Wicked Problems in modern cities
Problem definition
- More Malaysians are choosing to rent instead of buying because of the unaffordability of the housing (Azzudin & Razak, 2021).
- The younger generation of Malaysians are receiving less income growth than the previous generation by 1.5% (Azzudin & Razak, 2021).
- Fresh graduates in Malaysia are earning as low as RM 1,000, with the median salary of fresh graduates being RM 2,112, which is barely enough to get by in the modern city (Ayamany, 2021).
- After adjusting for inflation, a survey report done by the Bank Negara Malaysia shows that fresh graduate's monthly salaries have been declining since 2010, which shows that the declining salaries was not a byproduct of the pandemic, instead being a persistent issue for a decade (Ayamany 2021).
Based on the study in Malaysia, there are three major causes that contribute to housing affordability issue in Malaysia. First and foremost, the rapid urbanization and gentrification drive up the housing costs and price that surpass household income growth. This is due to the reason that property has been a reliable hedge against inflation in Malaysia in the past few decades which result in property hype by domestic and foreign investors. (Racheal, 2020). Besides, new construction price that is biassed into unaffordable ranges also cause housing affordability issue in Malaysia. Under the current policy, private developers are required to construct a specific number of affordable housing units based on a quota linked to the scale of development at controlled prices, often below cost. Hence, someone has to "cross-subsidize" the affordable housing. In order to generate profit, developers would transfer the additional costs to other types of housing within the development, resulting in those who do not qualify for affordable housing would have to pay more. Due to the cross-subsidization of this controlled-priced product, affordable housing has become a 'burden' that developers are hesitant to pursue or seek to postpone construction. Consequently, there is an issue of inadequate supply and delayed development of such properties. (Kathy, 2023).
TP078618 Kok Sze Jun
User Persona: Lisa
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| Stress of rental(ltants, 2023) |
Lisa is a 30-year-old software-engineer living in the heart of Malaysia which is Kuala Lumpur. She love convenience, financial security and social ties. However finding an affordable accommodation made her facing a huge problems. Since the average rental in Kuala Lumpur is from RM 1433 to RM 4438. Even though RM 1433 is cheap but it located at Shah Alam which required she to travel 24KM to the city center which cost more time compare to the expensive rental accommodation. (Jordan, 2023).
Based on her financial status she are forced to examine properties in less desirable neighborhood's which have many restricted access to services and public transport since it is a cheap dwelling units. The reason why she doesn't want to increase the budget of the rental is because of her salary just enough for her to use if she increased the budget there will be impossible for her to have saving. Henceforth she feel very piss offed as the inconsistencies in housing legislation and regulation. Moreover she also believe that the government did not put effort to alleviate the housing affordability scenario.
TP079020 Darren Koo Yong Chong
Storyboard
Problems in modern cities
In the bustling heart of a modern city, residents face a myriad of wicked problems that defy simple solutions and interconnect in complex ways. For instance, Maria, a single mother juggling multiple jobs, struggles with the lack of affordable housing and the inadequacies of public transportation. Her neighbor, Alex, an environmental activist, battles the city's persistent air pollution and the bureaucratic hurdles to implementing green initiatives. Meanwhile, Jamal, a recent immigrant, navigates the challenges of cultural integration and economic disparity. These characters, intertwined by their urban environment, exemplify how wicked problems like social inequality, environmental sustainability, and infrastructural inadequacies are deeply rooted and resistant to resolution, demanding multifaceted and collaborative approaches. (Owens, 2019)TP070566 Tan Shern Kai
Solution
Due to inflation in Malaysia in the past few decades which affect the property market increase rapidly and result many of the family facing housing affordability, to solve this issue government should provide financial assistance to low-income families to help cover housing costs. In addition, having a percentage of new housing developments to be affordable for low-income as well as moderate- income households this would assist them the difficulty from financial issue and owning a comfortable house for them. To add on, coming out with a scenario plan is one of the ways to solve the problem like develop and analyse multiple scenarios to predicts potential outcomes and unintended consequences of proposed solutions.
TP079062 Loo Qi Heng
Construction permit and immigration policy
Additional to that, the government can accept more construction permits and loosen the immigration policy.
Before undertaking a construction, contractors need to register for permit, which will allow them to legally start their construction. However, the process of obtaining a building permit is troublesome. In Malaysia, the approval period for a permit has been changed from 390 days to 90 days but 90 days is equivalent to 3 months of waiting (Emir, 2019). Not only that, it does not guarantee the approval of the permit. To avoid that tedious process, many contractors have bribes local authorities into speeding up the process, which overall increases the cost of the construction. To minimize the cost, government needs to further shorten the approval period and approving more permits.
On the other hand, in Malaysia, most constructions rely on immigrant workers, which requires working permit. Obtaining a working permit for immigrant is difficult and costs a lot in Malaysia, so by loosening the policy and cost of it, it can significantly reduce the overall cost of the construction (Bracken, 2022).
TP072186 Lim Zheng Xian
References
Racheal Lee (2020). Cover Story: The disparity between income and house prices. The Edge Malaysia. https://theedgemalaysia.com/article/cover-story-disparity-between-income-and-house-prices
Jordan, C., & Jordan, C. (2023). How much does it cost to rent an apartment in Malaysia? - Tower Regency. Tower Regency -. https://towerregency.com.my/how-much-does-it-cost-to-rent-an-apartment-in-malaysia/
Emir, Z. (2019). Building permit approval period shortened from 390 days to 90 days. The Edge Malaysia. https://theedgemalaysia.com/article/construction-permit-approval-period-shortened-390-days-90-days?type=malaysia
Bracken, K. (2022). Here are five policies to help solve the global housing crisis. World Economic Forum. https://www.weforum.org/agenda/2022/03/how-to-solve-the-global-housing-crisis/
Consultants, U. H. (2023). HUD and the White House Announce Progress in Curtailing “Junk” Rental Fees. https://www.linkedin.com/pulse/hud-white-house-announce-progress-curtailing-junk
Owens, D. (2021). UX CASE STUDY — WICKED PROBLEMS - Deniz Owens - Medium. Medium. https://medium.com/@denizowens/ux-case-study-wicked-problems-a7bddcf6dfa2
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