You are on page 1of 67
| Construction Project | Management oo E LEN a LT http://www.ebook-converter.com Google Books Download Demo Version http://www.ebook-converter.com Google Books Download Demo Version http://www.ebook-converter.com Google.Beoks: Download Demo Version ‘Assocltfe Production Ector. Amrita Naskar Composition: Sangnee Media Solutions Pvt. Lid Printer: \ndia Binding House. Copyright ©2011 Dorling Kindersley (India) Pvt. Ltd This book is sold subject to the condition that it shall not, by way of trade or otherwise, be lent, resold, hired out, or otherwise circulated without the publisher's prior writen consent in any forza of binding or cover other than that in which it is published and without a similar condition including this condition being imposed on the subsequent purchaser and without limiting the rights under copyright reserved above, no part of this publication may be reproduced, stored in or introduced into a retrieval system, or transmitted in any form or by any means (electronic, mechanical, photocopying, recording or otherwise), without the prior written permission of both the copyright owner and the above-mentioned publisher of this book. ISBN 978-81.317-3249-6 First Impression Published by Dorling Kindersley (India) Pvt. Ltd, licensees of Pearson Education in South Asia. Head Office: 7th Floor, Knowledge Boulevard, A-8(A), Sector ~ 62, Noida, UP 201309, India Registered Olfice: 11 Community Centre, Panchsheel Park, New Delhi 110017, India, CONTENTS http: /iwww.ebook-converter.com PREFACE xii http2/wwew:zebook-converter.com Chapter __1_Introduction __ J Google L21 gO ofa Construction Projet 3 .6.2 Client (Owner) 1.6.3 Constructor 12 1.6.4 Engineer (Consultant) 2 1.6.5 Subcontractor/Supplier/ Vendor 12 1.6.6 Lawyer, Insurer, etc. 12 L7Z_ORGANIZATION OF THE BOOK 1 References 14 Review Questions 13 Chapter 2 Project Organization __ 16 2.1_INTRODUCTION 16 2.2_CONSTRUCTION COMPANY ag F_ FORMS OF BLISINFSS ORGANIZATION 7 2.3.1 Sole Proprietorship 17 2.3.2 Partnership 17 2.3.3 Corporation 17 2.3.4 Limited Liability Company (LLC) 18 23.5 Private Limited Company 18 2.3.6 Public Limited Company 18 | viii | conments 2.3.7 Government Enterprises 18 23.8 Joint Ventures 18 http! 2.5 ORGANIZING FOR PROJECT MANAGEMENT. 23 Google Bés 25.3 _ Matrix Organizations 26 2.6 MANAGEMENT LEVELS http: iwwittseiciik-converter.com 26,3 Construction Management Level 2.6.4 Project Management Level 3D 2.6.5 Functional Management Level 30 Google Beo a 271 34 2.8 IMPORTANT TRAITS OF A PROJECT COORDINATOR 35 28.1 Team Building Skill 36 Google Books... 41 Review Questions 2 Chapter 3 Construction Economics 44 3_INTRODUCTION. 44 3.21 Out-of-pocket Commitment 45 3.2.2 _ Payback Period 45 3.2.3 Average Annual Rate of Return 46 3.3__TIME VALUE OF MONEY 34 CASH-FLOW DIAGRAMS 7 34.1 _ Project Cash-flow and Company Cash-flow Diagrams 50 3.4.2 Using Cash-flow Diagrams 58 2.5 USING INTEREST TABLES ‘6 3.6__EVALUATING ALTERNATIVES BY EQUIVALENCE 66 3.6.1__ Present Worth Comparison 4 3.6.2 _ Future Worth Comparison 9 3.6.3 Annual Cost and Worth Comparison 69 3.6.4 Rate of Return Method 3 3.9.1__Benefit/Cost Criteria 23 References 75 Saved. Google Books:Bownloac_Demo_Version Chapter___4 Client's Estimation of Project Cost 92 http://www.eboolkeconverter,com——2 42 APPROXIMATE METHODS OF ESTIMATION OD 42.1 Preliminary Estimate for Buildings 93 422 _ Preliminary Estimate for Industrial Structures 94 43,7 _ Supplementary Estimates 43.8 Project Closure Cost ‘ase I: Multi-level Car Parking Facility 45.2 Case 2: Preliminary Estimate for Construction of Sewage Treatment Plant 104 References 107 Solved Examples 107 Review Questions 108 Chapter 5 Construction Contract 110 Sl INS §.2__CONTRACT DOCUMENT. lu 5.2.1 The Contract Drawings ut 5.2.2 The Specifications ut 5.2.3 The General Conditions of Contract (GCC) it 5.2.4 The Special Conditions of Contract (SCC) 2 5.2.5 The Bill of Quantities (BOQ) M2 5.3__CLASSIFICATION OF ENGINEERING CONTRACTS 531 Separated Contract lig 5.3.2 Management Contract 16 5.3.3 Integrated Contract 17 Je | conrenns 5.3.4 Discretionary Contract 18 §4 BIDDING PROCESS http://wwiw.ébak-converter.com— i ™ = : 424 5.4.3 Submission of Bids 4126 5.4.4 Analysis of Submitted Tenders 126 .5 Basis for Evaluation and. load) 127 nip of PDI Canina 5.6.2 Salient Features of FIDIC Form of Contract 133 5.7.5 Subcontractor Management—Some Guidelines 4139 http://www: ~ i teview Questions 140 eal 6 Construction Planning 142 Google Books Download Demo Version... 6.2 TYPES OF PROJECT PLANS. 143 6.21 Time Plan 144 6.2.2 Manpower Plan 144 6.2.3 Material Pla 144 6.2.4 Construction Equipnient Plan 144 6.3 _WORK-BREAKDOWN STRUCTURE 6.3.1 Methodology of WBS 145 64__ PLANNING TECHNIQUES—TERMINOLOGIES USED 145 6.4.1_Event and Activity 1a7 64.2 Dummy Activity 1a? 6.4.3 Network 14z 64.4 Precedence 150 64.5 Network Logic 150 64.6 Duration of an Activity 153 conrenrs [xi | 6.7__PROGRAMME EVALUATION AND REVIEW TECHNIQUE (PERT) 162 68 CRITICAL PATH METHOD (CPM) http: JIWwsebeok«converter.com 6.11 __THE LINE-OF-BALANCE (LOB) NETWORK TECHNIQUES ADVAN - 184 Google Solved Example Review Questions hitp-wwwebook-converter.com:, 197 Z1_INTRODUCTION 197 Google Bd 75 OTHER SCHEDULES DERIVED FROM PROJECT SCHEDULES 209 7.5.1 Preparing Invaice Schedule 209 http://waawebeok-converter.com——2 213 7.5.4 Schedule of Project Staff 213 7.5.5 Schedule of Labour Requirement. 213 ‘Materials Requirement WSSLIO B = iude of Direct Costs 216 Schedule of Overheads 216 Schedule of Cash Inflow 216 75.11 Schedule of Cash Oulflow 217 2.6_NETWORK CRASHING AND COST-TIME TRADE-OFF nz References 222 Review Questions 222 Chapter . 8 Contractor's Estimation of Cost and Bidding Strategy 226 8.1.1 Get Involved in Pre-qualification Process 8.1.2 _ Study the Tender Document, Drawings and Prepare Tender Summary 8.L3_Decisions to Take 8.14 Arrange for Site Visit and Investigation Consultation, Queries and Meetings, and Other Associated Works Prepare Construction Schedule and Other Related Schedules Collect Information Determining Bid Price J xii | contents 8.1.9 Analysis of Rates 236 10 Fix Mark "p 240 http! Google 24.1 Prevailing Estimation Practices 842 Use of Statistical’ Mathematicel Tools in Estimation 255 84.3 Breakup of Mark-up 255 8.4.6 Dealing with Uncertainties 26 84.7 Average Range of Mark-up 84.8 Mark-up Distribution 3 http: i summary anid Conclusion from the Study 257 References 2 ‘Solved Examples 00859. les Google Books Download Demo ersion | chapter 9 Construction Equipment Management 91 INTRODUCTION 9.2__ CLASSIFICATION OF CONSTRUCTION EQUIPMENTS 286, EQUIPMENTS 286 9.5.1__Economic Considerations 87 9.3.2 Company-specific 287 9.3.3 Site-specific 287 9.3.4 Equipment-specific 287 93.5 Client- and Project-specific 288 9.3.6 Manufacturer-specific 288 937 Labour Consideration |... 94 EARTHWORK EQUIPMENTS 288 9.5 __CONCRETING EQUIPMENTS 291 9.6 HOISTING EQUIPMENTS 292 9.6.1 Hoist: 292 96.2 Cranes 292 9.7 PLANT AND EQUIPMENT ACQUISITION 298 contents | xiii | 98 DEPRECIATION 298 9.10.1 Straight-line Method 301 9.10.2 _ Sum of Years Digit Method 301 9.10.3 Dectining Balance Method 9 i Mya 9.13_EVALUATING REPLACEMENT ALTERNATIVES ais 9.14. ADVANCED CONCEPTS IN ECONOMIC ANALYSIS: sis Google. BoGks: Download Demo Version ved Examples fee " 2 Review Questions 330 http://www.ebook-converter.com Chapter_10 Construction Accounts Management 333 10.1__GENERAL 333 104 CONSTRUCTION CONTRACT REVENUE RECOGNITION 336 10.4.4 Cash Method of Revenue Recognition 337 10.4.2 Straight Accrual Method of Revenue Recognition 337 10.4.3 Completed Contract Method of Revenue Recognition 337 10.4.4 Percentage of Completion Method of Revenue Recognition 337 10.5 CONSTRUCTION CONTRACT STATUS REPORT 338 10.7.1 Liabilities 34 10.7.2 Assets 342 10.8__PROFIT AND LOSS ACCOUNT 43, 10.9 WORKING CAPITAL 345 10.9.1 Need for Working Capital 346 10.2.2. Operating Cycle 346 10.9.3 Components of Working Capital 347 10.9.4 Determination of Working Capital 348 10.95 _ Financing Sources of Working Capital 349 0.10 RATIO ANALYSIS 5 constauerion contact. | 141 | 9. Explain the necessity of involving private participation in infrastructure development. What are the structure cond solient feoturas of BOT form of public-private partnership? You may exploin with the background of road h TNT 199 BOT basi tp, ED OOK GQDVEMEL, COM os saan ie bid and its cxsliton take ploce? 11. What is the content of specification? What are the different types of specification? Gddgle BooKs:Downidad Demo Version ss510 bi coments, 14. Collect 6 few contract documents and list out the common general contract conditions. 5. Twn. ahr <4 conditions for a low projects bei SEES one” you. h Qak-cOny, vot Pepor eile quantity from the set of drawings for o project under construction in your £OD), 17. Discuss different categories of contract in detail and differentiate them with respect 1c their important charac- teristi ogle.Beaks.Dawnload,Demo Version 19. What is meant by eamest money deposit? 20. Why do general contractors use subcontractors rather then performing all the work-on @ project? http:iwwwebeok-converter. com Why might o projact manager require performance and payment bonds from a subconiractor? Google Books Download Demo Version book-converter.com 3 Construction Planning 60g le Books Download Demo Version http://www.ebook-converter.com Introduction, types of project plans, work-breakdown structure, planning techniques—terminologies used, ber charts, preparation of network diagrom, programme evaluation and review technique (PERT), oale method (CPM), ladder network, precedence network, the line ince (LOB) Google Books Download Demo Version 6.1 INTRODUCTION httesAwnyyye! kerony EPLEL HOU INs mates ce doe in advance’ The last phrase (in advance’) isa key operational ar-BOny! the definition, and requires experi- ence and foresight. Construction projects involve using different resources—human, equipment and material, money, etc., and at all times, the task of a construction planner is to draw up plans for optimum utilization of Gdsgl ile-ke Oke eyo EE 7 oad: ‘Heme: Mi FSIOR an, clientsJOwners, designers, consultants and contractors. It is obvious that each agency carries out its own plan- ning exercise, and it is important to ensure proper coordination to ensure that the agencies do not work at cross-purposes, and that the common goal is served. It should be noted that plans are drawn up at each of the stages or phases of a project, though different terminologies are used at times depending upon the stage of the project. For example, initially when the project is at the inception stage, the plan could be referred to as a feasibility plan, while in the engineering and execution stages, terms such as preliminary plan and construe- tion plan, respectively, are commonly used. This chapter largely focuses on the features of a construction or execution plan, though the principles outlined ean be used for other stages of the project as well. Some of the activities involved in consteuction planning are briefly discussed below: Defining the scope of work Since all activities involve consumption of different resources to different extents, itis important that the scope of work involved is properly and, to the extent possible, completely defined. Anyaddition, deletion, or modification in the scope could have serious repercussions in terms of time of comple- tion and cost, and even be the root of litigation, besides souring the relationships between different agencies. For example, if felling trees and getting environment clearances is added (at a later date) to the scope of a contractor iho has been awarded a job far construction af roads, it would obviously cause difficulties. ies involved | This part of planning is very closely linked to defining the scope, and involves identifying activities in a particular job. Since different activities involved consume different physical resources to varying extents, it is crucial that these activities are exhaustively listed, along with the resources required. For example, though different agencies may be concerned with ‘environmental impact assessment it is important for them to identify the tools or parameters each will be using so as to plan effectively. CONSTRUCTION FANNING | 143 | Establishing project duration ‘This can be done only with a clear knowledge of the required resources, pro- uctivities and interrelationships. This information is used to prepare a network and other forms of representations h ie It og vet pry tig 0 ivity is related to the resources Mok U stag We Aurce commitment, even at additional cost. Thus, a balance between time and project cost is required to arrive at an optimum level of resource commitment. Defining procedures for controlling and assigning resources _ It is important that the planning docu- Genote Rooks RownioadDeMe: Version: machines, material and money—are also laid down, Developing appropriate interfaces The planner needs to devise an appropriate system for manage- ent information system (MHS) reporting. Tools such as computers and formats for reporting are widely used, httpwiais GaGa Canverter cam Updating and revising plans Although a construction plan needs to be continuously updated and revised during monitoring, some basic issues should be borne in mind before drawing up a full-fledged plan. For example, the planner should clearly understand the product to be produced in terms of scope and expected , ty ni incl i ances Ganglia Buoks: Damilbd cd Deno Wersions also be understood, besides the interdependence of activities. The planning should aiso identify milestones and targets for the different agencies to facilitate proper monitoring during execution. Inclusion of features h fen risks peomate ‘th apie wat ss pra ae we au tion enhance the quality of Considerable effort is needed to gather the information outlined above, as it involves identifying and determining key success indicators for the project, applicable corporate or industry standards, prevailing norms of productivity, and understanding any security or operational constraints, Although the importance f Lgudpeyf all gp sion: jes 1 ¥ cmp agised. itch borne GotGIE BASRS DOWHAGae: DaniGVersiae to achieve. For exaniple, factots such asa possibility of change in government policies, minor changes in the user's requirement, extra features emerging during project execution (requiring an expansion in scope), or inability of contractors or suppliers to keep their commitment during the course of the project cannot be ruled out. While some aspects related to dealing with uncertainties in terms of probabilities, etc., are explained in greater detail later in this chapter, it should be reiterated that given their nature, it is virtually impossible to establish a fixed time frame or requirement of funds, especially for large projects. Invalvement of all key stakeholders of a project in the planning phase goes a long way in ensuring that frequent changes are not required during execution, This list can include not only representatives of the man- agement, sponsors, client, customers, users and other associated key technical disciplines, but also legal and procurement departments. 6.2 TYPES OF PROJECT PLANS Schedule, cost, quality and safety can be identified as specific items on which the success of any (construc- tion) project is evaluated. Although there isa complex interrelationship between these, itis possible to discuss them. independently—a statement such as project being completed with very high quality but with different levels of cost and time overruns can at least be technically understood. Thus, at times it makes sense to have different plans for each of these criteria—~and draw up (separately) a time plan (or schedule), cost plan, quality plan and safety plan, Of course, depending upon the nature and stage of the project, one may also need to deal with a plant and equip- ment plan, a maintenance plan and a staff deployment plan. It should be emphasised that all ‘independent’ plans | 144 | construction prosect MANAGEMENT should always be in line with an overall master plan’ that lays down the overall plan of the project. A brief descrip- tion of some of the commonly used plans in the construction industry is given in the following paragraphs. http://www.ebook-converter.com Time is the essence of all construction projects, and contracts often have clauses outlining awards (bonus pay- ments) ot penalties (as liquidated damages) for completing a work ahead or later than a scheduled date. While effort is hee es ensure timely com etion of work, it sad be noted that vo Versh reasons for ravwinigeand mate- rials, and labour trouble. Seve reasonably wellstablished techniques ate available and commonly used for time planning (or ‘scheduli !) activities—for example, critical path method (CPM), programme evaluation ey ng were! eB technique (LOB), linear Het ERO K EGA) PCA csc in pri case depends on the intended objective, the nature of the project, the target audience, etc. Some of these meth- ods are discussed in greater detail elsewhere, Godgle Books Downlead Demo Version... ment of manpower. It may be noted that manpower planning also involves establishing labour productivity standards, providing suitable environment and financial incentives for optimum productivity, and grouping http: am: TK in suitable ebo OK conve ret the Oy eco WW NY 10! . m ‘The material plan involves identification of required materials, estimation of required quantities, defining specification and forecasting material requirement, besides identification of appropriate source(s), inventory GSSAPle BSsrs Dowhtdad'Demo Version Construction Equipment Plan Modern construction is highly mechanized and the role of heavy equipment in ensuring timely completion of projects cannot be over-emphasised. Machines are used in modern construction for mass excavation, trench- ing, compacting, grading, hoisting, concreting, drilling, material handling, ete. Induction of modern equip- ments could improve productivity and quality, besides reducing cost. At the same time, it should be borne in mind that heavy equipments are very costly and should be optimally utilized in order to be productive. It is also important that the characteristics of equipment are kept in mind when drawing up an equipment plan. 6.2.5 Finance Plan Given the fact that large construction projects require huge investments, and a long time to complete, it is obvious that all the money is not required at any one point in time. Contractors fund their projects from their working capital, a part of which is raised by the contractors using their own sources (eg... bank loans secured against assets, deployment of resources from their inventory), whereas the rest comes from a com- bination af avenues such as mobilization advance for the project, running-account bills paid by the client, secured advances against materials brought at site, advance payments, and credits from suppliers against work done. Thus, a careful analysis needs to be carried out to determine how the requirement of funds varies with time, It is little wonder that capital inflow can be looked upon as the lifeline of any large project. Care- ful planning for funds and finances has achieved added significance in cases when projects are funded by the private sector or financial institutions that view the project as a financial investment and seek returns in monetary terms also. constuction ptanninc | 145 | 6.3 WORK-BREAKDOWN STRUCTURE sk-breakdown structure (pr WBS), of simply wor doug js the name given to a technique in project Del AN AN BD OOK OR MARGE. C OF cen mt ones ly tree” of activities and organizes, defines, and graphically displays the total work to be accomplished in arder to achieve the final objectives of the project! ‘This provides a central organizing concept for the project and serves as a common framework for other exercises such as planning, scheduling, cost estimating, budget- Gage Books: Downigar Deno Version A work-breakdown structure (usually triangular in shape) progresses downwards in thé sense that it works from pursuing general to specific objectives—much like a family tree, it provides a framework for mvertingya project's objectives into spgcific deliverables, It shuld also be pointed out that any advantage htlpMAVWLEDOSK-GONRMOELOR: G ORG ian-scd projects. tne work-breakdown structure may not be needed as it may suffice to model the project in terms of ‘activitics’ and organizing them into logical arrangements and sequence. However, as the project grows in complex- ity and several contractors and subcontractors, and possibly even consultants, get involved, the number of ‘ th ging i 1 7 +f ', rf i verti Is. It GHSgTE BOOKS DAWG DEH Er ely demonstrated. 6.3.1 Methodology of WBS httpsiwvennebooksconverterGonyes cericissin ch€matically in Figure 6.1, which shows the ‘whole to part’ relation between the project, sub-projects, work packages, tasks and activities. The WBS does not go into the details of activity at the operational level. ‘The term ‘subprojects; ‘work packages, and ‘tasks’ are used interchangeably. However, in this text, the sub- jects are assume! to be wt hishgaevel ti yor , nver level GBHSGIE BSGKSOGNHISAR DehiG, Version... necessafy for the level of control needed, and may typically last a week to a month in duration, Figure 6.1 shows a concrete example of this breakdown in the case of an information technology park project. The project consists of building three multi-storey towers, road works and area develop- ment works, These works are considered as sub-projects in the work-breakdown structure. The further breakdown is limited to only the second sub-project: Tower 2 for maintaining clarity in the figure. This subproject has further been subdivided in work packages such as: T2.1 (civil works), T2.2 (architectural finishing), 2.3 (plumbing and sanitary), ‘2.4 (mechanical works), 'T2.5 (fire-protection works), T2.6 (electrical works), and T2.7 (LV system). These work packages have further been broken down in differ- ent tasks, For example, work package T2.1 has been broken into T2.1.1 (preliminary and general works), 12.1.2 (earthwork), T2.1.3 (piling works), 72.1.4 (CC and RCC works), and 72.1.5 (water-proofing works). Similarly, other work packages have also been broken down into different tasks associated with the corresponding work package. The tasks are broken down into activities that are the lowest level of a work-breakdown structure, For clarity in the diagram, the activities under Task ‘T2.1.4 only have been shown in Figure 6.1. It should be borne in mind that once this breakdown is exhaustive, operations such as development of the lime schedules, resource allocation and project monitoring become simplified. 6.4 PLANNING TECHNIQUES—TERMINOLOGIES USED Some of the terms commonly used in construction project planning techniques are discussed in the following paragraphs. | 146 | constauction provect manaGement http:// i py abodes ggiter com ! an i] | Le) [ose] (A048) [aan Google IT pk pret of a work break Goannionai] i (Constucton of tower-t consteuction ptanninc | 147 | 6.4.1 Event and Activity ont is jint in time when,certain copditions have been fulfilled, such as the start or completion of one or hte PEA WWW. CHOOK-GOHVEFLERCOM be arms sso sys m/project. Activities take place between events. Activity is an item of work involving consumption ofa finite quantity of resources and it produces quantitative results. An exception to this rule is the dummy activity as defined below. GUAT BO SRS DoWiOde DEM VerIOn... Anexample of activity could be ‘laying of concrete floors’ (shown in Figure 6.2). This could be represented as activity i-j, The start (node #) and the completion (node j) of this activity can be considered as events. HEPA MRWCEHOOK-CONVENLER. COMM, any inctore om pleted: It is used to define interdependence between activities and included in a network for logical and mathematical reasons, as will be shown later on in this section. In Figure 6.3, a dummy activity (30, 40) is GSSgs'BSSKE DSWHISSE DEMS VEFSION” 6.4.3 Network Networks consisting of nodes and arrows are the graphical representation of activities, showing logical depen- mA ETB REUTER CERT er sratethon ne http -RROOR SCO Ke ber issmaer chan the head node; numbering starts from lefthand top and ends in righthand bottom. For details on numbering of nodes, the text on network techniques can be referred to. Now, for construction planning, two kinds of networks can be mmo vetai (AOA) and le tu 1 node, Ggouie-Rooks Download Deme: Version: are denoted by nodes and the immediate predecessor relationship between two activities is shown by an arrow connecting two nodes It may be noted that before an activity begins, all activities preceding it must be completed, and that an arrow implies only a logical precedence, and its length or direction do not have any significance as far as proj- ect duration is concerned. While drawing networks for projects, an effort is generally made to depict time as flowing from left to right and from top to bottom. ( ‘ Laying of concrete floors ( ) Figure 6.2 Example of events and on actvly Figure 6.3 _ Illustration of a dummy activity | 148 | constauction pRovect MANAGEMENT Activity-on-Arraw (AOA) onsid a simple projegt (constryction of a small wall), jt can be broken down into activities such ht WWISDGOK-COMMEMEKGOMe ver ter us cher astume that these activities take 3, 7 and 2 days, respectively, implying that the project can be completed ina total of 12 (working) days. Now, activity-on-arrow network representation of this project is given in Figure 6.4. 10 h activity, (s: i esdsgy, iy), and t repre- Godgle Books DEWntodd DAS YaRsiChes the time scale. The starting and end timings of any activity (i, ) need to be calculated separately. In the above example (Figure 64), the activities excavation, brickwork and plastering can, thus, be represented as ti 20).(20, 30) and (30, 40) an ly. When drawing such a network, it should be remembered that each W Pi \ i), Ga “Conve rier: ELEY PP| where two activities have same (i, j) pair, is not valid. However, several activities can start at the same node (i), or end at the same node (j), as shown in Figure 6.6, which are both valid representations. Further, it should be ensured that j > i, and that arrows point towards j. “The uge of agagws as agivit s to be themost intujtivgayhen creating asigple network manually, Google. Books. Dawid: DEMON BEST OFF nm activitits that have some, but not all, of their immediate predecessors in common, ‘This has been explained with the help of Figure 6.7, which is a correct representation of Figure 6.5. Also, if'an activity has more than one predecessor, and one or more of these predecessors is/are also a htteafiumumehineksonverter:conr === OOF Google Books Dewaloa PL (}-—_—) 2 _Figure 6.5 Incorrect activity representation Figure 6.6 Several activities storting fram Node 10 and terminating at Nose BO constiverion rtannine | 149 | Google Books Downloae@'D emo Version Figure 6.7. Correct representation of network of igure 6.5 ‘The addition of dummy activities to an AOA network is a cumbersome procedure and it adds to extra work in computational process (as will be seen, the computation takes both the actual and dummy activities into accoympt) in network techpiques, in addition to making the network look lengthy, In order to avoid these https was -Gonverter.co Activity-on-Node (AON) In this type of network, the activities are denoted by circles or boxes called nodes, and the immediate prede- Goo relatjonship between the two getivities is load odie Bo oks: Bown: 29 ‘igure 6.8. It can be noticed that for the same number 0 has not used a single dummy, while AOA has used 2 dummy activities d, and d.,. People often compare AOA and AON, and wonder which is the most convenient to use. The use of AOA seems to be the most intuitive when creating a simple network manually, while AON is more convenient if the network is large, complex and with many relationships. It is also much easier for setting up computation. AON is simple to draw and revise when compared to AOA (though computer programmes can make this also a simple affair). Further, AON is simpler to explain and can be understood even by a non-technical person, In recent times, the application of commercial scheduling software such as MS Project and Primavera in [150 | constuction pRosecr MANAGEMENT construction industry has made AON very popular. In practice, it is not very difficult to convert an AOA into an AON, and vice versa, as shown in Figure 6.9. htta/weaaw.ebook-converter.com ‘This is the logical relationship implying that an activity needs one activity (or more activities) to be completed, before this activity can start. For example, in order to be able to start plastering, the brickwork needs to have been oogi ies ogle- Books brik recedes vents Iisa common practice in most construction projects re al Demme Versions as concep of presence i sometimes me te “Gependence Nov simply speaking this implis tht i itis identified that activities A, C and D must precede activity X (in other words, X depends on A, C and D), in https ens ee COnVeneN.: sdb on sty ht ld be for an activity that can be started so long as another activity (which should logically precede) has at least started—for example, though painting a wall should, indeed, be preceded by plastering, it is not necessary that the latter be completed before the former can be taken up. Painting can be taken up even as plastering is being carried out, provided, Gaaggte: Books Powntoad Deno version" 6.4.5 Network Logic me of the common logical ways usefpl in preparing a network are shown below: h AAs keSar OO [PPP we starting in parallel, ile Figure 6.11 shows the example of a ‘merge situation wherein two activities C and D are getting com- pleted together. Figure 6.12 shows the incorrect way of showing three parallel activities A, B and C. The three activities GOOBIS BOSE DA WHT. DEMOUBRSTAR. activity A is the predecessor of activity B. ie Figure 4.11 Exomy construction panning =| 151 | ‘The situation of activity C having two predecessors, A and B, is sown in Figure 6.15, while activity A having two successors, B and C, is shown in Figure 6.16. In other words, in the former, Cis controlled by Tit SZ NE PSST KS RS AWTS EG TG: OID in Figure 6.17. oer words, activities Cand Dare controlled by activities A and B. Some complicated situation such as activity C being controlled by activities A and B, and activity D being controlled by # alone, is represented in Figure 6.18. Some more complicated situations are shown in Google Books Download Demo Version OF*-O=-O A precedes octivity B http:/www.ebook-converter.com Google Books nload Demo Version D conticled by 8 olone | 152 | constuction Proiect maNAGEMENT A L http:/www.ebook-converter.com Google Books Download Demo Version http: /Iwww. etldok converter, ¢om Google Books Pownload Demo Version http:llwww.ebook-comy erfer.com Google Books Download Demo Version __Figure 6.19. Activities Aand B controll, ond activities Band CconrolM Figure 6.20 Activity A controls activities Land M, and activity C controls M ond N - _____Figure 6.21 _L, Mand N are controled by A: M ond N ore controled by BN is controlled by C_ construction suannns | 153 | 6.4.46 Duration of an Activity jan Ayn fe Pa! Dns Tg ji gap] to carry out an activity NRE ROO RAC CECE TOI nc cunston maybe expressed in days, weeks, or months. It should be noted that though the actual duration depends, in prin- ciple, on the quantum of work involved in the activity and the resources deployed, it is not really necessary that the relationship be exactly linear, as will be issed subsequently in this at, Farther, it should be Google Books Download Beno Version: eogte Rooks Nowntoad ‘Demo: Versiony..: ‘pessimistic time’ and ‘expected lime’ are also used in the context of defining the duration of an activity. These are explained at appropriate places in the chapter. htt nhwvew.ebook-converter.com inciple, an activity can be started as soon as the groundwork involved has been completed, but the client or contractor may (be able to) wait for sometime before starting the activity without affecting the overall project completion. Similarly, depending upon the starting time and the duration, the activity may be completed at GCHSUTR BOOKS NoWiioad Demo Version. sary preconditions are met. Earliest start time of an activity (J, j) has been denoted by EST\G, j) in this text. that an the activity (i, j) can be completed, Earliest rliest finish time of an activity “This is the earl h ips CED OOK CONV! FEOF COPED: the relationship can e Axpressed as EFT. j) = EST(, j) + DG.) (6.1) jis is the lategt time that ctivity needs 4p, Downldad Dene, i Latest start time of an activity This is the latest time when an activity must be started, in order that there isno delay in the project completion, Latest start time of an activity (i, j) has been denoted by LS7(i, j) in this text, Mathematically, the relationship can be expressed as: nplated in order fd Ra by Géogle' Hs LET(, j7th this text. LST, j) = LF, j) ~ Di) (6.2) 6.4.7 Forward and Backward Pass ‘The forward pass moves from the ‘start’ node towards the ‘finish’ node, and basically calculates the earliest oceur- rence times of all events. Considering that the project starts at time zero, the earliest occurrence time at each node is found by going from node to node in the order of increasing node numbers, keeping in mind the logical relationships betwen the nodes as shown by the connecting arrows. The carliest occurrence time for any node can be estimated from the (maximum) time taken to reach that node from the different incoming arrows. Consider the network given in Figure 6.22, defining the relationship between activities (1, 2), (2, 3), | (2,4), (3,5), (4,5), and (5, 6), such that A is the first activity. Activities B and C can be carried out simul- taneously, but only when activity A is completed, Activity D can start only when activity B is completed, Similarly, activity E can start only after Cis completed. The last activity, F,an commence only when both the acti Dand E get completed. Assuming the durations involved for the six activities to be D(1, 2), | D(2. 3); D(2, 4), D(3, 5), D(4, 5) and D(5, 6), and the earliest occurrence times for nodes 1, 2, 3, 4, 5 and 6 tobe E,, E,, Ey Ey E, and E,, the earliest time for different nodes can be found out depending on whether there is a single incoming arrow for a node (for example, node 2, 3, 4 and 6) or there are more than one | 154 | constaucrion PROJECT MANAGEMENT Activity http://www.ebook-convertét tatiana Google Books Dew nload.Demo Version arrow entering into a node (for example, node $ in Figure 6.22). The calculation of early occurrence times for nodes 1, 2, 3, 4, 5 and 6 is given below. httpv/wwan.ebook-corvertencom 4.0, though we can take me other value also. Assume E, = 0 in this case. Nodes 2, 3, 4 ‘The earliest times for reaching these nodes can be simply determined as Google Books Déwhiload Demo Version E,=E,+ DU, =0+4=4 E, = E, + D2,3) =445=9 E,=E, + DQ2,4)=447=11 (6.3) Node 5 For node 5, there are two incoming arrows—one coming from node 3 and another from node 4. Under such situations the expression for computing earliest occurrence time is given as belaw: = Max((E, + DG, j)], where the maximization is over all nodes i that precede node j (6.4) i ‘Thus, applying Equation (6.4), the earliest occurrence time for node 5 would be the maximum of carly ‘occurrence times of node 3 plus the duration activity (3, 5), and early accurrence time of node 4 plus the duration of activity (4, 5). That is, E, = max{{E, + D(3, 5)}, E, + D(A, 5)}] = max{{(9 +2), (11 +3)} = max(LL, 14) = 14 Node 6 Node 6 is the final (finish) node and has a single incoming arrow. Thus, as before: E,= E, + DG,6)= 14 +5 =19 “Thus, once the final (finish) node is reached, the earliest time for reaching that node also represents the minimum time it will take to complete the project. Now, the backward pass is made in a similar manner to that of the forward pass, except that the process is carried out in reverse through the nodes, starting from the end node and finishing at the start node. Using consteuction etanninc | 155 | the example illustrated in Figure 6.22, and defining L,, L,.Ly Ly L, and L, to be the late occurrence times for les 6, 3, Zand 1, resy ively, the late occurrence time for different nodes can be found out, depending httpaywerwe KGORMOLERMT POM )nd 5) or there are more thaf one arrow outgoing from a node (for example, node 2 in Figure The calculation of late occurrence time for nodes 1, 2, 3, 4, 5 and 6 is given below: Goo 6 ‘This Be end node of ‘Bow ‘The late occyrrence time is oVers taken same as fen t a 7 proj- eegie-Books- Hownload Demo Version: problem. des 5, 4,3 The late occurrence times for these nodes can be simply determined as— hitp:/Awww.ebook-conyerter.com 6s) ‘Thus, — D(5,6) =19-5= 14 Google Books Dowrilsad-Ddimo Version Node 2 For node 2, there are two outgoing arrows—one going to node 3 and another to nade 4. Under such situations the expression for computing late occurrence time is given as below: http:Awww-ebook-converter:com' 69) ‘Thus, applying Equation (6.6), the late occurrence time for node 2 would be the minimum of late accur- rence times of node 3 minus the duration of activity (3, 5), and late occurrence time of nede 4 minus the duration of activity (4, 5). Godyle Books Download Demo Version = min{{E, - DQ, 3) iE, ~ DQ, (11-7) = min(7, 4) =4 Node 1 Node | is the start nade and has a single oulgoing arrow. Thus, as before: L,=(L,- DU,2)=4-4=0 ‘The backward process gets completed at node 1. Iewill be scen that for some events (nodes) in the network, the two values (E and L) will be the same if the latest project completion time is taken as the earliest project completion time. Now, these events constitute the critical events, and the continuous path through them gives the critical path. It is possible, to compute the activity times from the event times calculated above. For example, given E, L, E,and L, for events {and j, and DU, j) itis possible to determine the EST(, j), EFT, j), LSTG,#) and LFTU, ) of the activity (7, f) from the following expressions. ESTU, j) = E, (6.7) Once the EST (i,j) is determined from Equation (6.7), the E514, j) can be determined from Equation (6.1). is determined from the following expressio: LET, j) = L, (6.8) Once the LFT (i,j) is determined from Equation (6.8), the LST\, /) can be determined from Equation (6.2). For the example network shown in Figure 6.22, let us take activity (2, 3) for illustration of computation of various activity times. For nodes 2 and 3, i.e. activity B, we have E, = 4, L. %¥and L,= 12 [156 | constkuction prouecT MANAGEMENT ‘Thus, http://www.ebookxconverter.com tst.3) 2 LETQ, 3) -DQ,3)= 12-5 =7 ‘The computations for event times and activity times are shown in Figure 6.22. Googie Books Download Demy Versioncs However for event marked 3, there is a difference between the values of E, and L., Since the events essentially represent the start (or the end) of an activity, we consequently find that for some activities such as B and D isp pi ipghe EN oe 4 fi ssuch as A, C,D, E http Aine packs ETRE SOUL iit ce eco find any difference between the start times and finish times are termed as critical a ‘ies. Mathematically, speaking, an activity qualifies as critical activity where the following three conditions are fulfilled. Google Books Hdwnload Demo Version 1,-E-Dié,j)=0 (61) eet i 1] iy tical activities. It may be tip WEEP OOKACOTVETRER GON ne im for exmp we see activity B ie., (2, 3) of Example 6.22, we notice that the EST and EFT are 4 and 9 respectively, and LST and LFT are 6 and 11 respectively. In other words even if the activity is delayed by 2 days, it will not affect the project completion time of 19 days, The term float or slack is used in the context of the extent to,which a given di i d rence Googie Books Rownload Dene Version the next section, 6.4.38 Float or Slack Time ivity need not be started as soon as it can physically be started, without adversely affecting project comple- tion. In other words, activities have some additional time available, which can be used in different ways as illus- I path have no float. another way of defining the critical path could be in terms of the floats available—it can be defined as the set of activities connecting the start and the end of a project and having zero float. Reference is made to variations ofthe ‘float’ defined here in literature, and some of the important ones are discussed below. Calculation of different types of floats can easily be done using a diagram as depicted in Figure 6.23. In Figure 6.23, (i,j) represents activity A. £, and L, represent early and late occurrence times of event i. Similarly, E, and Z, represent early and late occurrence times for event j. Tri Duration ‘ Ct) a“ 9) (610) m Duration FFU) _ Figure 6.23 _Mlustration for construction planning | 157 | Total float in an activity Total float of an activity is the amount of time by which the start of the activity may be: ak without causing a delay in the completion of the project. This is calculated as hitp://www.eboak-canverter.com wn FT (ig) - El ET (aj) = 13) Goggle,Rooks Bowiload:Demo, Version... and finish float respectively. In terms of event times, the TFG, j) can be defined as the late occurrence time L, of the succeeding event minus the early occurrence time E, of the preceding event minus the duration of the httpcewwwebbok-converter.com TH, j) = 1B, - E,- Dli,j) (614) ieee Pn yi nt i of i ay- Geog Boks Rawitdad DEM. Version. event minus the earliest occurrence time &, of the preceding event minus the duration of the activity defined between these events, Free float for an activity (i, j)is denoted by FF, j) and is calculated from the following http:7/www.ebogk-conyerter.com (6.15) Independent float Independent float is the amount of time by which the start of an activity may be lelayed without al ing theprecediggor the following activi. endent float lefined as the earliest GGSgle BGaKSs DGWHISaE. DEG inus the duraifon of the activity defined between these events. Independent float for an activity (i, j) is denoted by IF, j) and is calculated from the following expression: IFG, j) = E,- L,- Dia, j) (6.16) Interference float It is defined as the difference in total float and free float. In other words, i,j) - FRG.{) 6.17) Intezference Float = It may be noticed that the term earliest occurrence time and early occurrence time are used interchange- ably in our discussion. Similarly the term latest occurrence time and late occurrence time are used inter- changeably in the text in the context of event times. These are also referred to as Early Event Time (EET) and Late Event Time (LET) in some texts. The terms ‘Node’ and ‘Events’ are also used interchangeably in the text. $.4.9 Path and Critical Path Any scries of activities connecting the starting node to the finishing node can be said to define a ‘path’ and, indeed, in a project having several activities, several such ‘paths’ can be identified. Among these paths, the ‘criti- cal path’ is defined as one that gives the longest time of completion (of the project), which also defines the short- est possible project completion time, For the example problem (see Figure 6.22), there are two paths: 1-2-3-5-6 and 1-2-4-5-6, The path marked 1-2-4-5-6 is the critical path and the project completion time is 19 days, The critical path is marked with bold line in the text. | 158 | construction prouect MANAGEMENT 6.5 BAR CHARTS TNA ti fe] y et jets] t activities are shown on. hts MG OOO Kt ENS TIRL. rogress Its one of the oldest methods and an effective technique for overall project planning. These charts were developed by Henry L. Gantt during World War I and, accordingly, these are also sometimes referred to as Gantt charts. They give an idea of duration of activities/project and, hence, can be useful in preparing strategy Googie Books. Rownload DEMe.VELS LON. aun and end locations of the bars coincide with the start and finish dates of the activities. A bar chart rep- resentation of the illustrative example of the construction of a boundary wall is given in Figure 6.24. It bere OS EB avalon s ree ing of, 1 and is supposed to get htth; OO EU ELE a EO ot month? andissup- posed to get completed at the end of month 6. As is clear, while bar charts are an excellent tool for visual representation of the plan of the project, there is no way of knowing logical interdependency of activities using these charts. Also, the criticality of an activity or any cascading effect of delay in an activity cannot Googie BovksDawnload.Demae Version. ws Further, the mechanics of generating and updating Gantt charts have also considerably improved in the last couple of decades as a result of developments in scheduling software. Some of these software packages may even] WN scheduler upday or, DOK. schedule VEE changes directly on the Gantt chart, while the h NAINA REDD 6D Ieee ERY AL hbrp OTP precedence rlatonships tween activities are not overlooked in this process. 6.6 PREPARATION OF NETWORK DIAGRAM . Google. Books Download. LeMoNEFsi Ons ture fr the project, determining the interdependency among the activities, estimating the duration for each activity and, finally, drawing the network. Once an initial draft of the network is prepared, the analysis is car- ried out using a forward pass, followed by a backward pass to determine the critical path in the project and the activities lying on it. The draft network is then revised to finalize the details. Some additional details invelved in these steps are discussed in the following paragraphs. Preparing the Work Breakdown Structure and Activity Identification As mentioned above, this involves defining the constituting activities of the project. It may be recalled that work-breakdown structure divides the work based on similarity of nature of works. For example, works ‘I | Activity Time in months: no.| description t]2,73)])4)])5),/68&,|7)]8)]9)]w,Ny] 1_| Excavation [2 [rec '3_| AGC for footing “4_| RCC for wall peeeeieperc emery 5 | Plastering _| Painting 7_| Fencing Figure 6.24 Bor chortf consrauction pianning | 159 | requiring similar labour, similar plant and equipment, etc., may be classified in the same group. Each activ- ity under different divisions of work: skced structure should be ina manageable unit of work that can i jources should be consi httpy/WivWebook-converter-com Interdependence of Activity of Ic " i st work. Ganga Books Downivad DENIC Mersin. brickwork in foundation is an example of a requirement for physical and logical sequencing of activities. However, in a situation where a crane or a dozer at site can be used for activity A and activity B, whether the suipmept is used for A or Ih (which legds to a ‘dependence, in the sense that one can be taken up only when htipaiwww.ebook conve! |G OVEFYinmon resource isa the tof dependence. For each activity the planner must know which activity precedes or succeeds a particular activity, and which activity can be taken up concurrently with this particular aetivity. ‘The answer to these questions will furnish the dependency relationships between the activity in question and its immediately it ivi ide i ig fc a ction GGGgIE BabKS DOwiiIbad DEMO VERSION, understanding. The ability to define appropriate dependence requires substantial experience, intuition and judgement on part of the planner. Several difficulties and revisions in the network can be avoided through http:, Hh defining dependgnces. k. rt ‘/Iwww.ebook-converter.com tp-i/\ Duration for an Activity ‘The time required to complete an activity should depend not only on the quantum of work to be executed (Q), but also on the resources allocated (R) and the (unit) productivity of the resources (P). The experience of Gangie BOOKS Downioot Deni version: a ip : 7 1g ns? ly put, the time required (7) to complete an activity can be calculated using the following relationship, provided care is taken to ensure proper units for all the quantities. (6.18) For example, the time taken to paint 100 m? (Q) using 2 painters (R), assuming each painter can do § min an hour (P), is simply 10 hours (7), Life in real projects is, however, not as simple, and there could be uncertainties involved in the estimation of quantities, resources and productivity of a resource. For example, in a project, in the absence of accurate ground data, it would be very difficult to estimate the quantities of activities associated with underground works. Similarly, in dewatering works the time taken to dewater up to a particular depth is difficult to estimate. ‘The productivity of a resource is dependent on a number of parameters discussed elsewhere in the text (refer to Chapter 13, Section 10), and it is really a very challenging task to estimate the producti of a particular resource. Needless to say, in the absence of accurate estimate of productivity figures, there could be uncertainties involved in the estimate of resource requirement as well, Statistical data stored over a period of time for a number of similar construction projects plays an important role in the estimation of the three parameters Q, R and P, and consequently helps in estimating the duration of an activity. The duration for an activity can be estimated using several approaches, and some of the commonly used ones are listed below: | 160 | construction rrosect manacement ‘Time study’ approach In this approach, the time, http://www.ebook-converter.com (619) pxn where Q = total quantity of work, p = productivity factor, and m = normal size of crew. It can be noticed GoSGlE BOOKS Dawhiad Denis Version” Previous project data Data from completed domestic projects or overseas projects with some necessary modifications are utilized in this approach without giving attention to the values of Q, p and n. tpstywe beck -converterreonn: : mest surion h ‘oF example, if we PURE OK ¢ duration HYVETLE rickwork at ground level, the experts with considerable experience in brickwork will be told to estimate the duration for the given quantity. Some- times, information on the three time estimates—optimistic, pessimistic and most likely time—is sought, from GROGIEBYOKS NoWilodd Nema. Version... past projects for any work will be the same; they can be better expressed by a range. Vendors quite often quote deliveries like 6 to 8 weeks or 7 to 9 days, indicating a range, though in reality the two figures may be a part of be num! ame vendors play—the shqrt one to give hope to the buyer and the longer one to defend them- http DAN, BG OK CGR VELGE. GOH compton negotiation; it is otherwise alien to the whole estimating process (Chaudhary 1988). Estimates from vendors and subcontractors Vendors and subcontractors are asked to indicate the time estimates as they gre often agked to quote budgetary. cost estimates, These estimates in, a competitive situation Google Books Hewnload- Deme-Version' liscusste in previous paragraphs. A vendor may quote for 18 months fora product whose manufacturing life- cycle time may be only six months. During negotiation, this duration may crash to six months or to a slightly higher duration without any extra price. The vendor quotations taken together may at best provide a range estimate and are used for the development ofa preliminary schedule. It may be noted that the various approaches discussed above, except the guesstimating approach, talk of how much time it will take to complete a particular activity. Actual activity time, true to Parkinson's Law, always expands to consume the time allowed. So, past data cannot providea true estimate of the required time. ‘The guesstimating approach, on the other hand, results in conservative estimates—too tight or too relaxed. If the estimator has any responsibility for implementation, he would like to provide all sorts of contingencies to cover up delays that may occur because of change in assumptions regarding scope of work, inefficiency, uncer- tainties, etc. ‘The reverse happens if the estimator has no responsibility for implementation, The estimator, in that case, tends to take the job too lightly and, so, provides a very tight and unrealistic estimate. In real-life situations, there are very few activities such as curing of concrete, etc, in a project that would require a fixed duration like an incubation period. The durations could be changed, within a limit, to meet the requirement of the project. So, what is necessary in fixing up the activity duration is to allocate the time the project would spare for that activity and ensure that this allocation is within the limit of compressibility of the activity. The allocation must, of course, be reasonable, but one need not be too concerned with accuracies. In practice, therefore, instead of trying to accurately estimate the duration, a reasonable duration is allo- cated and commitment obtained from the agency that will be held responsible for its implementation. If the duration is not acceptable to any agency, then it may be changed. [thas been found to be a pragmatic approach provided there is not much horse-trading between the planning and implementing agencies, construction riannise | 161 | Drawing the Network n arrow diagram drawn ag a network follows the decision about dependency relationships. All activi- htipiiwwenebook-Gon VerterOo!y en te calc! ang activities. Similarly, all (terminal) activities, which have no following {or succeeding) activities, are ter- minated at a common (end) node. By definition, therefore, for all other activities there must be at least one preceding activity and one succeeding (or following) activity. Mathematical ease and visual clarity ire they Uy. (nig ne ADL rop Ty of the act GéRgIEBSSKS DeWhad DAS VERSIGh... and ingenuity. alysis of Construction Networks NTE AWWAWi2DOOK-CORMEFTIEMLGOM ane their inesdepen- dehce, calculations need to be carried out to identify duration of the project, activities on the critical path, floats of activities, etc. As mentioned above, the critical path is defined as the longest chain of activities from the start node to the finish node of the network. For small networks, this can be identified simply by inspec- _ \ nm cum Gaugle BabkKs Nakititad Nene, Version sc, as briefly discussed in the previous sections. It may be pointed out that since the real focus in this text is not construction networks and scheduling, the topic has been only briefly dealt with here, and reference should h th mk specialist Lee renal rt Py Review * . Itshould be reiterated that the durations discused in the above paragraphs are closely related to the resources committed for the activity—and, therefore, the preliminary estimates of fi a project may not always GQRGIEBOOKS DOWhIbad Dai WeRSTORi identified, the network is frozen for the purpose of resource allocation and monitoring, as briefly discussed below. Recast Network Based on the finalized network, resources are assigned to all activities, keeping in mind especially those on the critical path. In the event that the resources required are in excess of a realistic estimate of availability, alternative methods and resources are sometimes identified, which may at times necessitate reworking of the network. Review and Monitoring This phase reflects the monitoring phase, when the project is already underway—and the objective is to ascertain whether the progress is as per the predetermined schedule and if any readjustment is required. At the time of review, it may at times happen that the duration of an activity may need to be revised—in such cases, the network may need to be re-analysed and this may also include carrying out the forward and backward passes to ascertain any change in the critical path. During the review and monitoring, the task of a planning engineer is made easy by presenting the information at a given date in the form of activities started but yet ta be completed, activities that should have been in progress but have not started, and future activi to be taken in the next week, fortnight, month, quarter, etc,, the revised list of critical activities, and the list of activities with ascending order of floats, etc. (to be used in resource levelling). It may be pointed out that as far as a contractor is concerned, these are some of the efforts that are made before it is finally concluded that an extension in the project duration should be sought. | 162 | construction rrolect MANAGEMENT 6.7 PROGRAMME EVALUATION AND REVIEW https/AWWAW, SROOK COMME tEF. COM» snisecupnenpe of programmes. It is assumed that activities and their interdependence are well-defined, though it recognizes uncertainty in the time estimate of an activity, PERT incorporates uncertainties in activity durations in its analysis, requiring three durations for each activity, which are the most probable, the: Korg Ghortest) and Géogic Bepies: Downlpad beme-Version: = ‘Ot eogl ic cStimates—the pessimistic time estimate (F) an timustic Lime estiini ‘other than what is perceived to be the most likely estimate (t,.) for (completing) an activity. As the names imply, the pessimistic time is the best guess of the maximum time that may be required to complete the activity, and the optimistic h 4 “NAW BE m i the activity. Indeed, extremely unlikely te? GORRE SRE CAs ioweven depending upon the purpose of the exercise and various other issues, it may at times be prudent to include effects of factors such as a flood or other natural calamit For example, let there be an a ivity ‘design foundation’ and the optimistic, the most likely and the pes- Gongte-Books-powninad Demoversion =: bution of duration of an activity takes the shape of beta distribution (shown in Figure 6.25). The probabi that the duration would be less than the optimistic duration (t,) is about 1 per cent, and the probability that h HME ROOR CON VEHEEE SI Fit: exinates, assuming that the op ic times are about equally likely to occur, and that the most probable activity time is four times Smee el to oceur than the other tivo, Mathematically, the average, or expected, time is given by Google Books Download Demo Version.,.,, For the case of design foundation’, t, can be worked out to be 19 days [(14 + 4 < 18 + 28)/6]. The fact that {, >t, in this case is a reflection of the extreme position of t, and the asymmetry in the beta distribution (see Figure 6.25), even though computationally the weights given tot, and t, are the same. hu Probability function te cone eee ee eee eee o ff i 18 19 28 ‘Activity duration (days) Figure 6.25 _ Bela distribution for the activity ‘design foundatios

You might also like