Browse > Article
http://dx.doi.org/10.6106/KJCEM.2018.19.2.003

Empirical Study for the Appraisal System of Execution Capacity using Correlation Analysis  

Jeong, Keun Chae (School of Civil Engineering, Chungbuk National University)
Publication Information
Korean Journal of Construction Engineering and Management / v.19, no.2, 2018 , pp. 3-14 More about this Journal
Abstract
The system to appraise the execution capabilities of construction companies had been began as the Construction Contract Restriction System in 1958, was changed as the Construction Subcontract Restriction System in 1961, and finally has been operated as the Appraisal and Public Announcement of Execution Capacity (APAEC) from 1996. The APAEC system has been utilized as a firm and unique tool for assessing the execution capacities of construction companies despite many problems and continuous system changes. In spite of numerous studies to improve the APAEC system, however, efforts to analyze the system from the empirical point of view were insufficient. In this study, we analyze the status of APAEC system through analyzing correlations among assessment results of the APAEC, earned values of construction works, construction management performance indexes, and macroeconomic indexes for the past 10 years from 2007 to 2016. As a result of the analysis, it was found that Appraisal Value of Execution Capacity (AVEC) is excessively inflated in engineering and landscaping areas compared to Earned Value of Construction Work (EVCW) and the correlations between the AVECs and EVECs are not high in the areas of engineering, industrial equipment, and landscaping. In addition, technical appraisal values are excessively inflated in engineering and landscaping areas and correlations between AVEC and its components are high in the areas of engineering & building, industrial equipment, and large companies, but low in the areas of engineering, building, landscaping, and small and medium companies. Finally, the concentration of the AVEC is intensifying more and more and the concentration deteriorates construction management performance indexes and macroeconomic indexes. If we continuously improve the APAEC system based on the implications derived in this study, the APAEC system will be able to maintain it's position of a firm and unique means to access the execution capacities of construction companies.
Keywords
Appraisal; Public Announcement; Execution Capacity; Earned Value; Correlation;
Citations & Related Records
연도 인용수 순위
  • Reference
1 Jeong, K. (2017). "Correlation Analysis between Appraisal Values of Execution Capacity and Earned Values of Construction Work" Journal of the Institute of Construction Technology, 36(2), pp. 1-6.
2 Kim, S. (2006). "Key Issues and Improvements for Appraisal and Public Announcement of Execution Capacity." Construction Economy, 47, pp. 28-35.
3 Kim, S. (2007). Fundamentals of Statistics, Hakjisa.
4 Kim, S. (2013). "A Study on the Improvement of Evaluation System of the Contractor's Construction Capacity through the Questionary Analysis and the In-Depth Interview with Experts Group : Focused on the General Construction Company" The Korea spatial planning review, 77, pp. 261-276.   DOI
5 Lee, B. and Lee, E. (2008). "A Study on the Improvement of Appraisal and Public Announcement of Execution Capacity - Focused on Specialty Construction Industry." Korea Research Institute of Construction Policy.
6 Lee, S. and Bae, Y. (2012). "A Study of the Improvements of Execution Capacity Appraisal System." Korea Research Institute For Human Settlements.
7 Ministry of Land, Infrastructure and Transport (2011). "Policy Document: Appraisal system for Execution Capacity." https://www.molit.go.kr/USR/policyData/m_34681/dtl?id=175.
8 Noh, J., Jun, Y., Park, E., and Lee, T. (2008). "A Basis Study on the Integrated System for the Evaluation and Public Announcing System of the Contractor's Construction Capacity." Proceedings of KICEM Annual Conference 2008, KICEM, pp. 568-571.
9 Song, H. and Kim, D. (2015). Understanding Statistics, Cheongmoongak.
10 Kim, S. (2012). Key Issues and Improvements for Appraisal and Public Announcement of Execution Capacity, Audit and Inspection Research Institute.
11 Construction Association of Korea (2007-2016a). "Appraisal and Public Announcement of Execution Capacity." Ministry of Land, Infrastructure and Transport.
12 Construction Association of Korea (2007-2016b). "White Paper for Private Construction." Construction Association of Korea.
13 Construction Association of Korea (2007-2016c). "Principal Construction Statistics." Construction Association of Korea.
14 Construction Association of Korea (2016). "Practical Presentation for Appraisal and Public Announcement of Execution Capacity 2017." Construction Association of Korea.
15 Do, T. (2004). "Reasonable Approach for Appraisal and Public Announcement of Execution Capacity." Construction Economy, 41, pp. 79-85.
16 Evans, J. St. BT, and Over, DE (1996). "Rationality and reasoning, London." United Kingdom: Psychology Press.
17 Framework Act of on the Construction Industry (1996). Amendment 2016. 2. 3., Act Number 14015.