DEVELOPMENT ECONOMICS (QSB 4223)

DEVELOPMENT ECONOMICS (QSB 4223)

PORTFOLIO SEMESTER 6

DEVELOPMENT ECONOMICS (QSB 4223)

Lecturer: Mr Ho June Khai 
                  Miss Dianne Kok Hui Wen

Purpose of study development economics

Development Economics enables the student to understand the basic principles of economics and its link to the real world of construction. Besides, this subject also enable understanding of the whole process of property development. Moreover, improve the understanding of the contribution of feasibility study in property development. The author was also came to learn the overall mechanism of the finance system in the construction industry.



Objectives

In this subject, the basic principles of economics are introduced to students. Since students are going to involve in the construction industry, this subject is very useful as it is link to the real world of the industry, instead of just studying based on books and theories. Last time, students are concentrated on site matters, but now students are explore wider to the understanding of the whole process of property development. There are many feasibility studies in property development, so students are able to enhance the understanding the contribution of these studies. Projects in construction industry normally involved huge amount of monetary term, a systematic finance arrangement will help the projects run smoothly. As a result, students are able to understand the general mechanism of the finance system in the industry through this subject.


Learning Outcomes

 Studied to recognize and recall the involvement of the construction industry to a nation’s growth economy. Also, learned to calculate the developer's budget through assignment. Author now is able to executed the cost-benefit analysis in the early stage of investment proposal and executed the valuation system to help on decision making during the feasibility stage. In addition, author able to classified various source of finance available in the construction industry. In this study, author now able to planned the requirement in a quality market research.

Test

After few months of studying this subject, student must prepared to face the mid term test which to test the students memories of what have learned from past few months and also to observe whether student able to apply the theories correctly. The test is about 2 hours where students must well prepared and well organized the time to answer the question. These test mainly consist of subjective questions as well as practical problem questions (where recall, analysis, evaluation and application of concepts learnt are necessary to answer the questions competently). 

Topics:

1. Introduction
2. Property Development
3. Property Investment Economics
4. Factors in Property Development
5. Development Appraisal
6. Cost-benefit Analysis
7. Market Research
8. Development Finance

Group Assignment 

Main aim of this group assignment is to help students develop a deeper appreciation of the concepts learnt in the module by applying them in the problems given in the assignment. This assignment is about developer wants to develop residential units and commercial units on a land with acres. Students are required to prepare few things for this assignment for instance calculate the number of units houses and shops to able built in the land, investment appraisal, cash inflow, cash outflow and combined of cash outflow and inflow.

After done the group assignment, author require to refer the previous works to find the net present value (NVP). The approaches to find this NPV, author must get the cash inflow and cash outflow amount only able to find out the NPV. Later on, author required to explain and comment the viablitiy of the project based on the result of NPV.

Cost Value Engineering

COST VALUE ENGINEERING (QSB 4214)

 COST VALUE ENGINEERING (QSB 4214) by Sr. Lee Wing Tey



Purpose of study cost value engineering

This subject also explores the understanding of value management among the students such as the types of these studies, procedure, process and others.  Among the chapters in this subject, value management tools and techniques is the chapter which I found to be most interested and useful for a Quantity Surveyor. This chapter consist method of function analysis which can help to decide materials are important and most useful for that project and it is helpful when exercising cost cutting. Although Value Management has its own problems but there are existing ways to solve them. Furthermore, this concept also brings benefits to Client through the implication in the construction industry



Objectives

The objectives of this study is to understand in general the value process, function analysis and team dynamics in the client’s value system. . Secondly, enable author to identify solutions to undertake value studies at different stage of a project. Lastly, is significant to let author to know value management in Malaysian construction industry in an effort to achieve value for money invested.

Learning Outcomes
Throughout different construction phases, students are able to identify the suitable time to carry out Value Engineering upon the completion of tasks given by lecturer. In addition, contribution of the Value Engineering or Value Management in the development process can be recognized and recalled. Never the less, students are trained to apply the Value Management to a value outcome in the process of decision making. Lastly, ability of analyzing the cost and value implications of project scope and generating Job-Plan for the implementation of Value Management workshop can be achieved.


Test

After few months of studying this subject, student must prepared to face the mid term test which to test the students memories of what have learned from past few months. This is to test the ability of the students in identifying, analysing and applying the principles of cost value engineering in the test.

Group Assignment

Students are required to prepare a case study of Value Management application in construction industry. The purpose of this assignment is enable students to develop a deep appreciation of the concept learnt by applying them in the assignment. Besides, students are also expected to explore outcome of the implication for the case study in local construction industry in both public and private sectors.

Research Dissertation

 RESEARCH DISSERTATION (QSB 4914) by 
Ms Theong May Chuan and Mr Leong Boon Tik



Purpose of having research dissertation
Research dissertation is to introduce author to academic research and provide some in-depth understanding of the research methodology. Author are required to undertake and submit a substantial piece of independent research work which consists of both recording and analyzing of data or the summary of published material on the topic supplemented by opinion gathered through interviews or questionnaires. Also, author are to negotiate a project title and specification with their supervisor. After period of work, author need to carry out necessary work to complete the dissertation.




Objectives
The objectives of this study is to develop awareness of the current local issues in the construction industry. Next, author need to explore the approaches to research. Lastly, author also required to demonstrate a systematic and orderly mind to produce a viable academic research.

Learning Outcomes

Students are capable to use a depth of subject knowledge and apply analytically and skills of the research to produce the project. Due to not all the information gathered are required, therefore students able to collect and select the only required data and information. After that, students are capable to use the suitable and appropriate techniques and tools to analyse the selected data. A comprehensive conclusion and summary are very important in order to produce a complete research, therefore students are able to acquire this skills also. Last but not least, the final report should be produce in project documentation and presentations by using keyboarding.

Construction Law

Construction Law (QSB 4414) by Sr. Eddie Lim Sek Cheon

Overall Reflections

Other than Measurement, a Quantity Surveyor also requires to have depth knowledge in contract. This subject is found to be important and very useful in our future. It enable students to explore their deep understanding in laws related to construction industry such as the roles and responsibilities of professional bodies, rules stated by local government such as National Land Code, Uniform Building By-Law and others. Author could able to develop an in-depth knowledge on the application of the law and the remedies available to the parties. Also, author will be able to adopt a systematic approach to analyze disputes and the respective liabilities. Lastly, to enhance the authors’ knowledge on matters involving contractual claims and its assessment.

Objectives

Commonly, there are many disputes happen in a project in the construction industry. Therefore, understanding on the general principles on the formation of contract and remedies especially in the event of breach is one of the purposes of the subject. Besides, it is important for a professional body such as architects, quantity surveyors and other professionals who are in relation with construction industry to understand their roles and liabilities regarding professional negligence and the use of collateral contract. This subject also focuses on the laws which are relating to payments, contractual claims and interpretation rules of ambiguity that found in the documents. In addition, students able to explore the laws relating to land and construction industry such as National Land Code, Street Drainage and Building Act, Uniform Building By-Law, Strata Title Act, and others. This subject also provide students in the knowledge of the principles and procedures stated by the Malaysian Government and Standard Form of Contract such as litigation, arbitration, adjudication and other alternative dispute resolution (ADR).

Learning Outcomes

There are various laws which relating to the construction industry such as land law and construction statutes. .Author can identified, explained and distinguished the various laws related to the construction industry including land law and construction statutes by demonstrating knowledge and understanding of the principles in law, conditions of contract and the applicable statutes. Next, author now able to analyze, interpret and apply this knowledge on the principles of law in administration of contracts and contractual claims including providing evidence of reasoned advice in relation to contractual claims and interpretation of any discrepancies of various contract documents. Lastly, author used appropriate methods of dispute resolution for different situations arising from construction contract. 

Course Work 1 – Seminar

Students are separate into 2 persons each group to carry out the seminar during tutorial session. The seminar is related to a law topic nominated and this topic is given to the seminar group one week before the presentation. After the presentation, the seminar group is required to ask two questions for discussion while the class also required to ask at least one question to the seminar group. The questions being asked are covered the details of relevant theories and concepts for the theory question presentation.

Course Work 2 – Loss & Expense Assessment

This is a group assignment comprises of four students in each group. Students are required to act as consultants assessing the applications of loss and expense claim by Contractor. The applications must be assessed based on the conditions of contract and principles of laws relating to remedies and damages due to breach of contract.

Course Work 3 – Mid Term Test

Through this 2 hours test, students ability in identifying, analysing and applying the principles of construction law in different situations can be assessed.

Professional Practice 2

              This module provides an introduction of professional and contractual responsibilities of a quantity surveyor in the consultant group from the design stage to the final account stage. It will focus on the importance of a clear understanding of the organization and administration of quantity surveyor practices and the legal and contractual procedures in relation to interpretation of particular clauses.
              The teaching objective of this module is to make the students appreciate the role of quantity surveying profession in public and private sectors. Moreover, another objective is to understand the appointment and the roles of quantity surveyor in the pre-contract and post-contract stage, tendering methods and procedures, evaluation and reporting of tenders and contract choices.To develop awareness of the provisions of the Standard Contract forms related to construction period, insurances, Liquidated Damages, performance bonds, retention sums and other clauses forming basis of contract also is an objective of this module.
               Upon successfully completion of this module, students able to define the qualifications (academic and professional) required of a Quantity Surveyor, its professional Institution and Board. Students also can describe the duties of a Quantity Surveyor and identify the roles of various parties involved in the building team and their construction contracts and contractual obligations.
               Students also can evaluate the array of construction contracts between the client and the main contractor.and the array of construction contracts between the main contractor with the sub- contractor.


Professional Practice 2 covered lectures:


1 .Problems and Disputes with Interim Certificate
2 .Construction Delays :Its Effects on Building Contract
3. Construction Claims
4 .Partial Possession by Employer(With consent)
5. Partial Possession by Employer(Without consent)
6 .Indemnity and Insurance
7. Setting off
8. Final account
9. Termination of the contractor's employment
10.Termination of contractor's Employment By Contractor Himself
11.Practical Completion, Penultimate Certificate,Final Certificate

Assignment 1

The purpose of this assignment is to enable the students to go into a greater depth of the meanings of these technical terms.Besides that,this assignment enable the students to consolidate what they have already learnt in construction technology, principles of structure and properties of materials.

Therefore,throughout this whole assignment,we are able to built up our technical knowledge and therefore when we working in the construction industry we are able to hold conversation and talk diligently with technical people in the construction industry.Thus it also helps to built up our confidence level when we graduate.


Below are some photo attachment of part of the assignment 1:

Assignment 2

In second assignment we are assigned to name the various Architect's Certificate that have been issue during the progress of the construction works until the contract comes to an end.We are required to state down the purpose of the certificates,the timing of its issue,the contractual implication of the issue of these certificate on the contract,the consequences of the failure by the Architect to issue these certificate and also a typical specimen of each of these certificates.

Throughout this assignment,we actually have better understanding of the certificates itself and also the contractual implication of each certificate.This is very important for a Quantity Surveyor as it has to been practice in every single project.Failure to issue certain certificates may leads to breach of the contract.Therefore,it is necessary for us to know the detail of every single certificates that has to be issue in order to avoid unnecessary conflict between parties.

Below are some photo attachment of part of my assignment 2:

FM

Financial Management

Financial Management is a module that introduces students to management practices which covers both financial and organizational aspects in relation to construction project. The module will emphasize on the examination of resource-use systems, particularly the finances of a construction project as well as the management of important resource in ensuring quality performance from the project staff. Students will be exposed to various terms of finance, which cover the financial information systems and capital investment. 

The leaning of financial management helps students to understand the background, principles and practices and information systems of financial management in relation to construction industry.Besides that, it also helps us to gain knowledge of appraising capital investment proposals in the construction industry.The understanding of   the management of construction organization in terms of managing the business environment, the firm and the staff can also be develop through financial management course.

Financial Management is a subject that tents to benefits students in a way of helping students to Identify the appropriateness of financial management systems for different construction projects and implement the accountancy principles and practices in examining the construction company’s finances and accounts.We are able to define the appropriate cost control structure and technology in ensuring the quality management and total quality management (TQM) of the entire construction performance and also apply capital investment techniques in analyzing the cost & benefit for particular construction projects.Besides that,we are managed to manipulate the sound knowledge of financial management in managing the financial aspects of the particular construction project.The outline of business in construction project through proper strategic management theory and techniques and the organization of staff’s tasks, organization and leadership to enhance motivation and performance towards career progression has also been learned through this subject.

Financial Management covered lectures:
1.Introduction to Financial Management
2.Company Finance & Accounts
3.Financial Information System
4.Capital Investments
5.Introduction to Organization Management
6.Financial Investment Appraisal
7.Firm Management
8.Corporate Analysis

Assignment 1

We are assigned to introduce the executive summary of company including company milestone by choosing our own company which is publish listed.After that, we are require to write briefly on the company financial and marketing objective and also company core business.Besides that, an overview perception on business operation has to be analyse in order to give some recommendation.

Below are some photo attachment of part of our assignment:

Report

Power Point Slide

MEASUREMENT 5

Measurement

The measurement subject actually covered of Cold Water and Sanitary Plumbing, Electrical Installation works, M & E works and various civil engineering works.This helps students to appreciate the significance of Tender Document preparation and the importance of the ability to work effectively with other within the context of a team. Besides that, it also helps to develop a depth pf subject knowledge on the principles of measurement of various elements. The most important is that it helps to develop decision of making and management skills related to the quantity surveying profession in the preparation of the Bills of Quantities.

With the learning of measurement five,students are able to recognize the items measurable for cold water and sanitary plumbing , electrical installation and M & E works and civil engineering works . The skills of distinguish and illustrate differences in writing up descriptions in accordance to design changes of cold water and sanitary plumbing , electrical installation and M & E works and civil engineering works can also be possess through the learning of Measurement five.Besides that, students are able to evaluate the relationship between specifications, drawings and Bill of Quantities in Tender Documents for cold water and sanitary plumbing , electrical installation and M & E works and civil engineering works . Students are require to produce measurement for cold water and sanitary plumbing , electrical installation and M & E works and civil engineering works in accordance to Standard Method of Measurement (SMM2) and Malaysian Civil Engineering Standard Method of Measurement ( MYCESMM ) .Therefore students are able to generate a conceptual understanding of and the ability to competently carry out the preparation of the Bills of Quantities for cold water and sanitary plumbing , electrical installation and M & E works and civil engineering works .

Measurement 5 covered lectures:
1.Introduction to the principle of MYCESMM
2.Measurement for cold and hot water plumbing using SMM2.
3.Measurement for sanitary plumbing and appliances using SMM2
4.Measurement for electrical installation works using SMM2
5.Measurement for HVAC works using SMM2
6.Measurement of telephone trunking and cabling works using SMM2
7.Measurement for Fire protection works using SMM2
8.Measurement for soil investigation using MYCESMM
9.Measurement for Slope Stabilization works using MYCESMM
10.Measurement for general earthworks,bulk excavation using MYCESMM
11 Measurement for deep basement excavation using MYCESMM


Assignment 1

We are require to carry out the taking off list with unit of measurement and relevant SMM2 clauses.The task that has been assigned is to carry out the measurement of items of works from TNB meter to DB'BG' and to DB'BF'.This including the measurement of all electric works on ground floor and first floor such as final sub-circuits and accessories.Lastly,we are required to prepare a bills of quantities for all items that has been measured. This assignment is actually carried out in a group comprising of five students.

The objectives of this assignment is to extend and refine skills relating to measurement and description of building works.Secondly, this assignment actually helps to develop an awareness of the nature, content, and significance of tendering and contractual documents.We are able to gained knowledge and understanding of the Standard Method of Measurement in taking off quantities. The development of understanding of the principles of measurement in preparing the bills of quantities and specification writing is also one of the objectives of the assignment.


Below are some photo attachment of part of the assignment:

Throughout this assignment,I am able to recognize the items measurable for electrical installation works.Besides that, one of the skills that I have actually gained through this assignment is the interpretation of clauses and explanation of the use of SMM2 for the various trades in relation to the electrical installation works.I realize that I am also able to demonstrate a systematic and orderly mind and able to visualize the drawings and details given by completing this assignments. Discussions have been carried out in order to evaluate the relationship between specifications, drawings and bills of quantities.Therefore an accurate measurement can be produce for the electrical installation works in accordance to SMM2. Each of us actually possess the ability to competently carry out the preparation of the bills of quantities for the electrical installation works through this assignment.

MORAL

Reflection

The Moral Education actually enables us to gain knowledge on moral values that is developed through religions and socialization process base on Malaysian culture.This subject serves to develop a moral being through a holistic approach by learning and practicing good moral and ethical practices in developing ethical , caring and just community.

Therefore we student are able to explain the basic concept of moral.Besides that,we are able to understand more different ethical theories and criticism.Moral Educations actually signifies a lot of moral values in religion.Therefore,we are able to apply those knowledge learned in our daily life.Moral Education also demonstrates the ability to make ethical decision on moral issues and conflicts in real life.

Through out this Moral Education,we are able to achieve the following capabilities:

Lifelong Learning

Discipline Specific Knowledge

Citizenship and Global Perspectives

Moral Education covered lectures:

Chapter 1: Introduction of Moral Education

Chapter 2: Basic Concepts of Ethics and Moral Values

Chapter 3: Ethical Theories and Its Critique

Chapter 4: Basis of Moral from Religious Perspective

Chapter 5: Moral Agent

Chapter 6: Resolving Moral Conflicts

Assignment 1

Community Services

We are assigned to perform a community service in group as part of their assignment for Moral Education.In this assignment we are able to approach our desired home or centre and get the management approval to perform the community services.We are also required to Collect university approval letter from lecturer.

The assignments are divided into three parts,which are journal/ diary keeping , community services and report.Journals is actually a log book where the students are required to keep a diary on their discussion and activities starting from the day they form the group till one day before submitting the report. This should be done individually.

For the second part,community service, students are required to spend five hours doing community service in the selected centers. This can be done on weekends or week days (minimum one visit) according to student’s convenience. Students are to discuss with the manager of the centre / home to decide on this. Students are strictly advised not to skip other classes in order to complete their community service’s visitation.

  Finally student are require to prepare a report on their visits to the home / centre. The report should contain a write up on their activities, share their feelings and opinions (in conclusion) and attach some photographs. An evaluation form should be filled up by the manager of the centre and should be attached in the report. The report should be done as Group Work  Students are allowed to use their creativity in creating the report (scrap book etc).

Below are some photo attachment of the community services:

Tutoring session with lovely children

Giving prizes to students for excellent presenting their art work

Delicious cake we bought for the children for tea time

Helping children to wash their shoes(they were really discipline)

Baby sitter of the day

            In conclusion,throughout this whole community services we have actually gained a lot of moral values.Without visiting orphanage, we don’t even know how blissful we are. These are the followings moral values we have gained through this orphanage visit.

As the saying goes, “sharing is caring” .All the children in the orphanage truly show out 

what is the real meaning of caring is sharing. When we are distributing gifts, the children who 

got the gifts actually pass it to their friends first instead of having it themselves. In real life, 

people are so selfish and inconsiderate. They keep whatever good things they have without 

sharing to the others.

          Besides that, moral values such as respect each other is also very important in real life. 

The children are sitting down quietly on the floor and listening to us when we try to give some 

instructions or lecture. They are all well-behaved and polite. However, in real life, a lot of 

people who never respect each other will always create problem cause they never others’ 

opinion. Always remember, only when you respect others, others will respect you.

As a volunteer, we have to be patient towards those children. Every child has different

personality. During the orphanage visit, we actually managed to develop our patience when 

teaching and playing games with the children. We teach them one by one and try to solve 

problem for each children, just to make sure everyone of them felt loved.

          As we know, tolerance leads to development and to the consolidation of peace and 

democracy. Nowadays, we realize that there are a lot of violent fighting cases happening in 

school. The main reason which causes this happen is they do not tolerate each other. In the 

orphanage, all of the children living peacefully together without fight because they know how 

to tolerate each other. Children are encouraged to grow up from early on in an atmosphere of 

curiosity and open-mindless and learn about tolerance, human rights and other ways of life.

We also have to be compassionate towards other by trying our very best to help people. 

Example, we can always donate to some charity organization or visiting them and teaching the 

children free of charge. In the orphanage, there are some volunteers workers such as the 

guardian and drivers, all of them are very kind and helpful. We should learn from them and be 

helpful towards those that need help without expecting any repay. This is also one of the 

important moral values we have gained throughout the orphanage visit.

Class activities

For our class activities,we also have our international student exchange to come to our University to send the messages regarding of the"Prevention of AIDS'.We actually gained a lot of knowledge regarding of prevention of AIDS, the importance of health checking , how does the AIDS spread through out this class activities. Below are some photo attachment of class activities:

International student teaching us the correct way of using condom to prevent AIDS

Free condom given in class activities