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This document provides an overview of the construction industry in Pakistan. It discusses that the construction industry is the second largest sector in Pakistan's economy after agriculture, employing 30-35% of the population directly or indirectly. The construction sector saw 11.31% growth in the current fiscal year, the highest growth since 2008-09. The document also provides a brief history of the construction industry in Pakistan from 1947 to the present. It notes that until 1975, major projects were developed by foreign contractors, but then local Pakistani firms like MLC, National Construction, and ICC entered the industry.
This document provides an overview of the construction industry in Pakistan. It discusses that the construction industry is the second largest sector in Pakistan's economy after agriculture, employing 30-35% of the population directly or indirectly. The construction sector saw 11.31% growth in the current fiscal year, the highest growth since 2008-09. The document also provides a brief history of the construction industry in Pakistan from 1947 to the present. It notes that until 1975, major projects were developed by foreign contractors, but then local Pakistani firms like MLC, National Construction, and ICC entered the industry.
This document provides an overview of the construction industry in Pakistan. It discusses that the construction industry is the second largest sector in Pakistan's economy after agriculture, employing 30-35% of the population directly or indirectly. The construction sector saw 11.31% growth in the current fiscal year, the highest growth since 2008-09. The document also provides a brief history of the construction industry in Pakistan from 1947 to the present. It notes that until 1975, major projects were developed by foreign contractors, but then local Pakistani firms like MLC, National Construction, and ICC entered the industry.
NED University of Engineering and Technology, Karachi
CE-321 Construction Engineering Construction
• Engineering and Construction
– Unique combination of specific need and Lecture -01 design – Benefit mankind/substantial responsibilities Overview of Construction Industry • Engineering and Construction and Constructional Aspects
Construction vs. Manufacturing Construction vs. Manufacturing
• Service industry or goods-producing • Automobiles Customization
industry? – Color • Designers provide Service – Extra features (A/C no A/C, Theft alarm system) – Complete re-design or customization? • Contractor provides Product • Product required by any construction contract • Construction Industry vs. Other Product is also a manufactured product Industries • Building road, office buildings etc. but in – Size of the product response to specific customer needs – Cost of the product – Plans and Specifications – Customized design • Contract drawings and written materials description, which communicate detailed requirements to the – One-of-a-kind features contractor
NED University of Engineering and Technology, Karachi
The Construction Industry The Construction Industry
• The construction industry is one of the • Construction
Industry Divisions largest industries – The major divisions • For Example; In the United States, of the construction industry consist of historically accounting for about 10% of building construction the nation’s gross national product and (also called “vertical construction”) and employing some 10 million workers. heavy construction • It is widely recognized that construction (also called “horizontal as a discipline is a combination of art construction”). Distribution of U.S. new construction volume. (Source: Bureau of the Census) and science. CE-321-Construction Engineering CE-321-Construction Engineering Dr. Farrukh Arif Dr. Farrukh Arif
Construction Industry of Pakistan Construction Industry of Pakistan
Current Status Historical Highlights
• Second largest sector in Pakistan’s economy after agriculture • 1947 to 1970 • 30-35% of employment is directly or indirectly – Few developers • The share of construction in industrial sector is 11.48 percent and is – Housing for public sector was developed by Provincial and one of the potential components of industries. Central works Department • The construction sector has registered growth of 11.31 percent against the growth of (-) 1.68 percent of last year. • After 1971 • This is also highest growth level achieved since 2008-09. – Karachi Development Authority (KDA) • During current financial year 2013-14, NHA executed 83 – Larger funds to House Building Finance Corporation development projects costing Rs. 615.2 billion – Entrepreneurs, industrialists, businessmen, importers, • Government of Pakistan has allocated Rs. 63.04 billion in the consultants, etc., entered in the construction industry Federal PSDP for construction of roads, river bridges, tunnels, – Association of Builders and Developers” (ABAD) flyovers and interchanges Source: Highlights Of Pakistan Economic Survey 2013-14
NED University of Engineering and Technology, Karachi
Construction Industry of Pakistan What does construction Include?
Historical Highlights • More than just building structures on construction site.
• Design-Engineers and Architects • Until 1975 • Manufacturers and distributer of material and equipment – Major projects such as Indus Basin Replacement Works, • Construction Managers-Who manage the site work Warsak Dam etc. was developed by foreign contractors • Unions and trades people-perform work • Municipal offices-review plans and enforce building codes – Pakistan Steel Mills generated construction activity for local • Concrete Batch Plant-concrete proportioned for delivery at construction construction site • Prefabrication Plants – MLC (Pvt) Ltd, National Construction Ltd, Imperial • Construction industry is so large and multifaceted that it’s Construction Company (Pvt) Ltd (now ICC) and Gammon often described as sector of economy Pakistan Ltd
• Construction Contractors • For major projects, steps in the project
– Companies and individuals engaged in the business of construction are commonly referred to as construction contractors because they operate development process include the following: under a contract arrangement with the owner. – General Contractor • Engage in a wide range of construction activity – Recognizing the need for the project. • Execute most major construction projects – Prime Contractors – Determining the technical and financial feasibility • When General Contractors enter into a contract with owner to provide complete construction services of the project. – Specialty Contractor – Preparing detailed plans, specifications, and cost • • Electrical, plumbing, heating, ventilating, or earthmoving etc.. Employed by Prime contractor estimates for the project. – Subcontractors – Obtaining approval from regulatory agencies. • The Specialty contractor hired by the Prime Contractor • Classifications – Thus, Sub and Prime terms by the contract arrangement and not by work classifications
NED University of Engineering and Technology, Karachi
The Construction Process The Construction Process
• Project Development and Contract • How Construction is Accomplished
Procedures – Construction employing an owner – The major steps in the construction construction force. contracting process include; – Owner management of construction. • Bid solicitation – Construction by a general contractor. • Bid preparation – Construction using a design/build (turnkey) • Bid submission contract. • Contract award – Construction utilizing a construction • Contract administration management contract. CE-321-Construction Engineering CE-321-Construction Engineering Dr. Farrukh Arif Dr. Farrukh Arif
The Construction Process The Construction Process
Construction employing owner Owner-managed construction. [Either (a) or
Construction by a general contractor. construction forces. (b) or both may be employed.]
• Building Codes • Environmental Regulations • Construction Productivity
– Public Safety – Protect the public and • Reducing Construction Costs – Provide minimum Design environment – Good work planning. – Construction standards for fire – Water usage, traffic, precipitation runoff, waste – Carefully selecting and training workers and managers. and safety disposal – Efficiently scheduling labor, materials, and equipment. • Other Regulations – Properly organizing work. • Zoning Regulations – Safety regulations for – Using laborsaving techniques, such as prefabrication and – Zoning controls land use, preassembly. protecting public and size, type and density of structures construction workers – Minimizing rework through timely quality control. – Commercial, residential, – Preventing accidents through good safety procedures. industrial, office, recreational, and agricultural
NED University of Engineering and Technology, Karachi
Construction Management
• Basic Elements of Construction Management
– Quality Management – Safety and Health – Time and Cost Management • Results of Poor Construction Management practices – Delays – Cost overruns – Poor stakeholders relationship – Low profit margin etc.