This document provides an overview of construction procurement processes at Universiti Tun Hussein Onn Malaysia. It discusses the key stages in the procurement process including: 1) Pre-construction stages such as project initiation, feasibility studies, design, and tendering. 2) Construction stages including the construction and commissioning/handover phases. 3) Important elements of a project brief which outlines the client's requirements and a feasibility study which develops preliminary designs and cost estimates to determine if a project is viable. The procurement process aims to satisfy client needs through acquiring construction projects using various procurement methods and contract types while considering factors like costs, schedules, and quality.

1. Universiti Tun Hussein Onn Malaysia (UTHM)
Department of Construction Management
INTRODUCTION TO CONSTRUCTION
PROCUREMENT PROCESS
Date : 20 September 2012
Dr. Md Asrul Nasid Masrom

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4. CONTENT
1. Construction Procurement
2. Framework of Construction Procurement Process

5. CONSTRUCTION PROCUREMENT
SIMPLE THEORY:
Procurement- the process of obtaining goods and services
from another for some consideration
For this lecture, the term ‘Procurement’ is used in the
context of construction & refers to the processes of
acquiring construction project.

6. CONSTRUCTION PROCUREMENT
Procurement Triangle:
Time Time
Cost Cost Time
Cost
Quality
Quality Quality

7. CONSTRUCTION PROCUREMENT
Definition:
A strategy to satisfy client’s development and/or operational needs
with respect to the provision of constructed facilities for a discrete
life cycle.
-making the contract (type of contract, conditions, terms)
-selecting the contractor
-establishing the contract price
-economic considerations (Labour, materials, plants, capital)

8. Type of procurement
systems
 Separated system
 Co-operative system
 Integrated procurement system
 Management-oriented
procurement system

9. Framework of Construction Procurement Process
Can be divided into 2 categories:
1. Processes during pre-construction stage (pre-contract)
2. Processes during construction stage (post contract)

10. Framework of Construction Procurement Process
Pre-construction:
4 phases as follows;
1. Initiation
2. Feasibility study
3. Design
4. Tendering

11. Framework of Construction Procurement Process
Construction Stage:
2 phases as follows;
1. Construction
2. Commissioning & hand over

12. Initiation
1. It is known as promotion.
2. It is the process of recognizing the need for a facility for owner
occupation, as an investment or as a speculative
development.
3. Come from owner (individual, government, private sector or
developer.
4. Involve 2 key element:
- Preparing project brief
- Preparing the feasibility study

13. Initiation
5. Both elements are crucial (the future of project in terms of its
potential to succeed or otherwise are depends on it).

14. Initiation
2. Feasibility Study
INITIATION
1. Project Brief

15. Project Brief
Definition:
A statement of the needs of the client & how the proposed facility
will be used.
It should define the client’s requirement (concept of project,
time, cost & functionality)

16. Project Brief
1. Preparing it is a very tedious & time consuming activity.
- Requires great expertise & knowledge of project by the
personal who prepares them.
2. Poorly prepared it:
- Can be subjected to a lot of interpretation & understanding
which could make the whole exercise useless & certainly
not the best interest of the client.

17. Elements of Project Brief
The requirement of the project (area of space, type & no. of
units of quarters / classrooms, no. of hospital beds etc.)
Target date of completion
Design feature
Amount of money allocated for the project
Employer attitude
Environment
Operational factors
Site
Market
Development control

18. Attributes of A Good Project Brief
A good project brief is the one which adequate in terms of:
1. Clarity
- Its purpose should be clear, accurate & capable of detailed
development so that due consideration can be given to
each aspect of the construction project.
2. Priorities
- It should establish the project priorities & define those
particular items / requirements that are necessities & those
that are optional wishes.

19. Attributes of A Good Project Brief
3. Consistency
- It should be consistent throughout & devoid of conflicting
statements & frustrate the determination of construction
project & cost.
4. Completeness
- It should be completed enabling production of a building that
satisfies the client needs.

20. Attributes of A Good Project Brief
5. Relevance
- It should contain the relevant information & decisions
essential to the successful realization of the client’s
development objective.
6. Benefits of development
- It should establish the benefits that the client hopes to obtain
from the proposed project & the means of achieving them.

21. Attributes of A Good Project Brief
7. Realism
- It should be realistic & hence shaped to a greater / lesser
extent by resources available & the quality to be achieved.
8. Flexibility
- It should be broad & lend itself to exploration of design
problems, options & uncertainties.

22. The Brief Functions
Once it has been developed, agreed & formalized as a document,
it can serve as various functions as :
1. A channel of communications
- Conveying instruction, decisions & information between a
client, & his / her project team.
2. A key working document setting out the client’s
requirement;
- In term of net use floor areas (specific details of the various
space functions their relationships and details of the
involvement of other parties .

23. The Brief Functions
3. A mean of stimulating communication & discussions
among project participant by facilitating the setting of
priorities, analysis, problem identification & information
flow.
4. Provides a collective thinking through of the project.

24. The Brief Functions
5. A record of decisions, instruction, information,
agreement, amendment, conflict & uncertainties.
- It can be used to ensure continuity & consistency during
construction process / as a reference document.
6. A contractual document accompanying a legal agreement
between the client & the design team.

25. The Brief Functions
7. A tool for evaluation of proposed construction project
aims & resources against which design contents &
framework can be appraised.
8. A basic for estimating resources required giving
information of general comfort standards, cost, timescale
for design / production of construction product &
estimated useful life.

26. The feasibility study
Developing the design and preliminary cost estimate will lead
to a feasibility report, advising the employer whether the
project is feasible functionally, technically and financially.
- Sketch scheme
-Cost estimate

27. The feasibility study
Sketches of house

28. The feasibility study
Cost estimate

29. Universiti Tun Hussein Onn Malaysia (UTHM)
Department of Construction Management
Next Lecture:
Other phases in pre-construction & construction.

30. Universiti Tun Hussein Onn Malaysia (UTHM)
Department of Construction Management