NUST

NATIONAL UNIVERSITY OF
NBC|
NUST
Balochistan
SCIENCES & TECHNOLOGY Campus

5th Semester | CE 371

CONSTRUCTION
PROJECT MANAGEMENT

Nadar Hussain, Ph.D.

Assistant Professor,
National University of Sciences & Technology,
Balochistan Campus, Quetta, Pakistan.
Cell phone# 03003567332
Email: nadaragk@gmail.com
What is a Project? NUST

Definition of a Project

A project is made up of a group of interrelated work activities constrained by a specific

scope, budget, and schedule to deliver capital assets needed to achieve the strategic goals

of an Agency.

A set of interrelated actions and activities that are performed to achieve a

pre-specified set of products, results, or services.

What is a Project? NUST

All projects must have a beginning

and an end.

Project managers help keep projects

on track.

Projects are defined by their scope,

budget, and schedule.

What is a Project? (Characteristics) NUST

• Temporary with a definite beginning and an end.

(a definite starting and a finishing date)

• Creates a unique product, service or result

• Executed for a purpose (has only one goal)

• Has interrelated activities

• Consume human and non-human resources (i.e., money, people & equipment)

• There will always be a level of uncertainty associated with a project (Risk)

Typical Examples of Projects NUST

• Constructing a building.

• Implementing a new business process or procedure.

Characteristics of Projects NUST

Project Management Triangle

Projects are defined by their

scope, budget, and schedule.
Scope of a Project NUST

• Each project is unique and must have a written requirements document that
takes into consideration operational needs, level of service, regulatory
requirements, and quality of deliverables.
• The scope evolves as new information becomes available through the project
life cycle.
Schedule of a Project NUST

• All projects must have a definite beginning and end.

• Agency sets approximate dates for the beginning of a project and the end date
when it is due to go into operation.
• Once there is a well-defined scope, the Agency needs to determine the time
it will take to complete the project by developing the project schedule.
• Developing the schedule involves breaking down the work into manageable
activities needed to accomplish the scope of each deliverable, estimating the
duration of each activity, and placing them in a logical sequence.
Schedule of a Project NUST

A project schedule tells you the expected duration of the project and the logical

relationships between the activities, including activities on the “critical path,”

that control the end date.

Budget of a Project NUST

A project budget is the total sum of money allocated for the particular purpose
of the project for a specific period of time.
A project budget is the total projected costs needed to complete a project over a
defined period of time.
The project budget will include such things as labor costs, material
procurement costs and operating costs.
The goal of budget management is to control project costs within the
approved budget and deliver the expected project goals.
What is Project Management? NUST

Project Management is the application of knowledge, skills, tools and

techniques to project activities to meet project requirements.

A method and a set of techniques based on the accepted principles of

management used for planning, estimating and controlling work
activities to reach a desired end result on time – within budget and
according to specification.
Project management has three essential requirements: thinking ahead,
communicating and evaluation.
What is Project Management? NUST

The art and science of coordinating people, equipment, materials, money, and
schedule to complete a specified project on time and within approved cost.

Project management is the planning, organizing, directing, and controlling of

company resources (men, material, machinery and money) for a relatively
short-term objective that has been established to complete specific goals and
objectives.
What is Project Management? NUST

• It is accomplished through application and integration of logically grouped

project management processes, which comprises 5 process groups.
• Initiation
• Planning
• Executing
• Monitoring
• Closeout
What is Project Management? NUST

• There are essentially Nine Knowledge Areas:

• Project Integration Management

• Project Scope Management

• Project Time Management

• Project Cost Management

• Project Quality Management

• Project Human Resource Management

• Project Communications Management

• Project Risk Management

• Project Procurement Management

The Triple Constraint of Project Management NUST

 Projects are performed and delivered under certain constraints.

Traditionally, these constraints have been listed as: Scope
(Performance)
“scope,” “time,” and “cost” (called the Project management
triangle)
Quality
 Scope: Project scope is a way to set boundaries
Time Cost
on your project and define exactly what goals, (Schedule) (Budget)
deadlines, and project deliverables you'll be working
Manage the Triple Constraints
towards.
 Budget (Cost): It is the amount of work measured in
units of currency (rupees) or labor-hours of work.
 Schedule (Time): Logical sequencing and timing of the
work to be performed.
Managing triple constraints NUST

• Builds the dashboard you use for controlling the project.

• Without this dashboard, you have no way of knowing where the project is
currently headed, how far off course it is, or what action to take to get it back
on course.

• If you neglect this function, you and all project stakeholders are subject to
unhappy surprises.
Managing triple constraints NUST

Uncontrolled

projects rarely

reach their goal.

Defining a Successful Project NUST

Completion of a Project within the constraints of time, cost and scope.

Project success is defined as project completion:

◦ Within the allocated time period

◦ Within the budgeted cost
◦ At the proper performance or specification level
◦ With acceptance by the customer/user
◦ When you can use the customers name as a reference
◦ With minimum or mutually agreed upon scope changes
◦ Without disturbing the main workflow of the organization
◦ Without changing the corporate culture
Advantages of Using Formal Project Management NUST

• Better control of financial, physical, and human resources

• Improved customer relations
• Shorter development times
• Lower costs
• Higher quality and increased reliability
• Higher profit margins
• Improved productivity
• Better internal coordination
• Higher worker morale
 Technical Focus vs. Project Management Focus
NUST
In constructing a road,
the technical focus will be on site surveying,
performing precise alignment measurements,
assessing the inclination, gradient and curvature of
the route, getting the needed equipment, clearing
undergrowth and other obstacles, digging and
leveling, laying the road sub-base, asphalting,
checking road traction, ensuring that an effective
drainage system is in place and erecting signage.
the project management focus will be on ensuring
that the work is performed effectively and efficiently
according to requirements and specifications, and on
time and within budget, that risks have been
adequately considered and proactively managed,
that proper communication and coordination between
all stake-holders concerned takes place, and that
regular work monitoring, evaluation and controlling
is assured.
Program Management NUST

• A program is defined as a group of related projects managed in a coordinated way

to obtain benefits and control, which cannot be achieved by managing them
individually.
• This coordination may provide decreased risk, economies of scale and improved
management that could not have been achieved if they were to be treated separately.
• Program management is defined as the centralized coordinated management of a
program to achieve the program’s strategic objectives and benefits.
• Projects within a program are related through the common outcome or collective
capability.
Program Management NUST

• Projects within a program may have different objectives but they share a
common GOAL.
• An example of a program “a new communications satellite system” with
projects for
design of the satellite and of the ground stations, construction of each, integration of the
system, and launch of the satellite.
Program Management NUST

Establish Department Admissions

Civil
Facilities Maintenance Engineering Teachers training

Program

Faculty Hiring Special Initiatives

Example of a Program NUST

Project for Upgrading Equipment

A CAPITAL
INVESTMENT
PROGRAM Project for Training Personnel

may
comprise Project for Expanding Production Lines
following
projects

Project for Acquiring Large-Scale Funding

Program & Project: Similarities NUST

Program and projects have goals and objectives which define their
purpose of existence

Program and projects have life-spans defining a starting and ending

point in time

Program and projects consume resources and necessarily incur cost

Program and projects require application of a methodology and must be

managed properly to ensure their chances of success

Program and projects aim at helping organizations achieve their mission

and adding value to them.
Program & Projects: Differences NUST

X Program may have multiple goals whereas projects have one prime
goal

X A program has a comparatively longer life-span, and obviously costs

more than the combination of all the projects which constitute it

X A program is inherently more complex than a constituting project – it

has a broader scope and may require extensive coordination between
its various constituting projects

X Whereas a project results in the creation of an output and is then

ended, a program must integrate and maintain the operationality of
that output for a specified period of time
Portfolio Management NUST

• Portfolio management is the selection, prioritization and control of an organization's

programs and projects, in line with its strategic objectives and capacity to deliver.
• A portfolio refers to a collection of projects or programs and other work grouped together
to facilitate effective management of that work to meet strategic business objectives.
• Projects included in a portfolio may or may not be of a common type or have common
objectives other than serving enterprise’s over all goals, which may include but are not
limited to profit maximization, strategic fit, risks, cost etc.
• Some portfolios may be quite large, comprising dozens or hundreds of projects and
consume lots of an organization‘s resources
• The projects comprising the portfolio may be in various stages of initiation, planning, and
implementation.
Portfolio Management NUST

• The projects or programs of the portfolio may not necessarily be interdependent or

directly related.
• For example, an infrastructure firm that has the strategic objective of “maximizing the return
on its investments” may put together a portfolio that includes a mix of projects in oil and gas,
power, water, roads, rail, and airports.
• From this mix, the firm may choose to manage related projects as one program.
• All of the power projects may be grouped together as a power program.
• Similarly, all the water projects may be grouped together as a water program.
• Project portfolio management is the responsibility of corporate management and is
therefore beyond the individual responsibility of a project manager.
Project Management & Portfolio Management NUST

Project Management is about “doing projects right” after the

projects have been accepted for inclusion in the project
portfolio.
while
Project Portfolio Management is about “doing the right
projects”, namely, ensuring that only those projects are selected
for subsequent inclusion in the project portfolio which will add
value to the organization.
Project Management Office (PMO) NUST

• A Project Management Office (PMO) is an organizational body which has

been assigned various responsibilities related to centralized and coordinated
management of the projects which comes under its domain.
• It may provide support functions (develop standards for project management,
etc.) as well as taking responsibility for the direct management of the project.
Project Management Office (PMO) NUST

• It may be given authority to take key decisions such as termination of projects and alignment of
project objectives with organizational strategic plans.
• A primary function of a PMO is to support project managers in a variety of ways which may
include, but are not limited to:
• Managing shared resources across all projects administered by the PMO;
• Identifying and developing project management methodology, best practices, and standards;
• Coaching, mentoring, training, and oversight;
• Monitoring compliance with project management standards, policies, procedures, and templates via project
audits;
• Developing and managing project policies, procedures, templates, and other shared documentation
(organizational process assets)
• Coordinating communication across projects.
The Role of a Project Manager NUST

• The Project Manager is the person assigned by the organization to achieve the
required project objectives.

• The role of a project manager is to lead the project team to ensure a quality
project within time, budget, and scope constraints. A project is a single, non-
repetitive enterprise and because each project is unique, its outcome can never be
predicted with absolute confidence. A project manger must achieve the end results
despite all the risks and problems that are encountered. The project manager must
perform the five basic functions of management: planning, organizing, staffing,
directing, and controlling.
Project Manager’s Role in Planning NUST

• Develop planning focused on the work to be performed.

• Establish project objectives and performance requirements early so
everyone involved knows what is required.
• Involve all discipline managers and key staff members in the process of
planning and estimating.
• Establish clear and well-defined milestones in the project so all concerned
will know what is to be accomplished , and when it is to be completed.
Project Manager’s Role in Planning NUST

• Build contingencies into the plan to provide a reserve in the schedule for
unforeseen future problems.
• Avoid reprogramming or re-planning the project unless absolutely necessary.
• Prepare formal agreements with appropriate parties whenever there is a change in
the project and establish methods to control changes.
• Communicate the project plan to clearly define individual responsibilities,
schedules, and budgets.
• Remember that the best-prepared plans are worthless unless they are implemented.
Project Manager’s Role in Organizing NUST

• Organize the project around the work to be accomplished.

• Develop a work breakdown structure that divides the project into definable
and measurable units of a work.
• Establish a project organization chart for each project to show who does
what.
• Define clearly the authority and responsibility for all project team members.
Project Manager’s Role in Staffing NUST

• Define clearly the work to be performed, and work with appropriate

department managers in selecting team members.
• Provide an effective orientation (project goals and objectives) for team
members at the beginning of the project.
• Explain clearly to team members what is expected of them and how their
work fits into the total project.
• Solicit each team member’s input to clearly define and agree upon scope,
budget, and schedule.
Project Manager’s Role in Directing NUST

• Serve as an effective leader in coordinating all important aspects of the project.

• Show interest and enthusiasm in the project with a “can do” attitude.
• Be available to the project staff, get problems out in the open, and work out problems in a
cooperative manner
• Analyze and investigate problems early so solutions can be found at the earliest possible
date.
• Obtain the resources needed by the project team to accomplish their work to complete
the project
• Recognize the importance of team members, compliment them for good work, guide
them in correcting mistakes, and build an effective team.
Project Manager’s Role in Controlling NUST

• Maintain a record of planned and actual work accomplished to measure

project performance
• Maintain a current milestone chart that displays planned and achieved
milestones
• Maintain a monthly project cost chart which displays planned expenditures
and actual expenditures
• Keep records of meetings, telephone conversations, and agreements
• Keep everyone informed, ensuring that no one gets any “surprises”, and have
solutions or proposed solutions to problems.
 NUST

Thank you