• Korean Journal of Construction Engineering and Management
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• v.15 no.3
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• pp.47-57
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• 2014

LNG plant projects tend to be implemented in overseas owing to its characteristics, so their project management scheme is somewhat different from those of general projects. Value chain in a LNG plant project includes exploration/production of gases, physical liquefaction/chemical conversion processes, transportation and storage. Key factors in the chain include liquefaction process (including ultra-low temperature liquefaction) to convert natural gas into liquid materials or fuel, and Front End Engineering Design (FEED) package, as well as Engineering, Procurement and Construction (EPC) technology comprising control, operation and construction. Success of a complex LNG plant project implemented in overseas depends on decision-making process in project management. Accordingly, to develop a decision-making model in of plant construction, the study extracted none factors in project management by EPC stage and assessed importance of each factor. The result showed that items in both project management and project risk management are important. Especially, the study developed a decision-making model in the construction stage of a LNG plant project based on the project management factors and importance assessment. The developed decision-making model would lay groundwork in building a decision-making system in construction stage of project management.

• Korean Journal of Construction Engineering and Management
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• v.14 no.3
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• pp.167-175
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• 2013

In 2005, the government introduced BTL(Build-Transfer-Lease) projects as one of the methods of private investment in infrastructure. In a BTL project, a private company builds a public facility and leases it to the government to withdraw its invested capital. But there appear several problems with it due to a short period of preparation and lack of experiences. Specifically, private companies that plan to participate in this project have to take a risk since serious problems are likely to take place because of unrealistic estimation of construction costs, etc., and they finally avoid participating in this project. A case study was made over advanced countries, Japan and the United Kingdom, to find out how to resolve the problems, and rational 7 improvement method were presented from a perspective of Special Purpose Company (SPC), which could be accepted by both of SPC and government agencies. The findings of the study are expected to provide workable solutions to BTL projects from a standpoint of private companies to facilitate the rational improvement of BTL projects, and this study is ultimately expected to stimulate the active participation of SPC to make a contribution to the vitalization of domestic BTL projects.

• Korean Journal of Construction Engineering and Management
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• v.22 no.3
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• pp.79-90
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• 2021

In domestic public construction, disputes are increasing due to differences among stakeholders regarding contract price adjustment. In particular, the actual cost-plus fee for overhead costs due to the schedule extension cannot be agreed upon at the administrative phase, and most of them seek judicial judgment. Thus, this study aims to propose a 'sufficiently satisfactory' alternative to reach an agreement before disputes in order to minimize disputes related to the calculation of additional overhead costs. To this end, this study proposes three alternatives based on the rate method. Firstly, when calculating additional overhead costs, it is not calculated as an actual cost-plus-fee method, but as a rate compared to direct labor costs among net direct costs. Secondly, the calculated indirect labor costs are compensated for up to the legal maximum of legal limit costs such as general management costs, profits and so on. Thirdly, it reflects overhead costs increased or decreased due to change orders. Risks were analyzed by collecting expert opinions on the proposed methods and applying actual cases. Finally, as a result of investigating the level of consensus for each stakeholder, it was confirmed that all stakeholders could agree regardless of the size of the company. The result of this study is expected to as a useful tool among stakeholders in the construction fields that can be able to easily agreed upon.

• KSCE Journal of Civil and Environmental Engineering Research
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• v.37 no.2
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• pp.427-435
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• 2017

Korea's overseas construction awards reached US $750 bn for more than 50 years since it first entered the market in 1966. In particular, the company won US $540 bn over 10 years from 2007, achieving 72% of the total contracts. However, in recent two years, awarded amounts have decreased by 40% each year. The most significant decline is due to the impact of international oil prices, which have plummeted since end of 2014, as oil-producing nations, which are Korea's major target countries, are struggling to cancel or postpone infrastructure orders. In order to lessen the impact of raw material price fluctuations, the recent trend is that even countries with relatively loose government financing conditions are rapidly changing their ordering methods to investment development forms such as PPP. The Korean government and companies have been already preparing for this for several years, but they are still not doing so well. The main reason is the lack of understanding about the investment development type project, especially financing methods and the aggravated fear of exposing it to various risks due to the characteristics of the development project, which takes a long time to collect the investment. In this paper, I propose a more systematic solution to financial process and risk management, which is recognized as a obstructive factor for Korean companies, in line with the recent government-led establishment of overseas infrastructure development support organizations. I would like to serve as a investment guide.

• Journal of the Korea Academia-Industrial cooperation Society
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• v.17 no.10
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• pp.635-646
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• 2016

This paper proposes a housing business model, where the presale and Chonsei housing are supplied under a presale system at the same time based on the characteristic correlation between the housing presale market and Chonsei market in Korea. Markowitz portfolio theory was used to review the risk diversification effects from the changes in the ratio between the presale housing supply and the Chonsei housing supply. The housing sale price indicator was used as a proxy variable to determine the presale housing supply. The housing Chonsei price indicator was used as a proxy variable to determine the Chonsei housing supply. The proposed housing business model was applied to major areas in Korea to examine the risk diversification effect. Comparisons of the regional portfolio analyses showed that the flexibility of the proposed housing business model can be quite effective because each regional housing market exhibits different characteristics. Market participants, such as developers, construction companies, consumers, and government, can expect various effects through the proposed housing business model. Nevertheless, policy support is necessary for practical applications of the proposed housing business model. In particular, public funds from the government need to be introduced.

• KSCE Journal of Civil and Environmental Engineering Research
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• v.35 no.2
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• pp.471-480
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• 2015

The market of public-private partnership (PPP) projects has reduced from 9.4 trillion won in 2007 to 4.5 trillion won in 2012. However, the need of PPP projects is brought up by a massive down scale of government financial business. Previous studies regarding PPP projects mostly evaluate profitability from the financial perspective or analyze risk factors as a whole. Although PPP projects generally have complex structure involving diverse stakeholders, such as contractor, financial investor, and special purpose company (SPC) operators, existing studies have rarely considered the different viewpoints of PPP project stakeholders. Therefore, purpose of this study is to develop a structural equation model (SEM) considering the diverse stakeholders of PPP projects. To this end, the authors first reviewed the organizational structure of PPP projects. Next, the identification of the factors affecting project profitability are done via comprehensive literature reviews. After that, we conducted in-depth interviews and questionnaire surveys to reflect stakeholders' perspectives (contractors, financial investors, and SPC operators). As a result, a SEM model is developed to analyze direct and indirect effect on the PPP project performances. Finally, using the analysis results, relevant implications and directions for improvements are discussed. The prediction of the business performance of contractor, financial investor, and SPC operator is expect to be possible through the model developed and supports the strategy deduction that is appropriate for the participants.

• Journal of the Korea Academia-Industrial cooperation Society
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• v.17 no.4
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• pp.480-488
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• 2016

As the subprime mortgage crisis spread globally, it depressed not only the financial market, but also the construction business in Korea. In fact, according to CERIK, the BSI of the construction businesses plunged from 80 points in December 2006 to 14.6 points in November 2008, and the extent of the depression in the housing sector was particularly serious. In this respect, this paper analyzes the influence of the financial market fluctuation on the housing market before and after the Global Financial Crisis using VECM. The periods from January 2000 to December 2007 and January 2008 to October 2015, before and after the financial crisis, were set as Models 1 and 2, respectively. The results are as follows. First, when the economy is good, the Gangnam housing market is an attractive one for investment. However, when it is depressed, the Gangnam housing market changes in response to the macroeconomic fluctuations. Second, the Gangbuk and Gangnam housing markets showed different responses to fluctuations in the financial market. Third, when the economy is bad, the effect of low interest rates is limited, due to the housing market risk.

• Korean Journal of Construction Engineering and Management
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• v.15 no.3
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• pp.38-46
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• 2014

The Global's top five Design Firms selected from BauNetz a German architectural magazine in 2007 designed free form building design which was 25% of the overall design by 2006-2010. Free form building is a landmark of the city and the country so its social and economic impacts are very large. In case of Korea, free form buildings such as Tribowl in Incheon, KINTEX Exhibition hall 2 and Dongdaemun Design Plaza have increased. However, those the increase in design trends and, the needs due to the lack of free form building design and construction management experience, free form building projects can't be expected to profitability and have a number of problems after completion. Especially, there are many excessive quality problems and the rising cost due to design changes frequently and lack of experience and data. Thus an initial plan regardless of considering of free form building's characteristics can be a huge risk because of the difference with the plan and actual projects, yet there aren't free form building project's performance data and case studies related to productivity. In this study, through selection of low-construction productivity works and an analysis of the work process and productivity data, hope to propose an actual field productivity of free form building and the ways to improve productivity.

• Korean Journal of Construction Engineering and Management
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• v.24 no.2
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• pp.98-110
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• 2023

The smart city public and private partnership project is a project to build and operate a sustainable city by investing land and capital in public-private partnership to build urban infrastructure and providing various urban services. It highly depends on the precise feasibility study and the projection of the various factors affecting the project during the planning stage to get the project successful. However, it is very difficult to predict the possibility of the project success in advance due to various physical and social factors. It is necessary to derive factors affecting the project at the planning stage and respond with appropriate analysis in order to solve these problems and to carry out a successful project. Therefore, this study derived preliminary components for feasibility study through previous studies and order status analysis and presented feasibility study components such as five-step processes, 10 process items, 19 analysis items, and 54 detailed analysis items through the Delphi method. It can be expected that this research is to contribute corresponding to diversified possible risks and facilitate the projects during the promotion.

• Proceedings of the Korea Contents Association Conference
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• 2006.11a
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• pp.372-376
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• 2006

현재 심각한 재해에 대한 임박성은 일부 관계자 이외는 감지하지 못하고 있는 것이 현실이다. 재해와 같은 위기에 관한 지식이나 이에 대처하기 위한 기술은 어린 시절부터 습득해 두어야 할 기초적 지식 및 능력이라고 생각한다. 그럼에도 불구하고 대지진 발생이 임박하고 있음을 타인의 일처럼 생각하고 있다는 점은 재해와 같은 위기를 자신의 일처럼 생각하고 어떻게 대처해야 할 것인가에 대해 스스로 생각할 수 있는 기회가 충분하지 않다는 것에서 유래한다. 즉 체계적 실천적인 방재 위기관리교육이 충분하게 실시되지 않고 있다는 점을 지적할 수 있을 것이다. 특히 지역주민의 생명 신체 재산을 보호해야 하는 지방자치단체의 소방담당직원의 실천적 대응능력은 말할 것도 없고 수장(首長)의 리스크 관리능력에 대해 의구심을 가지고 있다. 또한 지역 자체의 방재력 강화라는 관점에서는 자주방재조직 등의 지역방재리더나 지역주민 개개인의 방재능력을 향상시켜야 할 필요성이 강조되고 있다. 최근에 건설된 신관저를 계기로 변화된 방재 위기관리 시스템에 관한 정책적 동향을 살펴본다. 아울러 방재 위기관리에 대한 인재양성을 위한 교육의 일환으로 구축된 e-Learning System인 e-College의 구성 및 관련 내용을 살펴봄으로써 정책적 시사점을 도출하고자 한다. 지방자치단체의 방재 위기관리에 있어서 수장 등 간부직원의 의식과 자세가 지역의 방재력을 크게 좌우하는 것으로 볼 수 있다. 방재담당직원 소방직단원에 대한 교육과제를 들 수 있겠다. 고도로 도시화된 사회가 재해에 대한 취약성이 높아지고 있다. 지역의 방재리더, 재해자원봉사, 주민에 대한 교육과제로 도도부현, 시정촌, 대학에서 방재 위기관리 교육이 실시되고 있지만, 1999년 총리부(總理府)에서 여론조사를 보면 자주방재활동에 참가한 경험이 없는 사람이 전체 70%를 차지하고 있다. 기업에 대한 교육과제로 재해발생시에 사원이나 고객의 안전 확보, 사업의 피해경감 조기복구에 의한 경제에 대한 영향을 경감하기 위한 준비를 충실히 해야 한다.