• Journal of the military operations research society of Korea
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• v.37 no.1
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• pp.49-70
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• 2011

This paper re-evaluated the research on the accounting information's effectiveness in military construction contracts, questioning the former research results on the central army's construction contract that was under the Qualification Assessment System, especially concerning the relations between the accounting information and the bidding ratios as well as the relations between the bidding rates and the defect rates, which targeted between 1 to 10 billions civil engineering, construction, electricity, telecommunication, and environment work types. Unlike the previous results, the relationship between the accounting information and the bidding rates was shown to be considerably limited that the bidding ratio could not be identified through the accounting information, while it could discern the relations with the defect rates. Furthermore, the proven results did not support the hypothesis that the differences in bidding rates could affect the defect ratio. However, through the prediction model of bidding and defect ratios, we could identity the accounting variables that influenced the ratios. Additionally through the results regarding the non-financial indexes in the Pre-Qualification items, the weight on these indexes could be adjusted. In conclusion, the research results has given us new understanding of the problems in the Qualification Assessment System which accounts for the majority of the current military construction contracts and provide validity on the government's expanded implementation of the Lowest Price Award System.

• Proceedings of the Korean Institute of Building Construction Conference
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• 2015.05a
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• pp.111-112
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• 2015

Garak Market Modernization Project Phase 1, which is the public projects worth 1,75 billion won, was delivered by adopting modifiable bid of BOQ on the lowest price award system. The modifiable bid of BOQ system allows bidders to modify quantities based on their own drawings and construction specifications and requirements. It was initiated by the government for minimizing design error and for inducing technical competition between tenders by checking errors. At that time the bidding, it allowed modifying the BOQ all the works. In the construction phase, the responsibility for the design changes, due to mistakes and omissions on design documents and BOQ were disputed between the owner and the contractors. This study analyzed the problem of the system and addressed a need of improvement.

• Korean Journal of Construction Engineering and Management
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• v.23 no.1
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• pp.16-27
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• 2022

This study analyzed both the legal system regarding fair trade and the types of unfair trade in the construction industry. Then, it derived the factors with which to evaluate the level of fairness. These factors were classified by each type of participant in the construction industry, such as general contractors and subcontractors, and each construction stage, such as bidding, contracting, and construction. The perceived fairness level of factors was analyzed using a survey of 238 employees of general contractors and subcontractors. Next, the study developed a fairness index for the construction industry. The index showed that subcontractors perceived the level of fairness more negatively than general contractors, but both perceived the construction stage of the industry as having the lowest level of fairness. General contractors perceived the bidding and contracting stages as having the highest fairness levels, and subcontractors perceived the contracting stage as having the highest level of fairness. The developed fairness index identified the evaluation factors that need improvement and the fairness level perceived by each type of participant at each stage of construction. The results of this study can contribute to establishing measures that improve the level of fairness in the construction industry.

• Korean Journal of Construction Engineering and Management
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• v.21 no.2
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• pp.30-38
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• 2020

Inadequate cost management has widely been recognized as one of the most problematic areas in the Korean construction industry as many believes that public cost references are not reasonably reflecting the market conditions. 'Total Project Cost Management Guideline' developed by Ministry of Economy and Finance(MOEF) to govern public budget control has been identified as one of the main reasons for this problem. This study attempts to thoroughly review 'Total Project Cost Management Guideline' itself and quantitatively analyze the impact of it on project cost during procurement process. Different procurement methods are considered including turnkey & alternative, private contract, qualification examination, and lowest price bidding system in this quantitative impact analysis of 'Total Project Cost Management Guideline'. Analysis results shows that this governmental process works mainly as a constant cost-cutting tool throughout the procurement process.

• Journal of the Korea Safety Management & Science
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• v.18 no.3
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• pp.17-24
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• 2016

The regulation for industrial accident rate level assessment of construction companies was introduced to the construction industry in the Republic of Korea since 1993 and has brought positive outcome on industrial accidents reduction at construction work sites. There were considerable decrease of industrial accident ratio and enforcing of contrators' safety organizations from the beginning of the regulation for industrial accident rate level assessment. In spite of these positive outcomes, there were some negative effects such as contractors' shrinking accident reports to keep good accident ratios since these figures had a great impact on pre-qualification stage of bidding when general contractors were competing for new construction projects. In addition, Comprehensive evaluation bid system, which replaces the lowest price bid system is applied to government-ordered construction projects since 2016. Comprehensive evaluation bid system includes construction company's accident rate as one of the evaluation items and carries out with the industrial accident rate level assessment of construction companies at the same time. The regulations of two systems have been called for improvement to unify these different procedures and standards which have led business stakeholders to confusion for several years. This study aims to devote on lessening shrinking accident reports and to reduce the waste of business stakeholders through changing the regulation for industrial accident rate level assessment.

• Korean Journal of Construction Engineering and Management
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• v.7 no.1 s.29
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• pp.138-147
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• 2006

Construction companies have been interested in the construction duration which importantly affects the performance and the success of the construction projects in accordance with the systemic changes such as five days per week system, introduction of construction duration reduction bidding system and post sale system nowadays. It is also very important to estimate and forecast properly the construction duration as the construction companies compete for the projects in the situation of construction market reduction and the lowest bidding system. Recognizing the importance about the construction duration, the researches about comparing and analyzing or estiamting the construction duration have been performed. However, comparing studies about the construction duraion have been limited to the apartment and office building in domestic area. Many studies about forecasting construction duration have been performed through stochastic analysis and simulations. Little research has been addressed the comparison analysis of the real construction duration about the mix-use building and officetel building which occured according to the changes of the building requirements. Therefore, the objective of this study is to compare and analyze the real construction duration and the hypothetical construction duration about the mix-use building and officetel building of the domestic companies. Moreover, we select the most competitve construction company to get the strengths and analyze the competitive advatages of the construction companies about construction duration.

• Korean Journal of Construction Engineering and Management
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• v.11 no.2
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• pp.124-136
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• 2010

International construction market has been depressed significantly after 2000. Exclusive techniques and advanced construction management methods are desperately in demand so as to ensure the competitiveness in unlimited competition. Although public construction delivery system has been revised several times starting with introduction of the lowest bidding system in 1951, there has been no remarkable achievement whenever new system was introduced. This study analyzed the successful stories of developed countries like Europe, USA and Japan to settle successful rating system down and vitalize the best value system in Korea, which was introduced in October 2007. We constructed the bidder evaluation system for domestic situation, and designed the evaluation tool which is useful in utilization. Since this study were analyzed on only same systems of developed countries and domestic similar cases, this study is limited to typical construction in Korea. The study of specialized rating system in the field related should be followed.

• The Journal of Bigdata
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• v.3 no.2
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• pp.87-99
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• 2018

This study analyze the factors affecting the number of bidders in public contracts by collecting contract data such as purchase of goods, service and facility construction through KONEPS among various forms of public contracts. The reason why the number of bidders is important in public contracts is that it can be a minimum criterion for judging whether to enter into a rational contract through fair competition and is closely related to the budget reduction of the ordering organization or the profitability of the bidders. The purpose of this study is to analyze the factors that determine the participation of bidders in public contracts and to present the problems and policy implications of bidders' participation in public contracts. This research distinguishes the existing sampling based research by analyzing and analyzing many contracts such as purchasing, service and facility construction of 4.35 million items in which 50,000 public institutions have been placed as national markets and 300,000 individual companies and corporations participated. As a research model, the number of announcement days, budget amount, contract method and winning bid is used as independent variables and the number of bidders is used as a dependent variable. Big data and multidimensional analysis techniques are used for survey analysis. The conclusions are as follows: First, the larger the budget amount of public works projects, the smaller the number of participants. Second, in the contract method, restricted competition has more participants than general competition. Third, the duration of bidding notice did not significantly affect the number of bidders. Fourth, in the winning bid method, the qualification examination bidding system has more bidders than the lowest bidding system.

• Journal of Engineering Education Research
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• v.9 no.4
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• pp.5-9
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• 2006

In this research, a case study for cooperative learning practiced in a design class for environmental engineering was presented. Designing a treatment facility for urban diffuse pollution was a main problem given to the participants. Turn-key system for civil works were simulated throughout class works. Twenty five students were grouped into four virtual companies and assigned own position from chairperson to workers. Each group competed throughout establishing design concept regarding order, expense calculation, process distribution, actual calculation. Best design with lowest bidding won the first place. For evaluating class effectiveness, one student from each group were monitored thorough semester. Participants were improved for their understanding about company establishment, turn-key system management, awareness about personal management, and presentation skills. Tension of the class was effectively elevated as well.

• Korean Journal of Construction Engineering and Management
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• v.7 no.2 s.30
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• pp.109-117
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• 2006

Recent rapid changes such as construction market reduction, lowest bidding system of construction cost, five days per week system, and post-construction sale system are inevitably accelerating the competitiveness between construction companies. Those rapid changes of construction environment require construction companies, which are main participants of construction industry, to adapt to the changes and more to lead new construction environment. However, there are many construction uncertainties which could delay construction completion. Without the proper identification of construction uncertainties, structured strategy establishment and management of construction schedule, the competitive advantages of construction duration could not be made. Thus this paper limited the research boundary to construction duration competitiveness instead of general strategy establishment. Recognizing the importance of proper calculation of construction duration, requirements of construction duration reduction and limited researches related to construction schedule strategy, we established the 25 strategies for construction duration competitivenss by internal and external construction environment analysis and SWOT analysis, and then elicited the first considerations to accomplish the strategies through concensus of all the staffs by questionnaire, brainstroming and face-to-face interviews.