- ASSESSINGRISK MANAGEMENT MATURITY FOR THE JABATAN KERJA RAYA ( JKR ) CONSTRUCTION PROJECT.
The building industry in Malaysia has become one of the sectors that significantly contribute to Malaysia’s economic system. Harmonizing to the Department of Statistics in its latest quarterly building statistics study ( DOS, 2013 ) . The figure of building undertakings in the 2nd one-fourth of 2013 ( 2Q13 ) grew to 9,392 from 8,719 quarter-on-quarter ( q-o-q ) and ear-on-year ( y-o-y ) , the building sector saw an addition of 7.7 % in the figure of undertakings, with values increasing to RM22.7 billion in 2Q13, from RM20.6 billion in 1Q13. Entire value rose 10.2 % in 2Q and increased 11.6 % y-o-y.
Harmonizing to the Project Management Institute ( PMI, 2008 ) , undertaking hazard is an unsure event that, if it occurs, impacts at least one undertaking aim ( e.g. quality, cost, and clip ) and hazard direction ( RM ) is cardinal to carry through undertaking aims, and it is non merely seeking to maintain off bad consequences but besides moving as a usher to maximise positive consequences ( Ghosh, 2004 ) . In the building industry, hazard and uncertainness are more widespread comparison than other industries. The execution of RM in building undertaking would better undertaking public presentation through guaranting the accomplishment of undertaking aims and prosecuting chances to increase the positive impacts on these aims ( Bon-Gang Hwang, 2014 ) . The undertaking RM procedure consists of RM planning, hazard designation, qualitative and quantitative hazard analysis, hazard response planning, and hazard monitoring and control. In add-on, undertaking RM has been considered as one of the nine undertaking direction cognition countries ( PMI, 2008 ) and enables stakeholders to understand hazard impacts on undertaking public presentation ( Chapman, 2003 ) . Hazards are normally undertaken by all undertaking participants, and the contractors that deal with building work are more likely to face hazard accidents which may hold a negative impact on all other undertaking aims such as cost overproductions, holds, hapless quality, loss of productiveness and loss of morale ( El-Sayegh, 2008 ) .
Measuring the current RM of JKR building undertaking is of import to place the precedence or weakest sub-component countries needed for betterment and actions can be taken to increase the public presentation. Risk direction adulthood reflects the edification of JKR’s building undertakings to apprehension of its hazard portfolio and how to pull off those hazards. Contractors with diverse RM adulthood can cut down hazard in different degrees ( Hopkinson, 2000 ) .
Harmonizing to research by ( Basiron, 2009 ) on Undertaking Risk Factors: Case Study of Ministry of Education Projects. Although the JKR was burdened by excessively many undertakings under the 9th Malaysia program ( 9ThursdayMP ) , 9th hundred and fifth adolescent ( 915 ) Ministry of Education ( MOE ) undertakings were awarded to the successful contractors throughout Malaysia besides handled by the PWD ( Project Information System ; SKALA, 2008 ) . A assortment of unexpected events occurred during the procedure of constructing procurance until project execution and many of them can make fiscal and clip losingss to the MOE as a client or other interested parties. Such events are normally called hazards. Cost and clip overproductions in many building undertakings are attributable to assorted hazard events, where uncertainnesss were unmanageable, or non suitably accommodated during planning of the undertaking ( Baloi, D. and Price, A. , 2003 ) .
This research aims to place the RM attributes for building undertaking, to measure the adulthood of RM properties and compare the correlativity between properties. To accomplish the aims, a questionnaire study was conducted and informations were collected from JKR respondent.
- BACKGROUND OF STUDY
Specific to RM adulthood theoretical account, several research have been conducted by research workers such as ( Hillson, 1997 ) , ( Crawford, 2002 ) , ( PMI, 2002 ) , ( IACCM Business Risk Management Working Group, 2003 ) , ( Ren, Y. T. and K. T. Yeo, 2004 ) , ( Loosemore, 2006 ) , ( J. Mayer, L. Lemes Fagundes, 2009 ) , ( L. Shah, A. Siadat, F. Vernadat, 2009 ) , and ( P.X.W. Zou, Y. Chen, T.Y. Chan, 2010 ) , there has been an applicable theoretical accounts for pattern and increasing research involvement in the adulthood of RM.
The intent of developing hazard direction adulthood is to add value to project bringing. It is by and large regarded that RM adulthood theoretical accounts can efficaciously assist organisations to understand the degree of current pattern in footings of their capablenesss in RM, every bit good as their strengths and failings towards future RM pattern, in order to take appropriate actions to better their RM public presentations ( Guangshe Jia, 2013 ) .
Therefore, this survey focuses on provided an attributes to mensurate the hazard direction adulthood of JKR. Using the properties, JKR may measure their RM adulthood degrees and place their strengths and failings in the country of hazard direction.
- PROBLEM STATEMENT
Jabatan Kerja Raya ( JKR ) is responsible for planning, planing and the building of substructure undertakings in Malaysia and act as the implementing bureau and proficient adviser to the authorities ( JKR, 2014 ) . As the implementing bureau and proficient adviser for bulk of the authorities undertakings, JKR provide the undermentioned services as their nucleus concern ( Nasir, 2011 ) ;
- Technical consulting service ;
- Project direction ; and
- Maintenance direction service.
Under the 9ThursdayMalayan Plan, JKR is entrusted to manage major substructure undertakings. JKR has recognized the demand to better their capacity and competence in presenting these undertakings to accomplish undertaking aims ( JKR, 2014 ) . The Complex Project Management Division ( PROKOM ) and the execution of a Project Managed Change Program ( PMCP ) has established by JKR in 2006. The aim of established PROKOM and PMCP are to the strengthening of undertaking direction and institutional capablenesss of JKR and to better in overall preparedness undertakings ( Basiron, 2009 ) . In order to present undertaking efficaciously, JKR through PROKOM has adopted hazard direction in their undertaking life rhythm procedure.
There are legion grounds why RM systems needs to develop and implement for building organisations. First, it is a legal demand as outlined by legal policies for organisations to transport out their responsibility of attention by measuring the hazards associated with their concern ( P.X.W. Zou, Y. Chen, T.Y. Chan, 2010 ) . Second, building undertaking are all paradigms to some extent and imply alteration ( Atkinson, 2001 ) and each undertaking is alone and inevitably involves complicated and legion hazards ( Zhi, 1995 ) . One-thirds, the nature of hazards alters over the continuance of the building undertaking as do their impacts ( Burcar, I. , and Radujkovic, M. , 2001 ) . These hazards are compounded by alterations in statute law, effects of related governments, acceptance of nonstandard edifice contracts, and unsure site conditions ( Marsh Australia, 2007 ) . Fourth, building undertakings involved different participants, building methods, and assorted squads of different accomplishments and play down each clip. Fifth, without proper hazard direction, it would ensue in inefficient usage of attempts and resources ( P.X.W. Zou, Y. Chen, T.Y. Chan, 2010 ) . The negative impacts of deficiency of hazard direction procedures can include increased uncertainness to project result, suffer fiscal loss, liabilities that may hold been overlooked, and uneffective determination devising ( Loosemore, 2006 ) .
The job highlighted there were less specification of RM adulthood theoretical account for building. RM adulthood theoretical account for building will assist JKR to take corresponding actions in proficient and managerial countries in order to better the RM consciousness, patterns, resorts, and procedure to accomplish JKR scheme and aims. Therefore there is demand to analyze the RM attributes for building undertakings and measure the adulthood for JKR building undertakings in order to better or get the better of the jobs. Besides that, measuring the adulthood of RM properties by utilizing the RM system for building undertakings should be implemented by JKR in future.