L & T CONSTRUCTION
MMH - IC Delhi Cluster
What is Planning
Why is it required
Planning process
Resource schedules Planning Frame work Schedules for Planning & Monitoring
A process to answer basic questions like
Why?
What?
When?
Who? Where? How?
To systematically plan events
within certain time frame with limited resources in most economical manner , and with total safety and quality in place
At tendering stage On award of contract at macro and micro level While executing
Monthly planning Weekly planning at sectional level Day to day planning at individual level
It helps to monitor
Deployment of various resources Effective utilization of various resources Progress of works w.r.t plan
Monitor Project Cost
Enables to take corrective action in time
TENDERING SYSTEM
MPCS in L&T
SCHEDULING SYSTEM MONITORING SYSTEM
MANAGEMENT INFORMATION SYSTEM
For preparation of Tenders
Identical to Scheduling system
Not used for monitoring directly. Why ? Execution In-charge not involved. So no commitment available
Resource commitments might be different at scheduling
stage Worked out details may not be sufficient for monitoring
Main objective is
To assist in proper estimation of unit rates & Pricing of tender To provide a framework for scheduling
T-0 Construction Programme T-1 Schedule of Invoicing T-2 Schedule of Milestone events T-3 Schedule of P&M T-4 Schedule of Staff T-5 Schedule of Labour T-6 Schedule of Bulk material T-7 Schedule of Specialized agencies T-8 Schedule of Direct Costs T-9 Schedule of Over heads T-10 Cash gap statement
To be done jointly by Regional Planning Office Site In charge Site Planning In-charge
To be completed before 30 days
Updated every month Unit costs & financial commitments shall not be modified during execution Performance to be evaluated against the parameters accepted
S0 : CONSTRUCTION PROGRAM S1 : SCHEDULE OF INVOICING
S2 : SCHEDULE OF MILESTONE
S3 : SCHEDULE OF P & M S4 : SCHEDULE OF STAFF S5 : SCHEDULE OF LABOUR
CONTD
S6 : SCHEDULE OF MATERIALS S7 : SCHEDULE OF SPECIALISED AGENCY
S8 : SCHEDULE OF DIRECT COST
S9 : SCHEDULE OF INDIRECT COST S10 : SCHEDULE OF LIQUIDITY FORECAST
Most important schedule Runs through the execution process of the project Provides inputs for all other schedules Forms the basis for micro planning at site To be updated every month to reflect the progress achieved & corrective actions
Study Scope of work
Decide sequence of construction and method Prepare WBS for the Project Study time schedule as per Contract Agreement Prepare bar chart assuming Most likely time period
SL NO Description
2008
2009 May
Feb Mar Apr May Jun July Aug Sep Oct Nov Dec Jan Feb Mar April 1 2 3 4 5 6 7 8 9 10
Design & Drg Appr. Supply of MS Pipes Coating Works Pipe laying & Testing
Bridge at River Crossing
Intake-well construction Sump & Pump House at IPS Sump at BPT Supply of Electrical items Surge Vessel Commissioning
11
Projects month wise invoicing amount
Used as basis for monitoring progress invoicing
For Lump-sum contracts, amount to be arrived based on stage payment terms of contract Amounts to include projected escalation also Small value items can be clubbed into single item
SCHEDULE OF INVOICING
Schedule : S1 Client: Contractual Date of completion:
Item description Sales Rate Month 1 Qty Value Month 2 Qty Value Month .. Qty Value
Job No: Job Description: ( All Figs in Rs. 000's)
Month .. Qty Value Month 12 Qty Value
Sl NO
Unit Scope
Other Items Total FTM CUM
Indicates important contractual milestones To include important events requiring external
agency interface
Helps in understanding & monitoring the project progress at a glance
SCHEDULE OF MILESTONE ENENTS
Schedule :S0 Client: Contractual Date of completion: Job No: Job Description: Date:
Description of SL NO Milestone Events
Estimated Date of Completion
Projected Slippage in event of completion
Description & impact of Problems
Action to be taken
Latest Person estimated Responsible completion date
Projected Slippages ( in weeks)
1 2 3 4 5 6 7
To ensure mobilization of right P&M at right time Compiled S-3 schedule at cluster helps management in deciding
Inter-site mobilization External hiring New procurement
Forms the basis for de-mobilization plan
To be updated fortnightly during mobilization / de-
mobilization & monthly afterwards
SCHEDULE OF PLANT & MACINERY
Schedule :S3 Job No:
Client:
Contractual Date of completion: Sl no.
Job Description:
Date: Requirement Exp. Released Recd date Release Remarks date date From To
Asset A/R/S Description of item code
Total Qty Required
Helps in timely mobilization of required staff
Compiled S-4 schedule at Cluster helps management in
deciding
Inter-site transfers Short term recruitment (Incase it is required) Permanent recruitment
Forms the basis for de-mobilization plan To be updated fortnightly during mobilization / demobilization & monthly afterwards
SCHEDULE OF STAFF
SCHEDULE : S4 CLIENT : CONTRACTUAL DATE OF COMPLETION:
SL. P.S. NO. NO. A/R/ DIS. CADRE S
JOB NO : JOB DESCRIPTION : DATE :
REQUIRED REPORTING EXP REL DATE DATE DATE ACT RELEASE DATE ACTUAL REMARKS RELEASE
NAME
FUNCTION
Not received in time Not adhering to schedule dates All details not filled Requirement exaggerated Model & capacity not described properly Different formats used
Send every month in time Analyse & inform in advance any change in dates in unavoidable cases Fill in all details Give actual requirement Check the details before sending to Cluster Use standard formats
Helps in stage wise mobilization of labour
To ensure that there are no abnormally high peaks /
troughs in the requirement
To plan the housing & temp. infrastructure
For large projects, category wise histogram may be
required
Can be updated quarterly
SCHEDULE OF LABOUR REQUIREMENT
SCHEDULE : S5 CLIENT : CONTRACTUAL DATE OF COMPLETION: SL. NO. JOB NO : JOB DESCRIPTION : DATE :
DESCRIPTION
TOTAL 1st 2nd 3RD 4th 5th 6th 7th MANMONTH MONTH MONTH MONTH MONTH MONTH MONTH MONTH
REMARKS
To ensure availability of essential materials to suit S-0
Shall include all A & B category materials in ABC
analysis To include critical items like imported / specially manufactured items Best possible rates & terms from right source Surplus materials from other sites
Optimum stock levels Separate list for Formwork, Structural steel for giving item wise break-up Factors like monsoon, union budget and other local factors shall be considered Separate list for Client supply Qty. to include wastage, rolling margin etc.. Can be updated quarterly
SCHEDULE OF MATERIALS REQUIREMENT
SCHEDULE : S6 CLIENT : CONTRACTUAL DATE OF COMPLETION: SL. DESCRIPTION UOM QTY NO. 1st MONTH JOB NO : JOB DESCRIPTION : DATE : 2nd 3RD 4th 5th 6th 7th REMARKS MONTH MONTH MONTH MONTH MONTH MONTH
This schedule lists the activities which are to be carried out by specialist agencies. Specialist work includes water proofing, insulation, false ceiling, testing works etc. Helps in Mobilisation of special agencies on time Finalisation of specifications, scope etc. in time
SCHEDULE OF SPECIALISED AGENCIES
JOB NO : SCHEDULE : S7 CLIENT : CONTRACTUAL DATE OF COMPLETION: SL. NO. DESCRIPTION UOM QTY DATE OF START JOB DESCRIPTION : DATE : DATE OF COMPLETION REMARKS
Projects the total cost of project at the scheduling stage Break-up of Accepted Cost Estimate
Temporary / Enabling structure cost can be deferred in
proportion to invoicing
Cost of items shall include projected escalation based on
past / expected trends
On client supply materials no escalation to be considered
Cost of P&M used specifically for particular item of work
to be considered in direct cost & not in overheads
S-8 & S-9 is the basis for original estimates column in JCR
SCHEDULE OF DIRECT COST
Schedule : S8 Client: Contractual Date of completion:
Item description Unit Rate Month 1 Qty Cost Month 2 Qty Cost Month .. Qty Cost
Job No: Job Description: ( All Figs in Rs. 000's)
Month .. Qty Cost Month 12 Qty Cost
Sl NO
Uom Scope
Other Items Total FTM CUM
SCHEDULE OF OVERHEADS
Schedule : S9 Client: Contractual Date of completion: Job No: Job Description: ( All Figs in Rs. 000's)
Sl. NO
Description
Total Amount
Month 1
Month 2
Month ..
Month ..
Month 12
Other Items Total FTM CUM
Aids in analyzing the cash flow / Working capital
requirements
Outflow should include payments made at HQ / Cluster also Can be updated quarterly
MONTHS
DESCRIPTION
MTH1 MTH2 MTH3 MTH4 MTH5 MTH6 MTH7 MTH8 MTH9 MTH10 MTH11 MTH12
I.INVOICING
10
20
20
15
10
DIRECT COST
10
10
INDIRECT COST
0.5
0.5
0.5
0.5
II. TOTAL COST
5.5
5.5
12
12
10
10
4.5
3.5
CASH FLOW ( I II)
(5.5)
(0.5)
(3)
1.5
(0.5)
Objectives Monitor projects progress in terms of Cost
Physical progress
Contribution against targets
Initiate corrective action when required
To provide data for MIS
To be prepared every month
Cluster to review & give feedback
Weekly review meeting at site
Quarterly review meeting at Cluster
MONTHLY PROGRESS REPORT
JOB COST REPORT
MONTHLY REPORTS
PERFORMANCE REPORT
ANNEXURE V-A
RECONCILIATION
Highlights of progress of works achieved during the month and cumulative. The report includes Monthly Highlights Physical Progress Financial Progress
Progress Photographs
Safety & Quality Statistics Constraints
JOB COST REPORT
Cost incurred till date for various project activities
Estimated cost for the balance works Revised overall cost estimate for the project
Revised Profit Margin from the Project
Variance of cost w.r.t ACE
Its a tool to monitor financial performance of the job and highlights the areas of concern. Timely implementation of remedial measures on area of concern. Its a Mid course correction : Initiate necessary proactive steps
It Identifies items which are making loss / profit
Its a Reference document for Tendering / Contracts / Operations
JCR FORMAT
NAME OF THE JOB :
SITE CODE JOB NO. MONTH
JOB COST REPORT
Contractual Date of Commencement Actual Date of Commencement Contractual Date of Completion Expected Date of Completion
Original Contract Value Revised Contract Value ORIGINAL ESTIMATE FOR REVISED QTY
JOB STATUS TO DATE ESTIMATE TO COMPLETE
RECON CODE DESCRIPTION UNIT UNITS ACTUAL UNIT COST UNITS COST COST UNIT COST
REVISED ESTIMATE
VARIANCE REVISED REMARKS COST SALES
UNITS
COST UNIT COST
UNIT
COST
UNIT COST
TOTAL COST FOR WORKS OVERHEADS
TOTAL COST OF PROJECT
Estimated Site Contribution on Completion (Rev. Cont. Value Rev. Cost. Estimate ) Gross Margin Gross Margin in % Rs.
PLANNING MANAGER
SITE
ACCOUNTANT
PROJECT MANAGER
A ) Revised Estimate ( revised qty) Cost Incurred + Cost estimate for balance qty B) Original Estimate ( revised qty) Revised Qty X ACE Unit Rate C) Variance ( B-A) Original Estimate Revised Estimate D) Profit = RCV Revised Estimate
Information provided by this statement includes Monthly & Cumulative Invoicing ( Budget Vs. Act)
Work in Progress
Collection Age wise outstanding Break-up
Funds Requirement by Site
Working Capital Details Monthly and Cumulative Cost details Staff & workmen Strength Staff Productivity Financial Parameters
Information provided by this statement includes Month wise billing details Cumulative Billing Deductions break-up Payment Collected Net Receivables TDS Certificate Age wise outstanding detail
ANNEXURE VA
JOB NO:
PROJECT : Invoice Amount (Rs.)
SL NO Month Invoice No / Date SUB. CER. MOB ADV + Int. RET Recoveries
DATE:
Certificate receipt
IT
WCT
OTH TOT
Net Payment Net Amount Received Receivable Remarks Payable (Rs.) (Rs.) (Rs.)
IT
WCT
TOTAL
Consumption of materials is checked with respect to
Norms or Design
Ensures that desired quantity of material is consumed
into the product to get required quality
Control on wastages ,excess consumption and theft
Rolling Margin to be accounted in case of Steel.
Reconciles the work done quantity paid to various agencies w.r.t quantities certified by Client or w.r.t
approved drawings.
Assists in taking corrective action for any variations.
REMEMBER
Prepare look ahead plan w.r.t front availability Anticipate resource requirement in advance Study Drawing Workout material requirement
Make redirection and catch-up plan
Concentrate of Productivity
SCOPE
It defines total work content of the project
It ensures that the work undertaken is desired and necessary
All undesired and unnecessary work is eliminated.
Scope management It ensures that only the optimum amount of work is undertaken in order to deliver the project successfully.
MPCS
OPTIMISTIC TIME
The minimum time for completion of an activity
PESSIMISTIC TIME
The maximum time for completion of an activity
MOST LIKELY TIME
The probable time for completion of an activity that Would most reasonable be expected to occur.
MPCS
WORK BREAK DOWN SCHEDULE
WBS represents systematic and logical breakdown of Project WBS is a task oriented family tree Lowest level of WBS is Work Package. At this level work is assigned ; time duration & cost is estimated
WBS reflects true Project Completion Status
WBS: STRUCTURE
Level 1 The top-most level of WBS is single task which is the project Level 2 This depends on the type of the project Number of WBS Levels Too many levels make the control and execution of project difficult Too few levels will not allow proper assignments and control. Decompose the task upto Work Package level
MPCS
WBS ILLUSTRATION
WATER TREATMENT PLANT
100
AREATOR
FLASH MIXER
CLARIFLOCULATOR
FILTER HOUSE
SUMP & PH
10
10
25
25
30
DESIGN & DRG
10
CIVIL WORKS
50
MECHANICAL WORKS
30
E&I WORKS
10
ACTIVITY 1
25
ACTIVITY 2
40
ACTIVITY 3
35
LEVEL 2
LEVEL 1
LEVEL 4
LEVEL3
DESCRIPTION WTP
LEVEL 1
WTG ACH
LEVEL 2
WTG ACH
LEVEL 3
WTG ACH
LEVEL 4
WTG ACH
A A1.0
100
5
10
AREATOR
A2.0
A3.0 A3.1 A3.2 A3.1. 1 A3.1. 2 A3.1. 3 A3.3 A3.4 A4.0
FLASH MIXER
CLARIFLOCULATOR
Design & Drawing Civil works
10
25 5 10 50 20 25
Activity 1
Activity 2
Activity 3
40
35
40
Sub-Total A3.2
Mechanical Works E&I Works
100
30 10 100 25 20
40
Sub-total A3.0 FILTER HOUSE
A5.0
SUMP & PH
30
100 5
TOTAL A
JCR INPUTS
Recon Code wise activity details
Cost Statement
Quantities paid to Sub-contractors MIB Details ETC Quantity and unit rate ACE Details
ACE : Accepted Cost Estimate
Its a detailed estimate of the expected cost to be spent for successful completion of a project Its a yard stick for measuring the profitability of a project. Consists of two parts: Direct Cost & Indirect Cost It enables site management to monitor the profitability of the project by comparing it with JCR. ACE has to be prepared within 1 month from the date of receipt of LOI / Work Order from the Client
SITE
ENGINEER'S
REPORT
TO
THE
OFFICE:
Sub: High Priority Sir,
"Steel roof and column already erected at site, kindly send us the foundation drawings urgently."
Regards, Site Engineer
