Project planning and initiation

PROJECT - venture taken to ensure that a deliverable is completed within a specific timeframe and that
certain criterion or objectives are met.
PROJECT PLANNING - involves the processes used to ensure that tasks are completed in an efficient
manner.
STAKEHOLDER - A person or an organization that is actively involved in the project or is positively or
negatively impacted by it.
Three types of planning:
 STRATEGIC PLANNING - high-level selection of overall project objectives, including the scope,
procurement routes, timescales, and financing options.
 OPERATIONAL PLANNING - involves the detailed planning required to meet the strategic
objectives .

SCHEDULING - which puts the detailed operational plan on a time scale set by the strategic objectives.
Gantt chart - popular project management bar chart that tracks tasks across time. Since then, it has
become common to track both time and interdependencies between tasks, which is now its everyday
use.
Logic Network - indicates the sequence of activities in a project over time. It shows which activity
logically precedes or follows another activity. It will help you understand the dependencies in your
project, timescale, and its workflow.
PERT - method for analysing the tasks involved in completing a given project, especially the time needed
to complete each task and identifying the minimum time required to complete the total project.
Product Breakdown Structure (PBS) - exhaustive, hierarchical tree structure of components that make
up a project deliverable, arranged in whole-part relationship. PBS can help clarify what is to be delivered
by the project and can contribute to building a work breakdown structure.
Work Breakdown Structure - hierarchical decomposition of the deliverables needed to complete a
project. It breaks the deliverables down into manageable work packages that can be scheduled, costed
and have people assigned to them.
Client’s organisation - interested in the plan of the overall project from the acquisition of the land to the
productive use of the facility.
Designers - the order in which various sections of work will be designed, the numbers of designers
allocated to each work section, and the cost, in terms of designer-hours, of the design tasks.
Contractor - has historically put greatest effort into the planning process because the results of a well-
planned, carefully monitored and controlled contract reflect directly in the profitability of the contract
and the company.
Work - time needed to accomplish a task.
Duration - time needed to get the work done, accounting for everything else that needs to get done as
well—real life.
Optimistic time - shortest time in which the activity can be completed.
Most likely time - completion time having the highest probability.
Pessimistic time - longest time that an activity may take.

Project organization - structure that facilitates the coordination and implementation of project
activities.
Organizing - function of creating in advance of execution the basic conditions that are required for
successful achievement of objectives.
Organizational structure - system that outlines how certain activities are directed in order to achieve
the goals of an organization. These activities can include rules, roles and responsibilities.
 flows from level to level within the company.
3 Common Types of Organizational Structure in Project Management:
 Functional Organization - people are grouped by areas of specialization.
 Projectized Organization - the entire company is organized by projects.
 Matrix Organization - aims to get the benefits from these two previous organizational
structures.
General goal of any organizational structure is to establish the proper relationship among:
o The work to be done
o The people doing the work
o The workplace(s)
Organizational Designs:
 Circular - ability to show the relationship of the construction manager to all the other operating
departments in the company and the project.
 Vertical - establishes the number of layers in the organization.
- every layer introduces a communications filter into your organization, and each filter is a potential
choke point for the necessary flow of vital project information.
 Horizontal
Classification of Organizations
1. Formal Organization
- the structure that details lines of responsibilities, authority and position
2. Informal Organization
- a network of personal and social relationships which spontaneously originates within the
formal set up

Line and staff functions - in an organization are best defined by looking at the project goals. Our main
goal is a quality facility built on time and within budget. To build a quality facility, we must produce a
sound design and deliver the project resources in a timely manner. That means that all design,
procurement, and construction teams must perform in a focused capacity if they are to meet the main
project goals. The key line functions in each of these organizations must be effectively supported by
efficient staff functions.
Line function - one that directly advances an organization in its core work.
Staff function - supports the organization with specialized advisory and support functions.
Corporate organizational structures and policies - vary greatly, depending on the size and the type of
market the firm serves. Differences due to size tend to reflect themselves in the number of duties
assigned to individuals. Small firms use multifunctional people, whereas larger firms have enough
volume to afford specialists or departments to handle the work.
typical corporation organizational structure:
(1) board of directors
(2) officers
(3) employees
(4) shareholders or owners

Project Organizational Chart

Includes:
• owners (clients),
• central engineering departments,
• design consultants,
• construction contractors,
• and subcontractors
Construction Group
• engineering,
• project controls,
• procurement,
• personnel,
• and the administrative functions
SELECTING, MOTIVATING AND ORGANIZING THE PROJECT TEAM

1. SELECTING PROJECT TEAM

a. Know the candidate’s Abilities
b. Selecting the person that will fit on your team
Choosing only quality people is a matter of luck. You can’t avoid some lesser- quality
performers.
2. MOTIVATING PROJECT TEAM
Tools in motivating project team
a. Establish the project goals and in still them into the minds of the key players
Writing Job Description
• The project team job descriptions should not be the standard claptrap found in the
departmental files. An interesting approach to preparing the project job descriptions is
to have the team members start by writing their own. When they present the drafts for
review, you are sure to be surprised by just what they think their jobs are. The chances
of developing good job descriptions are improved when you work out the final drafts
together. The final drafts must be typed and made a part of both the project
organization and the team-member files
b. Generate ideas on how they can be met and on the role to be played by each member in
meeting them.
Management by Objectives (MBO) - personnel management technique where managers and
employees work together to set, record and monitor goals for a specific period of time. Organizational
goals and planning flow top-down through the organization and are translated into personal goals for
organizational members.
Making the MBO system work
The objectives for the program already have been set by selecting and stating the specific
project objectives (project goals) and getting the team members to buy into them. Writing the
objectives into the job descriptions gives everyone involved a clear and permanent statement of what is
expected.
According to Peter Drucker in his 1954 book, The Practice of Management.
“Having a say in goal setting and action plans encourages participation and commitment among
employees, as well as aligning objectives across the organization.”
MBO system forces the CM to delegate the responsibility for meeting specific project goals and
to force the decision- making process as far down into the organization as possible.
c. Have a system of project bonuses for key team leaders

3. Organizing Project Team

(i). Organizing the Job in the Office

Article 3 of the 1997 edition of AIA Document A201- General Conditions requires the contractor
to; "carefully study and compare the various drawings and other contract documents relative to the
work . . . any errors, inconsistencies, or omissions discovered by the contractor shall be reported
promptly to the architect as a request for information."
Changing CSI specification division numbering
In 2004, the Construction Specifications Institute (CSI) reissued their standard Specification
Division numbering system, adding many more divisions beyond the previous Division 17 designation.
Addendum - applies to changes in scope made before the issuance of a signed contract with the general
contractor.
Bulletin - changes made to either the plans and/or specifications after the contract signing.
Project files - All the written materials coming into, and going out of, the construction office will end up
in files, and it is important that they are easily retrievable.
Central file - a companywide filing system must be established, if it isn't already in place, so that all filing
is uniform. The main purpose of filing is to be able to retrieve a document that is needed, and usually
rather quickly.
Chronological file – a quick flip through the time period when it was supposedly sent or received will
retrieve the document in a hurry.

(ii). Organizing the Estimate

During the period when the project was competitively bid or negotiated, the estimate was
probably modified several times and in many different ways. Numerous adds and deducts to various
elements of the estimate invariably occur as late bids are received and analyzed, and adjustments are
made.
Job Progress Schedule - initially roughed out as the job is being estimated to primarily determine the
duration of construction for General Conditions time-related costs.
Critical Path Method (CPM)
The order list of predecessors and successors and, most importantly, the duration of each
activity within the critical path.
As we all know, the CPM schedule provides:
• Concise information regarding planned sequences of construction
• Proposed calendar dates when activities will start and finish
• The identification of critical activities
• A matrix that can be manipulated to change the project's completion time, if required
• A basis for scheduling subcontractors, material, and equipment deliveries
• A basis for balancing scheduling, manpower, equipment, and costs
Activity duration times
The success of the CPM process hinges on the ability to determine activity duration time since
this is the system's basic building block. Subcontractors and vendors, committing to duration times, are
prone to be risk averse and therefore may add duration time much above that actually required.
The project meeting minutes
The minutes documenting the events that transpire at project meetings, whether they be with
vendors, subcontractors, inspectors, building officials, owners, or their design consultants are
considered "official business records,". It is one of the most important documents, some would say the
most important document, produced during the term of the project are minutes of meetings.
The information to be placed in the minutes includes:
• The project meeting number and the date of the meeting.
• The initials or the name of the person preparing the meeting.
Other forms to consider when getting organized
The following documents will be submitted along with the invoice for offsite stored materials and
equipment:
• A list of the specific equipment or materials for which payment is requested
• Location of the stored materials (some owners require storage in a bonded warehouse)
(iii). Organizing in the Field
Part of the project manager's responsibility is to assist the job superintendent in organizing the
field office at the beginning of the project. The field office must be organized to receive and store, for
rapid retrieval, all the paperwork, reports, and drawings that will be forthcoming from the office,
subcontractors, and design consultants.
Shop Drawing Organization
• Shop drawings should be placed on a plan rack if full size, or in a file drawer if only letter size,
but only when they are approved. All unapproved shop drawings be stored in an area that is not
accessible to anyone but the superintendent, and that they are clearly marked "NOT APPROVED-
DO NOT USE."
The Future of Project Organization
Key Words :
• Linking
• Integration
The shortage of qualified, experienced managers in the construction industry requires each
manager to become more productive and reduce the duplication that exists in many areas of project
management today

PROJECT MOBILIZATION - critical time in the birth of any project. Construction projects are almost
universally task-force-oriented, which means that the people who are assigned to your project will be
charging full-time to it whether they are working productively or not.
Periods of Personnel Shortage
Make your staffing needs known to the personnel providers as soon as possible to give the
suppliers ample lead time to locate the human resources. In a case of oversupply, don't take people
early just to satisfy some department head's desire to cut departmental overhead. Bring your key
people on board first to assist in the project-planning phase, as we discussed earlier. If there is a
personnel shortage, you may want to consider taking on a few good, key people sooner if they are likely
to be snapped up by another project. You will have to weigh cost versus potential benefits.
Updating the organization chart
The organization chart should be kept up to date as project personnel changes occur in the
course of the job.
Construction organizations
It is necessary to discuss the various methods of project execution available to us because it's
impossible to tell how the organization operates just by looking at the organization chart.
Design-build organizations
This contracting mode introduces a significant home office input in the form of the design team
required for the project. Design teams have the option of being operated in task-force or matrix mode.

Project Managers

 functional control only of the field work and not of the day-to-day construction
operations.
 responsible for meeting the overall project goals of finishing a quality facility on time
and within budget.
 PM's responsibility for construction is to ensure that none of the major project goals is
placed in jeopardy during the execution of the field work.

The leader of the construction team can be known by a variety of titles.

"construction [or field] superintendent."= "construction manager"/CM

Some heavily construction-oriented companies even use the title "project manager" for the person in
charge of the construction operations.

Field superintendent - used for the person in charge of the actual construction operations under the
construction manager.
Client's Field Fngineer - usually is assigned to the construction site to protect the client's interests in the
field.
A&E - has no contractual relationship with the contractor and acts only as the owner's representative.

Any communications with the contractor affecting contractual matters must be made through the
owner's project manager.
Field Superintendent

 The most important line function in the construction organization takes place under the
direction of the field superintendent, who man- ages the largest commitment of human and
physical resources on the project.
 must be supported by a staff of area engineers, craft supervisors, and craft foremen.

Staff of Area Engineers, Craft Supervisors, and Craft Foremen.

 Those people are responsible for planning the work and organizing the personnel to meet the
detailed work schedules. They also coordinate activities among the different crafts and are
responsible for the quality of the work as well as safety in the workplace.

Field staff functions

A. Field Scheduling Group

 The field scheduling group reports to the construction manager and is responsible for
maintaining the construction scheduling activities with- in the overall project schedule.
 The key role of the field scheduler is to lay out the work to be accomplished in the field each
week. That is usually done in a weekly scheduling meeting attended by all the key construction
and subcontractor supervisors.
 The field scheduler converts the CPM (Critical Path Method )construction schedule to a bar-
chart format for the detailed control of the execution of each construction activity in the field.
 The field scheduler is in charge of organizing and chairing the weekly scheduling meeting. The
CM attends the meeting to monitor progress and arbitrate disputes as they may arise.
 The field scheduling group also reviews the weekly progress with the field superintendent, area
and field engineers, and subcontractor supervisors to monitor and record job progress.
 The weekly schedule reports are rolled up into a monthly report for inclusion in the CM's field
progress report. Problem areas are reviewed at least weekly with the CM to develop effective
strategies for solving them.
B. Field Cost-Control Group
 reports directly to the construction manager, and is responsible for the field cost-
engineering activities.
 Chief among those duties are monitoring the field cost-control system, field change
orders, and preparing the field cost report.

In conjunction with the field superintendent, the group also calculates the percent completion of the
field work. By balancing the percent complete against the cost, it calculates the productivity of the field
forces. If field productivity lags, it is extremely important to get it back on track immediately. Otherwise,
the construction budget will be over- run. Monitoring field-labor productivity is probably the most impor
tant cost-control activity under the CM's control.

Although it doesn't show up on the organization chart, both the field scheduling and cost-control groups
must have a tieback into their respective home office supervisors. This is necessary to prevent a strong-
willed construction manager from dominating the field cost and schedule groups, and forcing them to
issue overly optimistic cost and schedule reports. Such an idea may seem farfetched, but exactly that
situation occurs quite often. Home office PMs and construction supervisors should monitor that area of
organizational conflict of interest very closely.

C. Field Engineering Group - which directs the technical activities in the field. It receives the
technical documentation from the design group and distributes it to the field team.
D. Office Manager - final staff person to round out the construction manager's staff. He or she
reports directly to the construction manager and handles the administrative duties in the field
office.