Monday, 4 October 2010

Investigation of Change Order Management: A Case Study of Oil & Gas Projects

Oil and gas project is very complex and changes could easily happen anytime. These projects mostly are huge with many phases such as engineering, procurement, fabrication, installation, pre-commissioning, commissioning for offshore facilities, and oil and gas platforms. They are considered to be very risky because of their complications and difficult conditions with high level of safety and requires big amount of money. Therefore cause of changes should be identified and classified.

Mr. Le Dang Thuc made a research which main objective was to study the change order management in EPC Oil & Gas Projects. The other objectives of his research were to: (1) investigate the different kinds of change order in oil and gas project; (2) assess the impact of change order in terms of cost and time; (3) investigate the change order process in oil and gas project; and (4) recommend ways to improve change order management in oil and gas.

Conclusion

Administering impact of change order in EPC oil and gas project is very significant to reduce time and cost and guarantee the success of the project. In order to do that, management of cost and time attached special importance to invest and innovate. There are five key concepts to manage impact with cost such as design cost breakdown structure, cost estimating, setting contingency, cost monitoring & control. The setting of contingency in contract price is to cover the cost in order to reduce risk and the unforeseeable events. To manage change order in term of time, the baseline and progress must be updated and reported.

In this study, several cause of change order were identified: alteration to specification, alteration to scope of work, alteration to contract, alteration to schedule, in which activity is unsafe under certain conditions; activity does not meet legal or regulatory requirements and others (example weather, political climate, etc).

Impacts of change order

According to five case studies, the impacts of change order in terms of additional cost are alteration to Scope of Work, alteration to Specification, others (Bad weather, Crane broken), and activity is unsafe under certain conditions. While the impacts of change order in terms of time are alteration to scope of work and others (Bad weather, broken Crane). Frequent types of change order were also identified such as alteration to scope of work, alteration to specification; activity is unsafe under certain conditions, Others (Bad weather, broken Crane), and alteration to schedule.

Time and cost impacts play an important role to prevent more extra time and cost during the execution. In CNV cases, it showed that the cost impact in construction phase is almost always high, as it is related to changes in costs of materials, risks in construction, designing, under pressure of schedule progress, and labor requirements during certain times of year, etc. Contract management is very complex and involves many phases, especially in oil and gas projects. Factors such as time, cost and quality have been managed strictly and change order forms are core parts of contract administration.

After studying and analyzing five different case studies, it has been found that the main cause of change order is the alteration to scope of work (78%). This happens due to reason such as change decision, change basis of design, location, and lack of estimation of scope of work. Alteration to scope of work is also the most cautious change order. This should pay more attention in contract dealings and should avoid happening. If there are alterations to scope of work, it will affect so much to project in term of cost and scheduling of project. Alteration to scope of work should be reduced and become a lessons learned for future project.

Change Order Process

Change order procedure is very significant to manage changes. This thesis shows a procedure for oil and gas project with 3 scenarios:

1. Client Originated changes - In the event that the Client requests the Contractor to prepare an estimate for a potential change, it shall be made formally by an instruction in writing from the Client. After the review and data input including time and cost, cause of change, the contractor will send VR to client for approval within a time frame. The client will check the VR with their requirement and issue a Variation order to execute project.

2. Contractor originated changes - Contractor identifies the change. They check the change in terms of time and cost, the relation with Client account, and then send to Client for review and approval. Within reasonable time, Client shall endorse the VR and return to Contractor. Client will follow this up with the issuance of VO.

3. Subcontract related changes - When changes occur, Subcontractor may consider giving rise to a claim for additional costs. The Subcontractor will immediately notify the Contractor via official communication. The Contractor responds by reviewing and approves the SVR.

These procedures will help company to be ready to cope with the change, as well as support for smooth execution of the project. To implement this procedure, all member need to understand and each step must be clear. To improve change order, system should be audited many times and innovated after seeing the mistake of sequence. The Project manager responds to guide all parties and all member of project team for clear and ready application.

Recommendation

In order to reduce change order, the project management system should be improved and include the following factors:



His thesis abstract is copied and posted.

Abstract

Oil and gas projects are very complex with huge budget therefore they are easy to raise change during execution of project. A lot of factors affect the project during execution of the project. Many problems could happen unforeseeably to the upcoming part of the project. Engineering Procurement Construction (EPC) process is complex and related to a large variety of variables therefore occurrence of changes in the scope of work is almost inevitable. Many factors such as financing, definition of work and regulatory matters also insert a certain degree of uncertainty into the project. The management of the change is very significant to prevent the impact of change order. Management system and identification cause of change should be play important role. The finding out what is repetitive causes will help Project team has a focal point to manage change order.

The causes of change are classified into 7 types which are based on the various parameters such as specification, scope of work, contract, schedule, etc. All of these changes are defined and analyzed.

In order to know how they administer in term of time and cost impact, this research has been assessed the 5 case studies and analysis is based on the cost estimate system, cost control, planning. Control research refers to the change order management system as per historical data of projects to identify the cause and the impact of change order. After studying and analyzing five different case studies, it has been found that the repetitive cause of change orders are alteration to scope of work. This happens due to the poor project management systems as estimation system, change decision, change basis of design, location, lack of estimation of scope of work and change order procedures.

Change order in oil and gas sector require leaders who can balance budgets and launch schedules and stay on task, because if a project is deemed too costly or late, it can delay the whole mission for months. Cost impact in construction phase is very high; therefore it is needed to pay attention during this period. To reduce change order, the scope of work should be clear. Cost estimates system use contingency in estimating a budget to cover rick, labor, project management system use responsibility break down, select expert vendor to supply material.

Time Impact in design phase is highest because of the following lack of communication, many deviations in design, change location and change design basis.

It is necessary to establish a change order procedure system to ensure effective project execution. A change management system will help a company to be ready to cope with changes and support smooth execution of projects.

Wednesday, 29 September 2010

Improving Quality Assurance in Construction: Can Tho Storage Tank Capacity Enhancement Project Case Study, Vietnam

After implementing the first stage of the quality assurance and product improvement in construction program, Vietnam Minister of construction assessed that although the program has achieved success in the first stage, there are some difficulties need to be overcome comparing with the goal and requirements planned. Annually, accidents still happen on working site due to violation of quality management process and procedure. Lacks of owner’s care, some commissioning buildings have no operation and maintenance manuals. This leads to degradation, reduction of the building’s life span and become unsecured in operation (instruction of Vietnam Ministry of construction, 2006).

Quality in construction is measured through time, cost and scope in traditional way. Andrew argued that these indicators are simple and crude to gauge the project quality. Owners are more quality-driven than price and value driven (Dainty, 2003). Especially, in oil and gas facilities, expensive equipments related to each other in manufacturing line. If one component fails, the other will be affected like the domino effect. So it is necessary to recognize other components affecting construction quality in each stage of project life cycle through assessing effectiveness and efficiency of construction processes. From that point, processes can improve that satisfy the external and internal customers. As a result, the existence and success of Vietnam enterprises are confirmed in local and international arena as well.

Mr. Duong Thanh Hai made a study which main three objectives were: (1) modeling the construction quality assurance activities from design to commissioning in traditional procurement; (2) investigating problems in term of effectiveness and efficiency of processes and sub-processes in the model that affect quality issues; and (3) developing a tentative model that incorporates construction activities and quality improvement approaches addressing such problems.

Conclusion

1. Modeling the construction quality assurance activities from design to commissioning in traditional procurement

The case was the storage tank project using design-bid-build procurement approach. The owner had in-house staff working as construction management. The owner stated their needs to design consultant. The designer mapped out all construction law, codes and standards that have to be complied with and to control and assure project quality.

Based on the design, the owner gave the quality requirements to site surveyor, supervisor, and contractor. Then these people submitted their quality plans that satisfy those requirements. A quality assurance model was developed based on the discussion with project participants and analyzing archive. The model shows interaction among involved parties from design to commissioning.

2. Investigating problems in term of effectiveness and efficiency of processes and sub-processes in the model that affect quality issues

There were five major problems happened in the project because the involved parties violated the quality plan and also because of the gaps on those quality plans itself.

Problem 1: design materials unavailability in the market

The design materials are only available during the time that the consultant planned the design. During the procurement, the owner realized shortage then the designer had to re-work.

Problem 2: delay in pressing piles

Although all operating procedures were clearly stated in the quality plans, mistakes still took place. The bearing capacities of pressed piles were not the same as the designed figures. According to the plan, the contractor would have informed the designer when problems happened but they did not. As a result, the schedule was delayed.

Problem 3: supply delay of floating roofs

Floating roof equipments were supplied two months late. Those equipment trades were solely based on contract which the contractor cannot assure the supply on time. The contract had just compensated direct loss for contractor. Other indirect loss such as reputation, administrative, low morale actually cannot be recovered.

Problem 4: valves leakage

Design valves were not received on time because of the delay in supply. The contractor used temporary valves to replace designed valves during tank process testing. Unfortunately, the temporary valves cannot bear the oil load, so they leaked. Some arrangements should be carried out to make sure that supplies are available when needed rather than recovered from contract breach penalty.

Problem 5: oil leakage of existing tank system

Underground pipeline were maintained every 10 year. However, those pipelines failed one year before that time. Therefore, one burning accident happened during the transferring process of existing tanks. The underground pipeline should be monitored gradually during that period.

3. Developing a tentative model that incorporates construction activities and quality improvement approaches addressing such problems

In Petromekong, most of construction applied traditional procurement. Contractor requested for supplier’s quotation after they had got bid. However in oil and gas industry, oil constructions usually need long lead time materials and equipment. For this reason, the contractor faces delay of supply sometimes. The study illustrated “supplier partnership” approach should be used in such type of construction to improve procurement quality. Petromekong in-house investing department will arrange partnership with suppliers beforehand. Then the owner, suppliers, designer will optimize time, cost, quality and satisfaction trade-off for important long lead time equipments and materials.

A chain of tools is suggested to detect and solve those problems in advance. Quality improvement tools such as flowchart, check sheet, problem source investigating chart, brainstorming, affinity diagram, fish bone diagram, nominal group technique should be used orderly to improve certain construction processes. Such types of process are repetitive, measurable and have clear procedures. Company can monitor and record performance of those processes regularly. Whenever problems happen, company can immediately recognize warning signs and take actions beforehand.

His thesis abstract is copied and posted.

Abstract

Since Vietnam has had oil terminal system development plan, more tank projects have been invested to expand storage capacity. However, quality violation has been alert obviously. From that point, the study suggests model to identify and eliminate those problems beforehand.

The study used one tank project as case study to fulfill three objectives. Firstly, quality assurance processes in traditional procurement were modeled. Then, the researcher investigated problems adhering to these processes. Finally, an improving quality model was suggested addressing those problems.

The case study was collected from Petromekong Corporation located in southern part of Vietnam. The researcher utilized focus group qualitative method. The researcher discussed with investing department of Petromekong to elicit quality assurance activities of project participants. Then, the researcher defined five problems existing in the case: deigning unavailable material on market, delaying in pressing piles, supply delay of floating roofs, leakage of valves and oil leakage of existing tank system. The researcher looked for some quality improvement approaches from manufacturing industry since. Finally, after conducting expert’s assessment, the researcher demonstrated “supplier partnership” approach should be used in long lead time materials and equipment construction to improve procurement quality. Illustrating pile driving and oil transferring processes as examples, the researcher suggested a chain of tools to detect and solve those problems in the case study beforehand. Such tools are flowchart, check sheet, problem source investigating chart, brainstorming, affinity diagram, fish bone diagram, nominal group technique should be used orderly to improve repetitive, measurable and clear procedure construction processes.

Key word: quality assurance, Petromekong, oil storage tank, traditional procurement, quality improvement, construction problems, case study, Vietnam.

Friday, 24 September 2010

Public Private Partnership in Low-Income Housing Development in Vietnam

Infrastructure development plays a vital role in economic growth and poverty reduction (WB, 2003). Traditionally, infrastructure systems have been provided by public sector. However, the increasing need of new infrastructure development and maintenance of existing infrastructure systems demands a huge capital investment which cannot be achieved by public fund. Public-Private Partnership delivery has become a solution for funding problem by mobilizing private sector fund into infrastructure investment (ADB, 2008). With their innovation and management skill, private participation can increase productivity and efficiency of operation, improve the quality of service and reduce service price compared to public sector provision (ADB, 2008).

In order to keep pace with the increase in housing demand and improve poor housing condition, scaling up investment in housing sector is the urgent focus of Vietnamese government. And in order to reduce state budget investment, Vietnam government is currently seeking possible solutions to develop public private partnership in infrastructure investment, and especially in low-income housing development.

Mr. Truong Ngoc Quy made a study which main objective is to propose the possible solution to encourage private participate in low-income housing development in HCMC. In accomplishing the main objective, the following sub-objectives have to achieve:

1. Develop general public private partnership framework in low-income housing development and its assessment criteria.

2. Investigate current practice of public private partnership in low-income housing development in Vietnam using the developed general model

3. Assess current practice of public private partnership of low-income housing development in Vietnam based on developed assessment criteria.

4. Propose the recommendation for setting up applicable public private partnership model in low-income housing development in Vietnam.

Research Findings

1. General public private partnership model in low-income housing development and its assessment criteria

Five factors of PPP in LIH development which are constructed from extensive literature review and expert verification are (1) government support to private participation, (2) government imposition on private party, (3) government subsidies for low-income people, (4) control target group policy, and (5) tenure system. Also from literature review and expert verification, the nine assessment criteria which are constructed and divided into 3 groups related to three main parties in low-income housing development are (1) affordability, accessibility, and availability for low-income people (2) profitability, availability, accessibility of incentives for private developers (3) sustainability, effectiveness, and inclusiveness.

2. Investigate current practices of public private partnership in low-income housing development in Vietnam

Many issues related to government support for private sector, imposition on developers, subsidies for LIP, control of target group, and tenure system in Vietnam. Facing the problem related to government support, private developers in Vietnam cannot receive some important incentives such as land and financing subsidies which are promised to give by government. The maximum profit margin of 10% and minimum cost recovery at least for 10 years for both hire-purchase and installment payment or for 20 years for rental houses make this market segment unattractive to private sector. The minimum planning and designing standard, and controlling maximum profit margin are lack of detail guideline for public authority and private developer during implementation. The housing finance subsidy in government policy is not strong to provide affordable loan condition to low-income people. Moreover, the loan condition actual provided to LIP is less favorable than what is introduced in policy. Because of under-table money using in allocation system and lack of detailed guidelines to prevent resale and renting out allocated units, most of the housing units are occupied by ineligible people. The actual tenure system is less favorable to low-income people than the imposed tenure system in government policy due to lack of profit in planning tenure system of government policy.

3. Assess the current practice of public private partnership in low-income housing development in Vietnam

Most low-income people in Vietnam face difficulty in affording payment condition and serving debt due to high debt service, high portion of down payment, and high housing price. The quantity of housing available to LIP is low, and the housing finance subsidy is also low in term of both quantity and quality. Housing subsidies including low-income housing subsidized units, housing finance and subsidized information is difficult to access for LIP. The low-profit margin and long term cost recovery set by government is not attractive for private participation. Some important incentives such as off-take guarantee and faster legislation procedure are not introduced in government policy and most incentives in government regulation are not provided in reality. Moreover, most provided incentives such as tax, financing, and basis infrastructure are not given to developer because they are not included in project cost when calculating profit margin. Complex legislation procedure in receiving incentives makes it difficult for developer to access these incentives. The LIH program does not provide housing for migrant and not focus on non-government officials due to its strict selection criteria, and does not cover other housing need due to unsuitable minimum design standard. Another issue related to effectiveness of program is that it is not effective in attracting private participation due to low profit set by government, reducing housing price because of the profit margin ceiling policy, and allocating housing to eligible people due to under-table money using and unclear controlling guideline after sale. Because of its low actual incentives and low actual subsidies provided, the financial sustainability of government budget is not affected much.
His thesis abstract is copied and posted.

ABSTRACT

One of global problem is inadequate condition of urban housing, and it is most serious issues in developing countries. The pressing issue of Vietnam at the mean time is providing adequate housing for residents, especially for poor people living in urban area. In order to reduce state budget investment in housing development for the poor, Vietnam government is currently seeking possible solutions to develop public private partnership in low-income housing development. However, it is still lack of public private partnership in low-income housing development even though government has implemented incentives policy to encourage private participation since 2001. The purpose of this study is seeking possible solution to develop practice of public private partnership in low-income housing development.

This research was conducted by case study methodology to fulfill four study objectives. Firstly, general framework and its assessment criteria for public private partnership in low-income housing development were developed and verified by expert. Secondly, the current practices of public private partnership in low-income housing development in Vietnam are investigated base on developed general framework. Thirdly, following developed assessment criteria, the current practices of public private partnership in low-income housing development in Vietnam are assessed. Fourthly, recommendation for setting up applicable public private partnership in low-income housing development in Vietnam is made.

The result of this study found there is a big gap between government policy and actual implementation of public private partnership in low-income housing development in Vietnam. The government program is not effective in solving housing needs. Low-income people still face difficult in buying the houses. The low-income housing market is not attractive to private developer. Housing finance institute, housing saving fund, and national housing authority are recommended to be set up and play important roles in supporting both demand side and supply side of low-income housing market.

Thursday, 23 September 2010

Development of a Worker Engagement Measurement Tool (WEMT) for Construction Safety Program

Many studies revealed that construction industry has the highest risks compared with other industries, risks that sometimes lead to death.

Each construction companies have their own safety measures implementation. But how to lessen if not totally eliminate this kind of accidents is everybody’s concern especially those who are working in the construction sites.

Dr. Oulawan Kulchartchai made a research to find the answer to the following questions:

• How can worker engagement in safety program implementation be assessed?
- What process should be used to develop Worker Engagement Measurement Tool (WEMT)?
- What are the components/elements of worker engagement?

• What are the factors that affect worker engagement in safety program implementation?
• What are the critical factors contributing to the success of worker engagement in safety program implementation?

The general objective of her research is to develop an assessment tool to measure worker engagement in the safety program implementation. This assessment should allow managers to assess the real status of their workers from the workers’ views, and then provide adequate actions to improve worker engagement. To accomplish these, the specific objectives of the study are set out and identified as the following:
• To develop a reliable assessment tool in order to measure worker engagement in safety program implementation in construction projects.
• To identify critical factors of successful worker engagement (WE) in safety program implementation

Conclusion on Answers to the Questions

In assessing the worker engagement in safety program implementation, two questions must be addressed: first; what are the components/elements of worker engagement? And second; what is that the process that should be used to develop worker engagement measurement tool?

On assessing worker engagement in safety program implementation:

a. What process should be used to develop Worker Engagement Measurement Tool (WEMT)?

The literature reviewed revealed that there is a lack of empirical data on many of the measures of an engagement in construction area, particularly for the workers. The development of a worker engagement measurement tool, which is perceived to be valid, should clearly reflect the emerging research perspectives on engagement. The tool should look at the total context (cognitive, affective, and psychomotor domain) and not focus on a singular dimension (the degree of freedom for workers to make their own decisions regarding health and safety issues).

Ground theory analysis was adopted to define the concept ‘worker engagement’ and associated descriptive elements.

Lawshe's (1975) quantitative content validity technique was used to determine the perception of safety experts based on the model or framework on worker engagement and its descriptive elements. The results derived from the content validity technique showed that fifty-three (53) out of the seventy-eight (78) descriptive elements were included in the validity assessment questionnaire of a worker engagement). The element consisted of cognitive domain (21 items), affective domain (26 items), and psychomotor domain (6 items), and content validity index as perceived by safety experts which are 0.72, 0.60, and 0.43 respectively. It can be concluded that the theoretical construct of the worker engagement model and descriptive elements were verified and thus acceptable for use in the development of a worker engagement measurement tool.

b. What are the components/elements of worker engagement?

To determine the components/elements of worker engagement, a process was needed to initially develop a worker engagement measurement tool. By using triangulation techniques, models including the scale development process were developed. This process was also used by Du Plessis (2004), and was based from DeVellis’s work (1991) as supported by the latter study from Clark and Watson’s (1995). The theoretical model construct was derived from the related literature study. To get the descriptive elements of worker engagement, Grounded Theory’s techniques were applied. The data was verified by safety experts using Lawshe’s techniques. The verified items were subjected to item analysis and exploratory factor analysis techniques using SPSS (Statistical Package for the Social Sciences) software. The reliability test in SPSS was adopted through the Independent sample, t-test.

In conclusion, the questions above could be positively answered from the literature reviewed and qualitative study. These answers provided the background to the empirical part of the study and supported the inputs to the primary objective.

The secondary objective of this study is ‘to identify critical factors of successful worker engagement (WE) in safety program implementation’. To accomplish this objective, two steps were considered: (1) the common factors affecting worker engagement in safety program implementation; and (2) the critical factors contributing to the success of worker engagement in safety program implementation.

Based on a learning theoretical model, factors affecting worker engagement in safety program implementation can be grouped into situation related factors and individual related factor. Although many psychological and management literatures have studied engagement factors, little work in current literature attempted to explore the factors contributing to worker engagement in safety programs implementation at construction projects. Therefore, the qualitative and quantitative studies were carried out.

In order to identify the affecting factors, a qualitative study was done using the Grounded Theory’s technique. Subsequently, the factors were verified using Lawshe’s techniques. The results indicated that affecting factor consists of situation-related factor (31 items) and individual related factors (12 items) and the content validity index as perceived by safety experts are 0.56 and 0.59 respectively. It can be concluded that the affecting factors which were perceived by experts were valid.

Conclusion and Answer to the Primary Objective Worker Engagement Measurement Tool (WEMT)

A worker engagement measurement tool (WEMT) was developed. This tool has a six-factor scale and a total of 39 items. This was derived from applying the research process which included Grounded Theory’s techniques, Lawshe’s techniques, the development of a scale instrument by using DeVellis’s (1991) process, and a reliability test of the developed worker engagement measurement tool by using Independent sample, t-test

The statistical techniques such as item analysis and exploratory factor analysis in SPSS was applied on the initial 78 variables under the three construct theoretical model developed from a learning theory and Kahn’s initial theoretical model, then worker engagement concept and associated descriptive elements were identified by utilizing Grounded theory and then verified by safety experts.

The final conclusion that can be made to answer the primary research objective is that the worker engagement measurement tool (WEMT) developed through this research is holistic in nature and measures a total worker engagement construct by means of the six factors; is reliable (statistically proven); can be used as a diagnostic tool because it can significantly distinguish between projects; and is perceived to have a valid construct.

Conclusion and Answer to the Secondary Objective Factor Affecting Worker Engagement

The factors affecting worker engagement consisted of six factors and had 29 items in total. This data was the output from series of analysis. After numerous literature researches, the theory was found relevant to this study.

The final conclusion answers “what are the critical factors contributing to the success of worker engagement in safety program implementation?” Safety policy, supportive management and supervisor behavior factor, and individual related factors were considered as the critical factors affecting to worker engagement in safety program implementation, whereas, workplace climate, communication and feedback, and reward and recognition were perceived by the respondents as the factors that need considerable attention in order to improve worker engagement in safety programs implementation.

Her thesis abstract is copied and posted.

ABSTRACT

The construction industry is considered to have the highest rate of fatal occupational injuries in many countries. In Thailand, the accident rate in the construction industry is reportedly the highest compared to other industries. Fatal injuries to workers occur more often in construction industry. Previous research emphases often analyze the effective safety programs rather than those that are geared towards creating safe working environments. Workers are expected to play and act as the “key driver” in safety program implementation. Due to this, worker engagement is now considered to be one of the most important approaches in reducing work-related injuries and diseases. Without this worker engagement, safety programs will be difficult to achieve. It is hypothesized that worker engagement can substantially reduce accidents and improve safety performance continuously.

The primary objective of this study was ‘to develop a reliable assessment tool to measure worker engagement in safety program implementation in construction projects” and ‘to identify critical factors of successful worker engagement (WE) in safety program implementation’. The findings therefore will enable construction firms to identify gaps in worker engagement within the safety program implementation, and facilitate improvements.

This study used triangulation techniques including; theoretical model construct by a thorough literature study, components of worker engagement indicated by Grounded Theory’s techniques, verification of the theoretical model using Lawshe’s techniques, the development of a scale instrument by using DeVellis’s (1991) process supported by Clark and Watson’s (1995) and used by Du Plessis (2004), a reliability test of the developed worker engagement measurement tool by using Independent sample, t-test.

In developing the WEMT, several consultation and tests were conducted with national safety experts. Results showed that worker engagement (WE) consisted of 3 domains; cognitive (21 items), affective (26 items), and psychomotor (6 items). The content validity index of the domains according to safety experts are 0.72, 0.60, and 0.43 respectively. Additionally, the situation-related factor (31 items) and individually related factors (12 items) with respect to the content validity index were 0.56 and 0.59 respectively. A questionnaire with 53 variables in three dimensions of worker engagement and 43 variables in affecting factor was distributed to the sample group of construction workers and personnel basis either by electronic-mail or hand carried to the representative sample group of 494. Approximately fifty two percent (258/494) responded anonymously. A scale instrument was developed through the item analysis and exploratory factor analysis function of the Statistical Package for the Social Sciences (SPSS).

A worker engagement measurement tool (WEMT) comprised of 39 items in a six-factor instrument was developed. It was found that the items in these factors were highly acceptable, receiving a Cronbach alpha coefficient above 0.8.

The developed WEMT was tested in two distinct construction projects in Oil&Gas and Building projects. These test confirmed that WEMT was a reliable diagnostic tool that can discriminate worker engagement level among different projects, particularly in the Thai construction firm context.

This research also determined factors that affect worker engagement within the safety program implementation. These factors are important when guided contractors to increase worker engagement level. This study showed that suitable safety policies, a supportive management team, and individually related factors were critical and directly affects the worker engagement in safety program implementation. Workplace climate, communication and feedback, and reward and recognition were perceived by the respondents as the factors that need considerable attention to improve worker engagement.

This research is relevant because it was able to identify a reliable worker engagement measurement tool that enables projects to identify the overall level of worker engagement in safety program implementation. This tool will serve to facilitate strategic actions to improve the working situations, thereby optimizing safety program implementation for continuous safety movements. The implementation of such strategies will be a forward move towards beginning and sustaining safety program implementation for further safety performance improvement within industries, particularly in Thailand.

Key words:

Worker engagement measurement tools, worker engagement, construction project, grounded theory, scale development, affecting factors.

Monday, 20 September 2010

Project Owner’s Quality Management System – A case study of Estella Residential Development Building Construction Project

In recent years, generally, in construction industry, it is recognized that the construction sector has made a great contribution to national development as investment has been intensified in many fields such as infrastructure development, industry and public projects. However, more attention should be given to quality management because of the poor quality of some construction projects.

To enhance the quality control of construction projects, the Ministry of Construction (MOC) held a seminar on April 28, 2009 which the main concern to ensure the quality of construction projects, especially for large-scale national projects. While most projects have operated on a safe and cost-effective basis, there remain shortcomings in terms of quality at different levels due to international and external causes. Because of these reasons, the development of quality management system is most important not only for Contractors, Quality Consultants, but for the investors or developers as well.

Mr. Tran Hong Quan made a study which primary objective was to study the application of Quality Management System (QMS) of Project Owner in a construction project from design to construction phase.

Conclusions

In general, most of the requirements of quality system have been covered and presented in the existing system. However, the discovered problems that related in missing contract review, improper developed coordination and communication, lack of the process control, control of quality records and the inspection status monitoring during the course of work are the reasons that caused major problems to owner such as schedule delay and generating V.O.

In addition, it was found out that there was inconsistency in decision relating to quality on job site caused rework and schedule delay.

Obviously, besides the reason of work procedures, it would be the reasons of different quality level and quality perception. Therefore, it is necessary to conduct the internal quality audit and provide training at different position in order to gain the same level of quality perception in the project team.

Through the discussion and findings of this study, the causes and the consequences that generated by these missing processes can be summarized in the table below:



To summarize, refer to the study, in order to obtain a complete QMS, the missing requirements as previous mentioned should be added in the existing Quality Management System for fulfillment. More than that, the quality culture in organization should be formed up so that the Company can reach to the Total Quality Management.

His thesis abstract is copied and posted.
Abstract

The report expresses the key issues in Quality Management System (QMS) that known as the critical factor for any organization wants to develop and survive in the free trade market.

This study, which refers to the theories and the standards system, has expressed the concept of quality in construction, the QMS in organization, system requirements for owner’s QMS in construction and its benefits. The study has briefed the factors that most effect to project quality studied from public reports and the key points to control project quality from the design to construction stage. The report has introduced a QMS to the property developer for the purpose of amendment to the existing QMS in order to obtain a complete QMS for better managing project quality.

The next part of this report is the case study on the Estella J.V organization that established to run and deliver the Estella Residential Development project, an international project of the Keppel Land Co. Ltd. Through this case study, the findings on the existing QMS and the application from the previous part to this existing QMS for improvement will be the foundation QMS for toward Keppel Land’ projects. This is also the objective of this study.

Thursday, 16 September 2010

AIT Thailand August 2010 Intake for CEIM and MPM fields of Study

The AIT in Thailand accepted 49 students for August 2010 semester. The distribution of students enrolled in the Doctoral, Master and Professional Master Programs are 3, 9 and 37 respectively.
Below are names of the current students:

No. Name Degree

1. Mr.Grit Ngowtanasuwan, CAS
2. Mr.Wilson Udo Udofia, Doctor
3. MissSarsinatt Kriwaphun, Doctor
4. Mr.San Visal, Master
5. Mr.Ranjeet Sandeep Pundlik, Master
6. Mr.Senjam Romero Singh, Master
7. Mr.Krisana Juanwanpen, Master
8. Mr.Thanawat Phangchunun, Master
9. Miss Junya Phuangphay, Master
10. Mr.Pham Quang Cuong, Master
11. MissHuyen Thanh To, Master
12. Mr.Tran Phi Long, Master
13. Mr. Nguyen Duc Huan, MPM
14. Ms. Nguyen Thi Minh Ha, MPM
15. Mr. Nguyen Nhat Tai, MPM
16. Mr. Ngo Quoc Thai, MPM
17. Mr. Le Van Tuan, MPM
18. Mr. Nguyen Huu Ky, MPM
19. Mr. Vo Thanh Phong, MPM
20. Mr. Nguyen Ngoc Thi, MPM
21. Mr. Bui Duy Khanh, MPM
22. Mr. Nguyen Thai Son, MPM
23. Mr. Tran Minh Nghia, MPM
24. Mr. Le Anh Thai, MPM
25. Ms. Dang Trinh Thanh Phuong, MPM
26. Ms. Nguyen Tran Tuong Ly, MPM
27. Mr. Le Do, MPM
28. Mr. Nguyen Chanh Trung, MPM
29. Mr. Nguyen Nong Truong Thanh, MPM
30. Mr. Vo Khac Kien, MPM
31. Mr. La Nguyen Bao, MPM
32. Mr. Tu Thien Tu, MPM
33. Mr. Hoang Manh Chi, MPM
34. Mr. Chau Anh Tuan, MPM
35. Nguyen Thi Thu Nga, MPM
36. Mr. Ngo Thanh Duc, MPM
37. Nguyen Trong Hung, MPM
38. Mr. Bui Viet Thi, MPM
39. Mr. Nguyen Anh Tuan, MPM
40. Mr. Vu Van Tinh, MPM
41. Mr. Bui Thanh Nam, MPM
42. Mr. Huynh Thanh Quang, MPM
43. Mr. Do Danh Chi, MPM
44. Phan Hong Ngoc, MPM
45. Vu Kim Dien, MPM
46. Tran Cao Hy, MPM
47. Nguyen Trong Khoa, MPM
48. Nguyen Hong Thanh, MPM
49. Mr. Ha Chi Nghia, MPM