AIT signs an agreement with Korea Research Council

On 12 December 2013, AIT just signs an agreement with Korea Research Council.

For detail, please see the news:
http://www.ait.asia/news-and-events/2013/news/ait-signs-agreement-with-korea-research-council-of-fundamental-science-and-technology/view

Regards
Hadikusumo

Merry Christmas and Happy New Year

Integrated Project Management Assessment for Development Property Project at Capital Fund In Vietnam

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MPM Articles in Dantri online newspaper

Read our MPM Articles in Dantri newspaper.

Chương trình Thạc sĩ Quản lý dự án Xây dựng AIT: 5 năm một chặng đường

Khai giảng chương trình Thạc sĩ Quản dự án Xây dựng (MPM)

AIT tuyển sinh chương trình Thạc sĩ Quản lý dự án Xây dựng

Học Thạc sĩ cùng các nhà Quản lý dự án xây dựng hàng đầu khu vực

A Critical Appraisal of Briefing Client in Construction Process

Vietnam is a one of emerging markets following the UK Trade and Investment (2010) report. Accordingly, Vietnam is a country which is a market-leading selection by international investors especially the construction industry which attracting impressively by the possibility of its profitability. Therefore, the development of strategies for international construction demands in Vietnam is very essential to meet the client’s objectives in terms of function, quality, value, time, and cost and certainly.

The lacking of skilled person to meet the requirement of construction project in Vietnam is a big problem and lead to late delivery and over budget. Whilst briefing always has been a key element of any project. Often, requirements and demands from client are not collected adequately to provide solutions and result is inappropriate. Briefing is a communication process combined with record system to publish a set of documents to the design team; it is a process of developing a deep understanding about the client needs. It is a continuous interaction and involvement of the client and professional teams are important in this process. Through good briefing and grasping what the real needs are, client and professional consultants can work more effective and productive on project and make decisions confidently.

NGUYEN CHAU DIEU AN made a case study which objectives were to:

1. review the concepts, definitions of client and client briefing in construction in order to understand the client’s expectation through the client’s briefing process.

2. review the methods for strategic client briefing and other relevant literature on client briefing.

3. present the problems of briefing in a specific project in Vietnam and its solutions.

4. propose a framework of briefing for next project.

Conclusions

Briefing has long been recognized as an important and essential part in the international construction process. It has a substantial contribution to the success of a project. However, briefing has not been acknowledged in the formal way by client and consultant in Vietnam construction industry. Client and consultants are not aware of the importance of the briefing process and most of them have not been trained in factors related to the client’s brief.

The literature study shows the essential activities and interactive relationships involving the client organization and the design team as they progress through each phase of the project. It provides the value information to achieve assessments and objectives of the project.

The aim of this study was to explore a construction client’s process for project briefing and to improve understanding of strategic briefing and briefing methods for both client and consultant in meeting the client’s expectation. The study showed the problems that architect is stuck by not admitting what a paramount briefing and clarifies elements which play important roles in a success of project.

1. To know the client’s objective through the briefing process

In order to achieve this objective, the literature has been reviewed on the concepts of the briefing process, the definitions of a client, client’s expectations and the client briefing process within the construction. The investigation tried to understand the expectation of clients through the client’s briefing process.

2. To apply techniques of briefing process for architect

To explore different methodologies and tools that can be used to establish client’s demand and expectation on construction project such as questionnaire development, need analysis, briefing content, communication.

3. To understand the administrative and official process impacting on the briefing process

In order to achieve this objective, involvement of client, stockholders, end user, and consultant during the process is very essential. Managing changes of requirement, recording verbal communication, and making decision are factors in briefing administration which impacts success or failure of the project.

Besides the objectives above, this research also provided the methods to the briefing process to get requirements from client such as empowering client, managing project, parties’ involvement, team building and using computer system, communication skill, and record system.

Although there are still problems in Vietnam construction industry, this study has been achieved by the conclusion that the construction industry in Vietnam will be focused on a briefing process especially in application methods of briefing, training and acknowledgement a brief properly to get efficiency, profitability of a project.  

Recommendation to improve briefing process in Vietnam construction industry

1. Perceive role of briefing

Need to train all parties involved in a project aware of how important the briefing is, the role of briefing in a project and contribution of briefing to the success of a project. Through a better briefing, an architect can get what the real client wants and client’s expectation. Even client, they will be able to make decisions related to investment with great confidence.

2. Understand briefing process

Briefing process is an interactive process between the client and professional teams and briefing happens continuously during the construction process. Briefing process needs many techniques, tools to get requirements and demands from client such as team building, getting information, analyzing, managing changes of requirement, recording, and communicating.

3. Apply different techniques in construction

Find out various techniques to apply in a briefing process such as using computer system to improve communication between client and professional team (Science & Engineering Research Council) includes general approach, questionnaire development, data analysis, system contents.

Abstract

Client briefing plays a crucial role in success of a construction project. A successful briefing can achieve the target time, cost and quality for a project and make decision on project confidently. Although there are many attempts to approach client’s requirement and needs for a project, it is still not collected adequately to make appropriate solutions in design. In Vietnam, client briefing is not considered an important process and architects usually focus on design without paying any attention what their client really wants.  

The objective of this research are to provide a basic knowledge of briefing process which is not consider as a integral process in construction process in Vietnam, present research, analysis of problems of briefing in a project and recommend a briefing framework in order to avoid client’s frequent changes and control information collected systematically.

This Project Report has taken a general view of Briefing Process in theory and analyzing a case study that applied in Vienam to find out reasons of failure, lack of briefing techniques. The report points out that a framework of briefing need to be established for identification what a client really wand and clarification of client’s demands.  

MPM Gathering Day 2013

MPM Gathering Day 2013

08 Dec 2013

Lan Anh club, Ho Chi Minh city

MPM Gathering Day 2013 in HCMC on 08 December 2013 successfully organized by MPM Alumni club with over 80 participants who are MPM/CEIM alumni, MPM students, AITAA-VN representatives from Ho Chi Minh ciy, Can Tho and Vung Tau.

They had chance to gather together and review the unforgettable memories of the studying time at AIT during activities of Gathering day such as tennis cup and gala party. 

The tennis cup for men's doubles only were interested in over 30 registered players and its result is as following:

- Champion: 

• Dr. Hadikusumo, MPM/CEIM Coordinator
• Mr. Le Quang Dung, MPM3 Can Tho student

- 1st runner up:

• Mr. Nguyen Phan Hoa Binh, MPM3A HCMC Alumnus
• Mr. Dau Hong Quan, MPM7 HCMC student

- 2nd runner up: for 2 men's double

• Mr. Luu Hoang Nam, MPM7 HCMC student
• Mr. Engwan, MPM faculty

 and 

• Mr. Nguyen Duc Trong, MPM3A HCMC Alumnus
• Mr. Phan Tuong Liem, MPM2 Vung Tau Alumnus

Everybody felt very excited with karaoke songs from single or group alumni and student "singer". Ten lucky persons won 10 lucky prizes during Gala party. Lucky prizes came from MPM program and sponsors. 

We highly appreciate our sponsors for this event and their contributions for MPM activities for a long time. 

- Mr. Do Huu Phuoc, MPM3B HCMC

- Mr. Hoang Thanh Ha, MPM6 HCMC and QTC company

- MPM6 HCMC class

- Ms. Mai Do Thuy Dung, MPM1 HCMC

- Ms. Lu Ngoc Anh, MPM6 HCMC

- Mr. Nguyen Van Nhan, MPM3A HCMC

- Mr. Nguyen Chanh Phuong, MPM3A HCMC

- Mr. Chau Anh Tuan and Mr. Vo Thanh Phong, MPM4B HCMC

- Mr. Thuyet, AITAA-VN, SOM 01-03

- MPM Program

- Dr. Hadikusumo and Mr. Engwan

On behalf of MPM Alumni club, we would like to say thank you to all MPM faculty, alumni, current students who made the success of MPM Gathering Day 2013. We would hope all of members of MPM family will connect closely, maintain our network and meet together again in Gathering Day next year.

Ready for FINAL ROUND

Semi-final round - men's doubles

Semi-final round - men's doubles

2nd runner-up for tennis cup

1st runner-up for tennis cup

Champion - Dr. Hadikusumo and Mr. Le Quang Dung

Group photo of MPM Gathering Day

2nd prize of lucky draw

"Group singer" of MPM7 current students

Effectiveness of Feasibility Study Analysis in Apartment Building Project

In the context of declining global economy, Vietnam’s real estate/market and construction potential is one the reasons why foreign investors remain attracted in the country. The construction projects present a unique situation where each project is different with different situation and parties. One  of  the  important  stages  involve  in  a construction  project  is  the  preparation  of  the  feasibility  study. Feasibility Study is being conducted during the formulation phase of Project Cycle. It verifies whether the proposed project is well founded, and is likely to meet the needs of its intended target groups/ beneficiaries. The study should design the project in full operational detail, taking account of all policy, and technical, economic, financial, institutional, management, environmental, socio-cultural, and gender-related aspects.

According to the characteristics of construction industry, it has high uncertainty, so many risks will occur during Project Feasibility Study. This problem might influence to the decision making of the project and to its profit. To those assumption, the main construction factors should have been anticipated and calculate it into the feasibility analysis so that avoiding risks will become additional advantage for the investor.

TRUONG NGOC DUNG made a case study which objectives were to:

1. conduct an exploratory study on the factors and process used in financial feasibility study

2. develop a framework for an effective financial feasibility for Apartment Building Project

3. conduct a case study to validate the effectiveness of the framework

This issue is more significant to some of the construction investors facing serious problems with budget control, as an effective budget control is critical for investing in large projects.

Conclusions

The case in this report described a practical implementation in the Feasibility Study stages of Apartment Building Project of Vietnam in general and Ho Chi Minh City in particular which obviously revealed the factors which can seriously affect the success of the project. Actually, Vietnam at present has enormous efforts to overcome policy and reduce the cumbersome procedures in investment, but investors still face a lot of problems (Financial Feasibility Study) which occurs in term of project implementation.

So based on this study, how to implement the effective feasibility study such as the factors and processes used in this stage were understood. There are expenses, sources of fund and revenues; and methods of estimation. Moreover NPV method, B/C ratio method and IRR method were the methods of evaluation used, in addition, to establish a useful framework for Apartment Building Project.

In conclusion, the report may not only offer the effective method to make Feasibility Study in the first stages of project implementation, but also clear description of the major factors that may affect the efficiency budget that most projects in Vietnam are all experiencing. The problem of cost overrun, bankrupt and project costs incurred were up compared to initial estimates.

Recommendations for further study

This research has concentrated on finance in estimated cost, revenue and how to analyze the project financial. However, other influence factors such as local politics, public relationship and strategy of the owners did not mention.

Feasibility Study should be done not only once, but it must always check at different stages such as design stage, construction stage and after operation and transfer stage for the main purpose of improving the later project.

In addition, Sensitivity Analysis to recognize the priority factors after calculating the financial factors for the Apartment Building project should also be considered, so that these factors can be managed.

Abstract

The Real Estate investment is one of the most dynamic, risky and challenging businesses because of their implementing time is very long with huge investment capital and various participating components. Furthermore, this field has poor skills for making Feasibility Study, with many major projects failing to finish on time and cost targets.

Feasibility Study of construction project used to get the alternatives of optimal land use that give the highest profits. Feasibility study analysis also gives information about value of investment and the benefits that investors will get. Define return of investment can be seen from feasibility study. Commonly, Net Present Value (NPV), Internal Rate of Return (IRR) and Benefit/Cost (B/C) are the values that used by investor to consider this project is feasible or not.

The purpose of this study to identify effectiveness methods, main major estimated factors that will be occurs in this stage. To effectively making the financial feasibility study in construction project, it is necessary for oriented path to identify important factors, then provide a suitable tool to measure their effects in each stage of Financial Feasibility Study life cycle and suggest the effective solution methods as minimized/maximized, shared, or accepted.