How to cite:
Theofilus Yoel Lufung, Novi Andhi Setyo Purwono, Ilham Poernomo,
Emeliano Maria Gusmão de Oliveira. (2022). Application of the
Value Engineering Concept on Building Construction Projects in
Malinau Regency in Facing the Covid-19 Pandemic. Journal Eduvest.
Vol 2(1): 102-115
E-ISSN:
2775-3727
Published by:
https://greenpublisher.id/
Eduvest Journal of Universal Studies
Volume 2 Number 1, January 2022
p- ISSN 2775-3735 e-ISSN 2775-3727
APPLICATION OF THE VALUE ENGINEERING CONCEPT ON
BUILDING CONSTRUCTION PROJECTS IN MALINAU REGENCY
IN FACING THE COVID-19 PANDEMIC
Theofilus Yoel Lufung
1
, Novi Andhi Setyo Purwono
2
, Ilham Poernomo
3
,
Emeliano Maria Gusmão de Oliveira
4
Department of Civil Engineering, Janabadra University, Indonesia
ARTICLE INFO ABSTRACT
Received:
December, 26
th
2021
Revised:
January, 17
th
2022
Approved:
January, 18
th
2022
This study uses data in the form of planning and
implementation data for the construction of the Malinau
District Arts Building. Data development is carried out by
conducting Value Engineering analysis starting from the
project information collection stage, followed by function
analysis using the Law of Pareto. The method used to
analyze the function is F.A.S.T diagram (Function Analysis
System Technique) and Cost to Worth. Followed by the
creativity stage to come up with new alternative designs
that can minimize project costs. The selected design will be
evaluated at the evaluation stage, then the development
stage will be carried out to obtain cost savings on the type
of work that has been analyzed by VE in detail. From the
data analysis at the planning stage, the savings reached
Rp. 642,220,790, while in the construction phase, savings
of Rp. 491,286,382, in 80% of the jobs with the highest
cost items.
KEYWORDS
Covid-19 pandemic, Value Engineering, Malinau District
Arts Building, Cost saving
This work is licensed under a Creative Commons
Attribution-ShareAlike 4.0 International
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,
Eduvest Journal of Universal Studies
Volume 2 Number 1, January 2022
104 http://eduvest.greenvest.co.id
development with a building area of more than 12,000 m2 or more than eight (8) floors,
the construction planning service provider is required at the pre-design stage to hold a
Value Engineering workshop for 40 (forty) hours, to develop a design concept, by
involving the participation of activity managers, construction management service
providers, and value engineering service providers. Based on previous research, we can
see that there is a research gap, namely Value Engineering which is used to get savings
due to the regulation of refocusing the construction sector budget. In other words, the VE
applied in previous research is VE that runs under normal moment conditions, not in a
special era such as a pandemic. Therefore, in writing this final project, the researcher
tries to apply Value Engineering to the construction work of the Malinau art building in
the Covid 19 Pandemic era. The need to engineer the value of building components is to
control a cost without changing the function value of a building, to make it more
economical and efficient. Based on the considerations above, it is necessary to conduct
research on the application of the Value Engineering concept to the Malinau District Arts
Building construction project in the face of the Covid-19 pandemic.
RESEARCH METHOD
The research was conducted on the construction project of the Malinau District Arts
Building with the research method used is quantitative which is a structured and systematic
process consisting of several stages. Each stage is part of the determination to carry out the next
stage. Data development is carried out by conducting Value Engineering analysis starting from
the stage of collecting information about the project. Then proceed with function analysis using
Pareto diagrams, in order to obtain work items that have high costs and those items will be
analyzed. The method used to analyze the function is the F.A.S.T diagram (Function Analysis
System Technique). Data collection technique is the method used by researchers in obtaining data
in the field, namely literature study, or by observation.
RESULT AND DISCUSSION
A. Application of Value Engineering Concepts at the Planning Stage
a. Planning Information Stage
At this stage, information and data will be collected related to the drawing
design, Budget Plan (RAB) and Specifications for the Construction of the Malinau
District Arts Building at the Malinau District Public Works Office, from the results of
collecting information obtained;
a. The target of the building project: The construction of the Malinau District
Arts Building by providing buildings as a means to accommodate cultural activities and
services to the community with good quality space.
B. Benefits of building projects: providing facilities that can increase high
productivity, good building services.
C. Scope of the building: The development of the Malinau District Arts Building
includes a design followed by considering the efforts spent on construction, operation
and maintenance. The systems integrated in this building model include Structural,
Architectural, and Electrical Mechanical systems.
D. Design The concept of the building is a multi-story tribune building with a
reinforced building structure consisting of 3 (three) floors, with a total building of 1450
m2.
b. Planning Function Analysis
Application of the Value Engineering Concept on Building Construction Projects in
Malinau Regency in Facing the Covid-19 Pandemic 105
a. Identification of High Cost Work Items
For Job Identification, it is done by determining the selected work item and
Value Engineering is done by using Pareto Analysis (Pareto's Law) which serves to
determine the highest cost on the work item that is the object of this research, namely the
construction of the Malinau District Arts Building.
The steps in testing Pareto analysis are as follows:
• Sorting jobs from highest cost to least cost.
• Total costs.
• Calculate the percentage cost of each work item using the formula as
following :
% Job Cost = Job Cost x 100
Total Total Cost
• Calculate the percentage of work components using the following formula:
% Work Component = 1 x100
Total Work Component
• Calculate the cumulative percentage of total component costs.
• Make a cumulative percentage of total component costs and work components.
Create total costs and work components.
Table 1 Recapitulation of Work Weight
NO
JOB DESCRIPTION
TOTAL PRICE (Rp)
1
2
3
I
Preparatory work
Rp 51.454.887
0,72
II
Earth And Sand Works
Rp 179.831.111
2,51
III
Foundation work
Rp 1.841.230.971
25,74
IV
Concrete Structure Work
Rp 2.363.121.188
33,03
V
Building Wall Works
Rp 466.899.903
6,53
VI
Floor Covering Works
Rp 303.602.031
4,24
VII
Ceiling Work
Rp 166.476.968
2,33
VIII
Roof Work
Rp 708.325.021
9,90
IX
Fence Work
Rp 319.179.997
4,46
X
Local Culture Architectural Carving
Works
Rp 175.264.882
2,45
XI
Painting Job
Rp 215.711.907
3,02
XII
Sanitation Work
Rp 145.070.661
2,03
XIII
Electrical Installation Works
Rp 100.497.534
1,40
XIV
Frame, Door, Window & Bouven
Works
Rp 53.590.762
0,75
XV
Miscellaneous Jobs
Rp 64.200.000
0,90
Total
Rp 7.154.457.822
100
(Source : Data processed)
Tabel above, it can be seen that for Concrete Structural Works, Foundation Works, Roof
Works, and Fence Works, the work weight is about 80% (79.65%) of all building construction
work items. Concrete Structural Work has a work weight of 33.03%, Foundation work is 25.74%,
then Roof Structures is 9.90%, Building Walls is 6.53%, and Fence Works is 4.46%. The 4 (four)
components of this work have the potential to be able to analyze the application of the Value
Engineering concept because it is a work that was detected with a very large cost of Rp.
5,698,233,074.
Eduvest Journal of Universal Studies
Volume 2 Number 1, January 2022
106 http://eduvest.greenvest.co.id
b. Concrete Structure Work
IV
CONCRETE STRUCTURE WORK
1
Formwork Work
1.031.677.101,97
43,67
2
Work. Iron
813.711.372,33
34,44
3
Work. Cast Concrete
494.024.456,21
20,91
4
Work. waterproofing
23.184.251,79
0,9813
Sub Total
2.362.597.182,29
100,00
(Source : Data processed)
From Table IV.2 The order of the largest weights in the Concrete Structure Sub-Works
is Formwork Work of 43.67%, then Iron Works of 34.44%, Cast Concrete Works of 20%, and
Waterproofing Works of 0.98%.
c. Foundation work
Table 3 Pareto Foundation Structure Work
III
FOUNDATION WORK
Mini Pile Job
1.146.159.237,6
0
2,25
Mount Stone Foundation
Installation
614.873.456,03
3,39
Foot Plate Foundation Iron
Work
47.486.541,31
2,58
Work. Cast Concrete
23.101.825,00
2,25
Work. Pass. Formwork
9.609.910,80
0,52
Sub Total
1.841.230.970,7
4
00,00
(Source : Data processed)
From Table 3 The order of the largest weights in the Foundation Structure Sub-
Works is Mini Pile Work of 62.25%, Mountain Stone Foundation Works of 33.39%, Iron
Works of 2.58%, Concrete Casting Works of 1.25%, and Formwork Works of 0 ,52%.
d. Roof Work
Table 4 Pareto Roof Structure Works
V
III
ROOF WORK
Tribun-Spandek roof
covering work
891,70
m
2
145.597
129.828.987
18,33
pack. Pass. Light Steel
Frame Roof
957,30
m
2
132.000
126.363.600
17,84
Aluminum Foil/Bubble
(Tribune and Entrance)
1017,07
m
2
110.187
112.068.166
15,82
Handlebar Tracks, Knot
Plate, Welding Wire
1778,22
kg
62.156
110.527.108
15,60
Roof Covering Work
(Entrance and the rest of
Stage 1)
125,37
m
2
367.291
46.047.272
6,50
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 107
V
III
ROOF WORK
Pipe 3" Medium A
66,00
m'
413.264
27.276.740
3,85
pack. Pass. Rain Gutter
(Tribune Area)
106,60
m'
194.872
20.773.402
2,93
pack. Pass. Listplank
(Tribune Area)
404,40
m'
49.316
19.943.483
2,82
Pipe 1.5" Medium A
122,10
m'
159.866
19.520.040
2,76
Pipe 2" Medium A
87,35
m'
204.494
17.862.120
2,52
Pipe 4" Medium A
30,61
m'
569.972
17.447.640
2,46
Listplank Cover Galvalume
Plate 0.4 mm (Roof stage
and entrance)
52,20
m'
317.911
16.594.963
2,34
packs. Roof Ridge
Ornament; Bird's Head
Carving
7,00
Ls
2.000.00
0
14.000.000
1,98
Gording C125
107,16
m'
100.196
10.737.009
1,52
Gutter Plate 0.4 mm
27,00
m'
298.349
8.055.433
1,14
Wind Bond and Hard
Needle
107,16
kg
62.156
6.660.675
0,94
Canopy Type Roof
Covering (Stage Area)-
Polycarbonate
65,60
m
2
70.402
4.618.376
0,65
Sub Total
708.325.021
100,0
0
(Source : Data processed)
From Table 4 The largest order of weight in the sub-work of roof structures is
the work of covering the roof of the tribune with 18.33%, the work of lightweight steel
roof truss pairs with 17.84% and so on.
e. Building Wall Works
Table 5 Pareto Wall Works
V
BUILDING WALL WORK
Brick Wall Installation Work (1PC : 4 PP, 1/2 brick
thick)
168.770.066
36,15
Work . Plastering Walls (1PC : 3 PP 20 mm Thickness)
152.313.326
32,62
Work . Wall Repair
72.958.011
15,63
Work . Pass. Ceramic Wall 15x15cm h = 1.5 m
37.317.267
7,99
Work . Gypsum/Kalsiboard Wall Mount 9mm
35.541.231
7,61
Sub-Total
466.899.902
100,00
(Source : Data processed)
Eduvest Journal of Universal Studies
Volume 2 Number 1, January 2022
108 http://eduvest.greenvest.co.id
From Table 5 The order of the largest weights in the Building Wall Sub-Works
is the Red Brick Wall Pairing Work with 36.15%, followed by the Plastering Wall with
32.62%, Finishing Work with 15.63 %, Ceramic Wall Pairing Work at 7.99%, and
Couples Gypsum wall is 7.61%.
f. Fence Work
Table 6 Pareto Fence Works
IX
FENCE WORK
Fencing Work; Iron Board
(t = 85 cm)
7
9,56
m
2
2
.720.000
216.403.200
6
7,80
Galvanized Pipe Fence
Installation Work (t = 85
cm)
2
86,90
m
'
2
84.137
81.518.982
2
5,54
Under-Stage Portable
Barrier Folding Fence
Installation Work
5
0,00
m
'
4
25.156
21.257.814
6
,66
Sub Total
319.179.996
1
00,00
(Source : Data processed)
From Table 6 The largest order of weight in the Fence Sub-Works is the Work
of the Fence Pair; Ulin Board is 67.80 %, then Galvanized Pipe Fence Pair Work is
25.54%, and Under Stage Portable Barrier Folding Fence Work is 6.66%..2 Functional
Analysis of Work Items
The next stage in the application of Value Engineering is the function analysis
stage which aims to clarify the main function (basic function) and its supporting function
(secondary function). At this stage, identification of functions consisting of verbs (active
verbs) and nouns that can be measured (measurable nouns) is carried out. Function
identification is carried out on jobs with a large weight and each type is identified. In this
project, several high-cost works were identified, namely Concrete Structural Works,
Foundation Works, Roofing Works, Wall Works, and Fence Works. Terms of the results
of the function analysis obtained from the comparison between costs (costs) and benefits
(worth) more than 1 (cost/worth > 1). Where cost is the cost paid for the work item
reviewed and worth is the minimum cost for the work item but the function must still be
fulfilled.
b. Cost to Worth
Of the work items that have high costs, a function analysis is carried out which
aims to classify the main functions and secondary functions. Comparison between the
cost (cost) with the value of benefits (worth) required is also obtained after performing a
function analysis. Then alternatives are made at the creative stage and analysis at the
next stage of analysis. Based on the results of the cost / worth analysis carried out on
each of the work items above, the value of cost / worth > 1 means that there are
unnecessary costs and value engineering can be done (meeting the assumption of
feasibility for value engineering).
c. Planning Creative Analysis
The creative stage is a stage where creative thinking is needed to come up with
alternatives that will be used in conducting Value Engineering analysis on the
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 109
construction components, namely structural and architectural components. These
alternatives can be studied from various aspects such as the following:
1) Material or Material
2) Construction Dimension
3) Work Execution Time
4) Work Execution Method
The systematic steps at the stage of value engineering speculation, which deal
with finding various alternatives that fulfill the function of the object, that need to be
considered are:
a. Focus special attention and thought on functional issues. Come up with some
ideas for this purpose with the basic functionality unchanged.
b. What is sought at this stage is an idea. So, it's not a decision about whether or
not the idea is accepted.
c. Record all entries, examine whether there are the same or can be combined.
d. Examine whether there is a second function that can be reduced or even removed
d. Analysis Phase and Planning Analysis Results
In the previous stage, design alternatives have been described, then at this stage
an analysis is carried out to choose the best alternative from several alternatives
described in the previous stage.
This process deals with selecting and making decisions (judgments) that will
give way to development that can be implemented. In order to handle the analysis
phase, personnel with a broad spectrum of experience and knowledge are needed
related to the object being studied, such as background, familiarity with the object or
the like, new techniques in producing or manufacturing, constructability.
1. From the ranking carried out on Roofing Works, the alternative chosen is 0.35 mm
zincalum roof + aluminum voil.Dari perangkingan yang dilakukan pada Pekerjaan
Beton Balok, alternatif yang terpilih adalah balok beton bertulang sistem zonasi.
2. From the ranking carried out on Beam Concrete Works, the alternative chosen is
reinforced concrete beams with a zoning system.
3. From the ranking carried out on Concrete Plate Work, the alternatives chosen are
reinforced concrete and Galvanized Bondek Structural Steel Floor Sheets.
4. From the ranking carried out on Partition Wall Covering Works, the chosen
alternative is Kalsiboard.
5. From the ranking carried out on Brick Wall Covering Works, the alternative chosen is
Lightweight Brick.
6. From the ranking carried out on the Fence Work, the chosen alternative is 8 mm
Woodplank.
7. From the ranking carried out on Foundation Works, the chosen alternative is the Mini
Pile System (Indirect Hydraulic Jacking).
e. Recommendation Stage / Planning Presentation
This stage is the stage where the work of Value Engineering is presented in the
form of graphs of advantages and disadvantages so that it is easy to read the results of the
analysis of alternative designs. Alternatives that obtain cost savings occur in roofing,
foundations, concrete (floor, columns and beams), walls, and fences. The resulting
savings are significant (Rp. 642,220,790) in 80% of the jobs with the highest cost items,
but in terms of technical value, it can be considered because it has benefits not only in
terms of costs, but also implementation time, utilization of local resources, durability, and
others. Therefore, it is recommended that the initial design related to these works be
Eduvest Journal of Universal Studies
Volume 2 Number 1, January 2022
110 http://eduvest.greenvest.co.id
modified according to the chosen alternative. In the analysis of the advantages and
disadvantages of roofing work, the alternative that gets the highest rating compared to
other alternatives and with the initial design is a 0.35 mm zincalum roof and aluminum
voil.
B. Application of the Value Engineering Concept at the Construction
StageConstruction Information Stage
The information phase of the value engineering process includes::
Formulating the problem, is the first step before collecting information, there
must be clarity and understanding of the problem at hand. In this case,
extraordinary events due to the Covid-19 pandemic are the cause of obstacles to
building construction which has progressed to the stage of foundation work.
Gathering information and facts, namely collecting information and formulating
answers to questions related to the usability, cost, price and function of the
object under investigation. Get to know the object (product) by reviewing
functions and recording costs, that is, after digging up information, value
engineering activities are continued with the introduction of object facts from
various aspects, such as: engineering, and utilization of local resources.
At this stage, information and data related to the design, Shop Drawing,
Contractor's RAB and Technical Specifications for the Construction of the
Malinau District Arts Building will be collected at the Malinau District Public
Works Service, from the results of extracting information obtained;
a. The quality of work must be improved or maintained according to the
specifications set by the Owner.
b. The costs incurred are predicted to increase due to restrictions on the number of
people (labor) gathered, restrictions on overtime hours, and obstruction of the
supply chain for distribution of building materials.
c. The work time will certainly not match the time schedule due to reduced
manpower and hampered supply of building materials. Although the submission
of a time addendum can be done, the delay in work will result in an increase in
the cost of workers' wages.
Creative methods are needed to minimize the adverse effects of the pandemic,
before the work has gone far.
C. Construction Function Analysis
The same steps in the Planning VE analysis stage, the Construction VE stage are
also carried out to identify the selected work items and the Value Engineering
application is carried out using Pareto Analysis (Pareto's Law).
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 111
Table 7 Recapitulation of Work Weights for Contractors' RAB
NO.
JOB DESCRIPTION
TOTAL PRICE (Rp)
JOB LOAD (%)
1
2
3
I
Preparatory work
Rp 50.041.994
0,70
II
Earth And Sand Works
Rp 178.225.003
2,50
III
Foundation work
Rp 1.840.573.297
25,83
IV
Concrete Structure Work
Rp 2.344.983.290
32,91
V
Building Wall Works
Rp 457.988.455
6,43
VI
Floor Covering Works
Rp 302.163.758
4,24
VII
Ceiling Work
Rp 165.619.200
2,32
VIII
Roof Work
Rp 704.014.380
9,88
IX
Fence Work
Rp 341.696.200
4,79
X
Local Culture Architectural
Carving Works
Rp 174.958.687
2,46
XI
Painting Job
Rp 208.903.425
2,93
XII
Sanitation Work
Rp 143.504.237
2,01
XIII
Electrical Installation Works
Rp 98.977.420
1,39
XIV
Frame, Door, Window & Bouven
Works
Rp 52.365.000
0,73
XV
Miscellaneous Jobs
Rp 62.160.000
0,87
JUMLAH
Rp 7.126.174.346
100
PPN 10%
Rp 712.617.435
TOTAL
Rp 7.838.791.780
(Source: Processed data)
The table above shows that for Concrete Structure Work, Foundation Work,
Roof Work, and Fence Work, the work weight is about 80% (79.84 %) of all building
construction work items. Concrete Structural Work has a work weight of 32.91%,
Foundation Structural Work is 25.83%, then Roof Structure Work is 9.88%, Building
Wall Works is 6.43%, and Fence Works is 4.79%. The 4 (four) components of this work
have the potential to be able to analyze the application of the Value Engineering concept
because it is a detected work with a very large cost of Rp. 5,689,255,622. Specifically
for Foundation Works at this construction stage, no VE analysis was carried out because
the physical progress in the field had reached the Foundation Works stage, before the
Covid-19 pandemic caused obstacles to hinder construction progress. Creative
Construction analysis
This stage raises alternatives that will be used in conducting Value Engineering
analysis on the construction components, namely structural and architectural
components. These alternatives can be studied from various aspects such as the
following:
1) Materials or materials that can be reached or available in Malinau Regency, to
respond to the imposition of restrictions on entry and exit of people and goods.
2) It is hoped that the execution time of the work will not be delayed too long
due to construction constraints due to the Covid-19 pandemic.
3) Work Execution Method
Eduvest Journal of Universal Studies
Volume 2 Number 1, January 2022
112 http://eduvest.greenvest.co.id
The systematic steps at the stage of value engineering speculation, which deal
with finding various alternatives that fulfill the function of the object, that need to be
considered are:
a. Generating several ideas for this purpose with the basic function unchanged, but can
overcome the problem of the number of workers and implementation time.
b. What is sought at this stage is an idea. So, it's not a decision about whether or not the
idea is accepted.
c. Record all entries, examine whether there are the same or can be combined.
d. Examine whether there is a second function that can be reduced or even eliminated.
D. Analysis Phase and Construction Analysis Results
This process deals with selecting and making decisions (judgments) that will
give way to developments that can be implemented, especially in the face of construction
constraints that plague ongoing project work. In order to handle the analysis phase,
personnel with a broad spectrum of experience and knowledge are needed related to the
object being studied, such as background, work methods, utilization of local resources,
familiarity with the object or the like, techniques - teknik baru dalam memproduksi atau
pabrikasi, constructability.
The main target to be achieved when the VE process is carried out when
construction is already underway is that construction project work affected by the Covid-
19 pandemic will not have too long a physical progress to be delayed and can still be
completed in the 2020 Fiscal Year of the Malinau Regency APBD, maintain the quality
of the work, and the benefits of this project can still be felt by the Contractor, Owner,
and the user community.
Construction Development Stage
On the roof work obtained cost savings of Rp. 25,443,119, with the initial
Contractor Budget Plan (RAB) of Rp. 704,014,380. In the wall work the chosen
alternative cost is Rp. 457,706,838 while the initial cost is Rp. 457,988,455 which
means a savings of IDR 281,616.25 is obtained. In the column concrete work, a total
savings of Rp. 85,827,885. In the slab concrete work, a total savings of Rp.
60,823,762. In the fencing work the initial cost is Rp. 341,696,199, and the cost of the
selected alternative is Rp. 256,726,119, which means a savings of Rp. 84,970,080.
The biggest savings were obtained in the concrete work in the beam work section
where the savings reached Rp. 233.939,918 from the initial cost of Rp. 1,320,431,667.
The recap of savings is seen in the following table:
Table 8 Recapitulation of Savings in Construction Phase Works
VE . Job Description
Initial Cost (Rp)
Alternative Cost
(Rp) Savings
(Rp)
Savings (Rp)
Wall work
457.988.455
457.706.838
281.616
Roof Work
704.014.380
678.571.260
25.443.119
Column Concrete
Works
360.268.505
274.440.619
85.827.885
Beam Concrete
Works
1.320.431.667
1.086.491.748
233.939.918
Floor Slab Concrete
Works
664.283.117
603.459.354
60.823.762
Fence Work
341.696.199
256.726.119
84.970.080
Cost Saving
Rp. 491.286.382
(Source: Processed data)
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 113
Construction Recommendation / Presentation Stage
This stage is the stage where the work of Value Engineering is presented in the
form of graphs of advantages and disadvantages so that it is easy to read the results of
the analysis of alternative designs. The chosen alternative is the one that has the highest
profit and loss assessment results and has cost savings results. Alternatives that obtain
cost savings occur in roofing, foundations, concrete (floor, columns and beams), walls,
and fences. The resulting savings are significant (Rp. 491,286.382) in 80% of the jobs
with the highest cost items, but in terms of technical value, it can be considered because
it has benefits not only in terms of costs, but also implementation time, utilization of
local resources, durability, and others. Therefore, it is recommended that the initial
design related to these works be modified according to the chosen alternative. In the
analysis of the advantages and disadvantages of roofing work, the alternative that gets
the highest rating compared to other alternatives and with the initial design is a 0.35 mm
zincalum roof and aluminum voil.
THE EFFECT OF THE COVID-19 PANDEMIC ON THE CONSTRUCTION
IMPLEMENTATION STAGE
Several Central Government Regulations to Regional Governments related to the
prevention and handling of the Covid-19 pandemic in the scope of construction work
resulted in several negative effects, including:
1. Time.
- The activity distance is limited to a minimum of 1.5 meters between workers,
which results in a decrease in the speed of completion of work.
- The supply chain is hampered by restrictions on the entry and exit of goods,
and the scarcity of goods due to reduced production productivity compared to normal
conditions due to restrictions on the number of workers.
- Work that has the potential to be delayed or terminated if it is found that one or
more workers experience symptoms or are positive for Covid-19.
2. Cost.
- Additional costs due to the obligation to provide health workers / detection
equipment / Covid-19 prevention tools in the construction environment.
- The infrastructure budget ceiling is carried out by refocusing the budget (about
8%) for the handling of Covid-19.
- The price of materials has the potential to rise due to the uneven distribution of
supplies.
- The price of workers' wages has the potential to increase from the
standardization that has been set due to psychological effects / personal safety concerns
from the threat of Covid-19 transmission.
Cost saving in the planning and construction stages of the Malinau District Arts
Building
Based on the results of the analysis in this study, it can be seen that the results of
this study provide varied results when compared to previous studies. These variations are
found in existing work items and enter the analysis stage in value engineering. In some
cases, on average there are between 3 to 6 work items that make up the 80% of the
highest total accumulated costs with an average of 4 work items. In this study, 5 work
items were included in the analysis. The fence work as the last job has a small additional
accumulation but is still within the 80% accumulation limit, so the fence work items are
still being analyzed. It is quite different from other studies such as Shelote et al (2018),
Ning (2015), and Reddy & Polisetty (2016) where the work included in the analysis
Eduvest Journal of Universal Studies
Volume 2 Number 1, January 2022
114 http://eduvest.greenvest.co.id
stage mostly includes concrete and foundation work. Structural work in construction
management is indeed more expensive in building construction and usually takes quite a
long time, so careful and good planning is needed in structural planning work. This is
because structural planning will affect the value of the project budget, in addition to
influencing other aspects such as structural strength, building durability, and other
aspects.
Cost saving at the planning stage
In this study, it was found that there were unnecessary costs that could be saved.
The amount of savings made reached Rp. 642,220,790 or reaching 8.98% of the initial
value of the project. Financial savings are significant, but this value is in accordance
with the maximum value for cutting or refocusing the budget for handling the Covid-19
pandemic. These savings are also able to avoid project losses due to delays caused by
construction constraints resulting from the Covid-19 pandemic. This value is also
sufficient to increase the profit margin of the contractor or save the project owner's
expenses, in the context of this work being a government job, the savings of around 642
million rupiah is a good form of savings and is able to reduce the waste of regional cash
expenditures for construction work.
Cost saving at the Construction Stage
The amount of savings made reached Rp. 491,286,382 or reaching 6.89% of the
initial value of the project. Although the financial savings that occur are significant, this
value is quite close to the maximum value for budget cuts or budget refocusing of 8%,
and VE can be explored further on other work items so that it can achieve a saving value
of 8%. Seeing the construction constraints that occurred due to the Covid-19 pandemic,
it is predictable that construction work will be hampered and delayed for quite a long
time if VE is not implemented, which will also increase the work costs that will be
incurred by the Contractor.
CONCLUSION
The amount of savings made reached Rp. 491,286,382 or reaching 6.89% of the
initial value of the project. Although the financial savings that occur are significant, this
value is quite close to the maximum value for budget cuts or budget refocusing of 8%,
and VE can be explored further on other work items so that it can achieve a saving value
of 8%. Looking at the construction constraints that have occurred due to the Covid-19
pandemic, it is predictable that construction work will be hampered and delayed for a
long time if VE is not implemented, meaning that it will also increase the work costs that
will be incurred by the Contractor. From the results of the analysis of value engineering
(Value Engineering) in the Planning and Construction stages of the Malinau District Arts
Building, the following conclusions can be drawn:
1. The alternative that obtains cost savings at the planning stage is Rp. 642.220,790 or
reaching 8.98% of the initial planning value.
2. While the alternative that obtains cost savings at the construction stage is Rp.
491,286,382 or 6.89% of the initial value of the project.
3. VE carried out at the Planning stage can secure project work if there is a cut or
refocusing of the budget for handling the Covid-19 pandemic, which is 8%.
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 115
REFERENCES
Berawi, M., Priyatno, Herry, Latief, Yusuf, & Rahman, H. (2011). Application of
Value Engineering at Design Stage in Indonesia Construction Industry.
Proceeding of the 12th International Conference on QiR. Depok:
Universitas Indonesia, Hal, 21212126.
Dell’Isola, Alphonse. (1997). Value engineering: Practical applications... for
design, construction, maintenance and operations (Vol. 35). John Wiley &
Sons.
Harrison, Jeffrey S., Bosse, Douglas A., & Phillips, Robert A. (2010). Managing
for Stakeholders, Stakeholder Utility Functions, and Competitive
Advantage. Strategic Management Journal, 31(1), 5874.
Idayanti, Soesi. (2021). Issue to the Legal Protection of the Use of the State
Budget to Handling Covid-19. Budapest International Research and Critics
Institute (BIRCI-Journal): Humanities and Social Sciences, 4(1), 1168
1177.
Ling, Florence Yean Yng. (2003). Managing the implementation of construction
innovations. Construction Management and Economics, 21(6), 635649.
Megawati, Novienta Yeny. (2020). VALUE ENGINEERING PEKERJAAN
PONDASI PADA PROYEK BANGUNAN 3 LANTAI (STUDI KASUS
GEDUNG PARKIR DAN PEMBELAJARAN RSUD SYARIFAH AMBAMI
RATO EBU BANGKALAN). Untag Surabaya.
Miles, Lawrence D. (2015). Techniques of value analysis and engineering. Miles
Value Foundation.
Sihombing, Lukas B., Malczynski, Len, Jacobson, Jake, Soeparto, Hari G., &
Saptodewo, Darma T. (2020). An Analysis of the Spread of COVID-19 and
its Effects on Indonesia’S Economy: A Dynamic Simulation Estimation.
Available at SSRN 3597004.
Szeles, Zsuzsanna. (2019). ACCOUNTING COST VS FUNCTION COST.
Proceedings of FEB Zagreb International Odyssey Conference on
Economics and Business, 1(1), 8492. University of Zagreb, Faculty of
Economics and Business.