dr f dejahang (bsc ceng, bsc (hons) construction mgmt, msc, mciob, phd) 027 project management &...

Dr f Dejahang (BSc CEng, BSc (Hons) Construction Mgmt, MSc, MCIOB, PhD)

027PROJECT

MANAGEMENT &BUSINESS PLANNING PROCESS

PROJECT MANAGEMENT BUSINESS PLANNING PROCESS

Building and civil engineering projects carry uncertainty and risk.

Organisations under take RISK when they need to achieve their business objectives more effectively.

Expand ONLY when the potential benefits out weight the risk involved.

PROJECT MANAGEMENT BUSINESS PLANNING PROCESS

All projects should therefore arise from a need to fulfil two main factors such as:

1. Specific Strategic Objectives

2. Achieve competitive advantages

PROJECT MANAGEMENT BUSINESS PLANNING PROCESS

The business planning process has

four essential steps:

Remember ‘MOST’

Mission Statement States the reason for the

organisations existence; Initiates the business planning

process;

PROJECT MANAGEMENT BUSINESS PLANNING PROCESS

Objectives are: The position; In quantities terms; In qualitative terms; that the organisation wishes to

reach; Must be in a stated period of time.

PROJECT MANAGEMENT BUSINESS PLANNING PROCESS

Strategies to consider: Design to achieve the objectives such as: A set of budgets Clear goals Achievable targets Statement for needs.

PROJECT MANAGEMENT BUSINESS PLANNING PROCESS

Covering all aspects of the business

such as: People Premises Organisations Capital Cash.

PROJECT MANAGEMENT BUSINESS PLANNING PROCESS

Tactical plansIndividual plans to achieve items such as: Defined goal Operations and Projects

The plan describes how the organisation will

achieve each element of the strategic plan.

Tactical plans

1• Defined goal

2• Operations and Projects

3

• Achieve each element of the strategic plan

PROJECT MANAGEMENT BUSINESS PLANNING PROCESS

DEFINE THEBUSINESSMISSION

SET LONG TERMOBJECTIVES 5-10YEARS TO ACHIEVETHE MISSION

DEVELOP STRATEGIESTO ACHIEVE THEOBJECTIVES-INTERMIDIATE GOALS,BUDGETS,STRATEGIC PLANS

SHORT TERMGOALS, INDIVIDUALPLANS FORPROJECTS/OPERATIONS

MMMISSION LLLLLLL

OOBJECTIVES

SSTRATEGIES

STACTICS

PROJECT MANAGEMENT BUSINESS PLANNING PROCESS

Another way to look at Business plan Remember ‘COST’ C Commitment by all concerned to the

project O Objectives being clear to all-Scope and

Mission S Strategy to meet the objectives-Milestone

Plan T Tactical-activities found necessary to

achieve to each milestone and solve Problems

Project conception process

POLITICAL LEGAL INSTITUTIONAL

SOCIOLOGICAL TECHNOLOGICAL ECONOMIC

INFORMATION, ENERGY,MATERIAL

MOTIVATION START

POINT

INFORMATION, ENERGY,MATERIAL

Disposal of assets

Adaptation to external influence

Exam

ples

of

init

ial F

easi

ble

Dec

isio

ns

Project inception process

POLITICAL LEGAL INSTITUTIONAL

SOCIOLOGICAL TECHNOLOGICAL ECONOMIC

INFORMATION, ENERGY, MATERIAL

INFORMATION, ENERGY, MATERIAL

Construct a new building

Exam

ple

s of

init

ial F

easi

ble

Dec

isio

ns

Goal Time

SatisfactionofObjectiveRequired TheAcquisitionofRealProperty

A contribution to the client's objective through the acquisition of real property

P7Project inception process

POLITICAL LEGAL INSTITUTIONAL

SOCIOLOGICAL TECHNOLOGICAL ECONOMIC

INFORMATION, ENERGY, MATERIAL

INFORMATION, ENERGY, MATERIAL

Final Finish Point

Fini

sh s

pect

rum

Goal Time

The realisation of a new building

The project realisation process

ConstructA NewBuilding

FUNCTION OF PROJECT MANAGEMENT

FUNCTION OF PROJECT MANAGEMENT

The basic Management Principles described by Henri Fayol are:

To plan To organise To co-ordinate To control To lead

FUNCTION OF PROJECT MANAGEMENT

FUNCTION OF PROJECT

MANAGEMENT

To leadTo controlTo co-ordinate

To organiseTo plan

FUNCTION OF PROJECT MANAGEMENT

The function of Project Management

in more detail are: To establish the clients objectives and

priorities issues such as: brief formulation; client organisation; approval powers.

FUNCTION OF PROJECT MANAGEMENT

Design Project Organisation

Such as: organisation chart; decision point; Relationships; feed back.

FUNCTION OF PROJECT MANAGEMENT

Integrate Client into the project client organisation integrated into

project organisation; people responsibilities; decision processes.

FUNCTION OF PROJECT MANAGEMENT

Selection and appointment of

Contributors identify contributors; identify input required; identify when input required and duration; record types of appointment.

FUNCTION OF PROJECT MANAGEMENT

Full brief formulation process Establish need, budget, cost plan,

cost limit, procurement route. Start value engineering. Programme formulation. The overall project programme.

FUNCTION OF PROJECT MANAGEMENT

The phase or stage programme

The design programme. The procurement programme. The construction programme. The commissioning programme.

FUNCTION OF PROJECT MANAGEMENT

Activation of the relationships between contributors

Ensure contributors are brought in and integrated into the project organisation.

Ensure contributors can perform as required.

FUNCTION OF PROJECT MANAGEMENT

Establish appropriate information and communication structure by:

establishing a full project procedures manual containing;

description of formal communication cannel;

FUNCTION OF PROJECT MANAGEMENT

change requests and instructions; drawings framework; co-ordination project information

system; Address index of all contributors.

FUNCTION OF PROJECT MANAGEMENT

Convening and chairing meetings of

contributors at all stages such as:

Judging the need and frequency; Who needs to attend; Agenda setting; Minutes and action.

FUNCTION OF PROJECT MANAGEMENT

Monitoring and controlling Pro-active role; Obtaining feedback and under taking

analysis; Testing outcomes to objectives and

taking corrective action; Forecasting; Integrating and controlling

contributors.

FUNCTION OF PROJECT MANAGEMENT

Managing completion Commissioning programme; Training of user; As built drawings-user maintenance

manuals; Strategy for occupation or disposal.Evaluation of outcomes Success in achieving objectives; The final feedback loop;

FUNCTION OF PROJECT MANAGEMENT

SYSTEMATIC APPROACH TO ANY

PROJECT Royal Institute of British Architects

(RIBA PLAN OF WORK)

TACTICAL PLANS

M is s io n 5y e a rs

o b j e c tiv e s

S tra te g ie s

T a c tica lp la n s

T a c tica lle v e l( a c t iv itie s )

S tra te g ic le v e l( m ile s to n e s )

I n te g ra tiv ele v e l

( p u rp o s e a n do b j e c tiv e s

R E L A T I O N S H I P B E T W E E N C O R P O R A T E P L A N A N D P R O J E C T P L A N

P ro j e c t M is s io n , S co p e , O rg a n iz a tio n

M ile s to n e sE v e n t o r ie n ta te d

A ctiv ity o r ien ta te d

RIBA PLAN OF WORK

Appraisal

1 Carry out studies to determine the feasibility of the Client's requirement.

2 2A Review with client alternative design and construction approaches and the cost Implications.

3 2B Provide information for report on cost implications.

RIBA PLAN OF WORK

B Strategic Brief

1 Receive strategic brief prepared by the client.

C Outline Proposals

1 Commence development of Strategic Brief into Project Brief

2 Prepare Outline Proposal

3A Provide an approximation of construction costs. OR

3B Provide information for cost planning.

RIBA PLAN OF WORK

4 Obtain Client approval to Outline Proposals and approximate construction cost.

5 Co-operate with Planning Supervisor where applicable.

RIBA PLAN OF WORK

D Detailed Proposals

1 Complete developments of Project Brief.

2 Develop the Detailed Proposal from

approved Outline Proposals.

3A Prepare a cost estimate. OR

3B Provide information for preparation of

cost estimate.

4 Consult statutory authorities.

RIBA PLAN OF WORK

5 Obtain Client approval to the Detailed Proposal showing spatial arrangements, material and appearance, and a cost estimate.

6 Prepare and submit application for full planning permission.

RIBA PLAN OF WORK

E Final Proposals 1 Design Final Proposals from approved

Detailed Proposals. 2A Revise cost estimate. 2B Provide information for revision of cost

estimate. 3 Consult statutory authorities on

developed design proposals.

RIBA PLAN OF WORK

4 Obtain Client approval to type of construction, quality of materials, standard of workmanship and revised cost estimate.

5 Advise on consequences of any subsequent changes on cost and programme.

RIBA PLAN OF WORK

F Production Information

1 Prepare production information for tender purposes.

2A Prepare schedules of rates and/or quantities and/or schedules of works for tendering purposes and revise cost estimate. OR

RIBA PLAN OF WORK

2B Provide information for preparation of tender pricing documents and revision of cost estimate.

3A Prepare and make submissions under building acts and/or regulations for other statutory requirements. OR

3B Prepare and give building notice under building acts and/or regulations (not applicable in Scotland).

RIBA PLAN OF WORK

4 Prepare further production information for construction purposes.

G Tender documents 1 Prepare and collate tender documents in

sufficient detail to enable a tender or tenders to be obtained.

2 Where applicable pass final information to Planning Supervisor for pre-tender Health and Safety Plan.

RIBA PLAN OF WORK

3A Prepare pre-tender costs. OR 3B Provide information for preparation of

pre-tender cost estimate

H Tender Action

1 Contribute to appraisal and report on

tenders negotiations.

2 If instructed revise production information to meet adjustments in the tender sum.

RIBA PLAN OF WORK

J Mobilisation

1 Provide production information as requested for the building contract and for construction.

K Construction to Practical Completion

1 Make visits to the works in connection with the Architect's design.

RIBA PLAN OF WORK

2 Provide further information reasonable required for construction.

3 Review design information from contractors or specialists.

4 Provide drawings showing the building and main lines of drainage and other I information for the Health and Safety File.

RIBA PLAN OF WORK

5 Give general advice on operation and maintenance of the building.

L After Practical Completion.

1 Identify defects and make final inspections.

2A Settle Final Account. OR

2B Provide information required by others for settling final account.