ASSIGNMENT ON MANAGEMENT IN ORGANISATIONS PGPM 11

ASSIGNMENT NICMAR/CODE OFFFICE 1. Course No 2. Course title 3. Assignment No 4. Date of dispatch 5. Last date of receipt of Assignment at CODE office : : : : : PGPPM 11 Management in Organisations 01 15-03-2012

ASSIGNMENT Your company has bagged a lucrative contract to construct a housing colony for an industrial group to be located in western Maharashtra in a coastal belt. You as a project manager have been asked by the company to evolve organisation structure with following conditions. i. ii. Organisation should be as lean and thin as possible with bare minimum of personnel on company roll up to junior level. All supervisors to down below will be temporary for project duration only to be recruited locally from 100km radius.

Suggest and discuss an organisation structure denoting responsibility, authority, communication control for all facets of construction work and management functions as visualised by you. Housing colony consists of 10 bungalows for senior executives, 20 apartments in 5 buildings, 100 dwellings for white collar workers and 300 dwellings for blue collar workers. Colony will have market and entertainment complex.

ABSTRACT This paper proposes a structure for an organisation for a residential project in their construction processes. This structure aims at integrating the knowledge that is found scattered among the several branches related to the construction system. This paper starts from a survey on the literature about the organisation of knowledge, particularly about the system of facets classification, and includes the directives proposed by the ISO norms for the classification of information in the civil construction industry according to the concept of process. This assignment is about management in an organisation for a residential project. A housing colony generally comprises of blocks which is categorized based upon the grade or designation of the personnel working in the firm. As it is for industrial company, proposed in the assignment, the designation of the personnel varies from senior executives to blue collared workers.

INTRODUCTION Management of materials and information flows are key strategic priorities for construction firms. Sound performance in these two areas can provide them with significant benefits and allow the adding of value for clients. The introduction of supply chain management in construction is intended to integrate processes, manage interfaces between companies in projects, reduce uncertainties and weed out inefficiency as much as possible. The elimination of waste and inefficiency from the supply chain builds in value in the process. Similarly, Sir John Egan reaffirmed the aforementioned recommendations in his report title Rethinking Construction (Egan, 1998: 16). The report identified five key drivers of change, namely: Committed leadership; Focus on the customer; Integrated processes and teams; Quality driven agenda, and Commitment to people. The present assignment paper is done by keeping in mind the above factors for attaining the best and profitable output.

SCOPE OF WORK The project is about construction of a housing colony for an industrial group in Western Maharashtra in a coastal belt. There are three main aspects to be studied in the course of project namely man power, materials and expectance of the clients. Considering the fact that the local labours can be engaged in the field of work due to the following facts a. No accommodation is must for local workers, b. Only travel arrangements can be made on demand as the people are around 100km radius from the work site and c. The number of labours can be altered in the work load. Apart from these as all the materials and are purchased from the local surroundings the availability of materials can be made on demand and there will be an assured supply of materials. Apart from the housing it is also proposed to build an entertainment complex and a market. Entertainment complex comprises of a theatre and a multi-purpose hall and a small park at the entrance. Considering on the economical basis the market can be also kept inside the complex as a shopping mall.

BREAKDOWN IN MANAGEMENT
PROJECT MANAGER PROJECT CONTROLS MANAGER

DESIGN MANAGER

CONSTRUCTION MANAGER

SCHEDULERS

QC INSPECTOR

SENIOR ENGINEER

DOCUMENT CONTROLLERS

SAFETY INSPECTORS

ENGINEERS

COST SPECIALISTS

The above chart is the outline for the breakdown for the management in the organisation. The top most position in any project is the project manager. The orders are executed by the junior engineers through their senior engineer who is guided by the construction manager. The functions of the personnel are discussed briefly below I. PROJECT MANAGER: The project manager is a leader of the team. The project manager will have clear idea about all the process that takes place in the project. He should be influencing the team to follow in the achievement of a common goal. He should be able to identify the delay if it is occurred and should be able to rectify it. He is answerable to the top level management of the firm and to the clients.

II.

PROJECT CONTROL MANAGER The function of a project control manager is to regularise the work flow in the project. He forms a planning department under which all the essentials of the project are been maintained and recorded. The project control manager being the head of the planning department has to keep up the above mentioned functions. He is assisted by: SCHEDULERS: prepares the work flow for a project. DOCUMENT CONTROLLERS: maintains all the records of the project COST SPECIALISTS: analysis the day to day change in field of construction financially and run the project economically.

III.

DESIGN MANAGER: The design manager makes the plan and does the design of every single member of a structure that has to come in the project. As for the residential project, he does prepare the layout of the entire colony with specification of the every single apartment and bungalow allocated as per the specification proposed by the clients. He prepares the drawings which provide all the essentials for the structure. QC INSPECTOR: He takes care in examining the quality of the all the

products from reinforcement, concrete to a completed building. SAFETY INSPECTORS: He assures the safe working condition prevails in the site to all the people working in the site. Thus he assures that the risk factors in the site are minimized and a safe working environment is provided.

IV.

CONSTRUCTION MANAGER

He is the head of the execution department. The main function of the execution department is to execute the orders received from the planning department. The most active post in the organisation is the construction manager since he decides upon the plans proposed on assumed working conditions and executes them under the actual working conditions. He has a team consisting of engineers ad his sub ordinates for various works in the field.

Assigning responsibility The table below gives the outline for the entire assignment as a precise for the above all discussions:
TASKS THAT HAS TO BE PERFORMED WHO PERFORMS THE TASK Measuring and laying-out site; calculating requirements; cutting and aligning bricks; applying and finishing mortar Studying requirements; measuring site; setting forms; preparing grading and base Establishing methods, procedures, sources, and models for analyzing construction cost information; verifying weekly critical path balancing; comparing construction budget with variance calculations Preparing residential closing work papers; completing monthly job closing routine; preparing financial statement data; preparing sales commissions, overhead, and marketing journal entries Completing building permit requirements; maintaining subcontractor relationships; assigning project numbers; noting phase completion dates Establishing construction financial data methods, procedures, sources, and models; collecting, tracking, and calculating cost information; identifying and analyzing variances; maintaining job cost system Producing and improving architectural plans; reducing Construction Design Services Supervisor Construction Administrative Assistant Construction Cost Analyst Construction Accounting Coordinator Construction accountant Cement mason Brick layer

construction costs; resolving design and construction problems; resolving differences between designers and sales personnel Operating computer-aided design system; forwarding blueprints to requesting parties; analyzing design options; evaluating construction

Construction Design Technician

Establishing and enforcing purchasing policies; identifying resources; negotiating quality, delivery, and price agreements and leases; maintaining ethical standards Identifying suitable parcels and locations; negotiating

Construction Director

Construction Division President

purchases; planning land development; developing building sites Collecting and studying reports, maps, drawings, blueprints, aerial photographs and tests on soil composition, terrain, hydrological characteristics, and related topographical and geologic data; preparing engineering design and documents; confirming specifications; inspecting construction site Studying home plans; updating specifications; identifying and projecting costs for each elevation; costing changes, additions, and site adjustment requirements Studying blueprints; scheduling materials, equipment; preparing cost estimates; monitoring expenses Assembling and disassembling scaffolding; checking schedules; determining materials requirements; locating, loading,

Construction Engineer

Construction Estimator

Construction Foreman Construction Laborer

unloading, and moving materials. Planning construction requirements; ; resolving land Construction Manager objectives; Construction Operations Vice President

development issues; building quality homes Understanding and analyzing construction interviewing people who understand goals; studying position and product statements; diagnosing/analyzing needs and requirements Analyzing materials, supplies, tools, and

equipment Construction Planner

requirements; requisitioning and approving purchase of materials, supplies, tools, and equipment; providing project estimates; monitoring project expenditures Advising clients regarding project objectives and requirements; Directing development of, and verifying, project drawings, specifications, details, and budgets; controlling expenses; guiding project operations Construction Project Controller

Interviewing

customers;

following

warranty

guidelines;

Construction Quality Assurance Coordinator Construction Quality Manager

scheduling work with subcontractor; monitoring and evaluating subcontractor work Recording surveys; tracking warranty claims; obtaining and investigating complaints; compiling and updating customer satisfaction information Providing administrative services; representing builder;

Construction Secretary

identifying and correcting customer complaints; resolving warranty issues Identifying new acreage; obtaining and analyzing development bids; determining development profitability negotiating land purchase; obtaining utilities Defining project purpose and scope; calculating resources required; establishing standards and protocols; allocating resources Reading blueprints; estimating and ordering requirements; measuring and laying-out reference lines; measuring, cutting, fitting, and finishing dry-walls Preparing bid documents and contracts; coordinating contract execution; maintaining contract records; maintaining materials and sup preparing material bids Completes construction projects by verifying estimates, project drawings, and specifications; establishing and disseminating schedules; awarding contracts; obtaining tools and equipment Identifying suitable parcels and locations; negotiating

Construction Services Vice President Construction Supervisor

Dry-Wall Installer

Engineering Construction Administrative Engineering Construction Project Manager Home Construction manager

purchases; planning land development; developing building sites Constructs pipeline by studying demand estimates; assessing Sites and watercourse crossings; preparing specifications and logistics; completing impact studies Laying-out project; gathering materials; preparing roof; installing roofing

Pipeline Construction Manager Roofer

Developing staking sheets; completing and filing forms and sketches; requesting payment of permit and easement fees; defining staking requirements Planning surveys; verifying construction location; defining lines and grades, typography, underground facilities, cut and fill; providing maps, calculations, documentation, and illustrations

Staking Aide

Surveyor

Training laborers on how to properly handle and dispose of hazardous materials according to procedures and policies set by personal corporation regulations and state laws. Direct safety programs in an attempt to reduce any hazards or injuries possible during and after the sites construction Studying blueprints; calculating requirements; measuring and laying-out site; measuring, cutting, and attaching laths

Safety Supervisor

Safety Director

Tile Setter

INPUT/COMMUNICATION REQUIRETMENT AND FLOW As discussed above the breakdown in an organisation can be categorized precisely under four departments namely, i. ii. iii. iv. Planning & Infrastructure department, Finance department, Quality department and Execution department.

The functions of all the above departments are explained elaborately below PLANNING & INFRASTRUCTURE DEPARTMENT: The Planning team would work on the Layout, Town Planning and Connectivity. The Infrastructure team would ensure that the basic infrastructure like Water and Electricity is made available to the units. The intention to club these two divisions is based on logical interpretation of the basic tenets on which the two teams work. A coordinative effort between these two divisions will ensure that that the product is ready for the execution team to deliver. FINANCE DEPARTMENT: The team will work around the year to ensure that the required cash flows are maintained and also to ensure that the work doesnt get affected due to the inherent issues of managing the project. Employees in the Manager level will ensure that all the required books are to do the book keeping and also execute the plans of the General Managers.

The General Managers are to ensure that the plans are made keeping in mind the vision and direction set by the Project Manager.

QUALITY DEPARTMENT: The Quality Team will have a structure as follows: Quality Control plays a very vital role in a project. Hence, it would be critical to have a Quality team member involved in every critical aspect of the project. A team member would be involved in the Planning and Infrastructure, one team member in Architecture and one in Execution. A team member of the cadre of an AGM would ensure that the Managers who look after the individual portfolios execute the plans according to the vision and direction of the Program Manager. EXECUTION DEPARTMENT: The primary thing that has to be realized is that execution is a very critical team for the success of the organization. This team has to be closely monitored and should also be given enough flexibility to allow intelligent deviations from the plan and also should be flexible enough to incorporate the changing conditions in the environment.

The above discussion is precisely shown in the flow chart below,

Thus it is very clear from the flow chart that in the field of construction there is no unidirectional flow of orders or communication it is a must that a for an efficient project there is a must that all should be knowing the happenings around them so as that the problems can be discussed and hurdles are overcome. So as a result the client is pleased and at the same time the work progress is also maintained at the same ratio. As a result for the company time efficiency is gained which at the days end earns a lot of profit and fame for the concern

BREAKDOWN IN ORGANISATION: The following are the number of people required White collared workers 100 Blue collared workers 300
BLUE COLLARED WORKERS Job Title Brick layers Cement Masons Construction Foreman Construction Laborer Construction Supervisor Dry-Wall Installer Pipeline/ Plumber Roofer Staking Aide Surveyor Safety Supervisor Tile Setter Electrician TOTAL No. of workers 30 30 36 100 15 2 10 15 20 2 15 15 10 300

WHITE COLLARED WORKERS Job title Construction accountant Construction Accounting Coordinator Construction Administrative Assistant Construction Cost Analyst Construction Design Services Supervisor Construction Design Technician Construction Director Construction Division President Construction Engineer Construction Estimator Construction Manager Construction Operations Vice President Construction Quality Assurance coordinator Construction Quality Manager Construction Secretary Construction Services Vice President Safety Director Chief Operating Officer Construction Project Manager Account officer Store Managers TOTAL No. of workers 3 3 10 2 5 15 1 1 15 5 3 1 3 3 1 1 3 1 15 4 5 100

CONCLUSION The task of organizing the information in the building field is difficult due to the nonexistence of a national classification system with a general consensus, nor is there anational norm for the classification and organization of this information. As a solution tothis problem, the structure of the existing (hierarchical and facets) classifications wasapproached and the choice was made for the classification by facets. The structure proposed for the organization of the knowledge based on the Document, Processes, Elements and Basic Materials trees for a small building company has enabled the relation to be made among Materials, Services and Suppliers. A real example was used based on the quality documents obtained from one company. Later, other documents used by the company may be included. This will allow for the registration of experiences. The organized and integrated knowledge originated from a classification structure can work as a professional habilitation/updating tool, capable of integrating the knowledge of the area under consideration. Moreover, it can contribute to the strengthening of the technical history of the company and work as a channel to disseminate this knowledge to its collaborators.

RECOMMENDATIONS Having stated that the non-integration of the construction supply chain hinders the creation and improvement of value for money in the construction process.Specifically the recommendations are anchored on collaboration and supply chain management. The recommendations include: Ensuring the early involvement of key project team members that have expert knowledge so that an appropriate level of client satisfaction and value can be defined; Establishing of subcontractor and supplier relationships by selecting teams based on value rather than lowest price; Integrating pre-construction and construction activities and adopting common processes such as ICT; Managing the project parameters of cost, schedule, quality, and H&S in unison; Working together as a team to agree mutual goals and devise dispute resolution mechanisms; Developing and monitoring continuous improvement programmes; Developing and implementing sound risk management processes; Dealing with risks and rewards equitably by using modern commercial arrangements such as collaborative contract forms, target cost and open book accounting; Using non-adversarial forms of contract and ensuring that contractual relationships are appropriate for expected project objectives;

 Using cost-plus and design and build forms on contract and deemphasising the use of management contracting as well as traditional forms of contracting and Mobilising and developing people in order to ensure employee satisfaction through integrated teams.

BIBLIOGRAPHY Hinks, J., Aouad, G., Cooper, R., Sheath, D., Kagioglou, M. and Sexton, M. (1997) IT and The Design and Construction Process: A Conceptual Model of CoMaturation, The international journal of construction IT, July Construct IT report. (1995) Occasional Paper No. 1: A Process-Based Study of an IT Research Work Plan, University of Salford. Hughes, W. (1991) Modelling the Construction Process Using Plans of Work, Construction Project Modelling and Productivity - Proceedings of the International Conference CIB W65, Dubrovnik.Glaser, E.M. & Backer, T.E. (1973). A Look at Participant Observation, Evaluation, 1: 3: 46-49. Banwell, H. (1964) Report of the Committee on the Placing and Management of Contracts for Building and Civil Engineering Works, HMSO. Love, P.E.D., Smith, J., Treloar, G. and Li, H. (2000a). Some empirical observations of service quality in construction. Engineering Construction and Architectural Management