Barriers to IBS implementation 4

Incentive for IBS Adopters
·         The incentives for IBS are not sufficient. Incentive in term of tax and levy should be extended to all stakeholders. Clients and designers should also be rewarded and the adoption requires more pull and push factors from the government. This will create better market for IBS contractors
·         Due to the small profit margin, the change from conventional to IBS for contractor was not feasible, unless, more attractive incentive systems and benefits which can lure the conventionalist to IBS are in place.
Foreign Labour Issue
·          The availability of cheap foreign workforce is a major stumbling block for IBS implementation in Malaysia. Labour is abundant in a very cheap price at RM 30 – RM 40 per day.
·          IBS adopters can not compete in term of cost with the conventional contractors if one compares it literally (due transportation, investment and setting up cost). Government should at this time doing drastic measure to get rid of foreign workers.
Financial Assistant through Soft Loans
·         The manufacturers of IBS component require business continuity in producing component and ethos of continuous improvement in product development. As such, a soft loan for manufacturers should be created or promoted in collaboration with other government agencies.
Reviewing IBS payment mechanism
·          The payment mechanism for IBS should be reviewed. The adopters require safer and more reliable payment mechanism and contracts. The construction industry should benchmark with other industry particularly in manufacturing and automotive to understand the mechanism that works for IBS construction.
Promoting IBS Best Practice
·          IBS should not be seen as a threat to traditional methods. The failure of IBS to penetrate the market is due to a misconception that it will eventually replace the traditional sector, while it actually should work closely in tandem to promote best practice in construction. The sharing of best practice between the two approaches is essential for the continued successful development of both construction sectors
Promoting IBS to Clients and End Users
·         IBS should provide the industry with good quality products. Perhaps, in private sector projects, the implementation of IBS is contractor and manufacturer-driven rather than client driven as observed in public sector.
·         Currently, clients still prefer traditional method due to cost alone. Clients in Malaysia should be informed with the potential IBS to improve quality. IBS need to be linked with quality end product which can benefit clients and end-consumers.
Linking IBS with Environment Sustainability
·         Environment sustainability and green issue are the way forward both in research and policy in IBS. The introduction of Malaysian Green Building Index (GBI) developed by Association of Consulting Engineers Malaysia (ACEM) and Pertubuhan Arkitek Malaysia (PAM) is aims promote sustainability in the built environment and raise awareness among the industry players about environment issues.
·         Building will be awarded GBI Malaysia’s rating score based on six key criteria including energy efficiency, indoor environment quality, sustainable site planning, material and resources, water efficiency and innovation.
·         GBI provides a fresh challenge for the construction industry to practice sustainable development and at the same time providing highest quality of affordable building. IBS can be a potential solution to this. IBS promoters should see this as an ample opportunity to promote a greater use of IBS.
·         Most importantly, more research should be conducted in this area to create new innovation in IBS and link IBS with sustainability issue which could possible helping the industry to successfully addressing GBI.

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