Your Title

THE Malaysian construction industry stands at a turning point. As we navigate the challenges of a complex,
fast-changing world, the “Madani Economy: Empowering the People” framework, introduced by Prime Minister Datuk Seri Anwar Ibrahim, provides a much-needed roadmap.

However, can this vision truly empower people if technological progress takes centre stage while human development lags behind? This is where the transition from Construction 4.0 (CR4.0) to Construction 5.0 (CR5.0) becomes crucial.

Why does CR5.0 matter? It forces us to rethink what progress truly means. While CR4.0 introduced automation and digitalisation, which was a significant step forward, it overlooked an essential ingredient – people.

CR5.0 challenges that mindset by recognising that true progress is not just about speed and productivity but also about equity, sustainability and the coexistence of technology and human expertise.

The Construction Industry Development Board has already
laid the groundwork, with its Construction 4.0 Strategic Plan (2021–2025), which is aimed at driving digital transformation.

However, the global construction landscape is evolving. International professional bodies, such as the European Commission and the Chartered Institute of Building, are now advocating for a more human-centric approach with CR5.0.

For the Malaysian construction sector to remain competitive – and more importantly, relevant – embracing this shift is no longer an option.

However, challenges remain. How can we ensure that innovation focuses not just on machines but also on people? The transition demands a rethinking of leadership.

The traditional top-down approach is no longer effective. We need leaders who can manage what may seem like conflicting demands. They must adopt a form of leadership known as paradoxical leadership. This mindset balances rapid technological advancement with a strong commitment to human values such as inclusivity, ethical decision-making, employee well-being and workforce development.

This leadership model is especially urgent as Malaysia implements the Bumiputera Economic Transformation Plan 2035 (Putera35). Putera35 is designed to equip the Bumiputera community with the tools needed to thrive in high-value sectors, such as construction.

But can technology alone drive success? Without leadership that can balance automation with upskilling and innovation with inclusivity, this initiative risks falling short of its potential.

What does this balance look like
in practice? Take, for example, an architectural firm leveraging artificial intelligence and parametric design tools to streamline workflows but also fostering a culture where young architects are encouraged to develop critical thinking, adaptability and creative problem-solving skills – skills that go beyond just technical expertise.

Or take a contractor integrating automated machinery, like robotic bricklayers and 3D concrete printers. If they treat technology as a replacement for skilled labour, they risk widening the skills gap. But if they invest in upskilling programmes, workers can transition into roles that require higher technical expertise, problem-solving and on-site decision-making.

In both cases, the goal is not just to build faster but also to build better, where technology can empower rather than replace human expertise. This is the essence of CR5.0: leaders who value people as much as they value machines.

However, can this transformation happen on its own? No. It requires deliberate effort from educational institutions, industry leaders and policymakers.

Training the next generation is not just about teaching them how to use the latest tools but is also about cultivating a mindset that values empathy as much as efficiency and collaboration as much as competence.

The question is not whether Malaysia will enter the CR5.0 era. That shift is already happening. The real question is: Will Malaysia lead the way or will it fall behind? The future of the construction industry is not just about the buildings we create but also about the society we shape. With the right leadership, we can not only innovate but also inspire.

Dr Syafizal Shahruddin is a senior lecturer at the School of Housing, Building and Planning, Universiti Sains Malaysia. Comments: letters@thesundaily.com