April 2014

CONTACT Hong Kong

CONTENTS2-3 Message from President, CIOB(HK)4-19 Institution News20-28 CPD Activities29-31 Technical Review

I am sure you are aware that The

C h a r t e r e d I n s t i t u t e o f B u i l d i n g

ha s been g ran ted an add i t i ona l

Chartered status entitled "Chartered

C o n s t r u c t i o n M a n a g e r " b y t h e

Privy Council and sealed by Her

Royal Highness, Queen Elizabeth

II on 9 October 2013. It means that

C o r p o r a t e (M C I O B ) a n d F e l l o w

(FCIOB) Members of The Chartered

Institute of Building in good standing

are enti t led the Chartered status,

originally as Chartered Builder and

now with a new addition of “Chartered

Construction Manager”. This is the

culmination of years of research and

development by the Inst i tute and

the result of effective demonstration

by CIOB members who have shown

that const ruct ion management i s

truly a substantive and established

p ro fe s s ion , and the des igna t ion

signals the influence that professional

construction managers have within,

and beyond, the built environment.

I f i r m l y b e l i e v e t h i s w i l l b e

beneficial to all CIOB Members in

communicat ing your professional

status to clients and colleagues within

the construction industry. Now, our

Headquarter has launched the new

Chartered status from United Kingdom

to Overseas Branches from March of

this year and all our members have

been informed of this registration.

I encourage a l l our members to

register as to enhance our Chartered

Message from CIOB(HK) President

Construction Manager status to a

new horizon. The CIOB Hong Kong

Branch has organized a Cocktai l

Reception on 8 April 2014 in the

British Counsel-General to launch

a ceremony to celebrate the new

“Chartered Construction Manager”

designation. I have been honored to

invite government officials, guests and

fellow members with more than one

hundred guests who jointly witnessed

and officiated the opening of our

“Chartered Construction Manager

Plaque” as to memorize and celebrate

a new and remarkable page of our

additional Chartered Status in Hong

Kong entitled Chartered Construction

Manager.

The 12th Construction Managers

Y e a r A w a r d s ( C M Y A ) 2 0 1 2

Presentation have been organized

on 27 September 2013 and I have

been honored to have The Honorable

Mr. Chan Mo-po Paul, Secretary for

Development as the Guest of Honor

(GOH) to present the CMYA 2012

awards to appreciate our awardees

o f t h e i r e x c e l l e n c e i n p r o j e c t

management in delivering the projects

to their client’s objectives for both

the new “Heritage Conservation”

and the “New Works/ A&A works”

categories. All the winners were glad

to share their remarkable construction

manager’s experience in their display

boards with us and the awardees have

a good chance to take photographs

with our Guest of Honor, Mr. Paul

Chan and friends. Another remarkable

event in our Annual Dinner on the

same night was to ce lebra te the

40th Anniversary CIOB Hong Kong

(Since 1973) that our branch office

established, from an informal center

since 1973 and now having a formal

branch office with branch manager

and administrative staffs in Hong Kong

which is now the biggest overseas

branch outside UK to service our

members. Mr. Paul Chan, Secretary

of Development has delivered a GOH

speech to our guests for insightful

v i e w s o f c o n s t r u c t i o n m a n a g e r

profession and its development in

Hong Kong construction industry.

On 6 December 2013, I have been

honored to invite The Honorable

Professor Anthony CHEUNG Bing-

leung, GBS, JP, Secretary for Transport

and Housing as our Guest of Honor

of our Cocktail Reception 2013 in

the British Consulate-General. The

cocktail reception was started with an

opening remark by Mr. Paul Lynch,

Director of Trade & Investment of

Bri t ish Consulate and a welcome

speech by Dr. Lee, Fook Pui Billy,

P r e s i den t o f Hong Kong . Then ,

Professor Cheung has delivered his

GOH speech on the way forward of

our property and construction industry

to our guests and fellow members.

Professor Cheung then presented

t h e C I O B S p e c i a l F e l l o w s h i p

Message fromDr Lee Fook Pui Billy, CIOB(HK) President 2013-2014

2

Cer t i f i ca te to P ro fe s so r Andrew

Leung, Chair Professor of Department

of Building and Construction, City

University of Hong Kong to honor

his accomplishment in academic and

research leadership in construction

m a n a g e m e n t a n d e n g i n e e r i n g

technology in Hong Kong construction

indus t ry . P ro fe s so r Cheung a l so

presented the CIOB Special Fellow

Certificate to Mr. Vincent H S Lo,

GBS JP, Chairman of Shui On Land

to honor his contributions in property

development, building construction

and construction materials in Hong

Kong and Mainland China. Finally,

Professor Cheung and Dr Lee, Fook

Pui Billy, President CIOB Hong Kong

altogether to toast with all the guests

in the cocktail reception and brought

this event to wonderful and enjoyable

and further networking with their

friends until the end.

I wish to report that CIOB Hong

K o n g o f f i c e a r e p r o g r e s s i n g t o

reg i s te r bo th Stage 1 and S tage

2 Class i f icat ion of our Members

i n t he D i s c ip l i ne s b y Member s

Occupational competency Scheme

(MOCS), namely, TCP T2, T3 & T4

of the contractors’ stream of Safety

Supervision Plan (SSP) under Building

O r d i n a n c e , a n d s p e c i a l i z a t i o n

disciplines in Construction Project

Manager (ConstPM), Contract Project

Manager (ConPM), Development

P r o j e c t M a n a g e r ( D e v P M ) a n d

Academia Project Manager (AcaPM).

And now more members having been

registered and these confirmation

l e t t e r s w i l l b e i s s u e d s o o n b y

the branch of f ice to ref lect their

occupational competency.

I appreciate that the membership

growth is significant in Hong Kong

branch over other overseas branches

since my presidency in 2012 and I

must tender my thanks to our Officers,

Council Members, Branch Manager

and her staffs as well as your support,

all to promote CIOB jointly in the last

two years through the activities and

contacts with our stakeholders and

community.

I would like to report that it was

approved by Headquarters the Novus

group will form their new committee

this year which is separated from

Hong Kong Council to manage their

ac t iv i t ies wi th the i r own annual

budget to serve and promote their

Novus young members , which is

remained, administered by the branch

manager.

I firmly believe it was the busiest

years backed two years ago in 2012

o f my p re s idency wh ich I have

implemented and completed my work

plans and agendas in my term and I

will step down in the coming AGM

on 28 April 2014 and, this time I am

here with you is the last to meet in

this first version’s eJournal. However,

I am sure you will continue support

our new incoming President, Officers

and Council Members like you given

to me in the last two year.

I look forward to having all our

fellow members support by joining

ou r C IOB Hong Kong ac t i v i t i e s

proactively, and I would be pleased to

meet you all in the future activities.

Lastly, I wish all of you a healthy,

prosperous and a successful year

and meet the challenging year as

Chartered Construction Manager in

the construction boom in 2014 and of

course in the next decade!

Dr Lee, Fook Pui Billy

President, CIOB Hong Kong

CIOB(HK) Council Members(2013-2014)

PresidentDr Lee Fook Pui Billy, FCIOB

Senior Vice PresidentMr Mok Peng Lam, FCIOB

Vice PresidentMr Mung Kin Fai Charles, MCIOB

TreasurerDr Ng Kung Wing Andy, MCIOB

Council MembersMr Chan Dut Yin Ricky, MCIOBDr Chan Hon Chuen Ken, FCIOBMr Lam Wai Choi, MCIOBMr Lam Yuk Lun, MCIOBMr Law Chin Keung Jason, FCIOBMr Leung Wing Tak Arthur, MCIOBMr Wong Hon Fai, MCIOBMr Wong Pui Man Amanda, MCIOBMr Wong Wai Man Raymond, MCIOB

Co-opted MembersMr Kwan Chuen Kin Peter, FCIOBMr Li Chun Wah Ken, MCIOB

CIOB(HK) Branch Manager Ms Lo Wing Ki Ivy

CIOB(HK) OfficeRoom 1501, 15/F,Wanchai Commercial Centre194-204 Johnston road, Wan Chai,Hong Kong.Tel: +852 2543 6369Fax: +852 2143 6882Email: equiry@ciob.org.hkWebsite: www.ciob.org

Further Information:CONTACT Hong Kong is issued by The Chartered Institute of Building (Hong Kong).

The information provided in this Journal is on free service basis, in good faith and to the best of the author / CIOB(Hong Kong) knowledge and belief at the time of publication. The information does not create any form of legal or professional relationship. The author and the CIOB do not accept any liability or responsibility (whether direct or indirect) for any action taken on the basis or information provided. Readers should be cautioned that it is dangerous to rely on generalized information or guidance and should always seek independent professional advice.

Advertisements are welcomed. Please contact the CIOB Hong Kong Office for detailed information and rates.

3

Institution News

Notice of the CIOB(HK) Annual General Meeting 2014As resolved by the Council, notice is hereby given for the Annual General Meeting (AGM) 2014

as follows. The minutes of the AGM 2013 are available on request prior to the meeting or will

be available in hard copy at the AGM 2014.

Date: 28 April 2014, Monday

Time: 7:00 p.m.

Venue: Room UT, SCOPE City University of Hong Kong, 8/F, United Centre, Queensway,

Admiralty, Hong Kong

The agenda has been posted to all Hong Kong and Macau members on 27 March 2014. If

you have not received, please contact with the branch office by email to ilo@ciob.org.hk.

CIOB corporate Members and Fellows

have been proudly adding Chartered

Builder to their business cards since

the Institute gained its Royal Charter

in 1980. But these days, only a small

proportion of people in this complex

sector actually build.

As a CIOB member you could be

working with BIM or setting strategies

for carbon reduction. You might be on

site, but you could equally be sitting

at head office, supervising teams and

setting corporate strategy. And you could

be working at any point within the life

cycle of a structure, from inception to

recycling.

If the designation Chartered Builder

is not relevant to your day job, we have

some great news. The Privy Council

Chartered Construction Managerhas granted the CIOB power to award

the designation Chartered Construction

Manager in addition to Chartered

Builder. The Chartered Construction

Manager designation has been available

from March 2014 to Members (MCIOB)

and Fellows (FCIOB) who register their

interest.

This is the culmination of years

of research and development by the

Institute and the result of effective

demonstrat ion by CIOB members

who have shown that construction

management is truly a substantive and

established profession. This designation

signals the influence that professional

construction managers have within, and

beyond, the built environment.

We believe this will be beneficial to

you in communicating your professional

status to clients and colleagues. And of

course you may retain the designation

Char tered Bui lder i f that i s your

preference. In that case you have nothing

to do.

The new designation is available to

current MCIOB/FCIOB who register their

interest before 31st December 2014.

Provided they do, they can use either

designation, and this would not change

after 2015.

If you are a MCIOB or FCIOB and

would like to use the designation

Chartered Construction Manager then

go to register your interest at http://

do tmai le r - surveys .com/0e1et fa0-

15oay69.

4

Institution News

The CIOB Pro fess iona l Adv i sory

Services of Aged Buildings (ASAB)

have been started in April 2013,

which have provided free professional

adv i so ry se rv ices on repa i r and

maintenance of aged bui lding in

public area and property management

issues to the incorporated owners

of old buildings. The CIOB(HK) is

delighted to have consent from Ir

Chan Chi Ming, MCIOB being the

Convener of the Task Group of the

ASAB.

The CIOB(HK) received cases from

the Building Healthy Kowloon City

Association, which had been referred

by Kowloon City District Council

Members, Hon Starry Lee Wai-king, JP

and Mr Yeung Chun-yu. Our member

volunteers, Mr Lam Wai Choi and Mr Li

Chun Wah Ken with helpers Mr Mak Tak

Lung Edward and Mr Chan

Chi Hong inspected nine

apartments on 26 October

2013 and 30 November

2013.

Meanwhile, an ASAB

briefing was organized on

11 December 2013, about

20 member volunteers

and task group members

attended. Ir Chan Chi Ming

Build a Safety and Health Communityhosted the briefing and introduced the

services to them. We would express

our sincere gratitude to our CIOB(HK)

volunteers for cont r ibut ing the i r

invaluable time.

Fellowship is the highest class of

membership in the CIOB. If you are

already MCIOB and have worked at a

senior level in the industry for at least

five years then you could be suitable for

Fellowship or FCIOB.

Applications for transfer must reach

CIOB headquarters at Englemere not

later than one month in advance of the

meetings. The Fellowship Committee

meetings in 2014 are below:

˙19 June (applications to be received

by 16 May)

˙16 September (application to be

received by 15 August)

˙4 December (applications to be

received by 3 November)

For appl icat ion detai ls , please

contact with CIOB(HK) office by email

to enquiry@ciob.org.hk or call to 2543

6369.

The Fellowship Meetings for 2014The “Experienced Practitioner Assessed Report” (EPAR) route is one of

the ways to Chartered Membership (MCIOB). It is designed for candidates

that typically have 10 years’ experience in a senior management role

within the built environment, which includes significant responsibilities

for people, finances or technical change.

This route to MCIOB comprises three stages – Part A, B and C. Part A is

a paper-based application

which is assessed to ensure

the candidate meets the

experience criteria for this

route. Part B is the oral

exam by SKYPE. Part C is

the profess ional review

interview. Please note that

the oral exam (Part B) and

professional review interview

(Part C) is held at the same

time.

If you are interested in the

EPAR route, please contact

with the CIOB(HK) Branch

office for further information

by email to enquiry@ciob.

org.hk.

EPAR route to Chartered Membership

5

Institution News

The CIOB(HK) 40th Anniversary Dinner cum the Construction Manager of the Year Awards 2012 PresentationThe CIOB (HK) 40th Anniversary Dinner

cum (CMYA) Construction Manager of the

Year Awards 2012 was successfully held

in the Grand Ball Room of Hotel Nikko

Hong Kong on 27th September 2013. The

CIOB (HK) was most honoured to have

Mr. Chan Mo Po, Paul, MH, JP, Secretary

for Development of HKSAR as the Guest

of Honour for this evening.

More than 300 distinguished guests

including Senior Government Officials,

Senior Executives from the Construction

Industry, Representatives from Professional

Institutes and Universities, and our

Fellow Members have participated in our

Anniversary Dinner. We also had VIPs

from our Headquarters: Professor Ghassan

Aouad, CIOB Senior Vice President

who delivered us a quality speech on

construction management, and presented

the Thank You Certificates to the Judges

for CMYA 2012, and Ms Amy Gough,

Head of Global Branch Operations who

presented the Thank You Certificates to the

Judges as well as presentation of the CIOB

(HK) Outstanding Student Awards 2012/13

to the respective Universities and Institutes.

The CIOB (HK) President Dr. Lee Fook

Pui, Billy delivered the speech about

the set up of Hong Kong Branch and its

history since 1973, and appreciated the

contribution from our founder Officers

and Past Presidents for the past 40 years.

Mr. Chan Mo-po Paul, GOH delivered

an inspiring speech on construction

excellence including green and innovative

construction. The GOH, Council Members,

founder Officers and Past Presidents of the

CIOB (HK) were also invited to stage to join

the toasting to all the guests.

The respective awards for the CIOB

(HK) CMYA 2012 were also presented

to the award winners this evening. The

competition for the CMYA 2012 was very

keen and there were two Silver Awards for

both Heritages and New Works categories.

The CIOB (HK) offered its heartfelt

congratulations to the award-winners and

hoped they would continue to contribute

their high-level professional standards

to benefit the construction industry and

community.

The highlight performance in the

evening was the singing performance by

Mr. Au Choi Kai, the Director of Buildings.

Mr. Au’s singing received overwhelming

applause. The HK council also joined him

to sing together before close of the event.

We have a pleasant and happy evening

together with the guests and fellow

members. The CIOB(HK) was grateful to

all the guests and participants to make this

event successful.

Welcome Address by Dr LEE Fok Pui Billy, CIOB(HK) President

GOH Address by Mr Chan Mo-po, MH, JP, Secretary for Development

Speech by Prof Ghassan Aouad, CIOB Senior Vice President

6

Institution News

Speech by Mr Charles Mung, CMYA 2012 Chairman Group photo of New Works Category Awardees with GOH

Group photo of Heritage Category Awardees with GOH

Group photo of Outstanding Student Awardees with Ms Amy Gough, CIOB Head of Global Branch Operation

Our Council members sing a song with Mr Au Choi Kai, Director of Buildings

Group photo of Novus Group members with Ms Amy Gough, CIOB Head of Global Branch Operations

7

Institution News

CIOB(HK) Cocktail Reception 2013The CIOB(HK) Cocktail Reception 2013

was successfully held on 6 December

2013 in the British Consulate-General. We

were most honored to have the presence of

Prof Anthony Cheung Bing-leung, GBS, JP,

Secretary for Transport and Housing as our

Guest-of-Honour. About 100 distinguished

guests, including senior government

officials, presidents of professional

organizations, senior executives of related

associations, construction companies

and academia shared a pleasant evening

altogether.

The Cocktail Reception started with

an opening remark by Mr. Paul Lynch,

Director of Trade & Investment British

Consulate-General Hong Kong and

a welcome speech by the CIOB(HK)

President, Dr Lee, Fook Pui Billy to all

guests. Then the Guest-of Honour, Prof

Anthony Cheung officiated the event

by delivering an insight and meaningful

address for the reception, and presenting

two CIOB Special Fellowship Certificates

to , Prof Andrew Leung, Chair o f

Sustainable Construction, City University

of Hong Kong, and Mr Vincent H S

Lo, GBS, JP, Chairman of the Shui On

Group to honor their achievements in the

construction industry.

In the past few years, the CIOB(HK)

has set up a team of volunteers to provide

free advisory services to residents of

aged buildings in Kowloon City, in order

to help and to build a safe and healthy

community. We were honored to have

Mr Au Choi Kai, JP, Director of Buildings

to present the Appreciation Certificates to

the CIOB volunteers Ir Chan Chi Ming, Mr

Lam Wai Choi, and Mr Li Chun Wah, Ken

who participated in the inspection service.

A strategic objective of the CIOB is to

improve the quality of the construction

industry. The CIOB(HK) President, Dr Lee,

Fook Pui Billy was delighted to present

Training Partnership certificates to Hip

Hing Construction Company Ltd and Wan

Chung Construction Company Ltd and to

welcome these companies joining us to

pursue this goal.

Lastly, Mr Mok Peng Lam, the CIOB(HK)

Senior Vice President presented prizes of

the CIOB(HK) Photo Competition to the

Gold Awardee to Mr Tong Ping Tat, Silver

Awardee to Prof Francis Wong, Bronze

Awardee to Mr Li Chun Wah and two Merit

awardees to Mr Lai Shu Sang Anthony,

and Mr Tong Ping Tat. And Mr. Mok also

presented Appreciation Certificates to the

judges of the competition, Mr. Chan Chi

Ming, Mr. Tse Shun Kai, Mr. Raymond

Wong, for their invaluable time and efforts

in the competition.

We would extend our heart fel t

appreciation to all the participants who

joined us this pleasant evening.

8

Institution News

Welcome Address by Dr LEE Fok Pui Billy, CIOB(HK) President

GOH Address by Prof Anthony Cheung Bing-leung, GBS, JP, Secretary for Transport and Housing

Opening remark by Mr Paul Lynch, Director of Trade & Investment British Consulate-General HK

Prof Andrew Leung receives CIOB Special Fellowship Certificate from Prof Anthony Cheung

Mr Vincent Lo receives CIOB Special Fellowship Certificate from Prof Anthony Cheung

Mr Au Choi Kai presents appreciation certificates to CIOB volunteers of free advisory services

Representative of Hip Hing Construction Company Ltd receives Training Partnership certificate from Dr Lee Fook Pui Billy, CIOB(HK) President

Representative of Wan Chung Construction Company Ltd receives Training Partnership certificate from Mr Mok Peng Lam, CIOB(HK) SVP

9

Institution News

The CIOB(HK) Cocktail Reception 2014The CIOB(HK) Cocktail Reception 2014

was successfully held on 8 April 2014 in

the British Consulate-General. The main

theme of the reception is to announce

the designation Chartered Construction

Manager (CCM). The Privy Council has

granted the CIOB power to award the

designation Chartered Construction

Manager in addition to Chartered Builder.

The designation signals the influence that

professional construction manager have

within, and beyond, the built environment.

Over 120 dist inguished guests,

including senior government officials,

presidents of professional organizations,

senior executives of related associations,

construction companies and academia

celebrated this meaningful event altogether.

We also invited our Chartered Members

joining us for this pleasant evening.

The Cocktail Reception started with

an opening remark by Mr. Richard

Flood, Deputy Trade Commissioner,

British Consulate-General Hong Kong

and a welcome speech by the CIOB(HK)

President, Dr Lee, Fook Pui Billy to all

guests. After the announcement of the CCM

by Dr Lee, the ceremony was started. We

were most honoured to have Mr Richard

Flood, Dr Dan Waters, Past Honorary

Institute of Builders representative in Hong

Kong, Mr Michael Liu Ho-po, Founder

Honorary Secretary of the Institute of

Builders HK Centre and our President Dr

Lee Fook Pui Billy to unveil the plaque of

Chartered Construction Manager. It was an

exciting moment with thunderous applause

around the venue.

A strategic objective of the CIOB is to

improve the quality of the construction

industry. Dr Lee was delighted presenting

the Training Partnership certificate to

New City Construction Company Ltd and

welcoming the company joining us to

pursue this goal.

We would extend our heart fel t

appreciation to all the participants who

joined us this pleasant evening.

10

Institution News

The CIOB library is a collection of online

journals and e-books which can be accessed

anywhere in the world, day or night.

To access our resources, members can

register with the Library for an Athens login

which can be obtained by filling in the online

form at http://www.ciob.org/content/library-

webform.

Access e-Journals and e-Books anywhere 24 hours

There are a number of ways to keep your skills and knowledge up to

date. CPD can involve any relevant learning activity, whether formal and

structured or informal and self-directed. Attending relevant conferences

and seminars, reading magazines and websites or researching new

products and innovative methods can all contribute to CPD.

Our Construction Manager’s CPD Zone regularly contains special

CPD articles which can be found in the CPD Zone on its website www.

construction-manager.co.uk . You’ll find all the print-based articles as

well as extra web-based ones as well.

There’s an eclectic mix of subjects

ranging from site safety signage to the

renewable heat incentive and green

roofs. Each article has an online CPD

test paper.

Construction Manager’s CPD Zone

11

Institution News

The CIOB reception, held at the British

Consulate on April 8, 2014, was a

splendid opportunity for us to cast our

minds back to the early days of our

CIOB branch as well as to earlier days of

the Hong Kong construction industry. I

recall the late Master Builder John Poon

saying to me, on the occasion of the Lu

Pan (patron saint of builders) dinner in

1955: ‘There are only two IOB Members

in Hong Kong, and they are you and

me’. In 1957, we started holding IOB

examinations in the old Technical College

(since upgraded to Polytechnic University),

and, in 1961, I became the Hong Kong

local representative. A Hong Kong branch

was established in 1973 with John Poon

Reminiscences Aroused by the CIOB Receptionon 8 April, 2014Dr Dan Waters ISO BBS Ph.D FCIOB

as the first President and the CIOB gained

its Royal Charter in 1980. Certainly, from

the ‘tiny acorn the mighty oak tree grew’.

Today, we can be proud that our Branch

has more than 2,400 members.

What a pleasure it was to see so many

old friends, including past colleagues

and past students, at the reception on

8 April. I was honoured and grateful to

our President, Dr Billy Lee Fook Pui for

inviting me to participate in the unveiling

of the plaque, signifying the use of the new

title for members, ‘Chartered Construction

Manager’, in addition to the old title,

‘Chartered Builder’.

In England, before setting sail for

Hong Kong in 1954, an old friend,

12

Harold Palmer, said to me, ‘When you

get to Hong Kong, Dan, see if my uncle’s

architectural firm, Palmer and Turner, is

still operating.’ In due course I was pleased

to reply in the affirmative. Buildings

designed by Clement Palmer (who lived in

Hong Kong from 1882 to 1909), include,

among others, Victoria Hospital building

(1903) (on Barker Road) and Rosary

Church in Kowloon (1905). Both are still

in use.

Two before I arrived in Hong Kong,

what is now the ‘Old’ Bank of China was

being built. On completion it ‘towered’

above the old Hong Kong Bank (now

HSBC) and this was considered an

ominous sign. Of course things have

moved on since the early 1950s and both

the Bank of China and HSBC have long

had new, more prestigious buildings as

replacements.

I wonder how many of us who attended

the CIOB April 8 reception remember the

days when concrete was mixed on each

successive top floor as the concrete-framed

building rose in height? Then again the old

Hilton Hotel (on the site where the Cheung

Kong Center stands today) was the first

building in Hong Kong employing a crane.

I took a class of building students there

on a site visit. There was little mechanical

equipment in those early days. Yet today

bamboo scaffolding, which bends before

it breaks, is still being used today (it is less

expensive) although manufacturers try

Institution News

their best to sell tubular steel or aluminium

scaffolding.

I have memories, too, of taking

building students on visits to the South

China Brickworks at Castle Peak in the

mid-1950s. The bricks produced were

common bricks. They were certainly not

like the bricks which had been shipped

from England as ballast and used to build

the dignified old Technical College in

Wood Road, Wan Chai, where I taught

for three years. That building was one of

the best examples of face brickwork in the

territory. It was built by the Hong Kong

Building Contractors’ Association in 1937

at cost price. Meanwhile the South China

Brickworks went into liquidation in the

late 1950s faced with keen competition

from brick kilns in Mainland China.

But in November 1957 we vacated that

old colonial building and moved to our

new premises at Hung Hom where the

Polytechnic University, the successor to

the Technical College, stands today. My

friend, the late Dr Allan Birch, who was a

reader at Hong Kong University, undertook

a survey and concluded that, in 1978, 95

per cent of the Hong Kong’s buildings had

been erected post 1946. The figure must

have been somewhat of a ‘guestimate’.

Along the full length of Conduit Road only

one pre-World War Two building remains

standing and that is No. 44, complete

with chimneystacks. When I first lived in

Conduit Road, in 1955, there were many

old stately colonial style mansions in and

around the mid-levels.

Then again, if you walk from Cheung

Kong Center along Queen’s Road Central

you will have to walk as far as the old

Central Market, which was completed

in 1939, before you pass a building

constructed before the Second World War.

Catherine the Second (Catherine the

Great) (1729-1796) of Russia proclaimed

that building was a ‘disease’ -- like

alcoholism. Together with her architects

and builders she built many fine palaces.

Tin magnate and businessman, Eu

Tong-sen, was advised by a soothsayer that

he must keep on building. He completed

three fantasy homes in Hong Kong, Eucliff

and Euston, both in psudo-gothic style, and

Sermio, an old-world, rambling, English

style country mansion which was sited on

the north shore of Tolo Harbour. You may

remember them? A party of us once went

there for a picnic (all three buildings have,

sadly, long since been demolished). But, in

spite of continuing building in Hong Kong

and other parts of south-east Asia, Eu died

in 1941.

The analogy of the importance of

keeping on building has sometimes

also been applied to Hong Kong. Some

Hongkongers go as far as to believe that

if construction stops Hong Kong itself will

wither and die.

The author is grateful to Ms Ivy Lo for

her assistance.

13

Institution News

Ir Tang Siu Keung, Sherman, who joint

Gammon Construction Ltd as a graduate

engineer in 1998, is the Project Manager

of Gammon Construction Ltd. He has

been participating in different aspects

of construction projects, specializing in

pre-construction advisory, tendering,

construction planning & coordination,

production control and construction

management.

S h e r m a n h a s e x p e r i e n c e i n

managing large scale residential, hotel

developments and complex commercial

building projects and provided technical

suppo r t and workab le so lu t ion ,

eliminating construction deficiencies

and systematizing site operation process.

He acknowledges that key success

factors of project & client requirements

leads the project team to achieve all pre-

established targets

Jury Report

The jury remarked tha t i t was a

challenging construction project with

highly complex building geometry under

a lot of site constraints, which need

careful planning and design work. The

jury opined that the Project was quite a

unique building and difficult to build, the

shape and form of the building are quite

innovative, and efforts have been made

to cut above construction waste. The jury

appreciated the good presentation and

impressive performance with good use of

precasting & prefabrication techniques,

just in time delivery collaboration with

supply chain, overcoming site constraints

and complex building form. Overall the

Project Manager handled this project

quite well.

Winners of CMYA 2012NEW WORKS/ A&A WORKS CATEGORY

Gold Award Winner CMYA 2012Project: Holiday Inn Express Hong Kong SoHoAwardee: Ngan Siu Tak, Emil, Yau Lee Construction Co., Ltd.

Winners of CMYA 2012NEW WORKS/ A&A WORKS CATEGORY

Silver Award Winner CMYA 2012Project: OPUS Hong KongAwardee: Tang Siu Keung Sherman, Gammon Construction Ltd

Ir NGAN, Siu Tak Emil is the Project

Director of Yau Lee Construction Co.,

Limited. He is a Corporate Member of

The Institution of Occupational Safety

and Health (CMIOSH), Member of The

Hong Kong Institution of Engineers

(MHKIE), Member of The Chartered

Institute of Building (MCIOB). Emil has

just completed his Executive Master of

Business Administration in the Chinese

University of Hong Kong.

Emil possesses more than 20 years

of experiences in construction industry.

He has participated and leaded different

types of building projects vary from

government’s rental & HOS residential

projects , government ’s faci l i t ies ,

ins t i tut ional projects and private

development.

Jury Report

The jury remarked that it was a cornerstone

project requiring first class control on

time, cost and quality. The project

could not have been completed to such

quality standard without the effort of an

extremely competent construction / project

manager, who was well versed with the

details. Mr Ngan has the advantage as the

Client’s Project Manager as well as the

Construction Manager of the Contractor,

control over the entire team and resource

was effective. The jury appreciated that

it was a project that successfully turned

innovative ideas into practice under a lot

of site constraints, and an environment

friendly hotel with international recognition

that impressed visitors.

The jury was most

imp re s s ed by t he

efforts spent on “green

building” particularly

to a hotel development.

Furthermore this design

and build hotel project

put a lot successful

e n v i r o n m e n t a l

f a c i l i t i e s , a n d

Implemented many

good green engineering

techniques.

14

Mr Za Wai Gin Tony has over 22 years

of experience on large scale complex

building projects, including residential

developments; commercial buildings;

retail and shopping malls; logistics centres;

CLP sub-stations; theme parks; and special

projects like the British Consulate, Hong

Kong and the Hong Kong University of

Science and Technology.

Tony is member of the following

professional institutions, the Royal

Institution of Chartered Surveyors (MRICS,

1993), the Hong Kong Institute of

Surveyors (MHKIS, 1995), the Chartered

Institute of Building (MCIOB, 1995),

the Hong Kong Institute of Construction

Winners of CMYA 2012NEW WORKS/ A&A WORKS CATEGORY

Silver Award Winner CMYA 2012Project: Project Interlink DevelopmentAwardee: Za Wai Gin, Tony, Hip Hing Construction Co. Ltd

Managers (MHKICM, 2002) and the

Hong Kong Institution of Engineers

(MHKIE, 2012). Tony is also a Registered

Professional Surveyor (RPS, 1997) and an

Accredited Mediator of the Hong Kong

International Arbitration Centre (2003).

Jury Report

The jury remarked that the project was

a very sizeable multi storey modern

logistic centre constructed under very

tight time schedule and cost control, and

very concrete structure orientated. The

jury appreciated that the Project Manager

has demonstrated good leadership, site

planning and time control to achieve

the rather tight program and budget.

Furthermore, motivation of construction

team, use of new technologies and

BIM proves effective. The making use

of technology to improve the quality of

screeding as well as contribution of cost

and time saving was appraised by the Jury.

Mr Wong Wai Yu i s the P ro jec t

Manager of Paul Y. Construct ion

Company, Limited. He graduated from

the Hong Kong University of Science

and Technology, with a Bachelor of

Engineering in Civil and Structural

Engineering.

Mr Wong possesses more than 14

years of managerial and engineering

experience in the construction industry,

and has managed various building, civil

engineering and foundation projects in

both public and private sectors, including

hotel, public library, bridge and tunnel.

He is also the member of Institution of

Civil Engineers.

Winners of CMYA 2012NEW WORKS/ A&A WORKS CATEGORY

Commendation Award CMYA 2012Project: Tuen Mun North West Swimming PoolAwardee: Wong Wai Yu, Paul Y. Construction Company Ltd.

Jury Report

The jury remarked tha t i t was a

challenging construction project with

a lot of site constraints. The project

manager applied concurrent construction

approach to catch up lost time due to

a crane accident, and demonstrated

good site planning and sequence of

works to overcome site constraint and

limitations on access. The jury opined

that experience learnt from the accident

was precious: site safety needed to be

thoroughly integrated with site planning

and construction method; the remedial

works after the accident was well

appraised. The overall performance in

managing the project was considered

satisfactory by the jury.

Institution News

15

Mr LEE, Chi Wah, Walter is the Project

Manager of Gammon Construction

Limited, possesses more than 18 years

experiences in the construction industry.

Walter has experience in managing

various large- scale commercial projects,

government civil project and expertises

in significant management contracting

works such as Landmark scheme Phase

2 to 5, Pacific Place Mall Renovation

Works, Oxford House at Taikoo Place,

and 11 Charter Road.

Jury Report

The jury remarked that the project

was the first Zero-Carbon Building

Winners of CMYA 2012NEW WORKS/ A&A WORKS CATEGORY

Commendation Award CMYA 2012Project: Zero Carbon BuildingAwardee: Lee Chi Wah Walter, Gammon Construction Ltd.

Winners of CMYA 2012NEW WORKS/ A&A WORKS CATEGORY

Commendation Award CMYA 2012Project: Construction of Shopping Centre atYau Tong Estate Redevelopment Phase 4Awardee: Yim Kin Shing,China State Construction Engineering (Hong Kong) Ltd.

in Hong Kong and was completed

within extremely short time frame with

construction and detail design working

in parallel, the project manager’s

effort in coordinating the input from

concerned parties played a vital role in

the success of the project. The jury was

impressed with the performance in green

construction, and the project was a very

good example to promote green building

and to demonstrate merits of good

architectural design. Procurement of

Green materials and system were new.

The Jury opined that it was a very

challenging project, setting new standard

for environmental friendly building

design and construction, a successful

showcase for Hong Kong.

Mr YIM, Kin-Shing, the Project Manager

of Construction of Shopping Centre at

Yau Tong Estate Redevelopment Phase

4, started his career in construction

industry since he graduated from the City

Polytechnic of Hong Kong (now namely

the City University of Hong Kong). He

then obtained his Master Degree in

Project Management and corporate

membership of the Chartered Institute

of Building. He has over 20 years of

experience in construction management

and is currently working for China State

Construction Engineering (HK) Limited.

Jury Report

The Jury remarked that the Project was

a modern and well featured shopping

centre build in public housing estate,

it was sizeable with careful planning

to ensure works would not affect or

impose risk on MTRC development.

Traditional procurement contract was

adopted and fairly standard. The Jury

was impressed with the end product

though not fully demonstrated in the

presentation.

Institution News

16

Institution News

Winners of CMYA 2012HERITAGE CONSERVATION CATEGORY

Gold Award Winner CMYA 2012Project: Conversion of Historic Building of Woodside intoCountry Parks Nature Education CentreAwardee: Leung Kam Fai, Wide Project Engineering & Construction Co.

Winners of CMYA 2012HERITAGE CONSERVATION CATEGORY

Silver Award Winner CMYA 2012Project: Revitalisation of Lui Seng Chun Building for the use as Chinese Medicine and Healthcare Centre for Hong Kong Baptist UniversityAwardee: Kwan Yuk Lam, New City Construction Co., Ltd.

Mr Leung Kam-fai is the project manager

of a medium scale local building

contractor, Wide Project Engineering

& Construction Company. He is a

member of RICS and HKIS, as well as an

Authorized Signatory for RGBC of one

RGBC. He has been actively participating

in the building industry for more than 20

years, specialized in the fields of A&A,

building renovation and maintenance.

During the past few years he has devoted

part of his efforts in historic buildings

repair and restoration, looking for the

best technology and skill for conserving

historic structures and settings.

Jury Report

The Jury remarked that the Construction

manager had an overall understanding

o f the p ro jec t , a s ev idenced by

the submission which showed his

involvement and participation with

well illustrated examples. The Jury was

impressed with Mr. Leung’s enthusiasm

and skills in management of a heritage

conservation project. The jury appreciated

that the Construction Manager had

performed an excellent role in achieving

the project goal with dedication, and was

impressed with his well prepared and

smooth presentation with attention to

details. Mr. Leung was appraised how he

tried his best to overcome problems and

the trip to source bricks was laudable.

The Jury remarked that the project should

not be viewed as a small scale at the

tendering stage.

Mr Kwan Yuk Lam is a Project Manager

of New City Construction Company

Ltd and is responsible for providing full

range of building project management

and contract administration works of

contracts. He graduated from the Hong

Kong Polytechnic with a Higher Diploma

in Civil Engineering in 1995. He has

worked in the construction industry for

18 years.

Jury Report

The Jury remarked that the project

was located at a very compact site

which required close supervision and

management. The small scale project

turned out with good outcome and time

control. The jury considered that the

Construction Manager was experienced,

as could be evidenced by the number

of conservation items and problems

solved during construction. The jury

appreciated Mr. Kwan’s dedication to

research e.g. in tackling with shanghai

plaster and the application of up to date

techniques in conservation. Company

support was adequate, which facilitated

the Construction Manager to manage the

project well.

17

Winners of CMYA 2012HERITAGE CONSERVATION CATEGORY

Commendation Award CMYA 2012Project: One Wan ChaiAwardee: Sare Ka Ming Franklin, Gammon Construction Limited

Winners of CMYA 2012HERITAGE CONSERVATION CATEGORY

Silver Award Winner CMYA 2012Project: The Asia Society Hong Kong Center Awardee: Chiang Mo Shek Bosco, Hip Hing Construction Company Ltd.

Mr Chiang Mo Shek Bosco, Construction

Manager of Hip Hing Construction

Company Limited, possesses more than

40 years of solid working experience

in the construction industry. Over the

years, he has involved in many mega

size building construction projects and

taken leading roles like sub-agent, site

agent, senior site agent, and project

manager in the delivery of these prime

projects. The range of construction

projects completed includes: residential,

office, commercial complex, hotel,

casino, theme park, general hospital and

other types of institutional buildings. The

works involved include both new build

and renovation, and the project delivery

approach includes: traditional method,

management contracting, and design &

build. Bosco holds a Chartered Builder

professional qualification.

Jury Report

The Jury remarked tha t i t was a

complicated project on a restrictive site,

ecological sensitive as well as adjacent a

sensitive neighbor. The jury opined that

the Construction Manager had an overall

understanding of this heritage project, and

the submission showed his involvement

and participation with well illustrated

examples. The Jury appreciated that

Mr. Chiang had shown his enthusiasm

and contribution on conservation of

historic building works, and that a mix

of new works and conservation works

were completed in a splendid manner.

Furthermore, the project was considered

challenging in terms of conservation

of historic works to meet consent date

requirements / standard without losing

historical value.

Mr Franklin Sare is the Construction

Manager of Gammon Construction

Limited. He possesses more than 20

years’ experience in the construction

industry and has managed a wide

range of projects in Hong Kong.

Having involved in various kinds

o f cons t ruc t ion ac t iv i t i e s in the

past, which include site formation,

foundation, superstructure, finishing,

fitting out, A&A, preservation, and

demolition works, Franklin understands

clients’ expectation, offers value added

services and delivers high quality

products on time.

Jury Report

The Jury appreciated the well thought

out procurement methodology and

mitigation measures, as the project was

complicated due to its inherent nature.

The jury remarked that the Construction

Manager was focusing on development

port ion construction works while

conservation portion was compromised

due to site constraint. Furthermore,

the historic building was viewed as

a constraint in delivery of the project

more than an opportunity to enhance

the value of the development. There

were limited conservation items, and

many problems were structural in nature

as commented by the Jury. Overall the

Construction Manager possessed good

communications skills.

Institution News

18

The results of the Construction Manager

of the Year Awards (CMYA) were

announced on 27 September 2013.

To extent the attention to the awards,

the CIOB(HK) had organized a series

of CMYA Exhibition Tour. The first

CMYA Exhibition Tour

T h e C I O B ( H K ) r e p r e s e n t a t i v e s

won sp lendid resu l t s in the CIC

Construction Industry Sports Day cum

Outstanding Performances in the CIC Sports DayCharity Fun Day 2014 on 16 March

2014. Among over 400 athletes, we

won 3 gold, 1 silver and 1 bronze

Winners Items Awards

Chung Chi Kin Shot Put (men over 45) Gold

Fan Yik Chun 100m (men over 45) Gold

200m (men over 45) Gold

Shot Put (men over 45) Silver

Men over 45 Grand Champion

Fu Kin San Women 1500m Bronze

Institution News

awards. Congratulations to all of

them, special for Mr Fan Yik Chun

who won also the Grand Champion

of Men over 45. We look forward

to seeing them to have outstanding

results, and more members joining us

in the CIC Sports Day next year.

exhibition was held at the City University

of Hong Kong (CityU) from 14 to 19

November 2013. The subsequent

exhibit ions were held at Housing

Authori ty Headquarters (Housing

Department) from 20 to 26 Nov 2013 and

The Hong Kong Polytechnic University

(PolyU) from 27 Nov to 3 Dec 2013. We

sincerely thanks all the venue sponsors –

Housing Department, CityU, and PolyU

for their generous support to facilitate

construction excellence promotion.

19

The University of Hong Kong will host

the finals of the Chartered Institute of

Building’s Global Student Challenge

(GSC) on 24 to 25 July 2014.

T h e i n i t i a t i v e , w h i c h w a s

announced on 30 October 2013 by

the CIOB, aims to help identify and

mould the construction leaders of

tomorrow.

T w e n t y - t h r e e t e a m s f r o m

universit ies around the world are

competing in GSC, the top six best-

performing teams will come to Hong

Kong for the finals, in which two

teams are f rom Hong Kong. You

can find the latest results at www.

Hong Kong plays host to CIOB Global Student Challenge finalsciobglobalstudentchallenge.com.

Michae l Brown, Deputy Chie f

Executive at the CIOB said: “Not

only are we offering f inalis ts the

opportunity to travel to Hong Kong –

funded at the expense of the CIOB,

but offering a unique opportunity for

the overall winners to engage with

some of the world leading experts in

construction management.”

He concluded: “Global Student

Challenge is a serious step change

in the way that we hope to develop

talent. With research indicating that

there will be 70% more construction

work going on around the world by

On 30 December 2013, The CIOB(HK)

volunteer members wore CIOB(HK)

polo-shirts to participate in the Hong

Kong Society for the Aged (SAGE)

F lag Day Fundrais ing Campaign.

They were glad to deliver their care

Delivery our care to elders

2025, we believe that we need to

take pertinent and innovative steps to

nurture the talent to deliver on these

estimations.”

Winners of the competition will

receive an invitation to a prestigious

leadership development group where

they wi l l rece ive mentor ing and

assistance in their career development.

The competition utilises MERIT

software which has been used to

train young professionals since 1998.

MERIT enables students to develop

bus iness management sk i l l s and

implement them into a technical

construction environment.

and love toward the elders and make

contributions to the community.

S A G E w a s f o u n d e d i n 1 9 7 7 ,

which has been able to prov ide

quality service to ensure that elders

are properly cared for and l iving

gracefully and peacefully. SAGE is

now running 29 service units wide-

sp read in Hong Kong wi th ove r

25,000 daily users.

We would thank you our volunteers

for contributing their invaluable time.

CPD Activities

20

CPD Activities

On 3 August 2013, we organized a

CPD site visit to the Eastern Pretech

(HK) Ltd Factory at Yuen Long, New

Territories.

It was a good opportunity for our

members to understand the central

computerized manufacturing f low

system, quality control system, and

R&D for innovative technologies from

the Eastern Pretech (HK) Ltd.

It was grateful that Dr Chan Chi

“Quantum expert witness” in the Hong

Kong’s construction industry has been

launched for many years. On 30 August

2013, we were delighted to have Sr Hon

Chi Yi, Ludwig, Regional Director (Asia),

Sweett Dispute Resolution, Sweett Group

to share with us on what shall quantum

expert witness do, what are the qualities

of an expert, the normal procedures for a

quantum expert in arbitration, when the

audience will need to engage a quantum

expert witness, etc. He applied some real

life experiences on the subject matter,

in particular focus to Hong Kong, which

made interest to our members.

Sr Hon is an expert in costs and

contracts, experienced in pre- and post-

Eastern Pretech (HK) Ltd. Factory Tour

Quantum Expert Witness in theHong Kong Construction IndustrySpeaker: Sr Hon Chi Yi, Ludwig

Yui delivered a presentation, which

included the E.MIX Rapid Concrete

Repair Systems and how to reduce

n u i s a n c e t o o c c u p a n t s d u r i n g

renovation works. Dr Chan also guided

our members to visit the laboratory and

demonstrated products of the factory.

We express our sincere gratitude

to Dr Chan in particular to the Eastern

Pretech for arranging this fruitful site

visit.

contract cost control procedures, and

has particular experience in preparing

and negotiating claims and disputes

including extension of time as well as

loss and expenses. We thank you Sr Hon

for presenting this informative seminar.

21

CPD Activities

On 31 August 2013, the Novus Group

successfully organized a CPD site

visit to the CLP Substation at Chun

Yat Street, where is Hong Kong’s first

substation dedicated to powering solely

for data centres and first time local a

segregated twin switchgear room design

connecting to two independent power

sources for the sake of double safety

feature, comprises construction of 4

blocks of 3-storey building as a 132kv

to 11kv step-down electricity substation

including Tx Bays and numerous

function rooms.

Mr C K Wong, Sen io r P ro jec t

Manager, and Mr Keith Kan, Assistant

How to become an Authorized Signatory for Registered Contractors?Speakers: Mr Cheung Wai Lung and Mr Lo Fu Wah

On 11 October 2013, we organized a

CPD seminar on How to become an

Authorized Signatory for Registered

Contractors, which was a popular event

with full house members.

Every registered contractor must

appoint authorized representatives to

act for the purposes of the Buildings

Ordinances. Mr Cheung Wai Lung and

Mr Lo Fu Wah are former Chairmen

o f t h e C o n t r a c t o r ’ s A u t h o r i z e d

Signatory Association (CASA) who both

introduced the statutory role and duty

of the Authorized Signatory (AS), the

registration system of AS, and also the

requirement of different categories of

AS to our members. We thank you Mr

Cheung and Mr Lo for presenting this

informative seminar.

Site Visit to CLP SubstationProject Safety Manager from Hip Hing

Construction Co., Limited guided our

members to visit the site and they also

shared construction challenges in this

site, potential challenges ahead for

construction safety in Hong Kong, and

considered initiatives and innovative

measures in promoting a safe, healthy

and environmental friendly working

environment.

We express our sincere gratitude to

Mr Wong and Mr Kan and in particular

to the Hip Hing Construction Co.,

Limited for arranging this successful site

visit.

22

CPD Activities

Construction Site Safety Issues – Laws and UpdatesSpeakers: Mr Harris Chan, Mr Rodney Ko

The issue of construction site safety affects

all parties involved in a construction

project. On 1 November 2013, Mr Harris

Chan, Partner, DLA Piper and Mr Rodney

Ko Senior Associate, DLA shared some

practical tips in handling construction

safety cases and ways to help stay out of

court, which covered the implications or

consequences of failure to comply with

numerous obligations on construction

safety. Our members were interested in

the case studies on managing construction

site safety cases at different stages.

Mr Harris Chan, is a solicitor admitted

in the High Court of Hong Kong, England

and Wales specializing in dispute

resolution and arbitration with emphasis

on construction work. Mr Rodney Ko

has 15 years' experience in handling

civil matters and specialises principally

in contentious work and, in particular,

construction safety issues, employees'

compensation, personal injuries and

insurance litigation. We appreciated

Mr Chan and Mr Ko for presenting

this impressive presentation to the

participants.

The Novus Group organized a site

visit to Central-Wan Chai Bypass and

Island Eastern Corridor Link (CWB)

on 14 December 2013, which was a

strategic road along the north shore of

Hong Kong Island targeted to alleviate

the traffic congestion along the existing

Gloucester Road – Harcourt Road –

Connaught Road Central corridor.

Members took this opportunity to

understand the background information

and the overview of the CWB through

the display models at Community

L ia i son Cen t re . A boa t t r ip was

arranged during the visit, which let our

members to have better understanding

on the current progress of the CWB.

We sincerely thanks to the PR

Office of the CWB for arranging this

informative site visit.

Site Visit to Central –Wan Chai Bypass and Island Eastern Corridor Link

23

CPD Activities

We invited the CMYA 2012 award

winners of New Works/ A&A Works

and Heritage Categories to share their

winning experience to the participants in

the CPD seminars on 31 November 2013

and 10 January 2014 respectively. Our

members could be kept updated through

sharing of award winners’ valuable

experiences and professional skills to

manage the projects successfully.

The CIOB(HK) extended the warmest

congratulations to the following award

winners, who presented their winning

projects as follows:

CMYA 2012 Sharing from the Award Winners

New Works Category

Awards Award Winners Projects

Gold Mr Ngan Siu Tak Holiday Inn Express Hong Kong SoHo Project Director of Yau Lee Construction Co., Ltd.

Silver Mr Tang Siu Keung, Sherman OPUS Hong Kong Project Manager of Gammon Construction Ltd.

Silver Mr Za Wai Gin, Tony Project Interlink Development Contracts Manager of Hip Hing Construction Co., Ltd.

Heritage Category

Awards Award Winners Projects

Gold Mr Leung Kam Fai Conversion of Historic Building of Woodside into Project Manager of Wide Project Engineering & Construction Co. Country Parks Nature Education Centre

Silver Mr Chiang Mo Shek Bosco The Asia Society Hong Kong Center Construction Manager of Hip Hing Construction Company Ltd.

24

CPD Activities

Communication and Presentation Skills forConstruction ManagersSpeaker: Dr Francis C. M. Chan

On 18 January 2014, the CIOB(HK) was

successfully organized an one day China

site visits to Guangzhou and Shenzhen.

The first visit was to Fugro Technical

Services (Guangzhou) Limited Laboratory,

where is a qualified testing laboratory and

is accredited by HOKLA. It was a great

opportunity for our members to visit the

laboratory facilities and also watched a

demonstration of fire test by Mr Kwong

Lap Kong, Marketing & Development

Manager of Fugro Technical Services Ltd.

The tour went to Shenzhen after the lunch

at Pan Yu. Mr Eric Chu, Director of Wah

Shing Wooden Products (Shenzhen) Ltd

delivered a presentation to our members,

D r F r a n c i s C h a n , D i r e c t o r o f

AchieveGoal Management Consultants

Ltd presented a CPD seminar relating

on Communication and Presentation

Skills for Construction Managers on 21

February 2014. It was a very success

event with full house. Dr Chan shared

some useful skills in his presentation,

which were very important elements

whenever speaking, presenting or

discussing to colleagues and customers.

Dr Chan has been working in the

engineering related industries more than

CPD One Day China Site Visitthen guided the site tour in the factory.

The factory covers an area of 300,000 sq

ft and it specializes in producing all kinds

of wooden products which exports to

European and American countries. They

are one of a few suppliers that obtain

two hours fire-rated timber door system

complying with both BS EN1634-1:2008

(fire test) and BS EN1634-3:2008 (smoke

test) standard in Hong Kong.

We express our sincere gratitude to Mr

Kwong and Mr Chu in particular to the

Fugro Technical Services (Guangzhou)

Limited Laboratory and Wah Shing

Wooden Products (Shenzhen) Ltd to

organize this fruitful site visit.

35 years, involving in the highways,

buildings, new town development

projects. He is the Immediate Past

President of HKIPM. We thank you Dr

Chan for presenting this useful seminar.

25

CPD Activities

On 14 March 2014, Mr Raymond Wong,

Lecturer of the Division of Building

Science and Technology at the City

University presented a seminar relating

to preserving, renovating and revitalizing

historic buildings with representing

heritage value, which is a hot topic

globally in the recent years, and has

been one of Mr Wong’s study focus

for more than 15 year. It was a Novus

Group CPD event, members took this

good opportunity to learn from Mr Wong

about some general norms and practices

in historic buildings.

Since Mr Wong joined City University

in 1992, he has undertaken a series

of intensive studies of some world-

renowned construction projects. These

Preservation, Renovation and Revitalization of Buildings with high heritage value, cases from a global perspectiveSpeaker: Mr Raymond Wong

include some major infrastructure

projects such as the new airport and

the associated core projects, major

transportation projects, as well as many

mega-size building projects. Mr Wong is

also a Council Member of the CIOB(HK).

We express our appreciation to Mr

Wong for his sharing.

26

CPD Activities

Common Subcontracting Disputes in Recent Case Law and AvoidanceSpeakers: Mr K K Cheung and Mr Joseph Chung

On 11 April 2014, we organized a CPD

seminar on Common Subcontracting

Disputes in Recent Case Law and

Avoidance, which was a full house event.

We were delighted to have speakers from

Construction & Arbitration Practice Group

of Deacons, who were Mr K K Cheung,

Partner and Mr Joseph Chung, Partner.

Our speakers shared their knowledge

on common problems between a Main

An Empirical Study of the Implementation of pay for safety scheme in the Hong Kong Construction IndustrySpeaker: Cr Dr Daniel W M Chan

The CIOB Health and Safety Advisory

Sub-group (HK and South China)

organized a CPD seminar on 28 March

2014 relating to the Pay for Safety

Scheme (PFSS). Cr Dr Daniel Chan

shared the empirical research study

which aimed to explore the current

application and future development

o f P F S S w i t h i n t h e H o n g K o n g

construction industry.

It was a good opportunity for our

members to know how PFSS can

be effectively applied in the public

sector, extending the application of

PFSS in the private sector, as well as

the feasibility of introducing PFSS

downstream to subcontractors.

Cr Dr Daniel Chan is an Associate

Professor in Construction Project

Management and the Programme

Leader for "MSc/PgD in Construction

and Real Estate" at the Department of

Building and Real Estate of The Hong

Kong Polytechnic University. He is

a project manager and construction

manager by profession. This seminar

was full house. We appreciated Dr

Chan for presenting this informative

seminar.

Contractor and its Sub-Contractor, and

applied recent case law developments

and their implications on such problems,

and practical tips on how they may be

avoided.

The good response in the Q&A session

fully demonstrated the interaction of this

seminar, and we thank you Mr Cheung

and Mr Chung for facilitating a successful

seminar.

27

Public AffairsDates Organizers Events Representative(s)15-Oct-13 Hong Kong Professionals And 成思危教授講座晚宴 - 中國經濟的未來及美國量化寬鬆結束對中國的影嚮 "Billy Lee, Mok Peng Lam,

Senior Executives Association Andy Ng, Ricky Chan,

Lam Wai Choi, Lam Yuk Lun,

Jason Law, Arthur Leung,

Peter Kwan, Ken Chan,

Wong Hon Fai, Raymond Wong,

Edmond Ding, Francis Wong,

Mickey Wong, Francis Chow,

Frederick So and YK Lau

16-Oct-13 Clyde & Co To Celebrate the 50th Birthday of Gilbert Kwok Lee Fook Pui Billy

25-Oct-13 Greater China Institute of Property Management 大中華物業管理學會2013年周年晚宴 Mok Peng Lam

25-Oct-13 The Hong Kong Institution of Engineers - Civil Division HKIE - Civil Division Annual Dinner 2013 Lee Fook Pui Billy

30-Oct-13 The Hong Kong Housing Society The Hong Kong Housing Society 65th Anniversary Cocktail Reception Lee Fook Pui Billy

31-Oct-13 The Hong Kong Institute of Facility Management HKIFM Annual Dinner cum Excellence in Facility Management Award (EMFA) Lee Fook Pui Billy

2013 Presentation Ceremony

5-Nov-13 The Hong Kong Institute of Housing, Chartered Institute HKIH 25th Anniversary, Joint Annual Dinner with Chartered Institute of Housing Asian Lee Fook Pui Billy

of Housing Asian Pacific Branch Pacific Branch

11-Nov-13 Hong Kong Construction Association HKCA Environmental Conference 2013 Lee Fook Pui Billy

11-Nov-13 BK Asia Pacific Ltd BKAsiaPacific Cocktail Reception Lee Fook Pui Billy

13-Nov-13 Sweett Group November Networking Night Lee Fook Pui Billy

19-Nov-13 Construction Industry Training Board of the Graduation Ceremony 2013 of Construction Industry Council Lee Fook Pui Billy

Construction Industry Council

19-Nov-13 註冊小型工程承建商簽署人協會有限公司 註冊小型工程承建商簽署人協會 - 2013年度週年大會暨建造業安全之夜 Lee Fook Pui Billy

23-Nov-13 The Hong Kong Institute of Architects HKIA Annual Dinner 2013 - Super Hero Lee Fook Pui Billy

28-Nov-13 香港建築業承建商聯會有限公司 北京市建築業聯合會, 香港建築業承建商聯會, 澳門建造商會(三地結盟締造美好家園)聯歡晚會 Lee Fook Pui Billy

29-Nov-13 "The Hong Kong Institute of Landscape Architects" The Hong Kong Institute of Landscape Architects 25th Annual Dinner Mok Peng Lam

29-Nov-13 The Council of Hong Kong Professional Associations COPA Annual Cocktail Reception 2013 Lam Wai Choi

29-Nov-13 The Hong Kong Institution of Engineers - Building Division HKIE Building Division Fellowship Dinner 2013 Lee Fook Pui Billy

3-Dec-13 Hong Kong Institute of Real Estate Administrators Hong Kong Institute of Real Estate Administrators Annual Dinner 2013 Lee Fook Pui Billy

5-Dec-13 The Hong Kong Institute of Architects REVEAL - HKIA at ArtisTree 2013 Exhibition Opening Ceremony Lee Fook Pui Billy

5-Dec-13 DEACONS Cocktail Reception with our Construction & Arbitration Group Lee Fook Pui Billy

7-Dec-13 MTR Corporation Limited Society Link Gathering Charles Mung,

Edward Mak,

Yueng Chun Hei

10-Dec-13 Hong Kong Institute of Value Management The 18th Annual General Meeting and a Christmas Dinner Lee Fook Pui Billy,

Lam Wai Choi

12-Dec-14 The Hong Kong Institute of Clerks of Works (HKICW) HKICW Annual Dinner cum Christmas Party 2013 Lee Fook Pui Billy

13-Dec-13 The Hong Kong Institute of Building Information Modelling HKIBIM Hong Kong BIM Conference 2013 Andy Ng

17-Dec-13 Hong Kong College of Technology HKCT - Annual Luncheon 2013 Lee Fook Pui Billy

18-Dec-13 Construction Industry Council 文物建築保育工作者圓卓會議 – 工作的挑戰 Lee Fook Pui Billy

20-Dec-13 Buildings Department BD Christmas Party Lee Fook Pui Billy

7 Jan 2014 The Asian Institute of Intelligent Building Sustainable Green Intelligent Buildings and The 13th Anniversary Dinner Lee Fook Pui Billy

7 Jan 2014 ASHRAE Hong Kong Chapter ASHRAE Night 2014 Mok Peng Lam

16 Jan 2014 Institute of Civil Engineers, Hong Kong Office Presidential Reception & Certificate Presentation Ceremony Lee Fook Pui Billy

17 Jan 2014 Institute of Civil Engineers, Hong Kong Office ICE HKA Lecture by Dr. Robin Sham "Three Decades on and across Several Continents - Lee Fook Pui Billy

The Pilgrimage of a Bridge Engineer

23 Jan 2014 Business Environment Council Warsaw? Where next for the UN Climate Caravan? Lee Fook Pui Billy

14 Feb 2014 Hong Kong Professionals and Senior Executives Association [甲午年新春團拜慶元宵] 酒會 Lee Fook Pui Billy

17 Feb 2014 The Hong Kong Professional Property Services Alliance The Spring Cocktail Reception Mok Peng Lam

18 Feb 2014 Construction Council Industry CIC 7th Anniversary Cocktail Reception Lam Wai Choi

23 Feb 2014 The Hong Kong Institute of Architects 2013 Bi-City Biennale of Urbanism/Architecture (Hong Kong) Closing Ceremony Mung Kin Fai Chales

Hong Kong Institute of Planners

Hong Kong Designers Association

26 Feb 2014 Mott MacDonald Mott MacDonald 2014 Spring Reception Mok Peng Lam

15 Mar 2014 MTR Corporation Ltd Society Link Gathering on "MTR Customer Service during Incidents" Raymong Wong Hon Fai,

Charles Mung, James Chung,

Edward Mak

16 Mar 2014 Construction Industry Council Construction Industry Sports Day cum Charity Fun Day 2014 Lee Fook Pui Billy

22 Mar 2014 Hong Kong College of Technology The University of Central Lancashire Graduation Ceremony 2014 Lee Fook Pui Billy

28 Mar 2014 The Institution of Fire Engineers (Hong Kong Branch) The 55th IFE(HK) Annual Dinner Lee Fook Pui Billy

2 Apr 2014 Hong Kong Institute of Project Management The Hong Kong Institute of Project Management Annual Dinner 2014 Lee Fook Pui Billy,

Mok Peng Lam

11 Apr 2014 Chartered Institution of Civil Engineering Surveyors Chartered ICES Annual Dinner 2014 Lee Fook Pui Billy

(Hong Kong Region)

14 Apr 2014 ASHRAE Hong Kong Chapter ASHRAE Hong Kong Chapter 30th Anniversary Dinner Lee Fook Pui Billy

14 Apr 2014 Hong Kong Industrial Safety Association (HKISA) HKISA AGM & Annual Dinner 2014 Mok Peng Lam

16 Apr 2014 Construction Council Industry Construction Industry Council BIM Year 2014 Grand Launch Ceremony Mung Kin Fai Chales

25 Apr 2014 The Hong Kong Institute of Surveyors The Hong Kong Institute of Surveyors - 30th Anniversary Cocktail Reception Lee Fook Pui Billy

26 Apr 2014 The Institute of Clerks of Works and Construction ICWCI (Hong Kong) Annual Dinner 2014 Lee Fook Pui Billy

Inspectorate (Hong Kong)

26 Apr 2014 City University of Hong Kong The Award Presentation Ceremony of Student Project Competition 2014 Lee Fook Pui Bill

CPD Activities

28

Technical Review

Quantum Assessment of Losses of Inventories by Forensic AccountantsWritten by: Benny K B Kwok FCPA (Practising), FCA, MCIOB, MRICS, MHKIS

When a disaster strikes and rescue and relief operations are underway, one should start counting the losses. Most businesses

nowadays have business continuity plans which include insurance coverage and recovery measures. Insurance generally

compensates claimants against losses of business profits and damages to assets comprising buildings, structures, plants,

equipment, fixtures, fittings and inventories.1 Forensic accountants often address the quantum of various tangibles and intangibles

for businesses and litigators, including losses of inventories which are the main theme of this article.

Direct ApproachPhysical inventory count

The methodologies in assessing lost inventories depend on the scope and coverage of the particular insurance policy, but quantum

assessment generally starts with a direct approach by carrying out a physical inventory count (i.e. a stocktake) on the date at

which the assessment is required (‘the Assessment Date’). The Assessment Date may be the date at which the disaster stroke or

the date immediately following it. The physical inventory count refers to inspections of the existence, quantity and condition of

inventories by tracing individual items from the claimants’ records to the physical inventories and vice versa, so as to confirm the

completeness and accuracy of those records.

Inventories may comprise raw materials, semi-finished products or finished products. Raw materials and finished products

are readily identifiable, whilst counting semi-finished products require the ability to measure the percentage of completion. If it

is not practicable to identify the semi-finished products with either the components which have gone into them or the finished

products which will emerge from them, the forensic accountants should evaluate the reliability and accuracy of the costing system

in measuring the percentage of completion. In addition, the extent of damages and obsolescence and any third party’s inventories

should be identified during the physical inventory count.

However, a physical inventory count by itself does not necessarily prove the ownership and valuation. The items counted

should be vouched to the corresponding suppliers’ invoices and delivery documents, and if applicable also to the subsequent

sales records as a cross-check for the valuation reflecting any damages or obsolescence.

Perpetual inventory system

Some claimants maintain perpetual inventory systems comprising records of inventory movements and periodic physical inventory

count and providing an indication of the inventories costs throughout the year. Still, the forensic accountants have to evaluate the

system before relying on it for the quantum assessment of lost inventories. However, not too many claimants have such perpetual

inventory system in place.

Roll-forward

A physical inventory count at the Assessment Date is not always practicable due to the total extinguishment of inventories, whilst

a perpetual inventory system, even if in place, may not operate effectively. Accordingly, alternative procedures, such as relying

on a physical inventory count on another date close to the Assessment Date (‘the Alternative Date’), should be conducted. Such

physical inventory count is set as a baseline for rolling forward to the Assessment Date which means an inspection of relevant

invoices and delivery documents tracing items of inventories and reconciling their movements between the two dates. The

forensic accountants should also examine the sequence of the delivery documents (for both issues and receipts of inventories) in

order to confirm the integrity and completeness of the inventory movements. If the roll-forward is carried out over an extended

period of time, say longer than a year, the forensic accountants should stay alert of a higher margin of errors.

29

Technical Review

Indirect Approach

When inventories and their records are destroyed, the forensic accountants may adopt an indirect approach to assess lost

inventories by examining the available contemporaneous documents and the relationships between inventories and other relevant

observable data. Opening inventories plus purchases are those available for sales during a particular period. Costs of sales equate

to opening inventories plus purchases minus closing inventories. Closing inventories are what remain unsold at the period end

which could represent the lost inventories at the Assessment Date. Gross profits represent the amount of sales in excess of costs of

sales, such that:2

As illustrated above, there are three or four variables in the equations representing the amount of closing inventories, i.e. the

quantum of lost inventories at the Assessment Date. As long as the available contemporaneous documents can substantiate the

value of those variables, the lost inventories can be quantified by simply algebra. However, if the value of a variable is unknown,

the forensic accountants should form estimates based on the relevant observable data and the assumption of a constant degree

of correlation. In other words, based on the constant correlation amongst the variables, the forensic accountants can project

the unknown variable(s) based on the observable amount(s) of the remaining variable(s). In carrying out such projection, three

accounting ratios are particularly relevant – gross profit margin, inventory turnover and inventory turnover days.

Dividing gross profits by sales results in gross profit margin which reflects the percentage of gross profit in every dollar of sales

and often stay relatively stable unless there are material changes to the nature of business and operation.3 The formula is set out

below:

In addition, inventory turnover and inventory turnover days are two meaningful accounting ratios which can facilitate the

interpretation of how efficient inventories are being sold and subsequently replenished.4 Dividing the costs of sales by the average

or closing inventories gives the inventory turnover with the relevant formula as follows:

Inventory turnover indicates how many times the inventories are being turned over in a given period and is generally

important for claimants because profitability in most businesses largely depends on how efficient its inventories are being sold

and subsequently replenished. Average inventories generally refer to the sum of opening and closing inventories divided by two.

Either closing inventories or average inventories may be used as the denominator as long as the comparison remains consistent.

Generally, the higher the inventory turnover, the better the profits would be because a higher inventory turnover means inventories

are being bought, sold and replenished faster. A low inventory turnover might indicate sluggish sales and obsolete inventories.

However, an excessively high inventory turnover which differs from the industry norms may suggest losses due to shortages and

poor customer services.

30

Technical Review

A more intuitive way to view inventory turnover is to express it in days showing the average number of days required to sell the

products and is represented by:5

As an illustration, if the claimants have lost the records of sales and purchases for two years immediately before the Assessment

Date (‘the Gap Period’), the forensic accountants can seek to re-construct the records based on the receipts and withdrawals stated

in the claimants’ bank statements. However, even if the inventories at the beginning of the Gap Period are known, having re-

constructed the records of sales and purchases during the Gap Period is still not adequate in the assessment of closing inventories.

Accounting ratios can facilitate the assessment. By applying the gross profit margin and inventory turnover ratio (as calculated in

accordance with the accounts and financial statements before the Gap Period) to the re-constructed records of sales and purchases

for the Gap Period, the forensic accountants can estimate the gross profits and ultimately the lost inventories.

By and large, the quantum of lost inventories at a given point in time is dependant on at least nine factors as follows:

˙Nature of business;

˙Nature of operations;

˙Nature, type and condition of inventories;

˙Demand for inventories;

˙Supply of inventories;

˙Cost structure;

˙Storage condition of inventories;

˙Financial position of business; and

˙Expectation of future business.

In adopting the indirect approach of quantum assessment of lost inventories, the forensic accountants have assumed that each

of the above nine factors are materially unchanged during the relevant time (i.e. the Gap Period and the period before the Gap

Period which form the basis for the projection in data re-construction). If any of these assumptions is unreflective of the case

circumstances, the quantum assessment is subject to adjustments.

Recaps of Direct Approach and Indirect Approach in Assessing Lost Inventories

In summary, the direct approach of forensic accountants in quantum assessment of lost inventories comprises:

˙Conducting a physical inventory count on the Assessment Date together with the vouching to supporting documents and

records;

˙Relying on the claimants’ perpetual inventory system together with an evaluation of the system; and

˙Conducting a physical inventory count on the Alternative Date together with the roll-forward procedures.

Failing that, the forensic accountants, by the indirect approach, may form the assessment by projecting the established

correlation between sales, purchases, costs of sales and inventories onto the observable variables during the Gap Period.

Benny K B Kwok is a renowned forensic accountant and expert witness in litigation support, dispute analysis and

fraud investigation. He has acted as a single joint expert in civil proceedings and an expert witness in arbitration

hearings, disciplinary proceedings as well as civil and criminal trials, at the District Court and the High Court, in

respect of accounting, commercial and financial matters. Mr Kwok can be contacted on tel: 2111 1867 or by email:

Expert@Forensic.HK

References:1 Forensic Accountancy (2nd Edition), by Benny K B Kwok, LexisNexis 2008 (ISBN 978-962-8972-76-0)

2 to 5 Financial Analysis in Hong Kong (2nd Edition), by Benny K B Kwok, The Chinese University Press 2013 (ISBN 978-962-

996-574-7)

31