Lect. 3. Construction Management
Lect. 3. Construction Management
1. What is a project?
2. Construction Project
3. Six Dials of Project value
Construction Project & its Environment
•A Project is a unique effort to make a product
within predetermined limits of Time, Cost &
Quality
•Projects are not operations (a series of routinely
done tasks in an organization)
•A construction Project is an attempt to provide a
facility / building / infrastructure, etc within
specified time, cost, quality & SAFETY constraints
Construction Project & its Environment
Portfolio
Program
Project
Construction Project & its Environment
Let’s go a bit deeper Portfolio
Characteristics of the project; Program
Project: A temporary endeavor undertaken to create
Project
a
unique product, services or result.
2. Defined Timescale
Clearly specified start & end dates
3. Approved Budget
To meet client requirement an allocated level of
financial expenditure is made
4. Limited Resources
An agreed amount of labor, material; & machinery is
allocated at start of project
5. Risk
A level of uncertainty is associated
6. Change
Improvement is made in society
Six Dials of Project Value
Function
Quality
Scope PROJECT
VALUE Safety
(optimize all)
Cost
Time
General Principles
1. Know & define your project, what others have to do & what you have to
do and paid for
2. Estimate the costs as accurately as you can
3. Allow for contingencies, provisional items & cost escalation in estimates
4. Know your client, have they been trouble to anyone in past
5. Is the contract understood and agreed by all parties?
6. Check for your cash flow, is it sufficient for suppliers & workers
General Principles
1. Have a plan
2. Measure work against plan, certify by quantity surveyor
3. Make sure that every change requested by the customer is
covered by a contract variation order with adequate price cover.
4. Take steps to keep a healthy and safety policy convenience to the
public at a minimum.
5. Site security
Thank you