concept to learn in order to fully
comprehend the qualities of a building contract.
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There are three type of procurement method which is:
Traditional Procurement
This is a standard building method. Design and construction are separated in traditional
procurement. The developer or customer would hire an architect to finish the building's
design and specs. The consultant team oversees design and pricing. The customer will bid
for a major contractor when the design is complete. Based on specifications, drawings, or
the bill, the contractor generates tender documents. Contracts normally go to the lowest
bidder. All workmanship and supplies, including subcontractors', are the contractor's
responsibility, which the contractor responsibility is limited only to build.
CONTRACTUAL
EMPLOYER LINK
RESPONSIBILITY
RPOFESSIONAL
TEAM
MAIN
CONTRACT
OR
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for the contractor to carry out not just the building but but the design work and the finishing
work as well.
Construction Management
Construction Management is a completely unique procurement method. Instead of hiring a
single "Main Contractor," the developer hires a number of subcontractors directly. The only
thing that makes Construction Management different from Traditional Procurement is that
the developer makes separate contracts with each of the subcontractors.
Procurement method used for this project is traditional contracting method, also called
a conventional contract. Traditional Method has been around for a long time, and for many
years it was the only choice that worked for most construction industries. Using this strategy,
the client makes a deal with the construction contractor (an architect or engineer) to build the
design work and make the contract documentation.The main contractor for this project is
"TAY HUO BROTHERS CONSTRUCTION SDN BHD will make sure the project goes
smoothly until it's complete. The procurement strategy will call for bids to be submitted in one
of three ways: open tenders, selected tenders, and negotiated tenders. For this project, they
use a selected tender. As a quantity surveyor, you have to dispense guidance on design
costs and budgets, make bills of quantities, review bids, make interim evaluations, and give
advice on variation values. A bill of quantities made by a Quantity Surveyor, who tries to
measure as much as possible of the work, is often used to set the price or contract amount.
The client or the client's advisors can hire structural engineers and consulting services to
plan the specialised part of the project.
Advantages
Better work control
In the traditional method, the client has more control over the consultant and the
contractor, so the work will be of higher quality. This is because the consultant team
gives the client a design that meets their needs and also gives them advice and
construction expertise so that the client can compare the designs and budgets and
decide which one is best for the project.
Cost
Through competitive tendering, the client can get the best or cheapest price, since all
tenderers use the same information to make their bids. Since the bid is based on the full
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design and specifications, the cost of building will also be more accurate. Aside from
that, this cost is usually less than other ways to buy things.
Disadvantages
A contract is an agreement that can be enforced by the law between two or more people
to do or not do something. Both parties promise to give something of value in exchange for
any benefits that come from the agreement. A contract is made when one party makes an
offer and the other accepts it. In term of construction project, Contracts are made between
all the people who are working on a building project to make sure that everything is done
according to the plan. For this contract to be legal, all parties must agree on its terms and
conditions. If there was no written contract, any disagreement or misunderstanding about the
scope of work, the timeline, the timing of payments, or any other part of the project could
turn into an expensive legal battle. Because of this, both the property owner and the
contractor may have to pay a lot more money than they had planned, also the scope of work,
the budget, and other factors may all affect the terms of any given agreement, no two
projects will ever have the same agreement.
After all the necessary signatures and changes have been made, each party to the
contract will get its own copy of the agreement that has been fully signed. This agreement
will spell out the terms and conditions of their services, including the rates and any extra
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costs that may apply. This contract is important because it will protect the interests of
everyone who is involved in the project. This is because a business agreement can be a
lifeline if there is a misunderstanding between the parties because it has ways to settle a
dispute. If the agreement isn't in place, the owner and anyone else involved will have to pay
a lot of extra money.
Both types of contracts involve different people and give different information. Both
the public sector and the private sector used the contract. The public sector uses the PWD
203/203A. It is a contract form made by the Public Works Administration (JKR). This kind of
contract is used all over the public sector because it has been made to fit the needs of the
area and can adapt to new political and business trends. The Pertubuhan Arkitek Malaysia
(PAM) 2006 contracts govern building projects in Malaysia. Most of these contracts are used
by the private sector.
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Figure 2.2.1 Contract Document for this project
There are advantages and disadvantages to both approaches to resolving the
contractual issue. An integral portion of both the public and private sectors rely on contracts,
whether they are PWD or PAM. If the parties are unable to resolve the issue through mutual
negotiation, they will refer to the contract to determine next steps. After everything is said
and done, everyone will be pleased with the outcome.
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COVERED WORKS PAM only covered building PWD covered all building
works only works and engineering works.
Tender is usually used to describe the way that governments ask for bids on big
projects that must be turned in by a certain date. Next, there is tendering, which is one
of the steps before construction can start. In response to an invitation or request for
tender, the process is to make an offer, bid, or proposal, or to show interest. The
organisation will look for other businesses that can meet a certain need. For example,
they could look at the bids for supplies and services and choose the one that meets
their needs and gives them the most for their money. So, in Malaysia, there are a
number of rules called "procurement policies" that tell the government how to decide
whether or not to accept a bid.
The employer or the client will usually be the one to compile the list of contractors,
with the assistance of a pre-qualification exercise (which may include records of the
company's financial position, shareholder or director information, the amount of work
currently being performed, and so on). After that, issue an invitation to submit a tender
to the selected vendor. The bidders are obligated to assign prices to the bills and place
them in the box that has been provided for them at the office before the deadline. The
submitted tender must meet all of the following requirements: it must be comprehensive,
the price must be reasonable, the offer must be accurate, the time frame for completion
must be reasonable, and it must comply to the technical specifications.
After receiving bids, the next step is to evaluate them in order to find the most
competent and cost-effective contractor for the job. The bid will be assessed once all of
the requirements in the document have been fulfilled. A bid is reviewed in three stages.
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These measures are in place to ensure that all requirements are met by the submitted
bids. The consultant will notify the winning bidder through acceptance letter once the
evaluation procedure is complete.
TENDERING PROCESS
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2.5 PREPARATION OF TENDER DOCUMENT
Following that, in addition to the bill of quantities being included in the contract
document, it is also included in the tender paperwork (BQ). As is well knowledge, the bill of
quantities included in bidding papers is finalised prior to its transfer into contract documents.
A bill of quantities is included in the bidding documents so that the contractor may calculate
an estimate of the cost for each part before construction begins. In addition to this, the bill of
quantities includes drawings, the conditions of the contract, the time range for the completion
of the job, the specification of the work that is to be carried out, and so on. These papers are
given to the contractor upon the payment of specific costs that have been agreed upon.
Therefore, the contract to carry out the work will be offered to the contractor who provides
the lowest price estimate for the entire scope of the project.
In moreover, the tender document is always available to serve as a reference for the
quantity surveyor. During the process of tender review, it is helpful for the quantity surveyor
to pick the appropriate contractor because of this. It also makes it easier for the quantity
surveyor to write a cost analysis for a future project that has the same kind of contract as the
current one. This assists the quantity surveyor.
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2.5.1 CALLING OF TENDERS
After the Tender Documents have been finalised, the consultant will get in touch
with the potential bidders. Therefore, the open tender procedure was used for this
project in order to call those who were interested in buying the tenders. Please find a
synopsis of the invitation to submit bids below.
Before putting out a call for bids, the customer should have a clear understanding on the
most efficient methods of tendering for the work at hand. Tendering serves primarily as a
one-sided method of assessing the competence of the potential contractor. The client has a
wide variety of options when it comes to picking the best contractor. Several distinct types of
tendering are often employed in Malaysia.
Since we are the client, we have a lot of say in which contractor will do the
construction work. Because of this, the method of bidding that we choose is very important.
The tendering process makes it easier for the client to choose a contractor with the right
skills and experience. If the client doesn't use the tendering process, they won't be able to
make an informed decision about which contractor to hire because there will be so many
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tenders to look through. The customer can use the bidding process to narrow down the list of
possible bids to just those that meet or exceed the standards.
The procedures of selected tendering are used for this particular housing project. In a
process known as selective tendering, only invited suppliers are able to submit their bids.
These suppliers are those who have proven in the past that they are capable of meeting the
requirements of a contract of the requisite size, character, and level of complexity.
Customers have a higher level of trust that their needs will be met when a selective bidding
process is used.
The time required to submit a bid is rather short. The selecting process will be
simplified if we go with a contractor we are already familiar with. to be relied upon and
trusted. Because of their previous successful collaboration, customers now have complete
faith in their chosen performance contractor. In addition affordable cost Quick to judge The
procurement process will be shortened and simplified.
Consequently, the absence of rival bidders is one of the drawbacks associated with
employing the selective tender process. It results in an inadequate selection of bidders for
the contract. Next, using this strategy introduces an element of partiality on the part of the
tender selectors. This results in dissatisfaction and creates the opportunity to select a
contractor whose bid price is higher than the others.
TENDER REPORT
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The client will then send out bid documents to the chosen contractors. The time
frame for tendering will be set. The Contractor will be given a specific time frame for
submitting bids and a specific time frame for answering questions that come up during the
tender stage. At this stage, all pre-bid meetings and site visits will be set up, and the client
will answer any questions.
Depending on the last deadline, the client will get sealed bids. The client will look at
both the technical proposal and the business proposal. The best thing to do is to look at the
technical part of the proposal first. If a contractor's technical proposal doesn't meet the
minimum standard, they won't be able to move on to the next step, which is the commercial
evaluation.
Final negotiation may happen after evaluation of the submitted offers. The lowest bid
with the highest technical marks will be the most preferable in the negotiation stage.
The change order can come from either the client or the contractor. Sometimes, it's
hard to tell if a client's request is a change to the original scope of work or if it's part of the
work that was agreed upon in the contract. So, a change order can also cause problems
during construction, especially if the work isn't in the bill of quantities (BQ), drawings, or
specifications. Also, construction law doesn't say that the contractor automatically has the
right to extra payment.
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Figure 3.2.1 variation order estimated by contractor
In the construction industry, performance bonds are often used to protect both parties
in case the contractor doesn't finish the job according to the terms of the contract. To put it
another way, the contractor is required to fix the building if it gets damaged in any way. This
is similar to a guarantee that the contractor would give the customer. The performance bond
protects the client from losing money if the contractor doesn't finish the job the way it was
agreed upon. Bonds can be made by many different types of businesses, such as insurance
companies and banks. In Malaysia, the amount of the performance bond is equal to 5% of
the total contract value. The last 5% of the contract won't be paid out until a Certificate of
Practical Completion (CPC) or a Certificate of Making Good Defect (CMGD) has been
issued. Having said that, it depends on the Superintendent's advice and approval (S.O). If
the contractor has a CPC, they can cash in their performance bond for up to half of its face
value. This project is worth a total of RM 57,304,595.64, and the performance bonds are
worth RM 2,865,229.78.
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3.2.3 INTERIM PAYMENT
Providing interim payments is helpful and helps the contractor have a better flow of
cash. The contractor started the project with its own money, and it is also up to the
contractor to pay for workers, equipment, and any other costs that come up during the
project. After the contractor's own financing has been cut, they will be able to ask for a
payment in the middle. The amount of this payment will depend on how much work has been
done on site. If the customer doesn't make interim payments to the contractor, it's possible
that the customer and the contractor won't agree on something. They have to make sure that
they don't overpay the contractor and that they pay the same amount that the quantity
surveyor came up with after looking at the site. Once the contractor has been paid for all of
the work they have done up to that point, they can go back to work.
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SECTION B
DATA ANALYSIS
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DATA ANALYSIS
The term "data analysis" refers to the process of gathering data in its whole and
synthesising it into useful forms like charts, graphics, and facts. Using this method, a
company may collect reliable information that can be used to inform future decisions. By
collecting and analysing relevant data, we may foresee potential threats and develop
strategies for mitigating them.
Data analysis is a crucial tool for complicated building projects in the construction
sector. Many useful pieces of information, potentially useful to many people, will be
generated by the building's intricacy. The quantity surveyor may utilise the information to,
say, evaluate regional variations in building costs. The quantity surveyor may then utilise the
acquired information to make informed decisions about the project's future. With this
information, we can do a feasibility analysis and decide whether or not to go forward with the
investment.
This research included gathering information on four terrace home projects located in
four distinct zones: Johor (south region), Selangor (centre region), Kedah (north region), and
Kelantan (east region). My dear friend has provided me with all the information I need.
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LIST OF PROJECTS USED
22
23
TOTAL COST OF PROJECT
The following graph compares the total cost of constructing a double storey terrace in
four distinct regions of Malaysia: Johor, Selangor, Kedah, and Kelantan. The research
suggests that the construction of a double storey terrace in Johor would set you back RM
number three, costing RM 238,112.14, while Kelantan came in at number four, costing only RM
169,121.14.
Diverse states have different project costs because of regional differences in several
variables affecting the building sector. Material costs, site conditions, project size and scope,
labour pay rates, and a host of other factors contribute to the overall cost variation between the
four areas. The project's regional costs tend to fluctuate due to this aspect.
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PRELIMINARIES
The total cost of the necessary preparations to construct a two-story terrace was
has the third-highest total at RM 4,926.35, while Selangor has the lowest at RM 3,076.64.
Before a project can be carried out, the contractor must complete necessary
preparatory work. Site preparation, temporary service, security, shared mechanical plant, and
shared temporary works are all tasks that must be completed before the contractor can begin
construction. The preliminary work's overall price tag also is determined by the state of the site.
The bigger the site's complexity and size, the more preparation steps will be required.
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BUILDING WORKS
Using the available information, we can deduce that Johor has the most construction
puts it in second place. Kedah ranked third with a total of RM 179,538.70, while Kelantan
The sum of all the materials and labour required to create a structure is known as
"building works." Both the building's foundation and its exterior skin are shown. The design,
size, and scope of works for the building heavily influence the overall quantity of building work.
The more complicated the design, the more labour-intensive the construction. Construction
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EXTERNAL WORKS
Last but not least, the accompanying figure compares the external work of the states of
Johor, Selangor, Kedah, and Kelantan. Construction projects in Kedah cost a whopping RM
38,982.48 in materials and labour alone. At RM 36,833.31, Johor comes in at number two.
With RM 21,304.3, Selangor has the third-highest total. Kelantan's external work comes in at
Maintenance on the outside includes paving, drainage, landscaping, and other similar
tasks. The greater the square footage of the home, the greater the amount of outside work that
must be done before construction can begin. When compared to the other three regions,
Kedah has the most work that is performed outside of the country. This is due to the huge land
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EVIDENCE
33
SELANGOR (CENTRAL REGION)
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33
KELANTAN (EAST REGION)
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KEDAH (NORTH REGION)
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CONCLUSION
majoring course. I believe that now I am able to relate and widen the skills that I learnt while
being in university. Industrial training also exposed me to the real career and ac-custom me to
an organizational structure, business operation and administrative functions. More than that,
Pakatan Ukur Bahan Sdn Bhd (PUBSB) provides me with the real working environment, not
only learning the general scope of the work but also get opportunities to implement the work
with my own strength and abilities during the internship. Besides that, I also learnt to work in an
organization, punctuality, how to organize my work during under pressure and the importance
of team spirit. Overall, my internship at PUBSB has been successful. For me, the whole
training period given was very interesting, challenging and beneficial. It also achieves the
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5.0 REFERENCES
Internet
What Is The Procurement Method Construction Essay, 1st Jan 1970 in Construction
https://www.ukessays.com/essays/construction/what-is-the-procurement-method-construction-
essay.php
https://theconstructor.org/question/difference-tender-and-contract-documents/
https://www.opuskinetic.com/2019/04/4-types-of-tender-and-tendering-processes/
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