Improve productivity to stay ahead, construction sector told

The Star 10/10/2001 By Hong Boon How

THE local construction industry must quickly overcome its present weaknesses in productivity, quality and safety to remain competitive in an increasingly borderless world, according to Construction Industry Development Board (CIDB) chief executive Datuk Abdul Rahman Abdullah.

He said the construction sector had the lowest productivity level compared with other sectors in the economy.

Some quarters of the local construction industry appear to be still comfortable using labour-intensive, inferior products and low technology methods of construction, he added.

According to Rahman, the present high supply of cheap unskilled la- bour, especially foreign labour, and old and obsolete technologies have contributed to the low level of productivity in the industry.

''Even in this high technology era, the industry is still persevering with low-tech equipment and plant, ineffective management tools and old processes,'' Rahman said during the opening of a seminar on the Future Trends in Construction and Manufacturing towards a Borderless World by Deputy Works Minister Mohamed Khaled Nordin in Kuala Lumpur yesterday.

At the seminar, Khaled also launched the newly-formed Institute of Value Management Malaysia (IVMM).

The seminar was jointly organised by CIDB and IVMM, and supported by Sirim Bhd, the Public Works Department and Universiti Mara Malaysia.

Rahman said that besides carrying out research and development activities, the construction industry should look into attracting and re- taining skilled workforce.

''No longer can the construction industry simply expect workers to show up and stay throughout a project,'' he said.

According to Rahman, action must be taken to attract skilled workers and retain them as well.

Khaled said the construction in- dustry played an important role in the nation’s development as it supported other economic activities such as the industrial, commercial, educational, health and defence sectors by providing infrastructure and facilities.

''Having contributed an average of less than 5% towards the country’s gross domestic product, it is still behind the suggested minimum of 5.4%,'' Khaled said.

He also said foreign companies secured 59 construction contracts worth RM2.9bil last year.