Question No. 1 (Q no.

3 of assignment):
Assess and justify the relative importance procurement
versus other Project Management areas/dimensions that affect project
outcomes.
Answer:
Construction management is the managing the project’s elements like scheduling,
cost handling, quality of project, safety of the structure and the workers, delivery on time and
maintenance etc. A better construction management adds to the success of a project and hence,
the satisfaction of the owner is achieved. Main parties involved in a project are:

 The client or the owner who finance the project and own the project after its completion
 Engineers team who design a project
 The contractors who build and do the maintenance as per the agreement signed

The success of a project is achieved through a best coordination between these parties. The
contractor in the form of a company having the team who can implement the project as designed
by the engineers, is selected by a bid process. There are three main bid processes namely Low-
bid selection, Best Value selection and Qualification based selection. Low bid selection is besed
on the lowest possible cost of the project offered by the companies. Best Value selection is
focused on both the cost and qualification or capability of the contractors submitting the bids
while Qualification based selection is all about the qualification of the contractors. The final
selection of the contracting company is done by the client or the owner of the project. Then there
are Open bid and the closed one. Open bid is for the public projects and all the companies are
invited to submit their bids while Closed bid for the private projects where only few contractors
submit the bids.

Main steps involved in a project such as, feasibility report preparation, designing the project,
Construction based on the design, delivery and the operation. The pre-construction phase
involves one of the most important stage named Procurement.

What is Procurement?
Procurement is the purchasing of material, tools and the workers by the contractors. This is done
when construction is about to begin. Best procurement is done when all the things are purchased
at the lowest price without compromising on the quality of the goods and the labor. Procurement
is done keeping in mind the factors like time, cost, market strategies and location of the project.

Importance of Construction
Construction industry is one of the most important part of the economy of a country. This
industry links other sub industries like cement industry, steel manufacturing, bricks kilns, glass
industry and many more. This provides employment opportunities to the skilled and non-skilled
labor thereby facilitating them to earn a good livelihood.

Traditional methods of procurement are not so much valid anymore and problematic in the
performance of the projects and its overall success. Performance of the project is mainly
focussed on three factors which are time, cost and quality. Procurement has direct impact on all
of these performance issues. A project best in quality, delivered on time and being within the
cost limits is supposed to be a successful project. These three issues are categorized in the
traditional performance criteria but there are some other factors too recently added to judge the
overall success. These are safety, environmental hazards, client’s satisfaction and innovative
techniques being employed.

Now will consider the different options or factors involved in procurement and their effect on the
performance. Following are the procurement factors and the possible impacts:

Design Phase
Project is carried out being within the cost constraints and delivered on time is mainly dependent
on the design. A poor and inappropriate design causes a delay and the project’s cost is also
exceeded. Also the project owner’s satisfaction is not achieved either. A good design which is
capable to be constructed on the ground saves money and time. Such a design possesses the
doable plans, drawings and standard materials which are cost effective and available in the
market too. This design has all the details needed by the contractor and the client at any stage of
the project. In design-bid-build contracts, client’s team performs all the design along with the
consultant and finalize through collaborative efforts. Once the design has been finalized, bid is
started and contractors are hired. In design-build contracts however, contractors are hired just
after the drawings have been made and some of the detail of the project is done. Then contractors
do a detailed design work and construct the project the project accordingly. A contractor design
is more helpful in the implementation as the same company and team of engineers do the design
and construct it. But there is no choices and desires of the owner of the project included in this
type of design and this is major demerit of this contract type. In both of these contract types,
either only the client is involved in the design or the contractor alone. So as such there is no
coordination between the two parties of the project in design process.

However there is another type where both the client and the contractor are involved in design and
cooperatively carry out the design. In this way, construction is done which brings satisfaction to
both the contractor and the client.

The design-bid-build contract where design and the construction are carried out by client and the
contractor separately results in problems which have diverse effects on the project performance
factors. A low cost, delayed and quality compromised project is handed over to the client
resulting in failure of success achievement in the end. No innovative techniques can be employed
and the environmental hazards possibly take place. Such a project can never be maintained and
operated well during its life cycle.

Better cooperation between the client and the contractor brings about

a. Cost effectiveness in the project implementation

b. Timely delivered
c. No compromise on the quality
d. Minimum effects on the environment
e. More effective use of innovative techniques and the new machines

Bidding Phase
In Public projects bid invitations are for all the companies and when a large number of
contractors submit the bids so there is more competition and hence a quality project is achieved
being within the cost constraints and the delivery is ensured to be in time. But there is a
disadvantage too which results in weaker relations between the owner and the contractors due to
shortening in the partnership.

While in the private projects, only a few contractors are invited to submit the bids to avoid the
time wastage. Sometimes the owner only starts dialogues regarding the project with only one or
two companies thereby completing the bid phase instantly. Such a bidding method is more
focused on the project performance factors like time, money, quality, environmental impacts and
use of innovations and hence resulting in successful project delivery and operations.

Following are the achievements made when only a small number of companies are invited to
submit the bids:

a. More focus on the cost of the project

b. Delivery on time
c. Quality standard structures
d. No hazardous impacts on the environment
e. Use of innovative techniques
f. Strong relationship building between the client and the contractor

Sub-Contractors’ Selection
Sub-contractors selection is one of the most important factors involved in the project. Most of the
cost of the project is for the procurement of material, machinery and the labor. These things are
procured mostly by the sub-contractors which affect the project performance the most. Main
contractor hires the sub-contractor and sometimes this is done by the client. While sometimes
both the parties jointly hire them which results in better achievement of project performance
indicators. Involvement of client in procuring the sub-contractors results in the overall success of
the project.

Compensation Form and Performance Evaluation are also very important factors which have
high influence on achieving project performance indicators.

There are many other management areas too other than procurement which highly influence the
outcomes of a project. We will discuss all the ten management areas other procurement one by
one as under:

1. Project Management Integration

Integrating or combining all the project activities necessary to define, elaborate, combine, and
unify the processes involved in implementing the project comes under term Project Management
Integration (PMI). Thus Project manager mainly focuses on the cooperative measures to be taken
to keep the project going on effectively. Teamwork is an important thing to bring about the
integration of all the activities and the prime responsibility is of the Project Manager.

2. Project Scope Management

Project scope management is another important management aspect which needs to be addressed
in order to achive the project goals. Scope management is about preparing the documents of
work to be done and the lists of project deliverables.

3. Project Time Management

One of the most important project performance indicators is the time. Most of projects are not
completed and delivered in time because of the negligence committed by the project
management team. Following are the six important processes which if carried out perfectly, the
project can be completed in time:

i. Activities are well defined

ii. Order of the activities should be correct
iii. Resources needed should be well detailed
iv. Time should be well estimated
v. Schedule preparation
vi. Controlling and following the schedule

4. Project Cost Management

This is also the one of the most important performance criteria for the success of a project. Cost
management is achieved when the project manager is fully committed along with his team to
perform all the activities in time in collaboration with engineers and all the labor. Sub-processes
involved in managing the cost are:

i. Cost estimation
ii. Budget determination
iii. Effectively controlling the cost
5. Project Quality Management
Quality is the main goal of the project and its deliverance in time and within cost brings about
client’s satisfaction.

6. Other project management areas involve the following

7. Project Human Resource Management
8. Project Communication Management
9. Project Risk Management
10. Project’s Stakeholder Management

References:
 Ai Lin, T. E., Ling, F. Y. & Chong, A. (2005). Framework for Project Managers to
Manage Construction Safety; International Journal of Project Management. 23, 329-341

 Sarmad H. (2017). Project Management: PMBoK Knowledge Areas: 9 Must Know

Aspects Related to PM. Retrieved 06/11/2019, from https://blog.taskque.com/pmbok-
knowledge-areas/

 PER, E.E. & MATS, W. (2008). EFFECTS OF PROCUREMENT ON

CONSTRUCTION PROJECT PERFORMANCE; Division of Entrepreneurship and
Industrial Organisation. 10, 1-23
Question No. 2 (Q no. 4 of assignment):
Assess the extent of congruence of theory and practice
in other Project Management areas/dimensions and comment, in a
critical way, on how far away you think the Project Management
Discipline is from a Project Management Body of Scientific Knowledge.
Answer:
1. Extent of Theory
The theoretically declaration of project management does not contribute to the research politics,
especially in relation to research funding. Even the exact theory will leave some key questions
that cannot be answered. There is a similar problem in the general field of management research
- one theory cannot explain all the behaviors in a complex organizational environment. Creates
and tests management researchers that correspond to specific problems and integrates them into
the future. We believe that different types of theory have different properties, and we should
clearly understand another for Turner's method. Many of his theories appear to work more or less
in the areas where they are involved, but they have little relevance to many other theories. The
advantage of limited development theory is that they are not confused and merged by dealing
with many variables. It is easier to study phenomena and theories in a restricted area.

The empirical theory has added benefits based on actual behavior rather than ideal behavior. It
encourages cumulative research that promotes and extends the development of our knowledge
and modifies the original theory. Therefore, in the case of group performance, the group target of
additional research is the group process. Clear research questions include the type of process that
allows the best members to identify and accept, and the processes that hinder this. We believe
that when we hear researchers about the lack of theory in project management, they require to
some extent develop and use the explanatory and projected theories we have set out (Bolooki and
Bridge 2007).

Some of the advantages to are as follows:

 Firstly, we can study whether the theory or hypothesis of the theory was invalid or
incomplete by other theories, and we must accept its validity. Here, we compare different
theories and work primarily in the theoretical area.
 Secondly, we can look at anomalies observed by students or unexpected results by
exploring methods based on this theory. In this case, our source of evidence is the contact
 between theory and life of experience. Please note that these tests have different
advantages and disadvantages.
The comparison of theories depends on the existence of alternative theories. If the problem is a
real scientific experiment, the test of empirical validity is a powerful test. In management
science, it must often be met from the case. However, these tests (notably their combined results)
indicate that there is a certain degree of adequacy.

Therefore, I fully agree with Turner's theoretical importance. However, it is believed that the
types of theory are different, and the experience of management research often indicates that
positive research rather than normative research is unlikely to develop one theory. Instead, it will
be easier to develop some of the more restrictive theories. Moreover, practice has mechanisms to
deal with the limited guidance obtained from positive theory.

2. Differences between Project Management Discipline and Project

Management Scientific Body of Knowledge
As the Project Management Scientific Body (PMBOK) is a high level document designed to
cover all possibilities, the risk analysis methods discussed in PMBOK may be applicable to
penetration test indicators or may not be applicable to \ t with penetration test indicators,
depending on tests during the project.

(Bolooki and Bridge 2007) declared only 38% of respondents used the PMBOK Guide as the
basis for their company's PM program, the majority of respondents (over 90%) are familiar with
the process outlined in the guidance. In addition, no rare processes or peripheral processes (Class
B) or excessive processes (Class D) were identified. Specifically, each process is recognized as
the main (Class A) or main selection process (Class C). On this basis, the guidance process
appears to have broad applicability, and at least there is a clear and positive relationship between
these processes and the success level of the project.

However, the results show that understanding the scope and value of these guidelines and
incorporating these processes into the project itself is insufficient to ensure the success of the
project. This involves a further seven major determinants of the success of the project (the
company's project handling process, the leadership of project managers; teamwork; the project
manager's technical background; senior management; understanding; 'the project environment,
and the lessons learned data, facilitated the development of previous projects, which are key
determinants of the implementation of the project process and are therefore key determinants of
the success of the project. In addition, the recommendation for accurate and timely
communication is the basis for the other seven major factors identified in the literature (Wells
2012).

It cannot be considered any peripheral process to be eliminated from the guide. Specifically, all
processes are identified as critical day-to-day processes or as key selection processes and are
directly aligned with the success of the project. However, the results also show that other major
factors of causal knowledge (knowing why) are equally important determinants of the success of
the project. The conclusion is that assurance information, procedure and causation are valuable,
and because of the advantages of the first two types of information, there is an urgent need to
ensure that fair information is sought fairly. The positive theory of production and economics
appears to be a good starting point in the development of causal knowledge (Koskela and Howell
2002).

3. Theory of Planning
One of the key failures in application network technology is the inability to exploit the dynamic
potential of these processes. However, the original plans and plan details are usually generated
only. After obsolescence, they continue to cover the walls of the office, with little similarity to
current work schedules.

4. Theory of Execution
The practices recommended have a secondary and varied role to project management methods in
practice compared to prescriptions. Among the projects studied is the basis for the main part of
the decision. Financial performance data has complementary capabilities, such as confirmation
that work is done by other means and providing statistics on completed work that can be used for
future projects. This reflects the lack of learning in the thermostat model: it is easier, quicker,
and more pilgrim to reflect directly on trends in the execution of tasks and understand why it is
compared to performance metrics (Rose 2013).

5. Theory of Control
Controls advanced by project management agencies in relation to body of scientific knowledge
have a secondary and different role to the actual management of the project (Koskela and Howell
2002). Among the projects studied is the basis for the main part of the decision. Financial
performance data has complementary capabilities, such as confirmation that work is done by
other means and providing statistics on completed work that can be used for future projects. This
reflects the lack of learning in the thermostat model: it is easier, quicker, and more pilgrim to
reflect directly on trends in the execution of tasks and understand why it is compared to
performance metrics.

6. Theory of Project
The main difference between the perspective of the transformation of scientific knowledge on
project management and the real outlook on value management of project management is that the
second concept involves the customer. The transformational view assumes that the needs of
customers are from the outset and can be broken down into work, and value generation ideas
recognize that customer needs are not always available or difficult to understand, and it is a
challenge to assign requirements to parts of different products.

The opinion on value generation explains the third goal of project management and achieves
business goals. For example, principles of rigorous analysis of demand and systemic demand
streams are recommended. Again, the recipe is very different compared to the conversion view,
which assumes more or less demand.

7. Discussion
It is no debate to declare that there is a crisis in project management and that it must implement
paradigm changes that should be made long ago. The focus of this paper is to propose a new
project management theory. However, novel theories are more powerful or complementary to
basic implied theories, they provide instructions for new theoretical foundations, and can be used
to update project management methodologies. There are two ways of making progress. Initially
based on new operational management theory, new project management methods can be
developed and piloted. Secondly, high practices can be consolidated and theoretically explained
(discouraging current teaching), leading to a new understanding of practice and which can be
further refined.

8. Conclusions
We present empirical evidence and theoretical explanations, demonstrating that the current
theory of project management has serious flaws in theory. Firstly, it is based on a misconception
about the nature of the project's work and a lack of definition of planning, execution and control.
Secondly, the theoretical base is understandable. These shortcomings can be attributed to three
types of problems.

Firstly, the target set by project management is not yet: its implementation is unsatisfactory. In
small, simple and slow projects, questions relating to theory can be resolved informally without
further penalties. However, in today's large and complex projects, traditional project
management cannot be counter-productive. It can create problems that are of interest to itself,
which can have a significant impact on performance.

The lack of theory secondly, makes it more difficult in education and training and hinders
effective project management specialization. Lack of theory, project management cannot be
proposed, and there will be no permanent and respectful position in higher education institutions.
In addition, the lack of explanation of project management providing the theory delays the
dissemination of project management methods.

The lack of theory inhibits the renewal of project management is the third in list. The
management of the project has seen anomalies, that is, trends from the theoretical projections,
but a misconception of the reasons, and the project management community has not taken any
action against it. From a research or practical point of view, the important functions of the
ongoing validation test and the theory of the way for further development have not yet been
achieved.

References:
 Bolooki, F. and A. Bridge (2007). "The guide to the project management body of knowledge
(PMBOK Guide): applicability and contribution to project success in Australia."

 Koskela, L. and G. Howell (2002). The underlying theory of project management is

obsolete. Proceedings of the PMI Research Conference, PMI.

 Rose, K. H. (2013). "A Guide to the Project Management Body of Knowledge (PMBOK®
Guide)—Fifth Edition." Project management journal 44(3): e1-e1.

 Wells, H. (2012). "How effective are project management methodologies? An explorative

evaluation of their benefits in practice." Project management journal 43(6): 43-58.