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Construction Quality:
A cidb Perspective
Rodney Milford; cidb
CESA Infrastructure Indaba
10 November 2015
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Overview
• Construction Quality:
– some findings
• cidb Project Assessment Scheme:
– contractor performance
• cidb Contractor Recognition Scheme:
– towards functionality
• cidb Register of Professional Service Providers:
– towards functionality
• Concluding Comments
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Construction Quality:
some findings
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References
• Construction Quality in South Africa; A
Client Perspective (2012)
• cidb Construction Industry Indicators
(2014)
• Labour & Work Conditions in the South
African Construction Industry (2015)
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Quality of Completed Work (2014)
0.1 1 10 100 1000
Project Cost (Rm)
Satisfied
Neither
Satisfied or
Dissatisfied
Dissatisfied
84%
16%
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Level of Defects (2014)
0.1 1 10 100 1000
Project Cost (Rm)
Few Defects
Major Defects
Totally
Defective
Some Defects
Apparently
Defect Free
86%
14%
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Documentation (2014)
0.1 1 10 100 1000
Project Cost (Rm)
Satisfied
Neither
Satisfied or
Dissatisfied
Dissatisfied
78%
22%
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Barriers to Construction QualityScale: 1 = minor; 3 = average; 5 = major influence
Interventions / Situations Overall
MeanRank
Poor site management 4.4 1
Lack of contractor quality expertise 4.4 2
Corruption 4.3 3
Inadequate resourcing by contractors 4.1 4
Lack of understanding of quality 4.1 5
Level of subcontracting 4.1 6
Inadequate information 4.1 7
Detail 4.1 8
Focus on cost by contractors 4.0 9
Poor constructability 4.0 10
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Barriers to Quality
• Design related:
– largely intricate and impractical details, poor design
coordination and unrealistic specifications
• Procurement related:
– price and preference, not functionality (or quality)
– fraud and corruption, or “political interference”
– institutional barriers (inadequate procurement and/or
monitoring capacity)
– procurement and delivery model on complex projects
(“design by employer” model)
• Construction related:
– inability of contractor to deliver required quality
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Barriers to Construction Qption
0% 10% 20% 30% 40%
1
2
3
4
5
6
7
8
9
10
Satisfied
Neither Satisfiednor Dissatisfied
Dissatisfied
Largely procurementrelated barriers,
including fraud andcorruption
Largely design orconstruction
related barriers
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Summary
• Clients were neutral or dissatisfied with construction quality on 16% of projects
• 14% of projects had unacceptable levels of defect
• Contractors were neutral or dissatisfied with construction documentation on 22% of projects
• Key barriers include;
– client / client agent monitoring capability
– procurement capabilities & competence standards
– procurement based on price and preference, not functionality (or quality)
– matching capabilities to the requirements
– fraud and corruption
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cidb Project Assessment Scheme:
contractor performance
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cidb Act; Project Assessment Scheme
1) The Board must …. establish a best practice project
assessment scheme, based on the best practices identified by
the Board …..
2) After a date determined by the Minister … all construction
contracts above a prescribed tender value are subject to an
assessment ….. of compliance with best practice standards
and guidelines published by the Board
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cidb Project Assessment Scheme
• cidb Standard for Indirect Targeting for
Enterprise Development (February 2013)
• cidb Standard for Developing Skills through
Infrastructure Contracts (August 2013)
• cidb Standard for Contractor Performance
Reports for use on Construction Works
Contracts (Grades 2 to 9) (August 2013)
• cidb Best Practice: Green Building Certification
(April 2011)
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cidb Project Assessment Scheme
• cidb Standard for Indirect Targeting for
Enterprise Development (February 2013)
• cidb Standard for Developing Skills through
Infrastructure Contracts (August 2013)
• cidb Standard for Contractor Performance
Reports for use on Construction Works
Contracts (Grades 2 to 9) (August 2013)
• cidb Best Practice: Green Building Certification
(April 2011)
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cidb Standard for Contractor
Performance Reports• Assessment of the performance of the
contractor with respect to the following project
parameters:
– time, cost and quality management
– health and safety management
– management of site conditions
– management of subcontractors (including
payment)
• Summary report will also include record of any
breaches of contract as well as non-
compliance with mandatory cidb Best
Practices
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Prompts for Judgement
Indicator Prompt for judgement
Poor
(-1)Adequate (0)
Good
(1)
Excellent
(2)
QUALITY MANAGEMENT
Skill and
commitment in
managing quality
on site
Need for close
attention by
inspectors
Significant re-
working
required
Handover
subject to list
of defects
Slow attention
to defects
after
handover
Inspections
regarded as
necessary
Little rework
required
Some defects
at handover
Defects
attended to
efficiently
after
handover
Inspections
largely a
formality
Some rework
required, but
all initiated by
contractor
Few defects,
very
efficiently
cleared
No re-work
attributable to
contractor
Substantially
free of any
defects
attributable to
contractor
Client
completely
satisfied.
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Summary Results
Section B: Contractor Performance Information
Number of performance reports considered
Minimum Average Maximum
Time Management • • •
Cost Management • • •
Quality Management • • •
H&S Management • • •
Site Conditions • • •
Subcontractor Management • • •
Aggregate Score •
Scale Poor -1 Adequate 0 Good 1 Excellent 2
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CONQUAS®
• Construction Quality Assessment System
• Architectural works:
– floors
– internal walls
– ceilings
– doors
– windows
– components
– basic mechanical and electrical (M&E) fittings
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CONQUAS®
• Walls meet at right-angles – not more than 4mm over 300mm
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CONQUAS®
• No visible cracks from a distance of 1,5m
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CONQUAS®
• No stain marks or any visible damage
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CONQUAS®
• No hollow sound when tapped with a hard object
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CONQUAS®
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Summary
• Contractor Performance Reports provide for a uniform
assessment of a contractor’s performance:
– will be mandatory on public sector contracts from mid-2016
– will in time be available to clients for procurement purposes
• CONQUAS® is a simple and effective scheme to obtain a
consistent evaluation of quality:
– cidb is investigating introducing CONQUAS® for General
Building Class of Works
– included in Contractor Performance Reports
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cidb Contractor Recognition Scheme:
towards functionality
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CIDB Act
The Board must … establish a best practice contractor
recognition scheme which:
a) enables organs of state to manage risk on complex contracting
strategies
b) promotes contractor development
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Eligibility and Functionality
Eligibility FunctionalityPrice &
Preference
Contractor
Recognition
Scheme
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cidb Contractor Recognition Scheme
(21 August 2015)Enablers:
• Competence Standard for Contractors (Grades 2 to 6)
• Best Practice: Construction Management Systems (Grades 5 to
9)
• Best Practice: Specification for a Fraud and Corruption
Management System (Grade 9)
• Standard for Financial and Project Management Systems
(under development)
Results:
• Standard for Contractor Performance Reports (Grades 2 to 9)
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cidb Contractor Recognition Scheme
(21 August 2015)Enablers:
• Competence Standard for Contractors (Grades 2 to 6)
• Best Practice: Construction Management Systems (Grades 5 to
9)
• Best Practice: Specification for a Fraud and Corruption
Management System (Grade 9)
• Standard for Financial and Project Management Systems
(under development)
Results:
• Standard for Contractor Performance Reports (Grades 2 to 9)
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cidb Best Practice: Construction
Management Systems• The cidb will recognise contractors that have accredited
Construction Management Systems:
– SANS 1393
– SANS ISO 9001, 14001 and/or SANS OHSAS 18001
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SANS 1393
• ISO 9001, ISO 14001 and OHSAS 18001 often
largely appropriate for large organisations
(Grade 8 and 9)
• For (say) Grades 5 to 9, cidb developed an
integrated CMS, based on recognisable
industry minimum standards covering:
– health and safety management
– quality management
– environmental management (covering air,
water, land and waste)
• Published September 2013
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Guidelines for Functionality
Maximum Number Points
Evaluation CriteriaComplex
Projects
Simple
Projects
Experience and past performance: 35 30
cidb Contractor Performance Reports X X
Other objective criteria (specify) 35-X 30-X
Organisation & staffing: 20 25
cidb Competence Assessment Y Y
Other objective criteria (specify) 20 - Y 25 - Y
Management systems: 15 10
cidb Best Practice: Construction Management
SystemsZ Z
Other objective criteria (specify) 15 - Z 10 - Z
Plant and equipment 15 15
Programme schedule 15 15
Threshold (minimum out of 100) 60 50
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cidb Register of Professional Service
Providers:
towards functionality
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Water Treatment Works; Poor Design
Pavel Polasek Pr.Eng
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Poor Design
Pavel Polasek Pr.Eng
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Poor Design
Pavel Polasek Pr.Eng
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Poor Construction Supervision
Pavel Polasek Pr.Eng
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cidb Register of Professional Service
Providers• Under development
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cidb Register of Professional Service
Providers; Grades
Grade Estimated Maximum
Capacity for Professional Fees Value (Rm)
1 ≤ R 0.5 million
2 > R 0.5 million and ≤ R 5 million
3 > R 5 million and ≤ R 13 million
4 > R 13 million
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cidb Register of Professional Service
Providers; Financial Capability
Grade
Estimated Maximum
Capacity for Professional Fees
Value (Rm)
Available
Capital
(Rm)
Best Annual
Turnover
(Rm)
1 ≤ R 0.5 million
2 > R 0.5 million and ≤ R 5 million 0,25 4,5
3 > R 5 million and ≤ R 13 million 0,5 6
4 > R 13 million 1 9
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cidb Register of Professional Service
Providers; Technical Capability
Designation Grade
Num. of
Registered
Prof.
Grade
Num.
Registered
Prof.
CE or
SE or
EE or
ME
3
2 off:
Pr.Eng and/or
Pr.Tech.Eng/or
Pr.Cert.Eng
4
1 off:
Pr.Eng and 2
off: Pr.Eng
and/or
Pr.Tech.Eng
and/or
Pr.Cert.Eng
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cidb Register of Professional Service
Providers; Performance Reports
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Summary
• PSPs play an important role in construction quality:
– design
– adjudication
– supervision
• cidb Register of Professional Service Providers aims to
enhance construction quality and overall value for money
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Concluding Comments
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Concluding Comments
• Areas of concern:
– quality of design and documentation
– adjudication
– supervision of contractors
• Underlying areas of concern:
– procurement of PSPs
– procurement of contractors
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Concluding Comments
• cidb focus:
– cidb Project Assessment Scheme
– cidb Contractor Recognition Scheme
– cidb Register of Professional Service Providers:
• PSP Recognition Scheme
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Thank You