Ayushi arora

Section B
GCAD/15/209

CONSTRUCTION MANAGEMENT
SEMESTER - 9

Question 1- What do you understand by Construction Management? Discuss historical

evolution of construction management.

Construction management is the process of planning, coordinating and providing monitoring and
controlling of a construction project. This style of project management is designed for the, as the
name implies, construction industry. There are few types of construction that use construction
management, they are industrial, civil, commercial, environmental and residential.

Design Stage, Pre-construction, Procurement, Design and completion are five stages.

A construction manager will supervise and manage contractors and laborers at construction sites.
Often they meet with architects, specialized trade employees, and civil engineers on projects or
upcoming builds. They must address emergencies, work delays, or other problems that affect
the construction project.

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 when minimalism came up and
people needed different and rapid growth.

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.

the 60s saw very high rates of inflation in the economy ---- the highest seen in America up until then
except during war time ---- and the cost of money began to soar in the credit markets.

Since the bearers of the bad news, in the form of unexpectedly high bids or unexpected and large
contractor initiated change orders, were the general contractors, many saw the general contractor as
the guilty party. Partially as a result, the idea began to be floated of a professional construction
manager, envisioned then as an entity which would replace the general contractor and be fee
compensated, though in some cases with time and cost control incentives.

the idea was that the professional construction manager would buy out the project competitively
from trade (“sub”) contractors and building product manufacturers. These contracts would be
between the owner and the respective trade contractor or supplier with the construction manager
designated in those contracts as the owner’s representative. If there needed to be early awards of
certain of the trade contracts or long lead procurements before the final design was completed, they
would be awarded in a similar fashion.

That was the first time to knowledge that the term “Program Management” was used for
“Construction Program Management”, and it meant representing the owner and dealing with the
whole pre-design, design and construction process in order to advance and protect the interests of
the owner. That is the way my colleagues and still use the term as do many other program
management service providers and owners.
Question 2- Define project in Construction Management? How Project management
differs from construction management. Discuss the role of construction industry in
developed India.

Project is construction management is defined as the beginning of a project with operation, with
bidding etc. And then going on to the completion of it with specific area such as hospitals, schools or
real estate.

1. Construction managers will manage only the construction portion of the product. The CM is
an expert in building trades including electrical, carpentry, plumbing and general
construction. They oversee day-to-day operations from pre-construction through the project
punch list. Essentially, a CM is a project manager with a specific area of knowledge.

2. A construction manager is involved in personnel management at the construction site. The

CM will ensure that materials are delivered on time, that tools are available and that
resources are properly allocated.

3. A project manager runs all aspects of the real estate project. This includes everything from
the initial planning, site selection and analysis, design, procurement, construction and the
physical move.

4. Because the PM is responsible for the project budget and schedule, it is beneficial to have
an independent resource. The PM will be keenly aware of anything that will extend the
project schedule and inflate the project budget and aims to mitigate those risks.

5. A project manager is brought on at the inception of a real estate project and therefore has a
comprehensive understanding of the client’s goals. A project manager works very closely
with the client to gain a comprehensive understanding of all aspects of the real estate
project.

More than knowing what the client needs out of their physical space, a project manager
has the knowledge from the client to understand the specific needs so that the end result is
precisely what the client wants.

6. The main difference is the level of authority. A CM oversees all construction activities. A PM
supervises the CM. The project manager has greater responsibility to the project, as he/she
oversees more than the construction process.

Construction industry of India is an important indicator of the development as it creates investment

opportunities across various related sectors. The construction industry has contributed an
estimated US$ 3000 billion to the national GDP(PPP) in 2011-12 (a share of around 19%). The industry
is fragmented, with a handful of major companies involved in the construction activities across all
segments; medium-sized companies specializing in niche activities; and small and medium contractors
who work on the subcontractor basis and carry out the work in the field. In 2011, there were slightly
over 500 construction equipment manufacturing companies in all of India.

government undertaking to meet go abroad economic objectives such as price stability,high

employment and sustainable growth,such efforts include financial and economic policies,regulations
of financial industry trade and tax policies.

The Indian economy has witnessed considerable progress in the past few decades. Most of the
infrastructure development sectors moved forward, but not to the required extent of increasing
growth rate up to the tune of 8 to 10 per cent. The Union Government has underlined the
requirements of the construction industry.

With the present emphasis on creating physical infrastructure, massive investment is planned in this
sector. The Planning Commission has estimated that investment requirement in infrastructure to the
tune of about ₹ 14,500 billion or US$320 billion during the 11th Five Year Plan period.

This is a requirement of an immense magnitude. Budgetary sources cannot raise this much resources.
Public Private Partnerships (PPP) approach is best suited for finding the resources. Better is required
for optimizing resources and maximizing productivity and efficiency.