NAME:

UMANG ARORA
ROLL NO:
13001006076

ASSIGNMENT1
Construction Project 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. The purpose of CM is to control a project's time, cost and quality.
CM is compatible with all project delivery systems,[2] including design-
bid-build, design-build, CM At-Risk and Public Private Partnerships.
Professional construction managers may be reserved for lengthy, large-
scale, high budget undertakings (commercial real estate, transportation
infrastructure, industrial facilities, and military infrastructure), called
capital projects.

PROJECT
A project may also be a set of interrelated tasks to be executed over a
fixed period and within certain cost and other limitations.[2]
It may be a temporary (rather than permanent) social systems as work
systems that is constituted by teams within or across organizations to
accomplish particular tasks under time constraints. A project may be a
part of a wider programme management
The word project comes from the Latin word projectum from the Latin
verb proicere, "before an action" which in turn comes from pro-, which
denotes precedence, something that comes before something else in
time (paralleling the Greek πρό) and iacere, "to do". The word "project"
thus originally meant "before an action".
When the English language initially adopted the word, it referred to a
plan of something, not to the act of actually carrying this plan out.
Something performed in accordance with a project became known as an
"object". Every project has certain phases of development.
Formal definition in the project management realm
A project consists of a concrete and organized effort motivated by a
perceived opportunity when facing a problem, a need, a desire or a
source of discomfort (e.g., lack of proper ventilation in a building). It
seeks the realization of a unique and innovative deliverable, such as a
product, a service, a process, or in some cases, a scientific research.
Each project has a beginning and an end, and as such is considered a
closed dynamic system. It is developed along the 4 Ps of project
management: Plan, Processes, People, and Power (e.g., line of
authority). It is bound by the triple constraints that are calendar, costs
and norms of quality, each of which can be determined and measured
objectively along the project lifecycle. Each project produces some level
of formal documentation, the deliverable(s), of course, and some
impacts, which can be positive and/or negative
TAXONOMY OF CONSTRUCTION PROJECTS.
A review was conducted to identify various methodologies for project
classification relevant to construction management. The schemes
include:
A. Rule-of-Thumb Classification
B. Classification by Complexity According to:
C. Function-Based
D. Project Classification for Supply Chain Management
E. Project Parameters-Based Classification for Machine Scheduling
F. A Posteriori Project Classification Using Linear Discriminate Analysis
G. Project Classification for Strategic Portfolio Management
H. Reference Class Forecasting
Each methodology has its optimum domain of applicability, ranging from
a general guide for rapid project classification, to detailed project
characterization schemes for scheduling purposes. Some of these
methods will be directly related to our proposed PDRI classification
model, while others will only share a conceptual overlap.
With the advancement of the semantic web, the construction industry is
at a stage where intelligent knowledge management systems can be
used. Such systems support more effective collaboration, where virtual
teams of skilled users, not software, exchange ideas, decisions, and
best practice. To achieve that, there is a need to create consistent
semantic representation of construction knowledge. Existing
representations, in the form of classification systems and product data
models, lack effective modeling of concept semantics—a fundamental
requirement for human-based exchange of knowledge. Toward this
objective, this paper presents a domain taxonomy that was developed
as part of the e-COGNOS project. The taxonomy was developed as a
first step in the establishment of domain ontology for construction. The
taxonomy was developed to be process-centered and to allow for
utilization of already existing classification systems (BS6100, Master
Format, and UniClass, for example). The taxonomy uses seven major
domains to classify construction concepts: Process, Product, Project,
Actor, Resource, Technical Topics, and Systems. The taxonomy was
developed and validated through extensive interaction with domain
experts. The taxonomy was used to develop a prototype ontology for the
construction domain including semantic relationships and axioms. The
ontology was used to support several applications in semantic
knowledge management as part of the e-COGNOS portal, including
semantic indexing and retrieval of information and ontology-based
collaborative project development.
STAKEHOLDERS
A person, group or organization that has interest or concern in an
organization.
Stakeholders can affect or be affected by the organization's actions,
objectives and policies. Some examples of key stakeholders are
creditors, directors, employees, government (and its agencies), owners
(shareholders), suppliers, unions, and the community from which the
business draws its resources.

Not all stakeholders are equal. A company's customers are entitled to

fair trading practices but they are not entitled to the same consideration
as the company's employees.

An example of a negative impact on stakeholders is when a company

needs to cut costs and plans a round of layoffs.

CONSTRUCTION PROJECT LIFE CYCLE

The project manager and project team have one shared goal: to carry out
the work of the project for the purpose of meeting the project’s
objectives. Every project has a beginning, a middle period during which
activities move the project toward completion, and an ending (either
successful or unsuccessful). A standard project typically has the
following four major phases (each with its own agenda of tasks and
issues): initiation, planning, implementation, and closure. Taken
together, these phases represent the path a project takes from the
beginning to its end and are generally referred to as the project “life
cycle.”

Initiation Phase
During the first of these phases, the initiation phase, the project
objective or need is identified; this can be a business problem or
opportunity. An appropriate response to the need is documented in a
business case with recommended solution options. A feasibility study is
conducted to investigate whether each option addresses the project
objective and a final recommended solution is determined. Issues of
feasibility (“can we do the project?”) and justification (“should we do the
project?”) are addressed.
Once the recommended solution is approved, a project is initiated to
deliver the approved solution and a project manager is appointed. The
major deliverables and the participating work groups are identified, and
the project team begins to take shape. Approval is then sought by the
project manager to move onto the detailed planning phase.

Planning Phase
The next phase, the planning phase, is where the project solution is
further developed in as much detail as possible and the steps necessary
to meet the project’s objective are planned. In this step, the team
identifies all of the work to be done. The project’s tasks and resource
requirements are identified, along with the strategy for producing them.
This is also referred to as “scope management.” A project plan is created
outlining the activities, tasks, dependencies, and timeframes. The project
manager coordinates the preparation of a project budget by providing
cost estimates for the labor, equipment, and materials costs. The budget
is used to monitor and control cost expenditures during project
implementation.
Once the project team has identified the work, prepared the schedule,
and estimated the costs, the three fundamental components of the
planning process are complete. This is an excellent time to identify and
try to deal with anything that might pose a threat to the successful
completion of the project. This is called risk management. In risk
management, “high-threat” potential problems are identified along with
the action that is to be taken on each high-threat potential problem,
either to reduce the probability that the problem will occur or to reduce
the impact on the project if it does occur. This is also a good time to
identify all project stakeholders and establish a communication plan
describing the information needed and the delivery method to be used to
keep the stakeholders informed.
Finally, you will want to document a quality plan, providing quality
targets, assurance, and control measures, along with an acceptance plan,
listing the criteria to be met to gain customer acceptance. At this point,
the project would have been planned in detail and is ready to be
executed.
Implementation (Execution) Phase
During the third phase, the implementation phase, the project plan is
put into motion and the work of the project is performed. It is important
to maintain control and communicate as needed during implementation.
Progress is continuously monitored and appropriate adjustments are
made and recorded as variances from the original plan. In any project, a
project manager spends most of the time in this step. During project
implementation, people are carrying out the tasks, and progress
information is being reported through regular team meetings. The
project manager uses this information to maintain control over the
direction of the project by comparing the progress reports with the
project plan to measure the performance of the project activities and
take corrective action as needed. The first course of action should always
be to bring the project back on course (i.e., to return it to the original
plan). If that cannot happen, the team should record variations from the
original plan and record and publish modifications to the plan.
Throughout this step, project sponsors and other key stakeholders
should be kept informed of the project’s status according to the agreed-
on frequency and format of communication. The plan should be updated
and published on a regular basis.
Status reports should always emphasize the anticipated end point in
terms of cost, schedule, and quality of deliverables. Each project
deliverable produced should be reviewed for quality and measured
against the acceptance criteria. Once all of the deliverables have been
produced and the customer has accepted the final solution, the project is
ready for closure.

Closing Phase
During the final closure, or completion phase, the emphasis is on
releasing the final deliverables to the customer, handing over project
documentation to the business, terminating supplier contracts, releasing
project resources, and communicating the closure of the project to all
stakeholders. The last remaining step is to conduct lessons-learned
studies to examine what went well and what didn’t. Through this type of
analysis, the wisdom of experience is transferred back to the project
organization, which will help future project teams.

Example: Project Phases on a Large Multinational Project

A U.S. construction company won a contract to design and build the first
copper mine in northern Argentina. There was no existing infrastructure
for either the mining industry or large construction projects in this part
of South America. During the initiation phase of the project, the project
manager focused on defining and finding a project leadership team with
the knowledge, skills, and experience to manage a large complex project
in a remote area of the globe. The project team set up three offices. One
was in Chile, where large mining construction project infrastructure
existed. The other two were in Argentina. One was in Buenos Aries to
establish relationships and Argentinian expertise, and the second was in
Catamarca—the largest town close to the mine site. With offices in place,
the project start-up team began developing procedures for getting work
done, acquiring the appropriate permits, and developing relationships
with Chilean and Argentine partners.
During the planning phase, the project team developed an integrated
project schedule that coordinated the activities of the design,
procurement, and construction teams. The project controls team also
developed a detailed budget that enabled the project team to track
project expenditures against the expected expenses. The project design
team built on the conceptual design and developed detailed drawings for
use by the procurement team. The procurement team used the drawings
to begin ordering equipment and materials for the construction team;
develop labor projections; refine the construction schedule; and set up
the construction site. Although planning is a never-ending process on a
project, the planning phase focused on developing sufficient details to
allow various parts of the project team to coordinate their work and
allow the project management team to make priority decisions.
The implementation phase represents the work done to meet the
requirements of the scope of work and fulfill the charter. During the
implementation phase, the project team accomplished the work defined
in the plan and made adjustments when the project factors changed.
Equipment and materials were delivered to the work site, labor was
hired and trained, a construction site was built, and all the construction
activities, from the arrival of the first dozer to the installation of the final
light switch, were accomplished.
The closeout phase included turning over the newly constructed plant to
the operations team of the client. A punch list of a few remaining
construction items was developed and those items completed. The office
in Catamarca was closed, the office in Buenos Aries archived all the
project documents, and the Chilean office was already working on the
next project. The accounting books were reconciled and closed, final
reports written and distributed, and the project manager started on a
new project.
Construction Project Delivery methods and payment
schemes
A project delivery method is a system used by an agency or owner for
organizing and financing design, construction, operations, and
maintenance services for a structure or facility by entering into legal
agreements with one or more entities or parties.
 Design-Bid-Build

 Competitive Sealed Proposal

 Construction Management –Agent

 Construction Management -At Risk

 Design-Build

Design-Bid-Build (DBB) or Design-Award-Build (DAB)

An owner develops contract documents with an architect or
an engineer consisting of a set of blueprints and a detailed specification.
Bids are solicited from contractors based on these documents; a
contract is then awarded to the lowest responsive and responsible
bidder.
DBB with Construction Management (DBB with CM)
With partially completed contract documents, an owner will hire a
construction manager to act as an agent. As substantial portions of the
documents are completed, the construction manager will solicit bids from
suitable subcontractors. This allows construction to proceed more
quickly and allows the owner to share some of the risk inherent in the
project with the construction manager.
Design-Build (DB) or Design-Construct
An owner develops a conceptual plan for a project, then solicits bids
from joint ventures of architects and/or engineer and builders for the
design and construction of the project.
Design-Build-Operate-Maintain (DBOM)
DBOM takes DB one step further by including the operations and
maintenance of the completed project in the same original contract.
Build-Operate-Transfer (BOT)
BOT represents complete integration of the project delivery: the same
contract governs the design, construction, operations, maintenance and
financing of the project. After some concessionary period, the facility is
transferred back to the owner.
Integrated Project Delivery (IPD)
A project delivery method in which the interests of the primary team
members are aligned in such a way that the members can be integrated
for optimal project performance resulting in a collaborative, value-based
process delivering high-outcome results to the entire building team.[1][2][3]
Public-private partnership (PPP, 3P, or P3)
A public–private partnership is a cooperative arrangement between one
or more public entities (typically the owner) and another (typically private
sector) entity to design, build, finance, and at times operate and
maintain, the project for a specified period of time on behalf of the
owner.

Construction project management function

The main functions of construction project management includes the following:

1. Fix the objectives of the project and plan accordingly. All such are finalized
with the proper scope, scheduling, budget setting, and required performances
ad also selecting the right project participants.
2. Maximizing the efficiency with proper utilization of materials, equipment’s
and procurement of labor.
3. Implementing every single task through proper planning, estimation,
construction, contracting and designing.
4. Proper communication and mechanism should be developed to resolve all
conflicts.

Key Features For Project Planning

According to instate, there are mainly nine features or specific areas that need to be
considered as a part of construction project management to ensure every single
aspect. It should be assimilated within the strategic place to get effective result.
Here are the features:

1. Proper integration just to make sure every element related to the project are
coordinated and managed effectively.
2. Proper scope to include all related work within the project.
3. Sufficient and effective time allotment to make proper project schedule.
4. Cost control or proper budget control is also important, and it can be done by
identifying the proper resources and effectively controlling those.
5. Quality is of utmost interest to ensure the functional requirements.
6. Human resources are too effective as they can employ the right and most
appropriate personals.
7. Communication is also very much important to eradicate all complexities or
conflicts within the project.
 8. Proper risk management to lessen the potential risks that are involved within
the project.
9. Obtaining the necessary resources from all external sources to complete the
project effectively.

TENDER ACTION

CONTRACT AWARD
Contract awarding is the method used during a procurement in order to evaluate
the proposals (tender offers) taking part and award the relevant
contract.[1][2] Usually at this stage the eligibility of the proposals has been
concluded. So it remains to choose the most preferable among the proposed. There
are several different methods for this, which are obviously related to the
proposition method asked by the procurement management.
Year Events

1980s Criticism of western countries against barriers of Japanese

construction market (Kansai Airport,
Honnshu-Shikoku Bridge)
Japan-US construction talks/ Strudutural inmpediment of Japanese
procurement system
1992 Review Meeting of Japan-US construction talk
Requirement of introduction of advertised competitive bid
1993 GATT Uruguay Round
WTO Agreement on Government Procurement
1994 Cabinet meeting decision on “Action plan on the improvement of
the tender/contract
Application of advertised competitive bid for large scale project over $
7.2 mill.
1995 Ministry of Construction issue “Fundamental Policy for
Construction Industry principle”
After 1998 Application of various tender system
Proposal tendering method
Value Engineering tendering method, Performance based tendering
system
Construction Database (Construction CALS)
Investment of Public works tern to decrease