Value Analysis In Malaysian Construction Industry

As a developing country, Malaysian economy has shown a decent growth records within Asia as one of Asia’s best grew since independence in 1957 to date with multispectral economy based on services and manufacturing. Despite its small contribution to GDP, Malaysian construction industry is among the sectors which received lot of demand due to the primary concern to fulfill the needs and insufficiency of infrastructures. Hence, Malaysian construction industry becomes crucial due to its role as a leading indicator and determinant of domestic performance by providing the physical infrastructure for industrial production and reproduction (Ramly & Shen, 2012).
Ramly & Shen (2012) also stated that a recognition and promotion of a new method and approaches

Miles in 1942 as value analysis (VA). It is originated in the United States emerging due to the shortage of components and materials in the manufacturing sector during Second World War Two in 1942 (Che Mat, 2010). He was assigned to look into the problem of materials shortage and analysed the primary function of a product by examined several alternatives to perform the same function without compromising the quality aspect (Ramly & Shen, 2012). Since then the technique is very much accepted in various industries (Che Mat, 2010) whilst the process originated in the manufacturing industry, including construction, and within 10 years of the concept emerging, the US Department of Defence incorporated VfM in the delivery of its very extensive construction programme. It is widely used in US from 1950s (Designing Buildings Wiki for Value Management in Building Design and Construction - CIOB, 2013). After 1970s, it is getting more famous and adopted in various countries such United Kingdom, Japan, Korea, Australia, Saudi Arabia and others (Che Mat, 2010; Daddow & Skitmore, 2005; Ramly & Shen,

This is one of the reasons why the application of VM in Malaysian construction industry is still minimal although it has been long introduced to Malaysia. However, Ramly & Shen (2012) stated that the conclusion is made without proper assessment whether the VM was conducted by means of proper VM methodology to assess the performance.
Based on the study carried out by Jaapar, Endut, Bari & Takim (2009), it shows that the number of person who had a formal training on VM still can be considered very low which was only 14.0% and most of them only completed an Introductory Course to VM.
It is confirmed that the lack of VM knowledge and practice were the main problems faced during the VM workshop, the resistance to change by the involved parties during the VM workshops sessions and the conflicting objectives of the project by different parties were the main problems faced during the VM workshop. Besides that, it was discovered that poor team work happened due to many related parties involved in the exercise tended to have negative mindset towards the VM process. Lack of input from the related specialists’ as well as poor facilitation skills during the VM workshops are also the contributing factors for this problem (Jaapar, Endut, Bari & Takim,