Building Construction Project Management

Building construction project management

Building construction project management Table of Contents 1.0 Introduction. 4 1.2 Project sub-divisions. 4 1.1 Analysis of business objectives. 5 1.3 Project Methodology: 6 1.4 Feasibility: 7 2. Managing and controls project. 8 2.1 Management and Adminsistration. 8 2.2 Roles and responsibilities Of Project manager : 9 2.3 Project plan: 9 Critical path: 10 3. Project management: 10 4 Be able to organize and manage a project. 12 4.2 Identification of risks and issues that impedes a projoct. 13

4.3 Design control systems to detect and manage issues arising in the course of projects. 15 5. Be able to review, evaluate and closeout a project. 16 5.1 Identify issues and risk likely to be encountered in the final stages of a project. 16 5.2 Assess the necessary project task to be completed in the final stages of a project. 16 Conclusion. 17 REFERNCES: 18

1.0 Introduction The project management is an application of knowledge, skills, tools and techniques. The various processes are included in the project management like initiation, planning, executing, monitoring and controlling and closing. The project objectives are developed by the project manager. Sunrise is a building construction company that carries out bulky scale projects and provides quality management service. The construction sector is one of the growing sectors around the world and contains huge employment of labors. The varieties of resources are needed for the development of a successful project. The project manager plays a vital role to deliver quality project(Duncan,1996). The efficient team is selected by the project manager because an effective team work can fulfill the demand of the company. The project undergoes numerous life phases like initiation, planning, design, construction and closeout. The framework is developed by the project manager that implemented by the workers. Depending upon the project budget the project is designed and scheduled. In the project life cycle the scope refinement is become essential. The programs should be scheduled properly because a definite beginning and end is required otherwise the company can suffer huge loss due to the delay. A strategic planning is conducted to improve the quality of service as well as to meet the growing demand and regulatory requirements(Randolph and Posner,1988). The strong management control systems are configured in the sunrise construction company that helps to meet that targeted goal of the company. The best possible resources and employees are engaged in the sunrise construction company which results in delivering quality service to the required customer. The prince 2 project methodology is selected to ensure the effectiveness of the sunrise construction company.

1.2 Project sub-divisions The project management tools are adapts to serve better quality service to the customers. The construction project will focus on development of a new building. The project management process involves following operational sub divisions-

1.1 Analysis of business objectives 

Project initiation:

The construction business is one of the growing business sector and the customer demands are increasing day by day. The sunrise construction company provides quality service to the customer so the business reputation is very high. The huge investment is required for the construction business. In this building construction project the sunrise construction company providing good quality equipments that will fulfill the customer needs. The alternative cost benefit analysis is done to find the best net gain to the society. The society benefit is the key of alternative cost benefit analysis. The fair distribution is required to facilitate the benefit to the overall community. The overall social benefit can be achieved if the collective benefits are much higher than the losses. The transfer of payments is undertaken by the government as income taxes from the construction sector. The potential cost and potential benefit is calculated by the methodological techniques (Abdou,2002). The project cost includesaccounting costs, capital charge and the operation and management cost. The cost of construction and development is estimated around $ 12,876, including the equipments of water supply. The time required 1 to 2years to complete whole framework. The cost analysis helps to determine the applicable externalities.

Cost analysis Summary

1.3 Project Methodology: In this construction project the PRINCE 2 project methodology is taken under considerations. This proposed methodology is applied in the sunrise construction company to enhance the performance of overall business. The PRINCE 2 is one of the common methods which are applied by sunrise Construction Company (Akintove et al. 2008). It offers several advantages that are very effective than the traditional methodologies that are used in the past.

1.4 Feasibility: Risk management:

The identification of risks is essential to establish any kind of business. It is important to give attention regarding the risk factors because it can hamper the business. The decision making process is involve with the risk management. The business opportunities are also identified by the risk management. The risk management is a function of project management that is carried out by the project manager(Deeprose ,2002). The management factor plays a vital role in overall project. The various risk management components are represented below-

The effect of globalization is another factor that highly affects on construction project. The advanced technologies are vividly used during the construction period. Depending upon the culture and country globalization enhance the competition in the market. The globalization of the economy is also affects the construction business because the foreign direct investment is easily available for the investors. It also offers new opportunities that sometimes help the construction company. The global governance helps to increase the business worldwide. The climate change is another factor that affects the construction business.

2. Managing and controls project 2.1 Management and Adminsistration The PRINCE project methodology is one of the helpful tools which help the construction company. The following components influence the success of business. 

Documentation- The project documents like the contract papers are verified by the project manager. The framework is developed that implemented by the employees. The scoping of the documents is essential because the approval is made after the documentation. The contract of the total work is represented to the government. The permission of government will not give if the proper documentation is not done (Field and Keller, 2007).

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Technique- The standard project technique is applied in the construction company because the standard tool helps to provide a quality work. The Critical path analysis and risk management is done to maintain the quality work. The project methodology undergoes various techniques that create a landmark of building construction.

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Sequence- The various stages are present in a building construction. The practical framework is done that helps to manage the various stages of the work. The total work is divided into different stages that help in working.

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Overview- The documentation and techniques are fitted together in this stage. The techniques and documentation must be properly fit in the given task otherwise the framework will not be implemented properly.

PRINCE 2 is applied in UK and Europe and it is one of the best techniques that are implemented in the building construction. The methodology is divided into several parts and they are as follows

Starting up the project- It is one of the most important components that influence the total business case. The starting of the project includes verities of tasks that should be implemented properly because the starting framework determines the overall project work.

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Directing the project- The efficient decisions are taken by the manager regarding the project. The decision should be practical because the work is conducted under the guidance of the project manager. The guidelines are developed by the manager and the workers are maintaining the guidelines throughout the project.

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Initiating the project- The main framework of the whole project is identified in this stage. The project initiation documents are created for the task. The total project of building construction is conducted in this phase

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Planning- The plans related to the projects are developed in this stage and the total lifecycle of the project activity is selected in this stage. The standard planning helps to make a consistent approach towards the project.

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Controlling- The day by day operation is controlled by the manager because it ensures the quality. The predicted work is properly executed through the controlling over the employees.

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Monitoring- The feedback report is given to the project board about the working status. The necessary action is conducted by the project manager to maintain the quality of the service.

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

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

2.2 Roles and responsibilities Of Project manager : The project is mainly guided by the project manager without the manager the project will be not executed properly. The stakeholders are also played very critical role in this stage of working and the supports are also given by the employees that result in success of the project. The risk management

helps to know the threats of the project .The planning is developed by the manager and it is a key issue in the overall project(Field and Keller, 2007)..

2.3 Project plan: The sponsorship and accountability is under the project planning that is very important in this stage. The accounts are regularly checked by the manager. An efficient accountant is available in this construction company and he manages the accounts section very well. The working schedule is developed by the manager and the employees maintain the schedule until the project is over.

Critical path: The critical path analysis helps to predict that the project will complete in time or not. It is very essential because a single day delay will results in huge loss of the company. The total activities are enlisted with the help of software by the project manager. After that a diagram is developed that contains all the relationship and activities together.

3. Project management: Quality management The quality management provides reduced cost to the company. The targeted goal is achieved by the quality management. The various tolls are utilized by the company to ensure quality management. Quality Planning The identification of quality standards are done to make an efficient plan. The proper execution is done to fulfill the customers’ needs. The quality planning is requires for the construction business because if the planning is not done then the correct path will be dislocated. Execute Quality Assurance The plan should be apply after the development of the framework. The quality assurance also provides the better quality service because it is verified before going to the customer. The market reputation is maintained due to this particular stage of work. Execute Quality Control

The quality management is needed to monitor for positive consequences to determine whether the work is producing predicted quality or not. It increases the quality values of the company. The customer’s needs are fulfilled because they get what exactly they want. So all the provided requirements are fulfilled by the company and quality control helps to maintain the consistency of the quality service. Reducing cost and achieves client satisfaction The extra costs are reduced due to the quality management so the quality work is easily delivered to the respective clients at minimum cost. The expectations of the customers are fulfilled by the company. Managing accountability: The success of the project is achieved by the standard management accountability that reduces the extra cost. The resources are properly delivered by the company that results in standard accountability. Procedures for managing proposals The reason of change must be known to the company. The success is come from the proper framework done by the manager. The management planning is conducted by the efficient employees. The cost management strategy and managing financial strategy must be completed by the company to make the project success. The risk management must be identified properly. The project undergoes several stages; each and every stage is executed by the workers. All the project requirements are fulfilled by the standard framework done by the manager. The change is essential for the company to deliver quality service to the required customers.

4 Be able to organize and manage a project For the monitoring and controlling of all the various aspects pertaining to project management Prince 2 methodology is followed which is a very standard practice followed across UK and Europe. It is also followed by all the government commissioned projects of UK. The basic structure is shown in the figure below:

The Project Inception: This happens only once during the course of the project and the business and alternatives pertaining to the feasibility of the project is evaluated.

Initiation of Project: At this stage a formal plan is made regarding how the project will be managed .PID (Project Initiation document) will form the contract and also act as a guideline for the project. Planning: The project deliverables needs to be chalked out clearly throughout the duration of the entire lifecycle of the project so that the delays and mismanagement can be successfully averted. Controlling: By controlling it means to design various documentation and operational plans which helps to eradicate the mistakes that occur on site. Various tolls like CPM, WBS Gantt charts are used to keep a strict control over the planned project schedule. Monitoring: A constant feedback on all the processes from the controlling activities and acting on the changes with necessary authorization of action and reporting to the project board (Ahmed et al.2003). Closing: A project cannot go on for an indefinite period and this construction project has a strict deadline within which all the activities related to the same needs to be completed so that project does not suffered from the clauses of penalty due to delay which the client generally puts in during the contractual part at the beginning of the project (Duncan, 1996).

4.2 Identification of risks and issues that impedes a projoct Risks encountered in Cost Management

Risks encountered in Time

Risks encountered in Quality

Management

Management

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Rigidity of project schedule

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Very Tight project schedule

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Stretched project schedule incurring losses.

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Design variations at site leading to cost increase and time delay (Chen et al, 2004)

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Time for the implementation of variations

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Unavailability of the expert skilled workers and engineers.

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Client variations and sudden requirements

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Construction materials price hike

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Incidence of dispute between various regulatory bodies in government and environment.

Operational Systems which are often Time consuming (Berkeley et al, 2005)

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Lack of proper planning

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Expert competency of consultant

Long approval procedures in

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Poor quality due to time

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expectations gap of quality

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the management(Berkeley et al, 2005) 

Rejection of completed works from the clients and reworking on the same

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Cost estimation which is found to be Incomplete or inaccurate.

constraints 

Time Variations of the consultancy programs

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Lack of proper coordination between the team participants(Chen et al, 2004)

4.3 Design control systems to detect and manage issues arising in the course of projects This may be done with the help of a Work Breakdown structure together with a Gantt chart and critical path evaluation which already has been illustrated before.

5. Be able to review, evaluate and closeout a project 5.1 Identify issues and risk likely to be encountered in the final stages of a project Risk is a part of the project management, which help to identify and take preventive measures to overcome the issue, and challenges, which may occur during the time of the project. There are some key risk issue are measure during the implementation of the final stage or step of the project which should be taken care of in order to get the project completed within the given timeline. When the administration office as well as the entire business, which being restructured and relocated from one place to another place create a business risk(Duncan and Gorsha,2005). These activities may create

a series of risk for the entire business, as the new area where the business relocated might not be suitable for the smooth business operation. The risk factors are as follows, 

Probability to decrease the level of expert consultant

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Decrease in the overall opportunity

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Decrease in the co-ordination among the team member

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Inefficient monitoring system may lead to the failure of successive decision

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Affected by the environmental negative concern

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Safety risk

5.2 Assess the necessary project task to be completed in the final stages of a project Decision taken by the managing director is one of the complex issues, which considered one of the major challenges by the management as the level of sensitivity is high which related to the customer. The entire analysis help to identify that the overall decision regarding relocation of the office may be best for the business operation. The risk are the part and parcel which can be solve without proper monitoring on the level of complexity occur due to the movement of the business office. Increase in the 10% revenue might cause risk of losing potential customer as the customer are very focused on the level of revenue increase in their respective product. However, the company focuses on decreasing the overall cost of the business operation but relocation of the office might increase the cost, which is more than the benefit incurred by the company for the given period. However, in the long run it will prove to be beneficial for the company overall revenue generation. Client will be decrease, which will lead to the decrease in the current earning capacity of the company. Generating a bill of the entire work done for the given respective service to the core client must do accurately and properly. The team should focused on the primary work on which they are targeted or should focus on some new project which are required to allocated(Heerkens ,2002).

Conclusion Project management is one of the most complex part for several organization and play a major role in the overall success of the organization in long run especially in case of sensitive issue. In the

given case, it can conclude that the overall relocation of the business may be successful depending on the overall outcome of the risk factor of the project, which covered in the given paper. Planning accordingly will help to generate a greater level of success rate of the project. There are some different alternative plan which are being covered in the given paper in order to overall the uncertain event in the given project management. The entire IT system should be enhanced for the better business operation which will help to decrease the overall cost of the business(Lock ,2007).

REFERNCES: Abdou, O.A., (2002), Managing Risks, Journal of Architectural Engineering,2(1), 3-10. Ahmed, S.M., Ahmad, R. and Saram, D.D., (2003), Risk Management Trends in the Engnand: a Comparison of Contractors and Owners Perceptions,Engineering, Construction and Architectural Management, 6(3), 225-234. Akintoye, A.S. and MacLeod, M.J.,( 2008), Risk Analysis and Management,International Journal of Project Management, 15(1), 31-38. Baker, W. and Reid, H., (2005),Identifying and Managing Risk, Frenchs Forest, N.S.W.:Pearson Education. Berkeley, D., Humphreys, P.C. and Thomas, R.D., 2005, Management,Construction Management and Economics, 9(1), 3-17.

Project

Risk

Action

Bernhard S., (2000), “ObjektorientierteReferenzmodellefür das Prozessund Projektcontrolling”.Grundlagen – Konstruktionen – Anwendungsmöglichkeiten. ISBN 978-3-82447162-1. p.131. Chen, H., Hao, G., Poon, S.W. and Ng, F.F., (2004), Cost Risk Management in West RailProject of London, 2004 AACE International Transactions. Deeprose, D,( 2002), Project management. Oxford, U.K.: Capstone Pub Duncan, G L and Gorsha, R(2005), A ‘Project management: A major factor in project success’ IEEE Transactions on Power Apparatus and System 102 (11) (1983) 3701-3705 Duncan, W. R. (1996), Project Management Institute (PMI), A Guide to the Project Field, M. and Keller, L.(2007), Project management. London: International Thomson Business Press. Heerkens, G.,( 2002), Project management. New York: McGraw-Hill.Institute of Systems Science (2001), Certified Information Technology Project Management, Singapore: NUS

Lackman, M (1998), ‘Controlling the project development cycle, tools for successful project management’ J System Management 16-28 Lock, D, (2007). Project management. Aldershot, England: Gower.Management Body of Knowledge, North Carolina: PMI Publishing, Sylva Morris, P W G and Hugh, G H (1986), Preconditions of Success and Failure in Major Projects Templeton College, the Oxford Centre for Management Studies, Kinnington Oxford, Technical paper No. 3 Randolph, W A and Posner, B Z (1988), ‘What every manager needs to know about project management’ Sloan Management Review Summer . Schwalbe, K (2000), Information Technology Project Management, Cambridge, MA

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