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Executive summary

A Hospital is required in the Valuka Town which has a population of 100,000 people.
We have won the contract for delivering the building to be used as a Hospital. The
Construction of this building will add to our portfolio, of constructing residential homes.
Due to constraint on time, concurrent engineering has been used on activities (other than
the floors construction) which otherwise would have been planned in water fall method .
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Introduction
There was a long felt need for a hospital in the Valuka Town, which is home to around 100,000
inhabitants. Earlier Patients had to travel to the nearest City which is 50 km. It usually took 2hrs
to for a patient to reach the hospital at the earliest. The town inhabitants usually resisted going to
the hospital in causes of minor diseases owing to the traveling time. So it was decided to
construct a local hospital. The Approval of this hospital is well received among the residents and
doctors as well. This will improve health of inhabitants, increase life expectancy, reduce
traveling time and cost. Our Company has won the bid for delivering the Building for this
project. The project is secure enough and there are extremely less chances of any roll back. This
is the first time our company will deliver a building to be used as a Hospital, which will add to
our existing portfolio, which included construction of residential apartments. Additional
challenge in this project will be meeting requirement specifications different than in earlier
projects we have done.

Key aspects of the project

Name of the project: Valuka General Hospital.

Sponsor: Government of Bangladesh.

Client: Ministry of Health, Bangladesh.

Project manager: Mr. Mamun.

Site location: College road, Valuka.

Site area: 200,000 sqft

No. of hospital bed: 400.

Total Budget 20 crore

Estimated cost 17 crore

Project Justification
SW0T Analysis

Strength
1. Secure Funding (Government financing).
2. Repeated project Experience.
3. Past projects have had a good reputation.
4. Highly skilled Professionals.
5. Using advance equipment and Superior technology in business.
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6. Management is committed and confident.


7. High Employee Benefits (Tying Rewards to Achievement of Key Strategic targets).

Weakness
1. Site location in a Town far from.
2. Company office.
3. Lack of civic amenities and transportation.
4. Resources shared with other projects.
5. First building aimed at being used for Hospital.
6. Outsourcing (Dependency on contractor, High Dependency on Component Suppliers).

Opportunities
1. No other Hospital in this area
2. Project/company publicity
3. Diversify our business interests
4. Good economic outlook

Threats
1. Time shortage
2. Other projects might start in parallel
3. Seasonality, weather effects
4. Material Price Uncertainty
5. Too many Competitors that had been competing for this project
6. Unknown Land condition

Project aim

Goal
To have the Hospital Building completed by December 31, 2018.

Objective
The objective of the project is to achieve exposure into a new area of expertise, profitability,
credibility, competitive advantages and publicity.

Priority of what is important


Time 35%
Resources 25%
Quality 40%

Activities
1. Site preparation
2. Architectural design
3. Electrical work
4. Plumbing work
5. HVAC
6. Decorator
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Result
To build up a hospital in Valuka so that people of Valuka will be able to get any
medical treatment without going too far. The name of hospital is Valuka
General Hospital.

Target Group
All the residents of Valuka are the target group of this project. The nearest hospital is 50 km
away from Valuka which takes 2 hours to go. So, this hospital is constructing by the government
for the people of Valuka so that they can get medical facilities without going too far.

Requirement specifications
Requirement specifications in the form of Product Breakdown Structure (PBS).
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Project Requirement

Project Initiation no later than June1, 2017.


Project completion by December 31, 2018.
Cost must not exceed 20 crore.
No Child labor to be used

Prerequisites

Quality: Quality of building material used should be good quality and branded (top of
class) should be used.
Payment: Be done by the sponsor before the execution starts
Resources: Allocated by the resource manager before execution

Handover and Implementation


The Completed Hospital Building shall be handed over to the Ministry of Health on December
31, 2018, after signing of approval documents.

Stakeholders

Core Stakeholders
1. Ministry of Health Government of Bangladesh
2. Steering Committee

Primary Stake Holders


1. Subcontractors
2. Local Mayor
3. Local Doctors
4. Town committee.(Union)

Secondary Stake Holders


1. Internal Employee
2. Residents of Valuka.

Subcontractors:-
Heavy Machinery Provider: - It will be responsible for providing machines used in
construction.
Laborer Provider: - It will be responsible for providing the laborers.
Interior Decorator: - It will be responsible for installation of sanitary fittings, paint, tiles,
and electrical Appliances.
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Exterior Decorator: -Responsible for bring out a cultural outlook of the building.
Lift installer: - Responsible for installation of lift.

Activities and schedule

Activities
Hospital

Site Architectural Electrical Plumbing HVAC Decorator


Preparation Design Works
Wirin
Ducti Glass Works
Call Piping
Out Electronic Equipm Paint
For appliances
ent
Installation Sanitary
fitting Decorate
Select and fittings
Exterior
finalize Design
Circuit
breaker
Installation

Activity List

Hospital Building 228 days


Site Preparation 7 days
Project Initiation 0 days
Comprehensive site survey 2 days
Soil analysis 2 days
Site Survey Complete 0 days
Architect design 7 days
Call for Architectural
Design Proposals 5 days
Architect selection 1 day
Design the building 1 day
Architectural Design complete 0 days
Electrical work 95 days
Obtain Electrical connection from utility
Provider 3 days
Wiring (electricity + Networking) 44 days
Circuit board and circuit breakers
Installation 1 day
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Electrical Appliances installation 7 days


Electrical work completed 0 days
Plumbing Work 99 days
Obtain water/Gas connection
From Utility Provider 1 day
Piping 46 days
Sanitary fitting 5 days
Plumbing work completed 0 days
Air Conditioning (HVAC) 98 days
Obtain quotations/place order
For AC Units 2 days
Install Air conditioning system 10 days
Air conditioning work completed 0 days
Lift 2 days
Install Lift 2 days
Lift Installed 0 days
Interior / Exterior Decoration 15 days
Wood Works 10 days
Paint Work 5 days
Exterior Decoration 5 days
Decoration Complete 0 days
Construction 89 days
Digging 10 days
Foundation laying 5 days
Foundation laid 0 days
Basement construction 20 days
Basement Complete 0 days
Ground Floor Construction 20 days
Ground floor complete 0 days
First Floor Construction 20 days
First floor completed 0 days
Roof Top construction 5 days
Roof Top complete 0 days
Building Tools / materials 9 days
Final Inspection 2 days
Building Ready for handover 0 days
Project meetings 97 days
First Meeting 1 day
Subsequent meetings 91 days

Budgeting
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PERT

Index Activity Description Required Optimistic Most likely Pessimistic


predecessor time (days) time(days) time (Days)
A Hospital Building 200 210 228
B Site preparation 5 6 7
C Architectural Design AB 5 6 7
D Electrical Works AB 80 88 95
E Plumbing Works AB 85 91 99
F HVAC CDE 82 90 98
G Decorator F 10 12 15

Network Diagram

C 4

2
A D
E F G
1
6 7 8

B 3 5

Index Ot Mt Pt Expected Time Variance


A 200 210 228 211 21.78
B 5 6 7 6 0.11
C 5 6 7 6 0.11
D 80 88 95 88 6.25
E 85 91 99 91 5.44
F 82 90 98 90 7
G 10 12 15 12 0.69

Activity Te TL ST(Slack Time)


1 0 0 0
2 211 211 0
3 6 211 0.03
4 217 302 0.72
5 302 302 0
6 302 302 0
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7 392 392 0
8 404 404 0

Here activity 1, 2, 5, 6, 7, 8 have zero slack. The critical path is the path connecting the activity
having zero slack so the critical path will be

1 2 5 6 7 8 :- 404 days.

CPM
Activity Required Normal Time Crash Normal Crash
Description Predecesso Time Cost(crore) Cost(crore)
r
Hospital 228 210 7 7.50
Building
Site 7 5 0.50 0.55
Preparation
Architectura AB 7 5 0.50 0.60
l Design
Electrical AB 95 88 3 3.75
Works
Plumbing AB 99 90 4 4.90
Works
HVAC CDE 98 93 4 4.50
Decorator F 15 10 1 2

1. Total cost to implement the project in minimum time=


(7.50+0.55+0.60+3.75+4.90+4.50+2)=23.8 crore
2. Total cost to implement the project in maximum time=(7+0.50+0.50+3+4+4+1)=20 crore
3. Cost slope of each activity
We know that,
CC NC

Cost slope of each activity NT CT

Where,
CC= Crash Cost
NC= Normal Cost
CT= Crash Time
NT= Normal Time
So,
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7.507
=0.03
CS (A) = 228210

0.550.50
=0.025
CS (B) = 75

0.600.50
=0.05
CS (C) = 75

3.753
=0.11
CS (D) = 9588

4.904
=0.10
CS (E) = 9990

4.504
=0.17
CS (F) = 9895

21
=0.20
CS (G) = 1510

Organization and staffing


Organizational Chart

Project Owner Steering


Committee

Project Quality
Resource
Manager assurance
Manager
Manager

Negotiation Financial Resource


Manager Logistics
Manager
Manager
Architectural Design
Budgeting
team Electrical Work
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HVAC and Plumbing

Sub Project Networki


ng
Reporting
Lift Wood Works Decoration
Installation
Project Owner/ Steering Committee: - Will place demands and keep Check on the on
project deliverables and follow-up through meeting with Project Manager.
Project Manager: - The main assignment for the project manager is to deliver a result to
the sponsor through managing the project group.
Resource owners/Line managers: - Resource owners provide the resource to the
projects the company wants to run.
Quality assurance manager: - An appointee of the sponsor for evaluating the quality
throughout the project.
Negotiation Manager: - Responsible for Procurement / Negotiations / Legal advices
where ever required.
Financial Manager: - Keep record of project expenditures and allocating finances as per
plan.
Logistics Manager: - Responsible for providing the Transportation vehicles for project
needs.
Construction Manager: - Responsible for all constructions works by managing different
teams and a sub-project manager (assistant manager).
Sub-project Manager: - Responsible for delivering the tasks that have to be completed
through sub-contractors.

Members of the Committee are responsible in the following areas


Ensure provision of the required resources for planning and delivery of the project.
Provide management support, direction and advice to the project management based on
the project reporting to the Committee.
Actively and overtly support the project and act as an advocate for its outcomes.
Report on the project and its progress to senior executive and relevant BCB bodies.
Approve the business case, project approach and project management methodology.
Establish delegation authorities and limits for the project management, with regard to
cost, time, resource, quality and scope.
Oversee the project quality assurance program.
Resolve matters of project cost, time, risk, resource, quality and scope escalated to the
Committee.
Establish how benefits will be defined and measured.
Review and approve or reject change management, and benefits realization plans.
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Monitor progress against approved plans.


Monitor project outputs for alignment to support agreed outcomes and benefits.
Monitor and facilitate the implementation of new operating model.
Monitor realization of benefits and report to senior executive and governance bodies.
Understand the strategic implications and outcomes of the project.

Limitations
Medical equipment installation is not part of this project.
Wood works does not included furniture.
No floor carpeting will be done.
Only Wiring for Networking will be done, Equipment will not be installed.

Conclusion
This is a Z category project as government cannot earn revenue or not helping others in earning
revenue and this is a service rendering project. This project is a very good opportunity to increase
the public repute at no cost overhead. Our past experience of constructing the buildings on
resident houses and Hotel indicates that construction of a Building for Hospital will enhance our
portfolio. But we have to be extra careful for this first time. Time is very much limited which
will be overcome by doing more activities in parallel. This might cost extra budget which will be
utilized overtime and/or allocating more resource, plus bonuses on extra ordinary performances.
Project is highly secure and no chance of rolling back as government is showing keep interest
and public is highly anticipating the completion of this project. Extensive soil testing should be
done under supervision of internal professionals.
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References
1. Search engine Google.
2. PBS, Page 65, Project Management by Bo Tonnquist
3. Background Objective and Goal, pg 23, Project Management by Bo
Tonnquist
4. Requirement Specification, pg 23, Project Management by Bo Tonnquist
5. Activities, and Schedule, Lab by Carina, MS PROJECT Help, The
Schedule pg 39 Project Management By Bo Tonnquist
6. Organizational Chart pg 81, Project Management by Bo Tonnquist