Effectiveness of CIPAA Implementation in Construction Industry from the Perspective of Contractors in Malaysia
Purpose: As an effort to reduce the default payment problems, the enactment of the Construction Industry Payment and Adjudication Act (CIPAA) 2012 was endorsed by the government and CIPAA is put into implementation in handling default payment problems. This paper aims to analyze contractors’ percept...
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| Format: | Article |
| Language: | English English |
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GBMR
2023
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| Online Access: | http://umpir.ump.edu.my/id/eprint/38423/1/V15N2s-6.pdf http://umpir.ump.edu.my/id/eprint/38423/2/Effectiveness%20of%20CIPAA.pdf |
| _version_ | 1825815109464752128 |
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| author | Ahmi, Nur Nadia Mohd Zainudin, Nurhaizan Lee, Chia Kuang |
| author_facet | Ahmi, Nur Nadia Mohd Zainudin, Nurhaizan Lee, Chia Kuang |
| author_sort | Ahmi, Nur Nadia |
| collection | UMP |
| description | Purpose: As an effort to reduce the default payment problems, the enactment of the Construction Industry Payment and Adjudication Act (CIPAA) 2012 was endorsed by the government and CIPAA is put into implementation in handling default payment problems. This paper aims to analyze contractors’ perception on the implementation of CIPAA in handling default payment issues and to examine contractors’ opinion on the effectiveness of the provisions set out in the CIPAA in solving payment issues among contractors Design/methodology/approach: A questionnaire survey was employed, and data were collected from 139 Class A contractors in Selangor. Findings: The result show that majority of the contractors support on the implementation of CIPAA and agree that CIPAA is an effective method in solving default payment issues. Apart from being an effective method, the findings also provide insights into how the implementation of CIPAA offers greater benefits to the contractors beside solving disputes over payment in projects. Research limitations/implications: The findings of this study are limited in the State of Selangor only. While most contracting companies and several megaprojects are in the Selangor state, the findings of this study cannot be used to generalize the population of the study. Practical implications: This study benefits several key players in the construction industry, namely the contractors, subcontractors, consultants, and project owners in solving payment issues. Originality/value: This study contributes to the understanding of perceived effectiveness in the implementation of CIPAA in solving payment issues, involving contractors in Malaysia. Keywords: CIPAA, Dispute Resolution Method, Payment Issues, Construction Industry, Effectiveness |
| first_indexed | 2024-03-06T13:08:33Z |
| format | Article |
| id | UMPir38423 |
| institution | Universiti Malaysia Pahang |
| language | English English |
| last_indexed | 2024-03-06T13:08:33Z |
| publishDate | 2023 |
| publisher | GBMR |
| record_format | dspace |
| spelling | UMPir384232023-08-21T02:54:45Z http://umpir.ump.edu.my/id/eprint/38423/ Effectiveness of CIPAA Implementation in Construction Industry from the Perspective of Contractors in Malaysia Ahmi, Nur Nadia Mohd Zainudin, Nurhaizan Lee, Chia Kuang TA Engineering (General). Civil engineering (General) TH Building construction Purpose: As an effort to reduce the default payment problems, the enactment of the Construction Industry Payment and Adjudication Act (CIPAA) 2012 was endorsed by the government and CIPAA is put into implementation in handling default payment problems. This paper aims to analyze contractors’ perception on the implementation of CIPAA in handling default payment issues and to examine contractors’ opinion on the effectiveness of the provisions set out in the CIPAA in solving payment issues among contractors Design/methodology/approach: A questionnaire survey was employed, and data were collected from 139 Class A contractors in Selangor. Findings: The result show that majority of the contractors support on the implementation of CIPAA and agree that CIPAA is an effective method in solving default payment issues. Apart from being an effective method, the findings also provide insights into how the implementation of CIPAA offers greater benefits to the contractors beside solving disputes over payment in projects. Research limitations/implications: The findings of this study are limited in the State of Selangor only. While most contracting companies and several megaprojects are in the Selangor state, the findings of this study cannot be used to generalize the population of the study. Practical implications: This study benefits several key players in the construction industry, namely the contractors, subcontractors, consultants, and project owners in solving payment issues. Originality/value: This study contributes to the understanding of perceived effectiveness in the implementation of CIPAA in solving payment issues, involving contractors in Malaysia. Keywords: CIPAA, Dispute Resolution Method, Payment Issues, Construction Industry, Effectiveness GBMR 2023 Article PeerReviewed pdf en http://umpir.ump.edu.my/id/eprint/38423/1/V15N2s-6.pdf pdf en http://umpir.ump.edu.my/id/eprint/38423/2/Effectiveness%20of%20CIPAA.pdf Ahmi, Nur Nadia and Mohd Zainudin, Nurhaizan and Lee, Chia Kuang (2023) Effectiveness of CIPAA Implementation in Construction Industry from the Perspective of Contractors in Malaysia. Global Business and Management Research: An International Journal, 15 (2s). pp. 73-86. ISSN 1947-5667. (Published) http://www.gbmrjournal.com/vol15no2s.htm |
| spellingShingle | TA Engineering (General). Civil engineering (General) TH Building construction Ahmi, Nur Nadia Mohd Zainudin, Nurhaizan Lee, Chia Kuang Effectiveness of CIPAA Implementation in Construction Industry from the Perspective of Contractors in Malaysia |
| title | Effectiveness of CIPAA Implementation in Construction Industry from the Perspective of Contractors in Malaysia |
| title_full | Effectiveness of CIPAA Implementation in Construction Industry from the Perspective of Contractors in Malaysia |
| title_fullStr | Effectiveness of CIPAA Implementation in Construction Industry from the Perspective of Contractors in Malaysia |
| title_full_unstemmed | Effectiveness of CIPAA Implementation in Construction Industry from the Perspective of Contractors in Malaysia |
| title_short | Effectiveness of CIPAA Implementation in Construction Industry from the Perspective of Contractors in Malaysia |
| title_sort | effectiveness of cipaa implementation in construction industry from the perspective of contractors in malaysia |
| topic | TA Engineering (General). Civil engineering (General) TH Building construction |
| url | http://umpir.ump.edu.my/id/eprint/38423/1/V15N2s-6.pdf http://umpir.ump.edu.my/id/eprint/38423/2/Effectiveness%20of%20CIPAA.pdf |
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