PROJECT MANAGEMENT OFFICE (PMO) SETTING UP AND MANAGEMENT
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Transcript of PROJECT MANAGEMENT OFFICE (PMO) SETTING UP AND MANAGEMENT
PROJECT MANAGEMENT OFFICE (PMO) SETTING UP AND MANAGEMENT
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Project Management General Review
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What is Project Management
• Project Management is the application of skills, knowledge, tools and techniques to meet the needs and expectations of stakeholders for a project.
• The purpose of project management is prediction and prevention, NOT recognition and reaction
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Triple Contraint
Quality
Scope
Time
Cost
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Triple Contraint
• Increased Scope = increased time + increased cost
• Tight Time = increased costs + reduced scope
• Tight Budget = increased time + reduced scope.
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NATURE OF THE CONSTRUCTION INDUSTRY
Like Manufacturing industry – Involves the production of a physical product
Like Service industry – Does not accumulate large amount of capital – Many small businesses
Success or failure is highly dependent on the qualities of the people rather than Technologies protected by patent or Availability of capital facilities
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CONSTRUCTION INDUSTRY IS HIGHLY INCENTIVE ORIENTED
• Advances tend to develop from innovations or “better ideas”
• Cannot be protected by laws of secrecy or patents
• Ideas disseminate quickly• Benefit Competitors• Lack incentive for investment for R&D
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Owner wants to achieve best value for their investment
Contractors desire to bid low enough to win but high enough to realize profit on investment
Workers hope to achieve better living standards and working conditions
INTEREST GROUPS
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Owner wants to achieve best value for their investment
Contractors desire to bid low enough to win but high enough to realize profit on investment
Workers hope to achieve better living standards and working conditions
Architect and Engineers are not directly
associated with the above groupsProfessional achievement more attractive
INTEREST GROUPS
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• Know Your Scope of Works
• Understand Your Contractual Obligations
• Plan Activities in Detail
• Resolve Problems Quickly
• Manage Subcontractors
• Manage Cash Flow
Project Management
Introduction• The PMBOK is an inclusive term that describes the sum of
knowledge
• within the profession of project management
• PMBOK is applied and advanced by both practitioners and academics
• PMBOK can be and is being used for projects in various fields of professions
• including Software engineering
PMP As Construction Management Methodology
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The Project Management Context
• Project Phases and Project Life Cycle• Each project is unique enterprise• Phases can involve a degree of uncertainty• Each project phase is marked by completion of one or more deliverables• A deliverable is a tangible, verifiable work product• The project life cycle serves to define the beginning and the end of a project
• Project Stakeholders• Are individuals and organizations who are actively involved in the project, • Whose interests can have positive or negative influence on project execution
and project completion. (Project manager, Customer, Performing organization, Sponsor)
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Project Life Cycle
Initiation Phase Definition Phase Planning Phase Implementation
PhaseDeployment
Phase Closing Phase
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Initiation Phase
• Define the need• Return on Investment Analysis• Make or Buy Decision• Budget Development
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Definition Phase
• Determine goals, scope and project constraints• Identify members and their roles• Define communication channels, methods, frequency and content• Risk management planning
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Planning Phase
• Resource Planning• Work Breakdown Structure• Project Schedule Development• Quality Assurance Plan
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Work Breakdown Structure
• For defining and organizing the total scope of a project
• First two levels - define a set of planned outcomes that collectively and exclusively represent 100% of the project scope.
• Subsequent levels - represent 100% of the scope of their parent node
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Implementation Phase
• Execute project plan and accomplish project goals• Training Plan• System Build• Quality Assurance
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Deployment Phase
• User Training• Production Review• Start Using
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Closing Phase
• Contractual Closeout• Post Production Transition• Lessons Learned
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PMBOK 21/15
The Project Management Processes (I)
• Process Groups:• Initiating processes – recognize when project or phase should begin• Planning processes – designing and maintaining a scheme which leads to successful
accomplishment of a project• Executing processes – coordinating people and resources to carry out the plan• Controlling processes – monitoring and measuring progress and taking corrective actions
when necessary• Closing processes – analyzing acceptance of the project or phase and bringing it to an end
Links between process groups =>
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The Project Management Knowledge
Areas
• Project Integration Management• Ensure that various elements of the project are properly coordinated and integrated• Processes: Project Plan Development, Project Plan Execution, Overall Change Control
• Project Scope Management• Ensure that the project includes all the work required, • And only work required, to complete the project successfully• Processes: Initiation, Scope Planning, Scope Definition,
Scope Verification, Scope Change Control
• Project Time Management• Ensure timely completion of the project• Processes: Activity Definition, Activity Sequencing,
Activity Duration Estimating, Schedule Development, Schedule Control
23/15© www.asia-masters.com
• Project Cost Management• Ensure that the project is complete within the approved budget• Processes: Resource Planning,
Cost Estimating, Cost Budgeting, Cost Control
• Project Quality Management• Ensure that the project will satisfy the requirements• Processes: Quality Planning, Quality Assurance,
Quality Control
The Project Management KnowledgeAreas (I)
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The Project Management KnowledgeAreas (II)
• Project Communication Management• Ensure timely and appropriate generation, collection, storage• And ultimate disposition of project information
• Processes: Communications Planning,Information Distribution, Performance Reporting, Administrative Closure
• Project Risk Management• Concerned with identifying, analyzing, and responding to project risk.• Maximizing the results of positive events • Minimizing the consequences of negative events• Processes: Risk Identification, Risk Quantification,
Risk Response Development, Risk Response Control
12.05.2009. PMBOK 25/15
The Project Management KnowledgeAreas (II)
• Project Procurement Management• Acquire goods and services from outside the performing organization• Processes: Procurement Planning, Solicitation Planning, Solicitation,
Source Selection, Contract Administration, Contract Close-out
• Project Human Resources Management• Make the most effective use of people involved with the project• Processes: Organizational Planning,
Staff Acquisition, Team Development
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• Finally, project managers who are familiar with PMBOK can custom tailor their project management process to best fit their company's needs.
Old saying: “To break the rules, first you have to know the rules. ”
• In the long run, this means that companies will have less of a reason to outsource when projects require special treatment.
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– Project Management services for all project phases should be provided through well established procedures/processes
– Project Management activities span the life of projects beginning with the conceptual design phase and ending with the defects liability and occupancy phase
I. Introduction
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PlanPlan
Monitor &Control
Monitor &Control
Close OutClose Out
ImplementImplement
Project Management ApproachInitiateInitiate
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Major Stakeholders
Major Stakeholders
Funding Agencies
Authorities
Design Consultants
Specialized Consultants
Construction Contractors
Facility Manager
Client
Supervision Consultants
End Users
OperatorsProject Manager
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Client
Project Manager
ConsultantQuantity
Surveyor (CQS)
Supervision ConsultantsContractors
Design Consultants
Funding AgenciesAuthorities
ExpertConsultants
Operators/End UsersFacility Manager
Communication Chart
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mae
EngineerTechnical
Te
d
ConstructionManager
Packag
ct Control Boa
rect Director
Consultants’ LocalOffice
Projeoj
EEngineer
Pr
stControllers
IT Specialist
Plann ngEngineers
Administrative Support
HS CEngineer
DocumentControllers
Co
EManager
TechnicaManager
Projec
tControlsManager
ContractAdministrator
QA/Q
CManager
Contrac
tsManager
HS
t Manager
QA/Q
Client
Head
Office SupportHead Office Support
ProjecProject Manager
QA/QCManager
Contracts Manager
HSEManage
rTechnical l Manager
Project Controls Manager
Contract Administrator
QA/QCEngineer
Document Controllers
Cost Controllers
IT Specialist
Plannini g Engineers
Administrative Support
Project Manager’s Organisation Chart
HSEEngineer
Project Director
Consultants’ Local Office
Project Control Board
Construction Manager
Package Engineer
Technical Team
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WarehouseDept.
ServicesDept.
Admin.Dept.
Acco
untant
Cashier
nt Manager
SurveyorManager
SiteSurveyor(s)
Project Area 2Manager
MateriaEng
lineer(s)
Techn
ci ian(s)
FinanciaManager
Docu
mentEngineer
PlanningEngineer
SiteEngineer(s)
meC Engineer ProcureQQA/
& DocManager
Techn
ci i an(s)
Contractor’s Representative
SubcontractorsSubcontractors Project Area 1Manager
Project Area 1 Manager
ContractingManager
Contracting ManagerA .d min & Logistics
ManagerAdmin. & Logistics
ManagerlP anningPlanning & DocManager
Technician(s)
Contractor’s Organisation Chart
QA/QC Engineer Procurement Manager
Surveyor Manager
Site Surveyor(s)
Project Area 2 Manager
Material Engineer(s)
Technician(s)
lFinancial Manager
Document Engineer
Planning Engineer
Site Engineer(s)
Warehouse Dept.
Services Dept.
Admin. Dept.
Accountant
Cashier
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PM scope can cover:
Project Initiation & Studies Period
Design Period
Tender & Contracting Period
Construction Period
Defects Liability Period
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Manage the Construction
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LIFE CYCLE Construction Management
Seven PhasesConcept and Feasibility StudiesPreliminary Engineering and DesignDetailed Engineering and DesignProcurementConstructionStart-up and ImplementationOperation or Utilization
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1. Concept and Feasibility Studies
Forecast Future DemandLocation
Availability of Resources Accessibility to transportation
Political and Institutional Factors
Sociological and Economic Impact on Community
Environmental Impact
Overall Technical and EconomicFeasibility
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2. Preliminary Engineering and DesignArchitectural concepts
Evaluation of technological process alternativesSize and capacity of facility
Comparative economic studies
Reviews by regulatory bodies for complianceZoning regulations
Building codesLicensing procedures
Safety standardsEnvironmental impact
Public Hearing
Funding cycles in Legislative and Executive Bodies
3. Detailed Engineering and Design
Design of Architectural ElementsDesign of Structural ElementsSite InvestigationFoundation DesignElectrical and Mechanical DesignPreparation of Specifications and DrawingsPreparation of Contract Documents
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3. Detailed Engineering and Design
Design of Architectural ElementsDesign of Structural ElementsSite InvestigationFoundation DesignElectrical and Mechanical DesignPreparation of Specifications and DrawingsPreparation of Contract Documents
Field Construction MethodsCost Knowledge
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4. Procurement
ServicesEquipmentMaterials
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ServicesEquipmentMaterials
Lump Sum Contract
Cost Plus Fee ContractNegotiated Contract
4. Procurement
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5. ConstructionProcess whereby the Designer’s Plans and Specifications are converted into Physical
Structures and Facilities
Co-ordination of all resources to complete the project
On ScheduleWithin Budget
According to Specified Standard of Quality and Performance
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6. Start-up and Implementation
Testing of ComponentsWarranty Period
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7. Operation and Utilization
Regular Maintenance of Facilities
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ArchitectInterior Designer
Landscape ArchitectCivil Engineer
Environmental EngineerElectrical Engineer
Mechanical EngineerChemical Engineer
Geologist Environmental Scientist
Economist
DESIGN TEAM
General ContractorLand Surveyor
Formwork CarpentersSteel Fabricators
ConcretersBricklayers
Plant and Equipment OperatorsSpecialist subcontractors
Suppliers
CONSTRUCTION TEAM
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Construction ContractsAmerican Institute of Architects
DocumentsA101 Standard Form of Agreement between Owner and Contractor – Stipulated Sum
A111 Standard Form of Agreement between Owner and Contractor – Cost of the Work Plus a Fee
A201 General Conditions of the Contract for Construction
B141 Standard form of Agreement between Owner and Architect
A132 Performance Bond and Payment Bond
Elements of a Construction ContractARTICLES
Contract DocumentsArchitectOwner
ContractorSubcontractors
Work by Owner or by Separate ContractorsTime of Completion and Extension of Time
Progress and Final Payments Substantial Completion
InsuranceChanges in the Work
Uncovering and Correction of WorkTermination of Contract
ORGANIZATIONAL RELATIONSHIPS
Architech/Engineer Owner
General Contractor
ORGANIZATIONAL RELATIONSHIPS
Architech/Engineer Owner
General Contractor
Subcontractor Subcontractor Subcontractor
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ORGANIZATIONAL RELATIONSHIPS
Architech/Engineer Owner
General Contractor
Subcontractor Subcontractor Subcontractor
2nd Tier Subcontractor
3rd Tier Subcontractor
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ORGANIZATIONAL RELATIONSHIPS
Architech/Engineer Owner
General Contractor
Subcontractor Subcontractor Subcontractor
2nd Tier Subcontractor
3rd Tier Subcontractor
Supplier
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ORGANIZATIONAL RELATIONSHIPS
Architech/Engineer Owner
Specialists General Contractor
Subcontractor Subcontractor Subcontractor
2nd Tier Subcontractor
3rd Tier Subcontractor
Supplier
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ORGANIZATIONAL RELATIONSHIPS
Architech/Engineer Owner
Specialists Construction Manager
Subcontractor Subcontractor Subcontractor
2nd Tier Subcontractor
3rd Tier Subcontractor
Supplier
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ORGANIZATIONAL RELATIONSHIPS
Architech/Engineer Owner
Specialists Construction Manager
General Contractor
Subcontractor Subcontractor Subcontractor
2nd Tier Subcontractor
3rd Tier Subcontractor
Supplier
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ORGANIZATIONAL RELATIONSHIPS
Owner
Architech/Engineer Design Builder
Specialists Subcontractor Subcontractor Subcontractor
2nd Tier Subcontractor
3rd Tier Subcontractor
Supplier
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ORGANIZATIONAL RELATIONSHIPS
Architech/Engineer Owner
Specialists Subcontractor Subcontractor Subcontractor
2nd Tier Subcontractor
3rd Tier Subcontractor
Supplier
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ORGANIZATIONAL RELATIONSHIPS
Beneficiary Owner Performance Bond
Principal General Contractor Surety
Subcontractor Subcontractor Subcontractor
2nd Tier Subcontractor
3rd Tier Subcontractor
Supplier© www.asia-masters.com
ORGANIZATIONAL RELATIONSHIPS
Beneficiary Owner Payment Bond
Principal General Contractor Surety
Subcontractor Subcontractor Subcontractor
Beneficiary2nd Tier Subcontractor
3rd Tier Subcontractor
Supplier© www.asia-masters.com
INSURANCERequirements under AIA A201Contract Documents
Contractor’s Liability InsuranceOwner’s Liability InsuranceProperty InsuranceLoss of Use InsuranceWorkmen CompensationDisability Benefits
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OWNERS RESPONSIBILITYMake Financial Arrangements to fulfill his obligations
Furnish Accurate Contract Specifications and Drawings for the Contractor’s work
Right to Stop Work
Right to Change Work
Right to Terminate Contract if Contractor Defaults
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Architect’s ResponsibilityArchitect is the Owner’s Representative
Architect is the Administrator of the Contract
Visit site at appropriate stages of construction to familiarize himself generally with the progress and quality of the Work and to determine whether Work is proceeding in accordance with Contract Documents.
Advice the Owner on Work Progress
Guard the Owner against Defects and Deficiencies in the Work of the Contractor
Reviews Contractor’s Claims and Approves Amount to be paid to the Contractor
Architect is not responsible for Methods of Construction or Site Safety
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Contractor’s ResponsibilityReview Contract documents for Errors and Inconsistencies
Supervise and Co-ordinate all Construction Work
Provide full time Superintendent on Site
Responsible for Site Safety
Indemnify the Owner against any Claims by third parties
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Handling DisputesContract is signed between Owner and Contractor
Architect acts as Interpreter of the Contract between Owner and Contractor
Architect acts as Judge of the Performance of the Owner and Contractor
All disputes between Owner and Contractor shall be decided by Architect
Architect shall not show Partiality
Architect’s Decision on Artistic Effects is Final
Arbitration
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II. Contract/Construction Management
Stage 1: CONSTRUCTION PERIODStage 2: DEFECTS LIABILITY PERIOD (DLP)
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Activity 1 Organization
and Mobilization
• Insurance Policies• Performance Security• Advance Payment Guarantee• Notice to Commence• Communication Procedures
II. Contract/Construction Management
stage 1: construction period
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Activity 1 Organization
and Mobilization
Activity 2 Planning and
Program
• Monitoring Progress• Evaluating Performance• Project Management Software• Logic Network (CPM)• Short Construction Activities• Shop Drawings and Materials Submissions• Procurement Schedules• Quantity, Duration, Cost, Manpower and• Equipment• Resources Schedules and Histograms• Work Breakdown Structures (WBS)• Subcontractors’ Schedules
II. Contract/Construction Managementstage 1: construction period
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Activity 1 Organization
and Mobilization
Activity 2 Planning and
Program
Activity 3 Survey Checkand Material Information
• Verify Staked-Out Centerline, Traverse Points, Control Points and Bench Marks• Adequacy of Borrow Pits and Quarries• Planned Sources, Supply and Testing of Construction Materials
II. Contract/Construction Management
stage 1: construction period
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Activity 1 Organization
and Mobilization
Activity 2 Planning and
Program
Activity 3 Survey Checkand Material Information
Activity 4 Plan for Site Organization
• Site Facilities Adequacy and Organization• Layout Plan for all Temporary Site Facilities• Check Site Accesses, Temporary Structures, Site Office, Accommodation, Laboratory,
Stocking Yards, Plant Facilities, Safety Measures, Service Roads, Parking Areas• Sufficiency, Adaptability, Interconnectivity, Suitability, Organization, Quality,
Performance, Non-Interference with Permanent Works
II. Contract/Construction Management
stage 1: construction period
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Activity 1 Organization
and Mobilization
Activity 2 Planning and
Program
Activity 3 Survey Checkand Material Information
Activity 4Plan for Site Organization
Activity 5 Construction
Methods
• Clearly Formulated, Well-Documented Method Statement: Method of Construction, Resources, Safety Precautions, Operation’s Duration
• Submission and Approval before Occurrence of Planned Early Start of Activities
II. Contract/Construction Management
stage 1: construction period
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Activity 1 Organization
and Mobilization
Activity 2 Planning and
Program
Activity 3 Survey Checkand Material Information
Activity 4Plan for Site Organization
Activity 5 Construction
Methods
Activity 6 Time Control
• Monitor Program, Construction Activities, Resources• Update and Revise Program• Periodic Co-Ordination Meetings• Timely Shop Drawings and Samples Submission• Schedules of Materials and Shop Drawings Submissions
and Approvals tied to Program• Monitor Labor and Plant Productivity, Materials
Deliveries (Long-Lead Items), Identify Shortages• Labor, Plant or Materials Deficiencies• Identify Potential Variance: Scheduled v/s Actual
Progress
II. Contract/Construction Management
stage 1: construction period
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Activity 1 Organization
and Mobilization
Activity 2 Planning and
Program
Activity 3 Survey Checkand Material Information
Activity 4Plan for Site Organization
Activity 5 Construction
Methods
Activity 6 Time Control
Activity 7 Cost Control
• Interim Payments• Cash-Flow Estimate• Implement Variation Orders• Control & Monitor Quantities and Variation Ordersw.r.t. Contract Price
II. Contract/Construction Managementstage 1: construction period
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Activity 1 Organization
and Mobilization
Activity 2 Planning and
Program
Activity 3 Survey Checkand Material Information
Activity 4Plan for Site Organization
Activity 5 Construction
Methods
Activity 6 Time Control
Activity 7 Cost Control
Activity 8 Quality Control
• Project Quality Assurance/Quality Control Plan• Compliance with Safety and Environment Protection• Review and Approval of Materials and Shop Drawings• Inspection of Operations• Inspection and Testing of Materials and Plant
II. Contract/Construction Managementstage 1: construction period
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Activity 1 Organization
and Mobilization
Activity 2 Planning and
Program
Activity 3 Survey Checkand Material Information
Activity 4Plan for Site Organization
Activity 5 Construction
Methods
Activity 6 Time Control
Activity 7 Cost Control
Activity 8 Quality Control
• Inspection of Work before Covering-Up• “As-Built” Drawings and “Operation and Maintenance Manuals”• List of Outstanding Works prior to Taking-Over
• Completion of Outstanding Works and Performance during Defects Liability Period
II. Contract/Construction Management
stage 1: construction period
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Activity 1 Organization
and Mobilization
Activity 2 Planning and
Program
Activity 3 Survey Checkand Material Information
Activity 4Plan for Site Organization
Activity 5 Construction
Methods
Activity 6 Time Control
Activity 7 Cost Control
Activity 8Quality
Control
Activity 9Site Meetings & Record Keeping
• Daily Record of Progress of Works• Kick-off Site Meeting: Procedures, Means of Communication, Methods for giving
Approvals, Instructions, Variation Orders, etc.• Regular Site Meetings: Monitor Performance and Progress based on Program, Discuss Problems,
Coordination Issues, etc.
II. Contract/Construction Management
stage 1: construction period
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Activity 1 Organization
and Mobilization
Activity 2Planning and
Program
Activity 3 Survey Checkand Material Information
Activity 4Plan for Site Organization
Activity 5 Construction
Methods
Activity 6 Time Control
Activity 7 Cost Control
Activity 8Quality
Control
Activity 9Site Meetings and Record
Keeping
• Daily Diary• Maintain Up-To-Date Information Relevant to Progress, Performance, Quality, Quantities,
Resources & Cost
• Maintain Project Records in Classified and Retrievable Form
II. Contract/Construction Management
stage 1: construction period
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Activity 1 Organization
and Mobilization
Activity 2Planning and
Program
Activity 3 Survey Checkand Material Information
Activity 4Plan for Site Organization
Activity 5 Construction
Methods
Activity 10 MonthlyProgress Reports
Activity 6 Time Control
Activity 7 Cost Control
Activity 8Quality
Control
Activity 9 Site Meetings
& Record Keeping
• Executive Summary• Section One: General Information• Section Two: Progress Outline• Section Three: Schedules• Section Four: Resource Control
II. Contract/Construction Management
stage 1: construction period
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Activity 1 Organization
and Mobilization
Activity 2Planning and
Program
Activity 3 Survey Checkand Material Information
Activity 4Plan for Site Organization
Activity 5 Construction
Methods
Activity 10 MonthlyProgress Reports
Activity 6 Time Control
Activity 7 Cost Control
Activity 8Quality
Control
Activity 9 Site Meetingsand Record
Keeping
• Section Five: Cost Control• Section Six: Quality Control• Section Seven: Contract Records• Section Eight: Progress Photographs
II. Contract/Construction Management
stage 1: construction period
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Activity 1 Organization
and Mobilization
Activity 2Planning and
Program
Activity 3 Survey Checkand Material Information
Activity 4Plan for Site Organization
Activity 5 Construction
Methods
Activity 10 MonthlyProgress Reports
Activity 11Claims and
Disputes
Activity 6 Time Control
Activity 7 Cost Control
Activity 8Quality
Control
Activity 9 Site Meetings
& Record Keeping
• Identify Potential Claims• Settle Disputes or Differences
II. Contract/Construction Management
stage 1: construction period
© www.asia-masters.com
Activity 1 Organization
and Mobilization
Activity 2 Planning
and Program
Activity 3 Survey Checkand Material Information
Activity 4Plan for Site Organization
Activity 5 Construction
Methods
Activity 10 MonthlyProgress Reports
Activity 11Claims and
Disputes
Activity 6 Time Control
Activity 7 Cost Control
Activity 8Quality
Control
Activity 9Site Meetings
& Record Keeping
• Implementation of Methods andProcedures to Minimize the Potential Financial and Time Impact of Claims
• Settlement of time/cost claims
II. Contract/Construction Management
stage 1: construction period
© www.asia-masters.com
Activity 1 Organization
and Mobilization
Activity 2Planning and
Program
Activity 3 Survey Checkand Material Information
Activity 4Plan for Site Organization
Activity 5 Construction
Methods
Activity 10 MonthlyProgress Reports
Activity 11Claims and
Disputes
Activity 12 Completion of
Works / Taking-Over
Activity 6 Time Control
Activity 7 Cost Control
Activity 8 Quality Control
Activity 9Site Meetings
& Record Keeping
II. Contract/Construction Management
stage 1: construction period
• Establish schedule for Testing and Commissioning• Witness Tests• Prepare List of Outstanding Works• Obtain Written Undertaking to Complete any Outstanding Work during
DLP© www.asia-masters.com
Activity 1 Organization
and Mobilization
Activity 2Planning and
Program
Activity 3 Survey Checkand Material Information
Activity 4Plan for Site Organization
Activity 5 Construction
Methods
Activity 10 MonthlyProgress Reports
Activity 11Claims and
Disputes
Activity 12 Completion of
Works / Taking-Over
Activity 6 Time Control
Activity 7 Cost Control
Activity 8Quality
Control
Activity 9Site Meetings
& Record Keeping
• Issue Taking-Over Certificate• Check Progressively “As-built Drawings”• Review “Operations and Maintenance
Manuals”
II. Contract/Construction Management
stage 1: construction period
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Activity 13 Inspection of
Works
• Inspect and Verify that the Outstanding Works have been Satisfactorily Completed
• Remedy Detected Defects• Final Taking-Over of Project at End of Defects Liability Period
II. Contract/Construction Managementstage 2: defects liability period
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Activity 13 Inspection of
Works
Activity 14 Defects Liability
Certificate
• Issuance of Defects Liability Certificate
II. Contract/Construction Management
stage 2: defects liability period
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Activity 13 Inspection of Works
Activity 14 Defects Liability
Certificate
Activity 15 Final Certificate and Final Report
• Final Statement submittal after Issuance of Defects Liability Certificate
• Issuance of Final Certificate• Final Report
II. Contract/Construction Managementstage 2: defects liability period
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III. PROJECT CONTROLSScope
- Continuous monitoring of actual project performance (Time, Cost, Quality).
- Assessing performance and any needed corrective/preventive action.
- Maintaining accurate and updated information base through the project’s cycle.
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Project Controls Time & Cost
- Review time schedule/cash-flow estimate.
- Review material submittals/shop drawings schedules.
- Record delays and advise on recovery measures.
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Project ControlsTime & Cost - BENEFITSProject Controls of the project schedule will enable:
Baseline– Identifying Project WBS and Baseline Schedule– Identifying Critical Activities– Resources Requirements– Anticipated Cash Flow (S-Curve)
Progress and Update– Measuring Progress/Performance– Identifying delays and sources of delay (through further side analysis)– Assessing the need for rescheduling and determining which activities need to be rescheduled
Changes– Potential effect of Variation Orders– Analyzing Contractors’ Claims for Extension of Time
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PLANNING & SCHEDULING
- Critical Path Method (CPM)
- Critical Path Activities
- Logical Relationships
- Total Float (TF)
- Free Float (FF)
- Constraints
- Resources© www.asia-masters.com
REPORTS
Resources - Histograms
PLANNING & SCHEDULINGSCHEDULE COMPRESSION
• Shortening the Project Schedule duration without reducing the project scope which might increase the project cost.
SCHEDULE UPDATE• Starts with monitoring of the project activities, collecting key progress information
that would be translated into the following at the end of the reporting period (data date, time now or as of date):
Actual Start of progressing/completed activities Actual Finish for completed activities% complete/remaining duration/expected completion date for progressing activities
The above information is entered into the Update Schedule and the schedule calculation performed.
• The Updated Schedule is compared to the Baseline
Schedule The Critical Path may change.
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Progress Monitoring & ControlBaseline Vs. Updated Schedule
ESSENTIAL FACTORSConstruction Contract Documents to specify clearly the requirements for the construction schedule:
– Category of Software (by name or of similar capabilities)– Phasing– Milestones– WBS– Interface with other construction projects– Level of detail– Short activities duration, quantities and cost (based on
BOQ), resources (labor and equipment)– Activities to include submittal , approval and procurement of materials– Frequency of schedule update and reporting– Type of reports to be submitted (Logic Network, Bar
Charts, Tabular, Labor Histograms per trade and total, Equipment Histograms per equipment and total, Cost in tabular, histogram and S-Curve formats, Earned Value)– Calendar
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Project CalendarsA calendar of working days or shifts that establishes those dates on which activities are worked, and nonworking days.Nonworking days include holidays.
A project can have a unique calendar or multi-calendars.
Example: Activity with duration of 18 working days.
ESSENTIAL FACTORS
Progress Reporting
Cost Control• Review and process interim payments
applications• Monitor quantities and variation
orders• Monitor cash flow• Evaluate change/variations impact• Develop cost forecasts• Calculate the earned value• Develop, implement, update project
cost• Monitor/Identify variances between
actual/budgeted costs
ReportCost (Value)
Histogram and S – Curve
Earned Value
Specific technique for measuring performance of work based on activities’ costs
BCWS: Budgeted cost of work scheduled (Planned Value)
BCWP: Budgeted cost of work performed (Earned Value)
ACWP: Actual cost of work performed (Actual Cost)
Schedule Variance (SV) = BCWP – BCWS
Cost Variance (CV) = BCWP – ACWP
• Schedule Index (SI) = BCWP/BCWS
• Cost Index (CI) = BCWP/ACWP
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Planned Value
Earned Value
CV
BCWSACWP
SV
BCWP
(BCWS)
(BCWP)
(ACWP)
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Variation Order - Form
Quality Control
Quality is controlled through the following:
- Timely inspections and testing of works, materials and production plants
- Review and monitoring of Health, Safety and Environment (HSE) plan
- Inspection of material sources and list of suppliers
- Review and Approval of Materials and Shop Drawings
- Review of As-Built drawings and O&M manuals
- Submittal of certificates of guarantee
- Involvement of third party for laboratory testing
- Snag lists implementation© www.asia-masters.com
Submittal for approval of materials - Form
Request for Inspection - Form
QA/QC Auditing• Oversee QA/QC implementation• Oversee inspection/ testing process• Issue periodic audit reports
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Document ControlDocument Control in construction projects is the management of contract documents and the incoming and outgoing correspondence and their attachments and their flow to the members of the management team for action or information.
Parties involved are commonly:- Client- Funding Agency- Consultant- Contractor- Authorities- Stakeholders- Other
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Document ControlDevelop/Implement/Maintain Document Control system to cover:
- Contract Documents- Correspondence/Minutes of Meetings- Site Correspondence/Reports- Drawings Logs- Submittals
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Document ControlPrimavera Expedition
Global Report
Project Documentation- A referencing system for all project documents is
necessary to achieve proper document control and archiving.
- Referencing system applies to all documents and correspondences.
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XXXXX 001-W 001 1 of 1
Zone No. or Building No.
Discipline (Water Supply)
Serial No. (001)
Project Number X of Y
Referencing SystemExample of Drawings Numbering System
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The End
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