1. The ELCIR cycle outlines the key steps for project managers including project initiation, definition, budgeting, planning, procurement, installation, changes, and payments. 2. During project initiation, the PM defines the project scope, reviews contracts and drawings, creates a macro plan and work breakdown structure, and works with estimators to create a budget. 3. In project operation, the PM develops a detailed micro plan, issues barcodes and work orders, manages submittals, purchases, subcontracting, change orders, and payment certificates to track progress.

1. 1
ELCIR CYCLE FOR PROJECT MANAGERS:
1-PROJECTINITIATION
contract importfromexcel.pptx
A/PROJECT DEFINITION: First of all we define the project and LG with the accounting
department (Ibrahim)
B/CONTRACT READING: PM should real all contract conditions , specifications and condition
of contract (attach all info on ERP)
C/ DRAWINGS: PM should know and study all the project drawings, and they have to
prepare the list of drawings and RFI’s (Define entity, submittal categories). And send to
Jean Rabahieh ONLY the drawings that are needed for costing of items.
D/ MACRO PLAN: PM prepares a simple macro planning to identify major project milestones
and date. This planning is rather simple and straight forward, it should also be attached on
ERP. Step D (macro plan) goes in parallel with step C (drawings)
C/ESTIMATION: the project manager should define the estimate name (tenders of the
project), and enter the tender BOQ’s manually or by importing it from excel. Then, Email &
NotifyEstimator(jean rabahieh) & Cost control manager (Ibrahim) to proceed with budget
costing. Several estimates can be done for the project if needed using an easy copy/paste
then modify method.
Estimator (jean) should estimate the direct cost of those BOQ’s, and cost controller(Ibrahim)
will do the indirect cost.. After all this, the results should be discussed with theCONCERNED
PM (discuss the budget).After final agreement, the PM should sign the budget and the
General manager (Jean marc). At this point, the budget becomes the responsibility of the
PM.
Accounting
Define project
define LG
PM
Contract/reading
list of drawings/RFI
Macro plan (attach)
WBS
Take off (WBS vs BOQ)
send item drawings to
jean
Estimate/budget
Direct cost (jean)
Indirect cost (ibrahim)
check budget with PM &
General manager
PM Prepares Risk log

2. 2
After the estimation is done the project managers define a contract with all the information
about it (advance payment, retention, taxes…), and they import the BOQ’s of this contract
from the agreed upon estimate (budget) into contracts and partial contract(contract
subdivisions in case the contract is divided by client).
D/ RISKLOG: A risklogthat identifiesthe risksof the projectsasper a special template tobe
providedbyGeneral manager.Thisrisklogshouldbe preparedbyPMafter agreeingonbudget,and
it shouldalsobe attachedonERP.
E/ Work Breakdown Structure:After reading all the drawings , the PM should be able to
divide his project by location according to a logic that suits the relevant project. We call this
a WBS, and the PM has to input the WBS of the Project (WBS master list and detail
list).Examples of Work breakdown structures are as follows:
WBS Example 1
WBS Example 2
bldg
level1
doors crowns
level 2
fire doors doors crowns
bldg
level1
apt1 apt2
level 2
apt 1 apt 2

3. 3
The objective of the WBS is to prepare the take off and production orders as per project
needs, as well as project reporting documents. Typically, This division should reflect the
client requirements, planning and/or the way the Project manager should look at the
project. All concerned parties should speak the “same language” of the project and respect
this division.
E/ TAKE OFF:After defining the WBS and contract, the take off is prepared and every
location (WBS) will include the relevant BOQ’s that are in this WBS/location.
WBS WBS description BOQ BOQ description qty
101100 bldg1-level 1-doors 01fr120x320 fire rate door 120 by320 3
04cr2111 crown width211 cm… 5
05fr213x234 fire rate door 213 by234 8
Take off Example
N.B: most of the steps of project initiation, can go in parallel, and the PM should
orchestrate and coordinate with all the parties (estimation, design, production). It is the
responsibility of the PM to enter, the BOQ, WBS, list of drawings and take off. The
Materials, production time and labor resources and indirect costing INPUT are the
responsibility of the estimators (jean and Ibrahim)

4. 4
2-PROJECTOPERATION
A/MICRO PLANNING: After the budget is done the project manager should draw the
detailed plan of his project. They can use any planning method like primavera, MS project or
even excel. Then they will allocate BOQ items to the tasks at hand (they will know it from
the Take off preparation step before. This will give the procurement plan and know what
are the material that should be bought at the right time so when they are needed they can
find it without affecting on the project plan. Manpower histogram of installation should also
be inputed by the PM to the micro plan.
B/ BARCODING:Once every BOQ has a WBS, we can concatenate the BOQ with the WBS and
we obtain a barcode that can be used and known in design, PM, shipping and production
departments.
wbs desc boq Descry qty unit
101100 bldg1-level 1-doors 01fr120x320 fire rate door 120 by320 3 pcs
04cr2111 crown width211 cm… 5 lm
05fr213x234 fire rate door 213 by234 8 pcs
An example thatindicate the fire rated door of building 1, level 1 is as follows:
Barcode: 101100-01fr120x320
Barcode reading :bldg 1-level 1-doors- fire rate door 120 by 320
C/ SUBMITTALS : there is a procedure to follow-up all the dates and content of all the
submittals to the client, as well as the client responses and their date and content. So, the
history of any submittals is automatically generated once this procedure is followed up by
the PM.
PM Planning
Budget+ plan = procurementplan
withJM(cash flow of purchasing)
Take off +plan=Work order
planningwithproduction(cash
flow of clientpayments)
PM
Progress/paymentcertificate
Submittals
Work orderissue asper plan
RFP
Change orders
Installationbudget/Subcontract

5. 5
Submittals are divided by categories like materials, drawings… .Subcategories are also
possible to report like doors, crowns… separately, if needed.
D/ Request for Purchases (RFP): Prepare the major items to be purchased and their required
times by PM.
E/ WORK ORDERS:As per the planning tasks and their allocated quantities , the project
manager should prepare the work orders in coordination with the production. Client
deadlines should be clear, however, it is possible to put work orders in advance if that suits
the production, but delays should not be acceptable. The planning of work orders should
reflect client/project priorities. The PM responsibility is to issue the work orders and their
deadline/required times. In case, there is a priority of certain quantities for a certain item,
we suggest separating the work orders with priority from those with lower priority.
F/ INSTALLATION BUDGET: an installation budget form is to be prepared by site and
submitted to PM. This file should be attached to contract on ERP.
G/ SUBCONTRACTING: PM should input ad follow the procedure for tender management
system on ERP to so prepare subcontracting contracts with their payment follow up.
H/ CHANGE ORDERS: there is a procedure to prepare variation orders, with follows up on
drawings, letters, and client answers all linked together in submittals.The PM should follow
this procedure in variation order preparation. Once the client accepts/approves a variation
order, then the PM, with one click,puts the VO as an addendum to the contract and can do
progress on it.
I/ PAYMENT CERTIFICATE:Preparation of progress periods and progress quantities should be
inputted by the PM. Once the Client approves the concerned certificate the PM can close
the certificate with one click and the accounting receives the automated receivable invoice
all linked up to the concerned certificate automatically. Once a payment certificate is closed,
it can not be deleted, so a roll back starting from accounting has to be generated first then a
re-opening of the certificate is possible and ready for modification or deletion.
Please note that the PM’s can NOT exceed the cumulative contract quantities without a
variation order (the system does not allow it). In case the contract includes priced items
without quantities, then the allowed progress quantities are open ended, but this should be
indicated in the contract.