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Building construction project management

 

Building construction project management

Table of Contents

1.0 Introduction. 4

1.2 Project sub-divisions. 4

1.1 Analysis ofbusiness objectives. 5

1.3 Project Methodology: 6

1.4 Feasibility: 7

2. Managing and controls project. 8

2.1 Management and Adminsistration. 8

2.2 Roles and responsibilities Of Project manager : 9

2.3 Project plan: 9

Critical path: 10

3. Project management: 10

4 Be able to organize and manage a project. 12

4.2 Identification of risks and issues that impedes a projoct. 13

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4.3 Design control systems to detect and manage issues arising in the course of projects. 15

5. Be able to review, evaluate and closeout a project. 16

5.1 Identify issues and risk likely to be encountered in the final stages of a project. 16

5.2 Assess the necessary project task to be completed in the final stages of a project. 16

Conclusion. 17

REFERNCES: 18

1.0 Introduction

The project management is an application of knowledge, skills, tools and techniques. The variousprocesses are included in the project management like initiation, planning, executing, monitoring and

controlling and closing. The project objectives are developed by the project manager. Sunrise is a

building construction company that carries out bulky scale projects and provides quality

management service. The construction sector is one of the growing sectors around the world and

contains huge employment of labors. The varieties of resources are needed for the development of a

successful project. The project manager plays a vital role to deliver quality project(Duncan,1996).

The efficient team is selected by the project manager because an effective team work can fulfill the

demand of the company. The project undergoes numerous life phases like initiation, planning,

design, construction and closeout. The framework is developed by the project manager that

implemented by the workers. Depending upon the project budget the project is designed andscheduled. In the project life cycle the scope refinement is become essential. The programs should

be scheduled properly because a definite beginning and end is required otherwise the company can

suffer huge loss due to the delay. A strategic planning is conducted to improve the quality of service

as well as to meet the growing demand and regulatory requirements(Randolph and Posner,1988).

The strong management control systems are configured in the sunrise construction company that

helps to meet that targeted goal of the company. The best possible resources and employees are

engaged in the sunrise construction company which results in delivering quality service to the

required customer. The prince 2 project methodology is selected to ensure the effectiveness of the

sunrise construction company.

1.2 Project sub-divisions

The project management tools are adapts to serve better quality service to the customers. The

construction project will focus on development of a new building.

The project management process involves following operational sub divisions-

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1.1 Analysis of business objectives

 

• Project initiation:

The construction business is one of the growing business sector and the customer demands are

increasing day by day. The sunrise construction company provides quality service to the customer so

the business reputation is very high. The huge investment is required for the construction business.

In this building construction project the sunrise construction company providing good quality

equipments that will fulfill the customer needs.

The alternative cost benefit analysis is done to find the best net gain to the society. The societybenefit is the key of alternative cost benefit analysis. The fair distribution is required to facilitate the

benefit to the overall community. The overall social benefit can be achieved if the collective benefits

are much higher than the losses. The transfer of payments is undertaken by the government as

income taxes from the construction sector. The potential cost and potential benefit is calculated by

the methodological techniques (Abdou,2002). The project cost includesaccounting costs, capital

charge and the operation and management cost. The cost of construction and development is

estimated around $ 12,876, including the equipments of water supply. The time required 1 to 2years

to complete whole framework. The cost analysis helps to determine the applicable externalities.

 

Cost analysis Summary

 

1.3 Project Methodology:

In this construction project the PRINCE 2 project methodology is taken under considerations. This

proposed methodology is applied in the sunrise construction company to enhance the performance

of overall business. The PRINCE 2 is one of the common methods which are applied by sunrise

Construction Company (Akintoveet al. 2008). It offers several advantages that are very effective

than the traditional methodologies that are used in the past.

1.4 Feasibility:

Risk management:

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The identification of risks is essential to establish any kind of business. It is important to give

attention regarding the risk factors because it can hamper the business. The decision making

process is involve with the risk management. The business opportunities are also identified by the

risk management. The risk management is a function of project management that is carried out by

the project manager(Deeprose ,2002). The management factor plays a vital role in overall project.

The various risk management components are represented below-

 

The effect of globalization is another factor that highly affects on construction project. The advanced

technologies are vividly used during the construction period. Depending upon the culture and country

globalization enhance the competition in the market. The globalization of the economy is also affects

the construction business because the foreign direct investment is easily available for the investors. It

also offers new opportunities that sometimes help the construction company. The global governance

helps to increase the business worldwide. The climate change is another factor that affects the

construction business.

2. Managing and controls project

2.1 Management and Adminsistration

 The PRINCE project methodology is one of the helpful tools which help the construction company.

The following components influence the success of business.

• Documentation- The project documents like the contract papers are verified by the project

manager. The framework is developed that implemented by the employees. The scoping of

the documents is essential because the approval is made after the documentation. The

contract of the total work is represented to the government. The permission of government

will not give if the proper documentation is not done (Field and Keller, 2007).

• Technique- The standard project technique is applied in the construction company because

the standard tool helps to provide a quality work. The Critical path analysis and risk

management is done to maintain the quality work. The project methodology undergoes

various techniques that create a landmark of building construction.

• Sequence- The various stages are present in a building construction. The practical

framework is done that helps to manage the various stages of the work. The total work is

divided into different stages that help in working.

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• Overview- The documentation and techniques are fitted together in this stage. The

techniques and documentation must be properly fit in the given task otherwise the framework

will not be implemented properly.

PRINCE 2 is applied in UK and Europe and it is one of the best techniques that are implemented in

the building construction. The methodology is divided into several parts and they are as follows-

• Starting up the project-It is one of the most important components that influence the total

business case. The starting of the project includes verities of tasks that should be

implemented properly because the starting framework determines the overall project work.

• Directing the project-The efficient decisions are taken by the manager regarding the

project. The decision should be practical because the work is conducted under the guidance

of the project manager. The guidelines are developed by the manager and the workers are

maintaining the guidelines throughout the project.

• Initiating the project- The main framework of the whole project is identified in this stage.

The project initiation documents are created for the task. The total project of building

construction is conducted in this phase

• Planning- The plans related to the projects are developed in this stage and the total lifecycle

of the project activity is selected in this stage. The standard planning helps to make a

consistent approach towards the project.

• Controlling-The day by day operation is controlled by the manager because it ensures the

quality. The predicted work is properly executed through the controlling over the employees.

• Monitoring-The feedback report is given to the project board about the working status. The

necessary action is conducted by the project manager to maintain the quality of the service.

• Closing-The finite project time is selected because the needs of the customer must be filled

by the company.

Thus, PRINCE 2 methodology helps the company to meet the targeted goal.

2.2 Roles and responsibilities Of Projectmanager :

The project is mainly guided by the project manager without the manager the project will be not

executed properly. The stakeholders are also played very critical role in this stage of working and the

supports are also given by the employees that result in success of the project. The risk management

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helps to know the threats of the project .The planning is developed by the manager and it is a key

issue in the overall project(Field and Keller, 2007)..

2.3 Project plan:

The sponsorship and accountability is under the project planning that is very important in this stage.

The accounts are regularly checked by the manager. An efficient accountant is available in this

construction company and he manages the accounts section very well. The working schedule is

developed by the manager and the employees maintain the schedule until the project is over.

Critical path:

The critical path analysis helps to predict that the project will complete in time or not. It is very

essential because a single day delay will results in huge loss of the company. The total activities are

enlisted with the help of software by the project manager. After that a diagram is developed that

contains all the relationship and activities together.

 

3. Project management:

Quality management

The quality management provides reduced cost to the company. The targeted goal is achieved by

the quality management. The various tolls are utilized by the company to ensure quality

management.

Quality Planning

The identification of quality standards are done to make an efficient plan. The proper execution is

done to fulfill the customers’ needs. The quality planning is requires for the construction business

because if the planning is not done then the correct path will be dislocated.

Execute Quality Assurance

The plan should be apply after the development of the framework. The quality assurance also

provides the better quality service because it is verified before going to the customer. The market

reputation is maintained due to this particular stage of work.

Execute Quality Control

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The quality management is needed to monitor for positive consequences to determine whether the

work is producing predicted quality or not. It increases the quality values of the company. The

customer’s needs are fulfilled because they get what exactly they want. So all the provided

requirements are fulfilled by the company and quality control helps to maintain the consistency of the

quality service.

Reducing cost and achieves client satisfaction

The extra costs are reduced due to the quality management so the quality work is easily delivered to

the respective clients at minimum cost. The expectations of the customers are fulfilled by the

company.

Managing accountability:

The success of the project is achieved by the standard management accountability that reduces the

extra cost. The resources are properly delivered by the company that results in standardaccountability.

Procedures for managing proposals

The reason of change must be known to the company. The success is come from the proper

framework done by the manager. The management planning is conducted by the efficient

employees. The cost managementstrategy and managing financial strategy must be completed by

the company to make the project success. The risk management must be identified properly. The

project undergoes several stages; each and every stage is executed by the workers. All the project

requirements are fulfilled by the standard framework done by the manager. The change is essential

for the company to deliver quality service to the required customers.

4 Be able to organize and manage a

project

For the monitoring and controlling of all the various aspects pertaining to project management Prince

2 methodology is followed which is a very standard practice followed across UK and Europe. It is

also followed by all the government commissioned projects of UK.

The basic structure is shown in the figure below:

 

The Project Inception: This happens only once during the course of the project and the business and

alternatives pertaining to the feasibility of the project is evaluated.

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Initiation of Project: At this stage a formal plan is made regarding how the project will be managed

.PID (Project Initiation document) will form the contract and also act as a guideline for the project.

Planning: The project deliverables needs to be chalked out clearly throughout the duration of the

entire lifecycle of the project so that the delays and mismanagement can be successfully averted.

Controlling: By controlling it means to design various documentation and operational plans which

helps to eradicate the mistakes that occur on site. Various tolls like CPM, WBS Gantt charts are used

to keep a strict control over the planned project schedule.

Monitoring: A constant feedback on all the processes from the controlling activities and acting on the

changes with necessary authorization of action and reporting to the project board (Ahmedet

al.2003).

Closing: A project cannot go on for an indefinite period and this construction project has a strict

deadline within which all the activities related to the same needs to be completed so that projectdoes not suffered from the clauses of penalty due to delay which the client generally puts in during

the contractual part at the beginning of the project (Duncan, 1996).

4.2 Identification of risks and issues that

impedes a projoct

Risks encountered in Cost Management

 

Risks encountered in Time

Management

 

Risks encountered in Quality

Management

 

• Rigidity of project schedule

• Design variations at site

leading to cost increase and

time delay (Chen et al, 2!"

• Client variations and sudden

re#uirements

• $ncidence of dispute %et&een

various regulatory %odies in

government and environment'

• ong approval procedures in

•  )ery Tight project schedule

• Time for the

implementation of

variations

• *perational +ystems &hich

are often Time

consuming (erkeley et al,

2-"

• ack of proper planning

• .oor #uality due to time

• +tretched project schedule

incurring losses'

• /navaila%ility of the e0pert

skilled &orkers

and engineers'

• Construction materials

price hike

• 10pert competency of

consultant

• e0pectations gap of #uality

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the management(erkeley et

al, 2-"

• Rejection of completed

&orks from the clients and

re&orking on the same

• Cost estimation &hich is

found to %e $ncomplete or

inaccurate'

 

constraints

• Time )ariations of the

consultancy programs

 

• ack of proper coordination

%et&een the team

participants(Chen et al,

2!"

 

4.3 Design control systems to detect and

manage issues arising in the course of

projects

This may be done with the help of a Work Breakdown structure together with a Gantt chart and

critical path evaluation which already has been illustrated before.

5. Be able to review, evaluate andcloseout a project

5.1 Identify issues and risk likely to be

encountered in the final stages of a

projectRisk is a part of the project management, which help to identify and take preventive measures to

overcome the issue, and challenges, which may occur during the time of the project. There are some

key risk issue are measure during the implementation of the final stage or step of the project which

should be taken care of in order to get the project completed within the given timeline. When the

administration office as well as the entire business, which being restructured and relocated from one

place to another place create a business risk(Duncan and Gorsha,2005). These activities may create

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a series of risk for the entire business, as the new area where the business relocated might not be

suitable for the smooth business operation. The risk factors are as follows,

• Probability to decrease the level of expert consultant

• Decrease in the overall opportunity

• Decrease in the co-ordination among the team member

• Inefficient monitoring system may lead to the failure of successive decision

• Affected by the environmental negative concern

• Safety risk

5.2 Assess the necessary project task tobe completed in the final stages of a

project

Decision taken by the managing director is one of the complex issues, which considered one of the

major challenges by the management as the level of sensitivity is high which related to the customer.

The entire analysis help to identify that the overall decision regarding relocation of the office may be

best for the business operation. The risk are the part and parcel which can be solve without proper

monitoring on the level of complexity occur due to the movement of the business office. Increase in

the 10% revenue might cause risk of losing potential customer as the customer are very focused on

the level of revenue increase in their respective product. However, the company focuses on

decreasing the overall cost of the business operation but relocation of the office might increase the

cost, which is more than the benefit incurred by the company for the given period. However, in the

long run it will prove to be beneficial for the company overall revenue generation. Client will be

decrease, which will lead to the decrease in the current earning capacity of the company. Generating

a bill of the entire work done for the given respective service to the core client must do accurately

and properly. The team should focused on the primary work on which they are targeted or should

focus on some new project which are required to allocated(Heerkens ,2002).

Conclusion

Project management is one of the most complex part for several organization and play a major role

in the overall success of the organization in long run especially in case of sensitive issue. In the

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given case, it can conclude that the overall relocation of the business may be successful depending

on the overall outcome of the risk factor of the project, which covered in the given paper. Planning

accordingly will help to generate a greater level of success rate of the project. There are some

different alternative plan which are being covered in the given paper in order to overall the uncertain

event in the given project management. The entire IT system should be enhanced for the better

business operation which will help to decrease the overall cost of the business(Lock ,2007).

REFERNCES:

Abdou, O.A., (2002), Managing Risks, Journal of Architectural Engineering,2(1), 3-10.

Ahmed, S.M., Ahmad, R. and Saram, D.D., (2003), Risk Management Trends in the Engnand: a

Comparison of Contractors and Owners Perceptions,Engineering,Construction and Architectural

Management, 6(3), 225-234.

Akintoye, A.S. and MacLeod, M.J.,( 2008), Risk Analysis and Management,International Journal of

Project Management, 15(1), 31-38.

Baker, W. and Reid, H., (2005),Identifying and Managing Risk, Frenchs Forest, N.S.W.:Pearson

Education.

Berkeley, D., Humphreys, P.C. and Thomas, R.D., 2005, Project Risk Action

Management,Construction Management and Economics, 9(1), 3-17.

Bernhard S., (2000), “ObjektorientierteReferenzmodellefür das Prozess- undProjektcontrolling”.Grundlagen – Konstruktionen – Anwendungsmöglichkeiten.ISBN 978-3-8244-

7162-1. p.131.

Chen, H., Hao, G., Poon, S.W. and Ng, F.F., (2004), Cost Risk Management in West RailProject of

London, 2004 AACE International Transactions.

Deeprose, D,( 2002), Project management. Oxford, U.K.: Capstone Pub

Duncan, G L and Gorsha, R(2005), A ‘Project management: A major factor in project success’ IEEE

Transactions on Power Apparatus and System 102 (11) (1983) 3701-3705

Duncan, W. R. (1996), Project Management Institute (PMI), A Guide to the Project

Field, M. and Keller, L.(2007), Project management. London: International Thomson Business Press.

Heerkens, G.,( 2002), Project management. New York: McGraw-Hill.Institute of Systems Science

(2001),Certified Information Technology Project Management,Singapore: NUS

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Lackman, M (1998), ‘Controlling the project development cycle,tools for successful project

management’ J System Management 16-28

Lock, D, (2007). Project management. Aldershot, England: Gower.Management Body of

Knowledge, North Carolina: PMI Publishing, Sylva

Morris, P W G and Hugh, G H (1986), Preconditions of Success and Failure in Major Projects

Templeton College,the Oxford Centre for Management Studies, Kinnington Oxford, Technical paper

No. 3

 Randolph, W A and Posner, B Z (1988), ‘What every manager needs to know about project

management’Sloan Management Review Summer .

Schwalbe, K (2000),Information Technology Project Management, Cambridge, MA

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