Arab Academy for Science, Technology & Maritime Transport

INTRODUCTION TO CONSTRUCTION MANAGEMENT

CB 311

Weeks: 1, 2, 3

13-3-2021

‫ طارق محمود عطيــة‬.‫د‬.‫أ‬

Prof. Tarek Attia
Feb. 2021
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Week 1 & 2
Instructor Profile

•Tarek Attia Bayoumy, Ph.D., Construction Engineering &

Management (North Carolina State University, USA).

•BS, MS Civil Engineering (1984, 1991), Cairo University.

•PMP since 2006, Senior PMO Consultant

•Current: Professor: Director of Construction Engineering and

Management Research Institute - HBRC, Housing and Building
National Research Center,
amokhtarpmp@gmail.com 3

•Project Management Consultant: Egypt, Saudi Arabia

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Introduction
Construction as an industry comprises 6-9% of the gross
domestic product of developed countries.
.‫ من الناتج المحلي اإلجمالي للدول المتقدمة‬٪9-6 ‫يشكل البناء كصناعة‬

Gross domestic product of the construction sector in Saudi

Arabia from 2011 to 2017 (in million Saudi riyals)
GDP from Construction in Egypt?
Year 2020
Projects vs. Operations
‫مقارنة بين المشاريع والعمليات‬
 Organizations conduct business through:
Projects and Operations.
Banks (80% Operations, 20% Projects)
Vs.
Construction Company (80% projects, 20% Operations)

List the differences between projects and operations?

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What is a Project?
A Project is:
• a temporary ‫ مؤقت‬endeavor ) ‫ (مجهود لفترة مؤقتة‬.
• undertaken to create a unique product, service,
or result.) ‫(تم التعهد بها النشاء منتج أو خدمة أو نتيجة فريدة‬

The temporary nature of projects indicates a definite

beginning and end. Temporary does not necessarily
mean short in duration.
* Progressive elaboration ) ‫(المجهود المتزايد في التفاصيل‬
involves continuously improving and detailing a plan as
more-detailed and specific information and more
accurate estimates become available.
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Projects vs. Operational Work
They share many of the
following characteristics:
• Performed by people
• Limited by constraints
(e.g. resources)
• Planned, executed, and
controlled.
• Performed to achieve
organizational objectives
or strategic plans.
They differ primarily in
that:
• Operations are ongoing
and repetitive) ‫(تكرار‬,
while projects are
temporary and unique.
• Operation purpose is to
sustain)‫ (استمرار‬business
while project purpose is to
attain) ‫ (تحقيق‬objectives.
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 What is a Program?

• DEFINITION: A program is:

– “a group of related projects managed in a coordinated
way to obtain benefits and control not available from
managing them individually.”*

‫"مجموعة من المشروعات المتصلة التي يتم إدارتها بطريقة منسقة‬

."‫للحصول على منافع غير متوفرة من خالل إدارتها بشكل فردي‬

A program manager provides leadership and direction for the project managers
heading the projects within the program.

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Construction Activities

Any combination of engineering, procurement, erection, installation, assembly, or

fabrication activities involved in creating a new facility or altering, adding to, or
rehabilitating an existing facility. It also includes the alteration and repair
(including dredging, excavating and painting) of buildings, structures, or other
real property, as well as any construction and excavation activities conducted as
part of environmental remediation efforts. Projects defined as maintenance
projects may be considered construction projects under this definition.
‫‪Construction Activities‬‬
‫أي مجموعة من األنشطة الهندسية ‪ ،‬والمشتريات ‪ ،‬والتشييد ‪ ،‬والتركيب ‪ ،‬والتجميع ‪ ،‬أو •‬
‫التصنيع المتضمنة في إنشاء منشأة جديدة أو تعديل أو إضافة أو إعادة تأهيل منشأة قائمة‪.‬‬
‫ضا التغيير واإلصالح (بما في ذلك التجريف والتنقيب والطالء) للمباني أو الهياكل‬
‫ويشمل أي ً‬
‫أو الممتلكات العقارية األخرى ‪ ،‬باإلضافة إلى أي أنشطة بناء وحفر يتم إجراؤها كجزء من‬
‫جهود اإلصالح البيئي‪ .‬يمكن اعتبار المشاريع المحددة على أنها مشاريع صيانة مشاريع‬
‫بناء بموجب هذا التعريف‪.‬‬
Construction Activities (cont.)
• Electrical
• Carpentry
• Rigging ‫اعمال الرفع‬
• Piping Systems ‫انظمة المواسير‬
• Sheet Metal ‫االلواح المعدنية‬
• Roofing ‫االسقف‬
• HVAC ‫تبريد وتسخين المبني‬
• Concrete & Masonry‫االعمال الخرسانية والبناء‬
• Drilling ‫اعمال الحرف للعميق‬
• Excavating‫اعمال الحرف للسطحي‬
• Tunneling Operations ‫اعمال االنفاق‬
• Painting ‫اعمال الدهانات‬
• Insulating ‫اعمال العزل‬
• Conveying Systems ‫نظم النقل‬
• Mechanical Systems
• Survey & Alignment ‫اعمال المساحة والتوقيع النقاط‬
• Structural Work
• Fencing & Landscaping ‫اعمال االسوار او الزراعة‬
Construction Phases & Processes

Project
Project
closeout and
mobilization Project
termination
‫التجهيزات لبداء‬ execution ‫التنفيذ‬
‫المشروع‬ ‫انهاء واغالق‬
‫المشروع‬

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 Mobilization Processes
o Construction Management objectives is to ensure that
productive efforts undertaken by a company / individual are
efficient and effective: ‫تتمثل أهداف إدارة البناء في التأكد من أن الجهود‬
:‫ الفرد تتسم بالكفاءة والفعالية‬/ ‫اإلنتاجية التي تبذلها الشركة‬
 Less time taken

 Less waste

 Economic use of resources

 High quality products

 More value (added value)

 Zero accidents and fatalities

 Satisfaction of client/employer ‫احقق الرضي لمالك المشروع‬

 Products are sustainable ‫ (مستدامة‬e.g. green building,

low impact design and passive energy use.)

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 Mobilization Processes
 Purpose: The goal of the Pre-Construction preparations is to achieve a mutual
understanding regarding‫ بشأن‬the way in which the contract requirements will be translated
into action. ‫الهدف من استعدادات ما قبل البناء هو تحقيق تفاهم متبادل بشأن الطريقة التي سيتم بها ترجمة متطلبات‬
.‫العقد إلى عمل‬
 Procedure:
o A meeting agenda will be developed. ‫سيتم وضع جدول أعمال االجتماع‬
o There are some situations where a Pre-Construction Meeting and a Pre- Award Meeting
can be held as a single meeting. In these cases, the agenda should be adjusted for
appropriate content and the minutes should indicate a joint meeting. The Pre-
Construction Meeting will be conducted prior to the contractor's mobilization.

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‫هناك بعض المواقف التي يمكن فيها عقد اجتماع ما قبل البناء‬
‫واجتماع ما قبل الجائزة كاجتماع واحد‪ .‬في هذه الحاالت ‪،‬‬
‫يجب تعديل جدول األعمال للمحتوى المناسب ويجب أن يشير‬
‫المحضر إلى اجتماع مشترك‪ .‬سيتم عقد اجتماع ما قبل البناء‬
‫قبل تحرك المقاول‬
 Mobilization Processes
 Procedure:
o The contractor(s) will be provided an advance copy of the agenda..‫سيتم تزويد المقاول (المقاولين) بنسخة مسبقة من جدول األعمال‬
o Each participant will be instructed by the meeting leader on the scope of their involvement. Attendance at the meeting
will be recorded..‫ سيتم تسجيل المناقشات في االجتماع‬.‫سيتم إرشاد كل مشارك من قبل رئيس االجتماع حول نطاق مشاركته‬
o A contract admin will prepare the meeting minutes and formally distribute them to the contractor. A contract admin will
prepare an Action Items List and assume responsibility for verifying closure of open items. ‫سيقوم مسؤول العقد بإعداد محضر‬
.‫ سيقوم مسؤول العقد بإعداد قائمة عناصر اإلجراءات ويتحمل مسؤولية التحقق من إغالق البنود المفتوحة‬.‫االجتماع وتوزيعه رسميًا على المقاول‬
o A Notice of Site Mobilization should be issued if there is a need to notify various departments of impending mobilization.

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Division of Responsibilities (DOR) ‫تقسيم المسئوليات‬
 In the pre-construction phase, it is important that roles and responsibilities are
clear: ‫تحديد االدوار والمسؤليات‬
o The role of the internal / external engineering team.
o The role of construction people in reviewing the design for constructability .
. ‫دور المقاولين في مراجعة التصميم من أجل قابلية التنفيذ‬
o Preparing the role and responsibilities for the construction management
team‫ إعداد الدور والمسؤوليات لفريق إدارة البناء‬.
o Subcontractors. ‫مقاولين الباطن‬
o Vendor relations ‫ المورد في الموقع‬.

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Week 3
Examples of Projects ‫أمثلة للمشاريع‬
• Construction Project.

• Writing a book.

• Developing a new product or service.

• Effecting a change in the structure, staffing, or style of an organization.

• Developing or acquiring) ‫ (الحصول‬a new or modified information system.

• Implementing) ‫ (تنفيذ‬a new business process or procedure.

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Construction Projects ‫مشروعات التشييد‬
A Construction Project is defined as a planned undertaking to
construct a facility or group of facilities. ‫يتم تعريف مشروع البناء على أنه‬
.‫تعهد مخطط لبناء منشأة أو مجموعة من المنشأت‬

Construction projects produce deliverables ) ‫ ( مخرجات‬such as:

Dams, airports, highways, buildings, high rises or infrastructures

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 Construction Projects ‫مشروعات التشييد‬
• Construction projects often are required to have, by regulations, a
team of hired) ‫ (تم التعاقد مع‬specialists and construction disciplines.
‫ أن يكون لديها فريق من‬، ‫ بموجب القانون‬، ‫غالبًا ما يُطلب من مشاريع البناء‬
.‫المتخصصين المستأجرين وتخصصات البناء‬
• Construction projects involve many stakeholders with varying
project expectations. ‫تشمل مشاريع البناء العديد من أصحاب المصلحة مع‬
.‫توقعات مختلفة للمشروع‬
Construction projects often require large amounts of materials and
physical tools to move or modify those materials. ‫غالبًا ما تتطلب‬
.‫مشاريع البناء كميات كبيرة من المواد واألدوات المادية لنقل هذه المواد أو تعديلها‬
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Construction Industry ‫صناعة التشييد‬
Many industries provide services (products) to humans ‫تقدم العديد من‬
. ‫الصناعات خدمات (منتجات) للبشر‬

The Construction industry has an important impact on the nation’s

social, economic growth and development. ‫صناعة البناء لها تأثير مهم‬
.‫على النمو االجتماعي واالقتصادي للبالد والتنمية‬

Construction Industry is one of the most booming)‫ (مذدهره‬industries

in the whole world. ‫ازدهارا في‬
ً ‫تعد صناعة البناء واحدة من أكثر الصناعات‬
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.‫العالم بأسره‬ 27
Construction Industry ‫صناعة التشييد‬
• Construction is an industry method that consists of constructing
a building or infrastructure. ‫البناء هو طريقة صناعية تتكون من بناء‬
.‫مبنى أو بنية تحتية‬
• It has many types such as heavy or civil construction, building
construction and industrial construction. ‫لها أنواع عديدة مثل البناء‬
.‫ تشييد المباني واإلنشاءات الصناعية‬، ‫الثقيل أو المدني‬

• Construction works are managed by a project managers and

supervised by a construction engineers, construction managers,
project architects or design engineers. ‫تتم إدارة أعمال البناء من قبل‬
‫مديري المشروع ويشرف عليها مهندسو البناء أو مديرو اإلنشاءات أو مهندسو‬
.‫المشروع أو مهندسو التصميم‬
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Types of Construction Projects
‫أنواع مشروعات التشييد‬

Residential Building
Infrastructure
Housing Construction Industrial
‫بنية تحتية‬
‫سكني‬ ‫انشاء المباني‬

This classification is based on:

• The way the projects are funded..‫طريقة تمويل المشاريع‬

• The technologies involved..‫التقنيات المستخدمة‬
• The way the owner, designer and the builder interact. ‫طريقة العالقة بين‬
.‫المالك والمصمم والباني‬
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Types of Construction Projects:
Residential Housing ‫مشروعات اإلسكان‬
• Include: homes, apartments‫شقق سكنية‬, and low and high rise buildings.

• Funded by individual owners for their own use or by developers for profit. ‫ممولة من قبل المالك األفراد‬

.‫الستخدامهم الخاص أو من قبل المطورين من أجل الربح‬

• They use fairly low technologies and require little investment.

• .‫يستخدمون تقنيات منخفضة إلى حد ما ويتطلبون القليل التمويل‬

• Large number of small designers, builders and suppliers..‫عدد كبير من صغار المصممين والبنائين والموردين‬

• The builder or owner can design.

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Types of Construction Projects: Building Construction
‫مشروعات المبانى غير السكنية‬
Non residential building construction

• Office buildings, malls, hotels, theaters, ...

• Most of these projects are privately funded.

• Designed by architect and engineer, and built by general contractor.

• It use technical support more than that in residential buildings.

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Types of Construction Projects: Industrial
‫المشروعات الصناعية‬
• Include: factories, petroleum refineries ‫وحدات تكرير البترول‬, …

• It requires highly specialized skill in construction, planning and design.

• In capitalism countries ‫العواصم الرائس مالية‬, most of these facilities are

privately funded.

• Only few designers and builders are qualified to bid in these projects.

• These projects are the most technical of all.

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Types of Construction Projects:
Infrastructure ‫مشروعات البنية التحتية‬
Infrastructure and Heavy Construction

• Examples: bridges, highways, airports, dams, water and sewer

systems. ‫الصرف الصحي‬

• Design by civil engineers and built by heavy construction contactors.

• Publicly funded and affected by the government policy.

• Heavy use of equipment.

• Build Operate Transfer (BOT) ‫بتعمل مشاركة مع القطاع الخاص‬

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Nature of construction projects

• Unique and unrepeatable

• Temporary
• Constraints by time, cost, safety and quality
• Many conflicting parties

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Project Main Characteristics

• Has an establish objective ‫هدف معين‬

• Has a defined life span with a beginning and an end
• Requires across-the-organizational participation
• Involves doing something never been done before
• Has specific time, cost, and performance requirements
• As the project progresses, the project team learns more
about the project

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Project Scope ‫نطاق األعمال‬
• Project scope ) ‫(نطاق االعمال في المشروع‬management is the process of defining what is
required and then making sure all of the work and only the work is done. ‫هي عملية تحديد‬
.‫ما هو مطلوب ثم التأكد من إنجاز كل العمل والعمل فقط‬

• Scope must be defined, clear and formally approved before work starts. ‫يجب تحديد النطاق‬
.‫وواض ًحا واعتماده رسميًا قبل بدء العمل‬

• Gold plating a project is not allowed. ‫عمل شئ غير مطلوب‬

• Any change to scope must be evaluated for its effect on time, cost, risk, quality,
resources and customer satisfaction. ‫يجب تقييم أي تغيير في النطاق من حيث تأثيره على الوقت‬
.‫والتكلفة والمخاطر والجودة والموارد ورضا العمالء‬
• Scope statement ) ‫( وثيقة نطاق العمل‬might include also budget, timeframe and
deliverables as well. Also called statement of work (SOW). ‫قد تشمل أيضًا الميزانية واإلطار‬
( ‫العمل‬ ‫ يسمى أيضًا بيان‬.‫الزمني والمخرجات أيضًا‬SOW).
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Project Charter ‫وثيقة المشروع‬
• The project charter is defined as a document issued by the project sponsor
that formally authorizes the existence of a project. ‫عرف ميثاق المشروع بأنه‬ّ ُ‫ي‬
.‫مستند صادر عن راعي المشروع يصرح رسميًا بوجود المشروع‬
• A project charter begins with the request of execution of the project.
.‫يبدأ ميثاق المشروع بطلب تنفيذ المشروع‬
A Project Charter is a document that:
• Describes the project.
• Provides the justification for the project..‫يقدم مبررات للمشروع‬
• Identify project deliverables. .‫تحديد مخرجات المشروع‬
• Establishes estimated costs and schedules.‫يحدد التكاليف والجداول التقديرية‬
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Project Participants ‫المشاركين فى المشروع‬
Different classifications and many participants are involved in a
construction project

Main Project Participants:

•The Owner
•Design Professionals
•Construction Professionals
•Project Manager
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 Owner Team

End Result

Design Team
Construction Team

Project Participants ‫المشاركين فى المشروع‬

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The Owner ‫المالك‬
The Owner or the Client
 Is the person or organization that will pay the bills ‫فواتير‬

Owner Organizations
Public (e.g., government agencies ‫) هيئات حكومية‬
Private: individual, corporations, partnership

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The Owner ‫المالك‬
The Owner responsibilities:
 what the project will include (Scope and Objectives)
When the project can begin and when must end (Schedule)
How much can spend (Budget)

Formation:
Large companies have divisions to set up these tasks
Small business can hire project manager, consultant, ..
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 Design Professionals ‫مهندس التصميم‬
Examples are: architects, engineer, consultant.

Depending on the owner size, they can be part of the owner’s

organization or hired.

In some cases, the design professional & construction contractor

together form a design-build company.

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Design Professionals ‫مهندس التصميم‬
The design professional responsibilities:
 Assist the owner in developing the project scope, budget and
schedule.
Prepare construction document for bidding and construct
‫مساعدة المالك في تطوير نطاق المشروع والميزانية والجدول الزمني‬
‫تحضير وثيقة البناء للمناقصة والبناء‬.
Architect:
 Is an individual who plan and design buildings. Sometimes, they
define and provide the whole envelope of the whole project.

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Design Professionals ‫مهندس التصميم‬
Engineer:
 An individual or a firm who perform specialized work
associated with the design or construction.
They usually classified as civil, mechanical, electrical.

Engineering-Construction Firm:
An organization that combines both architect/engineering
and construction.
Has the capability of performing of what called design-build.
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Construction Professionals ‫المقاول‬

 Named as the Contractor

Responsible for physical construction of the project

In traditional system where the owner, design, and contractors are
separate, the contractor named a Main Contractor.

Main Contractor may divided the work among sub-contractors.

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Organizational Structure
‫الهيكل التنظيمى‬
Owner

Architect

Main Contractor

Civil Mechanical Electrical

HVAC Plumbing
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Project Manager ‫مدير المشروع‬
A project manager is the person responsible for leading a project from its
inception to execution. ‫مدير المشروع هو الشخص المسؤول عن قيادة المشروع من بدايته حتى‬
.‫تنفيذه‬

This includes planning, execution and managing the people, resources and scope of
the project.

Sometimes there will be constraints on the project that Project Manager need to
deal with. .‫في بعض األحيان ستكون هناك قيود على المشروع الذي يحتاج مدير المشروع للتعامل معه‬

Cost NOT more MUST be done

Limited
2,000,000.00 Before MAY
resources
EGP 2020
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Project Manager ‫مدير المشروع‬
Responsible for the overall coordination of the project.
‫مسؤول عن التنسيق العام للمشروع‬
Clear definitions of the goals of the project

Investigate alternative solutions for the problems ‫البحث عن حلول بديلة‬

‫للمشكالت‬
Develop a detailed plan to make the selected program reality.
.‫وضع خطة مفصلة لجعل البرنامج المختار حقيقة واقعة‬
Implement the plan and control the project. .‫تنفيذ الخطة ومراقبة المشروع‬

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Week 4
Project Life Cycle

‫دورة حياة المشروع‬

Project Life Cycle Market needs and Perceived
Needs
‫دورة حياة المشروع‬ Definition of
Project Objectives
Conceptual Planning ‫تخطيط مبدائي‬ and Scope

• Project life cycle is the series and Feasibility Study‫دراسة الجدوي‬ Conceptual Plan
or Preliminary
of phases that a project Design
passes through from its start Design and Engineering
to its completion. Construction Plans
and Specifications
Procurement ‫طرح‬and
Construction Completion of
• What you need to do to DO Construction ‫انهاء‬
the work? ‫للبناء‬
Startup for Occupancy
Acceptance of
Facility ‫قبول‬
• It varies by industry and type Operation and
Maintenance ‫تشغيل وصيانة‬ Fulfillment of
of project. Useful Life ‫حقيقة‬
‫الهدف من المشروع‬
Disposal of Facility ‫نعيد بنائة‬
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Project Life Cycle High Influence Low Influence Result
‫دورة حياة المشروع‬ Low Expenditure High Expenditure

Cumulative Cost of Project

Project stages:

Level of Influence
 Preconstruction
Procurement‫اعال‬
‫ن عن المشروع‬
Construction
 Closeout Engineering / Design
Project Time

Procure / Construct

As the construction Utilization ‫التشغيل‬

‫والصيانة‬
progresses, the cost
increases while the
influence
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decrease. 52
Project Life Cycle
1. Pre-Construction: )‫ التصميم‬، ‫ما قبل التشييد (التخطيط‬
1. Conceptual Planning 2. Schematic Design
3. Design Development 4. Contract Documents
Conceptual Planning ‫وضع فكرة مبدائية عن التصميم المعماري واالنشائي‬
Very important for the owner.
During this stage the owner hires key consultants including the designer
and project manager, selects the project site and establish a conceptual
estimate, schedule and program.
The owner must gather as much reliable information as possible about the
project.
The most important decision is to proceed with the project or not.
16/02/2018 53
Project Life Cycle
1. Pre-Construction: )‫ التصميم‬، ‫ما قبل التشييد (التخطيط‬
1. Conceptual Planning 2. Schematic Design
3. Design Development 4. Contract Documents
Schematic Design ‫التصميم التخطيطي‬
During this stage, the project team investigate alternate design solutions,
materials and systems.
Apply value engineering.
Completion of this stage represents about of 30% of the design completion
for the project.

16/02/2018 54
Project Life Cycle
1. Pre-Construction: )‫ التصميم‬، ‫ما قبل التشييد (التخطيط‬
1. Conceptual Planning 2. Schematic Design
3. Design Development 4. Contract Documents
Design Devlopment ‫التطوير التصميمي‬
Designing the main systems and components of the project.
Good communication between owner, designer and construction manager
is critical during this stag because selections during this design stage affect
project appearance, construction and cost.
This stage takes the project from 30% design to 60% design.

16/02/2018 55
Project Life Cycle
1. Pre-Construction: )‫ التصميم‬، ‫ما قبل التشييد (التخطيط‬
1. Conceptual Planning 2. Schematic Design
3. Design Development 4. Contract Documents
Contract Documents ‫وثائق العقد‬
Final preparation of the documents necessary for the bid package such as
the drawings, specifications, general conditions and bill of quantity.
All documents need to be closely reviewed by the construction manager
and appropriate owner personal to decrease conflicts, and changes.
With the contract documents are almost complete; a detailed and
complete cost estimate for the project can be done Designing the main
systems and components of the project.
16/02/2018 56
 Project Life Cycle
2. Procurement: )‫التعاقدات (الشراء – الطرح والترسية‬
ً ‫تسمى أي‬
Also called Bidding and award phase ‫ضا بمرحلة الطرح والمنح‬
The project formally transits from design into construction ‫ينتقل المشروع رسميًا من التصميم‬
‫إلى البناء‬

This stage begins with a public advertisement for all interested bidders or an invitation
for specific bidders. .‫تبدأ هذه المرحلة بإعالن عام لجميع مقدمي العطاءات المهتمين أو دعوة لمقدمين معينين‬
In fast-track projects, this phase overlaps with the design phase.
.‫ تتداخل هذه المرحلة مع مرحلة التصميم‬، ‫في مشاريع المسار السريع‬
 if the project is phased, each work package will be advertised and bid out individually.
.‫ فسيتم اإلعالن عن كل حزمة عمل وتقديم العطاءات بشكل فردي‬، ‫إذا تم تقسيم المشروع إلى مراحل‬
It is a very important stage to select highly qualified contractors.
.‫إنها مرحلة مهمة للغاية الختيار المقاولين المؤهلين تأهيال عاليا‬
16/02/2018 57
Project Life Cycle
3. Construction: )‫ التنفيذ‬، ‫التشييد (البناء‬
The actual physical construction of the project.
This stage takes the project from procurement through the final completion. ‫تأخذ هذه‬
.‫المرحلة المشروع من الشراء حتى االنتهاء النهائي‬
It is the time where the bulk of the owner’s funds will be spent. ‫إنه الوقت الذي سيتم فيه إنفاق‬
.‫الجزء األكبر من أموال المالك‬
It is the outcome of all previous stages (good preparation means smooth construction).
.)‫إنها نتيجة جميع المراحل السابقة (اإلعداد الجيد يعني البناء السلس‬
The consultant will be deployed for the contract administration and construction
supervision. .‫سيتم نشر المستشار إلدارة العقد واإلشراف على أعمال البناء‬
Changes during construction may hinder the progress of the project. ‫التغييرات أثناء البناء قد‬
.‫تعيق تقدم المشروع‬

16/02/2018 58
Project Life Cycle
4. Closeout: )‫ تسليم المشروع‬، ‫إنهاء المشروع (اغالق المشروع‬
Transition from design and construction to the actual use of the constructed facility.
In this stage, the management team must provide documentation, shop drawings, as
built drawings, and operation manuals to the owner organization (as-built drawings are
the original contact drawing adjusted to reflect all the changes that occurred).
 ‫ وأدلة التشغيل‬، ‫ والرسومات المبنية‬، ‫ والرسومات التنفيذية‬، ‫ يجب على فريق اإلدارة تقديم الوثائق‬، ‫في هذه المرحلة‬
.)‫للمؤسسة المالكة (الرسومات المبنية هي رسم جهة االتصال األصلي المعدل لتعكس جميع التغييرات التي حدثت‬
Assessment of the project team’s performance is crucial in this stage for avoiding
mistakes in the future. ‫تقييم أداء فريق المشروع أمر بالغ األهمية في هذه المرحلة لتجنب األخطاء في‬
.‫المستقبل‬
Actual activity costs and durations should be recorded and compared with that was
planned. This will serve as the basis for the estimating and scheduling of future projects.
‫ سيكون هذا بمثابة أساس لتقدير وجدولة‬.‫يجب تسجيل تكاليف ومدد األنشطة الفعلية ومقارنتها مع ما تم التخطيط له‬
.‫المشاريع المستقبلية‬
16/02/2018 59
 Three Perspectives

Project Life ‫مراحل دورة حياة‬

Cycle Phases ‫المشروع‬

Project
‫مجاالت المعرفة‬ Project
Management
Project ‫عمليات‬
Management
Knowledge
‫الدارة المشاريع‬ Areas
Processes
‫ادارة المشروع‬

60
Project Management Process Groups

‫مجموعات عمليات ادارة المشاريع‬

 Project Management Process Groups
‫مجموعات عمليات ادارة المشاريع‬
• ‫أمثلة لعمليات ادارة المشاريع ؟؟؟‬
• Example of PM Process ??? ‫• عملية ضبط الجودة‬
• Quality Control Process

‫• عملية تقدير تكلفة مبنى‬

‫• عملية تحديد المخاطر لمشروع‬
• Cost Estimation Process
• Risk Identification
Process for a project
62
‫‪Project Management Process Groups‬‬
‫مجموعات عمليات ادارة المشاريع‬
‫• عملية ضبط الجودة‪:‬‬
‫‪• Quality Control Process:‬‬

‫مكونات العملية ‪:‬‬

‫الخطوات‪.... -3 ..... -2 ..... -1 :‬‬
‫المدخالت ‪:‬‬
‫المخرجات ‪:‬‬
‫الوسائل ‪:‬‬

‫‪63‬‬
 Project Management Process Groups ‫مهمه‬
‫مجموعات عمليات ادارة المشاريع‬
• Initiating Process Group. Those processes performed to define a new project or a new
phase of an existing project by obtaining authorization to start the project or phase.
• ‫تلك العمليات التي يتم إجراؤها لتحديد مشروع جديد أو مرحلة جديدة من مشروع قائم من خالل الحصول على إذن‬
‫لبدء المشروع أو المرحلة‬
• Planning Process Group. Those processes required to establish the scope of the project,
refine the objectives, and define the course of action required to attain the objectives that
the project was undertaken to achieve.
• ‫ وتحديد مسار العمل المطلوب لتحقيق األهداف التي‬، ‫ وتحسين األهداف‬، ‫تلك العمليات المطلوبة لتحديد نطاق المشروع‬
.‫تم تنفيذ المشروع لتحقيقها‬
• Executing Process Group.‫ مجموعة عمليات التنفيذ‬Those processes performed to complete the
work defined in the project management plan to satisfy the project specifications.
• .‫يتم تنفيذ تلك العمليات إلكمال العمل المحدد في خطة إدارة المشروع لتلبية مواصفات المشروع‬
64
Project Management Process Groups
‫مجموعات عمليات ادارة المشاريع‬
• Monitoring and Controlling Process Group. Those processes required to
track, review, and regulate the progress and performance of the project;
identify any areas in which changes to the plan are required; and initiate
the corresponding changes.
• ‫ تلك العمليات المطلوبة لتتبع ومراجعة وتنظيم تقدم وأداء‬.‫مجموعة عمليات المراقبة والتحكم‬
.‫المشروع ؛ تحديد أي مجاالت تتطلب تغييرات في الخطة ؛ وبدء التغييرات المقابلة‬
• Closing Process Group. Those processes performed to finalize all
activities across all Process Groups to formally close the project or
phase.
• ‫ يتم تنفيذ هذه العمليات إلنهاء جميع األنشطة عبر جميع مجموعات‬.‫مجموعة عمليات اإلغالق‬
.‫العمليات إلغالق المشروع أو المرحلة رسميًا‬
65
‫مهم جدا ‪PM Process Groups‬‬
‫مجموعات عمليات ادارة المشاريع‬

‫‪66‬‬
 PM Process Interactions (1)

www.ProjacsAcademy.com amokhtarpmp@gmail.com
67
Three Perspectives

Project Life
Cycle Phases

Project
Project
Project
Management
Management
Knowledge
Processes
Areas

68 www.ProjacsAcademy.com
Project Management Knowledge Areas

‫مجاالت المعرفة فى ادارة المشاريع‬

Knowledge Project Management Process Groups
Areas Initiation Planning Executing Monitoring & Closing
(I) (P) (E) Controlling(C) (CL)
4. Project 4.1 4.2 Develop Project 4.3 Direct and 4.4 Monitor and 4.6 Close
Integration Develop Mgmt. Plan Manage Control Project Project or
Mgmt. ‫عمليات‬ Project Project Work Phase
‫ادارة التكامل‬ Charter work 4.5 Perform
Integrated
Change Control
5. Project 5.1 Plan scope Mgmt. 5.5 Validate
Scope 5.2 Collect Requirements Scope
Mgmt. ‫ادارة نطاق‬ 5.3 Define Scope 5.6 Control
‫العمل‬ 5.4 Create WBS Scope

6. Project 6.1 Plan Schedule Mgmt. 6.7 Control

Time 6.2 Define Activities Schedule
Mgmt. ‫ادارة‬ 6.3 Sequence Activities
‫الوقت‬ 6.4 Estimate Activity
Resources
6.5 Estimate Activity
Durations
6.6 Develop Schedule
7. Project 7.1 Plan cost Mgmt. 7.4 Control Costs
Cost 7.2 Estimate Costs
Mgmt. ‫ادارة‬ 7.3 Determine Budget
‫التكاليف‬
8. Project 8.1 Plan Quality Mgmt. 8.2 Perform 8.3 Control
70 www.ProjacsAcademy.com
Quality Quality Quality
Knowledge Project Management Process Groups
Areas
I P E C CL
9. Project 9.1 Plan HR Mgmt. 9.2 Acquire
Human Project Team
Resource 9.3 Develop
Mgmt. ‫ادارة‬ Project Team
‫الموارد البشرية‬ 9.4 Manage
Project Team
10. Project 10.1 Plan 10.2 Manage 10.3 Control
Comm- Communications comm- Comm-
unications Mgmt. unications unications
Mgmt. ‫ادارة‬
‫االتصال وتبادل‬
‫المعلومات‬
11. Project 11.1 Plan Risk Mgmt. 11.6 Control
Risk 11.2 Identify Risks Risks
Mgmt. ‫ادارة‬ 11.3 Perform Qualitative
‫المخاطر‬ Risk Analysis
11.4 Perform
Quantitative Risk
Analysis
11.5 Plan Risk
Responses
12. Project 12.1 Plan Procurement 12.2 Conduct 12.3 Control 12.4
Procurement Mgmt. Procurements Procurements Close
Mgmt. ‫ادارة‬ Procur-
‫التعاقدات‬ ements
71 www.ProjacsAcademy.com
13. Project 13.1 Identify 13.2 Plan Stakeholder 13.3 Manage 13.4 Control
‫‪Examples of PM Processes‬‬

‫أمثلة لعمليات ادارة المشاريع‬

 5.3 Define Scope
‫تحديد نطاق العمل‬
• Define Scope. The process of developing a detailed
description of the project and product.
• .‫ عملية وضع وصف تفصيلي للمشروع والمنتج‬.‫تحديد النطاق‬

During project planning, the project scope is defined and

described with greater specificity as more information about
the project is known. ‫ يتم تحديد نطاق المشروع‬، ‫أثناء تخطيط المشروع‬
.‫ووصفه بمزيد من التحديد حيث يتم معرفة المزيد من المعلومات حول المشروع‬
 5.3 Define Scope
‫تحديد نطاق العمل‬
.1 Inputs .2 Tools & .3 Outputs
Techniques
.1 Scope .1 Expert judgment .1 Project scope
management plan .2 Product analysis statement
.2 Project charter .3 Alternatives .2 Project
.3 Requirements generation documents
documentation .4 Facilitated updates
.4 Organizational workshops
process assets
 5.3 Define Scope – T&Ts
‫ الوسائل والتقنيات‬:‫تحديد نطاق العمل‬
• Product Analysis. For projects that have a product as a
deliverable, it is a tool to define scope that generally means
asking questions about a product and forming answers to
describe the use, characteristics, and other the relevant
aspects of what is going to be manufactured.
Product analysis includes techniques such as product
breakdown, systems analysis, requirements analysis,
systems engineering, value engineering, and value analysis.
• Alternatives Generation. A technique used to develop as
many potential options as possible in order to identify
different approaches to execute and perform the work of
the project.
75
 5.3 Define Scope – outputs
‫ المخرجات‬:‫تحديد نطاق العمل‬

• Project Scope Statement. The description of the project

scope, major deliverables, assumptions, and constraints.

Contents:
Product scope description Project exclusion
Acceptance criteria Constraints
Deliverable Assumptions

Definition: Deliverable are unique and verifiable products,

results, or capabilities to perform a service that is required to be
produced to complete a process, phase, or project.
 5.4 Create WBS
‫إعداد هيكل تجزئة األعمال‬
• The process of subdividing project deliverables and project
work into smaller, more manageable components.
Information
System
1.

Project Systems Hardware Software Facilities Training

Management Engineering Acquisition Development Modifications Development
1.1 1.2 1.3 1.4 1.5 1.6

Project Product CPU Operating Facility Training

Planning Design Acquisition System Plans Plans
1.1.1 1.2.1 1.3.1 1.4.1 1.5.1 1.6.1

Project Systems Auxiliary Database Facility Training

Control Integration Equipment 1.4.2 Modification Courses
1.1.2 1.2.2 1.3.2 1.5.2 1.6.2

Project Test & Printer Application Facility

Data Evaluation Acquisition Development Installation
1.1.3 1.2.3 1.3.3 1.4.3 1.5.3
 The WBS
‫هيكل تجزئة األعمال‬

 The WBS is a hierarchical decomposition of the total scope of work to be carried out by
the project team to accomplish the project objectives and create the required
deliverables.

 The WBS organizes and defines the total scope of the project, and represents the work
specified in the current approved project scope statement.

 Work packages: the planned work contained within the lowest level of WBS
components. A work package can be used to group the activities where work is
scheduled and estimated, monitored, and controlled.

 WBS Dictionary. A document that provides detailed deliverable, activity, and scheduling
information about each component in the work breakdown structure.
 WBS Form
‫طريقة اعداد هيكل تجزئة األعمال‬

• Using phases of the project life cycle as the second level of

decomposition, with the product and project deliverables
inserted at the third level;
• Using major deliverables as the second level of
decomposition; and
• Incorporating subcomponents which may be developed by
organizations outside the project team, such as contracted
work. The seller then develops the supporting contract WBS
as part of the contracted work.
 5.4 Create WBS
‫عملية إعداد هيكل تجزئة األعمال‬
.1 Inputs .2 Tools & .3 Outputs
Techniques
.1 Scope .1 Decomposition .1 Scope baseline
management plan .2 Expert judgment .2 Project
.2 Project scope documents
statement updates
.3 Requirements
documentation
.4 Enterprise
environmental
factors
.5 Organizational
process assets
 5.4 Create WBS – outputs
‫مخرجات إعداد هيكل تجزئة األعمال‬

• Scope Baseline. The approved version of a scope statement,

work breakdown structure (WBS), and its associated WBS
dictionary, that can be changed only through formal change
control procedures and is used as a basis for comparison.
 5.6 Control Scope
‫عملية التحكم فى نطاق العمل‬

• The process of monitoring the status of the project and

product scope and managing changes to the scope baseline.
 5.6 Control Scope
‫عملية التحكم فى نطاق العمل‬

.1 Inputs .2 Tools & .3 Outputs

Techniques
.1 Project .1 Variance .1 Work performance
management plan analysis information
.2 Requirements .2 Change requests
documentation ‫تحليل أسباب‬ .3 Project management
.3 Requirements ‫التغيير‬ plan updates
traceability matrix .4 Project documents
.4 Work Planned Vs. updates
performance data Actual .5 Organizational process
.5 Organizational assets updates
process assets
 5.6 Control Scope – T&Ts
‫وسائل عملية التحكم فى نطاق العمل‬

• Variance Analysis. A technique for determining the cause and

degree of difference between the baseline and actual performance.

• ‫تحليل أسباب التغيير‬

 7.2 Estimate Costs
‫عملية تقدير التكاليف‬

• The process of developing an approximation of the monetary

resources needed to complete project activities.

 Cost estimates are a prediction that is based on the

information known at a given point in time
 7.2 Estimate Costs
‫عملية تقدير التكاليف‬

.1 Inputs 2. Tools & Techniques .3 Outputs

.1 Cost management .1 Expert judgment .1 Activity cost

plan .2 Analogous estimating estimates
.2 Human resource .3 Parametric estimating .2 Basis of
management plan .4 Bottom-up estimating estimates
.3 Scope baseline .5 Three-point estimating .3 Project
.4 Project schedule .6 Reserve analysis documents
.5 Risk register .7 Cost of quality updates
.6 Enterprise .8 PM software
environmental .9 Vendor bid analysis
factors .10 Group decision-making
.7 Organizational Techniques
process assets
 7.2 Estimate Costs – T&T
‫وسائل تقدير التكاليف‬
• Expert judgment.
• Analogous Estimating. A technique for estimating the
duration or cost of an activity or a project using historical
data from a similar activity or project.
• Parametric Estimating. An estimating technique in which an
algorithm is used to calculate cost or duration based on
historical data and project parameters.
• Bottom-Up Estimating. A method of estimating project
duration or cost by aggregating the estimates of the lower-
level components of the work breakdown structure (WBS).
 Expert Judgment and Analogous Estimating are top-down
techniques.
 7.2 Estimate Costs – outputs
‫مخرجات تقدير التكاليف‬
• Activity cost estimates are quantitative assessments of the
probable costs required to complete project work. Cost
estimates can be presented in summary form or in detail.
• Basis of Estimates. Supporting documentation outlining the
details used in establishing project estimates such as
assumptions, constraints, level of detail, ranges, and
confidence levels.
 Classification of cost types:
• Fixed vs. Variable costs
• Direct vs. Indirect costs
Give examples of both
 7.3 Determine Budget
‫تحديد ميزانية المشروع‬
• The process of aggregating the estimated costs of individual
activities or work packages to establish an authorized cost
baseline.
Project Management
Budget Reserve

Cost Control Contingency

Baseline Accounts Reserve

Work Package Activity

Cost Estimates Contingency Reserve

Activity Cost
Estimates

Project Budget Component

Contingency reserves vs. Management reserves
‫احتياطى المخاطر و احتياطى االدارة‬
• Contingency reserves (sometimes called contingency
allowances) are the budget within the cost baseline that is
allocated for identified risks, which are accepted and for
which contingent or mitigating responses are developed.
Contingency reserves are often viewed as the part of the
budget intended to address the “known-unknowns” that can
affect a project.
• Management reserves are an amount of the project budget
withheld for management control purposes and are reserved
for unforeseen work that is within scope of the project.
Management reserves are intended to address the “unknown
unknowns” that can affect a project.
 7.3 Determine Budget
‫تحديد ميزانية المشروع‬

.1 Inputs .2 Tools & .3 Outputs

Techniques
.1 Cost management plan .1 Cost aggregation .1 Cost baseline
.2 Scope baseline .2 Reserve analysis .2 Project funding
.3 Activity cost estimates .3 Expert judgment requirements
.4 Basis of estimates .4 Historical .3 Project
.5 Project schedule relationships documents
.6 Resource calendars .5 Funding limit updates
.7 Risk register reconciliation
.8 Agreements
.9 Organizational process
assets
 7.3 Determine Budget – T&Ts
‫وسائل تحديد الميزانية‬
• Cost Aggregation. Summing the lower-level cost estimates associated with the
various work packages for a given level within the project’s WBS or for a given cost
control account.
• Any historical relationships that result in parametric estimates or analogous
estimates involve the use of project characteristics (parameters) to develop
mathematical models to predict total project costs.
• Funding Limit Reconciliation. The process of comparing the planned expenditure of
project funds against any limits on the commitment of funds for the project to
identify any variances between the funding limits and the planned expenditures.
 7.3 Determine Budget – outputs
‫مخرجات عملية تحديد الميزانية‬

• Cost Baseline. The approved version of the time-phased

project budget, excluding any management reserves, which
can be changed only through formal change control
procedures and is used as a basis for comparison to actual
results.
• Project Funding Requirements. Total funding requirements
and periodic funding requirements (e.g., quarterly, annually)
are derived from the cost baseline. The cost baseline will
include projected expenditures plus anticipated liabilities.
 Cost Baseline
‫خط األساس للتكلفة‬
Management
Reserve

Note: Management Reserve is shown at top of the figure

 Arab Academy for Science, Technology & Maritime Transport

INTRODUCTION TO CONSTRUCTION MANAGEMENT

CB 311
From Week: 5
Productivity Concept, Measurement and Improvement

‫ طارق محمود عطيــة‬.‫د‬.‫أ‬

Prof. Tarek Attia

24-4-2021
 97

Productivity Concept,
Measurement and Improvement

‫قياس وتحسين اإلنتاجيــــة‬

 98

Productivity Concept,
Measurement and Improvement

Input Output
Process
‫المدخالت‬ ‫المخرجات‬

Waste
‫الفاقد‬
 99

Productivity Concept

 What is Productivity?
• ILO defines Productivity as the ratio between
“Output of Work” and “Input of Resources.

 Productivity= Output  Input

ILO: International Labor Organization

‫منظمة العمل الدولية‬

 100

• This definition applies to an enterprise, an

industry or an economy as a whole.
• Productivity is simply the ratio between the
amount produced and amount of resources used
in the course of production.
• These resources can be: (Unit of resources is in
brackets.)
1. Land (Hectares)
2. Material (Metric Tonne)
3. Plant and Machinery (Machine Hours)
4. People (Man Hour)
5. Capital ($, L.E., …)
Productivity Improvement
To enhance productivity, reduce cost,
eliminate waste ……
Deals with man machine systems……

Consists of : –selection of tools and techniques.

- development of time standards
- installation of wage incentives
- value engineering, value analysis
- project feasibility studies
• Fedrick Taylor – father of industrial engineering

• Henry L. Gantt - measurement of results –

Gantt chart, incentive plans.
Productivity Measurement

• Productivity is =

Output (within a defined time and good quality)

Input

Factors influencing productivity:

I. Controllable or Internal factors
II. Non controllable or external factors.
Partial productivity

Partial productivity is defined as the ratio of output

to any one class of input i.e either material,
capital, labor or energy
‫حاصل قسمة المخرجات على أحد المدخالت‬

Labor productivity = Output

Labor hours

‫ عدد ساعات العمل‬/ ‫المخرجات‬ = ‫انتاجية العامل‬

Total productivity
• Total productivity is defined as the ratio of total
output to the sum of all input factors.

•= Total output
Total input

Total input = Labor + Material + Capital +

Energy + Other expenses
Converted to a common measurable factor
Controllable or Internal factors
• Product – extent to which it meets requirements.
• Plant and equipment – availability and reduction of
idle time.
• Technology – automation.
• Material and Energy - reduce material and energy
consumption.
• Human factors – motivation and training.
• Work methods – improvement in the way of doing
things.
• Management style – communication, policy and
procedures.
‫يمكن التحكم فى العوامل الداخلية لزيادة االنتاجية‬
Non controllable or external factors.

• Natural resources – manpower, land, and raw

materials

• Government and infrastructure – Laws,

government policies, transportation, Energy.

‫ال يمكن التحكم فى العوامل الخارجية والتى يمكن أن تؤثر على االنتاجية‬
‫‪Productivity Improvement‬‬
‫‪ -‬االنتاجية هى مقارنة بين استهالك الموارد لتحقيق مخرج ‪ ،‬كلما قل‬
‫استهالك الموارد تكون االنتاجية أعلى أو تثبيت استهالك الموارد‬
‫لتحقيق مخرج أكبر‪.‬‬

‫‪Same output with less input: Higher productivity‬‬

‫‪More output with same input: Higher productivity‬‬
 109

Is Productivity different from

Performance? YES
• Productivity takes into account output in relation
to input.
• Performance takes into account output only.
• Productivity =Output÷ Input
• In performance, we consider only the output and
not the input.
• A performance index becomes comparison of
actual output with some standard or expected
output.
• Performance Index = Actual work done ÷ Ideal or
standard expected work.
 110

Example:
Rules:
- It takes 3 meters of cloth to make a coat.
- In a day a person is expected to make 50 coats
(Performance Target)

Current Situation:
The tailor made 40 coats from 111 of cloth meters in one day.
• What is his Performance ?
- 40 coats (Output)
• Performance Index ?
- {40 ÷ 50} x100= 80% Actual Output / Target Output
 111

- Normally he should have used 120 meters cloth.

However he managed to make 40 coats in 111
meters.
- Cloth Productivity Index = {120÷ 111} x 100=
108%
 Improving Productivity ‫تحسين االنتاجية‬

• Needs to be organization’s focus area:

▫ Need a vision, mission and periodic goals for measurement and
improvement of productivity
• Customer Orientation – strategy to provide same quality of service
at lower cost or better service at same cost
• Empowerment of workers and staff
• Encourage creativity
• Right people for right jobs
• Use of right techniques
 113

Improving Productivity
• In the areas of product and process
improvement: Value Analysis helps in eliminating
non-value adding function i.e. functions resulting
in low performance at high costs from products
and processes.
• On the technology front, extremely precise and
accurate high-speed machines and systems like
ERP, CAD, CAM, CIM etc have drastically reduced
the processing time.
• On the human front, incentive plans, job
enrichment, fringe benefits etc are used to
encourage value-adding inputs from people.
 114

Improving Productivity
• Inventory control, material handling systems etc.
reduce the time, space, effort and money
involved in making material available for its time
and place utility.
• Techniques like work-study, ergonomics, etc
eliminate motions that are non-productive or
make them easy to perform are included in the
human factor.
• Today, Lean Production System approach is a
holistic one, which covers all areas of
productivity improvement.
 115

Improving Productivity
Few other techniques like JIT, TPM, TQC,
KAIZEN, Quality Circles can be applied
simultaneously.
 Summary
A. Technology Based
- CAD, CAM, Integrated CAM, Robotics, Laser
Beam Technology, Energy Technology, Group
Technology, Computer Graphics, Simulation,
Maintenance Management, Rebuilding Old
Machinery, Energy Conservation.
 116

Improving Productivity
Employee Based
- Financial Incentives, Group Incentives, Fringe
Benefits, Promotions, Job Enrichment, Job
Enlargement, Job Rotation, Worker
Participation, MBO, Skill Enhancement, Learning
Curve, Working Condition Improvement,
Communication, Zero Defects, Punishment,
Recognition, Quality Circles, Training, Education,
Role Perception, Supervision Quality.
 117

• Case: Ahmed was busy going through the

production and machine hour consumption report
of the past three months.

MONTH INPUT OUTPUT

(Machine (No. of Units)
Hours)
September 90,000 99,000

October 100,000 100,000

November 150,000 135,000

The reports clearly showed that there had been an increase in production
with a simultaneous increase in machine hour consumption.
Shalini was not sure whether it really indicated a rise in productivity or merely
increase in production. How should she get an answer to this?
 118

• Solution:
- Productivity per Machine Hour= Production
Units÷ Machine Hours
- Productivity for September= 99,000÷ 90,000=
1.1
- Productivity for October= 1,00,000÷ 1,00,000=
1.0
- Productivity for November = 1,35,000÷
1,50,000= 0.9
 119

MONTH INPUT OUTPUT PRODUCTIVITY

(Machine (No. of Units)
Hours)
September 90,000 99,000 1.1

October 100,000 100,000 1.0

November 150,000 135,000 0.9

We can see from the table that while production is rising from September
to November; productivity is falling.
 120

Total Productivity Model

• Total Productivity Model developed by David J.
Sumanth in 1979 considered 5 items as inputs.
• These are Men, Material, Money (Capital),
Energy and other expenses.
• This model can be applied in any manufacturing
or service organization.
• Total Productivity= Total Tangible Output÷ Total
Tangible Input.
 121

Advantages Disadvantages

All quantifiable inputs are considered. Data is difficult to compute.

Sensitivity analysis can be done. Does not consider intangible factors of

input and output.

Provides both firm level and

operational unit level productivity.
Work Study
• Work study is a generic term for those
techniques, method study and work
measurement which are used in the examination
of human work in all its contexts and which lead
systematically to the investigation of all the
factors which affect the efficiency and economy
of the situation being in order to effect
improvement.
 I Basic work content of product or operation

Total Work
Content
Work content added due to defects in design or
A specification of products.
Total
time of
operation B Work content added by inefficient methods of
Manufacture

Total C Ineffective time - management

ineffective
time
D Ineffective time - workers
Process Simulation – Driving
Continuous Process Improvement,
Value and Performance
• The focus of an optimization effort typically
involves:
• Reducing process cycle time
• Reducing operational costs and cost per
transaction
• providing more efficient utilization of resources.