Project Management

Project management
Management of construction projects
Architect Suleiman Najdi
Seminar Objectives

The purpose of this seminar is to provide guidelines for use by public and engineers undertaking substantial construction projects, either for the first time or with little prior experience with construction project management.
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PROJECT MAMAGEMENT-GRANDTECH for training
Seminar Objectives

provides a comprehensive introduction to construction project management, including the applicability of the principles of project management and of all phases of project developmentfrom project initiation through planning, environmental clearance, real estate acquisition, design, construction, commissioning, and closeout.
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Seminar Objectives

To:
Provide tools and ideas for more effectively executing your projects
In a way that:
Develops understanding of the need to execute your projects more effectively
So that:
Develops understanding of some basic project management principals and practices Promotes teamwork All your organization's projects will be successful
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Hope is not a strategy

...
Implementation is never an accident. It is the result of high intention, sincere effort, intelligent direction and skillful execution. It represents the wise choice of many alternatives.
. . .
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Your Projects Cannot Afford to Fail

66 (.)deadline 55 :
o o o
Succeed 34%
Fail 15%
Over time or over budget 51%
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Benefits of Sound Project Management
Less overall project cost Less strain on working capital Effective use of resources More timely project completion Higher quality of the final product
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INTRODUCTION
Project Management Overview
What is a project? What is project management? What is project success? What factors determine project success?
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A Project When a task...

Has a defined objective Has a deadline Requires integration of knowledge and experience from various organizations
...

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WHAT IS A PROJECT?
Definition of a Project A project is made up of a group of interrelated work activities constrained by a specific scope, budget, and schedule to deliver capital assets needed to achieve the strategic goals of an Agency.
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All projects must have a beginning and an end. Project managers with prior relevant experience help keep projects on track. Projects are defined by their scope, budget, and schedule. Project life cycle phases for a typical construction project are initiation, planning, design, construction, commissioning, and closeout. The level of project management effort depends on project size, type, and phase.
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Characteristics of Projects
Scope of work Budget Schedule : : :
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Project Management Objectives

to execute a project so that deliverables can meet scope requirements on budget and schedule, and at acceptable risk, quality, safety, and security levels. Successful projects balance project scope, cost, and schedule with user needs and project constraints.
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Step to success
Successful projects balance project scope, cost, and schedule with user needs and project constraints. Identification of the user needs, project constraints, and resource requirements early in the project life cycle help projects meet their objectives.
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Threats
The greatest risk to project success is scope creep. .
The project manager will need to address such changes through CIP retracing of the CIP process and . obtaining new project authorization.
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PROJECT DEVELOPMENT
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PROJECT DEVELOPMENT
PURPOSE OF THIS CHAPTER
This chapter discusses the process for developing a Capital Improvement Plan (CIP) including: how a CIP is prepared, the organization needed to support a CIP, the identification of capital asset needs, how to prioritize projects within a CIP, financial planning to balance capital expenditures with other uses of funds and sources of available funding, and ways in which projects are authorized.

:) CIP( CIP CIP CIP .
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During project development, the Agency identifies the need for a project, assesses the projects ranking in importance relative to other projects, analyzes its funding requirements, and decides whether to authorize the . project for implementation. Not all projects in a CIP can be CIP immediately implemented due to funding and other constraints. .
FILLING THE GAP

development process requires a careful balancing of project costs against available financing . . identify any gaps between its existing and needed assets. .
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Integrate Agency Goals into CIP Evaluate & Select Capital Assets for CIP Fund & Authorize Projects
PROJECT DEVELOPMENT AND CIP PROCESS CIP
CIP CIP
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CIP
CIP
CIP

CIP

CIP
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INTEGRATE AGENCY GOALS INTO CIP CIP

Assessing the capital resources needed to achieve the Agencys goals Identifying gaps between current and needed capital resources Evaluating alternative approaches to filling the gaps . CIP .
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To identify any gaps between current and needed resources you will need an inventory of current capital assets. confirm that the Agencys goals and objectives align with the Agencys mission. Soliciting the opinions of operations, maintenance, and engineering personnel .
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Asset type, location, and status Physical condition and maintenance needs Use and level of performance Ownership of the asset when the service is contracted out. Comparing resources available with resources needed with enable you to identify any gaps and begin planning to fill them.
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Construct the capital asset Purchase the asset Modify and/or renovate an existing asset(s) Contract out the activity the asset would support Lease the asset Share the asset with adjacent agencies Privatize the activity the asset would support.
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When the first of these options, constructing the capital asset, is selected, then the project is added to the list of candidate projects for the Agencys CIP
CIP.
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Important to Know Agencys strategic plan is helpful for aligning the Capital . Improvement Plan to Agency goals. Operating, maintenance, and engineering personnel are a good source of information on the status . of current assets and new assets needed. There are alternatives to filling strategic needs with Agency . owned and operated assets.
Adopt a standard review and approval framework Use established criteria to rank and select projects Maintain a long-term CIP.
EVALUATE AND SELECT CAPITAL ASSETS FOR CIP CIP

CIP .
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EVALUATE AND SELECT CAPITAL ASSETS FOR CIP CIP Project Request Package
Project overview Benefits discussed in terms of support of Agency goals and objectives (addressing asset gap) Economic assessment (net present value, full life cycle cost, and funding requirement) Financing (grant, debt, and/or innovative financing) Project budget estimate Major milestones and deliverables Risk assessment.
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Project Request Package
) ( ( ) ) / ( .
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EVALUATE AND SELECT CAPITAL ASSETS FOR CIP CIP Important to Know
Projects need to be ranked and selected because Agencies face funding and other constraints. Established criteria are necessary for ranking projects. A project priority is established based on a complex mix of community requirements, government mandates, board priorities, operations, and organizational strengths and weaknesses.
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FUND AND AUTHORIZE PROJECTS

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Staged Authorization
project. Stages are selected based on completing a useful segment of the project that either: Provides better information on the costs, risks, and benefits of the project before committing the Agency to the full costs and funding of the project; or Delivers a component of the total project that itself is a useful asset that fills an identified asset gap where the resulting benefits exceed the staged project costs. : .
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Project Authorization Documentation

The topics addressed in the Project Request Package that resulted in the project being selected, incorporated into the CIP, and authorized for implementation. Attachment or reference to Agency decision to implement the project (such as Board action item). Description of project. Summary budget and funding. Summary milestone schedule. Assigned project manager. Authority delegated to project manager.
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Project Request " " Package . CIP .)( .
.
. . .
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PROJECT INITIATION
PURPOSE OF THIS CHAPTER how to plan an authorized project. Project Requirements Definition (PRD) Project Management Plan (PMP) supporting planning documents including the quality management, risk management, and contract plans.
Project Initiation Phase

the Agency plans how the authorized project is to be implemented. (what the project is to deliver and documenting) PRD. project delivery method, assesses the type and size of resources needed (PMP). Role of the Agency in Project Initiation Project initiation by the agency mangers Agency can retain a (PMC)
Project manager
The project manager is assigned by the Agency
project manager must have adequate authority to exercise the responsibility of forming and managing a team for support of the project. The project manager must have prior
experience managing similar projects in the past.
The project managers task now is to prepare the PRD.
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DEFINING THE PROJECT

Project Requirements Definition project manager refines and details what the project is required to accomplish in terms of the products/services the project will deliver and the scope of work common understanding
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Important to Know
A Project Requirements Definition defines what the project will accomplish. The Project Requirements Definition is the authoritative reference document of what the project is all about. Acceptance of the Project Requirements Definition by Agency executives confirms a common understanding of the project between the executives and the project
PLANNING THE PROJECT

Capability and Capacity Assessment project manager assesses the levels of resource capabilities and capacities Capability is a measure of a resources skill levels, experience, and ability to perform. Capacity is a measure of the quantity of the resources. The project manager may need to consult with peers or consultants
Project Delivery Strategy

A project delivery strategy determines the: Work done by the Agency and the work that is contracted out to consultant and/or construction contractors Degree of control the Agency maintains over how the work is done and the control transferred to contractors through contracting out Assignment of risks associated with the project work undertaken by the Agency and contractors. important that the Agency, through the project manager, retains the ultimate authority and accountability for the effective management of the project.
Project Management Plan

a road map on how to get the project done. The PMP sets out how the project is to be managed, executed, monitored, controlled, and closed through the phases The PMP is a living document and is updated as the project progresses
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Supporting Management Plans

Quality management plan The quality management plan describes how the project will comply with the Agencys quality policy in terms of the project procedures. Risk management plan Contract management plan
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Supporting Management Plans (Risk management plan)

how the project is organized and the procedures used to manage the project risks, addressing in the plan: Roles and responsibilities of project staff in risk management Identification of project risks Categorization of risks in terms of probability of occurrence and impact on project cost, schedule, scope, and/or quality Risk handling should the risk event occur, through either o Assumption Accepting the consequences of the risk. o Avoidance Changing the project deliverable design or work methods that lead to the risk. o Control Developing measures to reduce the risks probability of occurrence, continually re-evaluating the risk, and having in place contingency plans to adopt that mitigate the impacts of the risk. o Transfer Sharing or transferring the consequences of the risk with others, for example, through insurance or warranty provisions.
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Supporting Management Plans (CONTRACT MANAGEMENT PLANNING)

determines what products/services are to be delivered by the project team and those that will be contracted out. Contract Procurement Planning
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Contract Procurement Planning Types of contracts to be used. Choice of contract type depends on the nature of service/product purchased and choices on the division of risk between the owner and contractor; see Chapter 9. Who estimates the expected contract price. Who develops the scope of work statement for the contract. Use of standardized procurement documents and any special documents needed. Integration of procurement lead times into the project schedule. Incorporating contractual delivery dates into contracts that coordinate with the project schedule. Use of performance bonds and/or insurance contracts to meet the projects risk management objectives, including liability and insurance conditions and minimum limits to be met by the contractor. Establishing evaluation criteria to assess the selection of contractors; see Chapter 9. Definition of the procurement procedures for: preparation of procurement documents, advertising, bidder conferences, any bidder prequalification, receipt of proposals/bids, bidder interviews, selection, contract price negotiation, contract award and handling of protests. (In many instances the procedures used for project procurements will be those the Agency already has in place.)
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Contract Administration Planning The role of contract Administration is to make certain the contractor meets its contractual obligations, the Agency adheres to its contractual obligations, and the Agencys legal rights are protected.

Important of PMP and the contract management plan Delivering the project scope on time and within budget. Making certain contract parties meet their contractual obligations and protecting the organizations legal rights.
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The contract management plan sets out how this is to be achieved, addressing: Who has the authority to direct and approve the contractor to perform work How the contractors work is monitored and performance reported Process by which changes to the contractors work are requested, approved, and the contract modified What inspections and audits are to be conducted of the contractors work How the contractor requests payment and payment requests are reviewed and approved What financial audits are to be conducted on contractor payments How contract documents, correspondence, and other records are managed. (Chapter 9 provides additional information of what constitutes good project documentation for handling important contract administration activities such as contract changes and request for payment.)
PLANNING, ENVIRONMENTAL CLEARANCE, REAL ESTATE ACQUISITION

Planning functional analysis, alternative studies, site selection, hazardous material geotechnical studies, utility third party coordination
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PLANNING, ENVIRONMENTAL CLEARANCE, REAL ESTATE ACQUISITION

Role of Consultants/Contractors Important to Know Early role definition for project team members is necessary to balance the authority and responsibility. Consultants who take on the planning phase and take the project through environmental compliance are conflicted out of performing the final design. The Project Management Plan revision in this phase will highlight unique features related to the planning phase
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PLANNING STUDIES
Functional studies are prepared to define and document the users requirements. Alternative studies evaluate feasibility of potential solutions to meet users needs. Site selection requires thorough consideration of transportation needs and impacts of operations on the environment. Technical investigations and studies are undertaken to prove technical merits and flaws of the recommended alternatives and selected sites. Permitting
DESIGN
translation of the project requirements into detail drawings and specifications Design Phase takes the project requirements through design criteria and conceptual design to the final design and construction documents for a contractor to bid on.
Role of the Agency in Design

design phase to be a success, project manager must commit the time necessary. appropriate understanding of the project's scope. timely reviews and approvals should be given . construction capital cost estimates are developed during design, review the estimates, including the constraints ,balance the cost estimates within the budget.
Role of the Agency in Design

In general terms, your role as a project manager is to: Review and approve design concepts, preliminary engineering, and final engineering Provide and coordinate design review comments Participate in VE and risk assessment sessions Manage the design consultants efforts Monitor design costs and schedule Oversee QA Approve baseline capital cost and schedule Approve the construction bid package.
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Role of Design Consultants

prepare the construction bid package. scope of work for conceptual design, preliminary engineering, and final design.
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Role of Design Consultants

Establish design criteria and assess and address project risks. Perform conceptual design and preliminary engineering in support of the environmental clearance documents. Perform technical studies, develop engineering criteria, and conduct VE and risk assessment. Estimate capital cost and construction schedule throughout the design process. Prepare final design drawings and specifications and coordinate design submissions and reviews. Develop and apply internal QA/QC criteria for the review of deliverables. Update capital cost estimates and construction schedule throughout the design process. Produce final design drawings and specifications for the construction bid package.
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DESIGN PHASES
Project Scoping An effective way of containing project costs is to control the project scope during the initial Scoping and design The following costs should be considered and refined throughout the project development process:
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DESIGN PHASES
Agency Project Administration Surveys Topographical and Boundary Real Property and ROW Acquisition Geotechnical Investigation Engineering for Design and Construction Support Cost Estimation VE Peer Reviews Utility Services to Site Construction Construction Inspection/Management Owner Furnished Equipment
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Conceptual Design and Preliminary Engineering

included during the conceptual design process include assessing the spatial area requirements
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Design Criteria
satisfy the needs of the Project Requirements Definition (PRD). design criteria must not change (unless)
Important to Know Design Criteria Codes Design Standards Document Standards Drawings , Specifications, Estimate, Schedule, and Calculations Project Requirements Definition Design Schedule Project Budget
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Alternative Analysis
different concepts for the project within the identified design criteria.
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Conceptual Design
design consultant will develop graphic plans based on functional requirements and safety as identified for the preferred alternative. analyze the project site(s) architectural plans, elevations, Landscaping plan, site boundary, and topographic surveys.
Conceptual Design
Important to Know Code Analysis Zoning Analysis Topographical Survey Boundary Survey Existing Utility Survey Geotechnical Survey Environmental Survey Space Programming Alternative Layouts Alternative Cost Analyses Community Outreach Traffic Impacts Noise Abatement
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Preliminary Engineering
Important to Know Layout Refinement Available Utility Service Analysis Architectural and Engineering Systems Definition Preliminary Plans, Elevations, Sections, Schedules Discipline Coordination Outline Technical Specifications Preliminary Analyses and Calculations Preliminary Construction Schedule Preliminary Staging Plans Preliminary Cost Estimate Completion of Site Surveys and Right-of-Way Certificates Finalize Geotechnical Investigations Finalize Environmental Investigations
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Final Design
The final design team will develop the construction bid package that contains the final drawings and specifications for the project required to solicit and obtain construction contract bids.
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Final Design
Important to Know Final Design Final Plans, Elevations, Sections, Schedules
Detail Development
Final Technical Specifications Discipline Coordination Summary of Work Preparation Temporary Facilities and Controls Defined
Local Legal Requirements Bid Forms, Bonds, Prevailing Wages, Etc.

Final Design Calculations Final Construction Schedule Final Construction Staging Plans
Construction Cost Estimate Update

Environmental permits
DESIGN MANAGEMENT
Finalize project scope of work and budget. Make certain that the design team is performing the work and services required by the scope. Provide assistance and guidance to the design consultant. Prepare and monitor the project schedule. Monitor project cost including cost of design, ROW acquisition, utility relocations, construction, etc., to keep costs within budget. Review and coordinate reviews of all design submissions, preliminary and final real property and ROW plans, design drawings, special provisions, specifications, and estimates. Accept and evaluate the quality of deliverable. Verify adherence of the design consultant to the QA/QC plan. Coordinate and oversee design review meetings, constructability reviews, and plan checks. Coordinate between the Agency and involved third parties (e.g., environmental agencies, municipal officials, municipal authorities, utility companies).
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DESIGN REVIEWS
Adherence to design criteria, environmental documents Quality of the design Identification of errors and omissions Building codes compliance Operational and functional objectives are met Coordination between engineering disciplines Adherence of cost estimates to the budget Designers feedback before progressing further Design is biddable, constructible, and costeffective Interface compatibility: adjacent project elements and the existing transit system Final construction contract documents comply with the design criteria, environmental document, codes, and regulations.
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DESIGN REVIEWS
Important to Know Design reviews involve a formalized, structured approach to assure interdisciplinary coordination and compliance with design criteria and environmental, site, and operational constraints. Design reviews are conducted to assure quality of products in development. Design reviews generally occur at the following points in the design process: design criteria, conceptual, preliminary engineering, or 30 percent, 60 percent, 90 percent, 100 percent, and bid documents.
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VALUE ENGINEERING
Important to Know Value Engineering is a systematic, multi-disciplined approach designed to optimize the value of each dollar spent. To accomplish this goal, an independent team of architects/engineers identifies, analyzes, and establishes a value for a function of an item or system. Value Engineering is to satisfy the required function at the lowest total cost (capital, operating, and maintenance) over the life of a project consistent with the requirements of performance, reliability, maintainability, safety, and esthetics. Value Engineering on a project should be performed early in the design process before major decisions have been completely incorporated into the design, at or near the end of preliminary design, or at 30 percent of design. Value Engineering review could add function and cost that have not been thought through previously.
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PEER REVIEWS
Peer review can be applied to any problem or situation where a second opinion can be useful. Peer reviews are intended to take advantage of the lessons learned by other agencies having done similar work in the past.
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CONSTRUCTABILITY REVIEWS
Important to Know Constructability reviews are necessary prior to completion of final design and preferred at 60 percent design to make certain what is depicted on the final drawings, technical specifications, and construction bid documents can be built.
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CONSTRUCTABILITY REVIEWS
Eliminate construction requirements that are impossible or impractical to build. Maximize constructability, recognizing the availability and suitability of materials, the capability of labor resources, and the standards of practice of the construction resources. Verify accurate depictions of site conditions with regard to access, utilities, and general configuration. Make sure of the adaptation of designed structures and features to the project site conditions and constraints. Determine adequacy of work and storage space including contractor access to the site. Determine appropriate construction durations and milestones. Verify requirements for QA/QC during construction. Clearly define procedures for scheduling outages and the feasibility of utility interruptions. Determine requirements for Agency-provided materials, equipment, services, and utility connections. Make certain that designs can be constructed using methods, materials, and equipment common to the construction industry. Pay attention to the requirements of the public including adjacent land use functions, existing transit patrons, and persons with disabilities. Make sure coordination is included with all operating elements of the existing transit system. Make certain adequate provisions are provided for access, staging, and storage of waste and supplies; parking for worker and construction vehicles; and mitigation of environmental impacts during construction.
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RISK ASSESSMENT
Important to Know Project risk is an unexpected event or circumstance that has a chance of occurring and that may prevent a project from meeting its schedule and cost estimate/budget. Project risks can be divided into two main categories: design/construction risks and financial risks. o Design/construction risks include weather conditions, contractors' inability to carry out the project, unforeseen site conditions, permitting delays, and so forth. o Financial risks include revenue shortfalls, changes in the project cash demands, and changes in interest rates, among other things. Risk is defined in terms of an event (what may occur to the detriment of the project), its probability (how likely it is to occur), and the amount involved (dollars of maximum possible loss or number of losses that could occur).
QUALITY ASSURANCE AND QUALITY CONTROL

Agency Oversight project manager, are responsible to assure capital funds are spent wisely
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Quality Control in Design Quality Control the act of taking measurements, testing, and inspecting a process or product to make sure that it meets specification. It also includes actions by those performing the work to control the quality of the work. Products may be design drawings or specifications, manufactured equipment, or constructed items. Quality Control also refers to the process of witnessing or attesting to, and documenting such actions.

Quality Assurance making certain the project requirements are developed to meet the needs of all relevant internal and external agencies, planning the processes needed to assure quality of the project, making sure that equipment and staffing is capable of performing tasks related to project quality, making sure that contractors are capable of meeting and do carry out quality requirements, and documenting the quality efforts.
CONSTRUCTION
PURPOSE OF THIS CHAPTER manage project construction by contractors, third parties, and the Agencys own forces. schedule, cost, and change controls; configuration management and document control and partnering and value engineering (VE) incentives.
Construction Phase
construct the projects facilities, and fabricate and install equipment. The work is done in accordance with the plans and specifications developed during the design phase. facilities and equipment are integrated and tested in the commissioning phase.
Role of the Agency in Construction

assure good performance during construction timely and decisive decisions. clear lines of communication and delegated authority.
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Role of the Consultant Construction Manager

acts as the Agencys representative with the contractors, oversees what work the contractors perform pursuant to the contract drawings and specifications, inspects the work as acceptable, and recommends payment of contractor invoices.
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Role of the Design Consultant(s) in Construction who produced the contract drawings and
specifications and sealed them with their professional engineering seal, Receive and respond to construction contractor Requests for Information (RFI), communicated from the contractor to the designer through the CM. An RFI is a request by the contractor for clarification of the design intent of the drawings and specifications. Review and recommend acceptance of contractor submittals called for in the drawings and specifications with respect to the construction deliverables. Review change requests and estimate costs for change orders. Make periodic visits to the site to assure design compliance and provide certification efforts as required by the permitting agency.
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Role of the Contractor in Construction

Perform construction work defined by the contract drawings and specifications using means and methods that are the contractors responsibility. Obtain the permits related to the work for which the contractor is responsible. Develop and implement a quality control (QC) plan for inspection and testing of the work. Develop and implement a safety plan to ensure a safe work site. Deliver submittals defined by the contract drawings and specifications, such as o Shop drawings, manufacturers drawings, calculations and data, and product information. o Contract schedule updated monthly noting progress and looking ahead to upcoming work. o Requests for payment supported by reports as called for in the contract. o Record drawings of the as-built work. o O&M manuals and training of Agency staff called for in the contract specifications. Submit RFIs to the CM to obtain clarification of the design intent. Submit Requests for Change (RFC).
CONSTRUCTION MANAGEMENT
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Division of Management Responsibilities between the Agency and Construction Manager
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Contract Management and Administration
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Project Management Process

The project management The project management process process begins with begins with identification of the identification of the user user requirement, project requirement, project constraints, constraints, resource needs, and resource needs, and establishment of realistic objectives to meet the strategic establishment of realistic objectives to meet the strategic goals goals
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Project Management is: :
PM
PM
PM PM PM
PM
PM
PM PM
PM
PM
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Project Management is: :
Causing a Planned Undertaking to Happen.
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Project Managers Role

A projects execution is planned and controlled by the project manager. The project ,manager is assigned by the Agency must have adequate authority to exercise the responsibility of forming and managing a team for support of the project. The project manager must have prior experience managing similar projects in the past.
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Project Management

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Project management

Management of construction projects

Architect Suleiman Najdi

PROJECT MAMAGEMENT-GRANDTECH for training

Develops understanding of the need to execute your projects more effectively

PROJECT MAMAGEMENT-GRANDTECH for training

Hope is not a strategy

PROJECT MAMAGEMENT-GRANDTECH for training

Your Projects Cannot Afford to Fail

Over time or over budget 51%

PROJECT MAMAGEMENT-GRANDTECH for training

Benefits of Sound Project Management

PROJECT MAMAGEMENT-GRANDTECH for training

PROJECT MAMAGEMENT-GRANDTECH for training

A Project When a task...

PROJECT MAMAGEMENT-GRANDTECH for training

PROJECT MAMAGEMENT-GRANDTECH for training

PROJECT MAMAGEMENT-GRANDTECH for training

PROJECT MAMAGEMENT-GRANDTECH for training