1

Important Note

All materials in these slides are for the purposes of the conference only and

NOT meant for any other purposes. If you wish to use the materials for any

other purposes, please seek the consent of the Building and Construction

Authority (BCA).

Construction Productivity and Prefabrication in Singapore

Photo Credit: Joan Gamell

Address by Mr Lian Aik ANG, Group Director

1. Our Challenges

2. Our Progress

3. Establishing a robust Design for Manufacturing & Assembly Ecosystem

4. Learning Points

5. Changing the way we build

Construction Productivity and Prefabrication in Singapore

Challenges Ecosystem Learning Points

Changing the way we build

Progress

• Heavy dependence

on foreign labour

• Cost of labour is

relatively low in

Singapore

• Manpower intensive

construction methods

• Little incentive to

adopt productive

technology

• Social and political

Costs

Our Challenges

Need to Reduce Dependency on Foreign LabourDoing More with Less

Challenges Ecosystem Learning Points

Changing the way we build

Progress

Key Milestones in Raising Productivity

1992

CIDB Construction

Productivity

Taskforce 1999

Construction

21 (C21)

2001

Buildability

Legislation

2012

Mid term

review

2014

End term

review

2010

1st Construction

Productivity Roadmap

2016

2nd Construction

Productivity Roadmap

Challenges Ecosystem Learning Points

Changing the way we build

Progress

Key Initiatives in Raising Productivity

Leading the industry – Continual Policy Innovations

Challenges Ecosystem Changing the way we build

Progress Learning Points

Leading the Industry

Marketing

Control Manpower Demand & Supply

1st Construction Productivity

Roadmap

(2010 - 2015)

Raise Minimum Buildability Standard

Support Transition through Incentives

Marketing

Generate Demand for DfMA

2nd Construction Productivity

Roadmap

(2016 - 2020)

Remove Regulatory Roadblocks

Create Supplies and Build Capabilities

Good Progress Made in Raising Productivity

0.380 0.3810.384

0.389

0.395

0.403

0.411

0.419

0.375

0.380

0.385

0.390

0.395

0.400

0.405

0.410

0.415

0.420

2009 2010 2011 2012 2013 2014 2015 2016

Year-on-Year Improvement in Site Productivity (building works)

0.8%

1.3%

1.5%

0.3%

2.0%

2.0%

Target: Annual average of 2-3% productivity improvement till 2020

m2

pe

r m

an

day

Average Annual

Improvement1.5%

We need to DO MORE

to achieve our target

2.0%

Challenges Ecosystem Changing the way we build

Progress Learning Points

A global first development ofthe multi-storey integrated

construction and prefabrication

hubs (ICPHs)

Policy makers should consider

developing a dedicated

organization to review and

approve innovative methods and

materials. One example of such an

organization is Singapore’sBuilding Innovation Panel

McKinsey ReportDue to outcome-based

regulation, Singapore is

home to some of the most

productive residential

construction projects

in the world

The government of Singapore

has mandated that all new

bathroom construction

be modular and has

provided support to establish

an accreditation system

for new manufacturers

The world’s tallest 40-storeyprefinished modular concrete

condominium

February 2017

Challenges Ecosystem Changing the way we build

Progress Learning Points

2nd Construction Productivity Roadmap

Technology adoption

on site

Manufactured off-site & installed on-site

i.e. Design for Manufacturing

& Assembly (DfMA)

Higher quality workforceWider Technology AdoptionCloser integration

across value chain

Desired State(Experienced workers working with

minimal supervision)

Japan / KoreaSingapore

Current State in Singapore(Transient foreign workers

requiring close supervision)

3 focus

areas

Building Information Modelling

(BIM) as key enabling technology

Targets:

Annual average of 2-3% productivity improvement till 2020

Challenges Ecosystem Changing the way we build

Progress Learning Points

Impacts of moving to offsite production:

• Better controlled production environment

• Scope for automation and offshoring

Design for Manufacturing

(off-site and automation)

and Assembly

(on-site)

Changing the Way We Build Through DfMA

Challenges DfMA Changing the way we build

Progress Learning Points

Technology

Adoption

Components:

I cre e tal I prove e t……Integrated Assemblies:

Game-Changing Improvement

Prefab Components

Str

uct

ura

lM

EP

Arc

hit

ect

ura

l

Structural Steel / Advanced Precast / Hybrid

PBUs

Advanced Prefab Systems Integrated Sub-assemblies Fully Integrated Assemblies

PPVC

PPVC

Precast Prefabricated Prefinished Volumetric Construction

(PPVC)

Wallpaper Engineered timber

floor

On-site Dry Applied Finishes

Prefab MEP Deck

Prefab Module with Platform/ Catwalk

Manpower Savings [Project Level]35%

40%

20%10%

70%

Manpower Savings [Trade Level]45% 60%

70%

30% Manpower Savings [Trade Level]45% 60%

Prefab Ceiling Module/ Prefab Plant

Prefinished Surfaces

Flexible Water Pipe/ Sprinkler Dropper

Pushing for Higher-end DfMA Technologies

Continuum of Prefabrication & DfMA

Mass Engineered Timber (MET)

Technology

Adoption

Overview of Concrete PPVC(Video Credits : Vico)

Overview of Concrete PPVC

Challenges Ecosystem Changing the way we build

Progress Learning Points

Technology

Adoption

DEMAND

SUPPLY CAPACITY &

CAPABILITIES(Among developers, consultants,

contractors, suppliers, logistics)

REGULATIONS

Lower Cost for DfMA Technology Adoption

Creating

Economies

of Scale &

Competition

Creating sufficient lead demand quickly is

critical for sustainable DfMA adoption

Establishing a Robust DfMA Eco-System

Challenges Ecosystem Changing the way we build

Progress Learning Points

Technology

Adoption

Financial

Incentives

Productivity

Gateway Framework

Tendering

Advantage

Government Land

Sales (GLS)

Productivity

Requirements

Generate DemandOvercome

Regulatory

Impediments

Build up Supply Capacity

and Industry Capability

Integrated Construction

and Prefabrication Hubs

(ICPH) & PPVC suppliers

Raise Public

Sector Demand

Raise Private

Sector Demand

Summary of Productivity Measures -

Strategies to Drive Technology Adoption

A

B D

C

Building Innovation Panel

F

E

Workshops, Sharing

Sessions, Learning

Journeys

G

Challenges Ecosystem Changing the way we build

Progress Learning Points

Technology

Adoption

hole OfWGovernment Efforts

Challenges Ecosystem Changing the way we build

Progress Learning Points

Productive Technology

Adoption

BIM Co-ordination and

Integration Approach

Management & Procurement

Practices

Master Productivity Plan (MPP)

Achieve 25% to 30% productivity improvement from 2010 levels for all new projects

Public Sector Demand

Public Sector taking the lead -ATechnology

Adoption

Challenges Ecosystem Changing the way we build

Progress Learning Points

Quality Price / Fee Productivity

Quality Fee Method (QFM)(procurement of consultancy services)

Price Quality Method (PQM)(procurement of construction services)

9% - 12% 3% - 6% 20% 10%

Tender

B Public Sector taking the lead -

Procurement Framework for Public Projects

Technology

Adoption

Challenges Ecosystem Changing the way we build

Progress Learning Points

Co-fund builders for the purchase

and leasing of equipment

Co-fund technology adoption or process

improvement initiatives

MECH C

Supported (as of end-Dec 2016)

> 4,900 applications

> ~1,200 firms

Total funding committed:

~ S$78 mil

Total funding committed:

~ S$150 mil

Supported (as of end-Dec 2016)

> 1000 applications

> 400 firms

Mechanization Credit Productivity Innovation Project

Funding cap raised to $10 million in 2nd Roadmap

Financial Support for Technology Adoption

MechC & PIP SchemesC

Technology

Adoption

Challenges Ecosystem Changing the way we build

Progress Learning Points

Technology

AdoptionDriving Private Sector Technology Adoption –Making Game-changing Technology a Land Sales Requirement

D

Wisteria @ Yishun Ave 4(under construction)

Lake Grande @ Jurong West St 41(under construction)

Parc Riveria @ West Coast Vale (under construction)

Clement Canopy @ Clementi Ave 1(under construction)

Bukit Batok West Ave 6(Site Awarded: Sep 2016)

Fernvale Road(Site Awarded: Jan 2017)

201420152016

Perumal Road(Site Awarded: Feb 2017)

West Coast Vale(Site Awarded: Feb 2017)

20162017

Challenges Ecosystem Changing the way we build

Progress Learning Points

Toh Tuck Road(Launched: 28 Feb 2017)

Upper Serangoon Road(Launched: 6 Mar 2017)

Serangoon North Avenue 1

(Launching: May 2017)Woodleigh Lane

(Launching: May 2017)

LAUNCHING IN 1st Half 2017

Tampines Avenue 10(Launched: 14 Mar 2017)

Completed ProjectsCrowne Plaza Hotel Ext @ Changi Airport

Project Information

Site Area (GFA) ~ 9,900 m2

Type of PPVC Steel

Storeys 10

Guestrooms / Modules 243 / 252

Technology

Adoption

NTU North Hill Residence Hall

Project Information

Site Area (GFA) ~53,500m2

Type of PPVC Steel

Storeys 13 (6 blocks)

Hostel Rooms / Modules 1580 / 1200

Challenges Ecosystem Changing the way we build

Progress Learning Points

Time Savings 6 monthsManpower savings (project level) 44%

Time Savings 2 monthsManpower savings (project level) 17%

Crowne Plaza Hotel Extension(Video Credits : OUE)

Technology Adoption Ongoing Projects (Residential)

Projects under GLS Programme

Project Information

GFA ~ 27,300 m2

Type of PPVC Steel

Storeys 12

Units / Modules 216 / 756

Challenges Ecosystem Changing the way we build

Progress Learning Points

Brownstone Executive Condominium @ Canberra

Project Information

GFA ~ 60,000 m2

Type of PPVC Concrete

No. of Storeys 12 (8 blocks)

Units / Modules 638 / 4,384

The Wisteria Mixed Development @ Yishun

Time savings 4 months (estimated)Manpower savings (project level) 20% (estimated)

Ongoing Projects (Residential)

Bukit Batok Condominium (GLS)

Technology Adoption

Lake Grande Condominium @ Jurong West

Project Information

GFA ~ 49,900 m2

Type of PPVC Concrete

Storeys 17 (4 blocks)

Units / Modules 710 / 2,300

Projects under GLS Programme

Project Information

GFA ~ 44,000 m2

Type of PPVC Concrete

Storeys 16 (5 blocks)

Units / Modules 516 / 1500

Challenges Ecosystem Changing the way we build

Progress Learning Points

Technology Adoption

Project Information

GFA ~ 58,200 m2

Type of PPVC Concrete

Storeys 36 (2 blocks)

Units / Modules 752 / 2,500

Parc Riviera Condominium @ West Coast Vale

Clement Canopy Condominium @ Clementi

Ongoing Projects (Residential)

Projects under GLS Programme

Project Information

GFA ~ 50,200 m2

Type of PPVC Concrete

Storeys 40

Units / Modules 505 / 1,906

Challenges Ecosystem Changing the way we build

Progress Learning Points

Ongoing Projects (Healthcare and Industrial)

Project Information

GFA 9,000 m2

Type of PPVC Steel

Storeys / Modules 9 / 343

Nursing Home @ Woodlands Dormitory at JTC Space

Project Information

Type of PPVC Steel

Storeys 9 (L7 – L9 are PPVC)

Dorms / Modules 96 / 288

Technology Adoption

Challenges Ecosystem Changing the way we build

Progress Learning Points

Manpower savings (project level) 13% (estimated)

Manpower savings (project level) 10% (estimated)

Land released regularly by Government through Land Sales (GLS) programme for

private sector developments

Raise the

prefabrication level

Stipulate structural steel

for selected sites

Residential DevelopmentCommercial

Development

More sites with PPVC

requirements

Industrial Development

Driving Private Sector Technology Adoption –Making Game-changing Technology a

Land Sales Requirement

DTechnology

Adoption

Challenges Ecosystem Changing the way we build

Progress Learning Points

Technology

AdoptionBringing in Productive Technologies –Building Innovation Panel (BIP)

Multi-agency, one-stop platform

Fast-tracked evaluation of new

technologies

Resolve regulatory hurdles

Ease adoption of innovative

technologies

E

Inter-Agency Building Innovation Panel (BIP)

Challenges Ecosystem Changing the way we build

Progress Learning Points

SEF SpaceHub

Building local supply capabilities –Develop Supply Capabilities for

Precast Components

F

Automated multi-storey production and storage facilities for precast components

Integrated Construction and Prefabrication Hubs (ICPHs)

Technology

Adoption

Tiong Seng Prefab Hub

Straits Construction

Challenges Ecosystem Changing the way we build

Progress Learning Points

Soil-buildTeambuild

Building local supply capabilities –Develop Supply Capabilities for

Precast Components

Supported by PIP scheme

Target: 10 ICPHs by 2020

FTechnology

Adoption

Integrated Construction and Prefabrication Hubs (ICPHs)

Automated multi-storey production and storage facilities for precast components

Challenges Ecosystem Changing the way we build

Progress Learning Points

Outdoor cycling in Singapore a big hitCredits: Teambuild)

Upcoming ICPH (by Teambuild)Technology

Adoption

Changing the way we build

Learning Points

1

34

18

1) Unitized Building2) Moderna Home

3) Sembcorp EOSM

4) Integrated

Precast

NTU North Hill

Residences

Crowne Plaza

Extension

2013 2014 2015 2016

Construction

Design

Completed

NTU Nanyang

Crescent Hostel

Brownstone EC

@ Canberra Drive

The Wisteria @

Yishun Ave 4

Lake Grande @

Jurong W St 41

JTC Space @ Tuas

MOHH Nursing

Home @

Woodlands

MHA Classified

Project

Parc Riviera @

West Coast Vale

Eng Lee Building @ Jurong Port Road

Residential @

Fernvale Road

Total 18 Projects

Number of Suppliers (Cumulative)

DSTA Classified

Project

The Clement

Canopy @ Clementi

Condo @ Bukit

Batok West Ave 6

Residential @ Yishun N4C22

Steel PPVC

5) AM Modular

6) CIMC

7) Tiong Seng

8) Dragages

9) Mod Prefab

10) TTJ

11) Quicksmart

+ 9 upcoming suppliers

Concrete PPVC

12) SPP System

13) Excel Precast

14) Vico

15) Dragages

16) Mod Prefab

17) Prefab Tech

18) CS Corp

18 SUPPLIERS

(Through BIP)

Building local supply capabilities –Develop Supply Capabilities for PPVC

Perumal Road

West Coast Vale

Technology

AdoptionF

Challenges Ecosystem Changing the way we build

Progress Learning Points

UK

(MEP)Austria and UK

(Cross Laminated Timber)

Spain and London(PPVC) The Netherlands and Denmark (Advanced Precast)

Industry Learning Journeys, Workshops, Sharing SessionsG

Challenges Ecosystem Changing the way we build

Progress Learning Points

Industry Learning Journeys, Workshops, Sharing SessionsG

Challenges Ecosystem Changing the way we build

Progress Learning Points

IPE on Productivity

2010

2012Mid-term review of the Construction Productivity Roadmap

Formulation of the Construction Productivity Roadmap

IPE on BIM

2013

2011

Review of 1st BIM Roadmap

Formulation of the 1st

BIM Roadmap

2014Seek Feedback on overseas practices

2016 Taking DfMA to the next Level

2015Endorsement of 2nd BIM Roadmap

International Panel of Experts (IPEs)

Learning from the

best

G

Challenges Ecosystem Changing the way we build

Progress Learning Points

Foreign Workforce

Local Workforce

Raise skill level

Impose mandatory

requirements for

higher skilled

workers

Retain & Upgrade

Co-fund training and

upgrading courses Raise levies (i.e. tax)

for less skilled workers

Reduce reliance on

manpower &

encourage technology

adoptionDevelop scholarships

& sponsorships

programmes

Build up local core &

bring in new entrants

Local Workforce

Rose from 1% (in 2011) to 31% (in 2016) of higher skilled workers

Higher Quality

WorkforceSummary of Productivity Measures -

Strategies to Raise Workforce Quality

Challenges Ecosystem Changing the way we build

Progress Learning Points

Summary of Productivity Measures -

Strategies to Improve Integration of Value Chain

Push for BIM

Adoption

Build Up Collaborative

BIM Capabilities

Mandatory BIM Submissions

Centre for Lean & Virtual Construction

(CLVC)

Collaborative BIM Requirements for

Public Sector Projects

Funding for BIM Adoption

i

ii

iii

iv

Better Integration

of Value Chain

Build Up VDC

Capabilities

Challenges Ecosystem Changing the way we build

Progress Learning Points

BIM Requirement for

Public Projects

Summary of Ongoing Measures

HIGHER QUALITY

WORKFORCE

TECHNOLOGY

ADOPTION

CLOSER INTEGRATION

OF VALUE CHAIN

Public

sector takes

the lead

Workforce Training

and Upgrading

Skilled Workforce Mandatory BIM

Submissions

Centre for Lean &

Virtual Construction

Scholarships &

Sponsorships

Productivity

Innovation Projects

Mechanisation Credit

Productivity Gateway

Framework

Tendering Advantage

in Public Projects

Government Land

Sales

Level playing

field

Incentive

schemes

Challenges Ecosystem Changing the way we build

Progress Learning Points

Progress & Achievement

Establishing DfMA Ecosystem

Learning Points

Changing the way We BuildChallenges Ecosystem Changing the

way we buildProgress Learning

Points

Payment

Schedule

Market Technical

Contract & Payments

Regulations

1 2

Challenges

Challenges faced by Early PPVC Projects

3

Supplier

CapabilityWait-and-

See

Design

Timeframe

4

Transport

Progress & Achievement

Establishing DfMA Ecosystem

Learning Points

Changing the way We BuildChallenges Ecosystem Changing the

way we buildProgress Learning

Points

Progress Payment

Sub-contract sum of PPVC could be up to 50% of total project

cost

– Contract between developer and main contractor follows the

traditional mode of payment which is upon installation on site.

– For half of the ongoing projects, the main contractors provided advance

payment to PPVC Suppliers, remaining are paid during production and

installation.

– This results in heavy upfront cost for main contractors.

Challenges faced by Early PPVC Projects

Progress & Achievement

Establishing DfMA Ecosystem

Learning Points

Changing the way We BuildChallenges Ecosystem Changing the

way we buildProgress Learning

Points

Learning Points from Early PPVC Projects

1. Need for early contractor involvement

2. Establish clear scope of work among all parties

3. To balance efficiency and cost (e.g. large modules will incur

extra escort cost for transportation)

4. Achieved cost effectiveness with repetition

5. Innovation (e.g. simple connection enhances speed of on-site installation)

Progress & Achievement

Establishing DfMA Ecosystem

Learning Points

Changing the way We BuildChallenges Ecosystem Changing the

way we buildProgress Learning

Points

Progress & Achievement

Establishing DfMA Ecosystem

Learning Points

Changing the way We BuildChallenges Ecosystem Changing the

way we buildProgress Learning

Points

“The only way to avoid making mistakes

is not to do anything. And that will be

the ultimate failure.”

Dr Goh Keng Swee (1918 – 2010)Former First Deputy Prime Minister of Singapore

BCA is not a typical technical authority and regulator

Learning from

the Best

• Industry Learning

Journeys

• International Panel of

Experts (IPEs)

Innovate and Taking Calculated Risks

Strong

Ground up

Innovation

Culture

Progress & Achievement

Establishing DfMA Ecosystem

Learning Points

Changing the way We BuildChallenges DfMA Changing the

way we buildProgress Learning

Points

Outdoor cycling in Singapore a big hit

Pulau Ubin, March 2015

See you at

24 – 27 OCTOBER 2017

50

Q&A

Thank you