• International conference on construction engineering and project management
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• 2011.02a
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• pp.330-334
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• 2011

Build-operate-transfer (BOT) projects are privatized infrastructure undertakings that face long-term investment risks and uncertainties. To ensure these projects can be completed on time and operated according to performance specifications, governments usually require BOT concessionaires to furnish performance bonds as a security. However, in order to attract investment, governments often provide abandonment rights for concessionaires to deal with investment risks and uncertainties. In the context of real options, these abandonment rights will increase project value, but the furnish of performance bonds will reduce this value. Currently in the BOT context, there is no real option model that can handle explicitly the impact of performance bonds on project value. In this paper, a real option valuation model is derived to deal with this important issue. The Taiwan high-speed rail project is used as a case study to show the applicability of the proposed model.

• International conference on construction engineering and project management
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• 2011.02a
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• pp.162-167
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• 2011

Construction projects are full of risks. This is particularly the case in civil construction projects that are often featured with large scale, complexity and involving a large number of participating parties. The eventuation of risks typically results in extended project durations leading to an increase in the total project budget. The consequence can be amplified considering the significant impacts of civil construction projects on the society, from economical, environmental and social perspectives. This research investigates the significance of risks within civil construction projects and approaches to deal with risks. Semi-structured interviews were undertaken with local industry practitioners in South Australia on this matter. It is found that the industry is fairly aware of risks associated with civil construction projects and subsequently has procedures in place to attempt to minimize the impacts of these risks on the project outcomes. The interview results also indicate that there is limited utilization of software for the risk management purpose from the cost estimation perspective.

• International conference on construction engineering and project management
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• 2009.05a
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• pp.83-90
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• 2009

Natural disasters, such as the recent floods in the Midwest, Hurricane Ike in the Gulf coast region (U.S.), and the earthquake in Sichuan (China), cause severe damage to the infrastructure as well as the associated industries and communities that rely on the infrastructure. The estimated damages due to Hurricane Ike in 2008 were a staggering $27 billion, the third worst in U.S. history. In addition, the worst earthquake in three decades in Sichuan resulted in about 90,000 people dead or missing and $20 billion of the estimated loss. A common observation in the analyses of these natural disaster events is the inadequacy of critical infrastructure to withstand the forces of natural calamities and the lack of mitigation strategies when they occur on the part of emergency-related organizations, industries, and communities. If the emergency-related agencies could identify and fortify the vulnerable critical infrastructure in the preparedness stage, the damage and impacts can be significantly reduced. Therefore, it is important to develop a decision support system (DSS) for identifying region-specific mitigation strategies based on the inter-relationships between the infrastructure and associated industries and communities in the affected region. To establish effective mitigation strategies, relevant data were collected from the affected areas with respect to the technical, social, and economic impact levels. The data analysis facilitated identifying the major factors, such as vulnerability, criticality, and severity, for developing a DSS. Customized mitigation strategies that will help agencies prepare, respond, and recover according to the disaster response were suggested.

• International conference on construction engineering and project management
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• 2013.01a
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• pp.367-374
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• 2013

Underground infrastructure systems provide essential public services and goods through buried structures including water and sewer, gas and petroleum, power and communication pipelines. The majority of existing underground infrastructure systems was installed in green field areas prior to development of complex urban built environments. Currently, there is a global trend to escalate major demand for underground infrastructure system renewal and new installation while minimizing disruption and maintaining functions of existing superstructures. Therefore, Engineers and utility owners are rigorously seeking technologies that minimize environmental, social, and economic impact during the renewal and installation process. Trenchless technologies have proven to be socially less disruptive, more environmentally friendly, energy conservative and economically viable alternative methods. All of those benefits are adequate to enhance overall sustainability. This paper describes effective sustainable solutions using trenchless technologies. Sustainability is assessed by a comparison between conventional open cut and trenchless technology methods. Sustainability analysis is based on a broad perspective combining the three main aspects of sustainability: economic; environmental; and social. Economic includes construction cost, benefit, and social cost analysis. Environmental includes emission estimation and environmental quality impact study. Social includes various social impacts on an urban area. This paper summarizes sustainable trenchless technology solutions and presents a sustainable construction method selection process in a proposed framework to be used in urban underground infrastructure capital improvement projects.

• International conference on construction engineering and project management
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• 2005.10a
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• pp.424-428
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• 2005

As the application of NPM in waste administration branch this paper proposes a new waste management method in order to increase the efficiency of resources and reduce the quantity of waste. First the matrix method is suggested which comprehensively consider and integrate the proposals of different government departments. Moreover the inhabitant's attitude toward the new waste management measures was investigated. Based on the investigation the evaluation function was made, which include three elements: necessary budget, the effect of cost decrease and the environmental burden decrease. The optimal method of budget allocation to maximize social welfare is proposed under the condition of limited budget by the evaluation function. By applying this system further local governments will be able to determine their adequate service level and budget size.

• International conference on construction engineering and project management
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• 2005.10a
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• pp.371-376
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• 2005

Administrative works of local governments in Japan always have been led by central government. Local government organizations have gotten used to control of central government, whose organization is divided vertically into divisions. Such organizations as lack of cooperation of each administrative division could not define strategic goal appropriate for their district independently and could not give an efficient and optimized solution to their strategic goal. Under existing management system, it will be difficult for local governments to rapidly adapt to changing society. Under these circumstances, it is necessary for local governments to structure new management system independent on central government's instructions in order to manage appropriately.

• International conference on construction engineering and project management
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• 2022.06a
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• pp.1100-1105
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• 2022

Denoising, registering, and detecting changes of 3D digital map are generally conducted by skilled technicians, which leads to inefficiency and the intervention of individual judgment. The manual post-processing for analyzing 3D point cloud data of construction sites requires a long time and sufficient resources. This study develops automation technology for analyzing 3D point cloud data for construction sites. Scanned data are automatically denoised, and the denoised data are stored in a specific storage. The stored data set is automatically registrated when the data set to be registrated is prepared. In addition, regions with non-homogeneous densities will be converted into homogeneous data. The change detection function is developed to automatically analyze the degree of terrain change occurred between time series data.

• International conference on construction engineering and project management
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• 2009.05a
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• pp.800-807
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• 2009

The limited public funds available for infrastructure projects have led governments to consider private entities' participation in long-term contracts for finance, construction, and operation of these projects to share risks and rewards between the public and the private. Because these projects have complicated risk evolutions, diverse contractual forms for each project member to hedge risks involved in a project are necessary. In light of this, Build-Operate-Transfer(BOT) model is considered as effective to accomplish Public Private Partnerships(PPPs) with a characteristic of an ownership-reversion. In BOT projects, the government has used such an incentive system as minimum revenue guarantee(MRG) agreement to attract the private's participation. Although this agreement turns out critical in success of BOT project, there still exist problematic issues in a financial feasibility analysis since the traditional capital budgeting theory, Net Present Value(NPV) analysis, has failed to evaluate the contingent characteristic of MRG agreement. The purpose of this research is to develop real option model based on option pricing theory so as to provide a theoretical framework in valuing MRG agreement in BOT projects. To understand the applicability of the model, the model is applied to the example of the BOT toll road project and the results are compared with that by NPV analysis. Finally, we found that the impact of the MRG agreement is significant on the project value. Hence, the real option model can help the government establish better BOT policies and the developer make appropriate bidding strategies.

• International conference on construction engineering and project management
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• 2017.10a
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• pp.291-296
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• 2017

Infrastructure development as national project suffers from social conflict which is one of main risk to be managed. Social conflicts have a negative impact on not only the social integration but also the national economy as they require enormous social costs to be solved. Against this backdrop, this study analyzes social conflict using articles published by online news media based on web-crawling and natural language processing (NLP) techniques. As an illustrative case, the Jeju Naval Base (JNB) project which is one of representative conflict case in South Korea is analyzed. Total of 21,788 articles and representative keywords are identified annually. Additionally, comparative analysis is conducted between the extracted keywords and actual events occurred during the project. The authors explain actual events in the JNB project based on the extracted words by the year. This study contributes to analyze social conflict and to extract meaningful information from unstructured data.

• Proceedings of the Korean Institute Of Construction Engineering and Management
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• autumn
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• pp.96-101
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• 2001

Incheon International Airport Construction Project the biggest national multi-complex construction project in a single area in Korea, the necessity for introducing the Program Management System has been brought up from the development stage due to its specific characteristics and environment and with the Project Management Services Contract in December 1994 the system has been established and operated. At the time of contracting, there were controversies over the expected effect of the system since there were no related laws and regulations in domestic construction codes. Furthermore the situation was very hard in which some practical problems have been found in the process of applying and operating the system due to the lack of recognition and infrastructure in Korea. Incheon. In spite of these difficulties, thanks to the devotion and efforts of the project participants along with thoughtful concerns from the industries and the academies, the project goal has been successfully accomplished. This paper will analyze the various problems arose in the process of applying the Project Management System to Incheon International Airport and present more practical and desirable ways so that it can help to make the environment for properly settling Construction Management at the earliest.