Barriers To Implementation of The Industrialised Building

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Barriers to Implementation of the Industrialised Building System (IBS) in

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Nawi, M. N. M., Lee, A., & Nor, K. M. (2011). Barriers to implementation of the industrialised building
system (IBS) in Malaysia. The Built & Human Environment Review, 4
The Built & Human Environment Review, Volume 4, 2011
Barriers to Implementation of the Industrialised Building

System (IBS) in Malaysia
1 2 3
Nawi, M. N. M., Lee, A., and Nor, K. M.
m.n.mohdnawi@edu.salford.ac.uk; a.lee@salford.ac.uk; kamarudinmn@gmail.com

1
University of Utara Malaysia; and School of Built and Human Environment, University of Salford,
2
UK School of Built and Human Environment, University of Salford, UK
3
Faculty of International Entrepreneurship, University of Kuala Lumpur, Malaysia
Abstract
Malaysia, like any other developing country, considers the construction industry as one the main contributors to its
Gross Domestic Product (GDP). However, there are unresolved issues arising from the ongoing and widespread
adoption of the traditional method of construction. Among them are the resultant fragmentation of the industry itself;
delays in production and delivery time; unnecessary wastages and lack of sustainability practice. As such the
Malaysian Government has been continuously encouraging the industry to use, partly or if not wholly, the
Industrialised Building System (IBS), which is considered to be an important part of sustainable construction
initiative. The IBS, albeit in its crude form, is not new in Malaysia and was introduced in the country over 40 years
ago through government-led affordable housing projects. However, the system has so far failed to gather momentum.
A number of barriers to its implementation are identified from a survey of pertinent literature sources by a number of
local researchers. The main barriers are related to the perception that the system incurs additional costs; the financing
practice that does not support the adoption of the system; the lack of skills and knowledge on the IBS; project delivery
and supply chain matters; negative perception of stakeholders [mainly clients, professionals and end-users] on the
flexibility of the system; and the lack of incentives and seriousness in its promotion by the decision makers both in the
public and private sectors. Based on the review on the available literature sources, this paper discusses the identified
barriers with the aim of examining how far these barriers may well affect the process of IBS implementation in the
Malaysian construction industry.
Keywords: Industrialised Building System (IBS), Malaysian construction industry, IBS barriers.
Introduction
The construction industry undeniably, contributes significantly to the Gross Domestic Product (GDP) of a
country. It influences the country‟s economic activity, adds up to the government revenue, creates investment
benefits and creates employment to specially trained workers (UKCG Report, 2009). This industry contributes
on average, 3% to the total Malaysian Gross Domestic Product (GDP). It provides job opportunities to some
800,000 people making 8% of the total workforce (CIMP, 2005).
22
There is no short of the increasing demand for construction. This is due to a greater part, on the increase of
population and improvement in the quality of life [thus the purchasing power] of the populace. For instance, the
demand for residential buildings alone in Malaysia between the years 1995 and 2020 has been projected to be
around 8,850,554 units (including 4,964,560 units of new housing units) in the light of the increase in population
(Yoke et. al., 2003). This demand will be made more acute if the following factors were to take into
consideration:
 the increase in number of foreign migrants (especially forming the workforce); 


 the dilapidated stocks that need to be replaced; 

 the rebuilding of damaged buildings due to natural disasters; and, 

 the demolition of illegal squatter units and the ensuing construction of affordable residential units to
resettle the squatters 
Based on the last Malaysia Plan projection (the Ninth Malaysia Plan) alone, the country was expected to
construct 709,400 new residential units by 2009. Around 270,000 units or 38.2% of the target was for the low
and low-medium cost houses, whilst some 438,000 units or 61.8% of the new housing will be of medium and
high types. Malaysia is struggling to meet this housing need within the framework of sustainable development. It
is trying to do so through the adoption of new technology and sustainable strategies. The traditional construction
method, which is commonly practiced, is high in cost, unable to respond to this huge demand within a short
space of time and failing to produce acceptable quality construction products (Agus, 1997 and Senturer, 2001)
and slow in considering sustainable development strategies. Waleed et. al., (1997) stated that to meet the ever-
increasing housing demand by sticking to the current traditional building process requires a large workforce
(mostly unskilled). This is due to the low productivity rate in such an outdated system. On average, only one
house is completed per year per worker (one house/year/worker) thus far.
In an attempt to address these issues, the government, through its “caretaker”, the Construction Development
Board (CIDB) Malaysia, tries to encourage a paradigm shift in the construction process from the conventional or
traditional approach to industrialization perspective. One of the efforts is to actively promote the adoption of the
Industrialized Building System or IBS. According to the IBS Roadmap (2003), industrialisation is a process of
social and economic change whereby a society is transformed from pre-industrial to industrial state. It is part of a
wider modernisation process through the gainfully utilisation of relevant and viable technologies.
Methodology
This paper is part of an on-going research on the barriers to the implementation of the IBS in Malaysia. It is still
at an initial stage. As such, the information presented in it is primarily based on the review of available relevant
literature materials on the system. A literature review, considered by many as part of research methodology, is
essential in organising theoretical framework, developing a pertinent problem statement and research questions,
and forming conjectures before formulating hypotheses to be tested. In this regard, Wisconsin (2008) has aptly
opined that a thorough literature review is a “critical analysis of a segment of a published body of knowledge
through summary, classification, and comparison of prior research studies, reviews of literature, and theoretical
articles.” This is precisely what this paper intends to present.
23
Through the literature review, the definition, application, and issues relating to the implementation of the IBS
and the ensuing new paradigm shift in team integration in the construction industry are examined and
highlighted. At the same time, a comparison will be made with a substantial number of tools and strategies
developed to improve the process and team integration in the conventional practice. Some of these tools and
strategies, however, may well be usefully integrated in the process of implementing the IBS. This possibility will
be discussed as well. The data and information are gathered from many sources: books, articles in both
international and national journals, proceedings, reports, and bulletins.
An Overview of the Implementation of IBS in the Malaysian Construction Industry
Definition and Classification of IBS
Generally, IBS (also known as offsite manufacturing in the UK construction industry) is defined from two
perspectives, namely, system and process of construction. Parid (1997) defined IBS as a system which uses
industrialised techniques either in the production of components or assembly of a building, or both. Similarly,
Trikha (1999) classified IBS as “a system in which concrete components prefabricated at sites or in factories are
assembled to form structures under strict quality control and minimum in situ construction activity.”
IBS is also defined as a construction process that utilises techniques, products, components, or building systems
which involve prefabricated components and on-site installation (CIDB, 2001). The components of IBS are
manufactured either in a factory, on or off site, positioned, and assembled into place with minimal additional site
work (IBS Roadmap, 2003). Almost similarly, Chung and Kadir (2007) defined IBS as a mass production of
building components either in a factory or at the site according to the stipulated specifications with standard
shapes and dimensions, and transported to the construction site to be re-arranged according to a certain standard
to form a building.
Hassim et. al., (2009) explained that this industrialization process is essentially an organizational process-
continuity of production implying a steady flow of demand; standardization; integration of the different stages of
the whole production process; a high degree of organization of work; mechanization to replace human labour
wherever possible; and where research and organized experimentation are integrated with production.
According to the CIDB (2003), there are five main categories of IBS. This categorisation is based on the
structural classification adopted in the Malaysian construction industry. They are:
 Pre-cast Concrete Framing, Panel, and Box Systems 
o Pre-cast columns, beams, 3-D components (balconies, staircases, toilets, lift chambers),
permanent concrete formwork.
 Steel Formwork Systems 
o Tunnel forms, beams and columns moulding forms, permanent steel formwork.
 Steel Frame System 
o Steel beams and columns, portal frames, roof trusses.
 Prefabricated Timber Framing Systems 
o Timber frames, roof trusses.
24
 Block Work System 

o Interlocking concrete masonry units (CMU), lightweight concrete blocks.
History and Development of IBS in Malaysia

The IBS agenda in Malaysia began in the early 1960‟s when the officers of the Ministry of Housing and Local
Government of Malaysia visited a number of European countries and evaluated their housing development
programmes (Thanoon et. al., 2003a). Following their visits and recommendations, the government initiated an
IBS or “prefab” (known then) pilot project in 1964 aiming to speed up the delivery time in the building o f
quality “low-cost” or affordable houses.
Despite the introduction of the initial form of IBS in Malaysia over 40 years ago, its acceptance is not
widespread and the pace of implementation of the system is still slow. The Malaysian government are concerned
that uptake of the IBS is low despite the plausible potential of the system (Hamid et. al., 2008). A survey
conducted by the CIDB of Malaysia in 2003 revealed the adoption level of the IBS standing at only 15% (CIDB,
2003). However, in the last couple of years, the adoption of the IBS has gained momentum. It has gradually
created a niche in the industry, more so after the Government announced that all public projects RM10m and
above must incorporate a certain percentage of the IBS (IBS Workshop, 2011).
Since 1964, a number of private companies in Malaysia have teamed up with foreign IBS specialists from
Australia, the Netherlands, the United States and Japan to offer pre-cast solutions (CIDB, 2003). This has
resulted in a number of key projects adopting some form of IBS, for example:
 The 17-storey flats along Jalan Pekeliling, Kuala Lumpur in the early 1960s. Sperheaded by Gammon/
Larsen Nielsen who used a Danish system of large pre-fabricated panels for this project (CIDB, 2003). 

 A housing project comprising 6 blocks of 17 storey-flat, and 3 blocks of 18 storey-flat at Jalan Rifle
Range, Penang. Constructed by Hochtief/ Chee Seng adopting the French Estoit System (Din, 1984). 

 Taman Tun Sardon Housing project in Penang. IBS pre-cast components and building system were used
in the project which was designed by the British Research Establishment (BRE) in 1978 for low cost
housing in tropical countries. 

 Perbadanan Kemajuan Negeri Selangor (PKNS) low cost housing and high cost bungalows projects in
Selangor (CIDB, 2003). This project is under a state government development agency which acquired a
pre-cast concrete technology from Praton Haus International, Germany. 

 The 36-storey Dayabumi office and commercial complex which was the first project to use steel
structure (part of the IBS). The construction work was completed in 1984 by Takenaka Corporation,
Japan (CIDB, 2003). 

 A number of full and hybrid IBS construction successful landmark projects can be found throughout
Malaysia in the past ten years. Examples are the Bukit Jalil Sports Complex; Lightweight Railway Train
(LRT) terminals; the Petronas Twin Tower; and Stormwater Management and Road Tunnel (SMART
Tunnel). 
25
Benefits of IBS
The benefits derived from the implementation of IBS are the speeding up of the construction process, the
integration of sustainability strategies, reduction of wastages during construction, and the minimization of
hazards and risks (Hassim et. al., 2009; Kamar et. al 2009; Nawi et. al., 2007a; Thanoon et. al, 2003 and IBS
Roadmap, 2003).
Others benefits of industrialised building system are:
 Optimum use of materials, repetitive and reuse of molds, less waste of materials (Bing et. al. 2001) 

 Factory-made quality products from rational and efficient manufacturing processes, employment of
skilled workers, repetitive procedures, and constant quality surveillance and control, etc. (Nawi et. al.,
2007b; Shaari and Ismail, 2003; Thanoon et. al., 2003b) 

 Shorter construction time - less than half of the time taken in conventional cast in-situ construction
(Shaari and Ismail, 2003; Nawi et. al., 2005; Thanoon et. al., 2003) 

 Contruction operation is not affected by adverse weather condition because prefabricated components
are manufactured in a factory controlled environment (Peng, 1986) 

 Prefabrication takes place at centralised factories, thus reducing labour requirement at site. A high
degree of mechanisation is involved (Thanoon et. al., 2003; Warszawski, 1999). 

 Opportunities for innovative architecture as the system provide opportunities for designers and builders
to explore creative designs using the IBS (Warszawski, 1999). 

 Environmentally friendly way of building by better use of available building materials, production
systems leading to the reduction of harmful impact on the environment (Nawi et. al., 2007a; Shaari and
Ismail, 2003). 
Barriers to the adoption of the IBS in Malaysia
As highlighted earlier, early efforts by the government to promote usage of IBS as an alternative to the
traditional and labour-intensive construction method has not been making headway as anticipated. In an attempt
to understand the poor diffusion of IBS, some researchers have investigated and identified a number of barriers
to the effective implementation of the IBS. Relevant literature sources (Kamar et. al., 2009; Hamid et. al., 2008;
Thanoon et. al., 2003a; Hussein, 2007; CIMP, 2007; Nawi et. al., 2007a; Nawi et. al., 2007b; Chung, 2006;
Nawi, et. al., 2005; Razali, 2003 and CIDB, 2003) reveal the main generic barriers presented in Table 1 as
follows:
Table 1: Barriers to the IBS Implementation in Malaysia
26
educationandtrainingcertification,assessment,of(L)Lack
promotionanddirectiveincentive,governmentofLack(E)
stagedesigninintegration&communicationofLack(F)
Author
issuesinvolvement&capabilityManufacturing(K)
professionalsandcustomersfromResistance(H)
IssuesReadinessandTechnologyofLack(G)
CentreIBSandR&DResource,ofLack(M)
regulationbuildingofMisunderstand(I)
issuechainsupplyandLogistic(D)
standardandcodeofLack(J)
knowledgeandskillPoor(B)
issuesculturaland(C)Legal
issuesfinancialandCost(A)
IssueConstructability(N)
IBS Workshop, 2011 X X X
Kamar et al (2009) X X X X X X X X X X
Hamid et al (2008) X X
Hussein (2007) X X X X
CIMP (2007) X X
Nawi et al (2007a) X X X X X
Nawi et al (2007b) X X X X
Chung (2006) X
Faizul (2006) X
Haron et al (2005) X
Fikri (2005) X
Nawi et al (2005) X X X X X X
Thanoon et al (2003a) X X X X X X
CIDB (2003) X X
Razali (2003) X X
Warsawski (1999) X X
Based on the information in Table 1, the barriers to the IBS implementation in Malaysia can be summarized into
five main areas:
 cost and finance, 


 skills and knowledge, 

 project delivery and supply chain, 

 perception of clients and professionals, and 

 lack of government incentives, directives and promotion. 
These generic barriers, if not tackled, can affect the various stakeholders in the IBS value chain, be it the
manufactures, designers, local authorities, contractors, suppliers, clients and end-users. These generic barriers are
discussed in the following sections:
27
Cost and financial barriers
Studies on the economic benefit of IBS are not well documented in Malaysia (Peng et. al., 2003). This has led to
a „chicken or egg‟ situation among construction industry professionals and builders. Many of them believe that
building using IBS is overall cheaper compared to the cost of traditional construction. However, the outcomes of
a case study by Haron et. al., (2005) suggested otherwise. Past experiences, claimed by some quarters indicated
that construction using IBS is more expensive due to the fierce competition by builders sticking to the traditional
building method. This may well be not true. However, such a perception tends to discourage the use of the IBS
among stakeholders, particularly, housing developers (Kamar et. al., 2009; Nawi et. al., 2007a; Nawi et. al.,
2005).
Generally, the preference for IBS adoption depends on many variables. Among them are design, standard,
volume and consistency. The philosophy of IBS is based on volume or mass production focusing on the modular
system and quality of finished products resulting in the reduction in the cost of production. Unfortunately, most
housing projects in rural areas (especially in Northern Region of Malaysia; Kedah and Perlis) were constructed
in relatively small and medium scales (less than 100 units). More recent statistics have shown that a general
decline in demand and volatility of the building market for large public housing projects (that need IBS
components in greater volumes) in the majority of developed countries, have a direct impact on the need for the
IBS (Peng et. al., 2003). This can be considered as a greater barrier to IBS adoption.
IBS construction also requires specialized equipment and machinery (Nawi et. al., 2005). In addition, a Research
and Development (R&D) centre, support services, and testing labs are also needed by an IBS company in the
private sector (Nawi et. al., 2007a). All these facilities need continual funding and as such only companies which
are strong and stable financially could survive in use the IBS in the highly competitive industry locally and
globally. This situation has made the IBS business more risky as it needs extra capital investment compared to
the conventional labour-intensive method. Therefore, in this case, it is very hard for new local companies to
compete for opportunities with international competitors that are stronger in terms of financial capability,
technology or specialization (Kamar et. al., 2009).
In addition, contractors prefer not to use IBS as they find it easier to stick to the traditional construction method
(Nawi et. al., 2007a and Thanoon et. al., 2003). Adopting a new system means that there need to be a substantial
and sustained budget, allocated time for training of human resources and specialized equipments and
machineries. Based on previous studies (Kamar et. al., 2009; Nawi et. al., 2005), a lack of these superior
equipments and machineries proves to be a major hurdle that hinders work in IBS-based projects.
There is another significant IBS barrier with regard to the lack of Research and Development (R&D) facilities
particularly on the use of locally available materials and technology. As such, local contractors have to depend
very much on foreign expertise and technology (IBS Workshop, 2011). Since most of the machineries and
materials used in fabricating IBS components are imported from developed countries, the costs of producing IBS
components and assembling them are not competitive for Malaysian contractors (Thanoon et. al., 2003a). To be
competitive, R&D works in the IBS should be made available to them to customize, if not invent appropriate
techniques and use of locally available materials. However, the CIDB has embarked fairly recently on the
28
establishment of Construction Research Institute of Malaysia (CREAM) and the IBS Centre to assist local
contractors in the R&D works. This is a positive step by the Government in pushing the idea of using the IBS in
the country.
Poor Skill and Knowledge
IBS requires high construction precision. Previous studies have indicated that most local professionals and
contractors lack technical knowledge and experience in the IBS (Kamar et. al., 2009 and Hamid et. al., 2008,
Nawi et. al., 2007a; CIMP, 2007; Nawi et. al., 2005 and CIDB, 2003). Furthermore, many local authorities are
not fully conversant with modular co-ordination and standardization concept associated with IBS design and
assembling procedures (IBS Workshop, 2011). This has hindered building approval and caused unnecessary
delay in the development process. Due to the lack of knowledge and awareness, these local authorities tend to
misinterpret IBS current building guidelines adding to further delays in approval (Kamar et. al., 2009).
The skill level of IBS workers is more demanding compared to the conventional construction methods. Under
this system, the demand for on-site manual labourers, particularly carpenters, bar benders and concreters
becomes less. The system demands more machine-oriented skills, both on sites and in factories. Thus, this leads
to a transformation requiring the restructuring of human resource in an organization in terms of training and
education. Malaysia still lacks skilled workers generally. As such, more intensive training programmes are
needed in the specialized IBS skills like system integrating or assembling. However, this need requires more
time and investment (Thanoon et. al., 2003a; and Rahman and Omar, 2006).
In an IBS project, the role of the contractor is shifted from that of a „builder‟ to that of an „assembler‟ on site
(Shaari and Elias, 2003). This requires contractors to be equipped technologically with IBS knowledge and skill.
The needs are made more imperative if the contractors were to promote their IBS products and compete in the
industry. From July to September 2002, the situation was suddenly worsened when many trained foreign workers
were forced to leave the country after a wide spread crackdown on illegal foreign workers (Thanoon et. al.,
2003a). The „new batches‟ of foreign workers did not possess the required skill in IBS and had to be retrained
(Thanoon et. al., 2003a).
Project Delivery and Supply Chain

Problems relating to manufacturer‟s requirement has been identified as one of the hurdles of IBS adoption in the
Malaysian construction industry (Fikri, 2005). In current practice, before a construction starts, the awarded
contractor will be paid between 10% and 25% of the total amount of the contract value as an initial payment by
the client (Nawi et. al., 2007a). However in an IBS project, the contractor is expected to come out with the initial
expenditures, mostly to be paid to manufacturers before any progress payment is made. However, local
contractors do not have sufficient funds to finance the initial phase of projects using the IBS. As highlighted by
Fikri (2005) and Nawi et. al., (2005) IBS manufacturers are normally required to advance about 75% of the
capital to manufacture the IBS components before delivering these components to construction sites. As such
contractors are required to help foot this initial bill. The only way for a contractor to be able to do that is by
applying for a bond from a financial institution as a guarantee to be deposited with the IBS manufacturer.
29
Unfortunately for some contractors, especially those new to the field, face a problem in securing such bond. This
may well affect the IBS project development process.
Studies by Potts (1995) identified that a shortage or late supply of IBS information, equipment, and materials to
sites has been an important barrier to the successful implementation of an IBS project. This problem is worsened
if a construction site is located too far away from the IBS manufacturers or suppliers. According to the IBS
Manufacturers Directory (2008), the majority of IBS manufacturers are located in industrial areas (like Klang
Valley, Seremban or Butterworth). This situation will indirectly increase the component of logistics and
transportation costs in a construction project budget if it is located far away in rural areas, especially in the
northern and east coast regions of Malaysia (Chung, 2006 and Nawi et. al., 2005). Given this situation, the
unfortunate contractor will have to incur extra logistics and transportation expenses in getting the IBS
components delivered to such a site. This has been identified as one of the major hindrances in the adoption of
IBS in the Malaysian construction industry.
Typically, most of the IBS design process deals with offsite production through the concept of design for pre-
assembly and pre-fabrication process. A number of previous studies indicated that a weakness of IBS lies in its
cumbersome connections and jointing methods that open to errors and sloppy work (Thanoon et. al., 2003a and
Nawi et. al., 2007b). For an example, poor jointing of prefabricated walls with other prefabricated or in-situ
elements may give rise to water seepage problem in IBS high-rise buildings, especially during a heavy downpour
in Malaysia (Fikri, 2005 and Nawi et. al., 2007b). This problem worsens if finishes are not chosen and done
properly. This may result in, for example, high moisture movement, incompatible with the other materials like
tiles to peel off the walls (Neale et. al., 1993).
These problems call for an improvement in communication and integration among the relevant IBS players such
as designers, contractors and manufacturers, more so at the design stage (CIDB, 2009). If this is not tackled, this
will lead to the unnecessary need for redesign of plans and working drawings resulting in additional costs and
time (Kamar et. al., 2009; Hamid et. al., 2008; CIMP; 2007). According to previous studies (CIDB, 2009; Nawi
et al., 2009), many IBS project developments in Malaysia are still based on the traditional design approach.
Here, based on the client brief, the architect will produce an architectural design, which is given to the structural
engineers. After completing the structural design, the detail specification will be passed to the quantity surveyor
to produce costs and the bill of quantities. Later, these documents will be passed to the main contractor who will
then discuss the matter with the manufacturer and in the end take responsibility for the construction (assembly)
of the building structures. This conventional approach is known as „over the wall‟ syndrome and is shown in
Figure 1 (Evbuomwan & Anumba, 1998). This practice unfortunately allows the manufacturers and contractors
to be involved only after the design stage thus creates problems for the supply chain process (such as delays, late
supply, etc) and constructability related issues. As highlighted by Blismass and Wakefield (2008), this traditional
design process is unsuitable to Offsite Manufacturing (or IBS construction) and poses a substantial barrier to its
adoption. In addition, this type of method also has been heavily criticized as one of the main hindrances towards
an effective communication and integration between the design and construction team in IBS projects (Kamar et.
al, 2009; Hamid et. al, 2008; CIMP, 2007; Nawi et. al, 2007b; Che Mat, 2006, Love et. al., 1998).
30
Figure 1: Over the Wall Syndrome (Evbuomwan and Anumba, 1998)
Negative Perception from Customers and Professionals
The term IBS is often misinterpreted with negative image due to its past failures (Kamar et al., 2009 and Rahman
and Omar, 2006). For example, customer perceptions of an IBS product is still perceived in terms of lack of
flexibility, problematic accommodation such as leaks and faults, low quality finish and use of unfamiliar
materials (Nawi et. al., 2007b). In architectural design for example, prefabricated elements are considered
inflexible with respect to changes which may be required over its life span. This may occur when small span
room size prefabrication is used (Thanoon et. al., 2003a). All these factors create a dilemma among clients or
developers to apply IBS to their housing projects because of a fear of customer rejection (Kamar et. al., 2009).
Some designers are not interested in adopting IBS due to a lack of „ecstatic value‟ and limited creativity in
design (Hamid et. al., 2008). It is undeniably easy and tempting to stay within known boundaries, than to venture
out and seek new ideas; thus, the majority of Malaysian housing developers have naturally found it easier to stick
to conventional construction methods for their construction projects than to adopt IBS (Kamar et. al., 2009; and
Nawi et. al., 2007a).
Lack of Incentive and Promotion
Since the IBS Roadmap was endorsed by Government in 2003, there are still no specific IBS building
regulations or standard guidelines for contract documents or procurement systems in terms of tendering, design,
construction and operation of a project. The main references or guidelines for IBS are IBS Catalogues (such as
Precast Concrete Building Components for Residential Buildings, Modular Coordination Implications - Building
By-Laws and Regulations, Joints and Tolerances for Building Construction) published by CIDB, Malaysia
(Kamar et. al., 2009; Hussein, 2007). Lack of structured information will not only affect construction
professionals because of misunderstanding and misinterpreting regulations but also for authorities in terms of
project approval (Kamar et. al., 2009; IBS Roadmap Review, 2007). This lack of guidance again does not
encourage IBS uptake.
In addition, reasoning behind this reluctance to IBS adoption also stems from poor responses on modular co-
ordination and standardization concepts from the building industry (IBS Workshop, 2011). According to
31
Thanoon et. al., (2003a), modular co-ordination and standardization are among prerequisite characteristics
underlining the successful implementation of IBS. For accomplishing the requirements of modular co-
ordination, all components need to be standardized (Razali, 2003) and therefore standard plans and standard
component drawings are required, particularly to aid the production process. This is cited as one of the principal
hindrances to the use of modular coordination (Thanoon et. al., 2003a; Warsawski, 1999). Otherwise, even
partial introduction of IBS components such as lintels or staircases is not looked upon favourably and is
therefore rarely used for the construction project due to a lack of standardization of modular coordination.
Currently, promotion and incentives of widespread IBS implementation either from the Government or private
agencies are still inadequate; hence the poor implementation of IBS projects (Nawi et. al., 2007b; CIDB, 2003).
As highlighted by Faizul (2006), a number of key areas need to be addressed such as an IBS program based
implementation strategy, creation of an implementation agency on IBS and continuous affair strategies on IBS
forums/ workshops in order to regulate and consolidate the various industry initiatives of IBS. Further, there are
also no dedicated assessment and certification systems for IBS products, manufacturers and installers in the
Malaysian construction industry (Kamar et. al., 2009). This assessment system is very important to identify the
current performance in order to promote further improvement of IBS implementation in the future.
On the other hand, a lack of incentive training among existing construction professionals was also identified as being a
potential hurdle to the widespread adoption of IBS (Hamid et. al., 2008; Hussein, 2007; Nawi et. al., 2007a; Nawi, et.
al., 2005; Razali, 2003 and CIDB, 2003). Some designers and consultants are reluctant to implement IBS into their
projects because of a few related issues, such as readiness constraint either in terms of knowledge, experience, skills or
technology. A survey of IBS construction industry players by Hussein (2007) identified a need for apprentice and on-
the-job training in IBS moulds, casts and assembly of components, IBS testing and evaluation programs. This issue
arises due to uncoordinated and incomprehensible training awareness of IBS in the training institute either for
practitioner or student (Hamid et. al., 2008; and Nawi et. al., 2007a).
Conclusion
This paper has evaluated the implementation of IBS in the Malaysian construction industry. It is found that the
level of IBS adoption is still far from the national target set by the Government. Barrier factors that impede the
usage of IBS have been discussed, and „mainly revolves around skills and knowledge, project delivery and
supply chains, customer perceptions and perceptions of professionals, and lack of government policy, incentives
and promotion.‟ Needs to be highlighted that, although cost was mentioned among the IBS‟s barrier factor,
however it is rarely be stated as the main reason behind the refusal to adopt IBS. Conventional construction
methods are preferred rather than proposing an IBS system since shifting the building system from a
conventional approach to IBS is not motivated by cost factors. Another reason that adds to this belief is the fact
that construction firms have been exposed and trained in the conventional construction method for decades and
there is an abundance of cheap foreign workers in Malaysia. Shifting to IBS seems to be too complicated, unless
the Government imposes a policy or strict legislative requirement on the use of IBS, or redefines the market by
setting a mandatory quota for IBS projects. Therefore, a long term comprehensive policy and directive statement
towards the industrialization of the building and construction sector should be pursued by the Government in
order to shape the future of the Malaysian construction industry. Further, developing an IBS R&D centre,
providing comprehensive training packages, and introducing certification of IBS vendors are some of the
32
subjects that the Government needs to consider urgently in order to improve IBS implementation in the
Malaysian construction industry.
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Barriers to Implementation of the Industrialised Building System (IBS) in

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Mohd Nasrun Mohd Nawi

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Barriers to Implementation of the Industrialised Building

m.n.mohdnawi@edu.salford.ac.uk; a.lee@salford.ac.uk; kamarudinmn@gmail.com

The Built & Human Environment Review, Volume 4, 2011

 the increase in number of foreign migrants (especially forming the workforce); 

The Built & Human Environment Review, Volume 4, 2011

An Overview of the Implementation of IBS in the Malaysian Construction Industry

Definition and Classification of IBS

The Built & Human Environment Review, Volume 4, 2011

 Block Work System 

History and Development of IBS in Malaysia

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Others benefits of industrialised building system are:

Barriers to the adoption of the IBS in Malaysia

Table 1: Barriers to the IBS Implementation in Malaysia

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 cost and finance, 

The Built & Human Environment Review, Volume 4, 2011

Cost and financial barriers

The Built & Human Environment Review, Volume 4, 2011

Poor Skill and Knowledge

Project Delivery and Supply Chain

The Built & Human Environment Review, Volume 4, 2011

The Built & Human Environment Review, Volume 4, 2011

Figure 1: Over the Wall Syndrome (Evbuomwan and Anumba, 1998)

Negative Perception from Customers and Professionals

Lack of Incentive and Promotion

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The Built & Human Environment Review, Volume 4, 2011

The Built & Human Environment Review, Volume 4, 2011

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