Project organization_Construction Management (2180611) (Semester-8), Civil Engineering

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

PRESENTATION
OUTLINE…
• Introduction
• Construction Company
• Organization
• Characteristics of Good Organization
• Functions of Organization
• Principles of Organization

PRESENTATION
OUTLINE…
• Structure of Construction Organization
• Types of Structure of Construction
Organization
• Organization for Project Management
• Management Levels
• Factors for Success of a Construction
Organization
• Causes of Project Failure

INTRODUCTION
• In India, the construction industry comprises
nearly 200 firms in the corporate sector and
about 12,000 class ‘A’ contractors registered with
different government construction bodies.
• Besides large construction companies employing
millions of workers, there are equally large
numbers of self-employed individuals engaged in
actual construction work and allied activities like
whitewashing, painting, plumbing and fixing
mechanical and electrical fixtures.

INTRODUCTION…
• The corporate companies have well organized
organization structure, but most of the works
of small companies are done in an
unorganized manner.
• The construction company was accorded
Industrial concern status under the Industrial
Development Bank of India Act very recently.

CONSTRUCTION COMPANY
• A construction company can be defined as a
group of people sharing specialized
knowledge to design, estimate, bid, purchase
and obtain resources to complete a
construction project.

Common functions of Construction Company
• General administration
• Managing contracts and personnel
• Estimating
• Design
• Engineering
• Purchasing
• Accounting
• Management of field construction

• The broad aim of an organization is two fold
1. To divide responsibility according to the
technical knowledge.
2. To divide responsibility by executing ability.
As per Kenzer (2004),
• Authority is the power granted to individuals
by their positions, so that they can make final
decisions for others to follow.
• Responsibility is the obligation incurred by
individuals in their rules in the organization in
order to effectively perform assignment.

• Accountability is the state of being totally
answerable for the satisfactory completion of
a specific assignment.

ORGANIZATION
• Organization is defined as the arrangement of
the persons in any business so that they act as
one body and work together towards a
common goal.
• It is a process of defining and fixing the
responsibilities of those persons who are
associated with the organization and co-
ordinating the relationship of one with
another.

ORGANIZATION…
• Organization is thus a human association for
the attainment of common objectives which
may be social, political or economic.
• The achievement of the organization would
depend upon the efficient setup of
organization.
• Inefficient economic organization of an
enterprise would lead to losses and ultimately
to winding up of the enterprise.

The efficient functioning of the organization is possible
when:
• Competent and right types of persons are selected
and placed in the right place.
• Every member of the organization knows the goal of
organization.
• Every member of the organization knows his duties
and responsibilities in achieving the common goal.
• Every member is delegated authority and power
adequate enough to enable him to take the
decisions for discharge of his responsibilities.
• There is proper co-ordination among different
members, departments.Prof. Ashish Makwana 12

Characteristics of Good Organization
• It must have an organizational goal.
• It must have setup of persons incharge of
different branches of organization.
• It must specify the functions and activities of
every individual of the organization.
• Duties, powers and responsibilities of each
individual should be clearly defined.
• There should be higher up authority to direct
and co-ordinate activities of different
individuals, branches of the organization.

Characteristics of Good Organization…
• It should have proper structure.
• It should include all the activities and no activity
should be repeated.
• It should be flexible with the changing situation.
• There should be resources for the existence and
survival of the organization.
• It should have place of work and well defined
jurisdiction.
• it should give satisfaction to the employees and
should boost their moral.Prof. Ashish Makwana 14

Functions of Organization
• Long term planning
• To prepare structure of organization.
• To maintain good relations with the government.
• To prepare wage policy.
• Co-ordination of various departments and their
control.
• To monitor various activities and progress.
• To fulfill management aims and development of
management.
• To establish good relations between workers and
the management. Prof. Ashish Makwana 15

Principles of Organization
• Unity of command
• Span of management
• Delegation of authority
• Unity of job assignment
• Division of work
• Job definition
• Contact
• Ultimate authority and
responsibility
• Continuity of activity
• Flexibility and stability
• Motivation and
professional growth

Unity of command
• Under this principle, each employee should know
clearly to whom he is answerable and who are
answerable to him.
• The principle under which one person has to report
only to one boss is known as the unity of
command.
Span of management
• The span of the management is the small number
of workers which a manager has to supervise.
• Thus for a sound organization the span of the
management should be small so that a manager
can supervise their work efficiently.Prof. Ashish Makwana 17

Span of management…
• The number of sub-ordinates that a supervisor
can control depends upon-
– Capacity of individual to work
– Nature of work
– Place of work
– Definite and clear responsibilities
• The ratio between supervisor and
subordinates may very from 1:4 to 1:5 at
higher level management and 1:15 to 1:20 at
lower level of management.

Delegation of authority
• With the allocation of duties and
responsibilities, necessary authority must also
be given to the individual so as to enable him
to perform his duties.
• In order to have effective control it is
necessary to fix responsibilities of all
concerned by the higher management.
• Whenever a person is assigned any task, he
should be given sufficient powers to achieve
his task, thus the authority and responsibility
both go together. Prof. Ashish Makwana 19

Unity of job assignment
• Functions of similar jobs in different
departments should be closely related within
the structure of organization.
• Functions assigned to each position should be
adjustable and they should require reasonably
equal demands of skill.
• While assigning the job, following points
should be kept in mind.
i. Assignments for an individual should be
few in number and similar.

ii. Assignments of same nature in different
departments must be of same skill so that the
workers may be inter-changed.
iii. An individual should be assigned only one
job at a time.
Division of work
• The work should be divided into small parts
and suitable job should be assigned to suitable
person.

Separation of work
• The job of inspection and control should be
assigned to those persons who are not
associated with that work.
• There should be an arrangement in the
organization to identify mistakes and to
suggest remedial measures.
Job definition
• The work amongst the workers should be
allotted very carefully on the basis of their skill
experience and ability to do that work.

• For work purpose department must have
following information for identifying the job.
– Name of the job
– Code number of the job
– Grade of the job
– Particular shifts
– Jobs relationships
– Name of department and the section in
which the job is to be performed

Contact
• The organization should allow complete co-
ordination of each branch of work.
• The performance of each worker of every unit
should be economically related to all units
keeping in view the policies of the
organization.
Ultimate authority and responsibility
• For all the acts of subordinates, higher officials
are responsible.

• When a superintendent assign some job to his
subordiate and subordinate commit some
mistake, for that mistake the superintendent is
held responsible.
Continuity of activity
• The structure of organization should be
dynamic.
• It should not only confine the activities in
achieving their goals but also continue such
activities in future.
• It should establish a link between the past and
the future. Prof. Ashish Makwana 25

Flexibility and Stability
• The organization should be flexible to allow
some changes and expansions etc. where ever
necessary and it should be capable of
adjusting its urgent demands.
• A good organization should be capable to
control wastage of labour, money and
material.

Motivation and professional growth
• The structure of organization should be such
that their employees gets sufficient
opportunities for their growth.
• It should encourage the employees for their
best performance.
• The employees should get satisfaction in their
job.

STRUCTURE OF CONSTRUCTION
ORGANIZATION
• The organizational structure indicates the
arrangement of different departments and the
division of labour.
• It refers to the organizational and
administrative patterns.
• It is about how to use one of the basic
resources, people and how to facilitate
overcoming of the communication barriers at
organizational interfaces.

STRUCTURE OF CONSTRUCTION ORGANIZATION…
• The organization for a construction firm has to be
developed taking into account the general
principles of organization and the special
characteristic of the construction industry.
• It is difficult to lay down specific rules for
organizing the structure of a construction
company.
• Any organizational structure proposed for a
construction firm should take into consideration
the nature of activities, scope and type of project
work and the areas of operations of the company.

STRUCTURE OF CONSTRUCTION ORGANIZATION…
• The type of organization suitable for a small
construction firm is a simple line organization /
line and staff organization.
• The engineer in charge at the site exercises full
authority and is responsible for the execution and
progress of work.
• In very small works such as construction of a
private residential house, the contractor has to
perform himself the functions of the engineer.
• In the case of medium to large sized construction
companies a line and staff type of organization is
preferred. Prof. Ashish Makwana 30

Types of Structure of Construction
Organization
• Depending upon the manner in which the
authority and responsibilities in an
organization are distributed, the structure of
construction organization at corporate level
can be divided into two categories-
– Line or Military organization
– Line and Staff organization

Line or Military organization…
• This is the earliest, simplest and most important
form of organisation.
• In this type of organization, the authority
descends from the top of the structure to its
bottom level step by step through a downward
delegation of authority.
• All major decisions are taken by the execution at
the top and passed on to their immediate
subordinates for necessary action at their level.

Line or Military organization
• This type of organization is based upon earlier
military formation.
• As in army, commander in chief has full control
over the entire army of the country through his
major generals and area commanders and so on.
• Exactly the same pattern is followed in line
organization.

Advantages of line organization
• It is simple to work and easy to understand by the
employees.
• It permits quick decisions.
• It is most effective and economical.
• It provides strong discipline.
• Responsibility is fixed and every body knows to
whom he is responsible and who are responsible to
him.
• The system has flexibility and persons may be moved
from one position to another without difficulty.
• It provides effective co-ordination within each
department. Prof. Ashish Makwana 34

Disadvantages of line organization
• As the top executive has to perform many
duties, the progress of work may suffer as he
is left little time to look after the progress of
the work.
• The organization rigid and inflexible.
• Top executive and key men are overloaded.
• Generally there is inadequacy of
communication from lower to upper levels.
• It is not possible to take advise from experts.
Hence all decisions have to be taken by the
person incharge himself.Prof. Ashish Makwana 35

Disadvantages of line organization…
• The loss of one or two capable persons may
affect the whole organization badly.
• Good and trust worthy persons are overloaded.
• Instructions from top to bottom and feed back in
the reverse direction, tends to be rather slow,
thereby affecting the progress of the work.
• The system has no provision of rewarding good
workers.

Line and staff organization
• The line organization is not suitable for large and
complex enterprises undertaking large
construction works and heavy projects, where
key men need advise from expert specialists in
different fields.
• These specialists who constitute the staff in the
organization are experts with long experience.
• They do not have the authority to command any
body.
• Their role is mainly advisory and are not directly
involved in carrying out the major objectives of
the organization.

Line and staff organization…
• The combination of the line organization with this
expert staff constitute the line and staff
organization.
• The line executes the work the ‘staff’ carries on
the research planning , scheduling and recording
of performance.

Advantages of Line and staff organization
• Advise of expert specialists is available.
• The project can be executed with better quality
product.
• It gives increased economy and efficiency though
extra expenditure has to be incurred on staff
experts.
• It provides more job opportunities.
• Specialized work is done by staff personnel and
line personnel can devote their time to achieve
the objectives of the enterprise.
• Discipline problems are solved by line authority.

Disadvantages of Line and staff organization
• The staff may be ineffective for lack of authority to
carryout its functions.
• Possibilities of conflict between line persons and staff
are there as the responsibilities and authority are not
well defined.
• The expert advise available is conveyed to workers
through the line authority which is a quite lengthy
route.
• The overhead cost of the product will increase due to
high salaries of staff personnel.
• The slackness of any section will affect the whole
system.

ORGANIZATION FOR PROJECT
MANAGEMENT
• In a construction company the organization at
project level and at corporate level is not the
same.
• The primary functional of a construction
company is to execute construction projects.
• The function is performed by companies
following different organizational structures at
project level.

Project Management Structure
• Functional organizational (classical)
• Matrix organization
• Pure project or product organization

Functional organizational (classical)
• The basis of a functional organization is
specialization.
• In such an organization work is carried out n a
functional basis and each function is carried out
by a specialist.
• According to F.W. Taylor, the ideal situation in
such an organization would be when each person
performs a specified function only.
• This removes the staff personnel from his
assisting capacity and gives him authority and
responsibility for supervision and administration.

Functional organizational (classical)…
• The idea behind this type of organization is to
divide the work in such a manner that each
person has to perform a minimum number of
functions and is fully responsible for those
aspects of work.
• All similar and related work is grouped together
under one person.
• The functional organization can be useful when
the owner himself acts as the manager of the
project with a minimum staff depending upon
others for functional expertise.

Functional organizational (classical)…
• For example, the work of data collection and
preparation of maps for various irrigation
schemes of a state is done by Irrigation
Investigation Circle.
• Design of irrigation schemes and large buildings is
done by Central Design Organization.

Name of Functional
Organization
Functions
Irrigation
Investigation circle
To collect necessary
information data for irrigation
schemes and prepare plans and
estimates.
Central Design
Organization
To design various components
of an irrigation scheme.
Gujarat Engineering
Research Institute
GERI, Vadodara
• Testing of construction
materials
• Road research
• Model testing of irrigation
schemesProf. Ashish Makwana 46

Name of Functional
Organization
Functions
Superintending
Engineer – Quality
control
To control quality of irrigation
schemes along with GERI
Chief Engineer Co-ordination of various
functional organizations
Financial Advisor To control financial matter.
Accountant General To maintain financial account
and audits.
Secretary Principal controller of the line
organizationProf. Ashish Makwana 47

Advantages of Functional organizational
• In this type of organization expert advise is
available through specialists.
• The entire work is divided on the basis of
functional specialization.
• Quality of work is enhanced due to specialization.
• Manual work is separated from mental work.
• The efficiency of the work will increase as each
person has to perform limited number of
functions.

Disadvantages of Functional organizational
• There is no clear cut line of authority.
• Co-ordination is difficult.
• It is difficult to fix responsibility.
• Overhead costs are increased due to a number of
specialists.
• Each sub-ordinate is accountable to a number of
bosses. It may weakens the discipline in the
organization.
• The system is too complicated. It is unsuitable for
lower level departments of the organization.

Matrix organizational
• In this type of organization strong and good
points of line and staff organization are retained.
• It divides the power into functional and project
responsibilities.
• In this type of organization the conflicts between
the line personnel and staff personnel are
minimized, by opening up lines of communication
at all levels through the assignment of dual
reporting responsibility to the subordinate
managers.

Matrix organizational …
• Functional responsibilities such as design, quality
control have been entrusted to the functional
personnel / staff and project responsibilities such
as cost, schedules etc. have been given to the
chief project manager.

Advantages of Matrix organizational
• This type of organization removes some of the
weakness of line and staff organization.
• This pattern is best suited in case the project
authority and functional authority is well defined
and clearly divided.
• The structure facilitates quick response to
changes, conflicts and project needs.
• There is flexibility of establishing independent
policies and procedure for each project, provided
that they do not contradict company policies and
procedures.
• There is possibility of achieving better balance
between time, cost and performance.Prof. Ashish Makwana 52

Disadvantages of Matrix organizational
• Overall management and administrative cost will
be higher.
• It is difficult to precisely define the accountability
of the functional and project managers.
• Initially more effort and time is needed to define
policies, procedure, responsibilities and authority
relationships.
• The balance of power between functional and
project authority must be carefully monitored.
• Functional managers may be biased according to
their own set of priorities.

Points considered for successful implementation of
the matrix organization-
• Allowing time to define responsibilities and
authorities.
• Committing senior management time to explain
the system.
• Promoting open communication with no secrets.
• Developing people who want the matrix to work.
• Making decisions based on what is good for the
client and the firm.
• Eliminating politics and resolving conflicts at high
levels.

Points considered for successful implementation of
the matrix organization…
• Committing energy to evaluate and compensate
on a common basis.
• Using consensus management.
• Hiring top quality people having integrity and
willingness to place the interests of the client, the
firm and other people before their own interests.

Pure project / Product Organization
• Pure project can be formed to support a steady flow
of ongoing projects.
• In this type of organization employees are grouped
by project.
• The majority of the organizations resources is
directed towards successful completion of projects.
• The project managers enjoy a great deal of
independence and authority.
• In such structures, the different organizational units
called departments either report directly to the
project manager or provide supporting roles to the
projects.

Advantages of Pure project
• The project manager has complete control over
the project.
• The lines of communication are strong and open.
• The system is highly flexible and capable of rapid
reaction times.
• The project is the only real concern of the project
employees. It brings together all the
administrative, technical and support personnel
needed to bring a project from the early stages of
development to operational use.
• The appraisal of employees is based upon the
performance of the project.

Disadvantages of Pure project
• There could be a duplication of efforts.
• The administrative duties of a project manager
may be demanding and the job could be quite
stressful.
• It is difficult to find a project manager having
both general management expertise and diverse
functional expertise.
• Due to the fear of impediments in career growth,
some employees may not prefer to leave their
departments.

Management Levels
• Management level can be defined as a position in
management that is differentiable in terms of
power, authority, responsibility and
accountability over resources required to achieve
defined objectives.
• Five Management Levels
– Director level
– President level
– Construction management level
– Project management level
– Functional management levelProf. Ashish Makwana 59

Director level
• The different functions at this level are-
• Setting plans
• Formulating objectives
• Deciding among different courses of action
• Company’s financial status
• Competitive information
• Environmental information

President level
• The primary functions at this level are acquiring
business and formulating the company’s
immediate objective, in line with the board’s
plans and strategies.
• This level requires a much more detailed
information regarding competition, environment
and financial status.
• It also requires progress reports that summarize
for each project its status, current and future cost
and schedule performance and problems with
management actions underway to resolve them.

Construction Management level
• The main functions at this level are obtaining and
monitoring work for the company at the district /
divisional level.
• This level requires summary formats of the three
basic types of information. i.e. environmental,
competitive and internal.
• It also requires summary format of information
on general progress, financial status, purchase
status and engineering status on each project
under their jurisdiction.

Project Management level
• The main functions of this level are-
• Managing the day to day operations of all aspects
of a project.
• Watching closely the development of the project
as a group.
• This level also requires summary formats of the
three basic types of information. i.e.
environmental, competitive and internal.
• It also requires field costs, detail construction
schedules, list of critical and non-critical items in
the network, detailed predication of future
accomplishments, current working estimates,
cash flow summaries, etc.Prof. Ashish Makwana 63

Project Manager
• Present day construction projects are becoming
more complex and costly as compared to
previous times.
• This complex nature places a heavy demand on
the management skill of those involved in every
phase of the management of construction work.
• The terms ‘Project Manager’ are used quite
interchangeably.
• The project manager is a person formally
appointed to manage a project with scientific
accountability for achieving defined project
objectives with allocated resources.Prof. Ashish Makwana 64

Project Manager…
• A project manager has access to and a formally
defined relationship with the project leader to
whom the specific project has been assigned.
Responsibilities of construction manager -
• Planning – Formulating of a number of
alternative realistic work plans, it also lays down
how a project will be carried out, what materials
will be used, what men and staff will be
employed, what equipments will be utilized etc.
• Directing – Training subordinates to carry out
assigned tasks, supervising their work, and
guiding their efforts.

Responsibilities of construction manager…
• Organising – Division of total construction work
into manageable departments and systematically
arranging various activities by delegating specific
tasks to individuals.
• Controlling – Measurement of actual
performance in terms of progress, quality and
cost. Comparison of actual and planned
performance. Analysis of short fall in
performance and remedial measures.
• Co-ordination – To co-ordinate the work of
various department and sections. Regular
meeting with sections heads.

In short, Responsibilities of construction manager…
• Developing bid proposal
• Establishing project organization and staffing
• Provide overall leadership to the project team
• Profit generation and new business development
• Schedules and budgets
• Assisting in determining technical and man power
requirements.
• Co-ordinating and integrating of sub system tasks

Qualities of a Project Manager
• The construction manager is a person who by
optimum use of available resources like money,
manpower, materials and machinery, by
motivating the persons associated with the
project, by co-ordinating various project agencies,
fulfill the project objectives in minimum time
with minimum cost and with good quality.
Qualities of a Project Manager
• Good character
• Integrity – to consider all the persons related to
the project as a ‘construction team’.

Qualities of a Project Manager…
• Good character
• Integrity – to consider all the persons related to
the project as a ‘construction team’.
• Devotion to duty
• Hard working
• Leadership
• Knowledge of construction
• Open Mindness – An approach where one is
always open to new ideas, practices and
methods.

Qualities of a Project Manager…
• Common sense – strong ability to spot sensible,
effective, straight forward, least risky solutions.
• Attitude – open, positive and ‘can do’ attitude
which encourages communications, motivations
and fosters co-operation.
• Fairness – This refers to a fair and open attitude
which respects all human values.
• Absence of parochalism

Traits of a Project Manager
Technical skills
• Specialized knowledge in the use of tools and
techniques
• Project knowledge
• Understanding methods
• Procedures and process
• Understanding the technology required
• Skill in the use of computer

Traits of a Project Manager…
Conceptual skills
• Planning
• Organizing
• Strong goal orientation
• Ability to see the project as a whole
• Ability to visualize the relationship of the
individual project to the industry and the
community
• Strong problem orientation

Human skills
• Mobilization
• Communication
• Coping with situations
• Delegation of authority
• Political sensitivity
• High self esteem
• Enthusiasm
• Capability to motivate and integrate his team

Adaptability
• This refers to propensity to be flexible where
necessary and avoid rigid patterns of thinking and to
adapt to the requirement of the project, the needs of
the sponsors, its environment and people working on
it. He should be adapt to change.
Inventiveness
• This refers to an ability to discover innovations
strategies and solutions either from within one self
or through interaction with other members of the
project team and to identify ways of working with
disparate resources to achieve the project objectives.

Traits of a Project Co-ordinator
• A project co-ordinator is a person who is
responsible for co-ordination among personnel of
different departments and various stakeholders
of a project.
• A typical large multidisciplinary project needs co-
ordination among the personnel of different
departments such as civil, mechanical, electrical,
plant and machinery, accounts, materials, design,
quality control, safety, HRD etc.
• Besides a number of designers, subcontractors,
consultants and specialists from different
disciplines are also involved in these projects,
making co-ordination even more complex.Prof. Ashish Makwana 75

Traits of a Project Co-ordinator…
Under these circumstances the role of a project co-
ordinator is considered vital.
In terms of hierarchy, a project co-ordinator is
placed between project administrator and technical
assistants.

Jha (2004) identified 24 traits of a project co-
ordinator in terms of three categories as under-
A. Team building skills
1. Concern for conciliation – the act of placing and
overcoming animosity.
2. Under standing of human psychology
3. Analytical skills – ability to look logically at a
technical situation.
4. Motivating skills – ability to influence other to
contribute to attaining firm’s goals.
5. Team playing spirit – ability to integrate people
from many disciplines into an effective team.Prof. Ashish Makwana 77

Team building skills…
6. Under standing of human psychology.
7. Timeless – ability to manage multiple tasks within
given time constraints.
8. Facilitating skills – Skill to make the task easy.
9. Inter personal skills – Skill to mix in, being
friendly.
10. Communication skill – ability to interact
effectively with other at all levels in the
organization.
11. Technical knowledge of the subject
12. Resource utilization skills

B. Contract implementation skills
13. Reliance on systematic approach – skill to do
things methodically.
14. Under standing of contract clauses
15. Concern for safety, health and welfare of labour
and other employee
Monitoring skills – ability to observe something
17. Maintaining records – skill of keeping diary and
keeping notes.
18. Follow up quality – Skill for the continuance
19. Forecasting skills – skill of predicting about the
future
20. Planning skills

C. Project organization skills
21. Relationship with client, consultant and
contractor
22. Co-ordination for achieving quality
23. Liaison skills – ability to channelize
communication between groups.
24. Knowledge of project finance

Ethical Conduct for Engineers
• An engineer faces a number of situation in his
day-to-day life, in which he has to choose
between the well being of the project.
• He is working on and well being of the society at
large.
• An action taken by him may be beneficial for the
project but it may endanger the ecosystem.
• For example the alignment of a highway may be
passing through a dense forest and construction
may harm the trees, birds, animals etc.

Ethical Conduct for Engineers…
• In such cases, he will be in a dilemma regarding the
well being of the project versus the well being of the
ecosystem. Should the engineer emphasis on project
at the cost of environment?
• The decision taken by an engineer has far reaching
consequences, and therefore, he should be even
handed in taking different points of view into
consideration.
• Many temptations come in the way of discharging
duties in the course of one’s career.
• The engineer should be able to resist these
temptations by controlling his desires in view of the
large public interest.

• Sometimes an engineers may be advised to
expedite the construction works even at the cost
of compromising on sound engineering practices.
• For example let us take the case of transit mixer
full of concrete reaching the concrete location
after initial setting time of the concrete is over.
• Should the concrete be poured or should it be
thrown out? In such situations should you try to
use them in the project in a clandestine manner,
or should you waste the money of your
employer?

• An engineer should not only be having expertise
in his professional field, but also be familiar with
ethical rules and codes of conduct of his
profession.
• The commonly reached ethical rules extracted
from American society of civil engineers (ASCE),
Japan Society of Civil Engineers (JSCE), German
Engineering Association are given below.
1. The engineer should contribute to the
development of the nation and the promotion
of human welfare through their professional
knowledge.

2. He should honor human life without
discriminating against cast, creed, social position
and religion.
3. He should hold paramount the safety, health and
welfare of the public in performance of their
professional duties.
4. The engineer should continue their professional
development in research field and practical
utilization throughout their careers.
5. He should aim at developments of technology
and should strive to improve his techniques and put
the results into wide spread practice.

6. He should evaluate the works of his/her
colleagues in the same way as he wants to be
evaluated himself.
7. The engineer should support the professional
and technical societies of his/her disciplines.
8. The engineer need to develop and promote a
sustainability ethics.
9. He should act in a manner to uphold and
enhance the honor, integrity and dignity of the
engineering profession above the economic
advantages.

10. He should not make excessive design or
excessive cutting at the cost of safety.
11. The engineer should be honest and impartial
and should not behave suspiciously. He should
avoid associating himself with dubious work.

Factors for Success of a
Construction Organization
• The construction industry is characterized as
having low entry barriers. Hence, every year
more and more construction industries are
entering in the construction business.
• The success of a construction project does not
mean the success of the construction
organization.
• Garg (2007) conducted a study to identity and
evaluate the parameters affecting the success of
a construction organization.

Factors for Success of a Construction Organization…
• A total of 38 success parameters were listed out
through literature, survey and interviews with
selected professionals from construction industry
and a set of questions was formulated.
• As six point scale was used in the questionnaires,
intended to measure the level of importance of
organizational success variables.
0. Insignificant /
not at all required
3. Desirable
1. Marginal 4. Essential
2. Significant 5. Vital / Most critical variable

Factors for Success of a Construction Organization…
• From the six points scale, Relative Importance
Index (RII) was calculated for each of the success
variables in order to know their rank based on
their critically.
𝐑𝐞𝐥𝐚𝐭𝐢𝐯𝐞 𝐈𝐦𝐩𝐨𝐫𝐭𝐚𝐧𝐭 𝐈𝐧𝐝𝐞𝐱 𝐑𝐈𝐈 =
𝐖
𝐀 × 𝐍
• W = Weight given to each variable by the
respondents ranging from 0 to 5
• A = highest weight (i.e. 5 in this case)
• N = total no. of respondents

S.N. Organization success variable RII Rank
1. Supportive top management 0.836 1
2. Acquiring proper and adequate
equipments for construction
0.836 1
3. Acquiring new and up-to-date
technology for construction
0.850 3
4. Availability of resourceful project
managers / Project leaders
0.848 4
5. Effectiveness of the project
management in improving
schedule, cost and quality of the
construction output
0.839 5
Success Parameters for Construction Organization

6. Developing team-working approach 0.832 6
7. Implementing an effective quality
assurance and control Programme
0.838 7
8. The clarity of customer / client
requirements
0.821 8
9. Achievement of goals set by the
organization
0.818 9
10. Providing training to staff to enable
them to perform their roles
0.816 10
11. Assessment of the ‘value’ for
money and ‘quality’ for customers
0.812 11
Success Parameters for Construction Organization…

12. Competitive strategies used by the
organization which keep it apart
from others in a market
0.810 12
13. Effectiveness of human resource
(HR) in its functioning
0.805 13
14. The clarity of the responsibilities
towards organization success
0.803 14
15. Constant motivation to staff by the
managers
0.803 14

16. Regular review of the feedback
from employees, customers and all
stakeholders, and continuous
monitoring of their satisfaction
levels
0.789 16
17. Developing an appropriate
organization structure
0.789 16
18. Regular monitoring of
organizational strengths, weakness,
opportunities and threats
0.781 18

19. Identifying and continuously
developing management skills and
linking them to the organizations
objectives
0.780 19
20. Adopting latest project-execution
techniques
0.778 20

Causes of Project Failure
• For successful completion of a project four basis
resources (4-M) required are-
– Manpower
– Money
– Materials
– Machinery
• In addition to this planning, organizing, directing,
controlling and co-ordinating are also the key
elements for the success of a project.

Causes of Project Failure
The followings are the causes of failure of a
project-
1. Improper planning of a project
2. Defect in the survey carried out before
implementation of a project
3. Excessive increase in the project cost
4. Sudden increase in materials and labour rates
in the market
5. Defective structural design

6. Poor quality of construction at site
7. Use of inferior quality of construction
materials
8. Lack of technical skill of supervisors /
engineers
9. Inexperienced contractor
10. Insufficient finance with the contractor
11. Insufficient plants, equipments, and
manpower
12. Poor relations among owner, engineer and
labours

13. Lack of co-ordination between various
departments like administrative, engineering,
account, materials store etc.
14. Inadequate water, electricity and approach
road
15. Change in government policies / laws
16. Lack of planning for maintenance after
completion of the project

THANK YOU

Project organization_Construction Management (2180611) (Semester-8), Civil Engineering

Recommended

Recommended

More Related Content

What's hot

What's hot (20)

Similar to Project organization_Construction Management (2180611) (Semester-8), Civil Engineering

Similar to Project organization_Construction Management (2180611) (Semester-8), Civil Engineering (20)

More from A Makwana

More from A Makwana (20)

Recently uploaded

Recently uploaded (20)

Project organization_Construction Management (2180611) (Semester-8), Civil Engineering