interactive report of architectural site practice

TOPIC 4: SITE SUPERVISION

4.1.3 WHAT IS THE CRITICAL PATH METHOD IN
CONSTRUCTION?
WORKS PROGRAM CHART
The critical path method in construction is a
(CRITICAL PATH METHOD) method of project scheduling that breaks down
required activities using a diagram to calculate the
duration required to complete each activity. The
critical path method, or CPM for short, is sometimes
referred to as critical path scheduling. It’s commonly
used by project managers to accurately plan
construction projects.

HOW DO YOU IDENTIFY A CRITICAL PATH?

Critical path is determined by a detailed network
diagram that takes into account each activity, its
duration, predecessors, and lag. The critical path is
the sequence of activities that are essential (critical)
in order to complete the project.

WHAT IS A CRITICAL PATH DIAGRAM?

A critical path diagram is a visual planning tool that
represents all of the construction activities required
to complete a project. The diagram takes into
consideration each activity’s duration, preceding
activity (how each activity related to another), and
WHY IS THE CRITICAL PATH METHOD lag. The diagram allows for a project to visually be
USED? broken down into activities, which are often

depicted in boxes.
Using the critical path method to map out There is a network of lines between the boxes
each project’s activity, each activity’s (activities), which show exactly how each activity is
predecessor, and lag allows project managers connected and the inter-connected flow that is
to calculate the total required duration of a required to complete a project.
project.
The CPM is then used to identify the critical
activities (critical path) that are needed to
complete the project that is being planned.
Non-critical activities are also listed on a
critical path diagram. These are activities that
have more flexibility on time and will not have a
major impact on the project. Project managers
are able to organize critical and non-critical
activities and consider different options for
each. For example, they can consider a scenario
where one activity takes longer than the
company predicts and plan for how this would
impact the project as a whole.

PAGE NUMBER 43

TOPIC 4: SITE SUPERVISION

4.1.3

WORKS PROGRAM CHART HOW IS THE CRITICAL PATH METHOD APPLIED
IN THE FIELD OF CONSTRUCTION?
(CRITICAL PATH METHOD)

Construction projects can be complex and require
a great deal of planning. CPM assists project
managers to ensure that construction projects are
completed on time and within budget. When a
construction contract is signed, project managers
are able to use the CPM to effectively plan and
prepare for the upcoming project. They are able to
break down all the necessary activities and slot them
into the diagram, connect their interdependencies,
estimate activity durations, and find the critical path
to complete the project. Project managers can also
use CPM to manage the project as it unfolds. They
HOW TO CREATE A CPM SCHEDULE are able to update the diagram with actual start and
finish dates for each activity and make adjustments
Creating a CPM schedule can be done where necessary.
manually or with the assistance of a scheduling
system; however, the same basic steps are
followed every time. WHAT ACTIVITIES IN CONSTRUCTION IS CPM
USED FOR?
The 5 steps to creating a critical path method
schedule are: Construction projects can use the critical path
method for nearly all activities. The CPM maps out
1.Identify each specific activity. each activity required to complete the project,
2.Estimate each activity’s duration (including including the critical and non-critical activities. This
start and end dates). could include activities like hauling materials, pouring
3.Determine activity sequences and concrete, paving, and more.
dependencies.
4.Crash your schedule to map out the
network diagram and overlap activities that
can happen at the same time. CAN A PROJECT HAVE NO CRITICAL PATH?

5.Identify the critical path No. The premise of a critical path is the sequence of

It is imperative that critical path diagrams be activities (or activity) that is required to complete a
updated as needed and as the project unfolds project so, to have no critical path, there would need
to show progress and stay organized to be no project.

PAGE NUMBER 44

TOPIC 4: SITE SUPERVISION WHAT IS A CONSTRUCTION SITE DIARY?

4.1.3 Also referred to as the construction log or site
journal, the site diary is your construction project’s
WORKS PROGRAM CHART record of all its worksite progress including all events
and activities that could affect your construction
(DAILY RECORD OR SITE DIARY) progress and quality of your completed work. In
saying so, it is important that you fill out your site
diary daily and as incidences occur. Your site diary is
the backbone of all your construction site reporting.
Today, we will delve into a simple explainer article on
construction site diaries and their importance. To
start off, a site diary is a document of “first record”,
where a competent site supervisor or manager
initially records any occurrences on-site.

WHY IS IT IMPORTANT TO KEEP A
CONSTRUCTION SITE DIARY?

It is important to keep a construction site diary as
construction logs are a great tool to demonstrate
what work was done, which tasks were completed,
what problems were solved and what issues were
outstanding on specific days. Daily logs compound
to an archive of records that may be useful at any
time. All verbal agreements and deals come and go
but recorded documents can always be retrieved.

PAGE NUMBER 45

TOPIC 4: SITE SUPERVISION

4.1.3

SITE MEETING

WHAT IS A SITE MEETING?

Site meetings are an important part of the
successful management of construction projects.
Regular site meetings between the different
stakeholders on a project can help facilitate better
communication and a shared sense of purpose
making it more likely that the project is completed
successfully. Project failures are often attributed to
inadequate management, with a key factor being a
lack of proper communication.
Meetings should be regular and formerly scheduled,
perhaps on a weekly or monthly basis depending on
the parties involved, although the size and
complexity of the project may necessitate a more
regular schedule. They are used as a means of
reporting progress, enabling discussion of any
problems or issues, and allowing the proposal of
solutions. They provide a good opportunity for two-
way discussions of any issues that have arisen or
that are anticipated.
Holding meetings on site enables the stakeholders to
see progress for themselves (rather than relying on a
report for another party), and to look at problem
areas, discuss quality issues, assess mock-ups, and
so on.
Construction progress meetings are a specific sort
of site meeting during which the contract
administrator receives progress reports from the
contractor and consultant team, cost reports from
the cost consultant and other more specific
information such as sub-contractor reports,
progress photos, and so on.

PAGE NUMBER 46

TOPIC 4: SITE SUPERVISION

4.1.3

DEFECTS LIST

DEFECTS IN CONSTRUCTION

Defects are aspects of the works that are not in
accordance with the contract.
Defects may occur because of:

Design deficiencies.
Material deficiencies.
Specification problems.
Workmanship deficiencies
Defects can be 'patent' or 'latent'. Patent defects are
those which can be discovered by reasonable
inspection. Latent defects are those which cannot
be discovered by reasonable inspection, for example
problems with foundations which may not become
apparent for several years after completion when
settlement causes cracking in the building. When a
latent defect becomes apparent, it becomes patent
rather than latent.
During the defects liability period, the client reports
any defects that arise to the contract administrator
who decides whether they are defects in the works
(i.e. works that are not in accordance with the
contract), or whether they are in fact maintenance
issues. If the contract administrator considers that
they are defects, then they may issue instructions to
the contractor to make good the defects within a
reasonable time.
NB: It is the contractor's responsibility to identify and
rectify defects, not the clients, so if the client does
bring defects to the contractor's notice, they should
make clear that this is not a comprehensive list of all
defects.
At the end of the defects liability period, the
contract administrator prepares a schedule of
defects, listing those defects that have not yet been
rectified, and agrees with the contractor the date by
which they will be rectified. The contractor must in
any event rectify defects within a reasonable time.

PAGE NUMBER 47

TOPIC 4: SITE SUPERVISION

4.1.3

SITE REPORT

DEFINITION

A report is a written document that provides
information. In the construction industry, reports are
typically formal documents that provide information
about key events, project stages or processes to a
client, local authority, purchaser and so on. They can
also provide more general information about the
state of something, ranging from individual
components to the entire construction industry or
the wider economy.

Ideally, reports should be concise, written in easy-
to-understand language, should be easy to navigate,
should contain only information that is necessary,
and should not duplicate information that can be
found elsewhere.

PAGE NUMBER 48

TOPIC 4: SITE SUPERVISION

4.2 THE PQP (PROJECT QUALITY PLAN) DOCUMENTATIONS INVOLVED IN BUILDING
CONSTRUCTION

4.2.1 THE DOCUMENTATIONS INVOLVED IN BUILDING CONSTRUCTION

BIDDING DOCUMENTS
Bidding documents are not legally binding, but they do give contractors a chance to assert their intentions and
expectations early on in the process. Expectations, conditions, and terms pre-established in the bidding documents
can influence how the final construction agreement is written, how weather and environmental factors are handled
during the process of construction, and how subcontractors are hired.

CONSTRUCTION CONTRACTOR AGREEMENT
Once a bid has been accepted, general contractors must sign agreements before work begins. Construction
contractor agreements cover the following:

The scope of the work to be done; this includes a description of the project
The general schedule/timeline of the project
Who will complete the work; contractor information
Who will pay for the completion of the work; commercial customer information
Provisions for weather and environmental delays and other contractor protections
Supplier details
Information on governing contract laws; insurance, claims processing, etc.
ARCHITECTURAL DRAWINGS
You should also include in all documentation the drawings associated with the project. Drawings are a visual
representation of the agreed upon final design, something tangible for contractor and customer to agree
upon before the project begins.
Beyond keeping records of the general design of the project, you should maintain records that also describe
the scope, extent, and aesthetics of the project to be completed.
SPECIFICATIONS
The specifications of a commercial construction contract detail the technical requirements of a particular
project. This is the initial agreement of the specifics of the project, and any changes later will be handled
under the Scope of Work section.
The specs section should include:

Common standards and best practice
Material requirements and acceptable material deviations
Testing and certifications required for project completion
Techniques and equipment expected to be used

PAGE NUMBER 49

TOPIC 4: SITE SUPERVISION

4.2.1 THE DOCUMENTATIONS INVOLVED IN BUILDING CONSTRUCTION

BILL OF QUANTITIES
The Bill of Quantities includes documentation of all materials and tools needed for completion of the project.
This can include an itemized list of tools, labor, material, and miscellaneous parts as well as pricing for every
item.
This document helps contractors properly estimate the cost of the project and offer an accurate initial bid.
This document also helps customers see a visual representation of where their money is going.
SCHEDULE
A construction schedule will help keep the completion of the project on track and help manage timeline
expectations right from the start. Construction schedules can include options to change or alter the
schedule at a later date, as some commercial construction projects are delayed due to permit or licensing
delays.
The schedule can also address what should be done in the event that the proper materials cannot be
obtained in time.
The schedule should include a list of necessary components for completing the project, their relative start
times, their relationship to other projects, and when each project should be completed by. The schedule can
also be where licensing and building permit certifications are scheduled.
WORK ORDERS
All work orders describing specific projects and work to be done should be saved. The maintenance of these
documents will help keep projects on task, help ensure work is completed correctly, and act as extra
evidence of the agreed upon terms.
Work orders include client and contractor information, order numbers, expected completion date,
authorizing signatures, etc.

SUBCONTRACTOR APPLICATION
Some commercial construction projects require the addition of third-party laborers in the form of
subcontractors. Subcontractors may specialize in painting, masonry, electrical wiring, or any other number of
specialized project positions.
Subcontractor applications let the hiring party know that the subcontractor is qualified. Subcontractor
applications include:

Subcontractor information including licenses, safety officer, suppliers, etc.
Financial information
Project bidding; this will include price estimates for the job, material costs, overhead, etc.
Legal information

PAGE NUMBER 50

TOPIC 4: SITE SUPERVISION

4.2.1 THE DOCUMENTATIONS INVOLVED IN BUILDING CONSTRUCTION
BLANKET SUBCONTRACT AGREEMENT
A subcontractor agreement is similar to a construction contractor agreement. Subcontractors must be
subject to the same terms as the primary contractor, and agreements should be tailored to the specific job
required.
Subcontractors may be involved in the entirety of the project, or only a specific portion. The subcontract
agreement should clearly state what elements of the project that the subcontractor is responsible for, the
time in which it is to be completed, and all pertinent legal and financial details.
FORM W-9
The most commonly used tax form, the W-9, describes the particulars of individual taxpayers. Construction
companies should maintain accurate and up-to-date records of all employee W-9s.
W-9 forms include taxpayer identification information used in the calculation of social security and income
tax payment. Without the appropriate W-9 information, your company will not be able to accurately file
taxes.
INSURANCE REQUIREMENTS/CERTIFICATE OF INSURANCE
Insurance, and specifically liability insurance, is an absolute must for contractors. Maintaining
documentation and records of insurance policies and certificates can help you stay out of legal trouble,
understand all commercial construction requirements, help you protect your employees, and avoid being
charged for accidental damage to a work site.
Insurance certifications should be kept on hand at all times to help settle possible damage or claims
disputes.
Insurance will help pay for accidents and injuries associated with the job, accident and damage protection
for the property, and protects against unfounded or unreasonable claims. Proof of insurance is also a method
for proving to a customer that your construction company has the capital and economic backing to handle
issues that may arise under the contract.
A contractor without insurance will likely be passed up in favor of a better-qualified company.

DAILY REPORTS
Submitting daily reports helps contractors to keep track of the real-time progress of the project. These daily
reports act as the only detailed account of the process of construction, and therefore can be invaluable
should you need to go back and look at the process in the future.
Daily reporting helps to track where mistakes might have happened and demystify the many actions that
had to be taken to achieve the desired end result. Daily reports should be completed at the end of every day,
starting from the very beginning.
SAFETY REPORTS
Included in this set of documentation should be a safety checklist with policies and expectations for job site
safety. Checklists should be shared with every member of your team, used every day, and kept as a way to
measure trends in workplace safety, ensure compliance with certain standards, and help in the filing of
accident claims should an accident or injury occur.
Sharing your safety checklist with your entire team will help remind workers of best practices, and keep
every member of your team safer.

PAGE NUMBER 51

TOPIC 4: SITE SUPERVISION

4.2.1 THE DOCUMENTATIONS INVOLVED IN BUILDING CONSTRUCTION
WORKERS COMPENSATION WAIVER
While all businesses must pay compensation to employees who have been injured or suffered an accident on
the job. Contract workers typically sign a workers’ compensation waiver, which exempts them from
qualifying for workers compensation.
This ensures the worker will not be able to sue in the event of an accident.
Essentially, a workers’ compensation waiver asserts that the independent contractor is their own employer,
exempting the hiring company from all responsibilities associated with being an employer, including workers
compensation. Maintaining and saving all workers compensation waivers will help you avoid legal trouble
down the road.
STATE SALES TAX EXEMPT CERTIFICATE
Construction companies may not always collect the necessary sales tax after the completion of a project. In
these cases, a State Sales Tax Exempt Certificate is necessary.
Sales tax exemptions are issued by purchasers in order to make tax-free purchases on services or items that
ordinarily would be taxed. Tax-exempt certificates do not expire but must be maintained throughout the
duration of sales being made.
Tax-exempt certificates are only necessary for the sale of products or services that are taxable by statute.
The proper maintenance and recording of appropriate documents is key to success for any commercial
construction company. Record keeping helps to prevent disputes, keep work on schedule, and ensure all
parties involved are protected.

PAGE NUMBER 52

TOPIC 4: SITE SUPERVISION

4.2.4 JUSTIFY THE DOCUMENTATIONS INVOLVED IN BUILDING CONSTRUCTION, INTERIM CERTIFICATE AND
PROGRESS PAYMENT, CERTIFICATE OF NON COMPLETION (CNC), EXTENSION OF TIME AND LIQUIDATED
ASCERTAINED DAMAGES (LAD), DEFECT LIABILITY PERIOD (DLP) AND CERTIFICATE OF MAKING GOOD
DEFECTS (CMGD) AND CERTIFICATE OF COMPLIANCE AND COMPLETION (CCC)

INTERIM CERTIFICATE AND PROGRESS PAYMENT

DEFINITION
In construction projects payments to a contractor are
made through invoices (Interim payments) including
all relevant details about the quantities executed and
the sums of money to be earned. Each invoice has a
certificate which is typically a summary page showing
the previous, current and total earnings in addition to
deductions or discounts.

WHAT IS PAYMENT TO CONTRACTOR & INTERIM
CERTIFICATES?
Contractors rely on interim payment certificates to
provide the essential cash-flow for their projects. A
contract would ordinarily stipulate the interval in
which progress claims are made, certificates are
issued, and payments made on those certificates.

INTERIM CERTIFICATE
The most important aspect of these decision-making powers relates to the issue of certificates. In

construction industry, there are three main types of
certificates found in construction contracts, namely interim certificates, final certificates and certificates
recording an event. However this study only focuses on the issue relating to the interim payment and interim
certificates. Interim certificates exist simply as a mechanism for confirming that an installment of the
consideration is due to the contractor. Whichever
method is used to calculate the amount of money due, an interim certificate is not conclusive about anything.
It says nothing about quality of materials or workmanship, nor does it indicate satisfaction with the work done
to date.
Interim certificates exist simply as a mechanism for confirming that an installment of the consideration is due
to the contractor. Whichever method is used to calculate the amount of money due, an interim certificate is
not
conclusive about anything. It says nothing about quality of materials or workmanship, nor does it indicate
satisfaction with the work
done to date.
Interim certificates are certifications of payments made in accordance with a timeable in the contract. In
essence, the certification is a statement by the architect or engineer that during the period covered by the
certificate, the contractor has carried out and supplied materials up to the value shown in the certificate, as
well as the nett amount which the contractor is entitled to be paid, after allowing for the adjustments
permitted by the terms of the contract. There certifications are never intended to be a precise determination
of the value of the works.
PAGE NUMBER 53

TOPIC 4: SITE SUPERVISION

4.1.3

CERTIFICATE OF NON COMPLETION (CNC)

DEFINITION
The date for completion of construction works (or dates
for completion of sections of the works) is generally set
out in the contract particulars. However, it is not
uncommon for delays to cause the completion date to
be missed, that is, the works are not complete, and so a
certificate of practical completion cannot be issued by
the date for completion.
Where the client is responsible for the delay, an
extension of time may be granted, the completion date
adjusted, and the contractor may be entitled to claim
loss and expense.

WHAT IS CERTIFICATE OF NON COMPLETION (CNC)?
Some contracts (such as the JCT Standard Form of Building Contract), require that the contract administrator issues
the contractor with a certificate of non-completion (sometimes referred to as a ‘non-completion certificate’ or
‘non-completion notice') as a prerequisite to claiming liquidated and ascertained damages.
The certificate of non-completion gives formal written notice to the contractor that they have failed to complete the
works described in the contract by the completion date that was last agreed (the original completion date may have
been adjusted during the course of the works).
The contract administrator must give due consideration to any applications for extension of time before issuing a
certificate of non-completion, and if there are subsequent extensions of time that result in the completion date
being adjusted, and the contractor then fails to meet this adjusted date, a new certificate of non-completion must
be issued.
Where the contract provides for sectional completion of the works, separate certificates of non-completion must be
issued for each section that is not completed by the required date.
The client may then deduct liquidated and ascertained damages from payments otherwise due to the contractor,
providing that an appropriate notice has been issued (a pay less notice) setting out the basis of the calculation.
Contractors may challenge claims for liquidated and ascertained damages if the procedures and the notice periods
set out in the contract have not been followed.

CERTIFICATE OF NON COMPLETION (CNC)
Some contracts (such as the JCT Minor Works Building Contract) do not
require that a certificate of non-completion is issued, although it may be
considered best practice to issue one anyway. It is very important when
deducting liquidated damages to ensure that the correct contractual
procedures are adhered to. In the case of Octoesse LLP v Trak Special
Projects Ltd. [2016], Justice Jefford held that Octoesse was not entitled to
deduct liquidated damages as they had agreed to an extension of time after
a certificate of non completion had been issued. The JCT Intermediate
Building Contract is constructed such that:
'If the Contractor fails to complete the Works or a Section by the relevant
Completion Date, the Architect/Contract administrator shall issue a
certificate to that effect. If an extension of time is made after the issue of
such certificate, the extension shall cancel that certificate and the
Architect/Contract Administrator shall where necessary issue a further
certificate.'

PAGE NUMBER 54

TOPIC 4: SITE SUPERVISION

4.1.3

EXTENSION OF TIME AND LIQUIDATED ASCERTAINED DAMAGES (LAD)

DEFINITION
The Liquidated Ascertained Damages (LAD) clause is an important part of a
construction contract. It's designed to cover any predicted losses which
might occur as a result of a project overrunning or being delayed.
An important thing to remember is that LAD is not a financial penalty and
neither is it implemented as a punishment for a breach of construction
contracts.
WHAT IS EXTENSION OF TIME AND LIQUIDATED ASCERTAINED
DAMAGES (LAD)?
It’s actually a pre-agreed part of the contract itself between an employer
and contractor. Now, it’s fair to say that delays can sometimes occur in
construction projects.
It might be that there's a sourcing problem with some key materials. Perhaps
there was an accident in construction that delays the entire process. These
things do happen.
As such, ensuring the financial obligations of such delays are clear and
recorded is just a smart part of construction contracts.
This clause sets out a predetermined estimate of any losses which the
employer is likely to incur if a project overruns (read: takes longer than the
agreed date).
Under the LAD clause, a sum of money is agreed which will be recovered by
the employer for every day of delay beyond the agreed upon completion
date.
BENEFITS OF LAD
LAD is an important part of construction law in Malaysia, as it helps to avoid
unnecessary disputes around project overruns. By agreeing in advance what
that cost might be, it provides clarity to both employers and contractors on
the financial cost of a project overrun.
On the side of the employer, it means they’re confident that they won’t lose
out financially if the project does go beyond its agreed completion date.
The agreed contract means that at the point where this claim crystalises, it
is already contractually agreed by both parties. From a contractor's point of
view, they understand in advance what the costs to their own business will
be if they fail to deliver on time. That provides a clear financial calculation as
to the potential cost of overruns.

PAGE NUMBER 55

TOPIC 4: SITE SUPERVISION

4.1.3

EXTENSION OF TIME AND LIQUIDATED ASCERTAINED DAMAGES (LAD)

HOW LAD APPLIES
LAD is not an automatic and legally required part of all construction
contracts. Although, thankfully in standard contract law, it is almost always
included!
If you’re buying a new development property in Malaysia, then the likelihood
is that a LAD clause will appear in the Sale and Purchase Agreement (SPA).
This will essentially be a clause that outlines the process and financial
implications if the project delivery is delayed.
In simple terms, that means a developer must deliver vacant possession
within 36 months, or face paying compensation for the overrun.
It’s also worth noting here that a LAD does not limit the total compensation
which a client receives from a contractor.
They can pursue legal remedies for additional costs, if they go above and
beyond the compensation noted in the LAD clause of the contract.

CALCULATING THE LAD CLAUSE
The cost of Liquidated Ascertained Damages can vary by contract, although
there is a standard calculation for a SPA which can help guide your
understanding.
In general terms, LAD takes into account a whole range of potential financial
losses which a client might occur if the project is not delivered on time, such
as:

1.Loss of rent
2.Loss of income
3.Storage costs
4.Additional rental costs
5.Fees or fines from third parties
6.Financing costs for loans etc
These are all foreseeable costs based on financial calculations which are
made, given the promised completion date.
If, for example, a developer has rented out a commercial space to a third
party from the 1st of January, but the project overruns by six months, then
they have lost out on six months of agreed rent. Those are the type of
calculations which LAD is designed to cover.
Now let’s take a look back at the case of stratified property in Malaysia. The
standard clause stipulates that the developer shall owe compensation
equivalent to 10% per annum of the property purchase price. Here’s a simple
example:
SPA date = 01/07/2016
Completion date = 30/06/2019
Actual delivery of vacant possession = 31/08/2019
Days of delay (from 30/06/2019 to 31/08/2019) = 63 days
LAD amount:
Purchase price (RM100,000) x interest (10%) x 63 days = RM1,726.03

Divided by 365

PAGE NUMBER 56

TOPIC 4: SITE SUPERVISION

4.1.3

DEFECT LIABILITY PERIOD (DLP)

DEFINITION
What is a 'defect liability period', you may ask. Well, did you know that when
your new property is ready for key collection, the developer will provide a
"warranty" for it in case of defects?
Think of it as similar to the warranty you get when you buy a new appliance,
like a TV. But, unlike a new TV, you cannot exchange the property for a new
one if something goes wrong.
Instead, what you must do is to conduct a thorough inspection of your new
property. Mark out any issues, and get the developer to fix them before the
warranty period runs out.
This warranty period is commonly known as the 'Defect Liability Period'
(DLP).
For a new home of about 1,200 sq ft, it may take anywhere between 2 to 6
hours to complete a regular inspection (depending on how thorough you
want to be).
Here's a guide for you to refer to, so that you can ensure your inspection is
as complete as possible!
WHAT IS THE DEFECT LIABILITY PERIOD?
The Defect Liability Period is defined as the period of time from the date you
receive delivery of vacant possession and keys to your property, where the
developer is responsible to fix any defects.
It's important to note that not all new developments come with a DLP, as the
Housing Development Act (HDA) only protects properties and
developments under a Residential title.
Under HDA Malaysia, the DLP is 24 months, starting from the date you
receive your keys. Within this period, the homeowner will need to check for
any damage, defects, as well as poor or faulty workmanship. Any issues need
to be reported back to the developer to get them repaired for free.

PAGE NUMBER 57

TOPIC 4: SITE SUPERVISION

4.1.3

DEFECT LIABILITY PERIOD (DLP)

HOW DO I PREPARE FOR THE DEFECT INSPECTION?
When you do the defect inspection, you are basically trying to answer three
main questions:

Does the property match what was promised by the developer?
Do all the fixtures and appliances work?
Is the workmanship satisfactory?
On the day of inspection, this is what you should bring along (according to
Lowyat user aaronpang):
1.Your new house keys (all of them)
2.Your Sale and Purchase Agreement (SPA) containing the original floor
plan
3.Measuring tape (that can measure the entire floor space of a room; not
those flimsy paper IKEA ones!)
4.Masking tape/label stickers
5.Marker pen
6.Note book
7. Camera
8.(Optional) A foot stool or small ladder to inspect high-up places

WHAT SHOULD YOU INSPECT?
Now that all your equipment is ready, it is time to get down to business. Here
are some of the most important things for you to inspect and pay attention
to:
Checkpoint 1: Does The Property Match What Was Promised By The
Developer?

1.Using your measuring tape, measure the actual built-up area of every
room. Compare against the floor plan given in your SPA.

2.Count the number of lighting points, electrical points and sockets. It
should be the same number as in the SPA.

3.Count the number of ceiling hooks for fans or lighting.
4.Check for broadband point and gas point (if applicable).
5.Check that all given appliances and fixtures in the bathroom, toilets and

kitchen are as per listed in the SPA. Also check:
Sink, taps and toilet bowl are the correct brand
Aircond, fan units, and compressors are the correct brand and model
Fridge, oven, stove top, and cooker hood are the correct brand and
model
Shower heads are installed
Kitchen cabinets and counter top are the correct material

Checkpoint 2: Do All The Fixtures Work Properly?
1.Turn on all the taps and showers, and flush all the toilets to check for
water pressure and drainage. Make sure all drainage systems and water
holes in bathroom floor and sink, as well as kitchen floor and sink are not
blocked.
2.Check all the bathroom fixtures are complete. For example, do the toilets
all have seat covers? Do the shower heads have all the nozzles in place?
3.Turn on all the appliances and run them for a little while. If it's an aircond,
it may take a moment to get cold as it has not been used for a while.

PAGE NUMBER 58

TOPIC 4: SITE SUPERVISION

4.1.3

DEFECT LIABILITY PERIOD (DLP)

Checkpoint 3: Is The Workmanship Satisfactory?
1.Check the ceiling and the wall for any cracks, water damage, or bad paint
work.
2.Check on floor tiles, bathroom wall tiles, and kitchen back splash for any
misalignment.
3.Knock every single tile and if you hear any hollow sound, put it on the
repair list.
4.Check all doors, door frames, hinges and knobs to make sure there's no
dent, scratch or misalignment, can be properly closed and match their
keys. Try a couple of times.
5.Repeat step above for all the windows.
6.Make sure the glass on the sliding doors and windows are properly
installed and not cracked.
7.Make sure the vanity mirrors in the bathroom are properly installed and
have no cracks.
8.Check for any trails of dried cement, varnish or paint on any part of the
house.
9.Shake the railing on your balcony to make sure it is properly installed and
firm.

WHAT TO DO IF I FIND A DEFECT?
If you find a defect, put a strip of masking tape or label sticker near it and
write the problem on it (example in the image below). Then, take a photo of
it.
Give that defect a number, example "06" above. In the image above, I used a
bright label as it makes it easier for the contractor to find later. You can also
use masking tape.
Then. write the same number in your notebook or report form, along with the
location. For example: "Kitchen pillar near floor, 06, cracking".
HOW TO SUBMIT YOUR DEFECT REPORT?
The developer will usually supply a form for you to fill in the defects list.
Remember to make a copy for yourself (or snap a photo of it) before you
hand it over.
You can also write the same list of defects into your notebook. Use the same
sequence number that you wrote on the label stickers earlier so it is
consistent throughout.
That will also make it easier for the contractor to find the defect and for you
to check again in the future.
When you are done, submit the defect report to the developer. If it's a
condo, you can usually submit it to the management office.

PAGE NUMBER 59

TOPIC 4: SITE SUPERVISION

4.1.3

CERTIFICATE OF MAKING GOOD DEFECTS (CMGD)

THE PURPOSE OF THE CERTIFICATE OF MAKING GOOD DEFECTS
(CMGD)
Once practical completion has been certified, the defects liability period
begins (now called the 'rectification period' in Joint Contracts Tribunal (JCT)
contracts). Typically, the defects liability period is six to twelve months.
During this period, the client reports any defects that arise in the works to
the contract administrator who decides whether they are in fact defects (i.e.
works that are not in accordance with the contract), or whether they are
maintenance issues. If the contract administrator considers that they are
defects, then they may issue instructions to the contractor to make good
the defects within a reasonable time.
At the end of the defects liability period, the contract administrator
prepares a schedule of defects, listing those defects that have not yet been
rectified, and agrees with the contractor the date by which they will be
rectified. Defects must be made good within a 'reasonable time', and at the
contractor's cost.
NB: It is the contractor's responsibility to identify and rectify defects, not
the client's or the contract administrator's, so if they do bring defects to the
contractor's notice, they should make clear that this is not a comprehensive
list of all defects.
When the contract administrator considers that all items on the schedule of
defects have been made good, they issue a certificate of making good
defects. This has the effect of releasing the remainder of any retention and
brings about issuing of the final certificate.
WHAT ARE DEFECTS?
Defects are works that have not been carried out in accordance with the
contract. Defects which are discoverable before the end of the defects
liability period are described as 'patent defects'. Defects which could not
have been discovered during the defects liability period are known as 'latent
defects' (for example, a problem with foundations which have been covered
up and does not become apparent until several years later when settlement
causes cracks to appear).
Patent defects should be rectified as an ongoing process, and certainly,
before the certificate of practical completion is issued, then before the
certificate of making good defects is issued and ultimately before the final
certificate is issued.
Latent defects can result in liability for damages for up to 15 years. The
Limitation Act 1980 governs time limits for bringing different types of legal
claims.

PAGE NUMBER 60

TOPIC 4: SITE SUPERVISION

4.1.3

CERTIFICATE OF MAKING GOOD DEFECTS (CMGD)

DIFFICULTIES SURROUNDING PRACTICAL COMPLETION
It is important to note that the defects liability period is not a chance to
correct problems apparent at practical completion, it is a period during
which the contractor may be recalled to rectify defects which appear. If
there are defects apparent before practical completion, then these should
be rectified before a certificate of practical completion is issued.
This can put the contract administrator in a difficult position, where both the
contractor and the client are keen to issue the certificate (so that the
building can be handed over) and yet defects (more than a de minimis) are
apparent in the works. Issuing the certificate however could render the
contract administrator liable for problems that this causes, for example in
the calculation of liquidated damages.
If the contract administrator is pressured to certify practical completion
even though the works are not complete, they might consider informing the
client in writing of the potential problems of doing so, obtaining written
consent from the client to certify practical completion and obtaining
agreement from the contractor that they will complete the works and rectify
any defects.
It might also be possible to prepare a qualified practical completion
certificate however care must be taken to use the correct wording. If the
contract administrator is not confident about the potential problems
surrounding practical completion, they might advise the client to seek legal
advice

PAGE NUMBER 61

TOPIC 4: SITE SUPERVISION

4.1.3

CERTIFICATE OF COMPLIANCE AND COMPLETION (CCC)

INTRODUCTION
The Certificate of Completion and Compliance (CCC) is an important part of
the property development process.
If you think of the construction process like you would a marathon, the CCC
is the regulatory finish line waiting for you in the distance. So what is the
CCC in practice, and what does it mean to you?

OKAY, WHAT DO I NEED TO KNOW FIRST OF ALL?
Well, long story short: the CCC is a certificate which
provides final sign-off on construction of a building.
It's an assessment undertaken by industry professionals to
ensure that the building has been made true to its original
plans, that it's safely constructed, AND that it's fit for
habitation.
All key questions when you’re developing a property!
Each section of the CCC process addresses different
elements of a project, in order to ensure a comprehensive
review of construction. Some of the factors which are taken
into consideration:

Foundations
Earthworks
Plumbing
Drainage
Street lighting
Landscaping
Fire safety
The CCC is completed by an industry professional with an
overview of the construction, known as the Principal
Submitting Person (PSP).
This professional must be a registered industry professional
operating as an engineer, architect, or building
draughtsman. After all, it wouldn’t feel as safe if you got the
local postman to sign off on it.
As well as being countersigned by the PSP, the CCC is also
signed by individual contractors responsible for different
elements of the work.
It's often submitted with supporting documents from
relevant bodies such as utility companies or public safety
organisations.

PAGE NUMBER 62

TOPIC 4: SITE SUPERVISION

4.1.3

CERTIFICATE OF COMPLIANCE AND COMPLETION (CCC)

WHAT’S THE DIFFERENCE BETWEEN CCC AND CFO?
1) Certificate Of Fitness For Occupation
The CFO was the predecessor of the CCC. It was a certificate designed for
the same purpose making sure properties aren’t built so badly that they fall
down like a stack of cards.
Now, the crucial difference is that, it was the responsibility of local
government to sign it off. The CFO required the local government authority
(pihak berkuasa tempatan, or PBT) to visit the site and provide approval.
This, as you might guess, meant a fair bit of red tape for the industry to
tackle.
Malaysia’s property development industry was suffering from backlogs and
delays due to the number of projects requiring sign-off, and the limited
availability of resources in local authorities to complete these important
technical tasks.
2) Certificate Of Completion And Compliance
In 2007, the CCC was introduced to replace the CFO, speeding up approval
processes and removing delays for homebuyers looking to move into their
new property.
That meant less time staring up at the shiny new building wondering when
you could finally move in. The CCC certificate is essentially self-certified by
the construction industry, ensuring industry professionals with specific
knowledge of a project are responsible for signing it off as SAFE for human
habitation!
The CCC wasn’t an entirely untested system at that stage (which is good)
because again, you wouldn't want to see houses randomly falling down, now
would you?
It was first introduced in 1999 for singly-built detached houses (like the
pretty one below).

PAGE NUMBER 63

CONCLUSION

To conclude all the topics of architectural site practice.
Construction site involves a variety physical activities of workers,
movements of construction plants and the exposure of the nearby
general public therefore by managing safety within the
construction site has to involved different processes in order to
ensure that the site is a safe working environment for workers and
its surroundings. With the demands of the proposed development
construction projects that are in place in the future with the rapid
progress of the world, it is therefore the aim of this study is to
explore the management of construction site with its main
outcome is to contribute to providing knowledge of how
environment in construction industry. The results from the four
topics have been explored and several interesting and important
findings were identified. These studied took my knowledge to
another level.

PAGE NUMBER 64

REFERENCE

1. HTTPS://WWW.DESIGNINGBUILDINGS.CO.UK/WIKI/MAIN_CO
NTRACTOR_OR_GENERAL_CONTRACTOR

2. HTTPS://WWW.DESIGNINGBUILDINGS.CO.UK/WIKI/TYPES_OF
_CONSULTANT_IN_THE_CONSTRUCTION_INDUSTRY

3. HTTPS://WWW.DESIGNINGBUILDINGS.CO.UK/WIKI/CONSTRU
CTION_TEAM

4. HTTPS://WWW.NY-ENGINEERS.COM/BLOG/ARCHITECTS-IN-
CONSTRUCTION-PROJECTS

5. HTTPS://BIC.UTM.MY/FILES/2018/12/LEELINJYEMB071609D09
TTT.PDF

6. HTTPS://MEASUREMANAGE.COM.AU/DUTIES-ROLES-AND-
RESPONSIBILITIES-OF-A-QUANTITY-SURVEYOR/

7. HTTPS://WWW.BETTERTEAM.COM/LAND-SURVEYOR-JOB-
DESCRIPTION

8. HTTPS://TARGETJOBS.CO.UK/CAREERS-ADVICE/JOB-
DESCRIPTIONS/LANDSCAPE-ARCHITECT-JOB-DESCRIPTION

9. HTTPS://WWW.MHWILLIAMS.COM/THE-ROLE-OF-A-
SUBCONTRACTOR/

10. HTTPS://WWW.INDEED.COM/CAREER-ADVICE/CAREER-
DEVELOPMENT/RESPONSIBILITIES-OF-A-SUPERVISOR

11. HTTPS://WWW.STOREE.COM/CONTRACTOR-ROLES/
12. HTTPS://WWW.IHASCO.CO.UK/BLOG/ENTRY/2519/WHO-IS-

RESPONSIBLE-FOR-HEALTH-SAFETY-CONTRACTORS
13. HTTPS://WWW.NIBUSINESSINFO.CO.UK/CONTENT/DIFFERENC

E-BETWEEN-CONTRACTORS-AND-SUBCONTRACTORS
14. HTTPS://THECONSTRUCTOR.ORG/CONSTRUCTION/CONTRAC

TOR-ROLES-RESPONSIBILITIES-CONSTRUCTION/37538/

PAGE NUMBER 65