Paper 3 - Roles & Responsibity of Consulting Engineers

SEMINAR ON RESPONSIBILITY OF CONSULTANT IN THE CONSTRUCTION INDUSTRY ROLES & RESPONSIBILITIES OF CONSULTING ENGINEERS by Ir. Dr.Abdul Majid President of Association of Consulting Engineers Malaysia

Roles & Responsibilities of a C Consulting lti Engineer E i • To understand the roles & responsibilities of a Consultant Engineer one must know the liabilities attached to standard of care expected from a Consultant Engineer. • If there are no liabilities associated with what Consultants do, then there is no sense of responsibility, role, duty of care or even moral obligations. • Liabilities in in--turn are associated with the Laws of the country to enforce or regulate the profession.

The Consulting Engineer as a P f Profession i (1)

There are approx approx.. 1,500 Engineering Consultancy Practices registered with the Board of Engineers. Engineers. Why so many ?

(2)

The P.E. registration with BEM allows the Engineer be a be the Submitting Person under the Street & Drainage Act Act. Is the P.E. then a ‘Competent Engineer’ ?

(3)

With the P.E. registration any engineer can Engineering Consultancy Practice registered Board after 4 years years.. Many do not do so. so. After engineering experience is this sufficient to b i business ?

(4)

How many Consulting Engineers in practice understands the concept of duty, care and due diligence to the Public and Cli t ? Client

set set--up an with the 4 years of set set--up a

Are these the Attributes of a ‘Good’ Consulting Engineer ? (1) Experience. Experience. What is the Consulting Engineer’s experience in general practice and the particular field of engineering under consideration ? (2) Concept of a problem problem.. Does the Consulting Engineer display a good understanding of the Client’s needs and problems ? (3) Competence. Competence. Does the previous work of the Consulting Engineer demonstrate adequate competence to handle the work under question ? (4) Staff. Staff. Does the Consulting Engineer has enough resources to undertake the engagement ? (5) Knowledge of local conditions conditions.. Is the Consulting Engineer familiar with the local conditions ?

Are these the Attributes of a ‘Good’ Consulting Engineer ? (6) Project Management. Management. Has the Consulting Engineer demonstrated the ability to organize and manage projects to assure completion on schedule and within estimated costs ? (7) Integrity. Integrity. Has the Consulting Engineer a reputation of outstanding integrity and honesty ? (8) Cooperation. Cooperation. Is the Consulting Engineer heartedly coco-operative with the Client ?

whole

(9) Standing. Standing. What is the Consulting Engineer Engineer’s s standing in the profession ? (10 10))Reputation Reputation. p . What is the Consulting g reputation with existing Clients ?

Engineer’s g

What is a Consulting Engineer ? • Consulting engineering roles, responsibilities and obligations g are g generally yp poorly y understood. • The public at large has difficulty in distinguishing between a consulting engineer, engineer a professional engineer and a contractor. • Most engineering graduates and universities have only a meager understanding of the role of a consulting engineer. • Even some Consulting Engineers lack adequate comprehension p of their own roles, obligations g and responsibilities.

Definition of a Consulting Engineer •

A consulting engineering is an independent professional engineer who performs professional engineering services for clients on a fee b i basis.

•

ACEM’s definition in the MAA “ A Consulting Engineer as a person possessing p g the necessary yq qualifications to p practice in more than ………. of independent professional judgement in the matters upon which he advises”.

•

BEM’s BEM s definition is “Engineering Engineering consultancy practice means sole proprietorship, partnership, bodies corporate providing professional engineering services”.

PEO’s Regulation confers designation of Consulting Engineer on practitioners who fulfil additional q p qualifications.. Onlyy those p qualifications persons and firms authorized by PEO to do so may call themselves Consulting Engineers ………………… ………………….. ..Professional Engineers Ontario that regulates Engineers

Consultant Engineers are Professionals “Apply this to the employment of a Professional man. The Law does not usually imply a warranty that he will achieve a desired result, but only a term that he will use reasonable care & skill. skill. The surgeon does not warrant that he will cure the patient nor does the solicitor warrant that he will win the case” Lord Denning, Denning in the Greaves & Co(Contractors) Ltd Ltd.. V. Baynham Meike & Partners – A claim against Consulting Engineers decided in 1975

A professional is one who holds oneself out, and professes as having the necessary qualifications, skills and expertise in a particular ti l fifield. ld H He owes a d duty t tto exercise i th thatt d degree off skill & care which others rely on.

Is Consulting Engineering a B i Business or P Profession f i ? • When monetary transactions is involved i.e. charging of professional fees it becomes a business. • Sole S l proprietorship i t hi and d partnership t hi iis registered i t d with the Register of Business (ROB) and bodies corporate are registered with the Register of Companies (ROC). • Every E b business i entity i seeks k a profit fi at the h end d off the h day hence the challenge is to mix sound business management and professional attitudes for good engineering.

Is the Consulting Engineering Business B i Profitable P fi bl ? NOT ENOUGH STATISTICS TO IDENTIFY THE SIZE OF THE INDUSTRY. INDUSTRY S .

Engineering part of o erall Professional overall Services

Attempt to Quantify the Consulting E i Engineering i Business B i ! 2000

2002

2006

2007

RM 340,000 M

RM 390,000 M

RM 548,000 M

RM 507,000 M

Fees Collected

RM 820 M*

RM 1,500 M*

????

????

% share of GDP

0.24%

0.38%

0.6%

* Source Kastam  DiRaja j

*Estimate

ACEA  Report p

RM80K  /Employee

A$ 80K  /Employee 

Total GDP

Note: Productivity

2001  Australia

A$ 3.9 B

How Do We Become a C Consulting li E Engineer i ? z

A degree in Engineering recognized by BEM and apply for registration as a Graduate Engineer and signed Form A – Application for Registration as a Graduate Engineer

z

Has passed the Professional Assessment Examination for which he is entitled to the title “Ir.” and is therefore a Professional Engineer and signed Form B1 B1- Application for Registration as a Professional Engineer

z

Set-up a business entity and register it with ROB or ROC and signed declarations dec a at o s as required equ ed by ROB O o or ROC. OC

z

Register with BEM as an Engineering Consultancy Practice and signed F Form E – Application A li i ffor R Registration i i as an ECP

How many As of June 2007 there are; Consultant Engineers z 12,817 Professional Engineers & are out there ? z 42,583 Graduate Engineers registered with the Board. O t off the Out th 12,817 12 817 Professional P f i lE Engineers; i • • • •

•

6,522 are registered under Civil 2 570 are registered 2,570 i t d under d El Electrical ti l 2,524 are registered under Mechanical The rest (1,201 PE’s) are registered under the various 86 different disciplines such as automotive, aeronautical etc. It is estimated that 2,000 , to 3,000 , P.E.s are Consulting Engineers or Practicing Engineers.

Size of Consultant Engineer Practice BEM – ACEM ENGINEERING SURVEY 2003.

BEM-ACEM SURVEY 2003 BEM63% SMALL FIRMS 32% MEDIUM FIRMS

ACEA SURVEY 2001 AUSTRALIA 98% SMALL FIRMS (