Proceedings of the First Multidiscipline International Conference, MIC 2021, October 30 2021, Jakarta, Indonesia

Research Article

Critical Risks Factor (CRF) for Construction Delay Mitigation in Provincially/Municipally-Owned Corporation (BUMD)

Download352 downloads
  • @INPROCEEDINGS{10.4108/eai.30-10-2021.2315678,
        author={Nandang Sutisna and Isdaryanto Iskandar and Hery Suliantoro},
        title={Critical Risks Factor (CRF) for Construction Delay Mitigation in Provincially/Municipally-Owned Corporation (BUMD)},
        proceedings={Proceedings of the First Multidiscipline International Conference, MIC 2021, October 30 2021, Jakarta, Indonesia},
        publisher={EAI},
        proceedings_a={MIC},
        year={2022},
        month={1},
        keywords={critical risks factor; construction procurement; delays mitigation; provincially/municipally owned corporation (bumd)},
        doi={10.4108/eai.30-10-2021.2315678}
    }
    
  • Nandang Sutisna
    Isdaryanto Iskandar
    Hery Suliantoro
    Year: 2022
    Critical Risks Factor (CRF) for Construction Delay Mitigation in Provincially/Municipally-Owned Corporation (BUMD)
    MIC
    EAI
    DOI: 10.4108/eai.30-10-2021.2315678
Nandang Sutisna1,*, Isdaryanto Iskandar2, Hery Suliantoro3
  • 1: Faculty of Engineering, Atma Jaya Сatholic University of Indonesia
  • 2: Study Program of Information System, STIKOM CKI
  • 3: Departement of Industrial Engineering, Diponegoro University
*Contact email: nandang.sutisna@ideaprolog.com

Abstract

The performance of construction procurement in BUMD (Badan Usaha Milik Daerah/The Provincially/Municipally-Owned Corporation) affects the company's performance, especially when the resulting construction is related to producing goods/services that are a source of income. On the other hand, delays in construction procurement waste human resources, time, and budget. Therefore, mitigation of construction procurement delays becomes essential to avoid potential losses. The study aims to conduct a Critical Risks Factor (CRF) analysis on BUMD construction procurement to mitigate potential delays. This study was conducted with a literature study to determine 27 risk factors that cause delays in construction procurement, divided into five categories and 15 mitigation strategies. The survey was conducted on 70 BUMD with four types of respondents: Board of Directors (Direksi), Procurement Users (Pengguna Barang/Jasa), Commitment Making Officers (PPK/Pejabat Pembuat Komitmen), and Procurement Committee/Officials (Panitia/Tim Pengadaan) with total valid data are 104 respondents. The results showed that delays occurred due to weak preliminary study, contract management, weak coordination, and sectoral ego. The solution is to increase procurement planning, contract management, and better relationships among procurement actors.