CE 162 FIRST LONG EXAM
CONSTRUCTION
CONSTRUCTION is the largest industry in the
world
PHASES OF THE PROJECT
PROJECT INITIATION PHASE
Feasibility studies, design
development, conceptual planning,
appointing project team
PROJECT PLANNING PHASE
Blueprints, resource plans, financial
plans, contract documents and bids
Can overlap with initiation phase
PROJECT EXECUTION PHASE
Building deliverables, controlling
project delivery, scope, cost, time
Bulk of funds will be used here
Outcome of previous stages
PROJECT CLOSE OUT PHASE
Transition from construction to actual
use
of the project
Documentation, as-built drawings,
operation manuals
MAJOR TYPES OF CONSTRUCTION PROJECTS
RESIDENTIAL HOUSING CONSTRUCTION
- Houses, townhouses, high-rise
apartments, subdivisions
- Arch,Engrs,formal informal
contractors
- Highly COMPETITIVE, HIGH RISK AND
REWAR
INSTITUTIONAL AND COMMERCIAL
BUILDING
CONSTRUCTION
- Schools, hospitals, gov buildings,
sports faci, malls, skyscrapers,
offices, hotels
- SPECIALTY architects and engineers,
contractors subcontractors
- Greater cost and sophistication,
limited to few contractors
SPECIALIZED INDUSTRIAL
CONSTRUCTION
- Oil refineries, steel mills, chemical
processing plants, power plants
- DESIGN-BUILD companies
- Large scale with high degree of
technological complexity, capital
intensive and long construction
periods
INFRASTRUCTURE AND HEAVY
- Highways, stp, irrigation, drainage
- In-house designers, specialty
contractors
- Large scale, high degree of
mechanization, long construction
periods
PARTICIPANTS OF CONSTRUCTION PROJECTS
OWNER/CLIENT
- Finances the project, selects contr.,
des.
DESIGN PROFESSIONALS
- Interpret or assist owner in
developing project scope, budget,
and schedule
- Architects, engrs, design consultants
CONSTRUCTION PROFESSIONALS
- Can be independently hired
- Responsible for constructing projects
PROJECCT MANAGER
- In charge with over all coordination of
the entire construction program
- Design coordination
- Bidding and awarding contracts
- Problem solving, scheduling
- Materials, methods
PROFESSIONAL SERVICES
OWNER/CLIENT
- Financial planning consultants
DESIGN PROFESSIONALS
- Architectural and engineering firm
(A/E)
(Acts as owners representative)
CONSTRUCTION PROFESSIONALS
- Construction firm (Contractor)
(Acts as prime contractor or
general con
- Specialty ccontractor
(electrical, plumbing,
excavation)
- Sub-contractor
(ex. Labor providers, under
gencon)
- Materials and equipment supplier
DESIGN-BUILD
- Minimizes coordination problem
- PHASED CONSTRUCTION
Design, construct design
Process divided into several
phases
- TURNKEY OPERATION
 Owner delegates all
responsibility to design-build firm
PROJECT MANAGER
- Professional construction managers
Manage the entire process of
project
INFRASTRUCTURE FINANCING
BUILD AND TRANSFER
- Mostly applicable only to government
projects
- Paid by owner
- For small to medium projects
BUILD-OPERATE-TRANSFER
- Builder can charge facility users to
recover investment
- After fixed term of operation,
transfers to owner
- Fixed term cannot exceed 50 years
- Roads, mass transportation, power
plants
BUILD-LEASE-TRANSFER
- Common in government facilities with
free services
- Parks, schools, government hospitals
- Builder cannot charge facility users,
so leases facility to government
- After leasing, it is transferred to
government agency
- Fixed term cannot exceed 50 years
LEGAL AND REGULATORY REQUIREMENTS
BUILDING CODES
- Provides minimum design and
construction standards for
architectural, structural, and MEPF
works
- NSCP, NBCP, Fire Code
- DAO 13
PPE (Personal protective
equipment)
Safety-trained personnel
Emergency occupational health
and
personnel and facilities
Construction signage
Provides guidelines governing
occupational
safety and health in the
construction
industry
Aims to protect the welfare of both
the
worker and general public
ZONING REGULATION
- Controls land use, limits size, type,
and density of structures that may be
erected at a particular location
- Residential, commercial, industrial,
recre, agri
ENVIRONMENTAL REGULATION
- Protects the public and the
environment by controlling water
usage, vehicular traffic, waste
disposal, beach/wetland preservation
- Required preparation and approval of
EIA (Environmental impact
assessment)
CONTRACTOR LICENSING LAWS
- Contractors must be accredited with
PCAB (Philippine contractors
accreditation board)
NEW TECHNOLOGIES
- Mechanization, new materials,
internet, design softwares, CAD, GPS
PUBLIC SCRUTINY
- Public annoyance over constructions
near or along busy highways
ENVIRONMENTAL SENSITIVITY
- Impacts of construction activities on
the environment are now closely
examined
- Increased concern on energy
conservation affects choice of
materials
OFF-SHORING
- Foreign-based companies put up
offices in countries where labor is
cheaper
- Saves cost for the company and
providing jobs for locals
ECONOMIC STIMULUS
- Construction is often part of economic
plan to bolster the economy
- It is used to create jobs and diminish
unemployment rate
- Creating sustainable jobs
CHAPTER 2: FUNDAMENTALS OF PROJECT
MANAGEMENT
CATERGORIES OF PROJECT MANAGEMENT
 PROJECT MANAGEMENT FRAMEWORK
- Provides a basic structure for
understanding project management
PROJECT MANAGEMENT CONTEXT
- Describes the environment in which
projects operate
PROJECT MANAGEMENT PROCESSES
- Describes a generalized view of how
various project management
processes commonly interact
PROJECT MANAGEMENT KNOWLEDGE
AREAS
- Describe project management
knowledge and practice in terms of
their component process
LEARNED KNOWLEDGE
HONED KNOWLEDGE
CHARACTERISTICS THAT DEFINE A PROJECT
a defined goal or objective, specific tasks
defined beginning and end, resources
being consumed
PROJECT temporary and unique compared
to an operation which is ongoing and
repetitive, project has a defined beginning
and end, a response to works that cannot e
addressed within the organizations
operational limits
PROJECT MANAGEMENT application of
knowledge, skills, tools, and techniques to
project activities to meet the requirements of
the project. Accomplished through the use of
processes such as initiating, planning,
executing, controlling and closing
PROGRAM group of projects managed in a
coordinated way to obtain benefits not
available from managing them individually
SUBPROJECT projects are frequently divided
into more manageable components or
subprojects. Often contracted to an external
enterprise or another functional unit in an
organization
BASIC APPROACHES IN ORGANIZING
VARIOUS PARTICIPANTS IN A PROJECT
(PROJECT ORGANIZATION)
SEPARATION OF ORGANIZATION
INTEGRATION OF ORGANIZATION
SEPARATION OF ORGANIZATION
1. TRADITIONAL DESIGN-CONSTRUCTION
SEQUENCE
- selection of gencon is through
bidding or
Negotiation
- detailed plans must be completed
first
- automatic for public projects
- unattractive for time is of the
essence
2. PROFESSIONAL CONSTRUCTION
MANAGEMENT
- project manager works with owner
and a/e
- used in very large and complex
projects
- clients who have regular projects
- ex. SM, ayala malls, condominiums
INTEGRATION OF ORGANIZATION
1. OWNER-BUILDER OPERATION
- owner maintains an in-house team
of
personnel that undertakes all
tasks
- owner has maximum control in des
& cons
- only for owner with steady flow of
on-going
Projects
- small commercial like mall tenants
2. TURNKEY OPERATION
- owners delegates all responsibilities
to
outside contractor
- for foreign investors
KEY PROJECT MANAGEMENT SKILLS
1. LEADING
- Establishing direction, aligning people,
motivating and inspiring
- Vs MANAGING: consistently producing
key results expected by stakeholders
2. COMMUNICATING
- Involves the exchange of
communication
- Sender-receiver model, choice of
media, writing style, presentation
techniques, meeting management
principles
3. NEGOTIATING
 - Conferring with others to come to an
agreement
4. PROBLEM SOLVING
- Involves combination of problem
definition and decision-making
- PROBLEM DEFINITION: distinguishing
between cause and symptom
- DECISION MAKING: analysing the
problem to identify solutions, making a
choice
5. INFLUENCING THE ORGANIATION
- Ability to get things done,
understanding of mechanics of power
and politics
PROJECT MANAGEMENT PROCESS GROUPS
1. INITIATING
- Authorizing the project of phase
2. PLANNING
- Defining and refining objectives and
selecting the best alternative courses
of action to attain obectives
3. EXECUTING
- Coordinating people and other
resources to carry out the plan
4. CONTROLLING
- Ensuring the project objectives are met
by monitoring and measuring progress
regularly
5. CLOSING
- Formalizing acceptance of the project
or phase and bringing it to an orderly
end
PROJECT MANAGEMENT KNOWLEDGE AREAS
1) PROJECT INTEGRATION MANAGEMENT
a) Project plan development
b) Project plan execution carrying out
the plan
c) Integrated change control
coordinating changes across entire
project
2) PROJECT SCOPE MANAGEMENT
- includes the processes required to
ensure that the project includes all the
work required to complete
a) Initiation authorizing project or
phase
b) Scope planning developing a written
scope statement as the basis for
future project decisions
c) Scope definition subdividing the
major project deliverables into
smaller, more manageable
components
d) Scope verification formalizing
acceptance of the project scope by the
stakeholders
e) Scope change control controlling
changes to project scope
3) PROJECT TIME MANAGEMENT
- includes the processes required to
ensure timely completion of the project
a) Activity definition identifying the
specific activities that must be
performed to produce the various
project deliverables
b) Activity sequencing identifying and
documenting interactivity
dependencies
c) Activity duration estimating
estimating the number of work periods
that will be needed to complete
individual activities
d) Schedule development analysing
activity sequences, activity durations,
and resource requirements to create
the project schedule
e) Schedule control controlling changes
to project schedule
4) PROJECT COST MANAGEMENT
- includes the processes required to
ensure that the project is completed
within the approved budget. It is
concerned with the cost of resources
needed to complete project activities
a) Resource planning determining what
resources and what quantities of each
should be used to perform project
activities
b) Cost estimating developing an
approximation of the cost of resources
needed to complete project activities
c) Cost budgeting allocating the overall
cost estimate to individual work
activities
d) Cost control controlling changes to
project budget
5) PROJECT QUALITY MANAGEMENT
- includes the processes required to
ensure that the project will satisfy the
needs for which it was undertaken
a) Quality planning identifying which
quality standards are relevant to the
 project and determining how to satisfy
them
b) Quality assurance evaluating overall
project performance on a regular basis
to provide confidence that the project
will satisfy the relevant quality
standards
c) Quality control monitoring specific
project results to determine if they
comply with relevant quality standards
and identifying ways to eliminate
causes of unsatisfactory performance
6) PROJECT HUMAN RESOURCE
MANAGEMENT
- includes the processes required to make
the most effective use of the people
involved with the project
a) Organizational planning identifying,
documenting and assigning project
roles, responsibilities, and reporting
relationships
b) Staff acquisition getting the human
resources needed assigned to and
working on the project
c) Team development developing
individual and group competencies to
enhance project performance
7) PROJECT COMMUNICATIONS MANAGEMENT
- includes the processes required to
ensure timely and appropriate
generation, collection, dissemination,
storage, and ultimate disposition of
project information
a) Communications planning
determining the information and
communications needs of the
stakeholders: who needs what
information, when they will need it,
and how it will be given to them
b) Information distribution making
needed information available to
project stakeholders in a timely
manner
c) Performance reporting collecting and
disseminating performance
information
d) Administrative closure = generating,
gathering, and disseminating
information to formalize a phase or
project completion
8) PROJECT RISK MANAGEMENT
- systematic process of identifying,
analysing and responding to project risk.
It includes maximizing the probability and
consequences of positive events and
minimizing the probability and
consequences of adverse events to
project objectives
- Project risk: an uncertain event or
condition that, if
It occurs, has a positive of negative effect
on the
project objective
a) Risk management planning deciding
how to approach and plan the risk
management activities for a project
b) Risk identification determining which
risks might affect the project and
documenting their characteristics
c) Qualitative risk analysis performing a
qualitative analysis of risks and
conditions to prioritize their effects for
project objectives
d) Quantitative risk analysis measuring
the probability and consequences of
risks and estimating their implications
for project objectives
e) Risk response planning developing
procedures and techniques to enhance
opportunities and reduce threats to
the projects objectives
f) Risk monitoring and control
monitoring residual risks, identifying
new risks, executing risk reduction
plans, and evaluating their
effectiveness throughout the project
life cycle
9) PROJECT PROCUREMENT MANAGEMENT
- includes the processes required to
acquire goods and services, to attain
project scope, from outside the
performing organization
a) Procurement planning determining
what to procure and when
b) Solicitation planning documenting
product requirements and identifying
potential sources
c) Solicitation obtaining quotations,
bids, or proposals
d) Source selection choosing from
among potential sellers
e) Contract administration managing
the relationship with the seller
 f) Contract closeout completion and
settlement of the contract, including
resolution of any open items
10) PROJECT STAKEHOLDER MANAGEMENT
- includes the processes required to
acquire goods and services to attain
project scope, from outside the
performing organization
a) Stakeholder identification identifying
everyone affected by the work or
project outcomes
b) Stakeholder management planning
deciding how you will engage with the
stakeholders identified
c) Managing stakeholder engagement
communicating with stakeholders and
ensuring appropriate engagement
levels
d) Stakeholder engagement control
monitoring relationship with
stakeholders and adjusting
communication as needed as
requirements change
SCOPE OF PROJECT MANAGEMENT SERVICES
PRE-CONSTRUCTION
- Consultants selection, inputs on
conceptual design and criteria,
Feasibility study assistance, Project
schedules, Project budgets,
Contractors selection, Value
engineering
CONSTRUCTION
- Construction supervision, progress
monitoring and reporting, project
coordination, quality control,
technical resolution, value
engineering, safety implementation,
materials and records management
POST-CONSTRUCTION
- Project completion activities, as-built
drawings and government clearance,
operation/start-up activities,
maintenance personnel orientation,
final project report, account cose-out