Regarding Construction Project management

1. Sihara Gallage & BSc. (Hons.) in Engineering specialized in Civil Engineering, AMIESL, AM.ECSL
LESSON NUMBER 01
ADVANCE CIVIL ENGINEERING PROJECT
MANAGEMENT
EUROPEAN NATIONS CAMPUS 1
PGD in Civil Engineering

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EUROPEAN NATIONS CAMPUS
PRESENTATION OUTLINE
1. Construction Project
2. Phases of a Construction Project
3. Importance of Construction and Construction Industry
4. Sri Lankan Construction Industry
5. Construction Management
6. Importance of Planning, Scheduling, and Controlling Projects

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EUROPEAN NATIONS CAMPUS
Which ones are most important for projects ?
Technical Skills
• Budgeting
• Scheduling
• Documenting
People Skills
• Leading
• Motivating
• Listening
• Empathising

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EUROPEAN NATIONS CAMPUS
Project
A Project is defined as a temporary endeavor undertaken to create a unique
product/service/results.
Temporary ? Unique ?
Product
The product in the case of a construction project is the constructed facility
such as a building, a bridge, a highway, a dam, a canal, a factory, etc.
PROJECT AND PRODUCT

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EUROPEAN NATIONS CAMPUS
A collection of linked activities,carried out in an
organised manner, with a clearly defined START
POINT and END POINT to achieve some specific
results desired to satisfy the needs of the
organisation at the current time

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EUROPEAN NATIONS CAMPUS
Projects
• Writing a term paper
• Developing a supply-chain information system
• Writing a new piano piece
• Designing an iPod that is approximately 2 x 4 inches, interfaces
with PC and stores 10,000 songs
• Wire-tag projects for GE and Wal-mart project
Not a Project : Routine, Repetitive Work
• Taking Class notes
• Daily entering sales receipts into the accounting ledger
• Practicing scales on the piano
• Routine manufacture of an Apple iPod
• Attaching tages on a manufactured product

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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.

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CONSTRUCTION PROJECTS
Unique Features of a Construction Project
One-time activity
A start and finish
Complexity
Involvement of several people on an Adhoc basis
A limited set of resources
High cost
A time frame for completion

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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

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

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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.

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Activities (Briefing stage)
• To appoint a project
necessary.
committee, if
• 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.

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

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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.

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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.

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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.

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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.

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

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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

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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

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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.

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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.

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

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• 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.

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• 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.

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SRI LANKANCONSTRUCTION INDUSTRY
Factors in favour of Sri Lankan 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

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SRI LANKAN CONSTRUCTION INDUSTRY
(CONTINUED..)
Factors against the Sri Lankan 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

28. Investment opportunities inConstruction in Sri Lanka
• 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 materials
•

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

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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

33. 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 iPn
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PHASES / FUNCTIONS OF CONSTRUCTION
MANAGEMENT
• Planning and Scheduling
• Organising
• Staffing
• Directing
• Controlling
• Co-ordinating
• Communication

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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?’

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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

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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

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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.

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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.

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EUROPEAN NATIONS CAMPUS
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

41. IMPORTANCE OF PLANNING, SCHEDULING AND
CONTROLLING PROJECTS
EUROPEAN NATIONS CAMPUS 41

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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.

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

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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
Project Manager (PM) level
(d) Strategic control at corporate level
Manager (GM) /

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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

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(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

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(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

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

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

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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

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

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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)

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Classification of projects based on project value
• Mega value projects
• Large value projects
• Medium value projects
• Small value projects

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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

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

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

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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

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

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• The owner should
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.
necessary
supply
working drawings through his architect
contractor in time so that the work
plans and
to the
is not
unnecessarily delayed.

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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.

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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.

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ENGINEERS AND ARCHITECTS
• This includes structural, mechanical and
electrical
surveyors,
engineers, architects,
specialists such as
quantity
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.

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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.

64. THANK YOU!