CONSTRUCTION METHODS & PROJECT MANAGEMENT (PRELIMINARIES)
MODULE I  Specifications are helpful to the contractor in filling the rates of various
SPECIFICATIONS. A detailed description of the quality of materials and
workmanship required to complete an engineering project in accordance with
its drawings and details is known as the specifications.
TYPES OF SPECIFICATIONS
1) General Specifications. In general specifications, nature and class of
works and names of materials that should be used are described. Only
a brief description of each and every item is given.
2) Detailed Specifications. The detailed specifications form a part of a
contract document. They specify the qualities, quantities and
proportions of materials and the method of preparation and execution
for a particular item of works in a project.
IMPORTANCE OF SPECIFICATIONS
1. Sometimes, it is not possible to furnish the information on the drawings,
regarding the quality of materials to be used and the quality of
workmanship to be achieved during construction, due to shortage of
space. Specifications provide such useful data in a separate
document.
2. The ‘drawings’ and ‘specifications’ form two important contract
documents. In case of discrepancy between the drawings and
specifications, the provisions of the specifications are given more legal
strength and shall govern.
3. The rates of items depend on the specifications. If the specifications are
rigid and demands for superior quality, the rate of item will increase
and vice versa.
4. Specifications are necessary during supervising the work.
5. The specifications of items are required by the contractor to fill the
rates of items in the tender document.
PURPOSES OF SPECIFICATIONS
 To describe the quality of different materials required for construction
work.
 It enables the department, engineers, architect, and contractor to
define, procure and check the material’s quality as per specifications.
 To specify the quality of workmanship and method of doing the same.
 Specifications are required to clarify the drawings.
items in the tender.
 Specifications of a work serves as a guide to the supervising staff of the
owner as well as the contractor to execute the work to their satisfaction.
 Specifications are necessary to verify and check the strength of
materials for a work.
 Specification is an essential contract document and is required for
arbitration (dispute between the contractor and owner) and court
cases.
 Specification is necessary to specify the equipment, tools, and plants
to be engaged for a work and thus enables to procure then beforehand.
REQUIREMENT OF A GOOD SPECIFICATION
1) It should be clear in all details both in plan and specification as a
protection to both owner and contractor is sure to render needed work
only as he understood clearly what is desired by the planner.
2) It should be brief because it is not like a novel. Only those
characteristics or feature that will assure result should be specified.
3) It should be definite, indefinite specifications are inserted for dishonest
and vicious intent.
4) It should be fair. Fairness in specification means protection of the client
and the contractor in every legal way.
5) It should be determinate. For example, specification state that "Lumber
required shall be suitable character for tax purpose intended of straight
grain and free from defects as the Engineer shall prescribed". This is not
determinate specification; it permits the Engineer in disregard of fair
play to require materials more superior to that actually needed by the
Engineer.
6) It should not be ambiguous. It should not have more than one meaning
or interpretation.
7) It should not be unnecessary severe. Specification for materials of the
class desired should be embodied. It should not be unusual or
extravagant because it adds materially to the expenses.
8) It should not be arbitrary. The Engineer's duty to control over the work
should not be arbitrary. The contractor should not be deprived of using
sound discretion when necessary to achieve the desired result.
 CONSTRUCTION METHODS & PROJECT MANAGEMENT (PRELIMINARIES)
MODULE II
CONSTRUCTION CONTRACT AGREEMENT. It is a document that sets the scope
and terms of work for a construction project. It is an agreement between the
contractor doing the construction and the person or company who hires them
to do the work. The agreement should contain several sections of clauses
defining the scope, terms, and conditions of the project, including:
 What work will be done
 When it will start and be completed by
 Which parties will participate in the construction process
 The cost of labor and materials
 How the parties will communicate
 Procedures for changing the scope of work or other parts of the
agreement
 How disputes will be resolved
Most contract agreements should include certain sections to protect parties
on both sides of the agreement.
 Project Description. This details what the project is about, including the
most important idea or description of the problem being addressed.
 Contract Price. The type of contract price that has been awarded and
the total amount of money being contracted are detailed, as well as
possible additions or deductions to the contract and how they will be
released. Prices should always be negotiated and established before
a contract is signed in order to avoid any confusion, disagreement, or
legal disputes.
 Payment Basis. This describes the money that will be paid to the
contractor, whether on a weekly, monthly, or milestone basis. This
section should also specify what percentage of money should be
retained on every application for payment. It will also define when the
payment is due, the penalty for late payments, whether interest is
accrued, and any other payment and invoicing terms.
 Schedule or Calendar. The total number of days or how the project
schedule will be divided, it should describe either calendar days or
business days and can be presented as a Gantt Chart, bar chart, CPM,
or another method.
 Document List. A list of all contract documents forms this part of the
contract agreement. Drawings, exhibits, specs, and supplemental
conditions can be part of this list.
 Construction Scope. The scope normally can be measured or
quantifiable and is a description of all construction activities that will
form part of the project.
 Construction Conditions and Responsibilities. Responsibilities for the
owner and the contractor, including who is responsible for providing
documents, information, payments, or other deliverables are laid out
so the project can progress on time.
 Contract Laws. Any applicable legal requirements, including governing
laws, liens requirements, claims procedures, arbitration procedures,
insurance, substantial completion requirements, final completion, and
liquidated damages are detailed. This may also include procedures for
how to terminate or suspend the work and the agreement with the
contractor.
Once the contract is finalized, it should be signed by both parties
before any work begins. By signing, both parties indicate that they
agree to the project terms.
If either party breaks the terms of the agreement, the contract should
outline procedures for how the dispute can be addressed, including
legal action.
ALL CONTRACTS SHOULD:
 Be in writing
 Contain description of the product or service being offered
 Be understood and clear between both parties
 Include services being contracted clearly
 Include cancellation or termination policy
 Have financial terms clear
TYPES OF CONSTRUCTION CONTRACT AGREEMENTS
 Express. This type of agreement defines the purpose and scope of the
agreement. Under this alternative, the stipulations and terms of the
contract are understood clearly by each part.
 Executed. An executed contract agreement provides a warranty period
or malfunction. Under this agreement, services have been rendered,
but the contract protects one party when the other's performance fails
to provide the proper warranty for defective or incorrect installation.
 CONSTRUCTION METHODS & PROJECT MANAGEMENT (PRELIMINARIES)
 Conditional. A conditional contract agreement is an agreement used
when services could not be provided at the time the contract was
signed. It stipulates a future date when services will be rendered if
certain conditions are met.
DO I NEED A CONSTRUCTION CONTRACT AGREEMENT?
1) A contract agreement protects both the parties involved in
construction work. It defines your scope of work, outlines terms for
payment, and provides methods of settling disputes.
2) Without a proper contract, any disagreements or miscommunication
over the work involved in the project, schedule, missed or late
payments, or other concerns could turn into a major legal battle. This
can become costly for both the property owner and the contractor.
3) Having a construction contract agreement protects the legal and
financial stake of everyone involved in a construction project. Neither
the owner of the construction company nor the owner of the property
should agree to start work without one.
TYPES OF CONSTRUCTION CONTRACTS
a. From a Legal Point of View Contract is a mutual agreement between
two or more parties that something shall be done, an agreement
enforceable at law.
b. According to FIDIC (International Federation of Consulting Engineers)
Contract means the General Conditions, the Supplementary
Conditions, the Specifications, the Drawings, the Bill of Quantities, the
Tender, the Letter of Acceptance, the Contract Agreement, and such
further documents as may be expressly incorporated in the Letter of
Acceptance or Contract Agreement.
c. According to Method of Payment. The agreement of how the owner will
pay the contractor for work performed such as a lump-sum or cost-
plus payment.
MODULE III
CONSTRUCTION PROJECT ORGANIZATIONAL STRUCTURE. It has to help ensure
on-time project completion within the set budget. You have to decide how best
to assign responsibility for scheduling and cost control while making sure the
project's working-level teams carry out the work in the right sequence and
according to the specifications.
 An effective project organization leaves project team members free
to decide on the technical aspects of their work while ensuring that they
act within the project's time and cost constraints.
 STRUCTURAL ORGANIZATION. It is the formal arrangements that are
established to coordinate all activities in order to implement a given
strategy.
 FRAMEWORK. Organization of a project differs from that of an operating
company because a project has a limited duration. Employees making
up the project team come from a company's general work force and
return there after the project is finished. Salaries, benefits, and
disciplinary matters remain with the corporate structure, while work-
related decisions come from the project organizational structure,
made up of functional units and working-level teams reporting to the
project manager. Those involved in the project focus on getting the
work done according to the project plan, satisfying specific cost,
scheduling, and quality objectives.
 FUNCTIONAL. Project managers need to control the project's scope and
costs, as well as handling project scheduling. The project manager
assigns responsibility for these functions to key people, and the
organizational structure gives them direct access to the working-level
teams carrying out the work. The teams either report back to the
functional units on costs, progress, and scope, or they require the
approval of the functional managers to place orders and schedule
work. In either case, the lines of reporting go from the project manager
through the functional units to the working-level teams, and back
through the functional units to the project manager.
 TECHNICAL. Construction projects include a technical component that
requires technical training, expertise, and professional qualifications.
The project manager organizes the working-level teams to carry out
specific tasks, such as drywall or plumbing, in the right sequence. The
functional units track progress, schedule the work and issue reports
back to the project manager. When the company does not have the
expertise in a particular field, it can hire contractors who interface
directly with the functional groups to ensure that their work meets the
requirements of the project.
 QUALITY. Quality control is a specialized function that usually has an
independent structure parallel to the project organization. Two
 CONSTRUCTION METHODS & PROJECT MANAGEMENT (PRELIMINARIES)
requirements for quality control are that the quality manager reports
directly to project management and that the personnel from the
quality control department have direct access to everyone carrying out
work on the project. The project organization chart generally shows the
quality manager directly below the project manager with a direct
reporting path. The remaining access is through a matrix organization
with reporting paths from each functional unit and working-level team
back to the quality assurance department. Through the link to project
management, the quality manager has authority over quality matters
throughout the project organization.
WHAT IS ORGANIZATION?
 ORGANIZATION is a group of individuals who are cooperating willingly
and effectively for a common goal. It is nothing more than the
mechanism by which administration directs, coordinates, and controls
its business. It is, indeed, the very foundation of administration. To be
specific, organization seeks to know who is to do and what is to be done.
 ORGANIZATION is a group of individuals who work together toward
common goals.
STRUCTURAL ELEMENTS OF AN ORGANIZATION (5 M’s)
 MEN. Members of the organization starting from the very top of the last
workman in the organization.
 MATERIALS. Represent the materials necessary in the distribution of
functions or in the attainment of its objective.
 MACHINE. The tools necessary in producing its desired output.
 METHOD. The procedures and ways used in the course of its action.
 MONEY. The financial resources of the organization.
PRINCIPLES OF GOOD ORGANIZATION
 Principle of Objective – must be known, it serves as the guide to future
planning and action. It integrates policies, projects and programs and
it enables every member to act consistently according to common
goal.
 Analysis – study as the work could be finished at the right time.
 Simplicity – The simplest organization that will serve to attain the
desired objective is considered the best. All activities which are not
absolutely necessary should be eliminated, and those retained should
be handled in the simplest practical way.
 Functionalism – The organization should be built around the main
functions and not around the individuals.
 Departmentalization – In a big organization, the scope of operation
can be very broad, necessitating departmentalization to achieve a flow
of operations.
 Centralization of Authority and Responsibility - in every organization
there should be centralized executive control or command authority.
 Limited Span of Control – The number of subordinates an executive
can manage effectively.
GOOD ORGANIZATION & GOOD EXECUTIVE
A good executive may be able to secure good results with a poor organization,
and a good organization may produce results from a poor executive. But the
ideal set up is, a combination of a good organization and a good executive.
WHAT IS MANAGEMENT?
 MANAGEMENT. According to Kast, 1974, management involves the
coordination human and material resources toward the attainment of
the organization’s goal.
 MANAGEMENT is a process – it is the process of directing and
facilitating the work of people who are organized for a common
purpose. It is the process of combining the efforts and resources of
individuals with a common interest to achieve a desired objective.
 Management is a function – it is an art of handling people. It is the
function of getting things done through the efforts of others.
PROCESSES OF MANAGEMENT (According to Stoner and Freeman, 1989)
1) Planning – process of establishing objectives and appropriate courses
of action before taking an action.
2) Organizing – arranging an organization’s structure.
3) Leading – directing and inspiring the personnel to perform their
functions.
4) Controlling – process of motivating actual organization activities to
ensure to move toward its objective.
MANAGEMENT CONCEPT
 Management to be effective must be systematic – Things can be
done better by means of plan of action. The plan is a step-by-step
outline of what is to be done and who does what.
 Management to be successful must be scientific – analysis of the
operation or work.
 CONSTRUCTION METHODS & PROJECT MANAGEMENT (PRELIMINARIES)
 Management must be humanistic – Application of good human
relations “pays off” through cooperation and coordination leading
toward.
THE MANAGER
 MANAGERS. According to Kast, 1974, people who are responsible for
integrating, coordinating, and directing activities of others.
 Manager as executive, is the most difficult and with the highest degree
of responsibility.
QUALITIES OF AN EFFECTIVE MANAGER
 Manager studies, analyzes, and dissects his/her job.
 Manager knows how to delegate the administrative details of his/her
job.
 Manager is willing to delegate to and share with his subordinates the
credit of a job well done.
 Manager trains and develops his men to assume delegated work.
 Manager knows how to control and plan his time.
 Manager institutes controls for effective performance.
EXECUTIVE FUNCTIONS OF A MANAGER
 To Plan - making things happen.
 To Organize - improving the organization will always improve
performance.
 To Direct - guiding and overseeing subordinates, they are taught what
to do and told to get on with the job (leadership and coordination).
 To Control - as the process by which an executive gets the
performance of his subordinates to correspond as closely as possible
to chosen plans, orders, objectives, or policies.
POLICIES & PROCEDURES
In planning, the critical task is the formulation of policies.
 Policies
- general statements, which guide or channel the thinking and
action of members of an organization.
 Procedures
- reflection of policy
- involves the selection of a course of action and applied to future
activities
- detailed the manner in which a certain activity must be
accomplished
DELEGATION OF AUTHORITY
 It is the key to effective management. Delegation of task to a
subordinate is a manifestation of faith and confidence towards
the ability of a subordinate. Authority is the power of an
administrator to delegate functions to the next ranking
executive, who in turn transmit it to the employees who are
charged with the actual operations.
 In order to have control, the manager must have authority.
Authority should have a definite limitation to avoid confusion.
Justifiable praise and commendation should be given the
deputy of work well done. Recognition is a basic human desire
and is an incentive for further achievement. This is one of the
means for executive development and or building morale.
RESPONSIBILITY & AUTHORITY
→ Responsibility is “Hell” without Authority.
- BUCK PASSING : There are people who constantly seek for authority
but evade responsibility.
→ Authority and responsibility must go together. But authority cannot
be delegated completely. It can only be shared.
HUMANISTIC MANAGEMENT
 It is a universally applicable. Employees who are given definite goals
will clearly understand what they should concentrate their talents on.
They know what is expected and the standards by which they will be
measured.
 According to Konosuke Matsushita (the founder of Panasonic
corporation of Japan), for a corporation to achieve its objective, it must
above all else, succeed in cultivating its human resources. People-first
business philosophy. Make people before it makes products.
WHAT IS AN ORDER?
 An ORDER is a specific message conveyed by a leader to a follower for
the purpose of influencing the follower to take desired action. Orders
are either VERBAL or WRITTEN.
WHEN TO USE VERBAL ORDER:
 When the order is simple, and the message can be clearly heard.
 When privacy is important.
 When the followers are intelligent and reliable.
 When a demonstration is involved.
 CONSTRUCTION METHODS & PROJECT MANAGEMENT (PRELIMINARIES)
WHEN TO USE WRITTEN ORDER:
 When precise figures or complicated details are involved.
 When orders must be passed on to someone else.
 When the workers involved are slow to understand and forgetful.
 When you want to hold the receiver strictly accountable.
 When particular sequence must be followed exactly.
 When a notice board can be suitably used.
 When you are quoting general instructions on higher authority.
 When a record is desirable, perhaps the order may need to be referred
to in the future.
HOW TO GIVE EFFECTIVE ORDERS
 Clarify your objective.
 Obtain favorable attention.
→ Your main objective is to get him to do what you want him to do and
like it. To achieve this, you must get interested attention so that he will
receive and correctly understand the complete order. Request and
suggestions make it much easier for a person to like doing what you
want him to do than a direct order.
 Make it simple and specific.
→ The order will only be clear and concise when it is simple and specific.
 Phrase it tactfully for best results.
→ Choose the most suitable kind of orders and phrase it in the way that
will produce the desired effect.
 Explain why it should be done your way.
→ Even they don't fully agree with the reasoning involved, they
appreciate being told about it.
 Learn how much information and guidance he needs.
 Let him have it.
→ Give the information and guidance he needs as clearly and
concisely as possible. Make sure you inspire his confidence in you and
the correctness of your order.
 Inspire his confidence in you and the correctness of your order.
 Note his readiness to act.
→ Watch his reaction to your order to see whether he has understood
it correctly and is ready to act on it.
 Give him faith in his ability to carry it out.
→ If there is any difficulty involved in his carrying out your order, he will
perform at his best when he believes in his ability to do it.
→ Show your faith in his ability. if you have any doubts about his
competence, keep them to yourself.
MODULE IV
PLANNING
 Planning is the process of making plans for something, and the art of
planning exist only among human beings.
 For a GOOD PLANNING, intelligence and experience are necessary.
 For a plan to be SUCCESSFUL, it must be prepared by those were trained
and qualified.
PRE-PLANNING STAGE
 Establishes and determine the direction and success of any
construction project.
 The point of pre-construction planning is to think of everything,
including the pre- construction cost and preconstruction services, then
go over it again.
 The pre-construction checklist should include every possible scenario
and contingency that the team may encounter during a project.
FOUR (4) BASIC RULES FOR ANY JOB
1. The construction superintendent should be included in the consultation
at very start of the planning stage. Do not just present him later the
finished plan and say: “here is the plan for you to implement.”
2. Make a job breakdown into components. This will simplify the whole
program.
3. Prepare a construction plan that will be consulted constantly. Do not
just file it in a drawer only to accumulate dust.
4. Take advantage of new tools, which have demonstrated in saving time,
money, or confusion.
FOR WHOM AND WHAT ARE WE PLANNING FOR?
1. We are planning for the owners of the company when we plan to
achieve a profit by operating at the minimum capacity, utilizing the
available resources.
2. We are planning for the employees when we plan to create or maintain
jobs.
 CONSTRUCTION METHODS & PROJECT MANAGEMENT (PRELIMINARIES)

THE PROJECT MANAGER 3. Determine the location and methods of erecting temporary structures:
 The central figure in a project. a. Job Offices
 He bears the ultimate responsibility for the success or failure of the b. Roadway
project. c. Workshops
 His role in the construction is one of an ORGANIZERS, a person who is d. Storage sheds
capable of working through others to accomplish the objectives of the
e. Bank house for workers and facilities
project.
These structures should be planned carefully, in anticipation of its
THE REWARD OF THE JOB OF PROJECT MANAGER COMES FROM:
removal during excavation of the permanent works.
 The benefits of being associated with a successful project.
 The job should be adequate, but not excessively staffed, to ensure
 The personal satisfaction of seeing it through to its conclusion.
efficient execution of the work.
 The challenge of the job and working with people.
 The construction site should be maintained in strict tidiness and in an
PROJECT CONSTRUCTION MANAGER
orderly routine because it has a psychological effect on the staff and
 Differs much from management of more traditional activities.
workers, which promote a conscientious service.
 It is unique one-time operation with one major objective - to
 In carrying out the construction work, idle time and unnecessary cost
accomplish a specified tasks in a limited time framework.
should be avoided. (phones, loudspeakers, signal post, signboard
 Oversee a variety of operations that involves repetitive activities, and
location etc.)
other various works.
 If all these operations get under way without undue delay, the job will
 His achievement can probably be traced to his success in managing
have a healthy aspect, high morale, and satisfaction.
people.
 The excavator with his equipment should start cleaning, stripping, and
 His mission is:
digging operations.
- To plan  Material deliveries should also start as soon as possible.
- To control  Labor force started excavation for the foundation works, etc.
- To coordinate  The contractor should produce sufficient copies of the plan and
- To accomplish specification. (supervisory staff, subcontractor, consultant).
THE WORKSHEET AND TIMETABLE PRELIMINARIES IN ORGANIZING A CONSTRUCTION JOB
What the Project Manager needs to know are: 1. Planning
 The logical construction sequence that must be followed. 2. Execution of major activities
 The quantity and the delivery dates of various materials to be used. 3. Project phase out
 How much and what kind of manpower will be needed. PROJECT CONSTRUCTION LIFE CYCLE REUIRES VARIOUS REQUIREMENTS SUCH
 When to start and complete the job on time. AS:
WORKSHEET represents a plan of action presented graphically by a critical  The site must be found, and boundaries relocated.
sequence of functions of subsidiary activities contained within a compact  Plan must be drawn.
period of time.  Plan must be approved by the owner.
PRELIMINARIES AND SITE MANAGEMENT  Building permit must be secured.
 After a contractor is awarded, the contractor has to: ORGANIZATION OF THE WORK
1. Determine the key personnel to supervise the work. The organization of the work is the responsibility of the contractor under
2. Make provisions for the equipment to be used. the direction of the supervising Architect or Engineer.
 CONSTRUCTION METHODS & PROJECT MANAGEMENT (PRELIMINARIES)

There are two (2) independent but related spheres of control and - relationships and dependencies between the various activities
responsibility that exist in the project construction, namely: Owner - project phases
(represented by his Architect or Engineer) and Contractor. - have been around for nearly a century, having been invented by
DUTIES OF CONTRACTOR Henry Gantt, an American mechanical engineer, around 1910
1) Providing and making access roads with due regards to the - is a tool used for planning and scheduling simple projects
convenience of construction. CONSTRUCTION MANAGEMENT KEYPOINTS
2) Erection of site office in a central position to facilitate checking of all site 1) Construction Management or Construction Project Management
activities. (CPM) - is the overall planning, coordination, and control a project from
3) Erection of store shed of adequate capacity to ensure: beginning completion.
a. Protection of materials against damage. 2) The construction industry is composed of five sectors: residential,
b. Protection of materials against deterioration. commercial, heavy civil, industrial, and environment.
c. Prevent materials from wastage and pilfering. 3) A construction manager should have the ability to handle public safety,
4) Construction of temporary quarters and ancillaries for labor with due time management, decision making, mathematics, and human
regard to site of works, amenities, and hygienic conditions. resources.
5) Appointment of supervisory staff possessing technical knowledge and FUNCTION OF CONSTRUCTION MANAGEMENT
capable of controlling the work and labor.  Specifying project objectives and plans including delineation of scope,
6) Early arrangement for construction equipment. budgeting, scheduling, setting performance requirements, and
DUTIES OF CONSULTANT (Arch. or Engr. on behalf of the owner) selecting project participants.
 As representative of the owner  Maximizing the resource efficiency through procurement of labor,
 Act as interpreter of the plan materials, and equipment.
 As guardian and arbiter between the owner and contractor  Implementing various operations through proper coordination and
 Maintain site records and documents like control of planning, design, estimating, contracting and construction in
 Layout plans the entire process.
 Contract documents  Developing effective communications and mechanisms for resolving
 Time and progress chart conflicts.
 Work diary REQUIRED KNOWLEDGE OF CONSTRUCTION MANAGER
 Contractor’s order book  Construction and Building
 Records of test  Technology
 Progress report  Public Safety
 Measurement book, etc.  Customer Service
PLANNING AND SCHEDULING WITH GANTT CHART  Human Resources
 GANTT CHART  Mathematics
- is a project management tool assisting in the planning and REQUIRED SKILLS AND ABILITIES OF CONSTRUCTION MANAGER
scheduling of projects of all sizes, although they are particularly  Time management
useful for simplifying complex projects.  Negotiation
- a visual display of the whole project  Decision Making
- timeliness and deadlines of all tasks  Problem Solving
 CONSTRUCTION METHODS & PROJECT MANAGEMENT (PRELIMINARIES)

The construction manager offers advice, uncolored by any conflicting BIDS

interest, on matters such as: A bid is given to the owner by construction manager that are willing to
- Optimum use of available funds complete their construction project. A bid tells the owner how much
- Control of the scope of the work money they should expect to pay the construction management
- Project scheduling company in order to complete the project.
- Optimum use of design and construction firms’ skill and talents  Open Bid: An open bid is used for public projects. Any and all
contractors are allowed to submit their bid due to public advertising.
- Avoidance of delays, changes, and disputes
 Closed Bid: A closed bid is used for private projects. A selection of
- Enhancing project design and construction quality
contractors is sent an invitation for bid so only they can submit a bid
- Optimum flexibility in contracting and procurement
for the specified project.
- Cash flow management
SELECTION METHODS
 CM at – risk is a delivery method which entails a commitment by the
 Low - bid selection: This selection focuses on the price of a project.
construction manager to deliver the project within a Guaranteed
Multiple construction management companies submit a bid to the
Maximum Price (GMP), in most cases.
owner that is the lowest amount they are willing to do the job for. Then
PLANNING AND SCHEDULING
the owner usually chooses the company with the lowest bid to
Project Management Methodology:
complete the job for them.
 Work breakdown structure
 Best – Value selection: This selection focuses on both the price and
 Project network of activities
qualifications of the contractor’s submitting bids. This means that the
- Critical path method (CPM)
owner chooses the contractor with the best prices and the best
- Resource management qualifications. The owner decides by using a request for proposal (RFP),
- Resource leveling which provides the owner with the contractor’s exact form of
Architecture – Engineer scheduling and budgeting that the contractor expects to use for the
- Work inspection project.
- Change order  Qualifications – Based selection: This selection is used when the owner
- Review payment decides to choose the contractor only on the basis of their
- Materials and samples qualifications. The owner then uses a request for qualifications (RFQ),
- Shop drawings which provides the owner with the contractor’s experience,
- 3D image management plans, project organization, and budget and schedule
 Agency CM performance. The owner may also ask for safety records and individual
Construction Cost Management is a fee-based services in which the credentials of their members.
Construction Manager (CM) is responsible exclusively to the owner and PAYMENT CONTRACTS
acts it the owner’s interests at every stage of the project.  Lump – sum: This is the most common type of contract. The
 Duties construction manager and the owner agree on the overall cost of the
A construction project manager sets up the estimates, the budgets and construction project and the owner is responsible for paying that
the construction timetable for the client and develops the construction. amount whether the construction project exceeds or falls below the
agreed price of payment.
 CONSTRUCTION METHODS & PROJECT MANAGEMENT (PRELIMINARIES)

 Cost – Plus fee: This contract provides payment for the contractor  Lead Estimator
including the total cost of the project as well as a fixed fee or  Senior Estimator
percentage of the total cost. This contract is beneficial to the contractor  Chief Estimator
since any additional costs will be for paid even though they were OBTAINING THE PROJECT
unexpected for the owner.  FIELD ENGINEER. A field engineer is considered an entry-level position
 Guaranteed Maximum Price: This contract is the same as the cost – and is responsible for paperwork. During the pre-construction stage, a
plus – free contract although there is a set price that the overall cost site investigation must take place. A site investigation takes place to
and fee do not go above. discover if any steps need to be implemented on the job site. This is in
 Unit – Price: This contract is used when the cost cannot be determined order to get the site ready before the actual construction begins. This
ahead of time. The owner provides materials with a specific unit price also includes any unforeseen conditions such as historical artifacts or
to limit spending. environment problems. A soil test must be done to determine if the soil
THE FIVE (5) TYPES OF CONSTRUCTION is in good condition to be built upon.
 Residential: Residential housing is for society including individual  PROCUREMENT. The procurement stage is when labor, materials and
homes, apartments, condominium, and townhouses. equipment needed to complete the project are purchased. This can be
 Commercial: This refers to construction dealing with the needs of done by the general contractor if the company does all their own
commerce, trade, and government. Some examples may be school, construction work. If the contractor does not do their own work, they
banks, hospitals, theaters, and government buildings. obtain it through subcontractors. Subcontractors are contractors who
 Heavy Civil: This type of construction greatly impacts society since it specialize in one particular aspect of the construction work such as
deals with transportation. Some examples are roads, bridge, railroad, concrete, melding, glass, or carpentry. Subcontractors are hired the
dams, tunnels, and airports. same way a general contractor would be, which is through the bidding
 Industrial: Industrial is connected will buildings that are used for process. Purchase orders are also part of the procurement stage.
different types of production. Some examples are chemical plants,  PURCHASE ORDER. A purchase order is used in various types of
steel mills, oil refineries, manufacturing plants, and pipelines. businesses. In this case, a purchase order is an agreement
 Environmental: Environmental used to be part of heavy civil, but it now between a buyer and seller that the products purchased meet
has its own section since it deals with projects that improve the the required specification for the agreed price.
environment. Some examples are sanitary sewers, waste  CONSTRUCTION. The construction stage begins with a pre-
management, and clean water. construction meeting brought together by the superintendent. The pre-
CONSTRUCTION MANAGEMENT JOBS construction meeting is meant to make decisions dealing with work
 Planning Engineer hours, material storage, quality control, and site access. The next step
 Project Coordinator is to move everything onto the construction site and set it all up. At this
 Field Engineer stage, construction monitoring and supervision is of great importance
 Office Engineer to ensure that a project is completed on time and on budget, while
 Quantity Surveyor meeting all relevant regulations and quality standards.
 Project Engineer  POST-CONSTRUCTION. Once the construction has been completed
 Area Superintendent there are specific steps that must be taken to prepare the building for
 Project Manager occupancy.
 Estimator
 CONSTRUCTION METHODS & PROJECT MANAGEMENT (PRELIMINARIES)
 Project Punch out: A project punch out means that the project
must be looked at for any issues before it is considered
completely finished. Issues may include replacing a cracked
tile on the floor or changing the color of paint. A list is created
containing these issues and it is known as a punch list.
 Substantial Completion: The architect for the project
determines if the building meets every requirement and issues
a certificate of substantial completion.
 Guaranteed Maximum Price: This contract is the same as the
cost – plus- fee contract although there is a set price that the
overall cost and fee do not go above.
 Unit – Price: This contract is used when the cost cannot be
determined ahead of time. The owner provides materials with
a specific unit price to limit spending.
 PROJECT STAGES
 DESIGN. The design stage contains a lot of steps: programming
and feasibility, schematic design, design development, and
contract documents. It is the responsibility of the design team
to ensure that the design meets all building codes and
regulations. It is during the design stage that the bidding
process takes place.
- Programming and Feasibility: The needs, goals, and
objectives must be determined for the building.
Decisions must be made on the building size, number
of rooms, how the space will be used, and who will be
using the space. This must all be considered to begin
the actual designing of the building.
- Schematic Design: Schematic designs are sketches
used to identify spaces, shape, and patterns. Materials,
sizes, colors, and textures must be considered in the
sketches.
- Design Development (DD): This step requires research
and investigation into what materials and equipment
will be used as well as their cost.
- Contract Documents (CDs): Contract documents are
the final drawings and specifications of the
construction project. They are used by contractors to
determine their bid while builders use them for the
construction process. Contract documents can also be
called working drawing.
 PRE-CONSTRUCTION. The pre-construction stage begins when the
owner gives a notice to proceed to the contractor they have chosen
through the bidding process. A notice to proceed is when the owner
gives permission to the contractor to begin their work on the project.
The first step is to assign the project team which includes the project
manager (PM), contract administrator, superintendent, and field
engineer.
 Project manager: The project manager is in charge of the
project team.
 Contract Administrator: The contract administrator assists the
project manager as well as the superintendent with the details
of the construction contact.
 Superintendent: It is the superintendent’s job to make sure
everything is on schedule including flow of material, deliveries,
and equipment. They are also in charge of coordinating on-site
construction activities.
 Field Engineer: A field engineer is considered an entry-level
position and is responsible for paperwork. During the pre-
construction stage, a site investigation must take place. A site
investigation takes place to discover if any steps need to be
implemented on the job site. This is ordered to get the site.
 Substantial Completion: The architect for the project
determines if the building meets every requirement and issues
a certificate of substantial completion. This certificate
announces the official completion of the project.
 Final Inspection: A final inspection is done by the building
official once the certificate of substantial completion has been
issued.
 Certificate of Occupancy: A certificate of occupancy is issued
by the building official which informs the owner that it is now
safe to occupy. This is issued by the building official after the
final inspection.
 Final Documentation: This provides information on the
building to the owner for future references. This includes
 CONSTRUCTION METHODS & PROJECT MANAGEMENT (PRELIMINARIES)
warranties, operation manuals, inspection and testing reports,
and record drawings.
 Final Completion: Final completion occurs when all required
paperwork and documentation is completed, including
payments to the contractor.
 OWNER OCCUPANCY. Once the owner moves into the building, a
warranty period begins. This is to ensure that all materials, equipment,
and quality meet the expectations of the owner that are included within
the contract.
 ISSUES RESULTING FROM CONSTRUCTION
 Noise Control
 Dust and Mud
 ENVIRONMENTAL PROTECTIONS
 Storm water Pollution: As a result of construction, the soil is
displaced from its original location which can possibly cause
environmental problems in the future. Runoff can occur during
storms which can possibly transfer harmful pollutants through
the soil to rivers, lakes, wetlands, and coastal waters.
 Endangered Species: If endangered species have been found
on the construction site, the site must be shut down for some
time. The construction site must be shut down for as long as it
takes for authorities to decide on the situation. Once the
situation has been assessed, the contractor makes the
appropriate accommodations to not disturb the species.
 Vegetation: There may often be particular trees or other
vegetation that must be protected on the job site. This may
require fences or security tape to warn builders that they must
not be harmed.
 Wetlands: The contractor must make accommodations so
that erosion and water flow are not affected by construction.
Any liquid spills must be maintained due to contaminants that
may enter the wetland.
 Historical or Cultural artifacts: Artifacts may include
arrowheads, pottery shards, and bone. All work comes to a halt
if any artifacts are found and will not resume until they can be
properly examined and removal from the area.
 CONSTRUCTION ACTIVITY DOCUMENTATION
 PROJECT MEETINGS. Project meetings take place at scheduled
intervals to discuss the progress on the construction site and
any concerns or issues. The discussion and any decisions
made at the meeting must be documented.
- Diaries: each member of the project team is expected
to keep a project diary. The diary contains summaries
of the day’s events in the member’s own words. They
are used to keep track of any daily work activity,
conversations, observations, or any other relevant
information regarding the construction activities.
Diaries can be referred to when disputes arise, and a
diary happens to contain information connected with
the disagreement. Diaries that are handwritten can be
used as evidence in court.
- Logs: Logs keep track of the regular activities on the job
site such as phone logs, delivery logs, and RFI (Request
for Information) logs.
- Daily Field Reports: Daily field reports are a more
formal way of recording information on the job site.
They contain information that includes the day’s
activities, temperature, and weather conditions,
delivered equipment or materials, visitors on the site,
and equipment used that day.
 LABOR
- Visual Records
- Web Cameras
 RESOLVING DISPUTES
- Mediation: Mediation uses a third-party mediator to
resolve any disputes. The mediator helps both
disputing parties to come to a mutual agreement. This
process ensures that no attorneys become involved in
the dispute and is less time-consuming.
- Minitrial: A minitrial takes more time and money than
mediation. The minitrial takes place in an informal
setting and involves some type of advisor or attorney
that must be paid. The disputing parties may come to
 CONSTRUCTION METHODS & PROJECT MANAGEMENT (PRELIMINARIES)

an agreement, or the third-party advisor may offer determining the requirement of resources such as men,
their advice. The agreement is nonbinding and can be materials, machines,
broken.  Scheduling: Based on the time estimates, the start and finish
- Arbitration: Arbitration is the most costly and time- times for each activity are worked out by applying forward and
consuming way to resolve a dispute. Each party is backward pass techniques, critical path is identified, along with
represented by an attorney while witnesses and the slack and float for the non-critical paths.
evidence are presented. Once all information is  Controlling & Monitoring: Controlling & monitoring refers to
provided on the issue, the arbitrator makes a ruling analyzing and evaluating the actual progress against the plan.
which provides the decision. The arbitrator provides Reallocation of resources, crashing and review of projects with
the final decision on what must be done, and it is a periodical reports are carried out.
binding agreement between each of the disputing COMPONENTS OF PERT/CPM
parties. 1) ACTIVITY. An activity represents an action and consumption of
resources (time, money, energy) required to complete a portion of a
MODULE V project. Activity is represented by an arrow.
2) EVENT. An event (or node) will always occur at the beginning and end
PROJECT MANAGEMENT of an activity. The event has no resources and is represented by a circle.
 PROJECT. A project is an interrelated set of activities that has a definite The ith event and jth event are the tail event and head event
starting and ending point and that results in a unique product or respectively.
service. NETWORK PLANNING STEPS
 PROJECT MANAGEMENT. Project management is a scientific way of 1) Describing the Project.
planning, implementing, monitoring & controlling the various aspects 2) Diagramming the Network.
of a project such as time, money, materials, manpower & other 3) Estimating time of completion.
resources. 4) Monitoring Project Progress
 PERT stands for Project Evaluation and Review Technique developed NETWORK DIAGRAM CONCEPTS
during 1950’s. The technique was developed and used in conjunction  Activity
with the planning and designing of the Polaris missile project.  Precedence relationship
 CPM stands for Critical Path Method which was developed by J. E. Kelly  Successor
of Remington-Rand and M. R. Walker of Du Pont Company and applied  Event
first to the construction projects in the chemical industry in 1958. GUIDELINES FOR NETWORK DIAGRAM
 PERT is used for analysis of project scheduling problems. 1) Before an activity can begin, its preceding activities must be
 CPM is used to make an advanced scheduling and cost control completed.
methods; it has single time estimate and PERT has three-time 2) Arrows indicate logical precedence.
estimates for activities and uses probability theory to find the chance 3) Flow of the diagram is from left to right.
of reaching the scheduled time. 4) Arrows should not intersect.
THREE (3) PHASES OF PROJECT MANAGEMENT 5) Dangling should be avoided.
 Planning: Planning involves setting the objectives of the APPROACHES FOR NETWORK DIAGRAM ACTIVITY ON ARROW (AOA)
project. Identifying various activities to be performed and  Uses arrows to represent activities and nodes to represent events.
 CONSTRUCTION METHODS & PROJECT MANAGEMENT (PRELIMINARIES)
 It is Event Oriented.
 DUMMY ACTIVITY. AOA approach requires the addition of a Dummy
Activity to clarify the precedence relationships between the two
activities. It is a zero-time activity and consumes no resources.
 Dummy Activity is used in two situations:
 When two or more activities start and end at the same nodes.
 When two or more activities share the same precedence
activity but not all the precedence are shared.
ESTIMATING TIME COMPLETION
1) Total time for completion.
2) ES - Earliest start time: the earliest time at which the activity can start
given that its precedent activities must be completed first.
3) EF - Earliest finish time equals to the earliest start time for the activity
plus the time required to complete the activity.
4) LF - Latest finish time: the latest time in which the activity can be
completed without delaying the project.
5) LS - Latest start time: equal to the latest finish time minus the time
required to complete the activity.
6) FORWARD PASS: The early start and early finish times are calculated by
moving forward through the network and considering the predecessor
activities considers maximum.
7) BACKWARD PASS: The latest start and finish times are calculated by
moving backward through the network. Considers minimum.
8) SLACK TIME: Slack time for an activity is the difference between its
earliest and latest start time or between the earliest and latest finish
time. Critical path is the path of activities having zero Slack time.
CRITICAL PATH ANALYSIS
 The critical path for any network is the longest path through the entire
network. Since all activities must be completed to complete the entire
project, the length of the critical path is also the shortest time allowable
for completion of the project. Thus, if the project is to be completed in
that shortest time, all activities on the critical path must be started as
soon as possible. These activities are called critical activities.
 The activity, which does not lie on the critical path, is called non-critical
activity. These non-critical activities may have some slack time. The
slack is the amount of time by which the start of an activity may be
delayed without affecting the overall completion time of the project.
But a critical activity has no slack.
 SCHEDULING OF ACTIVITIES: Earliest Time (TE) and Latest Time(TL)
Before the critical path in a network is determined, it is necessary to find
the earliest and latest time of each event to know the earliest expected
time (TE) at which the activities originating from the event can be
started and to know the latest allowable time (TL) at which activities
terminating at the event can be completed.
 FORWARD PASS COMPUATIONS (Calculate Earliest Time) Procedure:
1) Step 1: Begin from the start event and move towards the end
event.
2) Step 2: Put TE = 0 for the start event.
3) Step 3: Go to the next event (i.e node 2) if there is an incoming
activity for event 2, add calculate TE of previous event (i.e event
 CONSTRUCTION METHODS & PROJECT MANAGEMENT (PRELIMINARIES)
1) and activity time. Note: If there are more than one incoming
activities, calculate TE for all incoming activities and take the
maximum value. This value is the TE for event 2.
4) Step 4: Repeat the same procedure from step 3 till the end
event.
 BACKWARD PASS COMPUTATIONS (Calculate Latest Time) Procedure:
1) Step 1: Begin from end event and move towards the start event.
Assume that the direction of arrows is reversed.
2) Step 2: Latest Time TL for the last event is the earliest time. TE of
the last event.
3) Step 3: Go to the next event, if there is an incoming activity,
subtract the value of TL of previous event from the activity
duration time. The arrived value is TL for that event. If there are
more than one incoming activities, take the minimum TE value.
4) Step 4: Repeat the same procedure from step 2 till the start
event.
DETERMINATION OF FLOAT AND SLACK TIMES. The float of an activity is the
amount of time available by which it is possible to delay its completion time
without extending the overall project completion time (extra time available for
an activity).
Where:
t = duration of activity
TE = earliest expected time
TL = latest allowable time
ES = earliest start time of the activity
EF = earliest finish time of the activity
LS = latest start time of the activity
LF = latest finish time of the activity
 Optimistic Time, to: It is the shortest time taken to complete the
activity. It means that if everything goes well then there is more chance
of completing the activity within this time.
 Most Likely Time, tm: It is the normal time taken to complete an activity,
if the activity were frequently repeated under the same conditions.
 Pessimistic Time, tp: : It is the longest time that an activity would take
to complete. It is the worst time estimate that an activity would take if
unexpected problems were faced.
STEPS IN PERT ANALYSIS
1) Identify the specific activities.
2) Determine proper sequence of the activities.
3) Construct the network diagram.
4) Estimate the time required for each activity.
5) Determine the critical path.
6) Update the PERT chart.
ADVANTAGES OF PERT
 Expected project completion time.
 Probability of completion before a specified date.
 The critical path activities that directly impact the completion time.
 The activities that have slack time and that can lend resources to
critical path activities.
 Activity start and end dates.
LLIMITATIONS OF PERT
 The PERT Formula Requires Too Much Work.
 The network charts tend to be large and unwieldy.
 Calculating the time estimates is very complex for all the activities.
 Updating of the project is time consuming and requires high costs.
 Emphasis is laid only on time factors and cost factors are neglected.
 CONSTRUCTION METHODS & PROJECT MANAGEMENT (PRELIMINARIES)

MODULE VI
CONSTRUCTION METHODS & PROJECT MANAGEMENT (PRELIMINARIES)
CONSTRUCTION METHODS & PROJECT MANAGEMENT (PRELIMINARIES)
CONSTRUCTION METHODS & PROJECT MANAGEMENT (PRELIMINARIES)