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For building and construction works, the scope of works varies depending on the contract, which can be broadly classified into (i) interior works; and (ii) works affecting building systems or components such as structural steel works, additions of lifts and reinforcement works. We have undertaken building and construction works for industrial buildings, educational institutions and Singapore Government buildings. In our building and construction projects, we typically subcontract out the majority of the site works to subcontractors, and our role is mainly to focus on project management and to ensure that the works are performed by our subcontractors properly and on a timely basis in accordance with the contract specifications and customers’ requirements. As our primary business focus is the provision of integrated building services, the building and construction projects that we have completed during the Track Record Period are mainly of contract value of below S$2 million.
In a typical building and construction works contract undertaken by us, there are generally a fixed scope of works to be performed and an agreed contract sum for performing such works. However, in some building and construction contracts, there is no fixed or committed total contract value, and the works to be performed by our Group are subject to the customer’s work orders during the contract period, which are charged according to a pre-agreed schedule of rates.