Construction Management

Practice
Implications of the
Theory of Construction
Management

Customers
Ideally customers employ
a Total Construction Service company
specialising in
the type of facility they need
Where such a company is available
they should work with the companys
established systems

Customers when no Total Construction

Service company is available
Appoint the project manager
Brief which fully describes the new
facility and identifies the constraints
Identify key objectives in terms which
allow performance to be measured
Key decision is use an established
design or an original design

Customers when no Total Construction

Service company is available
Decide how far customer wants to be
involved in decisions

Key decision is contract with a single

construction company or multiple
companies

Customers when no Total Construction

Service company is available
Be prepared to invest in actions which
reduce inherent difficulty
Define agreed objectives with
construction companies being
considered
Calculate IDIs for the construction
management options

Customers when no Total Construction

Service company is available
Select appropriate construction
management strategy
Select key construction companies to
put construction management
strategy into effect
Review and finalise agreed objectives
Agree fair contracts

Customers when no Total Construction

Service company is available
Ensure controls are in place to ensure
performance in terms of agreed
objectives is measured and action
taken on any failures or problems
Particularly check that each
construction company remains
committed to the projects efficiency

Construction Management Propositions

relevant to Customers for one off Projects

Reduce the number of teams involved

Improve the quality of relationships
Reduce performance variability
Reduce external interference
plus

Construction Management Propositions

relevant to Customers for one off Projects
Select teams competent in the technologies
required by the project
Ensure teams accept the agreed objectives
Ensure teams are motivated to achieve
agreed objectives
Foster accurate communications between
teams
Minimise the effort needed to achieve
accurate communications between teams

Construction Management Propositions

relevant to Customers for one off Projects
Minimise the length and intensity of
negotiations over the transactions which
bring teams into the project organization
Ensure teams regard the transactions as
advantageous to themselves
Minimise the resources teams devote to
improving the terms of the transactions
which brought them into the project
organization

Construction Management Propositions

relevant to Customers for one off Projects
Ensure their organization collects, reviews
and acts on feedback about the effects of its
action on its objectives

Construction Programmes
Customers should organize their projects
into programmes whenever possible
Set tough targets for performance
improvements
Then build long-term relationships with
selected construction companies
Encourage construction companies to
build effective relationships

Construction Programmes
Projects must be similar so the same
construction companies can undertake them
Can be individually designed but use similar
technologies
Coordinate start and completion dates so
construction teams build experience
Encourage the development of a Total
Construction Service

Construction Management Propositions most

relevant to Customers setting up
Construction Programmes
Satisfy the requirements of local or specialised
markets to ensure companys survival
Develop teams with well developed skills and
knowledge which match the requirements of
projects
Develop teams integrated by established
relationships
Improve the quality of support provided to
teams by their companies

Construction Management Propositions

most relevant to Customers setting up
Construction Programmes
Foster innovations which match the
requirements of projects
Ensure the use of effective information
systems
Establish values which run consistently
throughout their organization
Ensure their organization acts in ways which
are intended and authorised

Construction Management Propositions most

relevant to Customers setting up
Construction Programmes
Ensure communications are effective and
result in common understandings
Ensure transactions are agreed with
minimum effort, accepted as fair, foster
established relationships, and are acted on in
the spirit in which they were agreed
Ensure their organization forms established
relationships with other organizations

Construction Management Propositions

most relevant to Customers setting up
Construction Programmes

Ensure their organization collects, reviews

and acts on feedback about the effects of
established norms and procedures

Construction Companies
Implication of the
Theory of
Construction Management

Construction Companies
Think and plan long-term
Meet local demand efficiently
Relentlessly search for improved
performance year on year
R&D, testing and evaluation for big
steps forward

Construction Management Propositions

relevant to all Construction Companies
Satisfy the requirements of local or specialised
markets to ensure companys survival
Develop teams with well developed skills and
knowledge which match the requirements of
projects
Develop teams integrated by established
relationships
Improve the quality of support provided to
teams by their companies

Construction Management Propositions

relevant to all Construction Companies
Foster innovations which match the
requirements of projects
Ensure their organization collects, reviews
and acts on feedback about the effects of
established norms and procedures

Construction Company Strategies

Produce complete facilities or
specialise in selected activities
Direct contracts with customers or
act as subcontractors
Prefabricated standardised
components or one off design
details

Total Construction Service Companies

Medium size companies concentrate
on a specific type of facilities
Large companies are competent at a
number of distinct types of facilities
Mega companies aim to construct a
wide range of facilities

Total Construction Service Companies

Marketing
Products based on a deep
understanding of customers needs
Products deliver value to customers
Benefits for facilities management
Convenient financial packages
Actively monitor and develop the
companys reputation

Total Construction Service Companies

Core Team for Project Organizations
Led by project manager who is primary
point of contact for customer
Includes specialists in all issue
important to the customer
Manages all stages of project
Evaluates the projects physical,
political, economic and social
environments

Total Construction Service Companies

Internal Organization for Projects
Construction teams have clearly defined
tasks with fixed start and completion dates
Norms include effective quality and safety
controls
Teams trained to have broad skills so they
manage their own work
Teams trained to identify improvements to
their products and methods

Total Construction Service Companies

Relationships
Effective cooperative relationships are
systematically developed and sustained:

Between construction teams

Between the company and its teams
With other construction companies
With customers

Total Construction Service Companies

Long-Term Development
In addition to steady, systematic
improvements to mainstream products
and methods, companies:
Encourage staff to identify new ideas
Invest in R&D
Undertake tests and trials of promising
new products and methods

Specialist Companies

Ensure customers understand companys role

Cooperate in agreeing project objectives
Work to design and plan
Use well established technologies and
methods
Foster cooperative relationships
Aim to improve own efficiency
Actively search for improvements

Construction Management Propositions for

Construction Companys work on Projects

Reduce the number of teams

involved
Improve the quality of relationships
Reduce performance variability
Reduce external interference

Construction Management Propositions for

Construction Companys work on Projects
Select teams competent in the technologies
required by the project
Ensure teams accept the agreed objectives
Ensure teams are motivated to achieve
agreed objectives
Foster accurate communications between
teams
Minimise the effort needed to achieve
accurate communications between teams

Construction Management Propositions for

Construction Companys work on Projects
Minimise the length and intensity of
negotiations over the transactions which
bring teams into the project organization
Ensure teams regard the transactions as
advantageous to themselves
Minimise the resources teams devote to
improving the terms of the transactions
which brought them into the project
organization

Construction Management Propositions for

Construction Companys work on Projects
Ensure their organization collects, reviews
and acts on feedback about the effects of its
action on its objectives