Construction Project Management background

1. CONSTRUCTION AND PROJECT MANAGEMENT
Speaker: Ar. Maribel C. Tubera, MsCM, UAP, PIEP

2. HISTORY OF MANAGEMENT THEORY
AND PRACTICE
1910
CLASSICAL ERA
ORGANIZING
1930
HUMAN ERA
LEADING
1950
CALCULATING ERA
PLANNING
1970
VALUES & BELIEF
ERA
CONTROLLING
1990
PRESENT
RECONSIDERING
ERA
RECONSIDERING

3. Classical Era
1910 - 1930 – ORGANIZING
Scientific Management
- Defining and
maximizing the
productivity of individual
jobs.
Bureaucracy
- Maximize
productivity of the
overall
organization.
MAJOR CONTRIBUTORS
Frederick Taylor
– Father of Scientific
Management
“In the past, man has been
first. In the future, the
system must be first.”
Max Weber
–the macro approach;
focused on employee’s
competencies

4. importance of
leadership and the
informal
organization;
employees have a
zone of indifference
Human Era
1930 - 1950 – LEADING
Mary Parker Follett
human resource
management; establish
child labor laws and rules
to protect workers from
unsafe working conditions
mother of the leading
era; organizations as
“communities”
Lillian Gilbreth
Chester Bernard

5. Management Science
▪ Operations research
▪ Operations management
▪ Break even analysis
▪ Forecasting
▪ Inventory modelling
▪ Linear programming
▪ Simulations
Calculating Era
1950 – 1970 PLANNING
Systems analysis

6. Institutionalization – when members of an
organization find themselves being controlled by
norms that often are not rational, by peer pressure,
by simple inertia.
Values and Beliefs Era
1970 – 1990 CONTROLLING

7. Reconsidering Era
1990 - Present
Ecological
sustainability
Social
Justice
Physical
well-being
Aesthetic
costs
Spiritual
Interest
Multi-stream management

8. Identifies the criteria
of “organized activity,
objectives,
relationships among
resources, working
through others and
decisions”.
(Cleland and King,
1983)
MANAGEMENT ORGANIZATION
“social structures
created by individuals
to support the
collaborative pursuit
of specified goals”.
(Scott and Davis, 2007)
The planning, co-
ordination and
control of a project
from conception to
completion (including
commissioning) on
behalf of a client,
requiring the
identification of the
clients objectives in
terms of utility,
function, quality, time
and cost.
CONSTRUCTION
PROJECT
MANAGEMENT

9. THE PROJECT
TEAM
....The Six Professionals in the Construction
Value Chain.mp4
“the product” requires the
integration of many
specialist skills for the
development of a
successful project.
‘TEAMS” one of the major
forces behind today’s
revolutionary changes in
organization.
(Schermerhorn et al.
2004)

10. • Objectives of project
management process are
those defined by the client,
and the role of project
management is to ensure that
the project organization
works to achieve the client’s
objectives.
• Decisions taken during the
process should be taken with
the sole purpose of
the client’s objectives.
OBJECTIVES AND DECISIONS OF PROJECT MANAGEMENT

11. Objectives
of the
client
FUNCTIONAL SATISFACTION
AESTHETIC SATISFACTION
COMPLETION ON TIME
COMPLETION WITHIN BUDGET
VALUE FOR MONEY

12. Resources
1. Materials
2. Machinery
3. Money
4. Manpower
5. Methods

13. Systems thinkingHard systems approach
• quantitative technique in project
planning, scheduling and
control.
• use of PERT or CPM
• earned-value measurement
• variance analysis
• cost-estimating techniques
• risk analysis,
• Monte Carlo simulation
• sensitivity analysis
• cost modeling
(Yeo 1993)
Soft systems approach
• concerned with human behavior in
organizations
• basic intellect
• ability to see more than one point
of view
• think logically
• to advocate
• to communicate
(Daniel 1990)

14. CLASSIFICATION OF CLIENTS
1.The Individual client
2.The Corporate Client
3.The Public client
CLIENTS

15. ROLE OF THE CLIENT
the structure of the client’s organization
the client’s knowledge and experience of
the construction process
the authority vested in the various levels
of client’s organization
the personal characteristics of the client’s
people who have responsibility for the
project.

16. • set clear objectives
• subject objectives initially set to careful
trade-off analysis
• consider objectives carefully when
choosing a procurement method
• communicate objectives clearly to other
involved parties and avoid conflicting
guidance to different parties
• ensure that reaction to unexpected events
involves proper revision and
consideration of client objectives
• provide clear direction and timely
decisions
• must assist the project management
team to drive to a successful conclusion.
RESPONSIBILITIES OF A
CLIENT

17. Skills of a PM
(internal factors of a person)
1. ability to determine the desire of the client.
2.analytical skills to turn data into information and breakdown
the project into comprehensible component parts.
3.technical skills- must at least be capable of comprehending
the work and speak the language of the people involved.
4.team skills- ability to motivate and enthuse a team
5.ability to delegate effectively
6.ability to manage your own time
7.balancing of stakeholders perceptions of project progress (or
being able to sell ideas)
8.negotiating skills
9.facilitating problem-solving
10.question all assumptions of stakeholders at all times

18. 4 FACTORS AFFECTING THE ROLE
OF PM
Responsibility - the scope of the control of the PM as they perceived
it
Authority - the organization’s view as to the scope of control of the
PM
Accountability - the set of outcomes that are determined to be
under the control of the PM
Credibility - the organization must stand behind the PM and back
the decisions that are made.

19. • No responsibility
without authority.
• No authority
without
accountability.
RULES FOR BALANCING THE
ROLE OF A PM

20. Human Resource Management

21. 21
Human Resources Management
• The HRM process consists of
planning, attracting, developing,
and retaining the human resources
(employees) of an organization.

22. 22
Human Resources Management
HR Planning
strategic HR planning; job
design
Attracting employees
recruiting; selecting
Developing employees
training & development;
performance appraisal
Retaining employees
compensation; maintenance; labor
relations; separation

23. Project Organization Structure
• Outlines the positions, responsibilities, authorities and
accountabilities of all the people involved in the project.

24. How to write job description?

25. Job Title
• Make your job titles specific. Targeted job titles are more effective
than generic ones, so be precise by including key phrases that
accurately describe the role.
Avoid internal lingo that may confuse the job seeker. Stick to
standard experience levels like “Senior” rather than “VI” or other
terms people are less likely to look for.
Keep the job title concise. Our data shows job titles that are 80
characters or less receive more clicks.
Research popular job titles. compare the popularity of job titles and
phrases within job postings.

26. Job Summary
• Open with a strong, attention-grabbing summary. Your summary
should provide an overview of your company and expectations for the
position.
Hook your reader with details about what makes your company
unique. Your job description is an introduction to your company and
your employer brand. Include details about your company culture to
sum up why a candidate would love to work for you.
Include an exact job location. Provide an exact job location to
optimize your job posting so it appears higher in job search results.

27. Responsibilities and Duties
• Outline the core responsibilities of the position.
• Highlight the day-to-day activities of the position.
• Specify how the position fits into the organization.

28. Qualifications and Skills
• Include a list of hard and soft skills. Of course, the job description
should specify education, previous job experience, certifications and
technical skills required for the role. You may also include soft skills,
like communication and problem solving, as well as personality traits
that you envision for a successful hire.
Keep your list concise. While you may be tempted to list out every
requirement you envision for your ideal hire, including too many
qualifications and skills could dissuade potential candidates.

29. Psychology of Project
Management
Advances of Project Management by Darren Dalcher

30. “Projects are concerned with bringing about
organizational change but often failed due to failure to
take sufficient account of psychological processes
involved in managing change and people”.

31. Selecting the Best Project Team
• High level of communication and influencing skills;
• Be able to build sustainable relationships;
• Be able to bond not only with the rest of the project team but also
with people outside the team;

32. Project team members will need to have a certain
level of emotional intelligence (EQ).
• Type of social intelligence – ability to monitor one’s own feelings and
emotions and those of the people around us.
• Be able to operate with minimum supervision.
• Need to be personally resilient and flexible.
• This will make the team more fluid and supportive of each other.

33. HOWDO YOU SELECT PEOPLE WITH THESE
SKILLS?
Psychometric tests – to select people with key skills and attitudes to
deliver successful projects.

34. Strong leadership is crucial to the success of
projects.
• The project manager's ability to motivate and inspire the project team
is a significant factor in project success.
• Know the different leadership styles
• authentic leadership,
• emotional intelligent leadership and
• transformational leadership
to match the maturity/ requirements of individual team members.

35. Engaging Stakeholders
• Sense of feeling valued and involved;
• Being involved in decision making;
• Having the freedom to voice ideas;
• Knowing that you will be listened;
• Feeling enabled to perform well.

36. People Side of Communication
• 65% of the information that people pay attention to is non verbal.
• Knowledge of communication as human behavior with greater
understanding of stakeholders and their performance.
• Different communication mediums.

38. Tasks
Resources
Time
PROJECT MANAGEMENT’S
THREE ELEMENTS

39. •On time delivery
•Within budget delivery
•High quality delivery
PM SUCCESS FACTORS

40. TECHNIQUES TO ENVIRONMENT
ANALYSIS
1. Market options matrix
2. SWOT analysis
3. PESTEL
4. Key drivers of change
5. Scenario based planning
6. Porter’s five forces model

41. MARKET MATRIX
1. Market penetration – depends on the maturity of the
market
2. Market development – expands potential market by
opening beyond its traditional territory
3. Diversification – develop strategy to seek alternatives
(related markets or completely new markets)
4. Product or services development – the objective is to
differentiate from competitors
5. Withdrawal – it may be uneconomical for supplier to stay
where there is over supply

42. SWOT analysis
• SW – technology, human resource,
expertise, specialized knowledge,
partnership
(strength/weakness – internal factors)
• OT – new market, shift of market to other
services or product
(opportunity/threats – external factors)

43. PESTEL – 6 INFLUENCES IN THE
ENVIRONMENT

45. KEY DRIVERS OF CHANGE
• From SWOT and PESTEL; identify the changes that result in
greater sustainability

46. SCENARIO BASED PLANNING
• A Model of possible future environment for the organization.
• Used to analyze the environment

47. PORTER’S FIVE FORCES FRAMEWORK

48. MANAGEMENT
PRINCIPLES IN CPM

49. Project Production Management
Systems
1. TQM (Total Quality
Management)
2. Benchmarking
3. Stakeholder
Management
4. Lean Production

50. TQM
• It demands clear
• visions
• Mission
• goals
• Realistic targets
 High standards
 Detailed plan
 Specifications
 Procedure
 Instructions
 Inspection tests
Benchmarked

51. Benchmarking
• Firm’s business
• Management process
 Leaders in the field
Benchmarked
Key indicators:
1. Quality of end product or services
2. Productivity
3. Cost level
4. Delivery time
5. Safety
6. Sustainable criteria

52. Stakeholder Management
• Any individual affected by the
action of an organization.
• Those who have vested
interests that pose a threat or
benefit impacting the
outcomes and effective
management of construction
work.

53. • identifying of stakeholders
• gathering information about stakeholders
• engaging stakeholders
• analyzing the characteristics and influence of
stakeholders
• determining stakeholders’ strengths and weaknesses
• communicating and sharing information with
stakeholders
• evaluating needs and expectations of stakeholders
• prioritizing stakeholders
• predicting stakeholders
• identifying stakeholder strategy
• implementing stakeholder management strategy.
STAKEHOLDER
MANAGEMENT
PROCESS

55. • Advocates – the only group driving the change
• Opponents- high understanding but low agreement to the
project
• Indifferent- medium understanding and medium agreement
• Blockers- shows resistance; low understanding and low agreement
FIVE CLASSIFICATION OF
STAKEHOLDERS
• Followers- low understanding but support the
project and tend to “go with the flow”

56. • Zealots – support the project without question
• Golden triangles – supportive but some criticism
• Waiverers – can easily move between support and criticism
• Passives – little support or criticism
CLASSES OF STAKEHOLDERS
• Moaners – very little support and some criticism
• Opponents – consistently question the project
• Mutineers - high level of criticism and almost no support
• Schismatics – highly critical and highly supportive

57. RESPONSE DECISIONS IN CHANGING
STAKEHOLDER PERSPECTIVES FOR EFFECTIVE
GLOBAL PROJECT DELIVERY
• Project manager has different responses
available and can be classified into four
headings:
• Concession
• Compromise
• Defense
• Hold
• Transtheoretical Model of Change (TTM)

58. 5 STAGES OF TRANSTHEORETICAL MODEL
OF CHANGE (TTM)
1. Pre-contemplation: individual has the problem
and has no intention of changing
2. Contemplation : individual recognizes the problem
and is seriously thinking about changing
3. Preparation for action: recognizes the problem
and intends to change the behavior within the next
month
4. Action: individual has enacted consistent behavior
change for less than six months
5. Maintenance: individual maintains new behavior
for six months or more.

59. Lean Production
• Emphasis on producing to demand rather
than through batch process;
Aim:
Eliminate ALL defects
Using LESS
1. Input
2. Labor
3. Machinery
4. Space
5. Time in design

60. 3 TYPES OF MANAGEMENT
BY OPINION
BY INTUITION
BY FACT

61. Management by Fact
Work Process
1. Requirements – inputs, information, and materials
2. Activities - methods, procedures and techniques
3. Work products – product descriptions and standards

62. INTRODUCTION TO SIX SIGMA
• Six Sigma is a set of
techniques and tools for
process improvement. It was
developed by Motorola in 1986.
• Sir Bill Smith, “ the Father of six
sigma” introduce this quality
improvement Methodology to
Motorola.
Sir Bill Smith
“ the Father of six sigma”

63. Six Sigma
Is a powerful method that gives managers
and employees the KNOWLEDGE and
SKILLS to manage by FACT.
To produce higher level of:
• Productivity
• Efficiency
• Quality

64. Six Sigma
• Fact Based
• Data-driven
PERFECTION
 Delivery of products and
services
 Permanent solutions
 Quality improvement
 Decisions
 Business performance
 Problem solving

65. Six Sigma
Methods of Application
DMAIC- Define, Measure,
Analyze, Improve and
Control
DFSS / DMADV – Design for
Six Sigma; Define, Measure,
Analyze, Design and Verify;
 Use to design and
develop new products
and processes

66. 1. DMAIC
DMAIC is used for projects aimed at improving an existing business
process.

67. 1. DMAIC
The DMAIC project methodology has Five phases:
1. Define
2. Measure
3. Analyze
4. Improve
5. Control

68. Define the system, the voice of the
customer and their requirements, and
the project goals, specifically.
Measure key aspects of the current
process and collect relevant data.
DEFINE
MEASURE

69. Analyze the data to investigate and verify
cause-and effect relationships. Seek out root
cause of the defect under investigation.
Improve or optimize the current
process based upon data
analysis using techniques such
as design of experiments, poka
yoke or mistake proofing, and
standard work to create a new,
future state process. Set up pilot
runs to establish process
capability.
ANALYZE
IMPROVE

70. Control the future state process to
ensure that any deviations from target
are corrected before they result in
defects. Implement control
systems such as statistical process
control, production boards, visual
workplaces, and continuously monitor
the process.
CONTROL

71. 2. DMADV
DMADV is used for projects aimed at creating new
product or process designs.

72. 2. DMADV
DMADV project methodology has Five phase:
1. Define
2. Measure
3. Analyze
4. Design
5. Verify

73. Measure and identify CTQs (characteristics
that are Critical To Quality), product
capabilities, production process capability,
and risks.
Define design goals that are
consistent with
customer
demands and
the enterprise
strategy.
DEFINE
MEASURE

74. Analyze to develop and design
alternatives.
ANALYZE
DESIGN
Design an improved alternative, best
suited per analysis in the previous
step
VERIFY
Verify the design, set up pilot runs,
implement the
production process and
hand it over to the
process owner(s).

75. Implementation roles
oExecutive Leadership - CEO and other members of top
management. They are responsible for setting up a vision for Six Sigma
implementation.
oChampions - take responsibility for Six Sigma implementation
across the organization in an integrated manner
oMaster Black Belts, -act as in-house coaches on Six Sigma. With
superior level of competency using statistical method
oBlack Belts - operate under Master Black Belts; with advance 6
sigma background
oGreen Belts - are the employees who take up Six Sigma
implementation along with their other job responsibilities, operating under
the guidance of Black Belts.

76. CCPM
CRITICAL CHAIN PROJECT
MANAGEMENT

77. CCPM Critical Chain Project
Management
 was developed by Dr Eliyahu Goldratt in 1997.
 Is an outgrowth of the Theory of Constraints
 It was developed in response to many projects being
dogged by poor performance manifested in longer
than expected durations, frequently missed
deadlines, increased costs in excess of budget, and
substantially less deliverables than originally
promised.

78. Problems Faced by CCPM
Task Padding
Deadline Scheduling
Backward-looking metrics
Overlapping project starts
Multitasking
Critical Path

79. Problems with Traditional Project
Management
1. Student syndrome
2. Parkinson’s Law
"Work expands to fill (and often exceed)
the time allowed." -- Parkinson's Law
3. Cherry picking tasks

80. The specific steps to identify and manage a Critical Chain
schedule are as follows:
1. Reduce activity duration estimates by 50%
2. Eliminate resource contentions by leveling
the project plan.
3. Insert a Project Buffer at the end of the
project to aggregate Critical Chain
contingency time (initially 50% of the
critical chain path length)
4. Protect the Critical Chain from resource
unavailability by Resource buffers.

81. The specific steps to identify and manage a Critical Chain
schedule are as follows:
5. Size and place Feeding Buffers on all paths
that feed the Critical Chain.
6. Start gating tasks as late as possible.
7. Ensure that resources deliver Roadrunner
performance.
8. Provide resources with activity durations
and estimated start times, not milestones.
9. Use buffer management to control the
plan.

82. Initiating processes/Conceptual study
Project planning/Feasibility Study and
Programming
Project implementation and design
Production and Installation Phase
Guarantee Phase
PROJECT
MANAGEMENT’S FIVE
PROCESSES

83. INITIATING PROCESSES/CONCEPTUAL STUDY
It doesn’t matter how fast you’re
going if it’s in the wrong direction.”
-Stephen Covey
PURPOSE:
1. Clarify the PM’s responsibility and
authority
2. Clarify the project objectives, the
user’s requirements, and
estimated time, costs, and risks of
the project.
3. Obtain sufficient information in
order to have an approval of
further work on the project.
Include:
1. Information on who
prepared, reviewed, and
approved the document
2. Project summary
description
3. Contacts with regulatory
authorities
4. Decision, coordination
and integration
5. How should change
management work?

84. PROJECT STUDY/ FEASIBILITY STUDY AND PROGRAMMING
A. Basic Design, Principal drawings, Documents
PURPOSE:
1. Ensure the project’s functional requirements.
2. Ensure the project’s technical requirements when this is important
3. Plan the management of all knowledge areas.
4. Determine how and when to do things and who is responsible for
different parts of the project.
• Principal drawings for electricity, water supply, sewage and HVAC design
must be prepared early in the design phase.
–Monitor and assess project cost at completion.

85. PROJECT STUDY/ FEASIBILITY STUDY AND PROGRAMMING
B. Building document design and preparation of inquiry
documents for Design-build-construct (DBC) Contracts
PURPOSE:
Create clear technical and administrative documents that will form the basis
for inquiring, contracting and production.
Progressive design and coordination of drawings from different consultants,
reduce redesign during the production phase and minimize the number of
changes to contract documents.

86. PROJECT STUDY/ FEASIBILITY STUDY AND PROGRAMMING
C. Detailed Design: inquiry and building documents for
Design-construct (DC)/Turnkey contract.
PURPOSE:
1. Ensure overall objectives, without limiting the possibility for the
contractor to produce economic solutions.

87. Project Plan
• It integrates all the individual plans into one
coherent document.
• Have an efficient method of keeping the people
involved in the project informed so that they
know what to do, how to do it and when to do
it.
• Encourage the participants to give accurate
feedback on their progress.

88. Project Plan
1. Project charter – document for the existence of the project
2. Phase charter – outline the objectives of the phase and how they
are to be achieved
3. Scope plan – outline of work included in the phase and the not
included works; drawings, bill of materials and specifications.
4. Configuration plan – hoe components of the project will work
together; this is important when approving scope of changes.

89. Project Plan
5. Build method plan – how the project will be manufactured or
assembled
6. Time management plan – ex. Techniques are : CPM; Gantt chart
7. Execution strategy plan – buy or make decision. Consider the
availability of in-house resources and expertise and the benefits of
outsourcing work
8. Procurement plan – how to procure all the bought-in items at the
best price, the right time and the req’d quality.

90. Project Plan
9. Resource management plan – how to supply the skilled
workforce, machines and equipment
10. Cost management plan – how to complete the project
within the project budget
11. Risk management plan – how to complete the project
within an acceptable level of risk
12. Quality management plan – this includes quality assurance
and quality control; to guide and enable the project to meet
the required conditions
13. Communication plan – include the collection, storage and
dissemination of project information. Scheduled proj
meetings, progress reporting, documentation control and
administrative closeout

91. PRODUCTION AND INSTALLATION PHASE
PURPOSE:
Contractors and suppliers quality and management plan (ISO 9000 and ISO
14000).
The contractor becomes the client of subcontractors and suppliers.

92. GUARANTEE PHASE
PURPOSE:
1. The project’s product is transferred from PM to the operations and
maintenance department.
2. Delivery of as-built drawings and operations and maintenance
instructions.
3. Guarantee periods for the same building may vary for different products
and work.
4. Guarantee periods may be extended for specific items or work.
5. Client should return all bonds and bank guarantees, etc., after the defects
are solved and approved.

93. PROJECT LIFE CYCLE

94. Thank you !! 

95. Reference:
Project Management in Construction 6th Edition by Anthony Walker, 2015.
Project Management by Harvey Maylor, 1996
Managing Difficult Projects by Andre A. Costin, 2008
Practical Project Management for Building and Construction by Hans Ottosson, 2013
https://carstenknoch.com/2013/02/how-to-estimate-a-project-using-microsoft-project/
Lean Six Sigma Service Excellence A guide to Green Belt Certification and Bottom Line Improvement by Gerald
M. Taylor, 2009
Modern Construction Management Seventh Edition by Frank Harris and Ronald McCaffer, 2013
Be Fast or Be Gone: Racing the Clock with Critical Chain, by Andreas Scheer, 2011
Critical Chain Project Management, 3rd Ed., by Laurence P. Leach, 2014
Lean Project Management: Synthesizing the Tools of Professional Project Management and Modern System
Improvement Methods, by Lawrence P. Leach, Shane P. Leach, 2010
Critical Chain Project Management – A Concept Used by The Great Military and Aerospace Companies of The
World, by Chris Scott, 2011
Goldratt, Eliyahu M. : Critical Chain, North River Press, Great Barrington, MA. 1997

96. Reference:
Advanced Project Management – Fusion Method XYZ – A project methodology systems approach for the
project sponsor to implement corporate strategy by Rory Burke, 2011. Burk Publishing
Value Engineering – A practical approach for owners, designers and contractors by Larry W. Zimmerman, Glen
D. Hart, 1982. Van Nostrand Reinhold Company Inc.
Modern Construction Management Seventh Edition by Frank Harris and Ronald McCaffer, 2013. John Wiley &
Sons, Ltd.
Value Management of Construction Projects Second Edition by John Kelly, Steven Male, Drummond Graham,
2015. John Wiley & Sons
Project Scheduling and Cost Control – Planning Monitoring and Controlling the Baseline by James C. Taylor,
PMP, 2008. J. Ross Publishing Inc.
Construction Methods and Management Fourth Edition by S. W. Nunnally, 1998. Prentice Hall Inc.
Corporate Strategy in Construction: Understanding today’s theory and practice by Steven McCabe,
2010
Green Construction Project Management and Cost Oversight by Sam Kubba, 2010
Management of Global Construction Projects by Erdward Ochieng, Andrew Price & David Moore, 2013
Nishahda, “How to Use Gantt Charts to Plan Projects Like A Boss”, http://creately.com/blog/diagrams/use-
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Kidasa Software, Gant Charts, http://www.ganttchart.com/. [Accessed Aug 31, 2017]
Wallace Clark, The Gantt Chart (third edition), Pitman, London, 1952
“What is the Purpose of A Gantt Chart”, http://www.successfulprojects.com.au/purpose-of-a-gantt-chart/.
[Accessed Aug 31, 2017]