Prospects and Challenges of Digital Transformation in the Malaysian Construction Industry

Chiew, Wei Jie (2022) Prospects and Challenges of Digital Transformation in the Malaysian Construction Industry. Final Year Project (Bachelor), Tunku Abdul Rahman University College.

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Abstract

Digital transformation had become a crucial topic in recent years. Governments and industries from various sectors are caught in the wave of digital transformation. However, the construction industry had been reported to be one of the least digitalised among other industries. The Malaysian Government had taken cognisance of its importance and introduced the Construction Industry Transformation Programme (2016-2020) and the Construction 4.0 Strategic Plan (2021-2025) to accelerate the growth of digital transformation in the construction industry. The objectives of this research are to study and understand the current situation of digital transformation in the Malaysian Construction Industry along with the impacts and obstructions faced during the transformation. To complete the digital transformation, digital technology is one of the most crucial elements. There are several types of digital technologies such as BIM, AR and VR, 3D printing, Blockchain Technology, UAVS, GPS and IoTs. These technologies bring advantages such as higher productivity, cost-saving, increase collaboration and minimise the dependency on foreign workers. In contrast, to proceed with digital transformation in the construction industry, lack of skilled or competent staff using digital technology and the perceived low ROI from digital transformation are the main concerns of the the construction industry players. A qualitative approach is adopted by interviewing experienced practitioners from various disciplines. The findings show the undeniable benefits from digital transformation however the process toward the goal is hindered by internal and external factors. To overcome the obstacles, action from the Government in terms of relevant policies and initiatives from developers are important. Digital transformation is a critical milestone and the way forward into the future of the post-Covid-19 construction industry.