PROJECT

AND
CONSTRUCTION
MANAGEMENT

15ARC8.6
PROJECT STAGES AND CONSTRUCTION PROJECT
MANAGEMENT
CONSTRUCTION ORGANISATION
PRINCIPLES AND OBJECTIVES OF PROJECT MANAGEMENT
Project Management aims to achieve the stated goals of the
project by virtue of :
PLANNING: CONTROLLING:
-Setting Objectives - Measuring achievement of
goals
- Identifying resources
- Reporting
- Forming strategy - Resolving problems

EXECUTING:
TECHNICAL AND HUMAN
- Allocation of Resources RESOURCES
- Guiding execution
- Coordinating efforts
- Motivating the staff.
PRINCIPLES AND OBJECTIVES OF PROJECT MANAGEMENT
PRINCIPLES AND OBJECTIVES OF PROJECT MANAGEMENT
On every project, there is an intrinsic relationship between Scope and the triple
constraints of Quality, Time, and Cost. These combined four items are
sometimes referred to as a project’s “golden triangle.” They are also known as
the four “what’s” of a project: 1) What are you tasked with building; 2) What level
of quality it needs to be built to; 3) What time frame do you have to deliver to;
and, 4) What cost constraints are you to build within?

SCOPE
 In simple terms, Scope is what you and your project team are ultimately
going to produce and deliver at the end of the project. It is sometimes called
“the deliverable” of the project, and it includes all the various product bits and
pieces, assembled together, and containing all the required features and
functions that were defined and documented during the early phases of your
project. Scope also requires all the supporting project functions and efforts
required to organize, oversee, and support the development of the
deliverable.
 However there are always constraints, or boundary conditions, that are
placed on you when organizing and planning the delivery of the scope. In
fact, there are three primary categories of these, and they’re often referred to
in PM parlance as the “triple constraints,” or sometimes as the “golden
triangle” of project management.
PRINCIPLES AND OBJECTIVES OF PROJECT MANAGEMENT
THE TRIPLE CONSTRAINTS:
 TIME
 COST
 QUALITY

Every project is different, but they all have scope and constraints. Further, the
interactions between these four things are similar between projects, large and
small.
One of the responsibilities as a project manager is to define the four
foundational components of the project (Scope + the triple constraints of Quality,
Time, and Cost) at the start of the project, document them, and then do your
best to hold them all fixed throughout the life of the project—but when pressure
is applied to one or more aspects of triangle, keep in mind which of the four are
more important than the others.
Above all, clearly and fully communicate to your customer, sponsor, and other
key stakeholders what trade-offs and changes need to take place.
PRINCIPLES AND OBJECTIVES OF PROJECT MANAGEMENT
PRINCIPLES AND OBJECTIVES OF PROJECT MANAGEMENT
NEED OF CONSTRUCTION PROJECT MANAGEMENT - Construction
industry exhibits cost overruns
- Time extensions
- Conflicts among parties.

CHALLENGES OF CONSTRUCTION INDUSTRY:

- Every project is Unique
- Many conflicting parties are involved
- Constrained by time , money and quality
- High risk

*CONSTRUCTION PROJECT MANAGEMENT

IS A PRODUCT –BASED APPROACH
PRINCIPLES AND OBJECTIVES OF PROJECT MANAGEMENT
Characteristics of Construction Project from Project management Stance:
- A defined Goal –set by the owner, and established by project team.
- Set of Objectives
- Specific tasks to be performed
- Resources being consumed (Time, money, labour, equipment, and
materials)
STATING THE GOAL:
- Why you’re doing this project?
- What you hope to accomplish at the end?
• Writing a goal statement helps you stay focusses on the project from the
beginning.
STATE THE SCOPE
- How long the project will run to achieve the goal?
- What a project will involve & what it will not involve
• SCOPE includes: 1. BUDGET, 2. PLAYERS, 3. TIMEFRAME, 4
DELIVERABLES .
• Not the details but contains the key parameters.
CONSTRUCTION PROJECT LIFECYCLE
STUDY AREAS IN PROJECT MANAGEMENT
Role of the Knowledge Areas
The 47 project management processes identified in the PMBOK®
Guide are further grouped into ten separate Knowledge Areas.
A Knowledge Area represents a complete set of concepts, terms, and
activities that make up a professional field, project management field,
or area of specialization.
These ten Knowledge Areas are used on most projects most of the
time. Project teams should utilize these ten Knowledge Areas and other
Knowledge Areas, as appropriate, for their specific project.
The Knowledge Areas are:
Project Integration Management, Project Scope Management,
Project Time Management, Project Quality Management, Project
Human Resource Management, Project Communications
Management, Project Risk Management, Project Procurement
Management and Project Stakeholder Management.
TYPES OF CONSTRUCTION PROJECTS
Why variation?
Variations of projects are demand based, but why in CPM?
Because approaches to managing projects are different from the three following
criteria
1. Procuring professional services
2. Awarding construction contracts
3. Financing constructed facility

TYPES
1. Residential/ housing construction
2. Institutional/ commercial building construction
3. Specialized industrial construction
4. Infrastructure/ heavy construction

 Residential/ housing construction

Economies of residential housing market
- Heavily affected by general economic conditions
- Slight increase in demand—brings substantial investment in construction (because
projects can be started at different locations by different individuals and
developers at the same time)
- Relative easy entry to the market (attracts many)
- Highly competitive market with
- potentially high risks as well as high rewards
  Institutional/ commercial building construction
- Demand is less sensitive to economic conditions compared to housing
- Higher costs & greater sophistication compared to residential/ housing const
- Time taking
- Fewer competitors

 Specialized industrial construction

 Large scale projects with technological complexities
 (oil refineries, steel mills, chemical processing plants, coal-fired, nuclear power plants,
and so on)
- Need of experience/ background of all players
- Specialized owners (usually owners have full knowledge)
- High level of coordination and management required

 Economies: Long-range demand forecasting is very important as projects

- are capital intensive
- require considerable amount of planning
- construction time
- Governmental regulation (eg. Env. protection)/ politics influence decisions on taking up
these projects
  Infrastructure/ heavy construction
Various segment types
 Highways, tunnels, bridges, pipelines, drainage systems and sewage treatment plants
- Comes through infrastructure sector (public)
- Publicly owned (financing through bonds and taxes)
- High degree of mechanization (machine skills), which replaces labor operations
- Engineers, builders, contractors engaged are highly specialized in their areas—
engineers/ contactors dealing with highways (a segment type) do not take up tunnels/
bridges types
- Segmental shift is market driven. So is the work force.
CONSTRUCTION ORGANISATION:
Types of construction firms/ companies
 Sole Proprietorship
 Partnership
 Corporation
 LLC
 Private Limited Company
 Public Limited Company
 Government Enterprises
 Joint Ventures.
CONSTRUCTION ORGANISATION:
Organizational Cultures and Styles
Organizations are systematic arrangements of entities (persons and/or departments) aimed
at accomplishing a purpose, which may involve undertaking projects. An organization’s
culture and style affect how it conducts projects.
Cultures and styles are group phenomena known as cultural norms, which develop over
time. The norms include established approaches to initiating and planning projects, the
means considered acceptable for getting the work done, and recognized authorities who
make or influence decisions.
Organizational culture is shaped by the common experiences of members of the
organization and most organizations have developed unique cultures over time by practice
and common usage. Common experiences include, but are not limited to:

• Shared visions, mission, values, beliefs, and expectations;

• Regulations, policies, methods, and procedures;
• Motivation and reward systems;
• Risk tolerance;
• View of leadership, hierarchy, and authority relationships;
• Code of conduct, work ethic, and work hours; and
• Operating environments.
CONSTRUCTION ORGANISATION:
Project Organization Structures:
 Military or Line type
 Line and Staff
 Departmental
CONSTRUCTION ORGANISATION:
Organizations Types:
 Functional
 Projectized
 Matrix
CONSTRUCTION ORGANISATION:
CONSTRUCTION ORGANISATION:
CONSTRUCTION ORGANISATION:
CONSTRUCTION ORGANISATION:
 ROLES OF THE PLAYERS
Owner/ clients/ prime contractor (GC)
Individual/ Gr of individuals/ Org/ Consortium between Org
and individual—for whom a project is to be built under a
contract
Responsible for project finances (partly/ fully)
Responsible for engaging professionals for
- Finances and support mechanism/ audit (financial
analysis/ manager)
- Project planning (Architects/ planners)
- Project management (Proj. managers)
- Design &engineering (Consultants/ Design
coordinators)
- Procurement& construction(CPM/ Contractors)

Public owners—public bodies

Private owners—individuals, partnerships, or corporations
Public-private partnership/ joint venture
Role
- Define clear and accurate projects objectives
- Outline balance among project- scopes, budget, and
schedule
Design professionals
ARCHITECT
Plans and design buildings integrated with bldg.
services. and associated landscaping works
Works with engineers for structural (incl. site
supervision),electrical, and mechanical work,
estimator, spec writer, etc.

ENGINEER
Civil/ geotechnical, electrical, mechanical
Engaged in designs/ other works associated
with construction (eg. scheduling, estimating,
and costing)

CONSTRUCTION PROFESSIONALS/ LABORS

Responsible for constructing the project
ROLES OF THE PLAYERS
ROLE OF CLIENT
ROLES OF THE PLAYERS

Project Manager/ GC
Responsible for overall coordination of the entire construction program on behalf of the
owner

- Understand goals and objective of the project

- Investigate alternative solutions to the problems
- Project planning/ design, procurement, & construction
- Develop a detailed plan to make the selected program reality
- Implement the plan
- Control the project

Construction project manager

Administrates the on-site erection activities
Offers consultations from
- Planning through design
- Construction to commissioning
(Majorly from the project construction stance)

Responsibilities
- Design coordination
- Material selection
- Construction method selection
- Contract preparation
- Costing and scheduling
Construction site supervision
ROLES OF THE PLAYERS
ROLE OF CONSULTANT
ROLES OF THE PLAYERS
ROLE OF CONSULTANT
Prime consultant
May co-opt several co-consultants for each discipline of work. (architectural services,
structural work, electrical etc.)
The prime consultant ensures coordination among various co-consultants to maintain
integrity of the project and to ensure harmony in approach and designs.
- Initially Client hires a consultant – to prepare feasibility report and detailed project
report (may render consultancy for project as a whole)
- Alternatively other consultant may be selected

Consultant’s role
- Not limited to planning and design of project works.
- He and his team should be actively involved to oversee the implementation phase,
construction supervision and quality control.
- Schedule control and cost control
- He should verify ,certify periodic payments to be made to the contractor as per terms of
works agreement.
- Progress monitoring based on targeted and achieved and discover causes of
variances.
- Suggest remedial measures to compensate overruns to the possible extend.
- Function efficiently, act impartially, and professionally and promote congenial
relationship between the client and the contractor.

Selection of consultant
- Advertisement: prequalification and functional criteria.
- NOT ON LEAST COST OPTION
- Consider the reputation, commitment, rigour and performance
- Standard practice to employ proof consultant.
ROLES OF THE PLAYERS
ROLE OF CONTRACTOR

- Successful completion of project.

- Mobilize adequate number of skilled workers, and essential construction
machinery.
- Site organization to manage the work
- Should have quality circles to ensure adherence and conformity to quality
standards.
- Should have at least 20-30% of the value of works as his capital for the
contracting business.
ETHICS IN CONSTRUCTION INDUSTRY
Ethical Practice
1. Construction Managers should be guided in all their relationships by the
highest standards of integrity and honesty.
2. Construction Managers should conduct themselves honorably, responsibly,
ethically, and lawfully so as to enhance the honor, reputation and value of the
profession.
3. Construction Managers should avoid conduct or practices that deceive the
public or represent a real or perceived conflict of interest.
4. Construction Managers should respect the rights of others and should not
discriminate on the basis of race, color, gender, marital status, religion, national
origin, age, disability, or sexual orientation nor knowingly violate any law, statute,
or regulation in the performance of professional services. Construction managers
should strive to create a diverse workforce.
5. Construction Managers should have a zero-tolerance policy for any form of
harassment including sexual harassment and bullying.
ETHICS IN CONSTRUCTION INDUSTRY
Professional Excellence
6. Construction Managers should perform services only within their areas of
competence and qualification.
7. Construction Managers should contribute to the advancement of the program,
project, and construction management profession by using best practices,
continuing their professional education, and contributing to the development of
the future workforce.
Responsibility to the Public
8. Construction Managers should hold paramount the health, safety, and welfare
of the workplace and the public.
9. Construction Managers should guide and aid in defining and meeting
objectives for environmental sustainability and resiliency throughout a project’s
life cycle.
Client-Centered Practice
10. Construction Managers should ethically represent the best interests of the
owner or client, as consistent with this code