Construction business in Korea has been suffering from low
profitability, increase of material cost, and low bidding-ratio under
the lowest bidding system. Value Engineering Change Proposal
(VECP) has been spotlighted to the industry practitioners in ...
Construction business in Korea has been suffering from low
profitability, increase of material cost, and low bidding-ratio under
the lowest bidding system. Value Engineering Change Proposal
(VECP) has been spotlighted to the industry practitioners in the
construction business. However, VECP is an optional practices, so
that it has not been actively implemented yet in Korea. Therefore,
this study aims to provide the corporate-level strategy to
effectively implement the VECP for a construction project. For this,
this study derives influence factors for VECP implementation
through extensive literature review on critical success factors,
hindrance factors, capability factors for VECP implementation.
Thirty influence factors are evaluated in terms of importance and
organizational level by industry practitioners using survey. The
influence factors are categorized by seven categories that are
implementation support, implementation cooperation, knowledge
level, implementation experience, implementation capability,
management capability, and system. This study also provide a
modified VECP procedure which is suitable for construction
contractors. This study allows construction contractors to
understand VECP implementation based on their gap of VECP
implementation and to establish corpoate level strategy for utilizing
VECP in their future construction projects.