Construction Management

ARCH 40023
Specialization 1
CONSTRUCTION
MANAGEMENT
Compiled by:
Arch. MARIA VILLA A. SARMIENTO

TOPICS
• Project Planning
• Resource Management
• Resource Scheduling
Process
• Sample problems
Presentation title 2024 2

PROJECT PLANNING
One view of project planning divides
Project planning is a the activity into these steps:
discipline addressing how • Setting measurable objectives
to complete a project in a
• Identifying deliverables
certain timeframe usually
with defined stages and • Scheduling
designated resources • Planning task
Supporting plans may encompass human resources,

communication methods and risk management.
https://www.techtarget.com/searchcio/definition/project-planning 3
IMPORTANCE OF PROJECT PLANNING
Project planning is important at every phase of a project.

It lays out the basics of a project, including the following:
•scope
•objectives
•goals
•schedule
https://www.techtarget.com/searchcio/definition/project-planning 2024 4
Planning enables project managers to turn an intangible
idea into reality. Key purposes of planning include the
following:
•facilitate communication and provide a central source of

information for project personnel;
•help the project sponsor and other key stakeholders know

what is required;
•identify who will perform certain tasks, and when and how
those tasks will happen;
•facilitate project management and control as the project

progresses;
•enable effective monitoring and control of a project;
•manage project risk; and
•generate feedback useful for the next project planning

phase.
COMPONENTS OF PROJECT PLAN
The three major parts of a project plan are the scope, budget and timeline.
They involve the following aspects:
•Scope. The scope determines what a project team will and will not do. It
takes the team's vision, what stakeholders want and the customer's
requirements and then determines what's possible. As part of defining the
project scope, the project manager must set performance goals.
•Budget. Project managers look at what manpower and other resources

will be required to meet the project goals to estimate the project's cost.
•Timeline. This reveals the length of time expected to complete each

phase of the project and includes a schedule of milestones that will be met.
HOW TO CREATE PROJECT PLAN
Project planning includes the following 10 steps:
1. Define stakeholders. Stakeholders include anyone with an interest in the

project. They can include the customer or end user, members of the project team,
other people in the organization the project will affect and outside organizations or
individuals with an interest.
2. Define roles. Each stakeholder's role should be clearly defined. Some people
will fill multiple roles, however.
3. Introduce stakeholders. Hold a meeting to bring stakeholders together and

unify the vision behind the project. The topics covered should include scope, goals,
budget, schedule and roles.
4. Set goals. Take what is gleaned from the meeting and refine it into a
project plan. It should include goals and deliverables that define what the
product or service will result in.
5. Prioritize tasks. List tasks necessary to meet goals and prioritize them
based on importance and interdependencies. A Gantt chart can be helpful for
mapping project dependencies.
6. Create a schedule. Establish a timeline that considers the resources

needed for all the tasks.
7. Assess risks. Identify project risks and develop strategies for mitigating
them.
8. Communicate. Share the plan with all stakeholders and provide

communications updates in the format and frequency stakeholders
expect.
9. Reassess. As milestones are met, revisit the project plan and revise
any areas that are not meeting expectations.
10. Final evaluation. Once the project is completed, performance

should be evaluated to learn from the experience and identify areas to
improve.
5 PHASES OF A PROJECT
Projects typically pass through five phases. The project

lifecycle includes the following:
• Initiation defines project goals and objectives. It also is

when feasibility is considered, along with how to measure
project objectives.
• Planning sets out the project scope. It establishes what

tasks need to get done and who will do them.
5 PHASES OF A PROJECT
• Execution is when the deliverables are created. This is the

longest phase of a project. During execution, the plan is set into
motion and augmented, if necessary.
• Monitoring and management occur during the execution phase

and may be considered part of the same step. This phase ensures
that the project is going according to plan.
• Closing and review is the final Contracts are closed out and the
final deliverables are given to the client. Successes and failures
are evaluated.
Resource
Management
Presentation title 20XX 15

Resource Management
Each activity of the project has certain resource requirements

i.e. people and machine. These requirements (usually) vary
with activity duration.
For example, an activity has a total requirement of 12 days

(man-days) of a welder and a helper. With the normal activity
duration of 6 days, 2 welders and 2 helpers available will
perform the task.
By crashing, this activity can be completed in 4 days. One

additional welder and helper has to be hired on job basis or on
contract.
Estimating Resource Requirements
(For Scheduled Activity)
❑ Determining what resources will be required

(labor, equipment, material)
❑ What quantity for each resource will be

required
❑ When are resources available to perform

project activities.
Resource Estimating Techniques
Expert Judgment – Any group or person with

specialized knowledge.
Bottom-Up Estimating – Decompose activities into

smaller work components.
Three Point Estimating – Optimistic, pessimistic

and most likely values are determined to
calculate estimate.
Resource Scheduling Process
The four major stages of resource scheduling process are
➢Resource definition
➢Resource allocation
➢Resource aggregation
➢Resource leveling
Resource definition
Resource definition involves identifying the critical resources

that need to be planned and managed for the successful
completion of the project.
Resource Allocation
➢Resource allocation, is concerned with assigning the

required number of those resources identified in the previous
step to each activity identified in the plan.
➢More than one type of resource may be attributed to a

specific activity. For example, fixing the plates on a ship's hull
may require 10 fitters, 20 welders, 15 laborers and a certain
type of welding machine.
Resource Allocation
➢From a practical standpoint, resource allocation does not

have to follow a constant pattern; some activities may
initially require fewer resources but may require more of the
same resources during the later stages of the project.
➢In a multi-project environment as projects are competing

for limited resources, resource allocation addresses the
problem of the optimum use and timing of the assignment of
these resources to the various project activities.
Resource Aggregation
Resource aggregation, or resource loading, is simply the summation,
on a period-by-period basis, of the resources required to complete all
activities based on the resource allocation carried out in the previous
stage.
➢The results are usually shown graphically as a histogram. Such
aggregation may be done on an hourly, daily, or weekly basis, depending
on the time unit used to allocate resources.
➢When a bar chart is used as the planning tool, the resource aggregation
is fairly simple and straightforward. For a given bar chart, there is a unique
resource unit aggregation chart which can be drawn underneath the bar
chart.
➢A separate graph will be required for each resource unit.
Resource Aggregation
➢An example is shown in figure

01 on the right, where, for a
particular resource, the required
resource units for each time
period are annotated on the bar
chart. The total number of
resource units for each time
period can then be summed and
a resource aggregation or load
chart can be produced.
Resource Unit Aggregation Chart Showing Resource Requirements
Associated with Earliest and Latest Start Along with Highlighted Resource
Unit Requirements for Critical Path Activities.
ce Resource Leveling is a process used to examine a project for an
unbalanced use of resources (usually people) over time, and for
resolving over-allocations or conflicts.
➢Resource leveling
ensures that resource
demand does not
exceed resource
availability.
Resource Demand
Compared to
Resource Availability
Analyzing the issues involved in resource leveling for a
situation where a bar chart has been used as the primary
planning technique for a simple project.
The reason for this is that resource leveling must be considered

within a time framework and bar charts are drawn to a time
scale while networks are not.
In figure the time-scale for the activities comprising the

project are shown in a bar chart, which also shows
resource requirements for one particular resource unit.
An examination of the bar chart and its associated
resource chart in figure 01 shows that
improvements can be made to the level of
resource requirements by:
Delaying or bringing forward the start of certain

activities
Extending the duration of certain activities and so

reducing the demand for resources over the duration
of the activity or by a combination of both of these
adjustments
Resource Smoothing
Resource smoothing is part of the resource leveling
process.
➢In itself, resource smoothing is the process that, not
withstanding any constraints imposed during the leveling
process, attempts to determine a resource requirement that
is "smooth" and where peaks and troughs are eliminated.
➢For example, even if 7 units of a given resource are
available at any one time, utilizing 5 of these units each week
is preferable to 4 in one week, 7 the next, 2 the next and so
on.
➢Even if there is no limit to the amount of any one resource
available, it is still desirable that resource usage is as smooth
as possible.
➢Given that the resource requirements of those
activities on the critical path are fixed, some order or
priority needs to be established for selecting which
activity and which particular resource associated with
this activity should be given priority in the smoothing
process.
➢In determining which activity should be given priority,

a subjective judgment should be made about the type
of resource (or resources) associated with each
activity; priority should be given to the activities whose
resources are considered to be most important.
➢Beyond this consideration, activities should be
ranked in order of total work content and total float or
slack available for that activity. A useful device for
prioritizing is to consider the ratio of total work
content /total float remaining and give priority to
activities with the highest value of this ratio.
Problem 11
Activity Preceding Duration Persons Remarks

Activity (days) Required
A - 3 2F + 2L F-Fitter
B - 4 2M + 2L L-Labor
C - 6 2W+ 2L W-Welder
D A 10 4F + 4L M-Mason
E B 4 2M + 2L
F C 2 2W + 2L
G D 4 2F + 2L
H E, F, G 3 3F + 3L 2024 31
Problem 11
Solution of Problem 11
Bar Chart with given Resource Requirements
2024 33
Bar Chart with modified Resource Requirements
Resource Leveling is done on non-critical activities without

2024 34
any change in project finish time.
Histogram for Labor required in the Project
2024 35
Histogram for Fitters required in the Project
2024 36
Workload and its Calculation
The DURATION of a task is the time required for its execution

and depends upon the units of resources involved in the task.
The duration is most often measured in days or in working
hours. (16 hours)
The UNITS are the resources available to perform the task. For
human resource, we speak of people. ( 2 people)
The WORKLOAD of a task is the result of duration multiplied by
the units. This assessment is often measured in people-days or
in people-hours. ( 32 people-hours)
DURATION = WORKLOAD / UNITS

16 hours = 32 people-hours / 2 people
A team composed of two
workers do a task in six days at
100% efficiency
HYPOTHESIS:
If the efficiency of a 4
workers team is only 75%, what
will be the task duration?
ANSWER:
4 days = 12 person-days /
(4 x .75)
2024 38
Project Costing
Cost is a resource sacrificed or foregone to achieve a
specific objective, or something given up in
exchange.
Costs are usually measured in monetary units, such as
dollars.
Project cost management includes the processes

required to ensure that the project is completed
within an approved budget.
Project Costing
◼Cost Estimating: Developing an approximation or

estimate of the costs of the resources needed to
complete a project.
◼Cost Budgeting: Allocating the overall cost estimate to

individual work items to establish a baseline for
measuring performance.
◼Cost Control: Controlling changes to the project budget.
Cost Estimating
Project managers must take cost estimates seriously if

they want to complete projects within budget
constraints.
It is important to know the types of cost estimates,

how to prepare cost estimates, and typical problems
associated with cost estimates.
Basic Tools and Techniques for Cost Estimates:
◼ Analogous or top-down estimates:

Use the actual cost of a previous, similar project as the basis
for estimating the cost of the current project.
◼ Bottom-up estimates:
Involve estimating individual work items or activities and
summing them to get a project total.
2024 42
Basic Tools and Techniques for Cost Estimates:
◼ Parametric modeling:
Uses project characteristics (parameters) in a mathematical
model to estimate project costs.
◼ Computerized tools:
Tools, such as spreadsheets and project management
software, that can make working with different cost estimates
and cost estimation tools easier.
2024 43
Thank you
Q&A
20XX 44
Q&A
Thank you
Presentation title 20XX 45

Construction Management

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ARCH 40023

Arch. MARIA VILLA A. SARMIENTO

Presentation title 2024 2

Supporting plans may encompass human resources,

Project planning is important at every phase of a project.

•facilitate communication and provide a central source of

•help the project sponsor and other key stakeholders know

•facilitate project management and control as the project

•enable effective monitoring and control of a project;

•manage project risk; and

•generate feedback useful for the next project planning

•Budget. Project managers look at what manpower and other resources

•Timeline. This reveals the length of time expected to complete each

Project planning includes the following 10 steps:

1. Define stakeholders. Stakeholders include anyone with an interest in the

3. Introduce stakeholders. Hold a meeting to bring stakeholders together and

6. Create a schedule. Establish a timeline that considers the resources

8. Communicate. Share the plan with all stakeholders and provide

10. Final evaluation. Once the project is completed, performance

Projects typically pass through five phases. The project

• Initiation defines project goals and objectives. It also is

• Planning sets out the project scope. It establishes what

• Execution is when the deliverables are created. This is the

• Monitoring and management occur during the execution phase

Presentation title 20XX 15

Each activity of the project has certain resource requirements

For example, an activity has a total requirement of 12 days

By crashing, this activity can be completed in 4 days. One

❑ Determining what resources will be required

❑ What quantity for each resource will be

❑ When are resources available to perform

Expert Judgment – Any group or person with

Bottom-Up Estimating – Decompose activities into

Three Point Estimating – Optimistic, pessimistic

The four major stages of resource scheduling process are

Resource definition involves identifying the critical resources

➢Resource allocation, is concerned with assigning the

➢More than one type of resource may be attributed to a

➢From a practical standpoint, resource allocation does not

➢In a multi-project environment as projects are competing

➢An example is shown in figure

The reason for this is that resource leveling must be considered

In figure the time-scale for the activities comprising the

Delaying or bringing forward the start of certain

Extending the duration of certain activities and so

➢In determining which activity should be given priority,

Activity Preceding Duration Persons Remarks

Resource Leveling is done on non-critical activities without

The DURATION of a task is the time required for its execution

DURATION = WORKLOAD / UNITS

Project cost management includes the processes

◼Cost Estimating: Developing an approximation or

◼Cost Budgeting: Allocating the overall cost estimate to

◼Cost Control: Controlling changes to the project budget.

Project managers must take cost estimates seriously if

It is important to know the types of cost estimates,

◼ Analogous or top-down estimates:

Presentation title 20XX 45

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