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TASK FORCE VALUE ENGINEERING

22ND ICID CONGRESS AND 65TH IEC MEETING, GWANGJU SEPTEMBER
14-20 2014

NOR HISHAM BIN MOHD GHAZALI

MALAYSIAN NATIONAL
COMMITTEE ON IRRIGATION &
DRAINAGE

SECTION 1

VALUE MANAGEMENT MALAYSIAN PRACTISE

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INTRODUCTION
Value Management introduced into the Malaysian
Government project implementation framework
through Economic Planning Unit, Prime Ministers
Department Circular No. 3-2009.
Designed as a key management tool in the
execution of the 10th Malaysia Plan .
Reasons for implementation: to enhance project
optimisation and maximise value
This presentation demonstrates the value
management process as practised by the Malaysian
Government for flood mitigation projects.

PURPOSE AND OBJECTIVE OF VM

To identify and analyse options, to remove

components and costs not contributing value to the
proposed service, system or project objectives
without adversely affecting its objectives and
functions.
A multi-disciplinary engagement that analyses the
functions of designs, projects, services, products,
facilities or systems
To maximise benefits and achieve optimal costs.
To overcome planning flaws which have resulted in
output or facilities whose performance were not
optimal or below their true value potential.
4

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RATIONALE

TO OVERCOME PLANNING WEAKNESSES SUCH

AS:
Poor scoping exercise that failed to accommodate or
consider key options or functions that, with wider
consultation, could have been exploited;
Design inadequacies which produced facilities that were
limited in its ability to serve a wider clientele;
Poor financial planning and budget preparation to support
project requirements;
Poor resource sharing and integration between the
government agencies involved (working in silos).

maximizing value delivery

Lessons learned &
Improvement

VA
value
criteria
Clear value objectives
Ensure value transition
Ensure value continuity
Ensure value consistency
Manage strategic risks
VE
value
criteria
Ensure value transition
Ensure value continuity
Ensure value consistency
Manage project risks
VR
Ensure value transition
Ensure value continuity
Ensure value consistency
Review value realization
Learn the lessons & improve

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VE LAB STAGE

1. Information 2. Function Analysis

Phase 3.Creativity Phase
Phase

6. Presentation 5. Development
4.Evaluation Phase
Phase Phase

value engineering
VE study duration
1 - 2 WEEKS The more time that is spent on
PRE LAB STAGE pre study information gathering &
PRIOR TO LAB
preparing, the better the study will be
- Steven male et al, 1998 -

LAB STAGE 3 - 4 DAYS LAB 1. INFORMATION PHASE

(WORKSHOP)
2. FUNCTION ANALYSIS PHASE
3. CREATIVITY PHASE
4. EVALUATION PHASE
5. DEVELOPMENT PHASE
6. PRESENTATION PHASE

1 2 WEEKS POST LAB FOR PRODUCING VE

POST LAB LAB REPORT;
STAGE IMPLEMENTATION - AS SCHEDULED IN THE
LAB ACTION PLAN

2013JKRMALAYSIA

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value engineering
VE study composition
Entities with executive
Authorize authority to take decisions
or resolve issues in lab

Experts who have to be

Consult consulted on particular
aspects during lab

Entities who have to be

Inform informed on lab decisions
( not to participate)

Entities who have to carry

Do out major tasks of lab
recommendations

2013JKRMALAYSIA

FRAMEWORK AND FORMAT

VM is imposed on projects valued at RM50 million

above
Can be imposed if deemed necessary by Economic
Planning Unit based on project complexity or
importance
Consultative and inclusive approach involving all
subject matter experts and stakeholders
Lab/workshop environment
Every stage guided by forms/templates leading to
final report
Endorsed by implementation agency and budget
controllers
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1. INFORMATION PHASE

INTRODUCTION & TEAM BUILDING

Participants introduction, SECRETARIAT/GROUP
Ice breaking LEADER
briefing on agenda & lab objectives

SHARING OF PROJECT & DESIGN INFORMATION

Review VALUE ASSESSMENT (VA) Report , GROUP
Project Brief, LEADER/CONSU
SOA, data, drawing, document, authorities requirement etc LTANT

ESTABLISH COST MODEL & CLIENT VALUE SYSTEMS

Validate initial study on Client Value System,
Cost Model LAB

ESTABLISH & PRESENT PARAMETERS

Brainstorm, record and present requirements/ parameters /
limitations of VE lab study scope LAB
Agreed parameters (must have) of VE lab study scope
[INFORMATION PHASE TEMPLATE]

LAB PARTICIPANTS

Reference : JKR.VE.Lab.06
VALUE MANAGEMENT Page No : 1
Issue No : 1
Revision
List Of Participants No : 00
Date

PROJECT : Rancangan Tebatan Banjir Sg Kedah/Anak Bukit, Kedah Darul Aman.

Group : A Date : 10/11/2013 Page : 1/1

NAME POSITION COMPANY TELEPHONE / EMAIL

Team Leader :
Team Member
1
2
3
4
5
6
7
8
9
10
Facilitator
1 Idrus Ahmad TP BBI
2 Hassan KPP BPMI
3 Rosazlan KPPK BPME

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INFORMATION PHASE TEMPLATE

:
JKR.VE.L
VALUE MANAGEMENT Reference ab.01
Page No :1
Issue No :1
Revision No : 00
Information Phase
Date : MAC 2012

PROJECT : Rancangan Tebatan Banjir Sg Kedah/Anak Bukit, Kedah Darul Aman. GROUP : A
LEVEL : PROJECT / SPACE/ ELEMENT / COMPONENT PAGE : 8/10
SCOPE : DATE : 10/11/2013

REF. ISSUES ADDRESSED REMARKS

INFORMATION PHASE TEMPLATE

:
JKR.VE.L
VALUE MANAGEMENT Reference ab.01
Page No :1
Issue No :1
Revision No : 00
Information Phase
Date : MAC 2012

: Construction and completion of 'Viaduct' and associated works at Section 49, Passage #4
PROJECT (KM 157 Gerik - Kota Bharu), Ecological Corridoor Central Forest Spine (CFS), Gerik, GROUP : A
Perak Darul Ridzuan
LEVEL : PROJECT / SPACE/ ELEMENT / COMPONENT PAGE : 1/10
SCOPE : GENERAL & PRELIMINARIES ITEMS DATE : 24/06/2013

REF. ISSUES ADDRESSED REMARKS

GENERAL & PRELIMINARIES ITEMS
1 To include all Contractual Requirements
2 To include all S.O.'s Requirements
3 To include all Project Requirements
4 To include all Authorities Requirements
5 To include all Contractor Requirements

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INFORMATION PHASE TEMPLATE

:
JKR.VE.L
VALUE MANAGEMENT Reference ab.01
Page No :1
Issue No :1
Revision No : 00
Information Phase
Date : MAC 2012

: Construction and completion of 'Viaduct' and associated works at Section 49, Passage #4
PROJECT (KM 157 Gerik - Kota Bharu), Ecological Corridoor Central Forest Spine (CFS), Gerik, GROUP : A
Perak Darul Ridzuan
LEVEL : PROJECT / SPACE/ ELEMENT / COMPONENT PAGE : 1/10
SCOPE : EARTHWORK / DRAINAGE / PAVEMENT / GEOTECHNICAL / PROVISIONAL SUM DATE : 24/06/2013

REF. ISSUES ADDRESSED REMARKS

Drainage Works
1 Must refer to JKR Standard specification and method of measurement (MOM)
2 Refer to JPS guidelines and requirements (where applicable)
3 Proper drainage structures to be provided to cater for actual need
4 To comply Arahan Teknik (Jalan) guidelines, REAM and MASMA guidelines
5 Reevaluate existing drain/culvert and to upgrade as necessary

INFORMATION PHASE TEMPLATE

:
JKR.VE.L
VALUE MANAGEMENT
Reference ab.01
Page No :1
Issue No :1
Revision
Information Phase No : 00
Date : MAC 2012

: Construction and completion of 'Viaduct' and associated works at Section 49, Passage
PROJECT #4 (KM 157 Gerik - Kota Bharu), Ecological Corridoor Central Forest Spine (CFS), Gerik, GROUP : A
Perak Darul Ridzuan
LEVEL : PROJECT / SPACE/ ELEMENT / COMPONENT PAGE : 3/10

SCOPE : EARTHWORK / DRAINAGE / PAVEMENT / GEOTECHNICAL / PROVISIONAL SUM DATE : 24/06/2013

REF. ISSUES ADDRESSED REMARKS

Road Pavement
1 Must follow R4 standard
2 Must follow ATJ 5/85
3 Lane width 3.25m
4 Climbing lane width 3.25m
5 Road shoulder 2.5m width - paved 1.5m, unpaved 1m
6 Design speed 60km/h
Pavement thickness, Wearing Course = 50mm, Binder Course = 60mm, Road Base = 300mm,
7
Sub-Base = 150mm
8 Marginal strip 0.5m
9 Pavement design should consider high volume of heavy vehicle.
10 To include treatment to existing pavement. Eg: resurface and tapping
11 To provide layby for enforcement vehicle parking

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2. FUNCTION ANALYSIS PHASE

ACTIVITIES TECHNIQUES OUTPUTS

ESTABLISH OR Brainstorm functions, Verified Project Functions &
establish FAST Diagram & deliverables
VERIFY PROJECT
align with deliverables [FAST DIGRAM]
FUNCTIONS & ALIGN
DELIVERABLES

ANALYSE Brainstorm functions for Identified functions of

selected spaces, elements spaces, elements &
FUNCTIONS AT components understudy
& components; analyze
SPACE / ELEMENT / spaces adjacency & flows [FUNCTION ANALYSIS
TEMPLATE]
COMPONENT
LEVELS
IDENTIFY Discuss and record possible Identified mismatches for
and identified value value improvement
MISMATCHES [FUNCTION ANALYSIS
mismatches
TEMPLATE]
PRESENT ANALYSIS Present function analysis & Verified function analysis
finalize scope of VE lab and agreed scope of VE
study (potential for value lab study [FUNCTION
improvement) ANALYSIS TEMPLATE]

FUNCTION ANALYSIS PHASE TEMPLATE

:
VALUE MANAGEMENT Reference JKR.VE.Lab.02a
Page No :1
Issue No :1

Function Analysis Phase (Sheet 1) Revision No : 00

Date : MAC 2012

PROJECT GROUP :

LEVEL PAGE :

SCOPE DATE :

FUNCTION AREA (m) USER CAPACITY

REF. SCOPE DESCRIPTION REMARKS
VERB NOUN TYPE COST (RM) SPECIFICATION

Notes:
FUNCTION -
B - BASIC FUNCTION
TYPE:
S - SECONDARY
FUNCTION
RS - REQUIRED SECONDARY
FUNCTION

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FUNCTION ANALYSIS PHASE TEMPLATE

:
VALUE MANAGEMENT Reference JKR.VE.Lab.02a
Page No :1
Issue No :1
Revision
Function Analysis Phase (Sheet 1) No : 00
Date : MAC 2012

: Construction and completion of 'Viaduct' and associated works at Section 49, Passage #4 (KM 157
PROJECT GROUP : A
Gerik - Kota Bharu), Ecological Corridoor Central Forest Spine (CFS), Gerik, Perak Darul Ridzuan
LEVEL : PROJECT/ SPACE/ELEMENT/ COMPONENT PAGE : 1/5
:
: General & Preliminaries Item, Drainage Work, Pavement Works, Road Furniture, Traffic
SCOPE DATE 24/06/201
Management & Temporary Road Diversion
3

FUNCTION AREA (m) USER CAPACITY

REF. SCOPE DESCRIPTION REMARKS
VERB NOUN TYPE COST (RM) SPECIFICATION

1 GENERAL & PRELIMINARIES ITEMS 1,967,800.00 include CIDB Levy

To include all Contractual Requirements Comply JPS req. B
To include all S.O. Requirements Comply JPS req. B
To include all Project Requirements Comply JPS req. B
To include all Authorities Requirements Comply DOSH req. B OSHA
To include all Contractor Requirements Comply Contr. req. B
2 Drainage Works 568,000.00
Drainage Discharge Water B JKR Spec/MSMA (JPS)
Culvert Discharge Water B REAM
Inlet/Outlet Protection Protect In/outlets B
Sump Collect Water B

Notes:
FUNCTION -
B - BASIC FUNCTION
TYPE:
S - SECONDARY
FUNCTION
RS - REQUIRED SECONDARY
FUNCTION

3. CREATIVITY PHASE

ACTIVITIES TECHNIQUES OUTPUTS

Apply Creative &
Innovative Thinking
BRAINSTORMIN techniques
G IDEAS
A broad list of
Record all ideas in generated ideas
templates [CREATIVITY
RECORD IDEAS Do not judge yet!
PHASE
TEMPLATE]
Present to exhaust
PRESENT ideas (go for
quantity)
IDEAS

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3. CREATIVITY PHASE
RULES OF BRAINSTORMING
Sincere
Be open mind
Respect others
Create permissive environment
Good human relations
Participate
Respond
Appreciate
Do not pre-judge
Quantity first, quality later

3. CREATIVITY PHASE

BRAINSTORMING QUESTIONS.......... Can

We?
How else may the
function be Simplify anything?
Eliminate anything?
performed?
Add anything?
Relocate anything?
Change anything?
Improve anything?
What else can
Combine anything?
perform the
required function?

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CREATIVITY & EVALUATION PHASE TEMPLATE

Reference : JKR.VE.Lab.03
VALUE MANAGEMENT
Page No :1
Issue No :1
Revision No : 00
Creativity Phase & Evaluation Phase Date : MAC 2012

PROJECT
LEVEL PAGE
SCOPE DATE

CREATIVITY PHASE EVALUATION PHASE

JUDGEMENT
REF. Client Functional Technical Economical (E) - EVALUATE
GENERATED IDEAS
acceptability suitability feasibility feasibility (I) - INFORMATION
(D) - DISCARD

4. EVALUATION PHASE

ACTIVITIES TECHNIQUES OUTPUTS

Judge each generated idea in terms
of:
JUDGE * Client Acceptable
* Functionally Suitable
IDEAS * Technically Feasible Judgement on ideas
* Economically Feasible Ranked ideas
(E/I/D)
Rank each generated idea Shortlisted of
whether (with consensus):
EVALUATE ideas
* Evaluate Potential solution
RANK IDEAS * Information Potential for
[EVALUATION
future PHASE TEMPLATE]
* Discard Non potential
Present to shortlist ideas
(judged & ranked as Evaluate)
PRESENT as consensus

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CREATIVITY & EVALUATION PHASE TEMPLATE

Reference : JKR.VE.Lab.03
VALUE MANAGEMENT
Page No :1
Issue No :1
Revision No : 00
Creativity Phase & Evaluation Phase
Date : MAC 2012

: Membina Dan Menyiapkan 'Viaduct' Dan Lain-lain Kerja Yang Berkaitan Di Seksyen 49, Laluan 4 (KM
PROJECT :A
157 Gerik - Kota Bharu), Koridor Ekologi Central Forest Spine (CFS), Gerik, Perak Darul Ridzuan
LEVEL : PROJECT / SPACE / ELEMENT / COMPONENT PAGE : 1/8
SCOPE : EARTHWORK / DRAINAGE / PAVEMENT / GEOTECHNICAL / PROVISIONAL SUM DATE : 25/06/2013

CREATIVITY PHASE EVALUATION PHASE

JUDGEMENT
REF. Client Functional Technical Economical (E) - EVALUATE
GENERATED IDEAS
acceptability suitability feasibility feasibility (I) - INFORMATION
(D) - DISCARD
GENERAL AND PRELIMINARIES ITEM

Can we increase percentage of preliminaries value

A1
(from 6.7% to 7.0% or higher)?
/ / / x E
Contractual Requirements
Can we include Performance Guarantee Sum in the
A2
BQ?
/ / / / E
A3 Can we include Advance Payment in the BQ? / x x / D
S.O. Requirements
A4 Can we reduce the number of vehicles required? X / / / D
Can we include motorcycle as vehicle required in the
A5
BQ?
X / / X D
Project Requirements
A6 Can we relocate S.O.'s site office nearly to site area? / / / / E

4. EVALUATION PHASE

3.Creativity 4.Evaluation
Phase Phase

DECISION
NOT AGREE

AGREE

6.Presentation 5.Development
Phase Phase

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4. EVALUATION PHASE

RANK EACH IDEA (WITH CONSENSUS) TO

SHORTLIST IDEAS FOR FURTHER EVALUATION:

WHETHER:
EVALUATE Potential solution
INFORMATION Potential idea for future
DISCARD Non potential ideas

CREATIVITY & EVALUATION PHASE TEMPLATE

Reference : JKR.VE.Lab.03
VALUE MANAGEMENT
Page No :1
Issue No :1
Revision No : 00
Creativity Phase & Evaluation Phase Date : MAC 2012

PROJECT
LEVEL PAGE
SCOPE DATE

CREATIVITY PHASE EVALUATION PHASE

JUDGEMENT
REF. Client Functional Technical Economical (E) - EVALUATE
GENERATED IDEAS
acceptability suitability feasibility feasibility (I) - INFORMATION
(D) - DISCARD
GENERAL AND PRELIMINARIES ITEM

Can we increase percentage of preliminaries value

A1
(from 6.7% to 7.0% or higher)?
/ / / x E
Contractual Requirements
Can we include Performance Guarantee Sum in the
A2
BQ?
/ / / / E
A3 Can we include Advance Payment in the BQ? / x x / D
S.O. Requirements
A4 Can we reduce the number of vehicles required? X / / / D
Can we include motorcycle as vehicle required in the
A5
BQ?
X / / X D
Project Requirements
A6 Can we relocate S.O.'s site office nearly to site area? / / / / E

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5. DEVELOPMENT PHASE

ACTIVITIES TECHNIQUES OUTPUTS

Expand Evaluate ideas into workable solutions by Detail evaluation of
evaluating: ideas
* Advantages & disadvantages
DEVELOP IDEAS Recommended
* Innovation created ideas
* Risks or constraints
[DEVELOPMENT
* Cost implication
PHASE
Support idea with illustrations, sketches etc
TEMPLATE]
Discuss and gain consensus on best ideas for
FINALIZE IDEAS recommendation (if two or more potential ideas)
Summarize costs optimization of all recommended Reviewed Cost
SUMMARIZE ideas Model
COST Review Cost Model

PROJECT WORK Establish or review project work programme (CPM) Project Work
Develop and agree Action Plan for post lab Programme
PROGRAMMING implementation Agreed Action Plan
& ACTION
PLANNING
INITIATE
Identify and register project risks Identified project
Discuss mitigation measures & responsible party (if risks
PROJECT RISK possible) [RISK REGISTER
MANAGEMENT TEMPLATE
ASSESS VE
Assess achievement of each VE Study Objective VE Study
Identify lessons learned assessment
STUDY Identified lessons
OBJECTIVES learned

DEVELOPMENT PHASE TEMPLATE

Reference : JKR.VE.Lab.04
VALUE MANAGEMENT Page No :1
Issue No :1
Revision No : 00
Development Phase Date : MAC 2012

GROUP RECOMMENDATIO
PROJECT N BOX:
:
EVALUATED
IDEA
YES/
PAGE :
(From Can We) NO
REGISTRATION
DATE : 25/06/2013
NO:1
EXISTING DESIGN / SKETCH COST BREAKDOWN

COST BREAKDOWN

ADVANTAGES / INNOVATION DISADVANTAGES / RISK COST IMPLICATION

ORIGINAL DESIGN COST
realistic estimation increase cost
(RM)
EVALUATED IDEA COST
(RM)
NETT SAVING OR
EXTRA COST
(RM)

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DEVELOPMENT PHASE TEMPLATE

Reference : JKR.VE.Lab.04
VALUE MANAGEMENT Page No :1
Issue No :1
Revision No : 00
Development Phase Date : MAC 2012

: Membina Dan Menyiapkan 'Viaduct' Dan Lain-lain Kerja Yang Berkaitan RECOMMENDATIO
GROU
PROJECT Di Seksyen 49, Laluan 4 (KM 157 Gerik - Kota Bharu), Koridor Ekologi :A N BOX:
P

YES/
Central Forest Spine (CFS), Gerik, Perak Darul Ridzuan
EVALUAT : A1: Can we increase percentage of preliminaries value
ED IDEA (from 6.7% to 7.0% or higher)? PAGE : 1/26
NO
REGISTRATION
DATE : 25/06/2013
NO:1
EXISTING DESIGN / SKETCH COST BREAKDOWN
EXISTING preliminaries is 6.7%

EVALUATED IDEA / SKETCH COST BREAKDOWN

Increase preliminaries to 7%

ADVANTAGES / INNOVATION DISADVANTAGES / RISK COST IMPLICATION

ORIGINAL DESIGN COST
realistic estimation increase cost
(RM)
EVALUATED IDEA COST
(RM)
NETT SAVING OR
EXTRA COST
(RM)

DEVELOPMENT PHASE TEMPLATE

SUMMARY OF RECOMMENDATION IDEAS (GROUP A)
Amount (RM) NETT VALUE
No Ref Description
Saving Extra (RM)
GENERAL AND PRELIMINARIES ITEM
1 A1 Can we increase the % of preliminaries value from 6.7% to 7% or higher?
2 A2 Can we include Performance Guarantee Sum in the BQ?
A6 Can we fixed the S.O.'s site office at the open area closed to the site?
3
A8 Can we allow extra cost and resource for generator set for electrical supply?
4 A10 Can we include any cost for DOSH requirement?
DRAINAGE WORKS
5 A11 Can we include outfall drain for this project?
PAVEMENT WORKS
6 A18 Can we utilize existing road diversion area as replacement of layby?
ROAD FURNITURE
7 A20 Can we include a solar flashing light before approaching this area?
8 A21 Can we install a TL4 safety barrier at the high possibility accident area?
Can we add a warning signboard 500m and 100m on both side before and after the area to alert all vehicle
9 A22
driver?
10 A24 Can we change the transverse bar to rumble strip?
11 A25 Can we add 'cat eye' embedded to the parapet wall ?
ENVIRONMENTAL
12 A37 Can we review the overall cost price for EPW?
TRAFIC MANAGEMENT AND CONTROL
13 A27 Can we reduce the used of sheet pile?
14 A29 Can we relocate any of all the services utilities on the existing road?
PROVISIONAL SUM
15 A31 Can we inlude RSA Stage 5 in after CPC?
16 A41 Can we omit Billboard?
MAINTENANCE
17 A38 Can we itemized road and temporary road diversion maintenance?
VARIATION OF PRICE (VOP)
18 A39 Can we review VOP?
PROFESSIONAL FEES
19 A40 Can we review Professional Fees?
SUBTOTAL (SAVING/EXTRA)
NETT EXTRA TO PROJECT COST
(EXTRA COST)

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6. PRESENTATION PHASE

3.Creativity 4.Evaluation
Phase Phase

NOT AGREE
DECISION?
NOT AGREE

AGREE

DECISION?
6.Presentatio 5.Development
n Phase Phase
AGREE

IMPLEMENTATION

6. PRESENTATION PHASE

ACTIVITIES TECHNIQUES OUTPUTS

REPORTING Prepare initial VE report and Initial VE Report
presentation slides Presentation
Slides
Present initial VE Report and Finalized VE
PRESENT & obtain stakeholders feedback
Report
Review and finalize VE Report
REVIEW (if necessary)

Secure stakeholders approval Approved VE

SIGNING OFF (signing-off) Report
* Not necessarily * Can be during
Post Lab Stage
during lab stage

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PART 2

VM for PEKAN FLOOD MITIGATION PROJECT PHASE II

35

CONTENTS
Ite
Topic Page
m
1 PROJECT INFORMATION
1.1 PROJECT BACKGROUND 3-5
1.2 PROJECT INTRODUCTION 6-7
1.3 Project Background Information
OBJECTIVE 8
1.4 SCOPE 9
1.5 OUTCOME 10
1.6 PROJECT GIVENS / CONSTRAINTS 11
1.7 PROJECT MUST 12
1.8 FAST DIAGRAM 13
1.9 PRE-LAB PROJECT COSTS 14
2 LAB ANALYSIS 15-16
3 POST-LAB PROJCET COSTS 17

4 LAB SUMMARY AND CONCLUSION 18

5 ACTION PLAN 19-24
7 ENDORESMENT OF LAB DECISIONS 25
8 CASH FLOW PROJECTIONS 26
8 ATTACHMENTS
36

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INFORMATIO
PROJECT BACKGROUND N PHASE

Pekan town lies at near the mouth of the Pahang River where
monsoonal floods are common during the months of November till
March

Flood impact is heightened when heavy rainfall in the town and

surroundings as well as in the upper catchment coincides with high
tide in the South China Sea.

The worst recorded flooding occurred in 1926 dan 1971.

Flood of 2007/2008 was the worst in three decades causing much

property loss and disruption of economic activities, power and road
links.

37

INFORMATIO
PROJECT BACKGROUND N PHASE

LOCATION PLAN
SOUTH
CHINA
PROJECT SITE SEA

LIPIS
To Kuantan
JERANTUT

RAUB KUANTAN

TEMERLOH

MARAN

BENTONG PEKAN PEKAN

To Rompin
BERA

ROMPIN
SOUTH
CHINA
SEA

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PROJECT BACKGROUND INFORMATIO

N PHASE

Month, Year Flood Levels (m RL)

Based on january 1971
1926 5.79
Jan,1971 4.85 event, it was agreed that the
Jan, 2000 3.03
Jan, 2001 2.93 flodd mitigation for Pekan
Dec, 2001 3.91
Jan, 2002 3.77 would target a 30-year ARI
Dec, 2003 3.4
In December 2007, the flood
Dec, 2004 2.99
Feb, 2006 2.91 level was an 8.5 year ARI
Dec, 2006 3.02
Dec, 2007 4.01 event
Jan, 2008 2.6
Feb, 2008 2.56
Jan, 2009 2.89

ARI or Return AUSTEC Report Current Analysis

Event (Year)
Period (Flood Level, m RL) (Flood Level, m RL)
2 - - 3.09
5 - 3.96 3.69
10 - 4.42 4.15
25 - 4.88 4.76
(30) Jan 1971 - 4.88
50 - 5.49 5.22
100 - - 5.69
1926 6.20 5.79

INFORMATIO
INTRODUCTION N PHASE

Pekan Flood Mitigation Project started since the 3rd

Malaysia Planin 1978 and until the 9th Plan in 2010, a total
of RM 22,094,914 had been spent to control the flood.
Flood areas have increased from 1830 ha. to 2,600 ha.
Studies have reassessed the flood risk areas and revised
them to 6,200 ha.
In the 10th Malaysia Plan, MYR XXXX has been allocated
for protection of 6,200 ha.

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INFORMATIO
PROJECT INTRODUCTION N PHASE

PEKAN FLOOD MITIGATION MASTER PLAN

Flood Mitigation for

Pekan to be divided
into 3 parcels as
follows;
Poldering Parcel 2

Parcel 1 : Royal town

of Pekan (2,600 ha)
Poldering Parcel 1 Parcel 2 : Mosque,
hospital and
Pelangkah Residential
Area (1500 ha)
Poldering Parcel 3 Parcel 3. Miang &
Durian Sebatang
Possible Future
Rivers Agricultural
Poldering Parcel Area (2100 ha)

INFORMATION
OBJECTIVE PHASE

To protect Pekan town and its surrounding, Miang

River village to the south, Pulau Keladi to the
west, Pasir Panjang to the east from bank
overflow of Pahang River with a protection level of
30 years ARI.
To minimise destruction of property, loss of lives
and road connections due to floods in order to
sustain economic activities

42

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INFORMATIO
ORIGINAL SCOPE N PHASE

Under the 10th Malaysia Plan, the original scope of works for Pekan
Flood Mitigation was as follows:-

Project area: Pekan Town and surroundings (2600 ha.)

1. Land acquisition from local government Pahang River (102.5
acres)
2. Consultant and survey fees
3. Upgrade and construction of pump houses at Belibis River
4. Construction of flood control bund/levee along Pahang River
(2.7km)
5. Construction of control structures
6. Construction of internal drainage

43

INFORMATIO
PRE LAB PROJECT COSTS N PHASE

AMOUNT
NO. DESCRIOPTION (RM)

1. Preliminary works
Upgrading and Construction of Pump houses at Sungai
2.
Belibis (Parcel 1)
3. Construction of Flood Protection Bund/levees (Parcel 1)
Construction of Flow Control Structures (hydraulic
4.
structures) (Parcel 1)

5. Construction of internal drainage system (Parcel 1)

6. Land acquisition (Parcel 1)

7. Consultancy fees (Parcel 1)

8. Provisional Sum, Variation of Price, Supervision (Parcel 1)

9. Parcel 2 (inclusive of Land acquisition, VoP, Preliminaries, Perunding,

Supervision, and Prov. Sum)

10. Parcel 3 (inclusive of Land acquisition, VoP, Preliminaries, Perunding,

Supervision, and Prov. Sum)

11 Earlier works for Pekan Phase I (completed 2012)

Jumlah : 44

22
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INFORMATIO
OUTCOME N PHASE

1. Bund and associated flood control structures are

able to protect Pekan and its surroundings from two
flood hazards, Pahang River overflow and swamp
overflow from the west and south (total area 6,200
ha) to a protection level of 30-year ARI.

2. Improvement to internal drainage are able to

overcome flash flood occurrences in Pekan town
center up to protection level of 10-year ARI.

45

INFORMATIO
PROJECT GIVENS / CONSTRAINTS N PHASE

No. ITEM
PROJECT GIVEN
1. Approved total project cost RM 600 million and implemented in phases

PROJECT CONSTRAINTS
1. 10th Plan (RP3-RP4) allocation of RM140 million to be completed by
2015.
2. Phase implementation causes cost increase and delayed achievement
of full project benefits

3. Ketapang link a proposed crossing over a key watercourse separating

a residential area in the flood zone - has been approved by the local
planners
4. Pekan to Rompin main road upgrading works have been scheduled for
completion by Public Works Dept. (JKR) latest by 2017

46

23
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FUNCTION
PROJECT MUST ANALYSIS
TEMPLATE

No. ITEM Comment

Project must
1. Achieve its objective A
2. Be carried in phases and completedlatest by 2019 A

3. Utilities must be relocated before project physical works commence A

4. Land acquisition to be completed before project commences A

5. All relevant agencies / stakeholders affected by the project must A

engaged/consulted
6. If bridges are affected and if alternative routes are 1 km or more away, A
temp bridges/crossings must be constructed before existing bridges are
demolished
7. Keep within project allocation ceiling A
8. Erosion & sediment control best practises to be incorporated to the maximum A
9. Improve flow efficiency in existing drainage system A
10. Employ poldering concept A

COMMENT = (A = AGREE, D = DISCARD, I = INFORMATION

ONLY) 47

FUNCTION
FAST DIAGRAM ANALYSIS
PHASE

Divert flow
Divert flow
HOW WHY
Build channel /
Survey // SI
Survey SI tunnel
Earthworks
Earthworks
Build flood bund
Study
Study / wall
Flood
Flood
occurrences
occurrences Improve river
Improve river
Detail conveyance
Detail Design conveyance Geotechnical
Design Geotechnical works
works
Flood area
Flood area Widen / deepen
Implement rivers Drainageworks
Drainage works
Structures
structural
Flood depth
Flood depth measures Remove MM
&&E Eworks
works
constriction
Acquire Landscapeworks
Landscape works
Reduce flood land Replace
Reduce flood risk
risk bridges

Relocate Construction
Flood damages
Flood damages utilities

Install system
Flood losses
Flood losses Flood
Forecast flood and
Instrument
Implement forecasting
instrument
Non-
non
Flood victims
Flood victims Structures Alert Install siren
structural Flood warnings
community
measures
Produce flood
Flood maps
hazard map Flood Mitigation 48

24
 1/29/2015

CAN WE PARCEL 1 - PHASE II CREATIVIT

Y PHASE

Bil. Question Comment

Can we.?
i) Simplify/eliminate/add/combine/transfer or
move/change/modify/exchange
1. Reduce cost of land acquisition E
i. Pahang River type 1 bund from RM250,000/acre to RM
200,000/acre
ii. Pahang River type 2 bund from RM250,000/acre to RM
200,000/acre
iii. Ketapang Link from RM250,000/acre ke RM 200,000/acre
iv. Collector drain from RM 250,000/acre ke RM200,000/acre
2. Change Ketapang Link alignment by considering development D
proposal to include single carriage way type R2 without shoulder

3. Reduce cost of utilities relocation to RM1,000,000.00 E

4. Need for TNB (power) sub station for Belibis Pump Station D

5. Extend type 3 bund to the road junction leading to Pasir Panjang E

6. Remove the proposed TNB sub station at Sungai Mat Dulang Control E
Structure
7. Add TNB sub station for Control structures along Pahang River bund E

49 8. Examine size of Ketapang Link and replace with bridge with road E Lampiran 4a
culvert
9. Re-examine size of control room at Sungai Belibis pump station E

CAN WE PARCEL I, PHASE II CREATIVIT

Y PHASE

Nos. Question Comment

Can we.?
i) Simplify/eliminate/add/combine/transfer or
move/change/modify/exchange
10. Remove the item of protection of existing structures from the PDA E
11. Remove the need of Quality Assurance from the PDA E

12. Deepen Pahang River D

13. Remove the landscape component E

14. Replace borepiles in bund type 2 design with spun piles E

15. Change Type 1design from vertical flood wall to earth bund E
16. Review land area to acquire for bund type 1 design
17. Add land acquisition area for type 1 flood protection bund E

18. Review need of pump of 2500 l/s capacity for Sungai Belibis pump D
house
19. Provide mobile gen-set to replace standby gen-set E
(E = Evaluated, D = DISCARD, I = Information Only)
50 Lampiran 4

25
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CAN WE PARCEL 2 CREATIVIT

Y PHASE

Bil. Question Comment

Can we.?
i) Simplify/eliminate/add/combine/transfer or
move/change/modify/exchange
20. Reduce cost of land acquisition

i. Bunds for Parcel 2 from RM110,000/acre to RM 100,000/acre

ii. Sungai Genuk from RM110,000/acre to RM 100,000/acre

(E = Evaluate, D = Discard , I = Information Only)

51 Lampiran 4a

CAN WE PARCEL 3 CREATIVIT

Y PHASE

Nos. Question Review

Can we.?
i) Simplify/eliminate/add/combine/transfer or
move/change/modify/exchange
21. Reduce cost of land acquisition E

i. Bunds for Parcel 3 from RM110,000/acre to RM 100,000/acre

ii. Sungai Air Tawar from RM110,000/acre to RM 100,000/acre
22. Reduce coverage area for Parcel 3 E

23. Review size of bridge crossing Air Hitam River E

Total Ideas = 23
Total Ideas Evaluated = 20
Total Ideas Discarded = 3

(E = Evaluate, D = Discard , I = Information Only)

52 Lampiran 4a

26
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EVALUATION
VALUE IMPLICATIONS / RECOMMENDATIONS OF CAN/DEVELOPME
WE
NT PHASE

1) CAN WE Reduce cost of land acquisition REFERENCE: Can Wefor

Parcel 1 Phase II no. 1/22
i. Bunds for Parcel 2 from RM110,000/acre to RM sahaja
100,000/acre
ii. Sungai Genuk from RM110,000/acre to RM 100,000/acre
iii. Bunds for Parcel 3 from RM110,000/acre to RM
100,000/acre
iv. Sungai Air Tawar from RM110,000/acre to RM 100,000/acre

Strength: Weakness: Savings : RM5,225,000

Reasonable costs of land NIL Addition : RM 0

acquisition
Lain-lain :
Discussion with Land Office and
Evaluation Dept. on 4 & 5
Skop / Spesifikasi Asal December 2012
Skop / Spesifikasi Cadangan

RM250,000/ acre RM200,000/ acre

53 Lampiran 5a

EVALUATION
VALUE IMPLICATIONS / RECOMMENDATIONS OF CAN WE /DEVELOPME
samb
NT PHASE

ii) DETAILED COST PROPOSALS

QUANTIT AMOUNT
NOS. ITEM / WORK RATE (RM)
Y (RM)
1 Bund type 1 Pahang River 21

2 Ketapang Link 4.5

3 Air Hitam River 21

4 Collector Drain 56

JUMLAH (RM)

iii) COST SUMMARY

Original cost RM

Proposed cost RM

Savings (-) (-)RM

Lampiran
54
5a

27
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EVALUATION
VALUE IMPLICATIONS / RECOMMENDATIONS OF CAN/DEVELOPME
WE
NT PHASE

2) CAN WE Add power sub station at Belibis Pump Station if Rujukan: *refer slide Can
we use existing pump We for item Parcel 1 Phase II
no. 4/22 sahaja

Strength: Weakness: Savings : RM 220,000

Cost savings Cost will increase if current Add : RM

Not top be included in SCOPE if
2500l/s or more capacity pumps
needed
situations demand an
additionasl sub-station.
Power interruptions will occur Others :

Skop / Spesifikasi Asal Skop / Spesifikasi Cadangan

TNB Sub Station Not in original scope

55 Lampiran 5a

EVALUATION
VALUE IMPLICATIONS / RECOMMENDATIONS OF CAN WE /DEVELOPME
samb
NT PHASE

ii) Cadangan Kos Teperinci

Kadar
Bil. ITEM / Perihal Kerja Kuantiti Amaun (RM)
Harga (RM)
1 TNB Sub Station 1

JUMLAH (RM)

iii) Ringkasan Kos

Kos Asal RM 000

Kos Cadangan RM 0

Penjimatan (-) (-)RM ,000

Lampiran
56
5a

28
 1/29/2015

PRESENTATIO
REPORT SUMMARY N PHASE

IDEA

TOTAL
TOTAL SUBMITTED TOTAL ACCEPTED
EVALUATED

22 19 17

COST REDUCTIONS RM 0
COST ADDITIONS RM 0
FINAL TOTAL
RM 0
(reduction/addition)

57 Lampiran 6

LAB ANALYSIS PRESENTATIO

N PHASE

Original Project Scope Lab Analysis Post-lab Project Scope

Land acquisition Members from Evaluation Dept., Pekan Land and District Land acquisition
1.1) RM250,000/ acre Office and Office of Land and Mines concur that land 1.1) RM200,000/ acre
1.2) RM110,000/ acre acquisition cost can be reduced by RM 50,000/acre and 1.2) RM100,000/ acre
RM10,000/acre respectively

2) River Bund Type 2 Piling system can be switched to spun piles at lower cost 2.1) River Bund Type 2 Spun
Borepile pile

3) Land acquisition 15 km Parcel 3 bund/leveee can be targeted at residential and 3.1) Land acquisition 9.5km
marked-for-development areas only

4) Not in scope Necessary to extend bunding to Junection at Pasir Panjang 4) Flood control levee 1.6km long
village to increase protection of lands marked placed under
East Coast Economic Region (special areas of economic
development)

5) Protection of Existing Not necessary. 5) Removed from scope

Structures
6) Landscaping along Pahang Landscape necessary for strategic areas 6) Landscaping for strategic areas
River levee (RM4.8 million) only (RM2.0 million)

7)Ketapang Link: 10 m Size of Ketapang link can be reduced based on current 7) Ketapang Link channel size
channel, bridge 1 unit needs. A bridge is unnecessary and can be replaced with a 5m, twin box
culvert culvert 1 unit

58

29
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PRESENTATIO
LAB ANALYSIS N PHASE

Original Project Scope Lab Analysis Post-lab Project Scope

8) Utilities relocation cost Utility companies agree that cost can be reduced by RM 8) Utilities relocation cost RM1.0
RM1.5 million 500,000. million

9) TNB sub station at Sungai TNB (power company) assures that existing sub-stations can 9) Removed from scope
Mat Dulang support additional load requirements

10) Not in scope
11) Control house - area
240 m2
Lab agrees the need for additional power sub-station to 10) TNB sub station for control
support control structures along Pahang river bunds due to structures along Pahang River
long distance to existing sub-stations bund
Lab agrees that size of control house can be reduced if 11) Control house area reduced
standby gensets are replaced by portable genset to 180m2

12) Quality Assurance Quality Assurance elements have already been included 12) Removed from project scope
elements under preliminary costs
13) 3 nos. standby Gen-sets Lab agrees that mobile Gen-sets are more suitable as usage 13) 1 nos. mobile genset
at the control house is not frequent

59

PRESENTATIO
POST-LAB PROJECT COSTS N PHASE

Preliminary Detailed Abstract

AMOUNT
BIL. DESCRIPTION (RM)

1. Preliminary works
Upgrading and Construction of Pump houses at Sungai Belibis
2.
(Parcel 1)
3. Construction of Flood Protection Bund/levees (Parcel 1)
Construction of Flow Control Structures (hydraulic structures)
4.
(Parcel 1)

5. Construction of internal drainage system (Parcel 1)

6. Land acquisition (Parcel 1)

7. Consultancy fees (Parcel 1)

8. Provisional Sum, Variation of Price, Supervision (Parcel 1)

9. Parcel 2 (inclusive of Land acquisition, VoP, Preliminaries, Perunding,

Supervision, and Prov. Sum)

10. Parcel 3 (inclusive of Land acquisition, VoP, Preliminaries, Perunding,

Supervision, and Prov. Sum)

11 Completed works under Phase I (actual costs)

60
Total :

30
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PRESENTATIO
LAB SUMMARY N PHASE

Objecktif PEKAN FLOOD MITIGATION PLAN PHASE II

To protect Pekan town and its surrounding, Miang River village to the south, Pulau Keladi to the west, Pasir
Panjang to the east from bank overflow of Pahang River with a protection level of 30 years ARI.
To minimise destruction of property, loss of lives and road connections due to floods in order to sustain economic
activities

Original Now

Project Area: Pekan and surroundings (2600 ha.) Project Area: Pekan and surroundings (6,200 ha.)

1. Land acquisition from local government Pahang 1. Land acquisition from local government Pahang
Project scope

River (102.5 acres) River (756 acres)

2. Consultant and survey fees 2. Consultant and survey fees
3. Upgrade and construction of pump houses at 3. Upgrade and construction of pump houses at
Belibis River Belibis River
4. Construction of flood control bund/levee along 4. Construction of flood control bund/levee along
Pahang River (2.7km) Pahang River (4.25km)
5. Construction of control structures 5. Construction of control structures
6. Construction of internal drainage 6. Construction of internal drainage
7. Construction of bund/levee Parcel 2 (15km)
8. Construction of bund/levee parcel 3 (9.5km)

Original Now Difference

Proje

Cost

MYR 35.14
ct

DE XXX XXX MILLION

5.86 %
Ceilin

2013 19.5 2014 50.0 2015 70.5 2016 XXX

g

2017 XXX 2018 XXX 2019 XXX 2020 XXX 61

PRESENTATION
ACTION PLAN PHASE

ACTION BY COMPLETION DATE OUTPUT

VA report (draft) to VM
1 JPSM 14 December 2012 Finalise report
Section, EPU

VA report approved and Draft VA report

2 EPU 21 December 2012
returned to JPS approved

3 Report signing ceremony EPU/NRE/JPS 4 January 2013 VA report signed

Report circulated :-
a. EPU (2 set)
b. NRE (1 set)
Records and
4 c. JPS Pahang State (1 set) JPSM 11 January 2013
reference/action
d. JPS Malaysia HQ (1 set)
e. National Audit Dept. ( 1
set)
62

31
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ACTION PLAN PARCEL 1

PRESENTATION
PHASE

BIL ACTION BY COMPLETION DATE OUTPUT

Letter of
5 Appointment of consultant JPSM 25 February 2013
Appointment

Prepare design and Biils of Design plans and Bills

6 JPS / Consultants 15 August 2013
Quantities of Quantities ready

Conduct Value Engineering Design plans and Bills

7 JPS / Consultants 30 August 2013
(VE) of Quantities finalised

Complete land
8 Land acquisition JPS / Consultants 30 September 2013
acquisition

Tender Documents
9 Prepare Tender Documents JPS / Consultants 30 October 2013
ready

63

ACTION PLAN PARCEL 1 (continued)

PRESENTATION
PHASE

BIL ACTION BY COMPLETION DATE OUTPUT

10 Issue Letter of Acceptance JPS / Consultants 25 March 2014 Tarikh milik tapak

Certificate of
11. Construction completed JPS / Contractor 30 October 2017
Completion

64

32
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ACTION PLAN PARCEL 2

PRESENTATION
PHASE

BIL ACTION BY COMPLETION DATE OUTPUT

Issue appointment
12. Appoint study consultant JPSM 01 February 2016
letter

Conduct Value Engineering Design plans and Bills

13. JPS / Consultants 15 February 2017
(VE) of Quantities ready

Design plans and Bills

14. Land acquisition JPS / Consultants 03 March 2017 of Quantities finalised

Land acquisition
15. Prepare Tender Documents JPS / Consultants 15 February 2017
completed

16. Prepare Tender Documents JPS / Consultants 15 July 2017 Tender Documents

65

PRESENTATION
ACTION PLAN PARCEL 2 CONTINUED PHASE

BIL ACTION BY COMPLETION DATE OUTPUT

17. Letter of acceptance JPS / Consultants 25 September 2017 Site possession

Certificate of
18. COMPLETION of works JPS/Contractor 30 October 2019
completion

66

33
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ACTION PLAN PARCEL 3

PRESENTATION
PHASE

BIL ACTION BY COMPLETION DATE OUTPUT

19. PREPARE Tender Documents JPS / Consultants 15 July 2017 Tender Dokumen

Date of Site
20. Issue Letter of Acceptance JPS / Consultants 25 March 2018
Possession

Certificate of
21. Completion of works JPS/Contractor 30 October 2019
Completion

67

PRESENTATION
SUMMARY OF OVERALL PROPOSAL - VM PHASE

Reductio
Value Addition
NO. ORIGINAL PROPOSED n
Added (RM)
(RM)
Harga tanah parcel 1 Harga tanah parcel 1
1/22 -
RM250,000/ ekar RM200,000/ ekar
Kos Pengalihan Utiliti Kos Pengalihan Utiliti
3/22
RM1.5Juta RM1.0Juta
Tiada dalam skop asal Bund Type 3 ext 500m
5/22 Bund Type 4 800m
Bund Type 5 250m
1 no TNB sub station di Tiada
6/22 Struktur Kawalan Mat
Dulang
Tiada dalam skop asal TNB sub station di Ban Sg
7/22
Pahang Control Structure
Skop Ketapang Link - channel 5 m, twin box
channel 10m, jambatan 1 culvert
8/22
unit
Control house with meeting Control house without
9/22
room meeting room

Keperluan Protection Tiada keperluan Protection

10/22 Existing Structures Existing Structures
Lampiran 7
68

34
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PRESENTATIO
ENDORSEMENT OF VALUE MANAGEMENT LAB CONCLUSIONS
N PHASE

Project Cost : RM XXX,XXX,XXX.00 The Ministry of Natural Resources and Environemnt and the Economic Planning
Unit, Prime Ministers Dept. agree with the scope and costs as decided/agreed in
the Value Management Lab of 03-07 December 2012 for the Proposed Pekan
Finalised Project Scope Flood Mitigation Project Phase II

Name : XXXXXXXXXX
Project Area: Pekan town and Position : Undersecretary
surroundings (6,200 ha.) Development Division
Ministry of Natural Resources and Environemnt
1. Land acquisition from lcoal
government along Pahang River Date : .
(756 acres) Signature
2. Consultancy and Survey Costs
3. Upgrading and construction of Name : XXXXXXXXX
pump houses at Sungai Belibis Position : Director Economic Section-Environment and Natural Resources,
4. Construction of flood protection Economic Planning Unit, Prime Ministers Dept.
bund along Pahang River (4.25
km)
5. Construction of control Date : .
structures Signature
6. Construction of internal Name : XXXXXXXXXXXXX
drainage system Position : Director General
7. Bund construction - Parcel 2 (15 Department of Irrigation and Drainage
km)
8. Bund construction - Parcel 3 Date : .
(9.5 km) Tandatangan

Nota : VE must be conducted before tendering

69

Closing Remarks
VM relatively new but gaining strong
momentum
To adopt VM into various types of
development projects and fine tuning
intervention criteria
Establishing pool of experienced facilitators
and subject matter specialists
Improving lab process

70

35
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Thank you

A Contribution by the Malaysian National Committee of

Irrigation and Drainage
September 2014

Acknowledgment: Idrus Ahmad & Rohani Ahmad, Dept. of Irrigation & Drainage ;
Zawidatul Asma Ghazali (Dept. Of Public Works), Malaysia

36