The transaction costs and the choice of contractual arrangements in the construction industry in Hong Kong

AbstractUrbanization is a process in which separated and dispersed property rights become concentrated in a specific location. This process involves a large volume of contracts to redefine and rearrange various property rights, producing various and high transaction costs. Efficient urbanization implies the reduction of these costs. This paper studies how efficient urbanization reduces transaction costs in the real world, based on a series of contracts rather than the coercive power. Specifically, this paper shows that Jiaolong Co. built a city by being a central contractor, which acquired planning rights by contract, and signed a series of tax sharing contracts with government, farmers, tenants, and business enterprises. These contractual arrangements greatly reduced the transaction costs and promoted the development.

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Process Information Modelling (PIM) Concept for On-site Construction Management: Hong Kong Case

Periodica Polytechnica Architecture ◽

10.3311/ppar.12691 ◽

2018 ◽

Vol 49 (2) ◽

pp. 165-175 ◽

Cited By ~ 1

Author(s):

Wen Pan ◽

Bahriye Ilhan ◽

Thomas Bock

Keyword(s):

Hong Kong ◽

Life Cycle ◽

Construction Industry ◽

Manufacturing Industry ◽

Cost Overrun ◽

Time Data ◽

Process Information ◽

Information Modelling ◽

Project Life Cycle ◽

Project Life

When compared to the manufacturing industry, the advances of intelligent and seamless project management approaches lag behind in the construction industry. This is due to the complexity of the construction projects as well as various stakeholders who acquire specific interest of the project. For instance, public building construction has many sub-tasks and numerous systematised working processes such as planning, mobilisation, scheduling, procurement and controlling. The management of the processes of each phase of the project life cycle is of great importance in order to prevent project delay and cost overrun. A particular importance is required if construction robotics is involved since precise process and scheduling information as well as feedback are critical to ensure each task is completed accordingly. This paper proposes a holistic system approach, which focuses on the process-oriented management for on-site construction. To succeed, the Process Information Modelling (PIM) concept is introduced. The main goal of PIM is to integrate Building Information Modelling (BIM) for extensible solutions with a process-based database platform, which allows for smooth data transfer and supports continuous data sharing among all stakeholders. The overall aim is to develop a collaborative way of planning, designing, producing, assembling and managing the entire project life cycle strategy. Digital documentation, simulation and real-time data are produced progressively to facilitate decision-making. A case study applying the PIM concept for the façade painting task by a painting robot for an on-going consultancy project commissioned by the construction industry council (CIC) in Hong Kong is presented. This paper is the revised version of the paper that has been published in the proceedings of the Creative Construction Conference 2018 (Pan et al., 2018).

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THE CULTURAL SHIFT OF THE CONSTRUCTION INDUSTRY OF HONG KONG UNDER THE INFLUENCE OF SUSTAINABLE DEVELOPMENT

Tall Buildings ◽

10.1142/9789812701480_0145 ◽

2005 ◽

Cited By ~ 1

Author(s):

C. S. POON ◽

Robin C. P. YIP

Keyword(s):

Sustainable Development ◽

Hong Kong ◽

Construction Industry ◽

Cultural Shift

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Rethinking the contractual context for Building Information Modelling (BIM) in the Australian built environment industry

Construction Economics and Building ◽

10.5130/ajceb.v13i4.3630 ◽

2013 ◽

Vol 13 (4) ◽

pp. 1-17 ◽

Cited By ~ 24

Author(s):

Ilsa Kuiper ◽

Dominik Holzer

Keyword(s):

Construction Industry ◽

Project Delivery ◽

Building Information Modelling ◽

Information Modelling ◽

Contractual Arrangements ◽

Legal Risks ◽

Building Information ◽

And Performance ◽

Potential Opportunity ◽

The Ideal

Building Information Modelling (BIM) can be defined as a process of generating and managing information of a building or infrastructure during its life cycle. Whilst the 3D visualisation or dimensional functions of BIM are not necessarily new, it is the usage and integration of this information related to project delivery, management and performance analysis that are challenging current construction industry practices. Industry has called for the development of more collaborative and integrated contractual arrangements to facilitate the use of BIM. Such recommendations appeal to the ideal use of BIM, but also provide a potential opportunity to seek improvement within the construction industry. This paper proposes a procurement approach to BIM to establish the applicable contractual context to address the potential legal risks and commercial considerations, relative to current practices in Australia. It als ooutlines why BIM, with other enabling technologies, will drive the evolution of contract delivery methodologies.

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