SBM 3206 Project Management Fundamentals and Practices

Group Assignment

Case Study
SMART Construction is a reliable company in building construction projects in Sydney. It has
been active in construction for the last 20 years. The main aim of the company is to provide
high quality and luxurious construction buildings that fulfil the needs of the customers.
Recently the company signed a contract for constructing a building for Asia Pacific
International College (APIC), Sydney.

CONTRACT
PARTIES Customer/Client: APIC Company: SMART Construction
SMART Construction CEO: Mr Bob Smithes
The building should be completed in 268 days otherwise the contractor will be panelised
AU$200 for each day late. Alternatively, will be rewarded with AU$150 for each day before the
dead line day.

BUILDING SPECIFICATIONS
The building area is 700 square meters with basement, ground level and first level. This
building is mainly designed for administration, dean office, and staff offices. The basement
includes the car parks, storage rooms and building facilities room, the ground level includes
the administration office, reception room, and three meeting rooms. The first level includes the
dean room and the staff rooms.

NORMAL CONDITIONS OF SMART CONSTRUCTION ORGANISATION

Working hours 8am to 12pm, 1pm to 5pm
Working days seven days per week (Monday, Tuesday, Wednesday, Thursday, Friday,
Saturday, and Sunday)
Working on Christmas time (no holidays over Christmas)

LIMITS AND EXCLUSIONS

1. The building will be built to the specifications and design of the original blueprints provided
by the customer (APIC).
2. Owner responsible for landscaping.
3. Refrigerator is not included among kitchen appliances.
4. Air conditioning is not included but prewiring is included.
5. Contractor reserves the right to contract out services.
6. Contractor responsible for subcontracted work.
7. Site work limited to Monday through Friday, 8:00 A.M. to 5:00 P.M.

Table 1: COST PLAN

Main Resources Costs AU$
Plumbing material 15,000
Concrete rods 20,000
paint 15,000
Flooring material 25,000
Electrical equipment 15,000
Glass windows 15,000
Woods 15,000
cement 20,000
bricks 15,000
Labour 30,000
Construction project managers 15% labour
Administration and office work 10% total direct cost
Advertisement, signs and marketing
Total Cost ??

Table 2: PART OF THE MAIN BUILDING DELIVERABLES AND ACTIVITIES

ORGANISATIONAL BRAKEDOWN STRUCTURE (OBS)
Unit Project A- Due Date for submission WK 7
Required tasks to be accomplished:
1- Develop Project Charter
Hint: For the project charter, use the template presented in the class and create
similar one for your project. List and describe each element and create graph or table
illustrates the project charter
2- Establish Work Breakdown Structure WBS (consider table 3, the main building
deliverables and activities) (do it in cardboard)
Hint: APIC-A Approval is main deliverable, the tasks under are the activities (work
packages)
Hint: do not include Milestone in your WBS
3- Establish initial cost estimating
Hint: For the initial cost estimating, use the cost plan table attached in your
assignment, follow what you have learned in the class, and calculate the total cost
Remember total cost equals all costs (direct that is labourer, machines,
materials...etc. and direct overhead cost such as project manager…etc. and the
indirect cost such as general administration for example marketing,
advertisements…etc.)
Unit Project B- Due Date for submission WK 10
4- Integrate WBS and organisational breakdown structure OBS (see the OBS)
Hint: use the names in the OBS as main people when integrating WBS with OBS
Question: What is the closing date of the project (Early start)?

5- Develop Network Plan (do it on cardboard)

Hint: use only the work packages in WBS
Hint: only show the milestone, but remember it does not have duration, see the
example bellow
Question: Which path is the critical path? identify activities on this path.

6- Establish and calculate detailed cost estimation for each main deliverable and activity
in the WBS Hint: Use the total cost that you calculated from table 1, and then use
cost percentages in table 2.

7- For the main deliverable Walls and Roof, develop schedule resource plan
considering that only three labourers are available each day staring from the first day
the first activity (C10) under this main deliverable until the end of the last activity
(C40) under this main deliverable finishes.