DCC5183 PROJECT MANAGEMENT FAZLEERAHIM K SUHAILI

07DKA16S1017

PROBLEM TOPIC 1: INTRODUCTION TO PROJECT MANAGEMENT

1. Define the project management in terms of implementing a construction project.

In terms of implementing a construction project, project management is defined as the

planning, scheduling, evaluation, and controlling of construction tasks or activities to
accomplish specific objectives by effectively allocating and utilizing appropriate labour,
material, and time resources in a manner that minimizes costs and maximizes
customer/owner satisfaction.

2. What is management in construction?

Management in construction is the practice of managing construction in place of the

owner while also serving as the construction consultant to its design and other aspects
within the project. Typically an overseer, construction managers direct, coordinate and
brainstorm a wide variety of construction projects, even the selection and hiring of
contractors and finances. Although there are construction managers that do not directly
control the actual structure construction, some others do extensive construction
management that oversees the entire project.

3. Describe briefly the term of project.

Project can be described as a unique set of coordinated activities, with definite starting
and finishing points, undertaken by an individual or organisation to meet specific
objectives with defined schedule cost and performance parameters. The goal of a
construction project is to build something. What differentiates the construction industry
from other industries is that its projects are large, built on-site, and generally unique.
Time, money, labour, equipment, and, materials are all examples of the kinds of
resources that are consumed by the project.

4. Explain FIVE (5) characteristics of a project.

a) Project is a process to achieve an objective. Every project has to establish its

objectives at the first stage.

b) The uniqueness of a project comes together with its objectives. For example, a
company has an objective of constructing the tallest twin tower building in the
world. This non- routine activity to carry out the objective requires some unique
elements in the project.

c) In order to complete the objectives, projects should have a time limit of when the
projects should start and when the projects should be completed. Time duration is
crucial for engineers to plan the work schedule for successful completion of the
project.

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d) In addition, engineers or project managers also need to consider the resources, for
example humans, materials and financial that they need for completing the schedule.
e) Unlike much organisational work that is segmented according to functional
speciality, projects typically require the combined efforts of a variety of
specialists. Engineers, marketing professionals, quality control specialists, and
surveyors, who work closely together under the guidance of a project manager to
complete the project.

5. A potential client is interested to invest in a mega project in Penang using a traditional

contract. Evaluate the following matters that concerning on time, cost and quality in the
context of traditional contract.

Traditional contract or project need to be performed and delivered under certain

constraints. Traditionally, these constraints have been listed as "scope" (features and
quality), "time", and "cost". These are also referred to as the "Project Management
Triangle," where each side represents a constraint. One side of the triangle cannot be
changed without affecting the others. A further refinement of the constraints separates
product "quality" or "performance" from scope, and turns quality into a fourth constraint.
The Project Management Triangle (called also Triple Constraint or the Iron Triangle) is
a model of the constraints of project management. It is a graphic aid where the three
attributes show on the corners of the triangle to show opposition. It is useful to help with
intentionally choosing project biases, or analyzing the goals of a project. It is used to
illustrate that project management success is measured by the project team's ability to
manage the project, so that the expected results are produced while managing time and
cost.

The time constraint refers to the amount of time available to complete a project. The cost
constraint refers to the budgeted amount available for the project. The scope constraint
refers to what must be done to produce the project's end result. These three constraints
are often competing constraints: increased scope typically means increased time and

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increased cost, a tight time constraint could mean increased costs and reduced scope, and
a tight budget could mean increased time and reduced scope. The discipline of project
management is about providing the tools and techniques that enable the project team (not
just the project manager) to organize their work to meet these constraints.
Another approach to project management is to consider the three constraints as finance,
time and human resources. If you need to finish a job in a shorter time, you can throw
more people at the problem, which in turn will raise the cost of the project, unless by
doing this task quicker we will reduce costs elsewhere in the project by an equal amount.

6. Explain the role and relationship of the parties involved during the construction phase of
the project as listed below:-
a) Owner
 The owner is the individual or organization for whom a project is to be built under
a contract. The owner owns and finances the project. Depending on the owners’
capabilities, they may handle all or portions of planning, project management,
design, engineering, procurement, and construction.
 The owner engages architects, engineering firms, and contractors as necessary to
accomplish the desired work.
 Public owners are public bodies of some kind ranging from agencies from the
country level to the municipal level. Most public projects or facilities are built for
public use and not sold to others.
 Private owners may be individuals, partnerships, corporations. Most private owners
have facilities or projects built for their own use or to be sold, operated, leased, or
rented to others. In order to achieve success on a project, owners need to define
accurately the projects objectives. They need to establish a reasonable and balanced
scope, budget, and schedule. They need to select qualified designers, consultants,
and contractors.

b) Contractor
 A contractor for Civil Engineering works may be an individual person or
group of persons or a company who under takes the construction of the work.
 He offers to undertake the construction of the work for given amount of money.
 He must have the skill and competence to execute the work properly as per
design and specifications.
 The contractor is responsible for procuring of materials not supplied by the
owner, organizing, planning and executing the work as per drawings and
specifications laid down in the contract and as per construction schedule agreed
upon.

c) Consultant
 A consultant is specialist in his field.
 A consultant may be appointed for highly specialized project to help the owners
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and contractors in the execution of a highly specialized job.

 His appointment is optional.
 In Government departments generally Chief Engineer of the department acts as
consultant.

d) Project Manager
 The project manager is the individual charged with the overall coordination of the
entire construction program for the owner.
 His or her duties will vary depending upon the client’s experience and requirements
for the project.
 Project manager usually a suitably qualified professional, must be competent
enough to plan, organize, coordinate, monitor and control the project.
 The role of a project manager is to lead the project team to ensure a quality project
within time, budget, and scope constraints.

7. Project manager is required to manage a construction project so that it runs smoothly.

Identify FIVE (5) responsibilities of a Project Manager.

a) Figurehead role – the project manager, is the legal and social head of the project, he
is the single focal point for making decisions, presiding at ceremonial functions and
performing symbolic duties.

b) Leadership role – as a leader, the project manager directs the inter-functional efforts
through a complex web of relationships created in the project organisation by building
a performance-motivated team of skilled and experienced people, who collectively
face challenges posed by environment.

c) Liaisoning role – the project manager maintains contacts outside the organisation,
deals with those activities which may involve correspondence and contact with the
concerned government and non-government officials, contract vendors, professionals
and other senior persons in the industry.

d) Monitoring role – the project manager’s focus is on the baseline plan adopted for
performing and implementing tasks within the time, cost and quality specifications.
He is also responsible for planning and monitoring the entire system with a view to
motivate the project team to provide assured results.

e) Disseminatoring role – the project manager transmits the relevant information

received from externel sources and internal systems to the concerned people at the
workplace. This information may be written or verbal, formal or informal.

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8. Identify FIVE (5) soft skill needed as a Project Manager.

a) Project manager’s role in planning:

 Develop planning focused on the work to be performed.
 Establish project objectives and performance requirements early so everyone
involved knows what is required.
 Involve all discipline managers and key staff members in the process of
planning and estimating.
 Communicate the project plan to clearly define individual responsibilities,
schedules and budgets.
 Avoid reprogramming or replanning the project unless absolutely necessary.

b) Project manager’s role in organizing:

 Organize the project around the work to be accomplished.
 Develop a work breakdown structure that divides the project into definable and
measurable units of work.
 Establish a project organization chart for each project to show who does what.
 Define clearly the authority and responsibility for all project team members.

c) Project manager’s role in motivating:

 Meet with employees following management staff meetings to update them
about any company information that may impact their work.
 Make sure the employee is clear about what the change means for their job,
goals, time allocation, and decisions.
 Communicate daily with every employee who reports to you.
 Encourage employees to come prepared with questions, requests for support,
troubleshooting ideas for their work, and information that will keep you from
being blindsided or disappointed by a failure to produce on schedule or as
committed.
 Implement an open door policy for staff members to talk, share ideas, and
discuss concerns.
 Congratulate staff on life events such as new babies, inquire about vacation
trips, and ask about how both personal and company events turned out.

d) Project manager’s role in directing:

 Serve as an effective leader in coordinating all important aspects of the project.
 Be available to the project staff, get problems out in the open, and work out
problems in the open, and work out problems in a cooperative manner.
 Analyze and investigate problems early so solutions can be found at the earliest
possible date.
 Obtain the resources needed by the project team to accomplish their work to

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complete the project.

 Recognize the importance of team members, compliment them for good work,
guide them in correcting mistakes, and build an effective team.

e) Project manager’s role in effective coordinating / communicating:

 Harmonizing the action and approach of various employees/groups of
employees so as to achieve a common objective.
 Represent his organization for the project both within and outside his
organization in addition to being the chief negotiator on all matters related to the
project.
 Coordinate all activities in order to assure that the project work smoothly within
proper time and cost constraints.
 Communicate the project plan to clearly define individual responsibilities,
schedules and budgets.
 Should select appropriate electronic communication and collaborative
technologies, e.g. Phone conferencing, email, e-meeting, web conferencing, and
intranet/internet.
 Should make a special effort to supplement virtual interaction with face-to face
contact as often as possible.

9. There are various methods of a project delivery in construction. Differentiate between

“traditional method’ and ‘turnkey method’ in project delivery.

Traditional Method Turnkey Method

 The conventional contract is one in which
the Employer employs Consultants to design
The Works and to supervise a Contractor in
the performance of the Work. Consultants
appointed by the government are
responsible for the design and any design
imperfections.
 The Contractor is selected on the basis of his
suitability for the type of work and the
competitiveness of his price relative to other
Contractors. The contractor enters into a
contract with the Employer undertaking to
perform the Works in accordance with the
terms and conditions of the contract for an
agreed price.
 Contract basis is that the whole
responsibility rests with the contractor
starts from the planning, design and
supervision of construction up to the
completion of the project with the
time frame and agreed price.
 There are two factors why Turnkey
contract introduced:
i. Urgent need for a specific project
ii. Owners lack the expert group.
 Main Contractor shall appoint or a
qualified as design consultants to
carry out their professional
responsibilities in the design and

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 The Engineer, who is usually one of the construction supervision

Consultant's team, acts as the Employer's
expert; as the Employer's Manager (with  Contractors are required to appoint a
delegated responsibilities); and as initial consultant for work testing and
Arbiter between Employer and Contractor. commissioning

 Contractor appointed by the government is  Appointment of consultants is based

responsible for the construction, failure and on contractor or through
/ or defects. recommendations from Government

 The main contractor must have enough

capacity from the technical and financial
aspects.

 Work progress on site will be monitored by

government through S.O

 Conventional are divided in two categories:-

i. Contract sum based on Bill of quantities

ii. Contract sum based on specification and
drawings.

10. List the advantages & disadvantages the concept of construction project below: -

a) Traditional Contract

Advantages
 Accountability due to a competitive selection.
 Competitive equity as all tendering contractors bid on the same basis.
 It allows the Employer to choose Consultants who will be specialists in their field and
among the best available.
 Variations/changes to the contract are relatively easy to arrange and manage.
 It allows the Employer and his Consultant to pre-qualify and select Contractors and
choose the most economic conforming tender.
 A tried and test method of procurement which the market is very familiar with.

Disadvantages
 Can be timely process to produce the full contract documentation. Tenders documents
from an incomplete design can be produced but can lead to less cost and time certainty,
and may lead to disputes.
 Overall project duration may be longer than other procurement methods as the strategy
is consequential and construction cannot be commenced prior to the completion of the
design.

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 No input into the design or planning of the project by the contractor as they are not
appointed during the design stage.

b) Design & Build Contract

Advantages
 Client has to deal with one firm and reduces the need to commit resources and time to
contracting designers and contractors separately.
 Price certainty is obtained before construction commences as client’s requirements are
specified and changes are not introduced.
 Use of a guaranteed maximum price with a savings option split can stimulate innovation
and reduce time and cost.
 Overlap of design and construction activities can reduce project time.
 Improved constructability due to contractor’s input into the design.

Disadvantages
 With design-build, the owner must lock in its requirements much earlier.
 Client changes to project scope can be expensive.
 Difficulty in comparing bids since each design will be different, project programme will
vary between bidders, and prices for the project will be different for each design.
 Client required to commit a concept design at an early stages and often before the
detailed designs are complete.
 Design liability is limited to the standard contracts that are available.

c) Turnkey Contract

Advantages
 Reduce the of the project implementation. Time savings can be made because the fully
involvement of contractors in the construction process from beginning to the end.
 Responsibilities one party
 Fixed project cost
 Easier and effective communication
 Innovation in design and construction because of the early involvement of the
contractor.
 Can reduce direct owner involvement on matters related to technical problems, cost,
time and other.

Disadvantages
 High cost of project.
 Scope of variation is limited.
 Wastage will occur during the construction stage.
 Affect the participation of local consultants because the contractor will typically hire a
own consultancy.
 New contractor and Bumiputera contractors cannot compete to participate due to it is
used for project management and high cost.

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11. The implementation of concept project management may apply to various types of
construction project and contract. Explain the concept of construction project below:

a) Traditional Contract
 A programme allows sufficient time.
 Consultant design is warranted.
 A client wishes to appoint designers and contractors separately.
 Price certainty is wanted before the start of construction.
 Product quality is required.
 A balance of risk is to be placed between the client and contractor.

b) Design & Build Contract

 Building is functional rather than prestigious;
 Building is simple rather than complex, is not highly serviced and does not require
technical innovation;
 Brief for scope design is likely to change;
 Programme can be accelerated by overlapping design and construction activities; and
 Single organization is required to take responsibility and risk for design and
construction.

c) Turnkey Contract
 Urgent need for a specific project
 Owner lack the expert group