• International conference on construction engineering and project management
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• 2005.10a
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• pp.1171-1176
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• 2005

Dispute related to construction projects involving numerous persons is one of the biggest challenges faced by contractors today. It costs a substantial amount of money and time in resolving these kinds of claims. Recently, with the changes in the construction environment and thought of relation with owner, the number of construction claims has increased. But, a majority of these claims do not prevail, and in fact, frequently get dismissed in its entirety. The reasons for such dismissals include the ignorance about the claims, lack of clear and convincing evidence, and so on. But most of reasons are the claims are not managed well on construction process. This paper analyzes the failure causes by relying on past claim failure cases, and then drew works that have connection with failure causes through interview. It also presented importance degree of construction management works.

• IE interfaces
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• v.23 no.2
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• pp.176-181
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• 2010

Warranty claim data analysis is a useful tool for the manufacturer because it contains many useful informations regarding reliability of the product in the real-world environments. Because of the nature of uncertainty and the incompleteness of data, some bias patterns are observed on warranty claim rate known as 'spikes'. Two types of spikes are considered. One is due to manufacturing-related failures. The other is caused by customer's behavior. This paper proposes a model by considering two types of spikes. Warranty claim data is analyzed with the proposed model. To represent spikes observed on the early warranty period, we classify failures into manufacturing-related failures and usage-related failures. Uniform distribution is assumed for the time delayed to diagnose and report by customers. By reducing maximum value of the delayed time by customers, the proposed model characterizes customer's rush in the vicinity of the warranty expiration limit. Experimental results by using the real warranty claim data show that the proposed model is better than the existing one in respect to MSE(Mean Squared Error). Moreover it is expected to estimate the failure rate more realistically with proposed model because it considers the delayed time to diagnose and report by customers.

• International conference on construction engineering and project management
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• 2007.03a
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• pp.160-168
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• 2007

Conflicts of interest and independent agenda of the parties brought together for implementation of a construction project often leads to dispute in Contract and claim situations. Construction Industry is notorious for claim that is managed on its arising and there lacks an endeavor to minimize the breeding grounds through efficient planning and alignment to purpose, of all contract-documents. There failure of a concerted effort entails wastage of resources, delayed completion of facilities and stained relationships of parties when collide in mistrust in contract to win over the other. There needs a focus on the claim breeding issue and establish an effective mechanism to deal with disputes in urgency. Claim occurs mostly during the construction phase. But the seeds of claim and nutrients essential for development are contained in the contract documentation and the information supplied or not in pre-contract phase. Opportunity to prevent nutrients for seed of Claim comes to an end once tender-documents are finalized, the contract is awarded and established or not a mechanism for dealing with claim situation. The processes presented here would help in minimizing the breeding grounds and emergence of disputes during progression of works and dealing with eventualities in forceful manners for finding a resolution most effectively in relevant time.

• Proceedings of the Korean Institute Of Construction Engineering and Management
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• 2007.11a
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• pp.463-468
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• 2007

The disputes in construction projects are very important issue for stakeholders. However, many of presented claims have not received the compensation money required, and frequently turned down. The most cause is that the claims are not managed systemically on construction. Therefore, it is important to identify which management works are conducted on construction and how significantly do they relevant to construction claim. This research derives key claim management factors through analyzing causes for claim success and failure, and then presents management works relevant to them. This research also proposes the method for effective claim management and its expected effect through expert interview.

• Journal of Arbitration Studies
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• v.12 no.1
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• pp.207-239
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• 2002

The redemption system for consumer's claim is intended to deal with the conflicts between consumers and firms in their transaction of goods and service ensuring consumer's basic right. In general, the redemption system for consumer's claim requires promptness of redemption, free charge of claim procedure for consumers and constructive response of firms. However, the current redemption system in Korea has some limitations in its authority in the sense that it has only the right for mediation of consultation and agreement and thus the involved consumer should forfeit his/her claim or should go to legal suit which requires high cost and time when the mediation work is failed between two parties. As it is shown in result of survey on empirical cases produced by the Consumer Dispute Mediation Committee in Consumer Protection Board of Korea in 2001, the 20.3％ of total claims have failed to reach final mediation, while the BBB case in the U. S. has recorded 19％ of arbitration success after its failure in mediation. Therefore, it is strongly recommended for Korea to augment current. arbitration system toward assuring firm's cost liability, the principle of quick procedure through agreement on arbitration upon consumer's request. It is thus prerequisite for firms to be armed with the concrete entrepreneurship of responsibility on cost liability. In conclusion, we suggest restructuring of currently existing institution, rather than establishing new one through substantial augmenting the role of Consumer Dispute Mediation Committee In Consumer Protection Board of Korea and enlarging its business criteria of The Korean Commercial Arbitration Board by progressive development of the consumer protection program through amendment of current law for consumer protection.

• Journal of the Korean housing association
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• v.24 no.6
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• pp.151-161
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• 2013

This research is an effort to clarify the causes associated with the 'failure' of public housing projects built in the 20th century. Two of the most brutal symbol of failure were selected: the Pruitt-Igoe built in St. Louis, U.S.A. and the Bijlmermeer in the south of Amsterdam, Netherlands. Many critics have attributed the problems of the selected housing projects to architectural failure, and proposed a series of new approaches to architectural design. The claim that many housing projects 'failed' because they were based on an agenda for social reform, derived from the ideas of the CIAM, presupposes that architects were in the position of authority over providing housing for the poor. This research tries to overturn the belief of architectural community which has placed the responsibility for the failure of public housing on designers. The sense of isolation and powerlessness felt by the residents, and the social problems attendant on those feelings, may be reinforced by design but is not caused by Modern Architecture. It should be stressed that the political-economic and social context is more significant than the architectural design for the failure of public housing projects such as the Pruitt-Igoe and the Bijlmermeer.

• International conference on construction engineering and project management
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• 2011.02a
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• pp.526-533
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• 2011

Contracting is said to be a high-risk business, and a common cause of business failure is related to cash management. A contractor's financial viability depends heavily on how actual payments from an owner deviate from those defined in the contract. The paper presents a method for contractors to evaluate the punctuality and fullness of owner payments based on historical behaviour. It does this by classifying owners according to their late and incomplete payment practices. A payment profile of an owner, in the form of aging claims submitted by the contractor, is used as a basis for the method's development. Regression trees are constructed based on three predictor variables, namely, the average time to payment following a claim, the total amount ending up being paid within a certain period and the level of variability in claim response times. The Tree package in the publicly available R program is used for building the trees. The analysis is particularly useful for contractors at the pre-tendering stage, when contractors predict the likely payment scenario in an upcoming project. Based on the method, the contractor can decide whether to tender or not tender, or adjust its financial preparations accordingly. The paper is a contribution in risk management applied to claim and dispute resolution practice. It is argued that by contractors having a better understanding of owner payment behaviour, fewer disputes and contractor business failures will occur.

• International Journal of Reliability and Applications
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• v.4 no.2
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• pp.79-95
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• 2003

Manufacturers collect and analyze field reliability data to enhance the quality and reliability of their products and to improve customer satisfaction. To reduce the data collecting and maintenance costs, the amount of data maintained for evaluating product quality and reliability should be minimized. With this in mind, some industrial companies assemble warranty databases by gathering data from different sources for a particular time period. This “marginal count failure data” does not provide (i) the number of failures by when the product entered service, (ii) the number of failures by product age, or (iii) information about the effects of the operating season or environment. This article describes a method for estimating age-based claim rates from marginal count failure data. It uses covariates to identify variations in claims relative to variables such as manufacturing characteristics, time of manufacture, operating season or environment. A Poisson model is presented, and the method is illustrated using warranty claims data for two electrical products.

• Journal of Korean Society for Quality Management
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• v.42 no.1
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• pp.1-14
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• 2014

Purpose: In this paper, the minimal repair-replacement warranty policy is used to carry out a warranty cost analysis with warranty servicing times and failure times that are statistically correlated to bivariate distributions. Methods: Based on the developed approach by Park and Pham (2012a), we investigate the property of the Freund's bivariate exponential distribution and obtain the number of warranty services using the field data to conduct the warranty cost analysis. Results: Maximum likelihood estimates are presented to estimate the parameters and the warranty model is investigated using a Freund's bivariate exponential distribution. A numerical example is discussed to deal with the applicability of the developed approach in the paper. Conclusion: A novel approach of analyzing the warranty cost is proposed for a product in which failure times and warranty servicing times are used simultaneously to investigate the eligibility of a warranty claim.

• Korean Journal of Construction Engineering and Management
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• v.18 no.4
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• pp.48-56
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• 2017

Construction Projects have many participants by characteristic, scale and contract. Those also have complicated communication structure. So, claim and dispute occur continuously for conflicting communication. In many claim and dispute cases, it usually occurs between builder and owner. Unfair practices by owners position cause main claim and dispute. This study analyses judgment type, cause and compensation ratio in korean commercial arbitration case and provides the dispute information for builder that has weak position by contract. It draws analysis information for managing and controlling dispute that order type, judgement type, cause and failure case. Using these analysis information, it hopes to help inducement of dispute agreement and save time and economic damage for builder during construction. It also hopes to rise construction completeness by providing dispute management information.