RERA once implemented in India, in a few months from now, will change the entire ecosystem of construction Industry. Project Manager will have significant role and responsibility to comply to guidelines. This presentation will focus on how to gear up on skill sets and focused actions points to be taken by Project Manager
Impact of RERA in India on Real Estate Project Management Service
1. 1
PM Footprints
Impact of RERA on Project Management Service
& Role of Project Manager (Project Lead)
By : Rudresh.KV
20th May 2017
2. 2Impact of RERA on Project Management Services and Role of Project Manager
Its time to shakeup
3. 3Impact of RERA on Project Management Services and Role of Project Manager
Agenda
1. About RERA
2. Direct Impact
3. Project Registration
4. Implications
5. New Approach
6. Project & Management of it
7. Skillsets to be acquired
4. 4Impact of RERA on Project Management Services and Role of Project Manager
About RERA
• Real Estate (Regulations and Development)Act 2016
• 25 March 2016 it received the assent from President of India
• Respective State Governments to roll out in one year
• Appellate Tribunal (Court), 60 days Trial period
• Commercial & Residential Projects to register
• 500 Smt or 8 units or more to register
• Ongoing projects to be registered
• Phase wise project registration is allowed
• Karnataka is yet to form the authority, likely by end July 17
5. 5Impact of RERA on Project Management Services and Role of Project Manager
Impact of RERA…Transparency
Financial discipline Responsibility
Customer focus Accurate
Non Compliance: Financial Penalty or 3 Year jail
6. 6Impact of RERA on Project Management Services and Role of Project Manager
Project Registration
1. Ownership of land, encumbrance free
2. Insurance of land title to be done
3. All applicable statutory approvals obtained
4. Total number of units & respective Carpet Area, Phase wise
5. Amenities details to be provided
6. Project Schedule and Handing over date to be committed
7. Estimated cost to completion of project, Land + Construction
8. List of Associate Design Consultants engaged in project
# Design development has to be near GFC grade
7. 7Impact of RERA on Project Management Services and Role of Project Manager
New Approach
1. Well thought and clear design brief by Promoter
2. Phase wise development, independent operation of phase
3. Shorter time period design development, each phase
4. Importance for accuracy : Design, Cost & Schedule
5. Increased Accountability on each Stake holder
6. Revised agreement clauses & Conditions of contract
7. Clear roles and responsibility, flowers / bricks
8. Closer review of MIS, Less tolerance for non performance
9. Emphasis on collaboration and communication
10. Adoption of technology like BIM, ERP, PMO
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What is a Project ?
“ A collection of linked activities, carried out in an
organised manner with clearly defined start and
finish point, to achieve some specific results that
satisfy the needs of an organisation as derived
from the current business plans”
Impact of RERA on Project Management Services and Role of Project Manager
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What is project management
Project management, is the application of knowledge, skills, tools,
and techniques to project activities to meet the project requirements.
In simple words, it is the management of people.
Balancing the needs & demands between Scope, Time, Quality and
Costs by a dedicated team to ensure efficient way of Initiation,
commencement, progress and closure of a project.
Impact of RERA on Project Management Services and Role of Project Manager
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Scope..
• Design management : Concept to Detail Design
• Budget and cost management
• Planning : WBS , Sequencing and Scheduling of works
• Procurement and Contracts management
• Construction Management
o Quality Management
o Contractors Management, Coordination of works
o Risk assessment and mitigation
o Health, Safety, Environmental
Change management
Communication management
Handing over with Training and documentation
Impact of RERA on Project Management Services and Role of Project Manager
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Cause for delays till now…
1. Land related issues
2. Change in design
3. Budget & Cash flow delays
4. Progressive design development
i. Inadequate Planning of resources
ii. Less control over Budget
iii. Change orders, and regularization
Spiral effect, Conflict resolution, interpretation, debate, argument,
time loss.
Addressed
Impact of RERA on Project Management Services and Role of Project Manager
13. 13Impact of RERA on Project Management Services and Role of Project Manager
What will continue to cause delay…
If not addressed at the beginning
1. Design inaccuracy, clash detection, detailing of elements
2. Constructability
a) Ease of construction, with existing skill sets of labours
b) Site logistics and Infrastructure
c) Construction Equipment's and deployment at right time
d) Health and Safety
3. lack of understanding, scope and project by bidders
4. Battery limits and Interdependency of agencies working
5. Collaboration and Communication
14. 14Impact of RERA on Project Management Services and Role of Project Manager
Feasibility Design
Contract &
Procurement
Execution Closure
Construction Management TeamPromoter Controlled
Traditional Operation
Design
Design
Consultants
Contracts
Cost & QS
Consultants
Procurement
Material
Suppliers
Finance
Auditors
Quality
CRM
Legal
Planning
15. 15Impact of RERA on Project Management Services and Role of Project Manager
Feasibility Design
Contract &
Procurement
Execution Closure
Dedicated Project Management Team
Process realignment..
Design
Design
Consultants
Contracts
Cost & QS
Consultants
Procurement
Material
Suppliers
Finance
Auditors
Quality
CRM
Legal
Planning
Promoter Approval
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Techniques and Skills
for Project Manager Role
Impact of RERA on Project Management Services and Role of Project Manager
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Before commencement
1. Accurate information on site boundary
2. Topographic survey of land with surrounding information
3. Soil test reports from two different agencies
4. List of applicable bylaws and statutory approvals to be obtained
5. Arrive at FSI available ,
6. Wind direction and velocity, Seasonal weather condition
7. Suitable form work to be adopted , especially for lift core
8. Scope of services for respective design consultants with clear
battery limits ,stage wise deliverables and qualification of team
members, accountability on design coordination
Comprehensive design brief document
Impact of RERA on Project Management Services and Role of Project Manager
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Design development process. Evolve
1. Adopt BIM from beginning
2. Concept Design – FSI, Statutory compliance, floor plate, looks
3. Schematic Design – 25%, 50%, 75% & 100% sign off
4. Material specifications & base rates
5. Conduct value engineering workshops
6. Design Basis Report – Sign off for all packages
7. Detail design development by respective consultants
8. Conduct design progress review meetings
9. Design progress trackers – Open issue tracker
10. Continuously evaluate cost and schedule of project
Impact of RERA on Project Management Services and Role of Project Manager
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Challenges during Design development
• Compliance to fire authority requirements
• Selection of Shuttering system
• Vertical transportation analysis – number of lifts required
• Shafts required for MEP services
• Location of sump tanks, fire tanks, DG and electrical transformers
• DG, Exhaust stacks
• Landscape features
Always evaluate the design progress from constructability,
Safety, cost implications and ease of maintenance
Impact of RERA on Project Management Services and Role of Project Manager
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Keep an eye on .... design developement
• Avoid dependency works, particularly in RCC
• Ramps along retaining wall
• Staircase around lift core
• Sump tanks along retaining walls
• Transfer Girder floor and Service floors
• Tower crane location, on erection and dismantling
• Material and labour hoist
• Location of RMC plant and Concrete Pump
• Terrace works, Water tank, LMR, Pipes
• Access roads for construction activities
• Lead time for supply of suitable system form work
• External painting methodology
Impact of RERA on Project Management Services and Role of Project Manager
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Contract management strategy
Depending on scale and duration of project..
• Prepare a work break down structure
• Obtain consent from Legal & tax experts before floating tenders
• Arrive on number of Contract packages and Procurement packages
• Ensure to define battery limits for each contractor
• Provide well defined NSC options, as well as coordination charges
• Ensure clauses on Infra support for minor contractors, attendances
• Focus on Types of Insurances by whom, CAR, WCI,TPL
• Multiple make’s of material - consent from QS & design consultants
• Issue Micro level schedule, Milestone based Bonus and Penalty
• Your Quality and Safety manual should be part of tender document
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Suggestions on Contract management
Selection of the right contractor at optimum cost is key to success
• Pre qualification process is an important activity
• If Possible, Involve contractors on constructability perspective
• Ensure project is understood in totality before bidding by contractors
• Provide detailed micro level schedule along with tender document
• Conduct two stage bidding process, Technical first, then commercial
• Focus of Construction logistics, equipment's, shuttering proposed
• Technical staff by the bidders, Qualification and experience
• Seek Deployment schedule for equipment and man power, correlate.
• Proposed Construction Manager should present the Pitch
Impact of RERA on Project Management Services and Role of Project Manager
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WWWW…Instruct or receive
• What to be done - Job
• Why it has to be done - Reason
• When it has to be done – Time
• Where to be done - Location
Impact of RERA on Project Management Services and Role of Project Manager
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THANK YOU
Questions if any
Impact of RERA on Project Management Services and Role of Project Manager
