• Proceedings of the Korean Institute Of Construction Engineering and Management
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• 2007.11a
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• pp.519-522
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• 2007

China infrastructure construction market has huge potential for increased use of PPP/BOT mode and one of the most attractive markets of doing business. However, there are still a multitude of challenges for overseas EPC contractor to enter into the China PPP/BOT market both internally and externally. Especially, the construction legal system and relevant policies are considered at present the biggest barriers in accessing China construction market. Therefore, the main purpose of the paper is to identify the impact of the construction laws, regulations and BOT-related policies on the viability of foreign contractor-led BOT project in China. To the satisfaction of the purpose, this paper will first analyze China construction laws based on the key issues that must be tackled by foreign EPC contractor before they enter into China. This summary gives the possible contract scheme for a BOT project of interest in which foreign contractors could define the scope of works and measure the viability of the project. Finally, a case study of wastewater treatment plant BOT project in China subsequently illustrates some of the lessons learned from the foreign contractor's perspectives for successfully participating in future environmental market in China.

• Korean Journal of Construction Engineering and Management
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• v.4 no.4 s.16
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• pp.106-113
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• 2003

The purpose of this thesis is to provide an appropriate trade-off information for the conflicting interests caused by the various factors between building owner and contractor during selecting the contractor and performing the construction work, in which the construction was contracted by open bidding from the government or private organizations. In order to propose the legitimate evidence, the differences between the domestic contract sheet of drawing change and the process of drawing change and those of the foreign countries were compared and analysed The number of construction ordered in Youngdong area in 2001 whose construction expenses are more than 100,000,000 won is 218 items and 147,005,000,000 won in total cost Among them, the number of 218 items whose total cost amounts to 16,705,000,000 (11.36$\%$) is in case of increase of construction expenses due to the drawing changes, and the number of 48 items whose tool cost amounts to 2,009,000,000 won (1.37$\%$) is the case of decrease. In conclusions, the contractor could have more benefits than the building owner in case they submit the detailed estimate sheet without eliminating the increasing expenses of construction. It is shown that the building owner's loss is increasing whenever the labor cost is higher material cost Therefore, this thesis proposes a proper standards for the harmonious compromise between the contractor and the building owner for the problems caused by the drawing changes when the contract agreement is occurred.

• KSCE Journal of Civil and Environmental Engineering Research
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• v.28 no.5D
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• pp.695-703
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• 2008

China water market has huge potential for increased use of BOT mode and one of the most attractive markets of doing business. However, the current China water BOT market shows that many foreign companies are retreating from the market while Chinese water companies fast growing. From the view no domestic companies have track records in China BOT water market, the research identified twenty market access barriers in terms of construction laws, regulations, BOT-related policy and the recent market situation. These are evaluated based on interview results with 10 professionals direct or indirect having a China water BOT experience. All the factors are found to be highly influential to foreign company's decision on the market participation. Among those, no fixed return policy and low water price, difficulty in water price adjustment and approval, and no government guarantees, all directly related to the project viability and under the control of government, were the most critical factors, implying government's role is the key in increasing the market competition by attracting more foreign participation on the market. In addition, new construction law regulating foreign EPC contractor's construction work, namely Decree 113, and requirement of applying competitive bidding in selecting EPC contractor in a BOT project are also considered signigicant barriers on foreign participation, which contradicts international norm and therefore necessitates an adjustment on current decision process in domestic companies.

• THE INTERNATIONAL COMMERCE & LAW REVIEW
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• v.50
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• pp.215-250
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• 2011

Korean won overseas construction projects worth 71.6 billion US Dollars in 2010, which exceeded that of 2009 by 45.6%. An overseas construction project is a transaction of large scale, long term project, many parties participating, deferred payment, and of high-technology. It contributes to foreign currency earning, and also leads the nation's export restructuring work towards high value-added one. There are various kinds of risks towards the relevant parties respectively, which are key elements in successfully performing the overseas construction project. There are completion risk, financing risk, operating risk, revenue risk etc, in an employer's place. A contractor may be confronted with payment risk, issuance risk of performance bond, financing risk, performance risk of sub-contractors, and exchange rate risk. In lenders place there are repayment risk, completion risk, and political risk in the host country. In order to mitigate risks, the parties shall take relevant measures or require relevant securities. A contractor needs to evaluate the credibility of an employer in respect of payment risk, and can also request export insurance cover by the Korea Trade Insurance Corporation(the former 'Korea Export Insurance Corporation"). An employer can require a contractor to provide performance bond in respect of completion risk, and employ a well-known first class bank as a mandated arranger to arrange financing with regard to completion risk. Lenders needs to evaluate the credibility of an employer and accomplish feasibility study of the project. Lenders can request insurance cover from export credit agency. Once the parties assess the respective risks and obtain relevant securities, the project will be successfully completed. The success of the project will be sure to bring the parties involved enormous profits and another opportunity to participate in overseas construction project afterwards.

• Journal of the Korea Institute of Building Construction
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• v.3 no.3
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• pp.113-120
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• 2003

The purpose of this thesis is to provide an appropriate trade-off information for the conflicting interests caused by the various factors between building owner and contractor during selecting the contractor and performing the construction work, in which the construction was contracted by open bidding from the government or private organizations. In order to propose the legitimate evidence, the differences between the domestic contract sheet of drawing change and the process of drawing change and those of the foreign countries were compared and analysed. The number of construction ordered in Youngdong area in 2001 whose construction expenses are more than 100,000,000 won is 218 items and 147,005,000,000 won in total cost. Among them, the number of 218 items whose total cost amounts to 16,705,000,000 (11.36%) is in case of increase of construction expenses due to the drawing changes, and the number of 48 items whose total cost amounts to 2,009,000,000 won (1.37%) is the case of decrease. In conclusions, the contractor could have more benefits than the building owner in case they submit the detailed estimate sheet without eliminating the increasing expenses of construction. It is shown that the building owner's loss is increasing whenever the labor cost is higher than material cost. Therefore, this thesis proposes a proper standards for the harmonious compromise between the contractor and the building owner for the problems caused by the drawing changes when the contract agreement is occurred.

• The Journal of Economics, Marketing and Management
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• v.9 no.5
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• pp.15-25
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• 2021

Purpose: In the Korean railway infrastructure process, contractors and operators are involved at a later stage, which results in significant inefficiency. This study examines the benefits of early stakeholder involvement in Korean railway infrastructure projects and provides practical guidelines. Design, data and methodology: Literatures and foreign cases are analyzed. Building on the new product development model, we derive propositions explaining the relationship between early stakeholder involvement and the performance of Korean railway infrastructure project. Results: Major propositions include that early involvement of contractor has a positive effect on the project performance by shortening the infrastructure construction period and that early involvement of railway operator has a positive effect on the project performance by improving the effectiveness of railway infrastructure. Four requirements for the success of early stakeholder involvement are addressed. Conclusions: This study suggests that early stakeholder involvement shortens the construction period and improves railway infrastructure effectiveness. Academic contribution is to present the framework on railway infrastructure projects as holistic interactions among stakeholders. Practical contribution is to provide railway policy makers and other business practitioners with policy guidelines to improve railway infrastructure project process and to recommend an open access to relevant data.

• Proceedings of the Korean Institute of IIIuminating and Electrical Installation Engineers Conference
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• 2007.11a
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• pp.209-212
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• 2007

It is increased electrical energy consumption with the development of intelligence society in buildings and thus an energy conservation through efficient use of electricity and reliability, safety, etc became more important. This research paper intensively investigated performance based construction specifications and design criteria of electrical installations in domestic and foreign country. It is necessary to analyze the key features based on performance and general trend about contractor guarantee, warranty method, performance design criteria from the investigated data. This paper shows a reasonable performance based construction specifications and design criteria of electrical installations.

• KIEAE Journal
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• v.10 no.5
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• pp.139-150
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• 2010

Until now, the eco-friendly construction (green construction) has been focused on reducing environmental impacts in use(operation and maintenance) phase. Considering the environmental influence along the life cycle of construction project, the impact in execution phase is rather lower than that in use phase. However, that impact is thought to be greatly decreased by well-organized activities. Based on its urgency and requirement for timely action, this study aimed to discuss the greenhouse gas (GHG) reduction plan in execution phase from a broad perspective. To achieve this purpose, the green building rating systems in domestic and foreign countries have been reviewed, and the practice in Japan was investigated. In order to improve current on-site greenhouse gas management, the integration among construction phases, participants, and environmental factors, and institutional supports are required as well as the contractor's efforts.

• International conference on construction engineering and project management
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• 2011.02a
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• pp.407-412
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• 2011

Recently, the Malaysian government had been developing new technologies to the construction industry and one of them is the Industrialised Building System (IBS). The government urged that IBS is 100% utilized in all construction projects. It is believed that the application of IBS helps in reducing construction duration and cost, solving the problems of overflow of foreign workers in the site and improving performance and appearance of a structure. However, there are some parties like the contractor who feel reluctant to utilize this system because there are risks. They worry that their trades will be affected as IBS construct a structure using components which are manufactured in a factory and assemble on site. Therefore, this research is to find out whether IBS benefits the country's economy by focusing on the business created by investing in IBS. A comprehensive supply chain for IBS will be developed to compare with the traditional construction supply chain as to determine businesses or trades created and eliminated. This paper is looking at the theoretical framework about business opportunities due to the Government policy on embarking IBS.

• Journal of the Korean Society of Safety
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• v.35 no.3
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• pp.24-31
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• 2020

The duty of construction clients in WSH (Workplace Safety and Health) system was included in the amendment of Occupational Safety and Health Act (enforced on 16 January 2020), which was estimated the shift of paradigm in the prevention of construction accidents. The purpose of this paper is to introduce the analysis results of construction clients' role in the construction project, which were performed by authors over the recent years in order to impose the duty on construction clients, and to suggest their role according the plan, design, and construction stage. Utilizing the systematic literature review process based on Meta analysis, the related papers were selected. For the selected papers, related domestic and foreign regulations, and other prominent report, the construction clients' role was analyzed by reflecting the experts' advice. Results show that the construction clients should control the designer and contractor for implementing the WHS system during the whole process of the construction project. They should supply sufficient source and time to ensure the workers' safety. In the plan stage, the key role of construction clients is to identify intensively controlled hazard and risk reduction plan and to transfer the results. In the design stage, their key role is to select the designer with the capacity in WSH and to assist the designer for the safety design. The main key role of construction clients in the costruction stage is to select the contractor with specialty in WSH including a contract reflecting the WSH requirement and to check implementation of WSH plan, WSH cost, WSH education, and accident report. In addition, it is thought that the construction clients' participations in the site WSH activity and adjustment of safety and health problem among contractors can be effect in the prevention of construction accidents.