APPROVAL

The dissertation study title “CONSTRUCTON MANAGEMENT” is hereby approved as

original work of name of student – Abhay Malik bearing Roll No.- 1372981001 &
Enrolment No:-137298161782. On the approved subject carried out and presented in
manner satisfactory to warrant as per the standard laid down by the Shree Bankey
Bihari Institute of Architecture, Meerut.

This dissertation has been submitted in partial fulfillment for the award of B.Arch.
degree from Shree Bankey Bihari Institute of Architecture, Meerut.

It is to be understood that the undersigned does not necessarily enclose or

approved any statement made , any opinion expressed or conclusion drawn therein ,
but approves the study for the purpose it has been submitted.

Date –

Place-

Seal of Shree Bankey Bihari Institute of Architecture, Meerut.

Name & Signature Name & Signature

External Examiner Dissertation guide

Name & Signature

Director

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 DECLARATION

I hereby declare that this dissertation is my own work and effort and that it has not
been submitted anywhere for any award. Where other sources of information have
been used, they have been acknowledged.

This dissertation has been completed under the supervision of the guide assigned to
me by the Shree Bankey Bihari Institute of Architecture, Meerut.

ABHAY MALIK
Roll No.- 1372981001
Enrolment No:-137298161782
Batch: 2013 – 2018

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 ACKNOWLEDGWMENT

The study has followed a long and winding path along which I meet many peoples,
this formal space to acknowledge their contribution is appreciated. Yet I would say
that the distribution of my gratitude to all these supporters from different places is
proportionate and equitable.

I would like to express sincere gratitude to all my teachers, friends, and colleagues at
Shree Bankey Bihari Institute of Architecture for their help to make this endeavor
possible.

First and foremost, I would like to thank my honorable guide ER. PIYUSH GUPTA &
AR. UMESH KUMAR for their guidance and encouragement throughout the
dissertation process.

This dissertation is completely dedicate to my all the respected family members.

Their constant love, support and motivation throughout have made this task
possible.

ABHAY MALIK
Roll No. - 1372981001
Enrolment No:-137298161782
Batch: 2013 – 2018

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 CONTENTS

1. SYNOPSIS

2. INTRODUCTION
2.1. DEFINING CONSTRUCTION MANAGEMENT
2.2. DEFINING CONSTRUCTION & MANAGEMENT
2.3. OBJECTIVES OF CONSTRUCTION MANAGEMENT
2.4. FUNCTIONS OF CONSTRUCTION MANAGEMENT
2.5. HISTORY OF CONSTRUCTION MANAGEMENT

3. PRINCIPLES OF CONSTRUCTION MANAGEMENT

4. THEORY OF CONSTRUCTION MANAGEMENT

5. PROCESS OF CONSTRUCTION MANAGEMENT

6. CHARACTERSTICS OF CONSTRUCTION MANAGEMENT

7. ADVANTAGES

8. DISADVANTAGES

9. APPLICATIONS OF CPM & PERT IN CONSTRUCTION MANAGEMENT

10. CPM and PERT in Construction Projects

11. PROCEDURE FOR NUMBERING THE EVENTS USING FULKERSON'S RULE

12. ETWORK ANALYSIS OF CPM

13. PERT Basics

14. COMPUTERS IN CONSTRUCTION MANAGEMENT

15. CASE STUDY

16. CONCLUSION

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 1. SYNOPSIS -

INTRODUCTION -

CONSTRUCTION MANAGEMENT is the professional service that uses specialized,

project management techniques to oversee the planning, design, and construction of
a project, from its beginning to end.

The subject includes the detail study of characteristics, applications, types,

construction of Construction Management.

IMPORTANCE OF THE SUBJECT-

It is important because:

1. Construction management practices invariably lead to “maximum production

at least cost”. A good construction management, results in completion of a
construction project with in the stipulated budget.
2. Construction management provides importance for optimum utilization of
resources. In other words, it results in completion of a construction project
with judicious use of available resources.
3. Construction management provides necessary leadership, motivates
employees to complete the difficult tasks well in time and extracts potential
talents of its employees.
4. Construction management is beneficial to society as the effective and efficient
management of construction projects will avoid, escalation of costs, time
overrun, wastage of resources, unlawful exploitation of labor and pollution of
environment.

HYPOTHESIS -

The Construction Management is the effective, efficient and economic technique of

management that it lost its extension due to ignorance and unawareness among the
propagators of architecture since its origin.

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 AIM OF THE SUBJECT –

My aim is:

1. To expose the growth of management along with its applications for the
environment and human welfare.
2. To develop scientific attitude and temper and to create, inculcate and sustain
a general awareness amongst the people.
3. To promote and enhance public understanding of the culture of construction
management.
4. To stimulate interest in construction management activities among students
and enable them to carry out self-directed activities in areas of interest in
management of construction and project.
5. To provide opportunities for students and visitors to develop initiative and
creativity in the field of construction management.
6. Provide opportunity to the Indian and / or Global Private Sectors to involve in
this towards mutual benefits.
7. Provides an environment close interactions with a particular center of
knowledge creation for their mutual benefit.
8. To promote public understanding and awareness, especially with regard to
the importance of scientific studies and culture.

OBJECTIVES -

My objectives are:

1. To assess the current structure, status and direction of the Indian construction
management field.
2. To assess the competition in Indian construction management field.
3. To assess the financing of Indian construction management field.
4. To assess the opportunities and challenges of Indian construction
management field.
5. To develop strategies for competitors (domestic players) in Indian
construction management field.

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 6. To assess the technology, managerial, operational, of the Indian construction
management field.
7. To create awareness about the importance of the construction management
in the Indian construction management field.

LIMITATION-

1. Lack of information about their methodology, reasonable assumption can be

made on the basis of already done research work, and the literature data.
2. It’s hard to have a live site visit as the topic can only be searched and
understand through literature studies, so only literature study or literature
case study can be possible.

METHODOLOGY-

1. Description of the Subject

2. History of the Subject
3. Process
4. Characteristics
5. Applications
6. Literature case study
7. Live case study (if any/ applicable)

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 2. INTRODUCTION -
2.1. DEFINING CONSTRUCTION MANAGEMENT: Construction project
management (CM) is a professional service that uses specialized, project
management techniques to oversee the planning, design, and construction
of a project, from its beginning to its end.

OR

Construction management is the practice of ensuring that construction actions are

undertaken efficiently and effectively.

OR

According to SACPCMP (2009), construction management is the management of

physical construction project with in the built environment and includes the
coordination, administration and management of resources.

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 Construction management is a building design which has made by the client itself in
a new building. Possible client has a wealth of experience in building design. If a
client has a new building and design was completed and the design of their own, for
the purpose of construction, the client will go to a consultant who is represented by
architects, civil engineers and quantity surveyors to evaluate the design. After that,
the consultant will assess the total cost of construction. The purpose of CM is to
control a project's time, cost and quality. CM is compatible with all project delivery
systems, including design-bid-build, design-build, CM At-Risk and Public Private
Partnerships. Every construction project features some amount of CM.
2.2. DEFINING THE TERM CONSTRUCTION & MANAGEMENT:
2.2.1. CONSTRUCTION- Construction is the process of constructing
a building or infrastructure. Construction differs from manufacturing in
that manufacturing typically involves mass production of similar items
without a designated purchaser, while construction typically takes place on
location for a known client. Construction as an industry comprises six to
nine percent of the gross domestic product of developed
countries. Construction starts with planning, design, and financing; and
continues until the project is built and ready for use. Construction is a
general term meaning the art and science to form objects, systems, or
organizations, and comes from Latin constructionem (from com-
"together" and struere "to pile up") and Old French construction.
Construction is a series of actions undertaken by construction companies
end consultants, which produces or alter buildings and infrastructure.
Construction actions can be described as a complex interplay of people,
tools, equipment and materials, coordinated by communication and paid
with money. Construction actions include:
 design and management decisions;
 direct physical production of the facility on site;
 project close-out/final accounting; and
 rehabilitation and maintenance of existing facilities.

TYPES OF CONSTRUCTION- In general, there are three sectors of

construction: Buildings, Infrastructure and Industrial.

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 Building construction is usually further divided into residential and non-
residential (commercial/institutional).

Infrastructure is often called heavy/highway, heavy civil or heavy

engineering. It includes large public works, dams, bridges, highways,
railways, water/wastewater and utility distribution.

Industrial includes refineries, process chemical, power generation, mills

and manufacturing plants. There are other ways to break the industry into
sectors or markets.

MANAGEMENT- Management (or managing) is the administration of

an organization, whether it is a business, a not-for-profit organization, or
government body. Management includes the activities of setting the
strategy of an organization and coordinating the efforts of its employees or
volunteers to accomplish its objectives through the application of
available resources, such as financial, natural, technological, and human
resources.
The term "management" may also refer to the people who manage an
organization.

The key terms used in management include:

Management The direction and supervision of resources towards

the achievement of a defined goal within a time
scale.

Controlling a business/industry

Theory of This can be defined as the general principles of

Management controlling a business/industry tested and
contrasted with practice.
Direction Instructions about how to do something.

Supervision To be in charge of a piece of work/labor and

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 making sure that everything is done correctly, safely
etc.
Resources Something that is required in order to do work. They
include: money equipment, people, materials,
information, skills, knowledge or any other item
likely to be in limited supply.

Goal A desired end. Something that you hope to achieve

for example – quality of the building work.

Time Scale The period of time that it takes for a project to

happen or be completed.

Planning • The act or process of setting out goals intended to

be achieved, and what course of action should be
used in achieving the goals;

• Setting targets/time limits/course limits.

Controlling • Comparison of the actual performance of a

process against the original plan;

• It can also be defined as methods by which it is

possible to establish and determine if work is being
carried out as planned. A comparison is then made
against the plan and variations are noted and
analyzed;

• There are three possible outcomes for each

operation in construction work:

-- It either remains the same;

-- It is better; or

-- It is worse

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 Forecasting Looking into the future to try and assess the
possible trend of events, which are likely to
influence the conditions of the working situation,
so that steps may be taken to overcome any
difficulties before or soon as they arise.

Motivating •The reason why somebody does something that

involves hard work and effort or the reason
somebody behaves in a particular way;

• An incentive or encouragement given to induce

hard work, effort, and high productivity.

Coordinating The act of making parts of something, groups of

people etc. work together in an efficient and
organized way. (Integrating)

Communicating Act of exchanging information, news, ideas,

feelings, thoughts etc. with other people. Making

known your ideas, feelings, and thoughts etc.

known to other people, so that they understand

them.

Organizing Arranging for something to happen or to be

provided.

2.3. OBJECTIVES OF CONSTRUCTION MANAGEMENT: This is to ensure that

productive efforts undertaken by a company/individual are efficient and
effective:
 Less time taken
 Less waste (Lean principles)
 Economic use of resources
 Higher quality products
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  More value
 Less accidents and fatalities
 Satisfaction of client/employer
 Products are sustainable e.g. green buildings, low impact design,
and passive energy usage

2.4. FUNCTIONS OF THE CONSTRUCTION: The functions of construction

management typically include the following:

1. Specifying project objectives and plans including delineation of scope,

budgeting, scheduling, setting performance requirements, and selecting
project participants.
2. Maximizing the resource efficiency through procurement of labor, materials
and equipment.
3. Implementing various operations through proper coordination and control of
planning, design, estimating, contracting and construction in the entire
process.
4. Developing effective communications and mechanisms for resolving conflicts.

2.5. HISTORY OF CONSTRUCTION MANAGEMENT: During World War II there

was virtually no construction taking place in America except for construction
related to the war effort. In the years immediately after the war, on into the early
1950s, most construction in America was for “catch up” projects such as
additions to the local school or hospital, new private houses, repair and
expansion of the “wet and dry” civil infrastructure, repair and expansion of all
sorts of other facilities and a good many relatively small to modest sized
commercial, industrial and governmental projects.

However, by the mid-1950s much larger construction programs were being

planned and built throughout America. These included many huge new
hospitals, large school building programs, other major public projects such as
tunnels, bridges and expressways, larger more modern industrial, business,
public and military facilities, and other large projects of all sorts. By the 1960s
there were many larger projects being put out for construction bids and under
construction.

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 The Industrial Revolution (Circa 1750 to 1850)

The early days of management as a subject for study were related to the latter half
of the Industrial Revolution. This may be described as the period when mechanical
power was introduced and applied to the production of goods, and the earliest
efforts to improve management at this time were those concerned with technical
issues of production, because the social conscience of the day did not enforce
responsibility for personnel problems.

The pioneers in the field of management during this period included:

A) James Watt (1736–1819): whose main interest centered on the efficient use of
large variety of machinery. This entailed the elaboration of production
management processes such as:
 the layout of plant;
 the flow of operations;
 the planning of work schedules; and
 other technical matters as the standardization of parts and the pre-
fixing of dimensions.
B) Robert Owen (1771–1858): the pioneer of personnel management. Between
1800 and 1828, he successfully put into practice social reforms to remedy the
evils that contemporary industry accepted as inevitable. Evils such as length
of working day and lack of welfare scheme for workers.
C) Charles Babbage (1791–1871): was among the first to advocate in relation
to industrial problems, the fundamental thinking which preceded the
formulation of the principles of management. His writings told little of the
art of management as actually practiced in the early nineteenth century,
but suggested the scientific or analytical approach to the problems of
manufacturing.
Management Evolution (1850–date): Important as the technical problems created
by the introduction of machinery, were the social and organizational problems,
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 which it brought in its train. Particularly, problems that had to be managed
during this period arose out of the following prevailing conditions:
• The evolution of the Trade Union System and the means of
negotiation in collective bargaining raised questions on the
adequacy of wages and working conditions.

• Financial administration made necessary by the increasing demand for

capital and the provision of finance for industry through the limited
liability principle came into prominence.
• Towards the close of the nineteenth century, the main problems were
beginning to concern the processes of marketing or distribution, to meet
the emerging competition of growing industrial countries in Europe and
elsewhere. In consequence, questions of the cost of production and of
estimating prices at which the products of industry will be sold profitably
were beginning to be of importance.
The pioneers in the field of management during this period included:

a) Fredrick Winslow Taylor (1856–1915): the Father of Scientific

Management, who researched into better methods of doing work. By

detailed analytical experiments,

• he investigated problems of industrial organization such as

relationship between a foreman and his work, and what constitutes
a “fair day’s work”.

• he measured the efficiency of workers to determine if they justify what

they earn. The Bonus System and functional incentive schemes were
among the assumptions he was associated with.

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 b) Henry Lawrence Gantt (1861–1919): His writings emphasized the
human interest. He is remembered chiefly as the inventor of the Gantt chart
for graphical planning. Gantt charts were employed on major infrastructure
projects, and continue to be an independent tool in project and construction
management.

c) Frank Bunker Gilbreth (1868–1924): The pioneer of motion study. He

researched chiefly into “the one best way to do work”. In 1912, he introduced
the science of micro motion study – the ultra-small basic elements of body
movements. Gilbreth discovered his vocation when as a young building
contractor; he sought ways to make bricklaying faster and easier.

d) Henri Fayol (1841–1925): He identified the processes that make up his

every day practice as a chief executive. Namely: forecasting; planning;
organizing; commanding; coordinating and controlling. He was the first to
analyze and specifically lay down a set of management principles; and the firm
advocate of the principle that management can, and should be taught.

e) Elton Mayo (1880–1949): The founder of human relations movement

and industrial sociology. He set out in 1954 to study the effects of lighting on
output famously referred to as the Hawthorne Studies. The term gets its
name from a factory called Hawthorne Works, where a series of experiments
on factory workers was carried out between 1924 and 1932. At the end of the
investigation, following changes in personnel, working conditions etc., it was
found that:

i. Human emotions could play havoc with the results of carefully

planned and controlled scientific experiments;

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 ii. Workers develop group attitudes, norms and values, so that they react

to management not as individuals, but as members of a group.

iii. The physical ability of the worker is of little significance in comparison

with social ability in determining the amount of work to be carried out.

iv. That non-economic reward has a significant role to play in motivating

workers. It emerged that social factors play a significant role in

determining worker productivity. Workers were not producing as much

as they are reasonably physically capable of producing. They were

producing amounts, which were socially acceptable to the group

involved in carrying out the work.

f) Hans Remold: His 1913 paper on Engineering Workshop Organization

described and enlightened management principles and methods, based upon

his firm. The company’s organization structure was based upon functional

specialization; a number of the younger staff were trained in management,

whilst monthly balance sheets and returns facilitated the preparation of the

annual stock-taking and yearly balance sheet within a few days. The

company’s procedures were efficient and he believed that “the working of an

efficient system requires men of fact and power to lead”.

g) Abraham Maslow (1908–1970): He introduced the needs theory which

was later developed Hertzberg. Maslow identified five set of goals, which he
termed as basic needs, which if unsatisfied tend to produce tension in the
individual. These needs are:
• Physiological needs
• Safety needs of protection
• Love needs of association, affection and belonging
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 • Esteem needs of ego, self-confidence, status and
reputation
• Self-actualization needs

h) Frederick Hertzberg (1923–2000): He further developed the study of

needs and showed that Maslow only tackled half of the problem.
Hertzberg’s major work – The Motivation to Work – shows a systematic
and realistic approach to analyzing the main motivators. His initial study
of people in an organization was of 200 engineers and accountants and
the analysis of the results showed two separate sets of factors causing
workers dissatisfaction and satisfaction.
i) Douglas McGregor (1906–1964): summarized the underlying assumption
of scientific management and in turn incentive schemes about human
nature and motivation in 1960, based on the pioneering work of Fredrick
Winslow Taylor, in what he called Theory X approach to management.
These assumptions are that:
• workers dislike work and avoid it if they can;
• because of this dislike of work, they need to be controlled, directed,
threatened and coerced with punishment in order to put them to
work towards the organizational objectives;
• workers like to be directed, like to avoid responsibilities, have little
ambition and above all, want security of employment.
Based on the pioneering work of Abraham Maslow, Douglas McGregor
developed also, the Theory Y approach to management. He assumed that:
i. the expenditure of physical and mental effort in work is as natural as
play or rest;
ii. external control and threat of punishment are not the only means of
bringing about efforts towards organization objectives. That man will
exercise self-control in the service of the objective to which he is
committed;

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 iii. commitment to objectives is a function of reward associated with
their achievement;
iv. the average human being learns under proper condition, not only to
accept, but to seek responsibility;
v. the capacity to exercise a relatively high degree of imagination,
ingenuity and creativity in the solution of organizational problems is
widely not narrowly distributed in the population; and
vi. under the condition of modern industrial life, the intellectual
potential of the average human being is partially utilized.

PRINCIPLES OF CONSTRUCTION MANAGEMENT: The principles of management

can be discussed under the following headings:
a) Productivity: improving the necessary methods for an increase in the

production of goods by the use of mechanical power. The celebrated James

Watt, of the steam-engine fame, became one of the earliest pioneers of such

development in his Soho Foundry. The foundry was laid out in such a way

that the flow of materials through the various processes was logically and

thoughtfully arranged.

b) Social Scientific aspect of Management: The growth of the trade union

system in the mid-nineteenth century meant that considerable attention be

given to wages and working conditions. The pioneers in personnel

administration of which Robert Owen and Charles Babbage were by far the

leading exponents, lived many generations before their principles including –

length of working days and welfare schemes and the scientific/analytical

approach to the problems of manufacturing, became generally accepted.

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 c) Financial Accounting: The rapid expansion of industry meant that more

attention had to be paid to the means of providing capital. With the principle

of limited liability being accepted legally and commercially, there arose a

need to assure those individuals providing the necessary capital that it was

not being misused.

d) Planning, Motivation and Efficiency: During the 1880s in the USA, the ‘Father

of Scientific Management’ Fredrick Winslow Taylor, commenced his

researches in the Midvale steel works, where he was a charge hand over

lathe operators. Soon, with his colleagues Lawrence Gantt and Frank Bunker

Gilbreth, he was to found a movement, which bore the title Scientific

Management. One of Taylor’s main preoccupations was concerned with

creating a mental revolution amongst both men and management in

industry. He believed that both sides of industry were far too concerned with

how the surplus moneys of the business were divided, when they should be

more concerned with how to increase the extent of the surplus. As a means

to increase the surplus, he advocated better planning and better motivation

to work with a proper and adequate use of incentive and bonus system. As

well as being concerned with proposals for a mental revolution, Taylor and

his associates Gantt and Gilbreth spent a considerable amount of time and

effort on the elaboration of techniques such as:

• the specification of job responsibilities;

• time and motion study;

• planning schedules; and

• other tools to aid the adequate planning and control of production.

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 e) Processes of Management: The basis of his analysis was that a management
process consisted of five areas – planning, organizing, commanding,
coordinating and controlling. Fayol was the first person to advocate what at
that time was considered to be a somewhat revolutionary thought, namely
that management principles could and should be taught.

f) Human Principles of Management: Simultaneously with Fayol’s display of

interest in the principles of management in France, Mary Follett, in the USA
was working on the many social and industrial problems of the time. She
presented a series of papers on the human principles of management.

THEORY OF CONSTRUCTION MANAGEMENT: Construction management is needed

to ensure the specialist actions needed to produce modern buildings and all parts
of the incredibly physical infrastructure can be undertaken efficiently and
effectively. According to Radosavljevic and Bennett (2012):
• construction management is at the center of both company and project
management.

• only well-run construction companies can undertake construction

projects efficiently and predictably.

A central assumption of the construction management theory is that projects need

to be well managed and companies need to be equally well managed.

Construction management involves challenges that result from the unique nature of

construction projects, which are as follows:

I) Construction projects require a bewildering range of:

a) Resources (4Ms)
b) Specialization – knowledge and skills

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 II) Construction projects have features similar to the products and
production processes, which characterize manufacturing and those, which
characterize project-based industries.
III) The physical characteristics of construction projects are as a result of:
a) many different technologies – sometimes depending on global
networks of organizations;
b) local industries;
c) construction companies;
d) building regulations and standards available locally and internationally.
IV) Construction projects have:
a) individual locations (no two sites are the same);
b) complexity (a system with many parts);
c) uncertainties (lots of risks)

PROCESS OF CONSTRUCTION MANAGEMENT: According to the ''PM4DEV'', Project

Management for Development Organizations, as noted in it, There are nine

significant management processes under Construction Project Management to be

implemented within role of the project manager.

The nine project management processes are:

a) Scope Management
b) Schedule Management

c) Budget Management
d) Quality Management
e) Team Management

f) Stakeholder Management
g) Information Management
h) Risk management

i) Contract Management

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 Above management process have divided into two groups:
a) Enabling processes

b) Facilitating processes
1) Enabling Processes: In the construction management process enabling process
include with project scope, schedule, budget and quality. Hence these are should
enable to direct some specific objectives of the project and for project success
within on time, cost, quality.

a) Scope Management: In Construction project management process; Scope

management is very critical for project success. Also project scope is the way
to illustrate the boundaries of the project. Hence project manager should
awareness concerning the scope of the project. Therefore project manager be
able to co-ordinate with designers to get update and control the project scope
and also acknowledge of project team, as well as the contractors about scope
of the work accordingly and should monitor and control work executions too.

b) Schedule Management: Schedule management is the development of a

project schedule that includes all project activities, hence project manager has
to stick on starting and completion dates of each trade packages as
programmed, and management team also has to monitor progress of
construction and forecast the completion date accordingly. If completion date
is not matching the master program, control process is required. As example;
assumed some work element unable to complete as programmed due to less
progressing or late in starting. If so, it will affect to other work sections too and
will delay accordingly. Therefore project manager should advice to allocate
additional resources to accelerate the delayed work section to complete it as
preprogrammed.

c) Budget Management: Budget management process is required to ensure the

project is completed within the estimated budget. Hence this is the vital
responsibility of the Construction Project Manager to handle and complete the
project within allocated budget of the project. As well as monitor and control
the cost of project at both pre & post contract stages are also important part
of this management process.

d) Quality Management: Quality management is the process to ensure that the

project will satisfy the needs of the beneficiaries. Hence project manager has
to monitor and control the quality of work and devlpolp the quality paln. also
he has to allocate experienced project coordinator to advice & force the
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 contractor to maintain the quality of work. Each work element should be
approved by a qualified quality controller or an Engineer prior to handover.
Also he has to check the quality of materials and should be strict to the
contractor to use standard materials for construction as specified in drawings
and specification to maintain the quality of work. Hence all materials should
be approved by a quality controlling team prior to use for construction

2) Facilitating Processes: This process includes with some specific function such as,
Team, stakeholder, information, risk, and contract management, these are
facilitating for assist and make possible for the project to achieve its objectives.
a) Team Management: Team management is a techniques, processes and tools
for organizing and coordinating a group of individuals working towards a
common goal, there are few critical factors for success of the team
management process, identify the roles & responsibilities, reporting
relationships and getting the people that will be allocate to the project,
develop the team. As well as team evaluation is very important part to identify
the staff performance and their skill level and required improvement.
b) Stakeholder Management: Stakeholder management include stakeholder
identify, analysis, planning and communication. Project stakeholders are very
important people for the project success, hence project manager has to
manage them in proper way, because of all of them interest to the project
success. As example donors, beneficiaries, local government organizations,
partners or organizations are the stakeholders of construction project. As well
as managing them keeping good relationship between stakeholders and
project.
c) Risk Management: Identification of possible risks in advance is important and
major responsibility of the Construction manager. The project management
team will be able to take necessary actions to avoid or minimize the risks by
identifying them early. Safety of work, Economic matters, Weather conditions,
political matters etc. also includes in risk management. Hence it is important
to take insurances for the construction, material on site, employees; third
party etc.

CHARACTERSTICS OF CONSTRUCTION MANAGEMENT: Following are the

characteristics of construction management project:

1) The project should have a specified target.

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 2) The project should be unique and cannot be replicated with the same task and
resources giving the same results.
3) The construction project should satisfy the owner’s requirement and
expectations from the project.
4) The construction project should not be a routine work, although there are
some aspects that are routine.
5) The construction project shall consists of a number of associated activities
contributing to the project as a whole.

6) The time limit for completion of project shall be defined.

7) The Construction project is complex and it involves a number of individuals
from different departments. So, right coordination shall be setup within
departments.

8) The project manager must be flexible to accommodate any change that might
occur during the project.
9) There are factors of uncertainty such as the performance of individuals, how
their skills adapt to unfamiliar work, and other unknown external influences.
10) The total cost of construction project shall be defined and project shall be
completed within the given budget.
11) The project should provide unique opportunities to acquire new skills.
12) The project gives impetus to the project manager to adapt to working under
changing circumstances, as the nature of the project is change.

13) There are risks with each step of the project, and the project manager should
manage those risks to reach the project goal.
14) The Client and Architect have direct access to all the subcontractors, their
costs and contracts.
15) The Contract is directly between the Client and the subcontractor giving
greater control.
16) The subcontractors for each package specialize in the scope of work for which
they are appointed.
17) The specialist subcontractors give far better quality of finishes and less
snagging.

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 18) Because the Contract is directly with the subcontractor, the Client pays the
subcontractor directly and so all the money goes to him without an
intermediary taking a cut.
19) The Construction Manager is employed as the Client’s representative and is
‘on his side of the fence’, giving the Client better control and protection.
20) Each package is competitively tendered and therefore the Client knows that
the cost of the project is the sum of the tendered subcontracts which gives
considerable cost benefits to the Client.

ADVANTAGES: Following are the advantages of construction management:

1. Provides for the lowest possible project cost and construction management
fees based on selecting the lowest bidder from each of over 30 different bid
divisions.
2. Represents the best possible mechanism for securing local contractors.
3. Allows for Sales Tax savings on directly secured materials when allowed.
4. Provides an advocate exclusive to the Owner by placing a construction
manager and expert on-site during all phases of construction. This will
provide for early dispute resolution and aggressive and fair change order
negotiations.
5. Eliminates any conflict of interest since the Construction Manager does not
perform design or trade contracting through its own workforce (we are truly in
a position to act as your advocate).
6. Promotes building design feedback during plan creation. This includes design
and building material suggestions as well as early and accurate estimates.
(The greatest majority of cost savings realized during a construction project
occur during the design phase.)
7. Provides the opportunity to “fast-track” and phase the project to get the
project in the ground before it freezes, while maintaining continuity with your
building representative.
8. Eliminates the mark-up of subcontractor’s initial bids and on change
orders. The administrative fees of a General Contractor are simply
transferred to the Construction Management firm.
9. Allows the Owner to select their construction representative based on the
firm’s expertise and compatibility rather than simply on price. The
Construction Manager establishes a fee which is not dependent upon final
project cost, but rather is based on manpower needs.

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 10. Generates additional revenue for the Owner since any cost savings realized
through the bidding process and any leftover funds in contingency and
general condition accounts are returned to the Owner at the end of the
project.

DISADVANTAGES: Following are the disadvantages of construction management:

1. Cost overhead can be more than many companies can afford. The hiring of
project managers and training a project management team can be difficult for
small companies and companies that are facing financial difficulties. Project
managers are rarely paid below $70,000 per year.
2. Communication overhead can be too much for a company to handle. With a
project management team, a new layer of communication has been added
into the fray. All information is generally funneled through the project
manager instead of information flowing directly between functional managers
and the team members.
3. Time overhead also is considered since there is no longer direct contact
between managers and team members. While all tasks are mapped out in
project management, a project manager can never accurately calculate the
time needed for each task. Delays are inevitable and then the project manager
is pushing the team to make up the time lost.
4. Obsession is becoming a problem among project managers and makes for a
stressful environment for all involved. Project managers can actually hinder a
project by becoming to rigid or precise in their project plans. The team
members no longer have a certain amount of flexibility.
5. Non-creativity can fall into two categories for project management: technical
and managerial. Technical non-creativity is when the project manager sets
strict deadlines on resources and forces the team members to work within
strict parameters. This hinders the creativity of the team members.
Managerial non-creativity is when the manager becomes lead by the
processes of management instead of being flexible. This causes their
managerial skills to weaken and they become stagnant in their position.

APPLICATIONS OF CPM & PERT IN CONSTRUCTION MANAGEMENT:

CPM and PERT in construction projects are the tools used for efficient
management of activities.

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 CPM is Critical Path Method and PERT is Program Evaluation and Review
Technique.

Critical Path Method: Critical Path Method (CPM) was first used during the
overhauling of a chemical plant in United States in the year 1950 by Morgan R.
Walker of DuPont and James E. Kelley, Jr. of Remington Rand. By using this
technique of activity management, they substantially reduced the time of
overhauling of the chemical plant.

Program Evaluation and Review Technique: Program Evaluation and Review

Technique (PERT) was first used in 1957 in United States for the design and

development of the Polaris missile. With the objective of meeting a specified

completion date for the project two years in advance of the earliest possible date

predicted by traditional planning methods the U.S. Naval dept. devised this new

technique.

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 CP
M
and
PER
T in
Con
struction Projects:
The difference between the CPM and PERT is that the PERT is mainly used where the
time required for completion of each of the activities involved cannot be accurately
defined nor are the resources to be used for the activity readily available. The events
could however be readily definable.

For example, for a construction project type, which have not been completed
anywhere in the past, when it is possible to say that with reasonable accuracy that an
activity “A” has to be completed before activity “B”, but the time required to complete
the activity “A” is not known or the completion time of activity “B” is uncertain, in that
case PERT technique is used.

This technique is based on the probabilities of completing each activity in time. The
time is not of much importance in this technique, and completion of each event is
taken care of. This technique is therefore most suited to projects like research and
development, investigation, design etc. Also PERT because of the large number of
calculations involved is essentially a computer-based system.

CPM technique is used in construction projects based on the knowledge and

experience of the past projects for predicting accurately the time required for

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 various activities during the execution of the project. Time required for each activity
is known and defined for the project.

Hierarchy of the construction project events are well defined and time of completion
of the same is also defined. The total time required for the given project can be
estimated based on this technique.

CPM is an activity oriented system as the times required for construction activities
are estimated more accurately. CPM is used where activities are definable and
measurable and minimum overall cost is of the utmost importance.

Most large projects can be portrayed by a graph or network of jobs.

Characteristics of construction projects: To make it amenable for analysis by PERT or

CPM is:
(a) The project must consist of a well-defined collection of jobs or activities which
when completed will mark the end of the project.

(b) The jobs must be such that they can be started or stopped independently of each
other within a given sequence, (e.g. certain continuous flow processes such as oil
refining, where jobs or operations must follow one after another with essentially no
time separation, are not amenable for analysis by PERT or CPM).

(c) The jobs are ordered i.e. they must be performed in Technological sequence (e.g.
the foundation of a wall must be completed before the wall can be built).

PERT and CPM are tools used for managing the construction project activities and if
followed thoroughly, the construction project can be completed within the time limit
and within the cost. But use of these tools does not guaranty the desired outcome
due to bad management problems, natural calamities, strikes by labors etc.

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 Howsoever good a tool may be, its success depends on how well the tool is used.
The CPM Network affords management with information for taking decisions and
focusing its attention to essential operations.

PROCEDURE FOR NUMBERING THE EVENTS USING FULKERSON'S RULE:

Step1: Number the start or initial event as 1.

Step2: From event 1, strike off all outgoing activities. This would have made one or
more events as initial events (event which do not have incoming activities). Number
that event as 2.
Step3: Repeat step 2 for event 2, event 3 and till the end event. The end event must
have the highest number.

Example: Draw a network for a house construction project. The sequence of

activities with their predecessors is given in the following table, below.
Sequence of Activities for House Construction Project

Network diagram representing house construction project.

The network diagram in the above figure shows the procedure relationship between
the activities. Activity A (preparation of house plan), has a start event 1 as well as an
ending event 2. Activity B (Construction of house) begins at event 2 and ends at
event 3.

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 The activity B cannot start until activity A has been completed. Activities C and D
cannot begin until activity B has been completed, but they can be performed
simultaneously. Similarly, activities E and F can start only after completion of
activities C and D respectively. Both activities E and F finish at the end of event 6.

Example: Consider the project given in the following table and construct a
network diagram.

Sequence of Activities for Building Construction Project

Solution: The activities C and D have a common predecessor A. The network
representation shown in Figure Network representing the Error violates the rule that
no two activities can begin and end at the same events. It appears as if activity B is a
predecessor of activity C, which is not the case. To construct the network in a logical
order, it is necessary to introduce a dummy activity as shown in Figure.

Network representing the Error

Correct representation of Network using Dummy Activity

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 Example: Construct a network for a project whose activities and their predecessor
relationship are given in Table.

Activity Sequence for a Project

Solution: The network diagram for the given problem is shown in Figure with
activities A, B and C starting simultaneously.

Network Diagram

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 Example: Draw a network diagram for a project given in Table.
Project Activity Sequence

Solution: An activity network diagram describing the project is shown in figure below:
Network Diagram

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 5. NETWORK ANALYSIS OF CPM:

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 PERT Basics:
At the core, PERT is all about management probabilities. Therefore, PERT involves in
many simple statistical methods as well.

Sometimes, people categorize and put PERT and CPM together. Although CPM
(Critical Path Method) shares some characteristics with PERT, PERT has a different
focus.

Same as most of other estimation techniques, PERT also breaks down the tasks into
detailed activities.

Then, a Gantt chart will be prepared illustrating the interdependencies among the
activities. Then, a network of activities and their interdependencies are drawn in an
illustrative manner.

In this map, a node represents each event. The activities are represented as arrows
and they are drawn from one event to another, based on the sequence.

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 Next, the Earliest Time (TE) and the Latest Time (TL) are figured for each activity and
identify the slack time for each activity.

When it comes to deriving the estimates, the PERT model takes a statistical route to
do that. We will cover more on this in the next two sections.

Following is an example PERT chart:

The Three Chances

There are three estimation times involved in PERT; Optimistic Time Estimate (TOPT),
Most Likely Time Estimate (TLIKELY), and Pessimistic Time Estimate (TPESS).

In PERT, these three estimate times are derived for each activity. This way, a range
of time is given for each activity with the most probable value, TLIKELY.

Following are further details on each estimate:

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 1. TOPT
This is the fastest time an activity can be completed. For this, the assumption is
made that all the necessary resources are available and all predecessor activities
are completed as planned.

2. TLIKELY
Most of the times, project managers are asked only to submit one estimate. In that
case, this is the estimate that goes to the upper management.

3. TPESS
This is the maximum time required to complete an activity. In this case, it is
assumed that many things go wrong related to the activity. A lot of rework and
resource unavailability are assumed when this estimation is derived.

The PERT Mathematics

BETA probability distribution is what works behind PERT. The expected completion
time (E) is calculated as below:

E = (TOPT + 4 x TLIEKLY + TPESS) / 6

At the same time, the possible variance (V) of the estimate is calculated as below:

V = (TPESS - TOPT)^2 / 6^2

Now, following is the process we follow with the two values:

 For every activity in the critical path, E and V are calculated.

 Then, the total of all Es are taken. This is the overall expected completion time
for the project.

 Now, the corresponding V is added to each activity of the critical path. This is
the variance for the entire project. This is done only for the activities in the
critical path as only the critical path activities can accelerate or delay the
project duration.

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  Then, standard deviation of the project is calculated. This equals to the square
root of the variance (V).

 Now, the normal probability distribution is used for calculating the project
completion time with the desired probability.

COMPUTERS IN CONSTRUCTION MANAGEMENT:

The management of construction projects is highly demanding and involves a wide a
range of tasks. It involves all managerial functions, forms of organisation, techniques
and tools and the range of duties expands with the complexity of the project, as
does the amount of data. Tools are needed to store and process the very large
amounts of information that can be accumulated and as a result various types of
software are available for managing construction projects.
The development of computer software for project management began with the idea
that mathematical, network-based analysis of large-scale projects could reduce time
and costs. In the late 1950s, techniques such as PERT (Programme Evaluation and
Review Technique) and CPM (Critical Path Method) provided a basis for the
computer-aided management of projects. Since then software tools have been
developed with greater and greater functionality.
Today, software can support project managers in all of their tasks:
 Coordination:
It cannot be assumed that effective communication process will exist in ‘temporary’
construction project organisations. The division of labour and responsibilities, as well
as the exchange of information and the workflow within in the project, must be
planned, implemented and controlled.
 Documentation:
The construction process has to be documented thoroughly and in real time. On the
one hand, records may be required for regulatory reasons and, on the other, they
are needed for monitoring, controlling and accounting construction processes.
 Control:
The identification of discrepancies between target and actual performance is
essential to target-oriented control. All processes need to be monitored within a
narrow timeframe to ensure effective corrective actions can be taken, in particular,
controlling quality, cost and programme.
Coordination, documentation and control are closely related, and project
management software tools have to take account of joint data uses, exchanging data
between the tools as well as with other applications, such as design

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 or tender software. Clear interfaces reduce unnecessary data collection and prevent
inconsistencies.

There is no completely comprehensive software tool available to deal with all the
tasks involved in project management, a suite of systems is usually needed:
 Scheduling Software:
Construction scheduling software is used to plan, monitor and control project
progress. Buffers and the corresponding critical path can be calculated based on
process durations, deadlines and relationships and appropriate resources can
be assigned. The results are usually displayed in the form of a Gantt chart, network
plan or list. By entering current data, the user is able to automatically generate
appropriate target-performance comparisons.
 Project Communication System:
Project communication systems support the coordination of a construction project
by providing a joint platform to all project members for collaboration
and information exchange. Usually, the platforms are internet-based and data

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 access can be governed by different user authorisations and privileges. The range of
functions varies greatly. Some platforms simply provide a common data store whilst
others provide comprehensive media and workflow support.
 Digital Construction Diary:
Digital construction diaries range from simple templates for word processors, to
internet-based systems with complex data structures. By integrating media such as
photo documentation, the cogency of the construction diary can be increased.
Pictures can prove especially useful to remote project team members.
 Cost Control Software:
Cost control software is based on capacity planning methods. Resources are
assessed according to cost information, such as the charge-out rates
for workers and equipment. By linking to the
project’s accounting software, budget figures can be compared with actual figures. In
addition, reports can be generated automatically presenting a visualisation of the
processed data.
The text in this article is based on an extract from COMPUTER METHODS IN
CONSTRUCTION, by Christoph Motzko, Florian Binder, Matthias Bergmann, Bogdan
Zieliski, Mariusz Zabielski and Robert Gajewski. Darmstadt, Warsaw 2011. The
original manual was developed within the scope of the LdV program, project
number: 2009-1-PL1-LEO05-05016 entitled “Common Learning Outcomes for
European Managers in Construction”. It is reproduced here in a slightly modified
form with the kind permission of the Chartered Institute of Building.

CONCLUSION:

Every construction project of any significance these days involves an ever-increasing

spectrum of individual professional and trade skills. Consequently, a project can only
be achieved satisfactorily through a comfortable working relationship between very
many people, with many different personal or collective objectives. In this brief
paper I have endeavored to present an overview of project management as a
modern approach designed to withstand the vicissitudes of such pressures.

Today's owner who adopts the project management approach to establish a new
facility, finds that he avoids becoming directly involved with the time-consuming
design and construction details. Instead, the approach enables him to continue to
concentrate on his primary on-going profit-making business.

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 With the exception of certain legally specified ecological resources,
such as endangered or threatened species and protected wetlands,
there is no social or scientific consensus on which ecological resources
affected by roads should be given priority attention. In addition, current
planning assessments that focus on transportation needs rarely
integrate other land-management objectives in their assessments.

Recommendation: A process should be established to identify and

evaluate ecological assets that warrant greater protection. This process
would require consideration not only of the scientific questions but also
of the socioeconomic issues. The Administration should consider
amending its technical guidance, policies, and regulations based on the
results of such studies.

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 DISSERTATION REPORT

CONSTRUCTION MANAGEMENT

SHREE BANKEY BIHARI INSTITUTE OF ARCHITECTURE

SESSION 2016- 2017

SUBMITTED BY: DISSERTATION GUIDE:

ABHAY MALIK ER. PIYUSH GUPTA

1372981001 AR. UMESH KUMAR

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