Introduction-construction management_Construction Management (2180611) (Semester-8), Civil Engineering

Prepared by
Prof. Ashish Makwana
Civil Engineering Dept. - MEFGI
Prof. Ashish Makwana 1

PRESENTATION
OUTLINE…
1. Construction Project
2. Phases of a Construction Project
3. Importance of Construction and Construction
Industry
4. Indian Construction Industry
5. Construction Management
6. Importance of Planning, Scheduling and Controlling
Projects

CONSTRUCTION PROJECT
Project
A Project is defined as a temporary
endeavour undertaken to create a unique
product/service/results.
Product
The product in case of a construction
project is the constructed facility such as a
building, a bridge, a highway, a dam, a
canal, a factory etc.

Construction projects
Construction projects involve varying
manpower and their duration can range
from a few weeks to more than five years.
Each construction project is ‘unique’
and ‘temporary’ in nature and so is the
management involved.

Construction projects
Unique Features of a Construction Project
One time activity
A start and finish
Complexity
Involvement of several people on an adhoc
basis
Limited set of resources
High cost
A time frame for completion

High risk of failure
Difficulty in defining quality standards
Sequencing of activities and phases
No practice/rehearsals
Uniqueness of people relationship
Lack of experience of client/owner
Feedback mechanism
High level of subcontracting
Uncertainty exists

PHASES OF
A CONSTRUCTION PROJECT
Briefing stage
Designing stage
Tendering stage
Construction stage
Commissioning stage

1. Briefing stage
• This stage is also called the ‘Report
stage’.
• It is the stage where ideas originated by
individuals are studied with regard to cost
and benefits so as to establish the
economic viability/social utility of a project.
Purpose
• The purpose of the briefing stage is to
enable the client to specify project
functions and permissible costs.

Activities (Briefing stage)
• To appoint a project committee, if
necessary.
• To appoint a project manager who will have
a continuing responsibility to the client
through out the construction project.
• To carry out technical and non-technical
investigation so that alternative proposals
may be given due consideration.
• To study the various alternatives and
identify the most feasible one.
• To prepare the project report which is the
outcome of the first stage.

Feasibility report
• Technical analysis
• Economic analysis
• Financial analysis
• Ecological analysis

2. Designing stage
• It is a very important stage in the field of
construction because any modification of the
project after this stage would prove
expensive.
• A realistic and detailed cost estimate of
the project can be prepared during the
design stage.
Purpose
• The purpose of this stage is to complete the
project summary and determine the
method of construction and estimated
costs so as to obtain necessary approvals
from the client.

Activities (Designing stage)
• To develop the project summary for the
final adoption of the most suitable alternative.
• To carry out technical investigations such
as,
– Soil investigation
– Topographic investigation
– Materials surveys
– Market surveys
• To prepare detailed design, working
drawings, specifications, bill of quantities,
final cost estimate and preliminary
construction programme.

3. Tendering stage
• During this stage tenders are invited and
the contract is awarded at the best
available terms agreed mutually between
the owner’s team and the contractors.
Purpose
• The purpose of the tendering stage is to
appoint a contractor who will undertake
the construction work on the most suitable
terms and conditions of quality, cost and
completion time.

Activities (Tendering stage)
• To invite tenders from the contractors for the
construction work and to award the contract.
• Pre-qualification of contractors involves an
investigation of the potential of contractor’s
financial, managerial and physical resources,
contractor’s experience of handling similar
projects, etc.
• To prepare contract documents, to be
signed by the client and the contractor.
• Holding a pre-bid conference and providing
the necessary information.

Activities (Tendering stage)
• Negotiating contract price with qualified
contractor.
• Reviewing documents submitted by
contractor.

4. Construction stage
• The construction stage involves the
execution of construction work as per
the design, drawing and within agreed
limits of time, cost and specified quality.
Construction Planning Activities
• Construction schedule
• Manpower schedule
• Material delivery schedule
• Plant and equipment schedule

Control of site operations Activities
• Supply of materials and equipment
• Supervision for quality control
• Co-ordination among sub-contractors
• Supervision for quality control
• Supply of necessary drawings

5. Commissioning stage
• It is the stage in which the performance
of the structure is evaluated and the
proposed nature of maintenance and
repair are considered.
Purpose
• The purpose of this stage is to ensure that
the construction work has been carried
out as per the drawing and
specifications and all the facilities
developed function properly as
envisaged in the design.

Activities (Commissioning stage)
• To keep various records of actual work.
• To inspect the construction work
thoroughly and have any defects rectifies.
• To prepare operating instructions and
maintenance manuals.
• To carry out tests for performance, such
as water tightness, strength etc.

IMPORTANCE OF CONSTRUCTION
AND CONSTRUCTION INDUSTRY
• Construction is an important part of real
estate and infrastructure such as:
• Real estate
– Residential
– Industrial
– Corporate
– Commercial

• Infrastructure
– Roads
– Railways
– Urban infrastructure
– Ports
– Airports
– Power
• The importance of construction can be gauged
from the fact that cost of construction of
certain infrastructure projects may be as high
as 60 to 80% of the total project cost.

• Construction is recognized as the basic input
for socio-economic development of a country.
• Since construction industry is dependent on a
number of industries, its growth in other
industries as well.
– Development of building materials industry
– Development of construction equipments
industry

• Construction products such as buildings,
bridges, roads, power plants have a long life
as compared to the products of other
industries.

INDIAN CONSTRUCTION INDUSTRY
Factors in favour of Indian construction industry
• Availability of cheap labour
• Availability of qualified professionals
• Large number of construction companies
• Actual shortage of housing
• Boost from the government
• Growth in industrial sector

INDIAN CONSTRUCTION INDUSTRY (continued..)
Factors against the Indian construction industry
• Low productivity
• Low ratio of skilled to unskilled workers
• High cost of finance
• Complicated tax structure
• Presence of small contractors who lack
financial and technology backup
• Negligible investment in R & D
• Competition from multinational companies

Investment Opportunities in Construction in
India
• Construction development in residential,
retail, commercial and hospitality sectors
• Technology and solutions for smart
sustainable cities
• Technology for the promotion of low cost
housing
• Green building solutions
• Smart cities
• Sustainable and environmental friendly
building materialsProf. Ashish Makwana 26

• Training and Skill development of
construction sector workers
• Urban water supply, Sewage, Sewage
treatment, Solid waste management

CONSTRUCTION MANAGEMENT
• Project Management is the art and science of
mobilising and managing people, materials,
equipment and money to complete the
assigned project work on time, within budgeted
costs and specified technical performance
standards.
• Construction Management may be defined as
the management in which group of people of
different categories works together, to execute
the project economically without affecting the
quality in a well planned and organised manner.Prof. Ashish Makwana 28

Scope of Construction Management
• Planning and estimating
• Execution of works
• Financial management
• Material management
• Equipment management
• Labour management
• Site layout
• Equipments and Materials plant location
• Labour relationships
• Industrial psychology for smooth flow of work

Need of Construction Management
• Co-ordination between different agencies
• Economy in Construction
• Development of management and machinery
• Speed of Construction
• Quality Control of materials and workmanship

Objectives of Construction Management
• Completing the work within estimated budget.
• Completing the work within specified time.
• The Quality and workmanship should be better.
• The work should be executed as per specification.
• Providing safe and satisfactory working conditions
for all personnel and workers.
• Taking sound decisions at the lowest practical
management level through delegation of authority.
• Motivating people to give their best within their
capacities.
• Creating an organisation that works as a team.
• Achieving economy in the construction.Prof. Ashish Makwana 31

Phases / Functions of Construction Management
• Planning and Scheduling
• Organising
• Staffing
• Directing
• Controlling
• Co-ordinating
• Communication

Planning - Planning involves formulation of a number
of alternative of realistic work plans for achieving
specified objectives and finally selecting a plan which is
best suited from the standpoint of available resources
and constraints imposed upon the project.
• Planning is the administrative process which
translates the policy into a method of achieving the
objectives.
• How a project will be carried out?
• What materials will be used?
• What equipment and machineries will be utilized?
• What men and staff will be employed?
‘What to do?’ and ‘How to do?’

Scheduling - Scheduling is the fitting of the final work
plan to a time scale. It shows the duration and order of
various construction activities.
‘When to do?’
• Time plan
• Resources plan
• Plan for controlling project
• Schedule of design and drawing preparation
• Work quantities
• Progress of work planned
• Resource allocations
• Budget costs

Organising – Organising is concerned with division of
the total construction work into manageable sections
and systematically arranging various operations by
delegating specific tasks to individuals.
Staffing – Organising involve the division of the project
work into sections and staffing is the provision of
people to fill the positions so created.
• Staffing functions- Recruiting the right people,
Arranging staff training courses, Carrying out proper
staff assessment

Directing – The directing function is concerned with
training sub-ordinates to carry out assigned tasks,
supervising their work and guiding their efforts.
• The essence of directing lies in the ability to
motivate people individually and as groups to utilize
their creative efforts in achieving specified
objectives.
Controlling – Controlling is necessary for ensuring
effective and efficient working.
• It involves a constant review of the work plan to
check on actual achievements and to discover and
rectify deviations through appropriate corrective
measures.

Co-ordinating – This is a process where the framework
of the organization is made to operate smoothly with
the flow of information, decisions and results in every
direction.

Importance of Planning, Scheduling and
Controlling projects

Planning
• Planning aims at formulation of a time based plan of
action for co-ordinating various activities and
resources to achieve specified objectives.
• Planning is the process of developing the project
plan.
Benefits (Planning)
• Project plan clearly defines project’s scope of work.
• Project plan aids the management in performing its
functions efficiently and effectively.
• Project plan identifies critical activities.
• Project plan provides the yard-stick for measuring
progress and evaluating resources performance.

Benefits (Planning)…
• A project plan maintains continuity of work, specially
when project organisation is temporary and its
staffing is transient in nature.
• Project plans provide the basis of coordinating the
efforts of clients, consultants, architects, designers,
quantity surveyors, suppliers, contractors and the
project staff.
• Project plan creates healthy environment.
• It commits individuals to tasks and motivates them
to achieve challenging targets.

Benefits (Scheduling)
• Schedule simplify a project plan.
• Schedule validates time objectives.
• Schedule aids in the optimization of resources
employed.
• Schedule enables forecasting of input resources like
man, materials and machinery.
• Schedule brings out implications of time and
resources constraints.

Benefits (Controlling)
• The control system aids the management at various
levels to perform its functions efficiently and
effectively for achieving the overall project objectives.
Benefits (At each level of management for Controlling)
(a) Operational control at supervisory level
(b) Administrative control at managerial level
(c) Directional Control at General Manager (GM) /
Project Manager (PM) level
(d) Strategic control at corporate level

Benefits (At each level of management for
Controlling)…
(a) Operational control at supervisory level
• Minimizing unproductive man hours
• Preventing wastage of materials
• Economizing plant and machinery utilization
• Reducing activity execution time

(b) Administrative control at managerial level
• Updating the work quantities status and determining
the balance scope of work
• Analyzing project time status
• Evaluating production cost status and forecasting
future trends
• Calculating income status and forecasting cash
inflows
• Computing budget status and forecasting cash inflows

(c) Directional Control at General Manager (GM) /
Project Manager (PM) level
• Analyzing project time – cost behaviour and making
decisions on time saving when required
• Reviewing project cost and profitability, and making
profitability improvement decisions
• Auditing management’s performance
(d) Strategic control at corporate level
• Determining overall profitability
• Budgeting and allocating funds and resources
• Updating the company’s planning norms and unit
rates for securing future works

Construction Project Categories
• Building construction
• Infrastructure construction
• Industrial construction
• Special – purpose projects

Building construction
• Residential buildings
• Commercial buildings
• Educational buildings
• Recreational buildings
• Hospitals and hotels
• Warehouse and marketing facilities

Infrastructure construction
• Highways and expressways
• Dams and canals
• Airports
• Railways
• Bridges
• Oil / gas pipelines
• Large water supply and sewerage networks
• Docks and harbours
• Nuclear and thermal power plants

Industrial construction
• Construction of steel plants
• Petroleum refineries
• Chemical and Fertilizer plants
• Consumer goods factories
• Automobile and aircraft industry

Special – purpose projects
• Environmental works
• Emergencies
• Remedial works
• Installation and commissioning of equipment
Classification of projects based on completion time
• Large duration projects (over 10 years)
• Medium duration projects (3 to 10 years)
• Short duration projects (few months to 3 years)
• Special short term projects (less than 1 year)

Classification of projects based on project value
• Mega value projects (say over $1000 million)
• Large value projects ($ 100 million to $ 1000 million)
• Medium value projects ($ 10 million to $ 100 million)
• Small value projects (less than $ 10 million)

Classification of projects based on plant and
equipment
Light Construction
• Residential buildings
• Educational buildings
• Recreational buildings
• Commercial buildings
• Schools, hotels
• Small bridges, water tanks
• Shopping centers

Classification of projects based on plant and
equipment…
Heavy Construction
• Dams, barrages, tunnels
• Highways, railways, airports
• Harbours
• Multispan bridges with well / pile foundations

Resources for Construction Industry
• Man power
• Money
• Materials
• Machinery

Resources for Construction Industry
• Man power – Man power in the form of technical and
managerial personnel and work force in various
trades is essential to carry out project activities.
• Money – Adequate funds should be available for
smooth implementation of the project.
• Materials – bricks, steel, stones, timber, aggregate,
scaffolding, cement, water supply and sanitary
fittings, lime, petrol, oil, lubricants
• Machinery – batching and mixing plants, Mixers,
crushers, Trucks, dumpers, tractors, Rollers, Powers,
Cranes, excavators, hoist, Pumps, generators

Stakeholders of a Construction Project
(Construction Team)
• Owner
• Engineers / Architects
• Contractors

Owner – The owner in a building or engineering project
may be an individual, group of individuals, private or
public undertaking.
Responsibilities of the owner
• The owner is supposed to provide necessary site on
which the proposed work is to be constructed.
• The owner should appoint an engineer, to look after
the technical requirements of the work.
• The owner should supply necessary plans and
working drawings through his architect to the
contractor in time so that the work is not
unnecessarily delayed.

Responsibilities of the owner…
• The owner should respect the conditions of contract
concerning his powers and duties.
• The owner should provide necessary work front to
the contractor so that work is not delayed.
• The owner should make necessary arrangement for
the funds required for the construction of the work
so that regular payments shall be made to the
contractor.
• It is desirable that the owner should pass all the
instructions to the contractor through his engineer.
• The owner should supply materials and issue
machinery, if it is a part of the contract.

Responsibilities of the owner…
• The owner should make arrangements to record the
measurement of items in time before they are
covered up in the subsequent execution of work.
• The owner should not interfere with the progress of
the work and should not pass such instructions which
will lead to the problems of extra items, liquidated
damages, etc.
• The owner should not suspend the work temporarily
unless it appears to be in his interest to do so.
• To take over possession of the completed work timely
from the contractor.

Engineers and architects
• This includes structural, mechanical and
electrical engineers, architects, quantity
surveyors, specialists such as structural
consultants, safety and maintenance planners,
soil investigators etc.
Responsibility of engineer
• To organize and supervise the execution of work
and to see that they are suitably and
economically carried out with specified quality
of materials.

Responsibility of engineer…
• It is the duty of the executive engineer to
prepare estimate of proposed works through his
subordinates and submit the same to his
superintending engineer.
• The engineer is responsible for explaining the
plans and provisions of the specifications.
• The engineer is responsible for giving all lines
and levels required in connection with the work.
• It is his duty to invite tenders for works valued
within his power, after obtaining administrative
and technical sanction.

• In certain complicated items, the engineer
should give the sequence of operations and
should explain method of construction in detail
to the contractor.
• It is duty of the engineer to prepare
specifications for the work and to see that these
specifications are accurate, proper and
reasonable for the work.
• The assistant engineer is responsible for taking
detailed measurement of works during progress
and to enter the same in M.B. and prepare bills
for payment. Prof. Ashish Makwana 62

• To see that machinery likely to be used on works
are properly maintenance and safely house.
• To keep tools and plants in working conditions
and arrange to protect surplus stock from
deterioration.
• To prevent encroachment on government lands
under his division.
• The engineer is responsible for the acts of his
assistants or other agencies employed by him.
• It is also the duty of the engineer to assist the
court of law or the arbitrator during the hearing
of the dispute. Prof. Ashish Makwana 63

Contractor
• The contractor may be an individual undertaking
small or big need the services of qualified
engineers.
Responsibilities of the contractor
• The contractor is responsible to provide all the
materials, labour, equipments, etc. required
under the provisions of the contract for the
execution of the work.
• The contractor should carry out the work as per
plans and specifications and as per directions
given by the engineer.Prof. Ashish Makwana 64

Responsibilities of the contractor…
• The contractor should inform the supervising
engineer before taking up any new item and
before covering up of any work.
• The contractor should appoint a qualified
person on site of the work to whom instructions
and directions can be imparted.
• The contractor is responsible for any damage to
the persons or adjoining properties during
execution of the work.
• The contractor should submit the bills of work
as and when required.

• The contractor is responsible to respect all the
prevailing labour laws and should make regular
payments to his labourers as well as to the
subcontractors.
• The contractor should give all the required
assistance to the engineer for establishing the
lines and levels of the work.
• The contractor is responsible for arranging for
the permit of the controlled materials and for
paying fees and royalties for the use of patented
articles.

• The contractor is responsible for the safety of all
the labourers and personnel working at the site
and should provide safety shoes, helmets etc. to
the workmen.
• To handover the completed work in a sound
condition.
• The contractor should submit his claims for extra
items in due time.

Interaction between Owner, Engineer and
Contractor
1. Co-relation between the Owner and an Engineer
• As the owner finances the project and employs an
engineer who agrees to perform his professional
duties with reasonable efforts and skill.
• If an engineer makes an unfortunate mistake, in
spite of due skill, he is not liable for his mistake
unless the owner proves that he failed to perform
his duty carefully.
• It is responsibility of the engineer to plan things
for the owner economically.

2. Co-relation between an Engineer and Contractor
• There is much co-relation between an engineer
and a contractor as the latter executes the work in
strict supervision of the former.
• The contractor has to work as per the design and
drawing in consultation with the engineer to avoid
any dispute.

Causes of delay in construction project
• Unexpected site conditions
• Difficulties in availability of materials
• Difficulties in availability of labours
• Weather conditions – heavy rain
• Delay in issue of construction drawings
• Lack of liaison between contractor and Engineer
• Delay in clarifying bills
• Cash flow and financial constraints
• Dispute between contractor and owner/engineer

Engineer and Construction Economy
• To adopt such construction methods which would
result in the lowest practical cost of the project.
• Using as simple design as possible.
• Making use of locally available materials.
• Encouraging the use of materials of commercial
sizes.
• Making use of cost saving equipments and
adopting proper construction methods.
• Furnishing adequate foundation details, wherever
necessary.

Engineer and Construction Economy…
• Using standard specifications with which the
contractor is familiar.
• Providing suitable checks on costs of labour,
materials, equipments, supervision charges, etc.
• Engaging supervisors who have sufficient
judgement and experience in construction.
• Providing necessary work front to the contractor
to avoid any delay in construction.

Contractor and Construction Economy
• Prebidding studies of the project on the following
aspects will effect economy.
– Topography of the area
– Climate
– Sources of materials
– Geology
– Availability of labour
– Local services, power, fuel, water
– Access to the site
– Storage facilities for materials and equipments

Contractor and Construction Economy
• By employing trained and experienced staff.
• Using alternate construction equipment having
higher capacity and efficiency but lower operating
cost.
• Maintaining the construction equipments in
proper working conditions.
• Maintaining an atmosphere of co-operation with
the labour force.
• Giving liberal incentives to the labour force for
greater output.
• Adopting reliable safety measures to reduce
accidents. Prof. Ashish Makwana 74

Contractor and Construction Economy…
• Holding periodic meeting with key personnel and
concerned design engineers to discuss plans,
procedures and results.
• To satisfy himself with a reasonable percentage of
profit.
• Appointing sub-contractors for the specialized
operations.

THANK YOU

Introduction-construction management_Construction Management (2180611) (Semester-8), Civil Engineering

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