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Malaysia: Construction sector growth on track
KUALA LUMPUR: The Master Builders Association Malaysia (MBAM) is confident that the construction industry is still on track to achieve its 1.7% growth forecast for 2019, underpinned by ongoing jobs that will keep contractors busy until the end of the year.
President Foo Chek Lee said the growth could be accelerated if local construction firms embraced digitalisation.
“We need to change the mindset. Many construction players hold back because they feel that cost is a factor, ” he said at a press conference after the launch of the MBAM Building and Construction Conference 2019 yesterday.
“Initially, yes, cost will be a factor. But eventually, with digitalisation, it will become more cost effective to run the business.”
Foo said the construction industry has been known for being slow in adopting technological changes.
“While other industries have adopted the use of digitalisation for their beneficial development, the construction industry is yet to fully embrace it.”
He added that the use of digital technologies has only recently become a common idea among local construction industry players, mainly due to attention garnered by the building information modelling (BIM) system.
“If construction services are to be delivered with less effort and higher accuracy, then digitalisation in the construction industry must change from an idea to becoming a norm.
“Construction players need to change from just being aware and partially adopting digitalisation, to fully implementing it in all of its activities.”
BIM is an intelligent 3D model-based process that provides construction professionals the insight and tools to efficiently plan and design buildings and infrastructure.The government had forecast the local construction industry to grow 1.7% this year, while growth is expected to hit 3.7% in 2020, backed by projects outlined in Budget 2020.
The MBAM Building and Construction Conference 2019 is organised by MBAM, in collaboration with Cinnotek International Group and supported by the Construction Industry Development Board Malaysia (CIDB).
CIDB chairman Tan Sri Ahmad Tajuddin Ali officiated at the launch of the eighth edition of the Malaysia International Construction and Infrastructure Technology Exhibition at the Kuala Lumpur Convention Centre.
Citing research conducted by PwC, Ahmad Tajuddin said Industry 4.0 perceives a promising future in the digitalisation of produces, services and means of robotic manufacturing and engineering, thus resulting in a reduction of operational costs by 3.6% per annum.
“MBAM should drive their members in the construction industry to uplift modern manufacturing technologies towards industry 4.0.
This is important as preparation for implementation of digital technologies that has been gradually entering the construction industry, changing how infrastructure, real estate and other building assets are designed, constructed, operated and maintained, ” he said in his opening speech at the conference.
Ahmad Tajuddin noted that BIM has been widely accepted in the construction industry, adding however that not many firms have taken full advantage of its potential.
“This is despite the investment in BIM being proven to be well worth the cost of implementation to organisations.
“This calls for industry bodies and professional associations to work more closely to effectively represent the industry to the government and the public and I believe MBAM can continue to move the industry towards this goal, ” he said.
Source: https://www.thestar.com.my/business/business-news/2019/10/30/construction-sector-growth-on-track#z06GTzAwiOuVP3z6.99