MODULE 1

Construction Management
Construction Management is defined as the process of effective utilisation of human and material
resources to accomplish a construction project with pre-defined quality within the estimate and
stipulated time. It is the overall planning, coordination and control of a project from inception to
completion. Its objectives are:
• Completing the work within estimated budget and specified time.
• Maintaining high quality workmanship.
• Providing safe and satisfactory working conditions for all persons and workers in the
organisation.
• Avoiding any negative environmental impact.
• Taking sound decisions and delegation of authority.
• Developing an organization that works as a team.
Functions of Construction Management
Planning
• Planning is deciding in advance – “what to do” and “how to do”.
• Planning is determination of courses of action to achieve desired goals.
• It is the process of selecting a particular method and the order of work to be adopted for a
project from all the possible ways and sequences in which it could be done.
• It bridges the gap from where we are & where we want to be.
Scheduling
• Scheduling deals with the aspect of “when to do”.
• It is the fitting of the final work plan to a time scale.
• It is a vital tool in both the daily management and reporting of the project progress.
• A schedule shows the duration and the order of various construction activities.
Organising
• It involves division of the total construction work into departments/sections and
systematically managing various operations by giving specific tasks to individuals.
• It involves:
– Identification of activities.
– Classification and grouping of activities.
– Assignment of duties.
Staffing

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 • Staffing is to put right man on right job.
• It involves:
– Manpower Planning
– Recruitment, Selection & Placement
– Training & Development
– Remuneration
– Performance Appraisal
– Promotions & Transfer
Directing
• It deals directly with influencing, guiding, supervising and motivating sub-ordinates for the
achievement of organizational goals.
• It involves
– Supervision
– Motivation
– Leadership
– Communication
Controlling
• It implies measurement of accomplishment against the standards and correction of
deviation if any to ensure achievement of organizational goals
• It involves
– Establishment of standard performance.
– Measurement of actual performance.
– Comparison of actual performance with the standards and finding out deviation if
any.
– Corrective action.
Co-ordinating
• It involves bringing together and coordinating the work of various departments and sections
so as to have good communication.
• It is necessary to create awareness about the role of each section and the assistance to be
expected from others.
Planning and its importance
The ultimate objective of planning is timely and economical implementation of project. It requires
imagination, foresight, sound judgement, etc.
• Helps in anticipating future course of events and to make provisions for it
• Prevents wastage of time, money and material

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 • Ensures proper utilisation of human and material resources to achieve the objectives in the
work
• Helps the management to decide the kinds of organisation that would be needed to achieve
the pre-determined objectives
• Gives direction and attention on objectives
• Helps to offset changes and uncertainty, which eliminates the risk and losses caused by
changing factors
• Lays down procedures, policies, objectives, and operations to achieve economical operations
• Helps to avoid bottlenecks in any constructional industry so as to carry out the works
smoothly
Productivity
Productivity determines the efficiency. It is computed by dividing average output per period by the
total costs incurred or resources (capital, energy, material, personnel) consumed in that period. Eg:
output per day per person.
Factors affecting productivity:
• Technical factors: Productivity will be more with advanced and automated
equipments/technology.
• Production factors: Productivity will be more with proper control, materials, etc.
• Organisational factors: Productivity will be more with proper division of labour, assigning
responsibilities, communication between levels, etc.
• Personnel factors: Productivity will be more with adequate and timely training, counselling,
inter-personal relationships, etc.
• Management factors: Productivity will be more with efficient management, cordial relations
between the management and staffs, etc.
• Finance factors: Productivity will be more with timely and adequate flow of money for
investment, remuneration, etc
• Government factors: Productivity will be more with proper knowledge of the government
rules cordial relation with government and timely receipt of attainment of certificates, etc.
• Location factors: Productivity will be more with availability of skilled work-force,
infrastructure, etc at the location.
Construction Project
• A project is defined as a temporary endeavour undertaken to create a unique product. It has
the following characteristics:
– A defined goal or objective.

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 – Specific tasks to be performed.
– A defined beginning and end.
– Resources being consumed.
• A construction project involves construction of facilities or systems. Construction project
refers to a high-value, time-bound, special construction mission with predetermined
performance objectives.
Features of a construction project
• Complexity: High-tech, highly mechanised, complex, numerous types of materials, tools,
equipments, several contracting agencies, consultants, managers
• Uniqueness: Each project is different and one-of-a-kind. Event identical projects will have
some differences
• Mobility of facilities: The work environment and facilities keep on changing due to the
mobility of resources, materials etc from place to place, level to level, etc.
• Multiplicity of agencies: Involvement of Government, semi-government, panchayat,
municipality, rural and urban planning departments, mining and geology departments,
forest department, fire and safety, etc.
• Seasonality of labour force: Labour force involved in construction keeps changing, making it
difficult to arrange their training etc.
Classification of construction projects

Based on the segment Based on machineries used

Real Estate Construction Light construction

Infrastructure Building Heavy construction

Industrial Construction

• Real Estate Construction: Residential and commercial building construction, Institutions etc.
• Infrastructure Building: Roads, Irrigation structures, railway, power etc.
• Industrial Construction: It requires special technologies, plants and equipments.
Eg: Textiles, Steel plants, Refineries, Atomic, Power thermal stations, Air craft , Automobile,
Chemical and fertilisers etc.
• Light construction:-It does not require heavy machineries and equipments.
Eg: Light structures of Residential, commercial, water tanks, culverts, small bridges etc.

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 • Heavy construction:-It requires heavy machineries, equipments, etc.
Eg: Multi span bridges, High ways, Railways, air ports, Harbours, Under water constructions,
tunnels, Dams, Barrages, etc.
Elements of a construction project
• Materials
• Man power
4 Ms
• Machinery
• Money/Fund)
• Space
• Power
Overview of construction industry
• Construction industry is the largest industry in the world.
• It is more of a service than a manufacturing industry.
• Growth in this industry in fact is an indicator of the economic conditions of a country, as it
consumes a wide employment circle of labour.
• Most projects exhibit cost overruns, time extensions, and conflicts among parties.
• Construction industry is more challenging than other industries due to:
– Its unique nature
– Involvement of many conflicting parties
– Projects being constrained by time, money and quality
– High risk
Stages in a construction project

Concept Planning Designing

Commissioning Construction Tendering

Operation &
Decommissioning
Maintenance

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Pre-investment phase: Fund flow is not needed in this phase
• Concept/Idea formulation: Project originates here.
• Planning & Briefing: Preliminary investigations and feasibility studies are carried out and
reported in this stage.
• Designing: Detailed investigations are carried out, detailed project report with detailed
drawings, detailed estimate, etc. is prepared and all approvals are obtained in this stage.
• Tendering: Tenders are invited from the contractors and contract is awarded to the
successful contractor in this stage with proper documentation.
Investment phase: Fund flow is needed in this phase
• Construction stage: Project is executed by the contractor in this stage in accordance with the
documents under proper supervision.
• Commissioning: It is the transition between construction and final taking over. Performance
of structure is evaluated and nature of maintenance is proposed in this stage.
• Operation and Maintenance: Project is put to use in this stage and its maintenance upto the
period specified in the contract document comes under the purview of the current project.
• Decommissioning: Replacing of the project after its useful life. This usually becomes a new
project.
Site Investigations
• Detailed survey of area: longitudinal sectioning, cross sectioning, contour survey depending
on the nature of work
• Alignment of roads, canals or location of buildings or dam or head works so as to estimate
the cost of construction
• Soil exploration to know:
– Depth, extent, nature and variation of soil strata.
– Physical properties of soil encountered, depth to underlying rock bed if necessary.
– Seasonal variation in ground water table
• Hydrological particulars
• Information regarding local regulations and ordinance in force
• Location of quarries and quantum of their potentials
• Estimating the number of cross drainage works and cross masonry works for completion of
the project, etc.
• Local labour conditions, wages, availability of labour the output of the workmen etc
• Existing roads, probable length of approach roads to connect site.

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Feasibility Report
It is the brief report which is prepared before starting a new project to convince the public or
Government stating its need and viability in social, economic, technical and ecological areas. It is
essential for obtaining the administrative sanction for the project. Preliminary estimate is submitted
along with it. It includes:
• History of the proposal for the work in brief
• Necessity for the proposed work giving satisfactory reasons to get the administrative
sanction
• Site details- Topography of the site, nature of soil, ground water conditions, etc.
• Cost-benefit analysis.
• Environmental effects of the project.
• Water supply sources, availability, conveyance and storage and use
• Existing roads, their condition, improvements and its expenditure.
• Accommodation for office and storage of materials and site for labour camp.
• Stages in which the project can be used in phases.
• Approximate project cost and the financial sources
• Approximate time to complete the project.
Detailed Project Report
It is the detailed report which is prepared before starting a project to give a clear and complete
picture about the project. It is essential for obtaining the technical sanction for the project.
Complete layout and plans and detailed estimate are submitted along with it. It includes:
• Brief history of the project.
• Reference to the administrative sanction, if allotted.
• Justification for the necessity, utility, suitability and feasibility of the project.
• Description of the works involved in the project.
• Selection of site.
• Details of the survey works carried out.
• Site details- Topography of the land, sub soil data, hydrological parameters, etc.
• Functional design with drawings
• Engineering design with drawings
• Method of execution, with details of:
– Arrangements for water supply, sanitary works and electrical installations.
– Transport facilities and drains.
– Availability of materials, labour, equipment

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 – Means of transport of men and materials to the construction site.
– Accommodation facilities for labour, technical personnel and stores.
• Total cost of the project and its financing.
• Cost of each phase of work.
• Time for the completion of each phase and whole project, etc.
• Cost-Benefit analysis
• Project management strategies
• Operation and maintenance plan
Estimates
An estimate is a statement or calculation of the quantities required and expenditure likely to incur in
a work.
Rough Cost Estimate
It is an approximate estimate of the proposed work which is prepared for preliminary studies, based
on the unit rate which varies according to the project type.
 For buildings, estimate is calculated on plinth area basis
 For hospitals and hostels, the number of occupants and students form the base
 For railways, highways and canals, rate per km is used
 For irrigation projects and dams, catchment area or volume of water stored is used as the
base
For normal works, rough cost estimate is enough to get administrative sanction.
Detailed Estimate
It is the cost of the project calculated accurately using the prevailing schedule of rates. The quantity
of each item of work is calculated and it is multiplied by the rate of schedule to obtain the actual
cost of the item of work. Detailed estimate is essential to get technical sanction. (For big projects,
detailed estimate is required to get administrative sanction itself)
Sanctions for a project
Formal approvals required for a project before its execution:
Administrative Sanction
It is the sanction accorded by the administrative authority (eg: Government) based on feasibility,
approximate estimate and preliminary plan.
Technical Sanction
It is the sanction accorded by the technical expert committee after getting the administrative
sanction, based on the detailed project report, which includes the detailed estimate and detailed
drawings.

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Organizational structure of PWD/PSU
Chief engineer
(CE)
Head

Superintending Superintending
Engineer (SE) Engineer (SE)
Circle Circle

Executive Executive Executive Executive

Engineer (EE) Engineer (EE) Engineer (EE) Engineer (EE)
Divison Division Divison Division

Assistant Assistant Assistant Assistant

Executive Executive Executive Executive
Engineer (AEE) Engineer (AEE) Engineer (AEE) Engineer (AEE)
Sub-Division Sub-Diviision Sub-Division Sub-Division

Assistant Assistant Assistant Assistant

Engineer (AE) Engineer (AE) Engineer (AE) Engineer (AE)
Section Section Section Section

Overseers Overseers Overseers Overseers

Grade 1, 2 & 3 Grade 1, 2 & 3 Grade 1, 2 & 3 Grade 1, 2 & 3
Site or office Site or office Site or office Site or office

Duties and responsibilities of CE

 Chief engineer is the administrative head of the department
 He is directly responsible to the state government for the efficient working, annual budget
estimates and sanction of grants.
 He is the ultimate authority for issuing Technical Sanction.
 He accords administrative sanction for works in his authority and submits the DPRs of major
works to the government for approval.
 He is the appointing authority and conducts transfers of officers in the department.
 He keeps a close watch on the expenditure of works and ensures that the sanctioned grand
is completely utilized.
 He makes research plans and obtains fund from the government.
Duties and responsibilities of SE
 Superintending engineer is the head of a circle formed by a few divisions or districts.
 He issues administrative sanction and technical sanction for works in his authority.
 He carries out inspection of activities of all divisional offices.
 He controls the transfer and postings in his circle.
 He is responsible for technical audit of payments made in division offices.
Duties and responsibilities of EE
 Executive engineer is the head of a division.

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  He is responsible for the execution of projects.
 He issues administrative sanction and technical sanction for works in his authority.
 He carries out inspection of activities of all sub-divisional offices.
 He maintains the major government buildings in his division.
 He is in charge of the Departmental store.
 He check-measures the measurements by AE for major works.
 He is responsible for payment of bills.
Duties and responsibilities of AEE
 Assistant executive engineer is the head of a sub-division.
 He issues administrative sanction and technical sanction for works in his authority.
 He carries out inspection of activities of all section offices.
 He check-measures the measurements recorded by AE.
 Estimates, bills and intends prepared by AE are scrutinised at the sub-division office before
forwarding to Division office.
Duties and responsibilities of AE
 Assistant executive engineer is the head of a section.
 He is in charge of project sites and is responsible for executing the works as per the
drawings, specifications and estimates.
 He hands over the site to the contractor for construction and takes over after completion.
 He resolves the technical issues in drawings, setting out and during construction.
 He measures the work and prepares bills.
 He has to prepare and maintain the material accounting statement at site.
Duties and responsibilities of Overseer
 Overseers assist the AE in discharging his duties.
 Third grade overseers supervise the work at site and regularly inspect the structures
entrusted to them, report the issues to higher officials and take corrective actions.
 Second and first grade overseers check the estimates, bills, tender documents, etc. and
maintain the office records. They also draft letters on technical matters, prepare plans, etc.
Types of Establishment
Establishment refers to the human resources or employees of an organisation.
 Regular or permanent establishment: Includes the employees recruited to the regular posts.
Their wages are met from the salary head of the department.
Eg: recruitment through PSC and employment exchange
 Work charged establishment: It refers to the establishment whose pay and allowances are
directly chargeable to works. During construction of a project, considerable number of

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 employees will be required and their wages will be charged from the project head. They may be
appointed on contract basis or daily wage basis. Daily wage employees are of two categories:
• CLR / Casual Labour Roll workers: Payment of wages is based on the number of days
employed. Output is not measurable. Eg: peon, watchman, etc.
• NMR / Nominal Muster Roll workers: Payment of wages is made by mustering their
outturn or based on their output. Eg: carpenter, mason, etc.

Project Management Tools

Time Scheduling:
 Bar chart
 Network models
• Critical Path Method [CPM]
• Program Evaluation & Review Technique [PERT]
Bar Chart
Bar chart is the graphical representation of a construction project showing various activities involved
and the period of time that each activity takes for completion. Y-axis represents the activities and X-
axis represents the time elapsed. Activities are shown as horizontal bars, where the beginning and
end of each bar represents the start and finish dates of the activity. Bar charts are suitable for
determining the resources, such as materials, labour, machinery and finance, required for
construction work.
Steps involved in preparing bar charts:
i. Divide the project into
activities
ii. List out the activities
iii. Find the relationships among
the activities
iv. Arrange the activities in a
systematic way Bar chart for a building

v. Estimate the durations of activities

vi. Select a suitable time-scale
vii. Draw the activities as horizontal bars over the time-scale
Limitations of bar chart
i. Suitable only for simple and small projects.
ii. Sequence of activities is not clearly defined.
iii. Does not show the interdependencies between the various activities.
iv. Does not indicate the critical activities of the project.

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 v. It becomes necessary to monitor every activity
vi. Does not give a complete idea of the progress of a work, making it difficult to control.
Network
Graphical and logical model which lists out the sequence of various activities with their
interdependencies for the completion of a project. It helps us better understand the sequencing of
activities. It gives various information about the project: Time required for completion of a project,
Activities that need to be monitored more closely than other activities, Basis of plans for material
procurement, manpower deployment, cash flow, etc. It helps determine the probabilities of
completing the project within a certain time.
Following are the components of a network:
Activity: An item of work involving consumption of resources and time and has a definite beginning
Description
and end. It is denoted by arrow.
Duration (t)
Parallel / Concurrent Activities: Activities which can be performed simultaneously and
independently to each other.
Serial Activities: Activities performed one after the other, in succession.
Predecessor Activity: Activity which must be completed before start of another activity
Successor Activity: Activity which starts after completion of an activity
Activity Duration: An activity’s duration is the estimated time required for its completion.
Event: Indicates the start or completion of one or more activities. It does not consume any resources
or time. It indicates the instant of time at which some milestone is achieved. It is denoted by a node.
Tail Event: Event at the start of an activity.
Head Event: Event at the end of an activity.
Predecessor Event: Event that occurs before a particular event.
Successor Event: Event that follows a particular event.
Dummy Activity: It is similar to an activity that does not consume any resources or time. It shows the
inter-dependency among other activities. It is denoted by a dashed arrow.
Types of Network

Rules for drawing networks

i. A network will have only one initial node. Initial node will have only outgoing arrows.
ii. A network will have only one final node. Final node will have only incoming arrows.

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 iii. No event can occur twice.
iv. For any activity, the number on head event must always be greater than that on tail event.
v. Flow of network shall be from left to right.
vi. No two activities shall have the same tail events.
vii. No activity can start until its tail event has occurred.
viii. All activities must be completed for the completion of the project.
Examples

A small project consisting of six activities has the following characteristics. Draw the network.
i. G is the first activity to be performed.
ii. H and I can be done concurrently and must follow G
iii. H must precede J
iv. K must succeed I, but it cannot start until H is completed.
v. The last operation L is dependent upon the completion of both J and K
The step-by step development of the network is shown below:

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A project consisting of ten events has the following relationships. Draw the network for the project
Event Immediate Predecessor Event Immediate Predecessor
1 _ 6 3, 5
2 1 7 3, 4
3 2 8 3, 7
4 2 9 7
5 2 10 3, 6, 8, 9
The step-by step development of the network is shown below:

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Critical Path Method [CPM]
• The concept of CPM is that only a small number of critical activities take most of the
estimated project time.
• Speeding up the rest of the activities has no effect on the completion of work.
• Only the critical activities need to be speeded up and the rest of the activities can be allowed
to proceed normally.
• The work can then be completed by the target date.
• Critical path:
• The longest path in a CPM network in terms of duration is called critical path.

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 • There may be more than one critical path in a network.
• It decides the project completion time
• Represented as double lines in network diagram or by the sequence of critical
event/activities separated by hyphen from start to finish.
• Project duration:
• The time required to travel critical path is called project duration.
• Critical activities:
• The activities lying on critical path are called critical activities
Time References
• Earliest Start time (EST):
– It is the earliest possible time an activity
or operation can be started.
– It is equal to the earliest occurrence time
of the tail event of that activity.
• Earliest Finish Time (EFT):
– It is the earliest possible time for completion of an activity without delaying the
project completion time.
– EFT = EST + duration
– EFTj = ESTi + tij
• Latest Finish Time (LFT):
– It is the latest time the activity must be completed without delaying project
duration.
– It is equal to the latest occurrence time of the head event.
• Latest Start time (LST):
– It is the latest possible time an activity can be started without delaying the project.
– LST= LFT – duration
– LSTi=LFTj – tij
Forward Pass Backward Pass

Moving from start to finish by adding activity Moving from finish to start by subtracting activity
duration to the occurrence time at tail node duration from the occurrence time at head node
Calculates the earliest occurrence times of all Calculates the latest occurrence times of all
events as the maximum of the values at a node events as the minimum of the values at a node
E j=Max [ Ei +t ij ] Ei =Min[E j−t ij ]

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Float
Total Float
• Total float of an activity is the amount of time by which the start of an activity may be
delayed without causing a delay in the project.
• TF=L j−E i – D ij
• If the total float of an activity is zero, then the activity is a critical activity and it should not be
delayed.
• Critical activities have zero total float.
• Critical path joins the critical activities; gives the minimum project duration
Free Float
• Used to identify the activities that can be delayed without affecting the total float of the
succeeding activities or without delaying the early start time of succeeding activity.
• FF=E j−E i – D ij
Independent Float
• Used to identify the activities that can be delayed without affecting the total float of either
the succeeding or preceding activities
• IF=E j−Li – D ij
TF ≥ FF ≥ IF
CPM-Steps
1. Drawing of network.
2. Forward pass to determine the earliest start and finish times of activities.
3. Backward pass to determine the latest start and finish times of activities.
4. Determination of float.
5. Determination of critical path as the path joining the zero total float activities.

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Examples
Determine the critical path and the minimum project duration

Step 1: Drawing of network: Network is given

Step 2 & 3: Forward and backward passes
Forward Pass Backward Pass
E1=0 E6=15
E2= E1+t12=0+3=3 E5= E6-t56=15-5=10
E3= E1+t13=0+2=2 E4= E6-t46=15-6=9
E4= E2+t24=3+3=6 E3= E5-t35=10-5=5
E5= Max [E2+t25;E3+t35]=Max[3+7,2+5]=10 E2= Min [E5-t25;E4-t24]=Min[10-7,9-3]=3
E6= Max [E4+t46;E5+t56]=Max[6+6,10+5]=15 E1= Min [E3-t13;E2-t12]=Min[5-2,3-3]=0
From the forward pass calculations, minimum project duration = 15 days

Step 4: Determination of float.

TF FF IF
Duration Dij E L E L L -E - E -E - E -L -
Activity Description i i j j j i j i j i Remarks
D D D
ij ij ij
1-2 A 3 0 0 3 3 0 0 0 Critical
1-3 B 2 0 0 2 5 3 0 0
2-4 C 3 3 3 6 9 3 0 0
2-5 D 7 3 3 10 10 0 0 0 Critical
3-5 E 5 2 5 10 10 3 3 0
4-6 F 6 6 9 15 15 3 0 0
5-6 G 5 10 10 15 15 0 0 0 Critical
Step 5: Critical path
Critical activities have TF = zero
From the table, Critical activities = 1-2, 2-5, 5-6

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Therefore, critical path = 1-2-5-6; also shown in the network diagram
Determine the critical path and the minimum project duration

Step 1: Drawing of network: Network is given

Step 2 & 3: Forward and backward passes
Forward Pass Backward Pass
E1=0 E6=15
E2= E1+t12=0+5=5 E5= E6-t56=15-2=13
E3= Max [E1+t13;E2+t23]=Max[0+4,5+0]=5 E4= E5-t45=13-1=12
E4= E1+t14=0+12=12 E3= E4-t34=12-5=7
E5= E4+t45=12+1=13 E2= Min [E3-t23;E6-t26]=Min[7-0,15-2]=7
E6= Max [E2+t26;E5+t56]=Max[5+2,13+2]=15 E1= Min[E3-t13;E2-t12; E4-t14]=Min[7-4,13-5,12-12]=0
From the forward pass calculations, minimum project duration = 15 days

Step 4: Determination of float.

TF FF IF
Duration Dij E L E L L -E - E -E - E -L -
Activity Description i i j j j i j i j i Remarks
D D D
ij ij ij
1-2 5 0 0 5 7 2 0 0
1-3 4 0 0 5 7 3 1 1
1-4 12 0 0 12 12 0 0 0 Critical
2-3 0 5 7 5 7 2 0 -2
2-6 2 5 7 15 15 8 8 6
3-4 5 5 7 12 12 2 2 0
4-5 1 12 12 13 13 0 0 0 Critical
5-6 2 13 13 15 15 0 0 0 Critical
Step 5: Critical path

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Critical activities have TF = zero
From the table, Critical activities 1-4, 4-5, 5-6
Therefore, critical path = 1-4-5-6; also shown in the network diagram
Program Evaluation & Review Technique [PERT]
• PERT is mainly used when there is uncertainty in estimating the duration of an activity.
– Eg: For a construction project type which has not been completed anywhere in the
past, when it is possible to say that with reasonable accuracy that an activity “A” has
to be completed before activity “B”, but the time required to complete the activity
“A” is not known or the completion time of activity “B” is uncertain, in that case
PERT technique is used.
• Most suited for new projects or projects like research and development, investigation,
design etc.
• Probabilistic method.
The Three Time Estimates
• Optimistic time, to
– Shortest possible time of completion of the activity.
• Most likely time tm
– Best guess of the time required to complete the activity.
• Pessimistic time tp
– Maximum time required to complete the activity.
Expected mean time
t o + 4 t m+ t p
t e=
6
Critical Path in PERT
• Critical path is determined by carrying out the forward and backward passes of activities
with durations being taken as the expected time of completion.
• Critical events have zero slack.
• Critical path joins the critical events; gives the minimum project duration
Slack
• Float is defined for activity, while slack is defined for events.
• Earliest Possible Occurrence [EPO], Ei
– Earliest time of occurrence of event i.
– Determined by forward pass as maximum of the values at a node
• Latest Possible Occurrence [LPO], Li
– Latest time of occurrence of event i.

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 – Determined by backward pass as minimum of the values at a node.
• Slack is the difference between the latest and the earliest event times.
Slack=Li−E i
– Positive: Ahead of schedule
– Zero: On schedule
– Negative: Behind schedule
PERT-steps
1. Drawing of network.
2. Determination of expected time from the three time estimates.
3. Forward pass to determine the earliest possible occurrence times of events.
4. Backward pass to determine the latest possible occurrence times of events.
5. Determination of slack.
6. Determination of critical path as the path joining the zero slack events.
Examples
A small project consisting of eight activities has the following characteristics. Draw the PERT network
for the project and determine the critical path.
Preceding Most likely
Activity Optimistic time to Pessimistic time tp
Activity time tm
A - 2 4 12
B - 10 12 26
C A 8 9 10
D A 10 15 20
E A 7 7.5 11
F B, C 9 9 9
G D 3 3.5 7
H E, F, G 5 5 5
Step 1: Drawing of network:

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Step 2: Determination of expected time from the three time estimates
Expected time
Activit Preceding Optimistic Most likely Pessimistic
t o + 4 t m+ t p
y Activity time to time tm time tp t e=
6
A - 2 4 12 5
B - 10 12 26 14
C A 8 9 10 9
D A 10 15 20 15
E A 7 7.5 11 8
F B, C 9 9 9 9
G D 3 3.5 7 4
H E, F, G 5 5 5 5
Step 3 & 4: Forward and backward passes with duration of activities as the expected mean time
Forward Pass Backward Pass
E1=0 E6=29
E2= E1+t12=0+5=5 E5= E6-t56=29-5=24
E3= Max[E1+t13; E2+t23]=Max[0+14,5+9]=14 E4= E5-t45=24-4=20
E4= E2+t24=5+15=20 E3= E5-t35=24-9=15
E5= Max [E2+t25;E3+t35; E4+t45] E2= Min [E5-t25;E3-t23; E4-t24]
=Max[5+8,14+9,20+4]=24 =Min[24-8,15-9,20-15]=5
E6= E5+t56=24+5=29 E1= Min [E3-t13;E2-t12]=Min[15-14,5-5]=0
From the forward pass calculations, minimum project duration = 29 days

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Step 5: Determination of slack
SLACK
EVENT Ei Li Remarks
Li-Ei
1 0 0 0 Critical
2 5 5 0 Critical
3 14 15 1
4 20 20 0 Critical
5 24 24 0 Critical
6 29 29 0 Critical
Step 6: Critical path
Critical events have slack = zero
From the table, Critical events = 1,2,4,5,6
Therefore, critical path = 1-2-4-5-6; also shown in the network diagram
CPM VS PERT
Critical Path Method Program Evaluation & Review Technique
Deterministic method Probabilistic method
Used for routine works Used for research & development works
Duration of activities are known Duration of activity is not known
Activity-oriented Event-oriented
Only one time-estimate (duration) Three time-estimates (to, tm, tp)
Float is determined Slack is determined
Critical path connects the zero-total float
Critical path connects the zero-slack events.
activities
Time and cost are controlling factors. Optimum Time alone is the controlling factor and cost is
project duration has the minimum cost assumed proportional to the project duration
Project Management Software Packages
• Proprietary Software
– Microsoft Project
– Primavera
• Open Source Software
– ProjectLibre
– GanttProject
Resource Scheduling:
 Crashing

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  Resource levelling
 Resource smoothening
Crashing
It is the process of reducing the project duration by increasing the resources allocated to them.
Additional expense of resources is justified in terms of the benefits on finishing the project early.
• Extra cost in accelerating an activity to reduce its duration by unit time is called the cost
slope of that activity.
( CrashCost −Normal Cost )
Cost Slope=
( Normal Time – Crash Time )
• Reduce the duration of the critical activities with least cost slope until its crash duration is
reached or until the critical path changes.
• Crashing is continued till the total cost of the project can be reduced to an optimum level.
Resource Levelling & Resource Smoothening
In real life projects, there are resource constraints such as shortage, delayed delivery, competing
demands, etc. Resource Levelling & Resource Smoothening methods are adopted to optimize the
resources when the demand for resources is varying or non-uniform.
Resource levelling is used when the resource availability is limited. It is also called ‘Resource
constrained scheduling’. Here, the limited resources available have to be optimized without
considering the project duration. Critical path changes during resource levelling. Project duration
may extend depending on resource availability.

Resource smoothening is used when the resources has to be optimized without extending the
project duration. It is also called ‘Time constrained scheduling’. Critical path should not be allowed to
change.

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Time-Cost Trade-Off
Project Cost = Direct Cost + Indirect Cost
Direct Cost - Expenditure specific to a project, including
cost of materials, labour and equipment
Indirect Cost - Expenditure like tariff for infrastructure
facilities, rent and so on.
Time-cost trade-off is the analysis of the
interrelationship between the time and cost of a project
in order to minimize its cost and duration. The total cost (DC+ IDC) will reduce up to a certain point
in time, and then start increasing again. By reducing the duration of individual activities, the total
cost of the project can be reduced to an optimum level.
Job Layout

Job layout is a scaled drawing of proposed construction. Layout of the construction site must be
carefully planned keeping in view the various requirements to construction activities and the specific
constraints in terms of its size, shape, topography, traffic and other restrictions, in public interest. A
well-planned site layout would enable safe smooth and efficient construction operations. The site
layout shall take into considerations the following factors:
• Easy entry and exit, with proper parking of vehicle and equipments during construction.
• Properly located material stores for easy handling and storage.
• Adequate stack areas for bulk construction materials.

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 • Optimum location of plants and equipments (batching plants, etc).
• Layout of temporary services (water, power, power generation unit, hoists, cranes,
elevators, etc).
• Adequate yard lighting and lighting for night shifts.
• Temporary buildings; site office and shelter for workforce with use of non-combustible
materials as far as possible including emergency medical aids.
• Roads for vehicular movement with effective drainage plan.
• Construction safety with emergency access and evacuations and security measures.
• Fabrication yards for reinforcement assembly, concrete pre-casting and shuttering
• Fencing, barricades and signages.
Modern Housekeeping Principles
Housekeeping is the maintenance of an orderly, clean and neat work place. 5S is a modern
housekeeping tool. 5S is the acronym for five Japanese words: Seiri, Seiton, Seiso, Seiketsu and
Shitsuke. With 5S, workplace becomes cleaner, safer, well-organized, more pleasant and more
productive. Floor space utilization is also improved.
Step Action
Seiri (Sort) Distinguish between necessary and unnecessary items. Remove the
unnecessary items
Seiton (Set in order) A place for everything and everything in its place
Seiso (Shine) Clean up the workplace and look for ways to keep it clean.
Seiketsu (Standardize) Maintain and monitor adherence to the first three Ss.
Shitsuke (Sustain) Systematizing or maintaining the cleanliness and orderliness achieved
by the above four Ss.

Work Study
Work study is the analytical study of a job or operation. It is aimed
at improving the method of doing a work by optimum usage of
resources. It involves time study and motion study.

Time Study
Time study determines the ideal time taken to complete a job.

Motion Study
Motion study is the analysis of human work, to find out the best method of doing it which involves
least efforts.

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 MODULE 2

Tender
A tender is a written offer to execute a specified work within a certain time under certain conditions
of contract between the contractor and the client for a certain amount of money.
Tendering is the process to generate competing offers from different bidders.
Bids are usually invited in two parts – technical and financial, which are opened separately
– Technical bid containing:
• Company profile;
• Proof of eligibility – experience & turn over;
• Earnest money deposit;
– Financial bid containing:
• Offer price
Financial bids are usually opened for only those bidders which qualify technically
Objectives of tendering
• Lower bid due to competition
• Selection of right contractors
• Provides legal cover for the contract through agreement
• Ensures equal opportunities to all eligible contractors
• Ensures transparency in public works
• Gives publicity to the project
Steps in tendering
1. Preparation of tender documents
2. Issue of notice inviting tender
3. Submission of tenders
4. Opening of tenders and their scrutiny
5. Acceptance of tender and award of contract
Tender notice
A notice inviting tender (NIT) is a public document announcing a work and inviting interested parties
to submit their ‘bids’. The details of the condition of the work are also either indicated, or, the
method of obtaining them is given. [The sealed offers including company information, project
outline & a price quoted, are called bids.]

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 Format of Tender Notice

Details to be included in a tender notice

1. Name of the department inviting tender
2. Name of work and location
3. Designation of officer inviting and opening tender
4. Last date and time of receipt of tender
5. Period of availability of tender document
6. Cost of tender document
7. Estimated cost, as PAC [Probable Amount of Contract]
8. Pre-qualifications (if any)
9. Time of completion and type of contract
10. Earnest Money Deposit to be paid
11. Date, time and place of opening the tender
EMD
• Earnest Money Deposit [EMD] is the amount of money to be deposited along with the
tender document to the department by the contractors quoting a tender. EMD is forfeited
by the client if the contractor refuses to take up the work after the acceptance of his tender.
• EMD ensures ‘earnestness’ or seriousness from the part of the bidder.
• EMD of contractors whose tenders are not accepted will be refunded.
• Around 2.5% of the estimated cost of work is collected as the Earnest Money Deposit.
Tender documents
These are the documents made available to or submitted by the tenderer in a tender process.
1. Notice Inviting Tender
2. Instructions to bidders
3. General Information of The Project (Name, location, time, estimated cost, etc)
4. General Conditions
5. Special Conditions
6. Detailed specifications or reference to standard specifications for each item of work
7. Schedule of Quantities (Tender schedule)
8. Complete architectural and structural drawings
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 9. Amount of EMD and mode of remittance
10. Forms and Other Relevant Information
11. List of mandatory tests
12. Preliminary agreement
Types of tender

Based on Based on the Based on parties

Based on scope
objective medium involved

Execution of Pre-qualification Public/Open

E-tender
project tender tender

Execution of
Global tender Manual tender Limited tender
services

Goods/Materials
Regular tender Single tender
Supply

Short tender

Quotation

• Pre-qualification tender – Shortlists contractors eligible to participate in a tender process

• Global tender – Tender involving foreign funds and agencies
• Regular tender – Tender for normal works
• Short tender – Tender for works with lesser PAC and short duration
• Quotation – Tender for small jobs, repairs, etc. EMD is not required
• E-tender - Online tendering process
• Manual tender – Traditional tendering process
• Public/Open tender - Tender open to all contractors
• Limited tender—Only a selected no. of contractors are invited to quote their rates
• Single tender—Invitation is given to only one firm to render a service by quoting their rates.
If the quoted rates are high, it will be negotiated prior to the agreement of the contract.
Procedure for opening tender
Tender must be submitted latest by the prescribed date and time in a sealed cover. The name of the
work and the due date should be written on the cover. Tenders received after the due date and
time, are rejected.

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 • The valid tenders are opened by the designated officer at the venue and at the time notified,
in the presence of tenderers or their representatives.
• Seal of Tenders are to be checked
• Cover of tender form to be initialed as token of having verified the seal of cover
• All the tenders are to be numbered work-wise serially
• Tender covers should be opened without damaging and to be stitched to the tender
• Earnest money Deposit is to be verified and the tenders submitted without earnest money
are rejected. (technical bid)
• Rates quoted by each contractor are noted for comparative study of other contractors.
(financial bid)
• In the case of wrong entries or over-writing in the tender form, it should be attested by the
officer-in-charge.
• Check if tenderer has altered any part of tender document.
• If a contractor returns a blank tender document, it should be noted “BLANK TENDER”
If a contractor does not return a tender document at all, it should be noted “NO TENDER”
If a contractor puts forward any condition, then it should be entered as “CONDITIONAL
DOCUMENT”
• Late tenders shall not be opened
Tender tabulation
Statement prepared for comparison of the rates quoted by various tenderers for easy identification
of the lowest quote. Following details may be tabulated:

• Name of work
• Authority
• Tender notice number
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 • Tender opening date & time
• Tenders sold; offers received
• Tender opened by
• Earnest money details
• Validity of tenders
• Eligibility/Credentials of tenderers
• Special conditions by tenderers
• Comparative Statement.
Firm period
The firm period of a tender is the period from, the date of opening of the tender to the date upto
which the offer given in the tender is binding on the bidder. The firm period is fixed as the maximum
time required within which a decision can be taken on the tender and order of acceptance is issued
in writing to the bidder (which shall not exceed two months in the normal course).
Negotiations
Official discussion held by the designated officer with the contractors if some clarifications are
required or when the rates quoted by them are very high or differs only marginally from others.
• Negotiation is conducted with the lowest tenderer only and has to be completed within the
firm period
• Negotiations should not be resorted to unless substantial financial gain is expected.
• If the variation in quoted rates is less, other tenderers may also be included in negotiation.
Selection of contractor
• H1 or L1 to be decided on the basis of quoted amount tabulated in the comparative
statement
• H1 – for revenue contracts,
• L1 – for expenditure contracts
After it is decided to accept a tender, selection notice in the form of letter of acceptance as per
bidding documents shall be issued to the bidder by the tendering authority before the expiry of firm
period. In case of failure to execute the agreement within this period, tendering authority shall
cancel the offer of contract forfeiting the EMD. EMD of unsuccessful candidates is to be returned.

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 Contract
A contract is a written agreement between two or more parties for a work against some
consideration.
Conditions for validity of contract

• Offer from the contractor (tender quote)

• Acceptance from the owner (acceptance letter/selection notice);
• lawful consideration (payment for the work);
• lawful object (legally valid project);
• Free consent (free willingness from the parties);
• Competency to contract- Age, Sound mind, Not disqualified by law;
• Not declared void specifically.
Types of contract
• Item rate contract
• Percentage contract
• Cost plus percentage contract
• Lump sum contract
• Piece work system
• Departmental execution
The most appropriate form of contract shall be decided upon in individual cases before inviting
tenders. The authority according technical sanction to the estimate decides whether the work is
done departmentally or through other forms of contract.

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Item rate contract
The contractor undertakes the work on the basis of rates quoted for each item of work. Work is
awarded to the contractor quoting the lowest total amount, which is obtained as the sum of the
products of the individual estimated quantities and their quoted rates. Used in most of the PWD
projects – irrigation projects, big buildings, repairs, etc.
Advantages
• Additions and alterations in the plan and specifications can be made easily at any stage
• As the contractor gets payment for the actual quantities, there is no possibility of excess
payment
• Work can be started after accepting the tender without waiting for the detailed drawings
• Used in most of the projects – irrigation projects, big buildings, repairs, etc.
Disadvantages:
• Difficult to scrutinize the tenders
• If the quantities of items differ from the schedule quantity, the lowest tender may result in
higher costs.
• Total cost of work can be calculated only after the completion of the entire work, which
makes finance controlling difficult.
• Detailed measurements are necessary for making payments.
Percentage contract
The departmental rates for the different items of work in an estimate are published and the
contractor quotes his rate at a percentage above, or below or at par the estimate rates so published.
• Only a single percentage applicable to all the items is quoted.
• Easy to fill the tender form and scrutinize the tenders.
• Lowest tender will always be the lowest.
• Usually used for smaller works (upto 5 lakhs) in Kerala PWD
Cost plus percentage contract
The contractor completes the work for the actual total cost plus an agreed percentage of it as the
profit of the contractor.
• Speed and quality of work is maintained in this system.
• The contractor produces the actual bills of materials and labour.
• There is always tremendous wastage of materials as the contractor’s aim is to increase the
total cost of the work.
• This system is adopted only in the case of emergency works and in private sector.

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Lump sum contract
In this system, the contractor undertakes the execution of a specific work for a definite lump-sum
amount within a specified time period. On completion of the work, it is checked as per drawings and
specifications and if approved, the amount is paid to the contractor. This system is usually adopted
for the construction of sculptures and decorative works.
Advantages
• The quantity of items is not required to be measured.
• Total cost of work is known beforehand, which makes finance controlling easy.
• Materials, equipments and labour can be arranged in a systematic way.
• Enables faster execution, since the profit of the contractor is dependent only on time.
Disadvantages
• Additions and alterations are not possible.
• All drawings must be ready beforehand.
• Needs proficiency in design and execution. Everything needs to be error-free for the success
of the contract.
Piece work system
Under this method the Piece-worker merely agrees to execute specific items of work at specific rates
without reference to total quantity or time. It is used for minor works. Contractors can be selected
with quotation.
Advantages
• Quickness in execution
• Cheaper and quicker for petty works which are spread out
• Over-all responsibility lies with the department
• Nomination of contractors is possible if no competitive contractor is available to take up
works.
Departmental execution of works
This method is adopted in case where no contractor is available, or contractors quote very high
rates, or where for other reasons, it is found more suitable. Work is executed by the engineering
department of the government. Engineer in charge executes the work by purchasing materials from
the open market and nominating workers to get the work done.
Used for emergency works:
– Canal breaches
– Flood relief
– Disaster management
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Execution of agreement
The agreement for the work shall be got executed by the Contractor with Department in the form
prescribed in the bidding document after the award of contract within the period specified in the
selection notice.
Contract Document/Agreement
When the tender of a contractor is accepted, an agreement between the contractor and the owner
takes place and the documents defining the rights and obligations of the owner and the contractor
are attached to the agreement bond and this is called a contract document. Each page of the
contract document bears the signature of the contractor and the accepting authority and any
correction in it is initialled. Contract document includes:
• Title page – name of work, name of owner, name of contractor, contract agreement no.,
contents, etc.
• Index page – contents of the agreement with reference pages
• Tender notice – brief description of work, estimated cost of work, date and time of receiving
tender, amount of EMD and security deposit, time of completion, etc.
• Tender form – the bill of quantities, contractor’s rate, total cost of work, time of completion,
amount of security deposit, etc.
• Schedule of issue of materials – list of materials to be issued by the owner/department to
the contractor with the rates and place of issue.
• Drawings – complete set of drawings including plan, elevation, sections, detailed drawings,
etc. all fully dimensioned.
• Specifications – (a) General Specifications which specify the class and type of work, quality of
materials, etc. (b) Detailed specifications – detailed description of each item of work
including material and method to be used along with the quality of workmanship required.
• General conditions
• Special conditions
Conditions of agreement
• General conditions:
• Rates of each item of work inclusive of materials, labour, transport,
plant/equipment and other arrangements required for completion of work
• Amount and form of earnest money and security deposit
• Mode of payment to contractor including running payment, final payment and
refund of security money, etc.
• Time of completion of work
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 • Extension of time for completion of work
• Engagement of sub-contractor and other agencies at contractor’s cost and risk
• Penalty for poor quality and unsatisfactory work progress
• Bonus for early completion
• Termination of contract
• Arbitration for settlement of disputes
• Special conditions – depending upon the nature of work taxes and royalties included in the
rates, labour camp, labour amenities, compensation to labour in case of accidents, etc.
Work order
Work order is the document/order issued after executing the agreement as a permission to start the
work. [After issuing the work order, the AE ‘hands over’ the site to the contractor who ‘takes over’
the site for construction. After commissioning of the project, the contractor ‘hands over’ the site to
the AE and the AE ‘takes over’ the site.]
EMD VS SD
EMD is the amount of money which is to be deposited along with the tender form and its amount is
upto 5% of the PAC. The following are the reasons for depositing EMD:
• To avoid unnecessary competition among contractors
• To act as a tool for punishment, in case the contractors quoted lower rates without the
intention of executing the work.
• To act as a compensation for those who withdraw and refuse to do the work
SD is the amount of money which is deposited along with the contract document, in the form of
demand draft, bank guarantee or bank deposit. Its amount is upto 10% of estimated amount. The
following are the reasons for depositing SD:
• As a check for fulfilling the conditions in the contract document
• To act as a tool for punishment, if contractor withdraws from the work
• As a security for the departmentally issued materials

Quality control
Quality is an attribute to excellence. It involves ‘do it right the first time’ and with ‘zero defects’.
Following are the aspects of quality:
– Fitness for purpose.
– Conformance to specification.
– Meeting or exceeding customer needs.
– Value for money.
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 – Consistency - lack of variability.
Need and objectives of quality control
Quality Control includes “the techniques/tests for controlling quality”. It involves systematic
measurement, comparison with standards, monitoring of processes and adopting corrective
measures to ensure quality. Quality control ensures safety, serviceability and durability.
• There are two types of quality control
– Process control includes control at every stage specifically;
– End Control based on end results
QC aims to identify defects in a product before it is released. Construction sector is highly variable in
quality since it depends on the quality of materials and workmanship. Hence it is essential to
maintain the quality of these factors for a quality construction. A good design is supplemented with
‘specifications’ which stipulates the materials and workmanship. ‘Supervision’ and ‘inspection’ keeps
check on the malpractices and minimizes error. Proper ‘sampling’ and ‘testing’ measures the quality
of raw materials and finished products. Construction contractors are responsible for the quality
control of their constructed work product as well as the necessary inspections and tests required to
ensure that their work complies with the contract documents.
Role of specification
Specification includes the description of items of work, details regarding the materials to be used
and the workmanship. It is a statement listing the details of the job to be carried out. Specification is
included in the tender documents along with the drawings and form part of the contract and hence,
it is a legal document. Unit cost of a work depends largely on the specifications. Drawings and
specifications form two important contract documents. Following are the types of specifications.
– General specification - short specification
– Detailed specification – long specification
• Specification defines the quality of materials and workmanship. Hence the contractor will be
able to put correct rates for the different items of the work in the tender form.
• It serves as a guide to the contractor and supervisors during execution of the work.
• It helps the owner to check and satisfy with the quality of works, during execution.
• In case of any disputes between the owner and contractor (with respect to the method of
construction, quality and quantity of materials used, equipments and machineries used etc.),
the specification plays the major role in solving the disputes and arriving at a settlement.
• It gives detailed information regarding the equipment, tool and plants to complete the
project, enabling its timely procurement.

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Role of supervision
Supervision is the process of overseeing the work to ensure quality.
• Interpretation of drawings and specifications.
• Adherence to standards of materials and workmanship
• Checking of the construction process
• Evaluation of properties of materials
• Elimination of malpractices by the workers
• Frequent consultation with the contractor
• Prevention of errors
Role of check lists
A checklist includes the key points to be verified during an inspection, supervision or a process. It is
mostly objective in nature. It serves as a reminder to the responsible officials. It avoids skipping of
the important items.
• Checklist for inspecting a concreting work
• Concrete: Quality of raw materials, workability, etc.
• Formwork: check against design, alignment, elevation, plumbness and tightness
• Reinforcement: check against drawings for layout, number, cover, splicing, etc.
• Safety: Personal protective equipments, safety measures, etc.
Role of inspection
Inspection involves checking against what is required, for any parameter (strength, geometrical
tolerance, roughness, setting time of cement, etc.)
– Receiving inspection is carried out to ensure the quality of materials
– In-process inspection is carried out to ensure the quality of workmanship
– Final inspection is carried out after finishing the work or product.
Inspection is usually carried out by higher officials or external authority to ensure quality and to
check bad practices.
Role of sampling of materials
Sampling is the process of selecting a small group from a larger group, representative of the whole
group. Quality of the group is usually assessed by examining this sample. If the size of the sample is
large, the reliability of the information obtained is more, but cost of inspection increases. Sample has
to be carefully selected to reflect the group.

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Role of testing
Testing is the examination of a material or product to check its conformance to the specified
performance standards. It is conducted at the site or in laboratories. Corrective measures are to be
adopted in the case of failures.
• In concreting works, coarse aggregates, fine aggregates, water and cement are to be tested
for quality.
• In destructive testing, the sample is tested to failure, as in the case of concrete cube tests.
• Completed structures can be tested with non-destructive tests like Schmidt Rebound
hammer test, ultrasonic pulse velocity test, etc.

Measurement of works
Rules for taking measurement
• Measurements are recorded at various stages of the work by the Overseer/ Assistant
Engineer as the case may be and duly checked by superior officers.
• The contractor or his authorised agent shall be present at the time of recording of each set
of measurements and shall sign the measurement book and/or level field book in token of
his acceptance.
• If the contractor fails to be present at the time of taking measurements either in person or
through his authorised agent, the measurements taken by the Engineer / Overseer shall be
deemed to be correct subject to check measurements.
• The measurements shall be checked by an officer higher in rank to the officer who has
recorded the measurement, but not by an officer below the rank of an Assistant Engineer.
M-book
A numbered book, with all pages machine-numbered, issued to record the measurements of work. It is a
legal document and to be kept under the safe custody of the officer in charge of the work.

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Rules for recording in M-book
• Measurements shall be recorded directly in the measurement books at site neatly.
• Measurements must be recorded with permanent ink.
• Dated initials of the recording officer shall be made after the measurements.
• Erasures and over writings in the measurement books are strictly prohibited. If mistakes are
made, they should be corrected by neatly scoring off the incorrect entries with initials.
• No lines shall be left blank
• No pages shall be left blank. Blank pages, if any, must be cancelled with initials.
• The signature of the contractor must be obtained with the statement “I accept all
measurements”.
• After making payments, all relevant pages of M-Book should be scored off with a diagonal
red line and stamped as “PAID”
Pre-measurement vs Check measurement
Pre-measurement Check measurement
Process of measuring of work before starting the Checking of the measurements, recorded in M-
work Book, by superior officials.
Adopted where measurement cannot be taken All concealed items and 50% of other
after execution of work measurements have to be check-measured.
Examples: It is done to prevent fraudulent entries and to
– Steel reinforcement in RCC detect errors.
– Jungle clearance After check measurement, a certificate “check
– Hard rock excavation measured” with initials should be furnished in
– Road works- materials the M Book by the concerned officer.
Preparation of bill
Bill is the account of work done or supply of materials made and includes the particulars and
quantities of work done or material supplied and amount due. Reference to the agreement number,
order number, etc are also given in the bill. A bill includes:
– Total amount of work done
– Recoveries
– Net amount to be paid
In case of final bills the field officers should certify about the due fulfillment of contract and
satisfactory completion of work. The memorandum of payment is then made. The competent officer
records a formal pay order specifying both in words and figures the net amount payable. The
contractor is required to acknowledge the gross amount payable inclusive of recoveries proposed in
the bill. All calculations are cross checked at the drawing branch before final payment. When the bill
is passed for payment, every page containing the detailed measurement will be scored out by a
diagonal red ink line. After payment is made, bill is kept in record as a voucher. [Voucher is a written

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document with details which is kept in record after acknowledgement by the payee, as a proof of
payment.] The number and date of the voucher for payment will be entered in the measurement
book.
Types of bill
• First & Final bill- Used for making payment for the work done or supplies, when only a single
payment is made to the contractor upon completion of the work. Used in small/petty works.
• Part bills / Running Account bill- Used for making interim payments in works of longer
duration and involving large amount of money. Bill is prepared to the extent of works
completed or to a lesser value. Part bills are prepared in white form.
• Part & Final bill- Prepared upon completion of the work, for the work done since the last
part bill.
• Final bill- Bill prepared for the entire work, upon the completion of the work in every aspect.
All previous payments are deducted to obtain the final amount due. Final bill is prepared in
yellow form.
• Hand Receipt – A simple form of voucher intended to be used for small miscellaneous
payments and advances. No agreement is necessary for payments made through Hand
receipt form.
Recoveries from bill
Recoveries denote the amounts to be withheld or deducted from the bill amount. These include
– Advance payments
– Department supplies of materials
– Hire charges for department equipments
– Security deposit
– Penalties on slow progress, damages, etc.
– Statutory deductions for income tax, welfare fund, GST, etc.
Mode of payment
• Bills – First & Final bill, Part bill, Part & Final bill or Final bill, as the case may be. Voucher is a
written document with details which is kept in record after acknowledgement by the payee,
as a proof of payment.
– First & final payment- A single payment made for a job on completion of the work.
– Interim payments- Payment made for only a part of the whole work or supply from
time to time during the progress of the work or supply.
– Final payment- Last payment made to a contractor on completion of contract and
full settlement of the account.
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 • Advance payment - Payment made to a contractor when measurement cannot be taken for
certain valid reasons. It shall not exceed the work done by him but not measured. Resorted
to only under special circumstances.
• Secured Advance Payment - Payment made on the security of materials brought by the
contractor to the site of work, to the extent of 75% of the imperishable materials.
• Hand Receipt payment –Payment for small miscellaneous works by Hand Receipt.
Contractors ledger
Contractor’s ledger is a personal account of a contractor where all transactions regarding the
particular contractor are entered. It is maintained in the divisional office in a prescribed form. All
payments, recoveries, adjustments, etc. are entered in the ledger. Recoveries of debit balance of
the ledger should be made from the contractor regularly at the first available chance to avoid
accumulation of arrears. For every contractor, a separate ledger is maintained and each contractor’s
ledger is closed and balanced monthly.

Imprest money
Fixed advance amount given to the project engineers to meet the petty and urgent payments
needed at site like
• Petty repairs
• Local purchases
• Miscellaneous expenses like coolie or labour charges
Guidelines to be followed in maintaining imprest account:
• Payments should be entered daily as and when incurred
• Account should be balanced from time to time
• One copy of imprest form should be sent to the disbursing officer and the counterfoil
retained by the imprest holder
• Account should be supported with vouchers for payment

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 • Amount with which the imprest account is opened should be entered in red ink along with
dates of remittance, cheque number and date

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 MODULE 3
Human resources management
Human resource management is a term used to describe the management and development of
employees in an organization. HR departments undertake a number of activities including employee
recruitment, training and development, performance appraisal, and rewarding (pay and benefit).
Functions of HRM
• Managerial functions
– Planning
– Organising
– Direction
– Controlling
• Operative functions
– Staffing/Human resource procurement
– Human resource development
– Compensation and benefits
– Safety and health
– Employee and labour relations
Objectives of HRM
• To help the organisation achieve its goals
• To ensure effective utilization and maximum development of human resources
• To provide the organisation with well trained employees
• To identify and satisfy the needs of employees
• To develop and maintain the quality of work-life
• To ethically and socially respond to the needs of the society
• To develop multi-dimensional responsibility in employees
Different sources of human resource
Internal Sources: From within the organisation by promotion or transfer. Candidates are familiar to
the job culture and don’t need any induction. Management is familiar about the capabilities of the
candidates.
• From within department where the vacancy exists
• From other departments within the company
External Sources: From outside the organisation. Candidates and management are unfamiliar.
• Campus recruitment from educational institutions

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 • Suitable for entry posts
• Need to be trained
• Lesser salary may be paid
• Open market by advertisements
• From opponent organisations
• Best candidates can be obtained
• More salary needs to be paid
• Lessens competition between the organisations
• Recruitment through specialised agencies like employment exchanges run by govt. or other
job consultants
Staffing & Human resource development

Induction & In-service

Recruitment Selection Appointment
training training

Recruitment
Recruitment is a process of evoking interest and response among probable candidates to apply for
the vacant position. It is a positive process. Recruitment includes identification of the sources of
manpower availability and securing applicants for the various job positions in the organisation.
Selection
Selection process is an elimination process with a view to select the most suitable candidate
amongst all the applicants. It is also known as negative exercise because of its elimination process.
Unlike recruitment wherein more and more candidates are encouraged to apply for the vacancies, in
selection process through its various stages, candidates are rejected with a view to find out the most
suitable candidate. It includes receiving and screening of applications, employment tests, interview
and medical examination of candidates.
Appointment
To place ‘right person doing the right job’
Appointment is the process of placing the individual employee into a job, matching his skills,
potential, ability and interest with the challenges offered by it, with a view to optimise the individual
as well as organisational performance. Each individual has a unique blend of characteristics which
determines his adjustment in a work situation. Depending upon the built-in strength and weakness
of individual employee, his appointment to a particular post in the organisation is determined.

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Induction & Training
Induction is the process of introducing or orienting a new employee to the organisation. The new
employees are familiarised with their units, supervisors and fellow employees. The process varies
from one organisation to another. They are informed about the working hours, tea or coffee breaks,
lunch period, procedure for availing leaves, safety precautions, medical facilities, transport facilities,
etc. Sometimes, induction training- training for new employees- is also given. Training is a method of
imparting information, knowledge, skills and behavioural inputs to the employee for improving and
upgrading his skills, enhancing his performance and productivity and development of his potential
for his own benefit as well as for the benefit of the organisation.
In-service training
It is the training given to different employees of an organisation to increase their productivity,
according to their job nature, during the service period. Training is a method of imparting
information, knowledge, skills and behavioural inputs to the employee for improving and upgrading
his skills, enhancing his performance and productivity and development.
Recruitment vs Selection

Increasing productivity
Productivity is the measure of time or effort that’s spent to get things done. It is a yardstick of
efficiency. When employees have high productivity, operations become more efficient, sales targets

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become more achievable, and the business becomes more profitable. Employee productivity can be
increased by:
– Training
– Motivation
– Incentives
– Comfortable work place
– Promoting healthy work-life balance
Motivation
Motivation can be understood as the desire or drive that an individual has to get the work done. It is
the willingness to exert high levels of effort towards organizational goals.
Intrinsic motivation: The self –generated factors that influence people to behave in a particular way
or to move in a particular direction. These factors include responsibility, autonomy (freedom to act),
scope to use and develop skill and abilities, interesting and challenging work and opportunities for
advancement.
Extrinsic motivation: What is done to the employees to motivate them This includes rewards, such as
increased pay, praise, or promotion, and punishments, such as disciplinary action, withholding pay,
or criticism. Extrinsic motivation can have an immediate and powerful effect, but it will not
necessarily last long.
Incentives
Incentives refer to rewards given to employees in monetary on non-monetary form in order to
motivate them to work more efficiently. It is an additional compensation for those employees who
perform well. These include monetary benefits, perks, tour packages, membership in elite clubs,
promotions, bonus, job enrichment, etc.
Labour welfare measures
Welfare includes anything that is done for the comfort and improvement of employees and is
provided over and above the wages. Welfare measures include:
• Dormitories with basic amenities
• Locker facilities for storing clothing, etc not used while at work
• Screening films on educational industrial safety measures and social topics
• Supply of food stuffs and other provisions at concessional rates
• Subsidized transport arrangement to and from the worksite
• Facilities supporting medical treatments, etc
• Creche facilities

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Workmen compensation act
The Workmen’s Compensation Act 1923 is a social security legislation providing compensation to
workmen or their dependants by their employers for accidental injuries or death during work.
• Objectives
– To lower down the number of accidents
– To mitigate the effects of the accidents by providing the suitable medical treatment.
– To provide quicker and cheaper mechanism of compensation.
– To make the industry more attractive and comfortable to workmen for working.
• An employer is liable to pay compensation to an employee:
– For personal injury caused to him by accident.
– For any occupational disease contracted by him.
• Conditions to be satisfied:
– Some personal injury must have been caused to the employee.
– Such an injury must have been caused by an accident.
– The accident must have arisen out of and in the course of employment.
– The injury must have resulted in death or total/partial disablement of employee.
• Compensation, however, is not payable for injuries due to
– Disobedience or negligence,
– Non observance of safety measures
– Consumption of liquor
– Diseases which are not contracted as a result of the occupation
Trade Union
Trade unions are organizations formed by workers from related fields that work for the well-being of
its members and smooth functioning of the organisation.
Functions:
• Improving working conditions at site
• Improving wages of workers
• Promoting welfare activities such as health plans, life insurance, bonus, provident fund, etc
• Providing necessary legal assistance to workers
• Establishing cordial relations between employers and employees
• To cultivate good culture and team spirit
• To help each other
• To secure some control of the enterprise
• To arouse public opinion in favour of labour

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 Stores
Store keeping aims basically at achieving a balance between supply and demand. Following are the
basic functions of stores:
• To receive raw materials, components, equipments, finished goods, arrange for their
inspection and provide adequate and proper storage for them.
• To issue these items to indentors as and when demand arises from user units and keep
account of the same.
• To ensure proper preservation and maintenance of stock.
• Carry out verification of goods and assist in effective purchasing.
• To adopt inventory (or stock) control measures for reduction in costs.
• To carry out environmental functions like collection of scraps, waste and salvage, recovery
and recycling of materials, etc.
Types of stores
• Material stores: For storing raw materials, etc
• Cement stores, Steel stores, Fuel stores
• General stores: For storing general purpose items
• T & P (Tools & Plant stores): For storing equipments and tools
• Salvage store: For storing items to be salvaged
Inventory control/Store management
Inventory is simply a stock of physical assets having some economic value which can be either in the
form of material, money or labour. Inventory is also known as an idle resource as long as it is not
utilised. Inventory may be regarded as those goods which are procured, stored and used for day-to-
day functioning of the organisation. Inventory control is the technique of maintaining stock items at
desired levels. ABC and VED principles are tools for Inventory control.
ABC analysis- Always Better Control
Items are managed according to their monetary value.
• A items:
– Less in number (10%)
– Consume major portion of funds (70%)
– Tight control, rigid estimates of
requirements
– Managed by top management.
• B items:
– Moderate in number (20%)

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 – Moderate in cost (20%)
– Moderate controls
– Management done at middle level
• C items:
– Larger in number (70%)
– Consume lesser amount of fund (10%)
– Ordinary control measure- Items are usually procured in bulk to minimize other
costs
– Management done at lower levels
VED analysis- Vital, Essential, Desirable
Items are managed according to their criticality/importance.
• ‘V’ –Vital: Items without which a work comes to stand-still
– Stocked in abundance
• ‘E’ -Essential: Items whose non availability can be tolerated for some days.
– Stocked in medium amounts
• ‘D’ – Desirable: Items whose non availability can be tolerated for a long period.
– Stocked in small amounts and purchase is based on usage estimate.
Shelf life of materials
Shelf-life or storage-life is the permissible storage period of materials after the manufacturing date.
Items with limited shelf life are not to be used after the expiry of this time period. For this purpose,
use of First in First out (FIFO) system of issue needs to be implemented.
Issue of materials from stores

Issue to
USR /
Indent / contractor with
unstamped Transportation Delivery challan
requisition invoice after
receipt from to site from site
letter from AE recording in
contractor
stock register

Stock Register
Stock register is a register where issue and receipt of items to and from the store is recorded. It
shows the stock status after every transaction.

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Indent
Indent is a request to issue the materials from the store, prepared in a prescribed form. It includes
the name and description of materials required, quantity, etc. passed by a higher authority.
An indent typically has the following points of explanation:
(a) Name of the item,
(b) Description of the item,
(c) Item code (if it is a standard item),
(d) Quantity of the item,
(e) Specifications,
(f) Date & time by which the item is desired,
(g) End user department's name and location where the item is to be delivered,
(h) Indent originator's name (for coordinating delivery),
(i) Signature of the Authority
Invoice
Invoice is a document issued by a vendor on the supply of an item by sales. It shows the value of the
item and applicable taxes. Bill is referred to as invoice. The store keeper will prepare and sign the
form of the invoice attached to the indent when the supply is made. Simultaneously an entry is
made in the stock register.
USR/Un-Stamped Receipt
It is a receipt taken from the contractor or his representative upon supply of materials or
equipments from a store. In the unstamped dated acknowledgement receipt, full particulars of the
stores issued to a contractor, including the recovery rates and total cost chargeable to him is filled
and signature on receipt taken from the Contractor before the stores are issued to him. These
details are also entered in the Contractor's ledger.
Transfer Entry Order (TEO)
Order issued by competent authority for transfer of stores under the department from one project
site to another for sharing of resources according to priority
MAS/ Material Accounting at site
When the materials are directly purchased for the work, their costs are debited to the head
"Materials" and its account is known as "Materials at Site (MAS) Account". This account is
maintained only for major works, where large quantity of material is used. The Material at Site
Account gives an idea of consumption of materials in a project. It is a statement prepared regarding
the receipt and issue of material at site. The receipt may include the materials procured directly,

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from the department stores and by means of TEO. The records are verified at intervals, with the
actual availability of materials in the site. Accounting for incoming material to site could comprise:
• Date
• Supplied by / Received from
• Supply / Purchase order no.
• Description of material
• Quantity ordered
• Quantity received in acceptable condition
• Discrepancy / Shortage
Similarly, accounting is done for consumption or issue. "Material Transfer Note" records all inter-site
transfers of materials. On completion of a job, sum total of all consumptions, transfers and disposals,
compared with receipts, shall be closed and duly balanced for all materials. The "Material At Site
Accounts" are very essential to undertake procurement, issue, receipts, transfers and monitor
consumption and surpluses.
Minimizing wastage
Waste management is an important aspect of stores management which deals with surplus, scrap
and obsolete stock of items and their proper disposal.
Wastage can be minimised by adopting measures like:
• Assess the performance of staff by assessing the cleanliness of the place.
• Proper storage and dumping places of scrap need to be identified.
• Fix tolerance limits itself on the production of scrap.
• Scrap should be segregated and sold as this fetches better value.
• Reclamation should be used wherever possible.
Surplus stores & safe custody
These are materials which have no immediate use or at least in the foreseeable future. They have
accumulated due to faulty planning, forecasting and purchasing. Sometimes, they may have
accumulated since they are usually available for purchase in large quantities only. Surpluses also
occur when contractors leave their belongings in site. Surplus items found at site or stores are kept
in safe custody and added to stock, with a proceeding.
Surplus stores are divided into two classes Serviceable &Unserviceable. Serviceable items are
transferred to work in progress or brought on to stock account. Unserviceable Surplus are disposed
off at the earliest, to avoid unnecessary inventory carrying cost, decrease in resale price, etc.
Survey report & writing off unserviceable materials
Surplus stores are divided into two classes Serviceable &Unserviceable

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Serviceable items are transferred to work in progress or brought on to stock account. EE prepares
half yearly list in the form of serviceable surplus material which are not likely to be required in his
division. Circular is made to other divisions about the surplus serviceable items. These items are
transferred to the works in other sites.
Writing off- Unserviceable items in the store are identified and a survey report is made to write off
these items from accounts. This requires approval. The items may be destroyed or auctioned off and
the relevant items are deleted from accounts.
Stock verification
Stock verification is the determination or quantification of the material in stock and checking its
deviation from the figures shown in the books. The stores manager must periodically verify all stocks
with the physical presence of the material. The causes for discrepancy in stock can be due to the
following reasons:
• The scales or weighing machines etc. have not been properly calibrated or are not of good
quality or being maintained improperly,
• Issues without indents or proper paperwork,
• Delays in updating paperwork,
• Untrained individuals handling paperwork,
• Obsolescence,
• Deterioration and damage due to natural causes like corrosion, insect damage, rodent
damage or seepage of rainwater etc., and
• Deterioration and damage due to unnatural causes like theft, sabotage, etc
The process of verification is the physical counting, weighing or measuring the stock of materials
that is in stock and making a record of these figures. Verification of stocks in the store is conducted
by an external agency at intervals. Shortage, surplus and unserviceable items are verified and
reported.
Procuring materials to store
Materials have to be purchased
– In right quantity
– Of right quality
– At right cost
– At right time
– From right resources

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Introduction to transportation problem
The transportation problem is a special type of linear programming problem where the objective is
to minimise the cost of purchasing a product from a number of sources or origins and delivering to a
number of destinations.
Aim
– Minimising the supply cost of materials
Result
– Optimum number of quantities to be ordered from different sources based on
demand, stock/availability and lowest price
Types of problems
– Balanced (Supply = Demand)
– Unbalanced (Supply ≠ Demand)
Methods
– North-West Corner method
– Least Call Cell Method
– Vogel’s Approximation Method

N-W Corner method

It is the simplest method for solving transportation problem. The name North-west corner is given to
this method because the basic variables are selected from the extreme left corner.
Steps:
– Check whether demand = supply ie, balanced problem (If unequal, provide dummy
demand/supply)
– Select the upper left-hand corner cell of the transportation table and allocate as many units
as possible equal to the minimum of available supply and demand, i.e., min (s1, d1).
– Adjust the supply and demand numbers in the respective rows and columns.
– If the demand for the first cell is satisfied, then move horizontally to the next cell in the
second column.
– If the supply for the first row is exhausted, then move down to the first cell in the second
row.
– If for any cell, supply equals demand, then the next allocation can be made in cell either in
the next row or column.
– Continue the process until all supply and demand values are exhausted.

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Examples

Solve this transportation problem

Total Supply = Total Demand = 34; Hence a balanced problem

Minimum total transportation cost

= (19×5) + (30×2 + 30×6) + (40×3 + 70×4) + (20×14)
= Rs. 1015/-

Three sources A, B and C with the production

capacity of 50 units, 40 units, 60 units of

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product respectively is given. Every day the demand of three retailers D, E, F is to be furnished with
at least 20 units, 95 units and 35 units of product respectively. The transportation costs are also
given in the matrix.
Total Supply = Total Demand = 34; Hence a balanced problem

Demand of D=20, supply of A =50>20. Hence, allot 20 to D

Demand of E=95, which can be satisfied from the remaining supply of A (50-20 = 30) and from B (40)
and from C (95-30-40 = 25)
Demand of F = 35, which can be satisfied from the remaining supply of C (60-25 = 35)
Minimum total transportation cost = (20×5) + (30×8 + 40×6 + 25×9) + (35×6) = Rs. 1015/-

Unbalanced Transportation Problems

• Unbalanced supply and demand

– If the total supply is not equal to the total demand then the problem is called
unbalanced transportation problem.

• Solution :

– If the total supply is more than the total demand, then we add a new column, with
transportation cost 0

– If the total demand is more than the total supply, then we add a new row, with
transportation cost 0

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Solve the transportation problem

Total Supply = 235, Total Demand = 215; Supply > Demand; Hence an unbalanced problem
Add a dummy demand column for a demand of 235-215= 20
[If supply = 215 and demand = 235, a dummy source column of supply 20 has to be added]

Demand of D1=72, supply of S1 =76>72. Hence, allot 72 to D1

Demand of D2=102, which can be satisfied from the remaining supply of S1 (76-72 =4) and from S2
(82) and from S3 (102-4-82= 16)
Demand of D3 = 41, which can be satisfied from the remaining supply of S3 (77-16=61)
Demand of dummy D4 can be met from S3
Minimum total transportation cost = (4×72) + (8×4 + 24×82 + 16×16) + (24×41) + (0x20) = Rs. 3528/-
Re-order level (when to order)
Re-order level is the level of stock, at which a new order for the item is placed. It is determined
based on the demand of the item, its essentiality and lead time for supplying the item.
EOQ (how much to order)
Economic Order Quantity is the order quantity which minimizes the total inventory cost. Total
inventory cost is the sum of direct cost and indirect cost. Fixed cost is independent of order size
while the variable cost is dependent on the order size. Variable costs include holding costs, order
costs, and shortage costs.

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Taking delivery of goods from lorry parcel service or goods yard
Items purchased from far off places will be despatched by the supplier through lorry parcel service
or railway goods service.
LR (Lorry Receipt) & RR (Railway Receipt)
On booking a consignment, the consignor (sender) prepares two copies of the receipt and sends one copy
to the consignee (receiver). When the consignment reaches the destination, the consignee has to
produce the receipt to claim the goods.
Lorry Receipt: Receipt for consignments transported by lorry parcel services
Railway Receipt: Receipt for consignments transported by railway goods services
Indemnity bond
If the LR or RR is lost, the consignee has to execute an indemnity bond with the parcel office authority
that he is the sole claimant for the consignment and would be responsible for any other claims raised by
anyone else in future.
Demurrage & Wharfage.
• Demurrage charges
– Penalty levied for the delay in unloading of goods from the train/ship after the expiry of
free time.
– Usual free time is 6 hours, beyond which demurrage charges are applicable.
• Wharfage charges
– Penalty levied for the delay in removing of goods from the station/port after the expiry
of free time.
– Usual free time is 24-48 hours, beyond which demurrage charges are applicable.

Construction Equipments
• Earth moving equipments
• Dozer, grader, power shovel, back hoe, JCB, ripper, dragline, clam shell etc.
• Hoisting equipments
• Construction lift, tower crane, gantry crane, jib crane, winch & pulley, chain block
etc.
• Transporting vehicles
• Tractor trailer, dumpers, tippers, trucks etc.
• Concreting equipments
• Concrete mixing machine, batching plant, concrete pump, vibrators, etc
• Miscellaneous equipments
• Water pump, compressors, pneumatic/electric driller, Jack hammer,
Hydraulic/screw jack etc.

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Earth moving equipments
These generally include earth moving and excavating equipments
Functions: Digging of earth, Moving earth to distances, Placement, Levelling, Dozing (pushing materials),
Grading, Hauling.
Dozer
Dozer is an effective and versatile earth-mover. A dozer is basically a tractor unit with a blade attached to
its front. The blade is used to push, shear, cut and roll
material ahead of the tractor.
Types
• Based on mounting
• Wheel-mounted: High speed; Effective
on firm ground
• Crawler-mounted: Low speed; Effective
on unstable soil
• Based on the direction of blade
• Bulldozers - Blades are mounted perpendicular to the direction of travel. It pushes the
earth in forward direction
• Angle dozer - Blades are set at an angle with the direction of travel. It pushes the earth
forward and to one side (to fill trenches, etc)
Uses
• Clearing land of timber and stumps
• Opening up roads through mountain and rocky terrain
• Moving earth for haul distances upto approx. 100m
• Spreading earth and rock fills
• Back filling trenches
• Towing and assisting other equipments
• Clearing the floors of borrow and quarry pits.
Ripper
Rippers are primarily used to loosen hard or
tight material. The ripper has a number of
shanks depending on the size of the tractor,
the depth of penetration desired, the
resistance of the material being ripped, and
the degree of breakage of the material
desired.

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Power Shovel
Power shovel is an equipment used to excavate earth and load materials into transporting vehicles.
It has a front mounted bucket connected to the end of boom (arm) to scoop up loose materials such
as dirt, sand or gravel from the ground and move it from one place to another without pushing the
material across the ground. It can excavate all types of earth except solid rock without prior
loosening. It cannot dig very deep below the level of its wheels, (like a backhoe can). It may be
wheel-mounted or crawler-mounted. A shovel’s
work cycle, or digging cycle, consists of four
phases: Digging, Swinging, Dumping, Returning.
Uses:
• Excavating hard earth
• Removal of debris including boulders
• Dumping
• Returning
Back Hoe
Back hoe is a mechanical excavator that draws a bucket attached to a hinged boom towards itself. It
is used primarily to excavate below the level at which
the machine rests. It is widely utilized for trenching
works. In addition to excavating the trench it can
perform other trenching functions:
- Laying pipe bedding
- Placing pipe with the help
- Pulling trench shields of attachments
- Back filling the trench
• Other suitable backhoe applications:
– Excavating basements
– Cleaning road side ditches
– Grading embankments
JCB
JCB is a brand name and is a combination of back hoe and
power shovel (named after its designer Joseph Cyril
Bamford). It has the following parts:
Tractor: The core structure is the tractor.
Loader/power shovel: The loader is attached in the front and the backhoe is attached in the back. It
is used to pick up and carry large amounts of loose material like soil.

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Backhoe: It is used to dig up hard, compact material, usually earth, or to lift heavy loads. It can lift
this material and drop it in a pile to the side of the hole.
Stabilizer Legs: It takes the weight when a backhoe is digging.
Drag Line
Draglines are used to excavate earth and
load it into transporting vehicles or to
deposit it on embankments near the
place from where it is excavated. It has a
long light crane boom and a bucket
loosely attached to the boom through
cables. Because of this, it can dig and
dump over long distances.
Advantages of a dragline are:
• It does not have to go into the
pit to excavate,
• It can excavate below its level and under water,
• The trucks do not have to go into the pit nor struggle with wet mud,
• A dragline with long boom can dispose off the earth in one operation without the need for
haul units
• It can excavate trenches without shoring.
One disadvantage of a dragline is that its output is only 75-80% that of a power shovel.
Uses:
• Road excavation
• Deep down pile driving
• Construction of ports, harbor etc.
• Surface mining
• Deep down excavation
• Under water excavation
Clam Shell
Clamshells are used primarily for handling loose materials such as sand, gravel, crushed stone, etc.
and for removing materials from cofferdams, pier
foundations, etc. They are especially suited to vertical lifting
of materials from one location to another.
Clamshells buckets are available in various sizes: heavy-duty
type for digging, medium-weight type for general purpose and

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light-duty type for handling light materials. Buckets have teeth that can be easily removed. Teeth are
used in digging harder types of materials but are not required when a bucket is re-handling
materials.
Uses:
• Digging pits for ground construction work.
• Ideal for digging and loading materials in tight and limited spaces.
• Material handling, loading and unloading industrial wastes, grains, sands, etc.
• Heavy duty mechanical clamshell is ideal for dredging application by crane.
Grader
A grader is primarily a device for levelling or finishing earthwork. It is also sometimes, used for
mixing gravel and trimming slopes. It is used in earth construction, making and maintaining project
roads, and land reclamation. It can perform operations such as grading, spreading, side-casting, road
crowning, bank dressing, mixing materials,
etc. through a suitable control of the blade
and proper maneuvering of the machine.
There are two kinds of graders: towed and
motorised. The towed grader is drawn with
a tractor and is usually made small in size. Proper blade and pitch settings according to the
operations must be used.
Hoisting equipments
Materials and structural members are required to be raised from the ground level to some height
where they are required to be placed. This is accomplished with hoisting equipments.
Construction Lift
Lifts are intended for vertical lifting of material and passengers in a cage which
moves on rigid guide rails. They find extensive use in the construction of high rise
buildings, or tall structures. It has the following main parts: cage (for passengers or
goods) or car for concrete mixes and building materials, self-supporting guide rails,
framed structures, suspension gear, hoisting machine, safety devices and electric
controls. The cage or car travels in the framed structure on fixed guide rails. The
framed structure is designed with steel channels and angles and is secured by
anchor bolts on a concrete foundation.
Tower Crane
Tower cranes give the best combination of height
and lifting capacity and are used in the construction

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of tall buildings. Tower cranes are fixed to the ground on a concrete slab or to the sides of
structures. Mast attached to the base gives the crane its height. A slewing unit (gear and motor)
attached to the mast allows the crane to rotate. On top of the slewing unit there are three main
parts: the long horizontal jib (working arm), shorter counter-jib, and the operators cab. The long
horizontal jib carries the load to and from the centre of the crane. The counter-jib carries a
counterweight, usually of concrete blocks. The crane operator either sits in a cab at the top of the
tower or controls the crane by radio remote control from the ground. Tower crane is usually
employed in erection of high industrial and residential buildings reaching upto several metres in
height. It is also commonly used in assembling high industrial plants with elements of steel structure.
Gantry Crane
Gantry crane is a hoisting equipment with single or double girder configuration supported by one leg
or two legs moving on wheels along a rail system. In its simplest form, gantry crane consists of a
beam supported over two columns which are carried over wheels. It is commonly used for loading
and unloading small or large items indoors or outdoors. Indoor applications include warehouse,
workshop, garage, manufacturing, and maintenance factory, etc. and outdoor applications include
port, dock, freight yard, shipyard, etc. Full gantry crane or semi gantry crane are commonly applied
for heavy fabrication uses, or in some type of outdoor yard – shipping yard, rail and container yards,
and steelyards. Portable gantry cranes are used for small services.
Jib Crane
A jib crane is a type of crane where a horizontal member (jib or boom),
supporting a moveable hoist, is fixed to a wall or to a floor-mounted
pillar. The hoist is used to lift or lower a load with the help of a drum, or
lift-wheel, which has a chain or rope wrapped around it. Jib cranes are
used in industrial premises and on military vehicles. The jib may swing
through an arc, to give additional lateral movement, or be fixed.
Winch & Pulley
Winches consist of a rope, cable or chain that winds
around a horizontal rotating drum. They are used to lift
and pull heavy items. A winch uses a pulley to wind up a
rope, wire or cable in order to lift a load. Manual winches
are powered by a hand crank and electric winches are
motorized to move loads or tow vehicles.
Chain Block
A chain block is a hoisting equipment used to raise or lower loads. It has top and bottom
hooks, the static top hook to suspend the hoist from a beam clamp or trolley, the bottom

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hook is the load hook to suspend the load. There are two different chains- load chain and hand
chain. Load chain lifts or lower the loads when the hand chain is pulled. Load hook is used to secure
the object being lifted while the chain is used to lift the hook and the load attached to an
appropriate height. There is also a chain stopper or brake on most chain hoists that prevents
lowering of a load during its lifting. Chain block is widely used in factories, mines, agriculture,
buildings, goods lifting, vehicle loading and unloading.
Transporting vehicles
These include vehicles that convey the construction materials to and from the site or plants.
Tractor Trailer
Tractor trailer is a truck consisting of a tractor attached to
a semitrailer or trailer, used for transporting loads.
Tractor is derived from a Latin word meaning “to pull”
and consists of an engine and cab section. Trailer is an
unpowered vehicle which carries the load and is pulled by
another vehicle.
Dumpers/Tippers
These are special rubber-tyred, high speed and high manoeuvrability trucks with short chassis and
strong dumpable bodies. The dumping may be in the
rear or in the bottom or at the sides. The loading,
hauling and dumping operations are performed in quick
succession, and the machine proves very useful for
short hauls on rough roads, especially when a shuttle
movement is required as in hauling muck during tunnel
excavation. Capacities of 4.5 m3 and over are available and speeds range from 6 to 30 krnph. The
rear and front dump units are usually self-powered, while the bottom dump is a semi-trailer
supported on rear wheels, its front being carried on the rear of the hauling tractor. For the handling
of rock and heavy material under adverse road conditions, the rear dump, self-propelled unit is best
suited. Bottom dump trucks are best suited for transporting free flowing materials, such as loose
sand and gravel or hard clay and shale. These units will also spread the materials on the fill. The side
dump provides good application when large lumps of material or rocks are to be transported and
dumped on one or both sides of the road.
Trucks
A truck or lorry is a motor vehicle
designed to transport cargo. Trucks vary

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greatly in size, power, and configuration. Smaller varieties may be mechanically similar to some
automobiles. Commercial trucks can be very large and powerful and may be configured to be
mounted with specialized equipment, such as in the case of garbage trucks, fire trucks, concrete
mixers. In general, trucks can be used for towing other vehicles, transporting goods and equipments
and for other specialised purposes.
Concreting equipments
These include the equipments used for batching, mixing, placing and compaction of concrete.
Concrete Mixing Machine
Concrete mixers mix the ingredient of
concrete to make a mix of specified
consistency. Mixing time is usually 1
min for mixers upto 0.75 m 3 capacity,
and this is increased by 0.25 min for
every additional 0.75 m3 or fraction
thereof. Some mixers incorporate a
timing device which controls the
mixing time. There are two main
types of concrete mixers: Drum type and Pan type. Drum type mixer may be made tilting or non-
tilting. Drum type mixers consist of a rotating drum. A set of blades inside the drum gives continuous
agitation of the material while mixing. Mixed concrete is discharged by tilting the drum about the
horizontal axis in a tilting mixer. Non-tilting mixers are made in single or double drum construction.
In double drum construction mixers, two drums are employed in series such that while one drum is
mixing a batch, the other is charged with a new batch.
Batching Plant
Concrete batching plant is an equipment that combines various ingredients to form concrete. Some
of these inputs include water, air, admixtures, sand, aggregate (rocks, gravel, etc.), fly ash, silica
fume, slag, and cement. A concrete
plant can have a variety of parts and
accessories for storing, proportioning,
mixing, conveying etc. including:
mixers, cement batchers, aggregate
batchers, conveyors, radial stackers,
aggregate bins, cement bins, heaters,
chillers, cement silos, batch plant

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controls, and dust collectors. Transit mix plant/ dry concrete batching plant weighs the aggregates,
cement, the ingredients are then poured in a transit mixer, mixed with water during transportation
to the site. Central mix plant/wet concrete batching plant weighs all the required ingredients
including water. The ingredients are mixed in a mixer located at a central location in the plant. After
the mixing process, the concrete is poured in to agitator truck, which transports it to the site.
Concrete Pump
A concrete pump is a machine used for
transferring liquid concrete by
pumping. A boom concrete pump uses
a remote-controlled articulating
robotic arm (called a boom) to place
concrete accurately. Boom pumps are
used on most of the larger
construction projects as they are
capable of pumping at very high
volumes and because of the labour
saving nature of the placing boom. A line concrete pump requires steel or flexible concrete placing
hoses to be manually attached to the outlet of the machine. Those hoses are linked together to lead
to the placement location. Line pumps normally pump concrete at lower volumes than boom pumps
and are used for smaller volume concrete placing applications such as swimming pools, sidewalks,
and single family home concrete slabs and most ground slabs.
Vibrators
Compaction of concrete is best done by vibration and is the most
efficient method. There are internal vibrators and external vibrators.
The internal vibrators are the needle vibrators or the poker vibrators
which are immersion type. The external vibrators are form vibrators,
vibrating tables, plate vibrators, surface screed vibrators, etc. Internal
vibrator is the most commonly used vibrator on construction sites. For
slabs, use plate vibrators or screed vibrators; for thin precast concrete
elements, shutter vibrators are more effective.
Miscellaneous equipments
These include the equipments of different kinds used for various jobs.

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Water Pump
Water pumps are commonly used on construction sites for dewatering or removing excess water
accumulation. Water can build up due to heavy rains or from
a high water table. Centrifugal trash pumps move large
amounts of water quickly, but can get clogged. These pumps
can handle clean, muddy, mucky, or sandy water with smaller
diameter solids. Diaphragm pump works like a piston, so
there's no impeller to clog, making them handy for moving
water with a lot of mud or silt, especially in shallow depths
where submersible and centrifugal pumps are ineffective.
Submersible dewatering pump works on relatively cleaner water as in sumps, excavations or
collection ponds.
Compressors
An air compressor is a type of machine which converts normal
air into a denser, high pressurised version. Compressed air is
stored under a pressure which is greater than atmospheric
pressure. The conversion process is typically performed in 3
stages, air intake, air pressurisation and air release. In general,
air compressors power a number of useful air tools used for
construction work, such as jackhammer, air sanders, air
impact wrenches, and grinders. Compressors may also be used
for devices that clean stone, brick, walls, floor, etc. It also aids
painting jobs.
Pneumatic/Electric Driller
A drill is a tool used for boring holes. It is fitted with a bit, secured by a
chuck. There are many types of drills: some are powered manually,
others use electricity (electric drill) or compressed air (pneumatic drill)
as the motive power. Drills with a percussive action (hammer drills) are
mostly used in hard materials such as masonry (brick, concrete and
stone) or rock. Drilling rigs are used to bore holes in the earth to obtain
water or oil.
Jack Hammer
Jackhammers are hand-held pneumatic or electrically operated drills driving an
internal hammer up and down. A complete drilling unit consists of a hammer, drill
steel, and bit. The energy of the reciprocating piston is transmitted to a bit through

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the drill steel which produces the hammer effect. Jackhammers are typically used to break up rock,
pavement, and concrete. The effectiveness of the jackhammer is dependent on how much force is
applied to the tool.
Hydraulic/Screw Jack
A jack is a mechanical lifting device
used to apply great forces or lift
heavy loads. A screw jack employs a
screw thread for lifting heavy
equipment. It is commonly used to
lift moderately heavy weights, such
as vehicles and as adjustable
supports for heavy loads, such as the foundations of houses. A hydraulic jack uses a liquid (usually
oil), that is forced into a cylinder by a pump plunger. Hydraulic jacks are often used to lift elevators
in low and medium rise buildings.

Procurement of Equipments
Methods of procuring equipments
• Outright purchase: Equipment is purchased
– Buying is preferred if the equipment is essential for the key operations and is
expected to provide service for a long time
– Long term basis
– Advantages:
• It is economical if the equipment is used sufficiently,
• It is more likely to be available for use when needed.
• As ownership ensures better maintenance and care, purchased equipment
will be in better mechanical condition.
– Disadvantages:
• It may prove more expensive than renting.
• The purchase of equipment may require a substantial investment of money
that may be needed for other purposes.
• The ownership of equipment may influence a contractor to continue using
obsolete equipment even after superior equipment has been introduced.
• The ownership of equipment designed primarily for a given type of work
may induce a contractor to continue doing that type of work, while other
works are available at a higher profit.

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 • The ownership of equipment might influence a contractor to continue using
the equipment beyond its economical life, thereby increasing the cost of
production unnecessarily.
• Rental basis: Equipment is obtained on rent for a short duration
– Acquiring an equipment on rent is preferred when
• trying an equipment is an option before buying it
• requirement is limited for a short duration
• we do not want to make an investment into buying that equipment
• equipment is required only in certain special projects
• if the old or existing equipment is under maintenance, and out of service.
– Short term basis
• Hire purchase: Equipment is purchased after using it on rent for a specified period
– Preferred if the equipment has enough use to be purchased, but there is doubt in
the claimed productivity.
– Higher hourly charges than straight rental agreements.
• Lease: Equipment is rented for a long duration
– Preferred if the equipment is expected to be used frequently, but sufficient
resources are not available to purchase
– Long term basis
Factors to be considered while selecting equipment
• Method of procurement
– Purchase: old or new
– Rent
– Lease
• Contract time and project time
• Field operating conditions
• Weather
• Ownership expenses
– Purchase expense
– Salvage value
– Depreciation
– Major Repairs
– Tax
– Insurance

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 – Storage and miscellaneous
• Operating costs
– Fuel
– Lubricants, filters and grease
– Repairs
– Tyres
– Replacement of high-wear items
– Operator wages
• Equipment characteristics
– Quality
– Technology
– Fuel efficiency
– Costs
– Reliability & Ruggedness
– Versatility
– After-sales support

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 MODULE 4
Construction safety
Basic principles of safety
• Management leadership: Every large construction project should have a safety department
headed by a safety officer. Safety measures should start at the planning and design stage.
• Worker participation: Effective participation of all workers need to be ensured
• Hazard identification and assessment: Program has to be adopted for identification and
assessment of hazards
• Hazard prevention and control: Program has to be adopted for prevention and control of
hazards
• Education and training: All employees must be given proper safety education and training
• Program evaluation and improvement: Safety program implemented needs to be evaluated
periodically and improved.
• Communication and coordination for employers on multiemployer worksites
• Safety measures shall be included as a clause in the contract document
• Previous safety record of a contractor is an important consideration in the prequalification
of a contractor
• Enacting new safety legislations and strict implementation of existing ones.
Causes of accidents
• Planning, Designing and Organisation
– Defects in technical planning
– Fixing unsuitable time-limits
– Assignment of work to incompetent contractors
– Insufficient or defective supervision of the work
– Lack of co-operation between different trades
• Execution of work
– Constructional defects
– Use of unsuitable materials
– Defective processing of materials
• Equipment
– Lack of equipment
– Unsuitable equipment
– Defects in equipment

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 – Lack of safety devices or measures
• Management and conduct of work
– Inadequate preparation of work
– Inadequate examination of equipment
– Imprecise or inadequate instructions from supervisor
– Unskilled or untrained operatives
– Inadequate supervision
• Worker’s Behaviour
– Irresponsible acts
– Unauthorised acts
– Carelessness
• Site conditions
– Slippery surfaces
– Inadequate ventilation and illumination
– Carelessness
Effects of accidents
• Cost- direct cost, indirect cost
– Direct: compensation to the affected employee
– Indirect: Time lost due to work stoppages and investigation, training and other costs
related to replacing the worker, loss and damage to materials, equipments and
property
• Productivity- site is closed, resulting in loss
• Human suffering
– Loss of life
– Permanent or temporary injuries
• Statutory problems
– Investigations, stoppage of work, etc.
• Quality
– Quality of the work may go down due to the mental trauma
• Reputation
– Reputation of the firm will go down.
Safety practices at construction site
Safety at a construction site can be ensured by following certain site safety measures and by using
personal protective equipments.

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Accidents in construction sites are mainly related to
• Housekeeping
• Excavation
• Working at height (ladder, scaffolding, etc)
• Electrical safety
• Lifting & rigging
Following site safety measures may be adopted to prevent the accidents
• Housekeeping
• Good housekeeping essentially involves keeping the construction site clean as it
eliminates a major cause for slips and falls at the site, which is a major hazard.
• Ensure proper practices in disposing of construction waste, keeping tools properly,
and maintaining proper supervision.
• Site sign boards are to be kept as and where required.
• Excavation
• Excavation poses a threat from the point of view of the collapse of sides, fall of a
worker into the excavated area, and a danger to nearby areas.
• Obtain work permit before commencing work, barricade all excavated areas
appropriately, and put up suitable warning signs.
• Ensure that the sides of the pit are ‘shored’ before going down to work.
• Working at height - ladder
• Ladder should be used for access only for a limited period of work.
• Ladders cause accidents if they are improperly fitted, not properly secured, when
stepped upon with greasy substances, that is the shoes are not proper, etc
• Do not use defective ladders.
• Make sure that the ladders are properly secured and tied before use, do not place a
ladder on loose material or lean it against fragile material.
• If a ladder cannot be secured at the lower end, a coworker should hold it firmly at
the ground.
• Ladder should extend about 3 feet, or a meter, above the landing, if possible.
• Only one person should climb on the ladder at any time and no materials should be
carried in hands when using ladders.
• Also, all ladders should be periodically inspected and cleared for use.
• Working at height – scaffolding
• Scaffolding should be erected, modified and dismantled only by competent persons.

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 • Scaffolding should be erected on firm ground with the sole plate and the base plate,
with a safe means of access and egress, there should be fully planked platform with
a minimum width of 600 mm, suitably tied to the structure, all platforms should
have guardrails, top rail and mid-rail, and toe boards, and bracings on all four sides.
• Working at height – general measures
• Openings in floors should be barricaded or covered up.
• Never sit on or lean against guardrails.
• Safe work platforms and gangways should have secure guardrails and toe boards.
• Do not work at heights if one feels weak or dizzy.
• Do not allow extra persons or workers on working platforms, and minimize the
material being carried to and stored on working platforms.
• Provide safety harness, lifeline and other required PPE to workers.
• Use safety nets.
• Permits.
• Electrical safety
• Installation of earth leakage circuit breakers at all work sites
• Provide weather and overload protection to electric circuits
• Always switch off the supply after using electrical equipment
• Never tamper with any electrical installation
• Leave all electrical connections to trained and qualified personnel.
• Do not use appliances with defective parts
• Do not carry out excavation around existing underground cables.
• All electrical equipments should be periodically inspected and certified for use
• Fire extinguishers and sand buckets should be kept at the electrical booth and
electrical equipment
• Lifting & rigging
• All cranes should comply with the manufacturer’s specifications
• Safe work load, load capacity, and angle (according to the load chart) should be
adhered to.
• Proper tag lines should be used to restrict the swinging of the loads when required
• Training of operators and dedicated signalmen for each crane is a necessity.
• Standard hand signals should be used, and only one man should give the signal, and
if a signal is not visible to the operator; use walkie-talkies,
• Ensure that there is no one below the load: Permit ensures this compliance

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 • Periodic inspection of all machinery and equipment: check load, centre of gravity,
correct slings, softeners wherever necessary.
In addition to the site safety measures, following personal protective equipments (PPE protects the
worker’s body from hazards and injuries such as blunt impacts, electrical hazards, heat, chemicals
and infection) are used
• Eyes and face: safety glasses, goggles ,face shielding, welding helmets
• Head: Hard hat, helmet
• Ears: Ear plug
• Hands: Gloves
• Foot: Safety shoes
• Body: Safety Jacket, harness lanyard
Precautions in handling hazardous materials
• Always use the required PPE
• Read labels and the Safety Data Sheets (SDSs) before using any material
• Use all materials solely for their intended purpose
• Never eat or drink while handling hazardous material.
• Always carry chemicals in approved containers.
• Store all hazardous materials properly, separate incompatibles, and store in ventilated, dry,
cool areas.
• Employees must keep themselves and the work area clean.
• After handling any hazardous material, wash thoroughly with soap and water.
• Learn about emergency procedures and equipment.
Occupational hazard
Occupational hazard is a hazard experienced in the workplace. A hazard is something which has the
potential to cause an accident or an injury.
• Chemical hazards involve dangerous chemicals. Eg: neurotoxins, carcinogens, reproductive
toxins, asthmagens, etc.
• Silicosis among sand blasters, tunnel builders and rock drill operators
• Asbestosis among asbestos insulation workers, steam pipe fitters, building
demolition workers and others
• Bronchitis among welders
• Skin allergies among masons and others who work with cement
• Neurologic disorders among painters and others exposed to organic solvents and
lead.

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 • Biological hazards include bites and stings from insects, spiders, snake, etc and allergic
reactions from plants.
• Workers may also be at risk of malaria, yellow fever or Lyme disease if work is
conducted in prevalent areas.
• Toxic substances of plant origin come from poison ivy, poison oak, poison sumac and
nettles, all of which can cause skin eruptions. Some wood dusts are carcinogenic,
and some are allergenic.
• Attacks by animals are rare but may occur whenever a construction project disturbs
them or encroaches on their habitat. This could include wasps, hornets, fire ants,
snakes and many others. Underwater workers may be at risk from attack by sharks
or other fish.
• Psychosocial hazards like occupational stress affect someone's social life or psychological
health.
• Employment is intermittent and constantly changing because construction activity is
dependent on many factors such as the state of an economy or the weather. Many
projects require living in work camps away from home and family, causing a lack of
social support. Features of construction work such as heavy workload, limited
control and limited social support cause increased stress.
• Physical hazards include radiation, heat and cold stress, vibration hazards, and noise
hazards.
• Pneumatic hammers, many hand tools and earth-moving and other large mobile
machines also subject workers to segmental and whole-body vibration.
• Heat and cold hazards arise primarily because a large portion of construction work is
conducted while exposed to weather.
• Those who work under water or in pressurized tunnels, in caissons or as divers are
exposed to high barometric pressure
Role of supervisor/ Engineer in ensuring safety at construction site
Supervisor should ensure the following facilities on the construction site:
• Site offices, site stores, workshops, canteen & mess etc. with necessary furniture,
ventilation, lighting etc.
• Access to the site as well as various units such as site office, stores, workshops etc.
• Adequate parking facilities, unloading platforms for incoming materials.
• Toilets suitably located - separate toilets for ladies
• Adequate supply of water for drinking, washing and construction operations.

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 • Arrangements for regular cleaning of office, stores, canteen etc.
• Ensure adequate safety precautions on site by :
• Safe stacking of material,
• Safe handling of material,
• Insisting on the use of protective wears like helmets, gloves, gum-boots, goggles
where necessary,
• Providing fencing around the excavated trenches,
• Ensuring good housekeeping on site,
• Providing first-aid box on site,
• Employing trained workers and operators,
• Ensuring proper maintenance of equipment, and
• Providing training to workers and creating an awareness of safety amongst workers
Safety legislations
These include the laws enacted to ensure safety in workplace
• The Factories Act: It is an Act to consolidate and amend the law regulating labour in
factories. It protects workers from being subjected to unduly long hours of bodily strain and
manual labour.
• The Mines Act: This is an Act to amend and consolidate the law relating to the regulation of
labour and safety in mines.
• The Workmen’s Compensation Act: This is an Act that provides for the payment of
compensation for occupational accidents by employers to their workmen.
• The Employees’ State Insurance Act: This Act provides certain benefits to employees in case
of sickness, maternity and employment injury and makes provision for certain other related
matters.

Entrepreneurship
Entrepreneurship is a process of designing, launching and running a new business. It is an activity of
setting up a business or businesses, taking on financial risks in the hope of profit. An entrepreneur is
somebody who sees a new opportunity and creates a business to exploit it. Entrepreneurs have the
following characteristics: open-minded, confident, disciplined, optimistic, self-starters, determined,
creative, competitive, fast-learners, adaptable, friendly.
Factors promoting entrepreneurship
• Self-employed
• Complete freedom of job
• Employer to many employees

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 • Innovative
• Service to society
• Government support for start-up
• Social recognition
• Dynamic & adventurous
Role and expectations about an entrepreneur
• He should know the actual need of the society for the products or services
• He should take up the venture with the spirit of service to the society
• He should be innovative and have concern for the environment
• He should have good knowledge of business
• He should have high level of intrinsic motivation
• He should be dedicated and possess reliability and integrity
• He should be patient and adaptive
• He should identify the market changes and adopt corrective measures
• He should have good inter-personal skills
• He should guide and help the start-ups
• He should create labour to reduce unemployment
• He should provide economical products with lesser expense
Managerial v/s entrepreneurial style

Managerial Style Entrepreneurial Style

Follows hierarchy in delegation of authority and No specified hierarchy. Everybody is
power empowered and does all jobs in the
organisation

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Tasks are taken up after an industry is launched Starts an industry without any experience
Experience makes balanced attitude Overall confidence
Conventional methods Utilises the resources rationally and more
economically
Ambition is normal Has fairly strong ambition
Training may not be necessary in all cases Needs training to know various details like raw
materials, equipments, market conditions, sales
and government assistance
Cannot change production abruptly and sticks Adopts new techniques and produces new
on to conventional methods commodities as per the requirement of the
buyer
Generally avoids any risk Takes certain amount of risk
Sufficiently experienced Has to refine some psychological characteristic
inherent in individual
Government support is minimal Government support in many ways
Manager v/s Technocrat
Manager Technocrat
Manager is a person with the required Technocrat is a specialised professional with
managerial skills to execute a task deep technical skills in a specific area along with
administrative capability
Relies on management philosophies and Technocrats depend on technical skills
practices
Thinks and works as per routine processes Thinks rationally and implements innovative
ideas to launch products
Main function is organising, executing and Main responsibility is innovation and
getting works done improvement of the system
Depends on decision support systems like Foresees the changes in scenario and equips
market survey or customer feedback in decision themselves to meet future challenges
making
Follows systematic approach in problem solving More skilled in solving complex technical
problems
Has only limited power in policy making based Enjoys more powers in decision making with
on hierarchy regard to technical aspects
Managerial positions follow a hierarchy Enjoys independent charges
Responsibility is mainly restricted to successfully Main responsibility is re-engineering and
leading a conventional organisation innovation
Does conventional business Works in innovative and emerging areas
Organizations promoting entrepreneurship
• Rural Self-Employment Training Institutes (RSETI) – http://nirdpr.org.in/rseti/
– RSETI comes under NIRDPR (National Institute of Rural Development and Panchayati
Raj). This institute helps rural people under various aspects of self-employment and

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 entrepreneurship. RSETIs are managed by banks with active co-operation from the
Government of India and State Governments.
• Micro, Small and Medium Enterprises- Development Institutes / Small Industries Service
Institutes – http://dcmsme.gov.in/sido/sisi.htm; https://msme.gov.in/entrepreneurship-and-
skill-development-programs
– India’s MSME sector is supported by many institutions (formerly called SISIs) that
come under various Ministries and institutions that are operating from various
States and districts.
• Entrepreneurship Development Institute of India – https://ediindia.ac.in
– This institute helps young people to take up entrepreneurship, explore social
entrepreneurship, improve their family business, etc.
• National Institute for Micro, Small and Medium Enterprises (ni-msme)
https://www.nimsme.org/
– It is a national institution which supports micro, small and medium enterprises.
• Startup India Initiative - https://www.startupindia.gov.in
– Launched on 16th January, 2016, the Startup India Initiative has rolled out several
programs with the objective of supporting entrepreneurs, building a robust startup
ecosystem and transforming India into a country of job creators instead of job
seekers
Role of small business organizations in national growth
• Employment Potential: Employment generating capacity of small business is much more
than that of big business, being labour-intensive and promoting self-employment.
• Utilisation of Latent Resources: Latent resources of the nation like meagre savings of the
poor, entrepreneurial skills of people etc. find an employment and utilisation through
establishment of small businesses.
• Equality in Income Distributions: Small business tends to promote a more equal distribution
of income and wealth in society
• Balanced Regional Development: Small business helps in achieving balanced regional
development of the economy.
• Flexibility of Operations: Small businesses are rather flexible in nature and are able to easily
adjust according to changing circumstances.
• Limited Demand: In some business activities like perishable items (e.g. fruit, vegetables),
restaurant businesses, bidi-making etc., demand is local and limited. Here, small businesses
are most suitable.

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 • Source of Foreign Exchange Earnings: Small sector generally accounts for 35% of the
country’s total exports.
• Personal Attention to Customers: In some business like hair-cutting saloons, beauty parlours,
interior decorators, tailoring shops etc., personal attention to customers is a must for
securing business. Small businesses are most suitable in such cases.
• Supplementing big business: Small businesses support big corporations by manufacturing
tools, accessories, spare parts, components, etc., distributing their goods, outsourcing, etc.
• Service-Sector: There are many services which are not provided on a large scale. For
providing such services, small scale business is the only option e.g. repairs of electronic
goods, repair of TV and fridge, dry cleaning etc.
• Eco-friendly: Less rate of pollution compared to big business.
Requirements to become a licensed supervisor/surveyor/ supervisor
As per KPBR,
• Supervisor A: To prepare and sign building plans and other specifications connected with
buildings up to a total built up area of 750 sq. metres and upto 3 floors and stair cabin and
11 metres height & To prepare and sign layout plans up to one hectare
– Diploma in Civil Engineering and having completed 4 year experience as supervisor-B
– Any person having eight year experience as supervisor B
• Supervisor B: To prepare and sign plans and other specifications connected with buildings
upto an area 300 sq.metres and up to two floors and stair cabin and 7.5 m height, excluding
the height of stair cabin
– Three years Architectural Assistantship with two years experience under an
Architect or Engineer
– Diploma in Civil Engineering with two years experience under an Architect or
Engineer
– Draftsman in Civil Engineering from Industrial Training Institute with five years
experience under an Architect or Engineer
– K.G.C.E. in Civil Engineering Draftsmanship survey with 10 years experience under an
Architect or Engineer
– Certificate in Building Technology approved by Government; or with 10 years
experience under an Architect or Engineer

Quality management
Quality concepts
Quality is an attribute to excellence. Aspects of quality:

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 – Fitness for purpose.
– Conformance to specification.
– Meeting or exceeding customer needs.
– Value for money.
– Consistency - lack of variability.
It involves ‘do it right the first time’ and ‘zero defects’
Q=P/E; Q- quality, P- performance, E- expectations
If Q>1, the customer has a good feeling
Basic TQM concepts
Total Quality Management (TQM) is a structured system focused on satisfying customers by
involving all members of an organization in improving the quality of products, processes, and
resources. Its main objective is sustained customer satisfaction, which is accomplished through
systematic methods for problem solving, breakthrough achievement and standardization.
Elements of TQM
TQM aims at customer satisfaction. Continuous improvement is a key to customer satisfaction. For
achieving this, all the employees must work together as a unit towards this common goal.
The 8 elements of TQM house can be divided into four groups according
to their function. The groups are:
I. Foundation – Ethics, Integrity and Trust.
II. Building Bricks – Training, Teamwork and Leadership.
III. Binding Mortar – Communication.
IV. Roof – Recognition.
I. Foundation
TQM is built on a foundation of ethics, integrity and trust. It fosters openness, fairness and sincerity
and allows involvement by everyone.
• Ethics – Ethics is the discipline concerned with good and bad in any situation.
• Integrity – Integrity implies honesty, morals, values, fairness, and adherence to the facts and
sincerity. The characteristic is what customers expect and deserve to receive.
• Trust – Trust is a by-product of integrity and ethical conduct. Trust fosters full participation
of all members.
II. Bricks
Based on the strong foundation of trust, ethics and integrity, bricks are placed to reach the roof of
recognition. It includes:

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 • Training – Employees are trained on interpersonal skills, the ability to function within teams,
problem solving, decision making, job management performance analysis and improvement,
business economics and technical skills.
• Teamwork – With the use of teams, the business will receive quicker and better solutions to
problems.
• Leadership – It is the most important element in TQM. Leadership in TQM requires the
manager to provide an inspiring vision, make strategic directions that are understood by all
and instill values that guide subordinates.
III. Binding Mortar
• Communication – Starting from foundation to roof of the TQM house, everything is bound
by strong mortar of communication. It acts as a vital link between all elements of TQM.
Communication means a common understanding of ideas between the sender and the
receiver.
IV. Roof
• Recognition – Recognition is the last and final element in the entire system. It should be
provided for both suggestions and achievements for teams as well as individuals.
Recognition gives motivation to the employees.
PDCA cycle- Problem solving tool of TQM
• Plan: Recognize the opportunity for process improvement and identify
the plan for improvement.
• Do: The plan is implemented.
• Check: These results are compared with the planned results. Deviations
are recorded and an improvement plan is proposed.
• Act: Improve.
Quality standards
Quality standards are defined as documents that provide requirements, specifications,
guidelines, or characteristics that can be used consistently to ensure that materials, products,
processes, and services are fit for their purpose. Successful companies recognize standards as
business tools that should be managed alongside quality, safety, intellectual property, and
environmental policies. Standardization leads to lower costs by reducing redundancy, minimizing
errors or recalls, and reducing time to market. Businesses and organizations complying to quality
standards helps products, services, and personnel cross borders and also ensures that products
manufactured in one country can be sold and used in another. Many quality management
standards provide safeguards for users of products and services and make consumers’ lives
simpler.

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BIS v/s ISO
BIS ISO
Bureau of Indian Standards International Organization for Standardization
National Standards body of India working under Develop and publish International Standards.
the Ministry of Consumer Affairs, Food & Public
Distribution, Government of India
BIS standardisation is confined to the products; ISO standards are generic in nature- same
the process followed or the environmental standard for all organisations. Following this
impact is seldom considered. standard procedure yields quality
Various ISO standards related to construction
ISO 9000 series - the international standard for quality management — one of the most commonly
used ISO systems in the world
ISO 14000 series - the international standard for environmental management systems
ISO 21500 - Guide to project management
ISO 26000 - the international standard for social responsibility
ISO 31000 - the international standard for risk management
ISO 45001 - the international standard for health and safety management
ISO 50001 - the international standard for energy management systems
Merits and demerits of ISO standardization
Merits Demerits
Increased marketability, sales and returns Standards are generic in nature and not written
for specific industry
Reduced operational expenses All clauses may not be applicable to all industries
Better management control Some industries may wrongly interpret the
standards
Increased customer satisfaction Method of implementation is not dictated
Increased customer satisfaction Quality process may not always yield quality
products
Improved customer service Inadequate understanding of the standards leads
to wastage of time, effort and money
Reduction of product-liability risks Certification process is lengthy and costly
Attractiveness to investors Heavy emphasis on documentation

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work charged establishment

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 • Cost
– Minor
– Major
– Medium
• Nature
– Temporary
– Permanent
Work-charged Establishment
Construction planning

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 DORMITORY LOCKER MOVIES

CANTEEN MEDICAL FACILITIES TRANSPORT TO SITE

CRECHE STORE VACATION

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