The Factors affect Construction Industry

1. CONSTRUCTION
INDUSTRY

2. AIM
TO GIVE A BRIEF IDEA ON
VARIOUS FACTORS WHICH
AFFECT THE CONSTRUCTION
INDUSTRY

3. OBJECTIVES
• CONSTRUCTION INDUSTRY IN LOCAL AND
GLOBAL ENVIRONMENT
• CONSTRUCTION INDUSTRY IN RELATES TO
ECONOMY
• CONSTRUCTION INDUSTRY IN RELATES TO
EMPLOYMENT OF LABOUR
• IDENTIFY THE BUILDING TEAM AND THEIR
ROLE IN A PROJECT

4. CONSTRUCTION INDUSTRY IN LOCAL
AND GLOBAL ENVIRONMENT

5. 5
INFRASRTUCTURE
CONSTRUCTION
OF BUILDING
Disparity
in
Payment
CONSTRUCTION
INDUSTRY

6. CONSTRUCTION INDUSTRY IN LOCAL

7. • Related codes
• Zoning ordinances
• Subdivision
Regulations
• Planning laws
• Licensing
requirements
• Environmental
regulations
• Safety legislation
• Monetary and
Fiscal policies,
• Tax laws,
• Financial
institution
operating rules,
• Wage regulations.

8. AN ACT TO PROVIDE FOR THE DEVELOPMENT OF THE CONSTRUCTION INDUSTRY IN SRI LANKA

9. • REGULATE
• REGISTER
• FORMALIZE
• STANDARDIZE THE ACTIVITIES OF THE CONSTRUCTION
INDUSTRY
• TO PROVIDE FOR THE ESTABLISHMENT OF THE NATIONAL
ADVISORY COUNCIL ON CONSTRUCTION
• THE ESTABLISHMENT OF THE CONSTRUCTION INDUSTRY
DEVELOPMENT
• INDUSTRY DEVELOPMENT FUND AND THE FUND OF THE
CONSTRUCTION INDUSTRY DEVELOPMENT AUTHORITY

10. • TO PROVIDE MEASURES FOR THE IMPROVEMENT AND
WELLBEING OF THE INDUSTRY RELATED PROFESSIONALS,
MANUFACTURERS, SUPPLIERS, CONTRACTORS AND
CRAFTSMEN; AND FOR THE SETTLEMENT OF DISPUTES
RELATED TO CONSTRUCTION ACTIVITIES
• TO ENSURE PUBLICSAFETY IN THE CONSTRUCTIONINDUSTRY
OF SRI LANKA AND FOR MATTERS CONNECTED THEREWITH
OR INCIDENTALTHERETO

12. PLANNING & BUILDING REGULATIONS
• LAND SUB DIVISION & AMALGAMATION
• ACCESSIBILITY
• PARKING & TRAFFIC CONTROL
• PLOT USAGE
• BUILDING CATEGORY & HEIGHTS
• OPEN SPACES AROUND THE BUILDING
• REGULATION INSIDE THE BUILDING

13. FISCAL POLICY MONETARY POLICY
Implemented by the
government through annual
budget. {Government
expenditure and Taxes}
Implemented by the Central Bank
{Money supply and interest rate }
increase the level of income by
expanding the economy
Main objective is to increase the
level of income by expanding the
economy.
Main objective is to decrease the
level of income by contracting the
economy
Main objective is to decrease the
level of income by contracting the
economy.

14. CONSTRUCTION INDUSTRY IN
GLOBAL

15. • Developed countries are actively working
towards achieving a high-income status .
• Involves intensive transformation of the
economic structure.
• The governments have outlined an
economic road map to transform the
country in order to be recognised as a
developed nation.

16. • This requires average growth in GDP per
annum during the Plan Period.
• The construction sector is active and
features prominently in terms of policy
formulation and implementations.
• A comparison of the size of the construction
industry with developing countries suggests
that its contribution has been consistent and
stable

17. CONSTRUCTION INDUSTRY RELATED
IN ECONOMY

18. ECONOMY WHAT IS IT?????????

19. • Economy is the large set of inter related
production and consumption activities that
aid in determining how scarce resources
are allocated….
• There are mainly 2 types of the economy.
1. Micro economy
2. Macro economy

20. • EXAMPLE-it is about how money worked in
country, how they used money, utility
(satisfaction ) after consumer goal or services.

21. CONSTRUCTIONS INDUSTRY
• Present day construction industry is the most
important to all of us…..everywhere we can
see constructions industries. construction
can be based on civil engineering, building of
a dam, roads, wooden structure, real state
assets.
• This all things are done by very proper
calculations.

22. • Today construction industry has a great
impact on the economy of any nation.
• Any piece of infrastructure or real estate
erected around us is undertaken by segments
under construction industry.

23. The ways economy deals with the
constructions
• The construction industry is diversfirld.it
involves which clients like property builders,
property developers ,materials suppliers and
contractors.
• The construction industry brings cost effective
building solutions where in all these clients
play an active role to make the contract a
success.

24. • .

25. Construction field with economy…..
• Construction industry works with calculations
and within the frame work of credits .All of
construction works deals with money .when
the construction is over we have to pay for
labors, for travels, for excavations, for
materials.so all of things are involved with
the money
• Construction industry has main relationship
with economy because of GDP and GNP….

26. LABOUR PRODUCTIVITY TRENDS IN
SRI LANKA

27. WHAT IS THE GDP AND
GNP????????????
• GDP is standard for GROSS DOMESTIC PRODUCT.
This is the largest quantitative measure of a
nations total economic activity.
• More specifically GDP represents the monetary
value of all goods and services produced within
a nation’s geographic borders over a identified
period of time.
• GNP means GROSS NATIONAL PRODUCT is a
broad measure of a nations total economic
activity. GNP is the value of all finished goods
and services produced in a country in one year.

28. RELATIONSHIP BETWEEN LABOUR
COST AND PRODUCTIVITY
• LABOUR COST
• CONSUPTION
• PRODUCTION
There are special bond with consumer and
productor in the market.one moment we think
productor is a like economy and consumer is a act
like construction field, we can see this relationship
very clearly.

29. CONSTRUCTION INDUSTRY IN RELATES
TO ECONOMY IN SRI LANKA
• In the economy .There are mainly 2 types of
policies.
1.Fiscal Policy
2.Monetry Policy

30. Fiscal Policy
• Implement by the government through
annual bud jet.
• Government expenditure and taxes are the
main tools.
• Main object is to achieve economic
stabilization.

31. Monetary Policy
• Implemented by the central bank
• Money supply and interest rate are the main
tools.
• Government constructions can build after
money supply by the central bank.

33. CONSTRUCTION INDUSTRY
IN RELATES TO
EMPLOYMENT OF LABOUR.

34. Construction worker
A construction worker is a tradesman ,labourer
or professional employed in the Physical
construction of the built environment.
Construction workers often work under a
foreman.

35. TRADES
He division of labour of construction
encompasses a diverse range of skilled and
manual labour.

36. SAFETY
Construction safety is very important to ensure
a safe environment for the workers. All
construction workers need to be educated on
safety at each construction site to minimize
injury.

37. CONTROVERSY
• report described unsafe and unfair working
conditions and failure on the part of the
government to enforce labor standards in the
construction industry.
• The International Labor Organization (ILO)
estimated that, at the end of 2006, 90% of the
40 million construction workers in China were
migrant workers.Many of the migrant workers
turned to construction work after their farming
communities collapsed into poverty.

38. Labour relations in construction
The market demand in construction fluctuates greatly, often
within short periods and with uneven distributions among
geographical regions. Even when the volume of construction is
relatively steady, some types of work may decline in importance
while other types gain. Under an unstable economic
environment, employers in the construction industry place great
value on flexibility in hiring and laying off workers as their
volumes of work wax and wane.
There are many crafts in the construction labor forces, but most
contractors hire from only a few of these crafts to satisfy their
specialized needs. Because of the peculiar characteristics of
employment conditions, employers and workers are placed in a
more intimate relationship than in many other industries.

39. Non-unionized construction
The comprehensive plans of the
contractors' association apply to all
employees and crafts of a contractor
regardless of their trades. Under such
operations, workers have full rights to
move through the nation among member
contractors of the association.

40. Job-site productivity is influenced by many
factors which can be characterized either as
labor characteristics, project work conditions or
as non-productive activities. The labor
characteristics include:
• age, skill and experience of workforce
• leadership and motivation of workforce

41. The non-productive activities associated with a project may or may not be
paid by the owner, but they nevertheless take up potential labor resources
which can otherwise be directed to the project. The non-productive
activities include among other factors:
• Indirect labor required to maintain the progress of the project
• Rework for correcting unsatisfactory work
• Temporary work stoppage due to inclement weather or material shortage
• Time off for union activities
• Absentee time, including late start and early quits
• Non-working holidays
• Strikes
Each category of factors affects the productive labor available to a project as
well as the on-site labor efficiency.

42. Labour characteristics
• Quality of work
• Quantity of work
• Job knowledge
• Related work knowledge
• Judgment
• Initiative
• Communicative ability
• Interpersonal skills
• Ability to work under pressure
• Security sensitivity
• Planning effectiveness
• Leadership
• delegating

43. Project work conditions
• Job-site labor productivity can be estimated either for
each craft or each type of construction under a
specific set of work conditions. A base labor
productivity may be defined for a set of work
conditions specified by the owner or contractor who
wishes to observe and measure the labor performance
over a period of time under such conditions. A labor
productivity index may then be defined as the ratio of
the job-site labor productivity under a different set of
work conditions to the base labor productivity, and is
a measure of the relative labor efficiency of a project
under this new set of work conditions.

44. Labour law
Labour law mediates the relationship between
workers (employees), employers, trade unions
and the government. Collective labour law relates
to the tripartite relationship between employee,
employer and union. Individual labour law
concerns employees' rights at work and through
the contract for work. Employment standards are
social norms for the minimum socially acceptable
conditions under which employees or contractors
are allowed to work. Government agencies
enforce labour law.

45. Individual labour law
• Minimum wage
• Employment terms
• Living wage
• Hours
• Health and safety
• Discrimination
• dismissal

46. Building team and their
role in a project

47. The building construction industry is a wide
industry that encompasses many professionals.In a
project there is a building team.The building team
can be devided into some parts.
• The design team
• The contractor’s team
• The building material suppliers
• The regulators

48. The design team
The design team is responsible for the overall
layout and appearance of a building. An
architect may lead a design team. The design
team consists with,
• Architect
• Structural engineer
• Quantity surveyor
• The clerk of work

49. Architect
• Architects are licensed professionals trained in
the art and science of building design, develop
the concepts for structures and turn those
concepts into images and plans. Before
constructing a building, an architect needs to
draw a plan of the building. Architects create
the overall aesthetic and look of buildings and
other structures, but the design of a building
involves far more than its appearance.

50. Quantity Surveyor
The quntity surveyor prepares the bill of
quantities for building projects so that
contractor can accurately price the work. The
quntity surveyor works out the size of areas
and the volume of required materials from the
design team’s drawigs and specification.

51. The clerk of works
The clerk of works who is usually employed by
the client is an expert in how buildings should
be constructed. They use this knowledge to
make sure that the contractor builds the
building correctly and safety.

52. Structural Engineers
• They makes sure that buildings are
structurally stable.The engineer calculates
the weight of the construction materials,the
weight of the people and equipment who will
occupy the building and the maximum wind
pressure on the building.

53. The construction team
Main contractor
Sub contractor
Estimator
Surveyor
Contract supervisor
Site agent

54. The main contractor
• The main contractor enters into a contract
with the client to build the building according
to the design team’s drawigs, specifications
and bill of quantities.

55. The surveyor
• A land surveyor is the government authorized
specialist who is licensed to determine
boundaries, they determine the relative
positions of places on or beneath the surface
of the earth by measuring distances,
directions and elevations. They are the first
professionals to carry out physical work on the
construction site.

56. Estimator
• The estimator works out the cost of
constructing the proposed building shown on
the drawing and specification. If there is a bill
of quantities the estimator fills in the rates
and produces the total cost for the job.

57. Trades foremen
They are experienced at specific trades such as
brickwork, carpentry or plumbing. They organise
and control the workers in their own trade.

59. Thank you !