Barriers and drivers of whole life cycle costing of sustainable facility management for PPP/PFI projects in Malaysia

Abstract

Whole Life Cycle Costing (WLCC) and Sustainable Facility Management (SFM) are two key principles of Public Private Partnerships and Private Finance Initiatives (PPP/PFI) projects in Malaysia as the projects are usually awarded for a concession period of up to thirty years. However, these principles are at the infant stage which render complications in its implementation. The research seeks to examine the barriers and drivers of implementation of WLCC of SFM for PPP/PFI projects in Malaysia. Quantitative approach is adopted for the research where questionnaires are distributed to all members of Malaysian Association of Facility Management (MAFM). In order to achieve the objectives of the research, collected data is analysed and presented in the form of Severity Index (SI) and Relative Importance Index (RII). The findings reveal that inconsistency in underlying philosophy and methodology, lack of incentive, lack of motivation and lack of well-established standard and method are the main barriers of implementation of WLCC of SFM for PPP/PFI projects in Malaysia. In order to overcome the barriers, there is a need to define the parameters and assumptions of WLCC, to provide incentive for its implementation, to develop WLCC framework and to establish standard and guideline of WLCC. The research recommends that further research is significant in defining the parameters and assumptions of WLCC so that a standardized methodology can be made available to members of MAFM for effective implementation of WLCC of SFM for PPP/PFI projects in Malaysia.