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Republic of the Philippines

EASTERN VISAYAS STATE UNIVERSITY
Tacloban City

CONSTRUCTION
PROJECT
MANAGEMENT

Prepared and Compiled by:

DANILO B. PULMA, D.M.

(for internal use only)

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OVERVIEW
A. The Engineer

The efforts of an engineer or architect, who designs a project, the construction engineer and
the constructor, who builds the project, are directed toward the same goal, namely, the creation of
something which will serve the purpose for which it is built in a satisfactory manner.
When the prospective owner of a project under consideration recognizes a need for the
project, he usually employs an engineer or an architect to make a study to determine whether the
project is justified. If the study indicates that it is justified, an engineer will be engaged to prepare
the plans and specifications and usually to supervise the construction of the project. It is the duty
of the engineer to design that project which will most nearly satisfy the needs of the owner at the
lowest practical cost. The engineer should study every major item to determine if it is possible to
reduce the cost without unduly reducing the service, which the project will furnish. It may be
possible to change the design, modify the requirements for construction, or revise portions of the
specifications in such a manner that the cost of the project will be reduced without sacrificing its
essential value. An engineer who practices this philosophy is rendering a real service to his client.
Thus, it seems evident that an engineer should be reasonably familiar with construction methods
and costs if he is to design a project that is to be constructed at the lowest practical cost.

B. The Construction Industry

The construction industry is a vital and fundamental sector of the economy and an
essential contributor to a nation’s wealth and progress. First, it provides the basic physical,
industrial, commercial, and social infrastructure facilities necessary for the development and
growth of other equally important major economic sectors, such as agriculture, manufacturing,
and services. Second, the successful implementation of infrastructure programs heavily depends
on the existence of an effective and resourceful construction industry. Third, since most, if not all,
of capital investment projects entail construction works, the industry is “generally the source of
more than half of a nation’s wealth in terms of fixed assets so that poor time and cost
performance inevitably reverberates throughout the economy”. Fourth, the industry provides the
means by which human society’s basic needs are met, and living conditions are improved.
Aside from the above mentioned macroeconomic significance of construction, the
industry’s operations, through actual construction and building activities, directly and
substantially contribute to total domestic production, and consequently, to national income.
Construction work brings about increases in the activities of the manufacturing sector for the
necessary inputs such as building materials and equipment (backward linkages). The industry’s
outputs, which consist of the facilities and infrastructure built, make it possible for sectors such as
agriculture, manufacturing, real estate, tourism, transportation, and communication, among other
sectors in need of construction services, to produce and deliver the goods and services required of
them (forward linkages) and provide the stimulus for other business activities (multiplier effect).
The construction industry likewise contributes significantly to employment generation. Last but
not least, the construction industry, in countries where contractors are venturing into the overseas
construction market, also account for a considerable portion of export services and foreign exchange
generation.

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C. Scope of the Construction Industry

The dictionary defines construction as “the act, process, or manner of building, constructing, or
forming something which requires the application of special engineering and/or architectural knowledge
and skills and involving the use of specialized building trades or crafts.” This definition is broad enough to
cover a wide range of services including professional services, specialist work and various trades and
activities. Thus, the scope of the industry’s services includes the following:

*Preliminary studies - Conduct of pre-feasibility/feasibility or preliminary engineering studies to

determine technical viability of the project and its conformity to land use and
zoning guidelines prescribed by law

*Detailed engineering - Conduct of surveys (all necessary field surveys which may include aerial,
hydrographic, topographic, sub-surface, monumenting and other surveys);
conduct of investigations (site, foundation, soils & materials); preparation of
design (architectural, structural, electrical, & mechanical designs and design
standards); preparation of plans, specifications, and drawings; quantity and cost
estimating; program of work preparation; and preparation of bid/tender
documents

*Actual construction - Execution of all on-site work for construction projects from land clearance
through completion, including erection of the structure/facility, extensions,
expansions, alterations, repairs, maintenance and retrofitting, rehabilitation,
and/or improvements thereon; services also include the assembly, fabrication,
and installation of project components and/or equipment as well as the
demolition or dismantling of an existing structure

*Management - Project and construction planning, organizing, supervising, directing, and

controlling from design to completion of construction; also includes contract
administration

*Consultancy - Advisory and other professional services for special or highly technical aspects
of a project; these services may be required at the preliminary or design stages
of a project up to its completion.

D. Classifications/Types of Construction Projects

The complex nature of construction, in general, arises from the large volume and variety of specialist work,
building trades and activities. Basically, however, these complexities spring from the type of project to be
undertaken. While construction may be classified in different ways (e.g., services, work items or activities,
trades, etc.), the most common classification system is based on project types. Following is a general
breakdown of construction based on “fairly conventional usage”

1.0 BUILDING CONSTRUCTION

Residential Construction
Individual Units Multiple Units
* Detached * Apartments
* Semi-detached *Condominiums
* Duplex
* Triplex
* Rowhouse
* Townhouse

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Commercial Construction
Single Storey Low-Rise High-Rise
*Stores *Restaurants *Shopping Centers/Malls
*Showrooms *Recreational *Service Centers
*Offices * Hotels/Motels *Department Stores
*Theaters *Service Stations *Combination of any of the
above
Industrial Construction
Single Storey Multi-Story/Loft Building
*Manufacturing *Low-Rise
*Warehouse *High-Rise
Institutional Construction
*Schools *Religious Institutions
*Hospitals *Penal Institutions
*Special Government Buildings

2.0 HEAVY CONSTRUCTION

Transportation
*Marine (ports/harbors) *Railroads
*Airport *Monorails
*Roads *Tunnels
*Bridges (overpass/underpass) *Conveyors
*Vertical (elevators/escalators)
Power
*Hydroelectric *Geothermal
*Thermal *Solar
*Nuclear (fision/fusion) *Wind
*Biomass Pyrolysis *Tidal
Resource Management
*Mining/Metallurgy *Land Reclamation
*Petrochemicals *Forestry
*Natural Gas *Fisheries
*Irrigation
Utilities
Urban Rural
*Water *Gas
*Sewer *Electricity and Communications
Special Projects
*Sports Complex
*Towers
*Other unclassified Projects

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CONSTRUCTION PROJECT, PROJECT

MANAGEMENT & THE PROJECT
MANAGER

A. Definition and Attributes of a Project

1. Definition of a Project:
• A specific finite task to be accomplished.
• Is a non-routine, non-repetitive, one-off undertaking, normally with discrete time,
financial and technical performance goals.
• Is an endeavor to accomplish a specific objective through a unique set of interrelated
tasks and the effective utilization of resources.
• Is a temporary endeavor undertaken to create a unique product or service. (PMI)

 Temporary means that every project has a definite beginning and a

definite end.
 Unique in the sense that it is something which has not been done before
considering that the project undertaken has a definite owner, different
design, different location, different contractors, etc.

2. Attributes of a Project:

a.) Purpose – A project has a well-defined target or objective. Its objective is

usually defined in terms of scope, schedule and cost. It also
includes the accomplishment of the work scope in a quality
manner and to the customer’s satisfaction.

Suggest
Project Project

observation

Environment

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b.) Life Cycle – A project has a specific time frame or a finite life span. When
the duration of the project is plotted against its cost, it result is a typical s-
curve as shown below.

S-CURVE

0.8

0.6
ST
0.4
O
C
0.2

0
0.2 0.4 0.6 0.08 1

TIME

0.5

0.4
QUANTITY

0.3

0.2

0.1

0
0.2 0.4 0.6 0.8 1

TIME

c.) Uniqueness – A project may be unique or one-time endeavor. Some projects

are considered unique because they have never before been attempted. Other
projects such as developing a new house or new building are unique because
of the customization required.

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Resources
d) Interdependence
Organization

A project can only be achieved thru the utilization of various resources. Such
resources can include different people (workers), money, equipments (machines and
methods), materials and the organizations together with its facilities.

money worke
rs

management

computer

Machines and materials

methods

e.) Conflict persons

objectives differences
organizations

Related Endeavors:
Programs – a group of projects managed in a coordinated way to obtain benefits not
available from managing them individually.

Sub-Projects – is the result of subdividing a Project into a more manageable components.

B. Construction Project Life Cycle and Stages

The construction business, in general, operates on a project-to-project basis. Each project,
regardless of type, size, and complexity, follow a fairly common life cycle. As the project moves through
its life cycle, different organizations, individuals and resources play dominant roles. The five stages of a
construction project are as follows:

BRIEFING – This is the stage where the project owner specifies/defines his requirements, the
functions of the project, and permissible costs so that the designers/consultants can
correctly interpret his wishes and provide estimates of project cost. It is also during this
stage, that the owner of a civil engineering project examines alternatives and decides on

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the basis of studies/investigations conducted on the technical and economic feasibility of

the project.
DESIGNING - It is here where the work is designed in detail. The methods of construction are
determined, bills of quantities and/or cost estimates are prepared, working drawings and
specifications are drawn up, and all necessary information and arrangements are
completed for obtaining tenders. The detailed engineering work, however, actually
extends beyond the tendering stage since the design and estimates are reviewed, verified,
and corrected, if necessary, during actual construction. This extension of the designing
stage into the actual construction process is a distinct phase under the construction life
cycle and is called the “detailed engineering and actual construction overlap.”

TENDERING – In this stage, prospective bidders are pre-qualified for tender, bids/bid proposals
are obtained from pre-qualified contractors for site construction work and, after
evaluation, the contract (or separate contracts, as the case may be) is awarded.

CONSTRUCTING - The general objective at this stage is to undertake and complete the
construction works within the agreed limits of cost and time, and in accordance with
quality specifications and construction safety.

COMMISSIONING - This stage entails the testing of the engineering performance and safety of
the whole project, searching for non-operational defects (such as those affecting
appearance only), remedying all deficiencies, preparing “as-built” drawings and other
records needed in the close-out activity. This phase should include obtaining feedback
from the customer to determine the level of the customer’s satisfaction and whether the
project met the customer’s expectations.

C. Project Management and its Relationship To Other Management Disciplines

Construction Management – it is an arrangement where by the task of planning,
designing, and constructing may be integrated by a project team comprising the
owner, the designer, consultants and the contractor working together at the
construction stage of the project with the common objective of best serving the
owner’s interest.

Project Management – it is the overall planning, control and coordination of the project
from inception to completion aimed at meeting a clients requirements and
insuring completion on time, within cost and to required quality standards.

According to the Project Management Institute (PMI):

PM – is the application of knowledge, skills, tools and techniques to project activities in

order to meet or exceed stockholder needs and expectations from a project. The
term Project Management is sometimes used to describe an organizational
approach to the management of an operation.

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B. Relationship of Project Management to other Management Disciplines

The Project Management

Body of Knowledge

Generally Accepted
Project Management
Knowledge and Practice

Application Area
General Management
Knowledge and
Knowledge and Practice
Practice

C. Role of Project Manager

The project manager is the leader of the project team. His role is to ensure that the project is
completed within the specified time, budget and to accomplish the needs and expectations of the client. To
be successful, the PM must achieve the end results despite the risks and problems involved. To succeed, he
must execute the required tasks in logical sequence. His roles in the five functions of management are
summarized below.
1. PM’s Role in Planning
a) Develop a plan that is focused on the work to be done.
b) Establish the project objectives and goals early and ensure everyone knows what is required
of him.
c) Involve all concerned managers and staff in the planning and estimating process.
d) Established clear and well-defined milestone so that all concerned will know what exactly is
to be accomplished and when it is going to be completed.
e) Build adequate contingencies into the plan to provide a reserve in schedule in case future
problems arise.
f) Do not completely re-program or replan the project unless absolutely necessary.
g) Whenever there is a change in the project, prepare the agreement with the concerned parties.
h) Disseminate the project plan to clarify individual responsibilities, schedules and budgets.
i) The best prepared plans are worthless unless implemented.

2. PM’s Role in Organizing

a) Organize the work around the task to be accomplished.
b) Develop a work breakdown structure that divides the work into well defined measurable
units of work.
c) Structure the project organization for each project to show who does what.

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d) Define clearly the authority and responsibility for all members of the project team.

3. PM’s Role in Staffing

a) Define clearly the work to be performed and ensure that the correct skills are selected.
b) Orient the team members in the project goals and objectives at the beginning of the project.
c) Explain to the team members what are expected of them and their contribution to the total
effort.
d) Encourage each member of the team to inquire upon and resolve all questions pertaining to
scope, budget, schedule and safety.

4. PM’s Role in Directing

a) Serve as an effective leader in coordinating all important aspects of the project.
b) Show interest and enthusiasm in the project and strive to exude confidence by projecting
confidence in a “can do” attitude.
c) Be available to the project staff and get the problems out in the open and solve the problems
in cooperation with them.
d) Analyze and investigate problems early so that early solutions can be found.
e) Obtain the resources needed by the project team members to accomplish their work
satisfactorily.
f) Recognize the importance of the work that each team member performs. Correct their
mistakes in a constructive way, and build an effective team.

5. PM’s Role in Controlling

a) Maintain a record of planned and actual work accomplishment to measure project
performance.
b) Maintain a correct milestone chart that displays planned and milestone reached.
c) Maintain a monthly project cost chart which displays planned versus actual expenditures.
d) Keep records of meetings, telephone conversations and agreements.
e) Keep everybody informed on the “:need to know” basis. Ensure that no one gets any
“surprises.”

ASSIGNMENT:

1. Using your favorite web search engine, (Yahoo, Lycos, etc.) do a search for “project management.”
How many sites did you find?

2. Explore at least three of the links that your search produced. Describe in general, what each of those
sites contained.

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3. Check out the web site for the Project Management Institute (PMI). After exploring the site, describe
briefly the PMI’s membership information. Is there a chapter in the Philippines? Check out the details
on PMI’s upcoming annual seminar. Where is this event going to take place? When?

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