PERCEIVED UNDER-UTILIZATION OF PROJECT

MANAGEMENT SOFTWARE IN THE MALAYSIAN

CONSTRUCTION INDUSTRY

By Long Ahmad Burhanuddin

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 1. Introduction
• The construction industry seems to be sluggish when it comes to
adopting new technologies, including ICT and PM software.
• Some believe that this is due to the fragmented nature of the
industry itself –
– Products of varying sizes and shapes (e.g. buildings, highways, bridges,
dams)
– Players /parcticipants of varied capabilities and capacities(Dawood,
2002; Peansupap & Walker, 2005).
– Each construction project is unique and the construction process itself
is “one-off”, making each project arguably a prototype.
– Constantly changing team compositions negates the promotion of
teammate‐to‐teammate familiarity (Chan, 2004).
– Fragmentation means there exists no single platform on which ICT
including PM software can be established and performed (Ahuja,
2010).

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 Introduction
• Under this scenario, adoption of ICT tools and
computer software such as PM software is bound to be
slow.
– Decisions on purchasing and usage of software tend to
result in the negative due to uncertainties in the areas of
usefulness, contractual acceptability, integration and
interoperability (Peansupap & Walker, 2005).
– The return on investments (ROI) of fund and man-hours in
a product to be utilized in an environment (that may not
be conducive, or even hostile to it), is questionable and
uncertain (Love & Irani, 2004).
– Managements adopt a “let others do it first” attitude or
purchase the software but do not implement it to a degree
that it will impact performance positively (Mui et al, 2002).
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 2. Problem Statement
• Level of utilization of PM software in construction industry is short of
expectation, even in developed countries. Becerik (2004) observed that
…the utilization of the software has not progressed beyond “simple
storage, exchange and management of documents”.
• Adoption of ICT-based applications in project management by
construction industry is limited and less effective compared to other
sectors such as automotive, manufacturing and aerospace (Ahuja, 2010).
• Researches demonstrated multitude barriers and challenges in the
adoption of ICT in
– Australia (Peansupap & Walker, 2005),
– Alberta, Canada (Hewage et al, 2008),
– India (Ahuja et al,2009),
– Korea (William et al, 2007 ),
– Malaysia (Yusuf & Osman, 2008, by Kareem & Bakar; Mui et al, 2002),
– Poland (Kaplinski, 2008) and
– Turkey (Isikdag et al, 2007).

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 Problem Statement
• The construction industry is slow in utilizing
software to manage projects, and when it is
used, the application is piece-meal, discrete
and non-systematic (Mak, 2001).
• Although there have been researches on ICT
usage in the industry, studies on usage of PM
software in Malaysian construction industry
are arguably non-existent.

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 Problem Statement
• There is a gap in knowledge on perception and
behavior of Malaysian construction personnel towards
PM software.
• No study has been made on factors that contribute to
perceived PM software under-usage in Malaysian
construction industry.
• This shortcoming hinders the formulation of practical
approaches to the question of how to position the use
of PM software as a crucial element in a holistic effort
to enhance the professionalism, practice and
perception of the construction industry.

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 3(a) Research Aim
• To study the factors that lead to perceived
under-utilization of project management
software in Malaysian construction industry.

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 3(b) Research Objectives
• To analyze the perception of construction
personnel towards project management
software;
• To analyze the behavior of construction personnel
towards project management software;
• To identify factors that may have caused or is
causing deficiency on the use of project
management software by construction
personnel.
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 3(c) Research Question
• This research aims to answer the question:
What are the factors that contribute to
perceived under-utilization of Project
Management software in Malaysian
construction industry?

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 4. Literature Review
• Literature review begins by looking at:
– Definitions of Project
– Definitions of Project Management
– Background of Project Management
– Role of Project Management in Project Success
– Construction Industry, Construction Projects and
Construction Processes

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 Literature Review
• Then Review went into PM software,
– origins and growth (PERT, CPM, advent of the PC)
– location in PM Body of Knowledge,
– and commonly used PM software packages
(Primavera and Microsoft Projects).
• Study on extent of PM software utilization
– Very few and limited (Ali & Money, 2005; Liberatore &
Pollack-Johnson, 2003).
– Most studies evaluate strengths and weaknesses of
PM software

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 Cluster Description Reference

Literature Review: Software Information quality Ali & Money (2005)

Factors influencing characteristics Software functionality
Ease of use
Ali & Money (2005)
Ali & Money (2005), White & Fortune
extent of PM
software Project Project complexity Ali & Money (2005), White & Fortune
utilization characteristics (2002), Liberatore and Johnson (2003)
Liberatore and Johnson (2003)
Project size Ali & Money (2005)
Project organization size Ali & Money (2005)
Project budget size

User Computer self-efficacy Ali & Money (2005)

characteristics Software experience Ali & Money (2005)
Education level Ali & Money (2005)

Organizational Management’s attitude towards Mitropoulos & Tatum (2000)

characteristics innovation
Vision/ search for competitive advantage Mitropoulos & Tatum (2000)
Existence of ICT champion
In-house capability Mitropoulos & Tatum (2000)
Type of industry the organization belongs Mitropoulos & Tatum (2000)
to Liberatore and Johnson (2003)

Forces driving Competitive advantage Mitropoulus & Tatum (2000)

managerial Process problem Mitropoulus & Tatum (2000)
stimuli Technological opportunity Mitropoulus & Tatum (2000)
Institutional requirements Mitropoulus & Tatum (2000)

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 Literature Review
• Study on degree and pattern of usage of PM
software in CI – not widely discussed (Ali &
Money, 2005, Liberatore & Pollack-Johnson,
2003).
• But studies on CI’s response to technology
including ICT concluded that CI is a late
embracer (Ahuja, 2010; Becerik, 2004; Mak,
2001).

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 Literature Review
• Initial cost and cost of keeping up-to-date
through training and software/hardware
upgrading were significant barriers for effective
utilization of ICT tools (Mitropoulos & Tatum,
2000; Root & Thorpe, 2001).
• No methodology has been developed for the
construction industry to examine the potential
contributions of information management (IM)
strategies in efforts to reduce overall project
schedule and cost (Back and Moreau, 2000).

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 Literature Review
• Moreover, there was no explicit understanding of
how to use IT to improve company performance
(Hussan, 2008; by Kareem, 2011)

• Compared to automobile industry, banking and

telecommunications, the construction industry is
made up of many small players and a complex
supply chain which make it more challenging and
difficult to establish common platforms for
participant organizations to communicate and
work electronically (Ahuja, 2010).

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5 Research Methodology
Selection of topic

Research of background,
objectives and scope of
study

Review of literature

Formulation of hypothesis

Construction of
questionnaire

Data Analysis:
Statistical Analysis,
Mean, and
Collection of data
Standard
Deviation.

Analyses of data

Presentation of research
findings

Conclusion and
recommendations
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Research
Model

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 6. Data Analysis
• Use of Descriptive Statistics (DS) -
mathematical quantities (such as mean,
median, standard deviation) that summarized
and interpreted some of the properties of the
collected data.
• DS are methods (tabular, graphical, and
numerical) by which essential features of a
sample can be described.

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 Questionnaire Survey:
Respondents’ Characteristics

• Gender: • Respondent’s • Service of

– M: 78%, F: 22%.
Organization
role and – Contracting:69%
• Age group : – Consultancy: 23%
– below 25: Nil
responsibility – Project Management: 5%
– Project Manager: 40% – Property Development:
– 25-35: 29% 3%
– 36-45: 31% – HQ Engnr/Arch: 15%
– 46-55: 35% – Project Coordinator: • Sector
11% – Private: 98.5 %
– above 55: 5% – Public: 1.5%
– Site Engnr/Arch: 9%
• Years of – Project Director: 8% • Number of
working – Resident Engineer/ employees in
experience:
Architect: 6% organization
– Supervisor: 2% – Micro: 5 and below: 8%
– below 5: 6%; – Others: 9% – Small: 6-19: 35%
– 6-10: 25%; – Medium: 20-50: 28%
– 11-15: 17%; – Large: More than 50:
29%
– above 15: 53%

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 Figure 6.1:
Figure 6.2:
Percentages of male and female
Respondents’ Ages
respondents

Questionnaire Figure 6.3:

Number of years of working
Figure 6.4:
Respondents’ Role
experience
Survey:
Respondents’
Characteristics

Figure 6.6:
Figure 6.5 : Size of companies by number of
Services of Organizations employees.

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Research
Model

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 Analysis of responses
Education level and Years of Using PM Software

Years of Using PM
Education Level % %
Software
1 Certificate 0.0%
1 Never 15 %
2 Diploma 10.8%
2 Less than 3 years 45 %
3 Bachelor’s degree 73.8%
3 4 - 6 years 12 %
4 Master’s Degree 13.8%
4 6 - 10 years 20 %
5 Doctorate Degree 1.5%
5 More than 10 years 8%
Total 100.0%

Total 100 %
Respondents are highly educated.
Respondents are recent users of
PM software.

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 Lickert scale

• Lickert scale is used to

analyze responses to Likert Scale Level of agreement
questionnaire on:
– ICT training 1.00 - 1.50 Very weak
– ICT experience – ease of
use and usability 1.50 - 2.50 Weak
– Availability of internet
network 2.50 - 3.50 Neutral / ambivalent
– Allocation of budget for
hardware and software 3.50 - 4.50 Strong
purchase/ maintenance
– Allocation of budget for 4.50 - 5.00 Very Strong
ICT training for
employees

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 1. Acquisition of ICT training
Level of
Rank Instruments Mean
Agreement

My company encourages the employees to

1 upgrade their ICT skills. 3.8 Strong

I learned from colleagues and friends how

2 to use computer software. 3.7 Strong

3 I learned on my own how to use the 3.6 Mild

computer software.

4 I received formal training in using computer 3.4 Mild

software.

5 I received formal training in using 3.3 Ambivalent

computers.
Total Mean Value / Average Standard
Deviation 3.6 Mild

a) Respondents perceive that their employers encourage them to upgrade ICT skills.
b) Respondents receive training on use of computer software through self-learning and
from colleagues.
c) It is perceived that accessibility to formal organized training in use of computers and
computer software is limited.
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 2. Experience in using PM software
Level of
Rank Instruments Mean
Agreement

1 I find Project Management software useful 3.9 Strong

for my work.

2 3.6 Mild
I enjoy using Project Management Software.

3 I am comfortable using Project 3.6 Mild

Management software.

Total Mean Value / Average Standard

Deviation 3.7 Strong

a) Usefulness and ease of use of PM software is quite well established.

b) This is in slight disagreement with Ramayah et al (2003) and Jaafar et
al (2007a, 2007b) who found that managers in Malaysian
construction companies experienced considerable discomfort and
insecurity towards the use of IT. Both studies were cited by Kareem
and Bakar (2011).
c) Ali and Money (2005) found strong support to their hypotheses that
perceived ease of use and perceived functionality have positive
relationships with PM software usage.
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 3. Internet connectivity
Level of
Rank Instruments Mean
Agreement

Internet connection is available at my

1 4.4 Very strong
company’s head office.

Internet connection is planned to be

2 4.0 Strong
made available at my company’s future
site office(s).

3 Internet connection is available at my 3.9 Strong

company’s site office(s).

4 My company provides portable internet 2.8 Ambivalent

device (dongle) for site personnel.

Total Mean Value / Average Standard 3.8 Strong

Deviation

a) Internet connectivity is well –established.

b) Portable internet device (dongle) is quite new.

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4. Budget for hardware/software
Level of
Rank Instruments Mean
Agreement
My company has annual budget
allocation to purchase:
1 Computers and printers 3.8 Strong

2 CAD software 3.56 Mild

3 Project Management software 3.5 Mild

4 The newest version of software 3.2 Ambivalent

Total Mean Value/ Average S.D. 3.5 Mild

a) Budget for hardware (computers and

printers) are readily available.
b) Budgets for CAD and PM software are
not so readily planned.

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5. Budget for training
Level of
a) Companies are mildly
Rank Instruments Mean perceived to allocate
Agreement
My company sends personnel to attend budgets for outside
1 3.4 Mild
training by others outside of office. training, and trainings
My company has annual budgets for on ICT and Microsoft
2 3.4 Mild
training in ICT Office.
My company has budget allocation to b) On whether
3 provide training to personnel for 3.4 Mild companies have
Microsoft Office budgets for PM
My company has budget allocation to
Software or CAD
4 provide training to personnel for PM 3.3 Ambivalent
software training, respondents
are ambivalent.
My company has in-house training
5 program for Information and 3.1 Ambivalent
c) Similarly, respondents
Communication Technology (ICT) skills. are ambivalent on
My company sends personnel to attend
whether companies
6 3.1 Ambivalent have budgets for in-
training by software suppliers.
My company has budget allocation to house training, and
7 provide training to personnel for CAD 3.1 Ambivalent training at software
software.
suppliers.
Total Mean Value / Average S.D. 3.3 Ambivalent d) Overall score indicates
no real commitment
by management on
training budget. 28
5. Budget for training

• These findings are in agreement with Mui et al’s (2002)

suggestion that the industry needed to do more to provide
training to produce more knowledge workers in Malaysian
construction industry.

• It is also consistent with Yusuf and Osman (2008; by Kareem &

Bakar, 2011) who lamented the lack of “expert users” of ICT
tools in Malaysian construction industry.

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 Findings summary
A contributory to
perceived PM
Total mean
No. Factors Level of agreement software under-
value
utilization?

1 ICT Training Acquisition 3.6 Mild Supported

Ease of use and Usefulness

2 3.7 Strong Not supported
of PM Software

3 Internet Connectivity 3.8 Strong Not supported

Budget for ICT Hardware /

4 3.5 Mild Supported
Software

5 Budget for ICT Training 3.3 Ambivalent Supported

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 Findings
• Factors contributing to perceived under-utilization of
PM software in construction industry of Malaysia
– Perceived hesitancy of employers to provide monetary
allocation for purchases and maintenance of computer
hardware and software;
– Perceived hesitancy on the part of construction firms to
allocate monetary resources for ICT training for the
employees;
– Perceived low accessibility of construction personnel to
formal and organized sessions of learning and training of
ICT knowledge and skills; and
– Short number of years of PM software experience amongst
construction personnel.

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 Recommendations
• Put the responsibility of producing more knowledge workers
with PM software expertise on CIDB because CIDB has the
monetary resources.
• The construction companies are operating in a very
competitive environment and are now expected to comply
with safety, health, and environmental requirements.
• Cost of PM software is included in the contract as a
“provisional item”.

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 Conclusion
• This study presents significant progress toward explaining the perceptions,
behaviors, and factors involved in perceived under-utilization of PM software in
Malaysian construction industry.
• The findings are enlightening and provide practical insights into the characteristics
of employees and managements and their interactions with PM software in
project-driven organizations.
• The study finds that:
– Education level of Malaysian construction personnel is high
– ICT skills of employees are more likely to be the outcome of self-learning
rather than formal organized training
– Period of PM software usage in number of years is disproportionately short
amongst construction professionals compared to number of years of working
experience
– Users of PM software find PM software packages manageable to use and find
them useful in carrying out their works.
– Internet connectivity in Malaysian construction industry in the sampling area,
which covers Kuala Lumpur City and the adjoining state of Selangor, is well
established.

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• Factors that contribute to perceived under-utilization of PM software in
Malaysian construction industry are related to:
– Budget deficiencies on the part of employers
– Low accessibility to formal ICT training programs on the part of employees
– The reluctance of companies to allocate monetary resources for the purchase and
maintenance of hardware and software
– Reluctance to allocate monetary resources for ICT training for employees
• Note: All the above factors are “perceived” by the respondents.

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 Contribution to the body of knowledge

• Arguably the first study on Malaysian construction industry that attempts

to identify factors that contribute to perceived under-utilization of PM
software amongst its participants.
• This study is expected to be a sound foundation from which future
research in similar area can sprout.
• Its findings add to the existing research findings.
• The research instruments used in the evaluation of perceived PM software
usage were selected from previous studies and carefully adapted and re-
organized. These can be used as evaluation instruments for similar
research in other countries.

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 Future Research

• Following up on this study, future research can be done on depth of levels

of use of PM software by companies already using it.
• It is known that the Malaysian Public Works Department (JKR) has made it
compulsory for its contractors to use PM software for managing projects
costing above a certain minimum value. Some construction companies
take the challenge to really use the advantages of PM software in
managing projects while some do it superficially with the intention of
meeting a client requirement. It would be enlightening to know the level
of use of PM software by these contractors.
• Liberatore et al (2001) found that construction professionals who use PM
software tend to be heavy users of it and use the high-end more expensive
software packages. Instruments to find out whether this applies to
Malaysin construction industry can be incorporated in the study.
• A study on relationship between age groups and PM software usage can
be carried out. This study by the author vaguely indicates that younger age
groups receive ICT training more through formal means, and utilizes PM
software at earlier ages.

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Thank you

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