Theofilus Yoel Lufung, Novi Andhi Setyo Purwono, Ilham Poernomo, Emeliano Maria
Gusmão de Oliveira
Application of the Value Engineering Concept on Building Construction Projects in
Malinau Regency in Facing the Covid-19 Pandemic 103
INTRODUCTION
The Covid-19 pandemic has had a negative impact on various sectors in
Indonesia, including the construction industry (Sihombing, Malczynski, Jacobson,
Soeparto, & Saptodewo, 2020). Restrictions on social interaction and gatherings of
people in public places make various jobs including construction work stop and
temporarily delayed. The Covid-19 pandemic has greatly impacted construction projects
in Indonesia in general, and in Malinau Regency, North Kalimantan Province in
particular, such as policies related to budget rationalization (Idayanti, 2021). The current
economic condition demands the use of rational methods and techniques as well as
research and application of new techniques by utilizing technological advances in every
field (Megawati, 2020). One method that can be used as a cost-saving study is the Value
Engineering (VE) method. Value Engineering is a technique for controlling costs that
has a large potential for success, by using a value analysis approach to its function
(Miles, 2015).
(Dell’Isola, 1997) says value engineering is the application of a value methodology
in a project or service that is design or conceptual in nature to achieve added value with
three basic elements needed to measure a value, namely function, quality and cost. Value
measurement can be done by several methods such as Law of Pareto, Cost-to-Worth, and
FAST Diagram. The Malinau District Arts Building is a building construction project
built on the Regional Government Road (PEMDA) of Malinau Regency, North
Kalimantan Province, with a planned duration of work for 1 (one) fiscal year, namely in
the 2020 APBD. The amount of the overall Budget Plan (RAB) this project is Rp.
7,838,791,000.00 (after tax). The problem in implementing the construction of this
project is not taking into account the negative impacts that can occur in the construction
world from extraordinary events due to the Covid-19 pandemic which began to spread at
the end of 2019 (Ling, 2003).
In this study, we will discuss the application of Value Engineering at the
construction stage which has been running until the foundation work before being
temporarily suspended due to the Covid-19 pandemic, and being a sampling project if it
is carried out during the planning period for the Malinau District Arts Building
construction project using the Planning Product data, Plans Planning Cost Budget,
Contractor Cost Budget Plan, Terms of Reference, Monthly Certificate, CCO Contract
and other supporting data, to see the effectiveness of VE implementation if carried out
during the planning period in responding to and anticipating construction constraints
caused by the Covid-19 pandemic.
(Szeles, 2019) conducted research on the application of innovation through Value
Engineering observations of UK civil engineering contractors, saying that the UK
Government has sponsored numerous reports all aimed at securing improvements in the
sector. Various guidelines have been developed by organizations such as the Building
Research Establishment (BRE), Office of Government Commerce (OGC), Construction
Industry Research and Information Association (CIRIA), and the Constructing
Excellence (CE) program (Harrison, Bosse, & Phillips, 2010). In addition to these
guidelines, a series of case studies have been published showing that significant
improvements can be achieved by implementing value management. (Berawi, Priyatno,
Latief, & Rahman, 2011) in a study on the application of value engineering at the design
stage in the Indonesian construction industry stated that the Government has issued a
regulation related to Value Engineering through the Minister of Public Works Regulation
Number 45/PRT/M/2007 (later revoked and replaced by a Ministerial Regulation No.
Public Works and Public Housing Number 22/PRT/M/2018). Based on the regulation,