1. Project Charter .

The Project Charter is the document that “formally authorizes the

project”. The Project Charter provides the Project Manager and Project Team with the authority
to use resources for the purpose of undertaking the project. The Project Charter is usually short
and is issued by the Project Sponsor or a senior official outside the level of the project
organization. Some Project Charters contain brief general information about the project; others
may contain specific details.
Project Charter of Construction Project
Part I – General Information
a. Project Title CEM Office Complex in Islamabad
b. Project Scope CEM Corporation has its headquarters in Karachi, Pakistan. The project aims
at realizing new CEM offices in Islamabad. The offices will be in the Blue Area.
Abstract An underground parking lot will be built as well as restaurants and a pied-a-
terre for the Top Management of CEM.
c. Project d. Level of e. Project Sponsor(s) f. Type of Project Sponsor
Manager Authority
Mr. ABC Full Decision and Mr. XYZ CEM CEO
Spending
Authority
g. Product Description / The full complex is made of a tower in the Blue Area of Islamabad. Besides the
Deliverables new offices of CEM, a two-floor underground parking lot will be built. A
restaurant will be built on the ground floor. A second restaurant will be on the
first floor of the building. Both restaurants will function as a canteen for the
employees and as a restaurant for visitors. At the last floor of the tower small
pied-a-terre apartments will be located to host CEM Management in case they
need to attend evening meetings. The internal lighting of the tower and the
climate control has been designed by the MES consultants. The whole system
has been designed to have the lowest environment impact thanks to
computer-controlled panels. Project deliverables are:
1) 70-metre office complex tower.
2) Two-floor underground parking lot with 400 spaces.
3) 20 pied-a-terre apartments for CEM Top Management.
4) Two restaurants at the ground floor and first floor for 500 seats each.
5) Computerized lighting and climate control system.
6) Maintenance plan of the complex.
h. Project Objectives The project is part of our strategic expansion plan in the South Asian
Countries. With this project we also establish a strategic partnership with MES
Consultants. This collaboration will enhance the chance of success in future
project biddings thanks to their innovative system. The overall infrastructure
of the lighting system and climate control will be developed by the Opera
electronics. The project aims at developing a strong relationship with the
Opera electronics as well.
i. Job Site The site is in Blue Area Islamabad. Particular attention will be given to the
relationship management with the project sponsor and local stakeholders.
Project personnel will be trained to maintain correct behaviors with all local
project stakeholders.
j. Pre-assigned Resources Mr. Ahmed. Skilled Team Leader with long experience in the Pakistan
construction industry.
Mr. Muhammad. Project Planner with a deep knowledge of Primavera P6.
Two cranes (280 HC-L 16/28 and 357 HC-L 18/32)
k. Stakeholders List
Name Title Organization
Mr. XYZ Project Sponsor CEM Corp.
Mr. Hamza Khan Sub-contractor Piling Company
Mr. Waseem Chief Architect MES Consultants
Mr. Umer Farooq Solar Radiation System Proj. Manager Opera Electronics
Mr. Hassan Ashfaq Local Authority Construction Government Office
l. Summary Milestone Schedule
Description Due Date
Project Kick Off 1st Nov 2022
Foundation Completion 30th Dec 2022
Computerized lighting and climate 1st Dec 2023
control system
Offices Tower Handover 30th Jan 2024
Parking Lots Handover 30th Feb 2024
Restaurants Opening 15th Apr 2024
m. Summary Budget Parking Construction PKR 100M
Tower Construction PKR 200M
Solar Radiation System PKR 20M
TOTAL PKR 320M
Contingency Reserve (%15) PKR 48M
Management Reserve (%3) PKR 10M
n. Assumptions n. Constraints
Authorizations will not delay more Project must terminate before 30th Apr 2024.
than 30 days from request Budget cannot exceed total contingencies.
presentations. Formal written communication will be in English language.
Payments will not be delayed.
No more than 15 non-working days
due to adverse climate conditions
are considered.
o. High Level Project Risks 1) Because there may be changes due the Foundations, the project may
require extra work due to unstable terrain.
2) Because the Computerized lighting and climate control systems
approval may require changes due to its innovative nature, Local
Authority may require extra information about it.
3) Because the Computerized lighting and climate control systems is the
innovation for the Company, it may require extra time and budget for
testing and bug-fixing.
Part II – Business Information
p. Main Contract Terms & Payments to be done 30 days from date of invoice.
Conditions Warranty on Deliverable is provided for 12 months after hand-over.
Liability is set to the value of the project budget.
All claims are to be settled through arbitrate within 3 months from notice.
q. Business Case With this project the expected revenue is set to about 20% the value of
the project. In case all contingencies are used this will be 10%. With the
success of this project, it is expected that the Company will acquire 15% of
the construction market within the next 5 years.
r. Stakeholders Main Expectations Mr. XYZ. CEM Construction want to be the Top real estate company in
Islamabad.
Mr. Hamza Khan and its Dandy Constructions with this project want to
develop its business in Pakistan.
 Mr. Waseem. They want to maintain the well-established reputation with
this project.
Mr. Waseem and Mr. Umer. They want to deploy their innovative system
and open the market in Pakistan.
Mr. Hassan. Improve the beauty and majesty of the city towards Expo 2024
s. Stakeholders Engagement Communication Plan is to be defined according to stakeholder req.
Because of language barrier, communication will mainly be written.
Monthly status updates will be provided to stakeholders.
All key stakeholders are leading the project.
t. Stakeholders Requirements Reference to be provided following stakeholder requirements analysis.
u. Success Criteria Success is to be measured according to the following criteria:
1) Value (40% at deliverable acceptance, -5% for every PKR 100K spent
for rework due to no-requirements adherence)
2) Quality (30% at deliverable acceptance, -3% for every PKR 100K spent
for rework due to bad performance)
3) Budget (20% if no contingencies are used, 15% in case contingencies
are used)
4) Schedule (10% if project delivers on time, +10%for any month earlier)
Part III – Organizational Information
v. High Level Process Improvement Project Technical Review meetings will be held monthly for lessons learned
Plan analysis.
Emails will be used to enhance communication in project teams.
New excavator technologies will be applied to reduce time and reworks.
Computerized lighting and climate control systems will be developed
within the agile/scrum methodology.
w. Organizational Process The project will be implemented within company ISO quality standards.
Definition All procurement will be done through informal RFI and formal RFQ
according to company quality standard. Contract Manager will be on-site.
x. Main Lessons Learned Applied Lessons from following projects have been analyzed.
1) Makkah Tower construction in Karachi.
2) Hafeez Centre building in Lahore.
y. Tools & Templates The Team Leader will receive Primavera P6 training to understand the
work done by the Planner.

Signatures

Project Sponsor(s) Project Manager

_______________ _____________

Date: Date:
2. Project Preliminary Scope Statement. The Project Preliminary Scope
Statement provides an indication of the project deliverables and serves as a guide for developing
the detailed project scope statement and for planning the project. This document defines what
the project needs to accomplish for the project to be deemed complete. The project, in its
infancy, is defined in the preliminary project scope statement. Like its name implies, this
document is preliminary to the project work and much of the project planning.

Project ID 11223344-AB Date 10/12/2022

Project Name Punjab Business and Technical College Lab Building

Punjab Technical College’s strategic direction is to promote itself as a top tier,

state of the art business and technical college. There has been a significant
shift in the need to use computer systems, even in non-technical subject areas.
There are currently only five computer labs on campus, with a total of 100
Project Background
workstations that are all more than five years old. These labs are all used 14
hours per day; some classes have two students per system, and the intent in
the Fall term is to increase course offerings that will require extensive use of
computer lab facilities.

The college does not have sufficient computer lab space to handle the
increased demand, and the systems in the labs are rapidly becoming obsolete.
A feasibility study was conducted to determine the computer lab needs of the
Need/Requirement college in more measurable terms. The result of this study was a
recommendation to undertake a project to double the number of computer
labs and computers in the college and update all the lab equipment to current
technology.

Project Objectives The objective of this project is to build ten computer labs at Punjab Business
and Technical College to increase the lab capacity by 100% and equip the labs
with technology that is no less than one year old before Fall classes start this
year.

Product Scope Definition The project will improve the IT standards of the College and will give more
opportunities of enhancing computer skills of the students and attracts new
students and bring business to the college with increase rate of admissions in
coming session. The College will build 10 computer labs so every student
should have his separate system with latest technology sufficient memory
space. These labs should be installed with HVAC system, best electric fittings
and stand by UPS and generators. These labs would be used by IT as well as
business students, so these all labs have computers with required
specifications and installed with all required software. In phase 1 we will
construct the building after completion of building in phase 2 we will install
HVAC system and do all require fixtures and finishing works including
installation of UPS and provide generator connections to the Labs. In Last
phase we will procure the computers and install them in lab with complete
specification.
Project Deliverables The primary deliverable of this project is ten new computer labs. Each of these
labs will include student workstations, at least one instructor workstation,
and at least one digital projector and screen. In addition to that all labs should
be installed with UPS for power backup. Complete documentations such as
feasibility reports, designs and drawings need to be maintained where as
separate maintenance and operation documents need to be made for each
lab.

Project Requirements All ten labs need to be completed in all aspects by end of march so they can
be used in the new session. All the labs need to be fully equipped with the
latest generation workstations with centralized AC system with all required
furniture and electric installations. These labs need to be spacious and
environment friendly.
The major stakeholders need that the work should be completed well in time
with good quality and within estimated cost.

Project Boundaries Lab Building should be in the college premises. Lab Building include Computer
halls with teacher and lab assistant rooms with attach washrooms. No student
washrooms were needed in the lab building as separate washroom complex is
present in near vicinity.

Product Acceptance Criteria For the design documents to be acceptable, all specifications must be met, and
the following criteria must also be achieved:
1) Each room will have its own package of design drawings, and files.
2) All drawings will include the scale, drafter, designer, building, room
number, symbols, and other key information to provide the user with
exact information to be able to follow the drawing to build the facility.
3) All construction specifications must meet generally accepted engineering
standards as defined in the Project Resource Manual produced by the
Construction Specifications Institute
For each computer lab to be acceptable, all specifications in its design
documents must be met.
For the maintenance documents to be acceptable, all specifications must be
met, and the following criteria must also be achieved:
1) Each room will have its own package of maintenance documents.
2) All construction specifications must meet generally accepted engineering
standards as defined in the Project Resource Manual produced by the
Construction Specifications Institute.
3) Hard copy of all drawings, CD disk containing digital documents
complying with requirements detailed above.
4) A minimum of two (2) printed & bound sets of all maintenance manuals
and one (1) set in digital form are provided.

Project Constraints
The following restrictions apply to the project:

Constraint imposed on project Reasons

The project must be completed Because classes begin the following week in the labs
no later than March 30th, 2023.
The project must only use Because the college must comply with all government procurement and
approved vendors in competition regulations.
accordance with the college’s
procurement policies and
standards.

Project Assumptions

It is assumed that: This will be validated by:

The existing lab rooms have the Conducting a site review during development of the design specifications for
electrical, cooling, and network each lab.
capacity for the new lab
equipment.

The existing labs already have Conducting a site review during development of the design specifications for
security systems installed. each lab.

Initial Project Organization The members of the project team:

Project Manager Mr. XYZ

Contractor Mr. Hamza Khan

Supplier Mr. Faheem

Key Stakeholders of the Project:

Mr. Ahmed Owner of Punjab Punjab Business

and Technical College

Mr. Riaz Local Authority

Schedule Milestones Start Date: 1st Nov 2022

Completion of Construction work: 30th Jan 2023
Installation of Workstations: 15th Mar 2023
Project Completion: 30th Mar 2023

Fund Limitation Project should not exceed Total of PKR 100 Mn.

Approval Requirements Approval to start the project from the owner as he is providing the funds for
the project.
3. Comments on Construction Feasibility Study. I have downloaded the
feasibility study of Residential project i.e Silver Gracia in Ravet, Pune by BVG developers
presented by (Pranav B. Maske, 2021).
Comments: -
Feasibility study is mainly divided into 5 parts i.e., Economical Feasibility, Scheduling,
Legal, Technical and Operational Feasibility. In this study they mainly focused on two of
them that mainly affect the project Economic and Scheduling feasibility. Mainly we
measure the feasibility by three ways that are benefit to cost ratio, NPV and IRR. We called
the project as feasible if B/C is greater than 1, NPV should be more than 0 and for this
project they assumed IRR should be 10%. The first thing we have found in this project that
is the estimated duration of project is 3 years and the total cost required for the project is
estimated to be Rs. 1027.25Mn approx. the project will be feasible if it generates the
revenue that is more than the estimated values . In this study they have identify two most
critical variables which can affect the project cash flow.
a. Bookings by customers.
b. Delay in construction.
By analyzing above two variables the study finds out that when 77% customers book their
apartments then the developer will be on zero NPV and all above 77% booking s will be the
profit earned by the developer. Similarly, if the project is delayed it has been observed
that there is an increase of 10 to 15% in project cost per year for the delay period. By
analyzing the delay period, it has been observed that on 57 month of delay period the NPV
found to be zero whereas IRR will be 10%. It has been concluded from the stud y that the
project is feasible if the customers book min 77% of the apartments and the max delay
should not exceed 57 months.

References
Pranav B. Maske, D. A. (2021). FEASIBILITY STUDY FOR A RESIDENTIAL CONSTRUCTION PROJECT.
International Research Journal of Engineering and Technology (IRJET), 3984-3990.