lOMoARcPSD|13102316
Project Monitoring AND Control 2022
Construction and Project Management (Universiti Teknologi Malaysia)
Scan to open on Studocu
Studocu is not sponsored or endorsed by any college or university
Downloaded by Ram Ale (su.aale047@gmail.com)
lOMoARcPSD|13102316
14-Jan-22
Project Monitoring and Control
ABDUL RAHIM ABDUL HAMID
14-Jan-22
Project Monitoring & Control
14/1/2022
MKAM 1053 RAHIM
1
1
2
Downloaded by Ram Ale (su.aale047@gmail.com)
2
lOMoARcPSD|13102316
14-Jan-22
Project Monitoring and Control
Monitoring – collecting, recording, and
reporting information concerning project
performance that project manger and others
wish to know
 Controlling – uses data from monitor activity
to bring actual performance to planned
performance

14-Jan-22
Project Monitoring & Control
3
3
Project Monitoring and Control
Why do we monitor?
 What do we monitor?
 When to we monitor?
 How do we monitor?

14-Jan-22
Project Monitoring & Control
4
Downloaded by Ram Ale (su.aale047@gmail.com)
4
lOMoARcPSD|13102316
14-Jan-22
Why do we monitor?
Simply because we know that things
don’t always go according to plan (no
matter how much we prepare)
 To detect and react appropriately to
deviations and changes to plans

14-Jan-22
Project Monitoring & Control
5
5
What do we monitor?
Men (human
resources)
 Machines
 Materials
 Money

14-Jan-22
Space
 Time
 Tasks
 Quality/Technical
Performance

Project Monitoring & Control
6
Downloaded by Ram Ale (su.aale047@gmail.com)
6
lOMoARcPSD|13102316
14-Jan-22
What do we monitor?
Inputs
 Time
 Money
 Resources
 Material Usage
 Tasks
 Quality/Technical
Performance
Outputs
Progress
Costs
Job starts
Job completion
Engineering / Design
changes
Variation order (VO)
14-Jan-22
Project Monitoring & Control
7
7
When do we monitor?
End of the project
 Continuously
 Regularly
 Logically
 While there is still time to react
 As soon as possible
 At task completion
 At pre-planned decision points (milestones)

14-Jan-22
Project Monitoring & Control
8
Downloaded by Ram Ale (su.aale047@gmail.com)
8
lOMoARcPSD|13102316
14-Jan-22
Where do we monitor?
At head office?
 At the site office?
 On the spot?
 Depends on situation and the ‘whats’

14-Jan-22
Project Monitoring & Control
9
9
How do we monitor
Through meetings with clients, parties involved in
project (Contractor, supplier,etc.)
 For schedule – Update CPA, PERT Charts, Update
Gantt Charts
 Using Earned Value Analysis
 Calculate Critical Ratios
 Milestones
 Reports
 Tests and inspections
 Delivery or staggered delivery
 PMIS (Project Management Info Sys) Updating

14-Jan-22
Project Monitoring & Control
10
Downloaded by Ram Ale (su.aale047@gmail.com)
10
lOMoARcPSD|13102316
14-Jan-22
Meetings – Some monitoring issues
What problems do you have and what is being done
to correct them?
 What problems do you anticipate in the future?
 Do you need any resources you do not yet have?
 Do you need information you do not have yet?
 Do you know anything that will give you schedule
difficulties?
 Any possibility your task will finish early/late?
 Will your task be completed under/over/on budget?

14-Jan-22
Project Monitoring & Control
11
11
Monitor progress against the schedule
Periodically measuring the actual completion
of activities and milestones
 Comparing actual completion of activities and
milestones against the schedule documented
in the project plan
 Identifying significant deviations from the
schedule estimates in the project plan

14-Jan-22
Project Monitoring & Control
12
Downloaded by Ram Ale (su.aale047@gmail.com)
12
lOMoARcPSD|13102316
14-Jan-22
Monitor the project's cost and expended
effort
Periodically measuring the actual effort and
cost expended and staff assigned
 Comparing actual effort, costs, staffing, and
training to the estimates and budgets
documented in the project plan
 Identifying significant deviations from the
budgets in the project plan

14-Jan-22
Project Monitoring & Control
13
13
A few monitoring methods include:




Time measurement;
Cost measurement;
Labour time measurement; and
Work quantity measurement.
Monitoring could be achieved through:
Site visit– direct observation
1.
Progress photos
2.
Check-off lists
3.
Work schedules – bar charts and network diagram
4.
14-Jan-22
Project Monitoring & Control
14
Downloaded by Ram Ale (su.aale047@gmail.com)
14
lOMoARcPSD|13102316
14-Jan-22
Time measurement method
One of the commonly used method
 Need agreement from both party
 Figure 1 shows Bar Chart of the work plan
 Figure 2 shows S-Curve and cumulative
duration

14-Jan-22
Project Monitoring & Control
15
15
cont.
Figure 3 shows activity monitoring at week 4 and 8

Week 4 shows a planned progress at 25% while
the actual progress is only at 17%. The delay is
about 8%.
 How about the progress at Week 8….is there any
delay…by how much?
 Physical Progress

14-Jan-22
Project Monitoring & Control
16
Downloaded by Ram Ale (su.aale047@gmail.com)
16
lOMoARcPSD|13102316
DURATION
1
4
2
4
3
4
4
4
5
4
6
4
7
4
8
4
ACTIVITY WEEKS
ACTIVITY
DESCRIPTION
14-Jan-22
9
4
TOTAL
36
1
2
3
4
5
6
7
8
9
10
11
12
12
1
2
3
4
5
6
7
8
9
10
11
A WEEK TOTALS
1
2
3
3
4
4
5
5
4
3
1
1
B RUNNING TOTALS
1
3
6
9
13
17
22
27
31
34
35
36
WEEK No
C ACHIEVED
14-Jan-22
Figure17 1
Project Monitoring & Control
1
4
2
4
3
4
4
4
5
4
6
4
7
4
8
4
9
4
ACTIVITY WEEKS
DURATION
ACTIVITY
DESCRIPTION
17
1
2
3
4
5
6
7
8
9
10
11
12
12
40
35
30
25
20
15
10
5
TOTAL
36
0
1
2
3
4
5
6
7
8
9
10
11
A WEEK TOTALS
1
2
3
3
4
4
5
5
4
3
1
1
B RUNNING TOTALS
1
3
6
9
13
17
22
27
31
34
35
36
WEEK No
C ACHIEVED
14-Jan-22
Project Monitoring & Control
18
Downloaded by Ram Ale (su.aale047@gmail.com)
Figure18 2
lOMoARcPSD|13102316
DURATION
1
4
2
4
3
4
4
4
ACTIVITY WEEKS
ACTIVITY
DESCRIPTION
14-Jan-22
1
2
3
4
5
6
7
8
9
10
11
12
40
100 %
35
5
4
6
4
planned progress curve
30
75 %
25
7
4
8
4
9
4
20
50 %
15
42 %
10
25 %
17 %
5
TOTAL
36
actual progress
0
WEEK No
1
2
3
4
5
6
7
8
9
10
11
12
A WEEK TOTALS
1
2
3
3
4
4
5
5
4
3
1
1
B RUNNING TOTALS
1
3
6
9
13
17
22
27
31
34
35
36
C ACHIEVED
14-Jan-22
6
15
Project Monitoring & Control
Figure19 3
19
Cost measurement method
Most popular method used by contractors
Figure 4 shows information about the planned
cost and cumulative cost.
 Figure 5 shows S-Curve on the bar chart
and can be used as demonstrated in Figure 3
 Concept ‘baseline’ that have been use in
Microsoft Project.
 Financial Progress

14-Jan-22
Project Monitoring & Control
20
Downloaded by Ram Ale (su.aale047@gmail.com)
20
lOMoARcPSD|13102316
1
4
2
4
ACTIVITY WEEKS
DURATION
ACTIVITY
DESCRIPTION
14-Jan-22
1
2
3
4
5
5
5
5
8
3
4
4
4
5
5
6
7
8
9
10
11
12
8
8
8
10
10
10
10
10
10
10
10
12
12
12
12
14
14
14
14
10
10
10
10
8
8
8
8
6
6
6
6
4
6
4
7
4
8
4
9
4
TOTAL
36
1
2
3
4
5
6
7
8
9
10
11
12
A WEEK TOTALS
5
13
23
23
40
46
54
54
38
24
6
6
B RUNNING TOTALS
5
18
41
64 104 150 204 258 296 320 326 332
WEEK No
C ACHIEVED
14-Jan-22
Figure21 4
Project Monitoring & Control
1
4
2
4
3
4
4
4
5
4
6
4
7
4
8
4
9
4
ACTIVITY WEEKS
DURATION
ACTIVITY
DESCRIPTION
21
1
2
3
4
5
6
7
8
9
10
11
12
360
320
280
240
200
160
120
80
40
TOTAL
36
WEEK No
0
1
2
3
4
5
6
7
8
9
10
11
12
A WEEK TOTALS
5
13
23
23
40
46
54
54
38
24
6
6
B RUNNING TOTALS
5
18
41
64 104 150 204 258 296 320 326 332
C ACHIEVED
14-Jan-22
Project Monitoring & Control
22
Downloaded by Ram Ale (su.aale047@gmail.com)
Figure22 5
lOMoARcPSD|13102316
14-Jan-22
Labour time measurement
method
This method require the user to identify
labour requirement such as in ‘man-hours’,
‘man-days’ or ‘man-weeks’
 Like the cost method the value can be
distributed prorated as shown in Figure 4
but adjustment on the value can be made
according to the productivity

14-Jan-22
Project Monitoring & Control
23
23
Work quantity measurement
method
This method is only suitable for certain
organisation that plan the work or activity
limited to a particular type only such as
earthwork, spray tiles, ceiling, etc.
the value can be distributed prorated but

adjustment on the value can be made
according to the productivity

14-Jan-22
Project Monitoring & Control
24
Downloaded by Ram Ale (su.aale047@gmail.com)
24
lOMoARcPSD|13102316
14-Jan-22
Conclusion
There are a few method of monitoring work
progress and the selection should be agreed
upon both contracting parties
 The most common method used are time
and cost measurement.
 Control measure should be implemented to
ensure smooth implementation of the work
plan.

14-Jan-22
25
Project Monitoring & Control
25
Project Control Cycle
ACTION
Correct
deviations
from plan
RE-PLAN as
necessary
PLAN
Specifications
Project Schedule
Project budget
Resource plan
Vendor contracts
MONITOR
Record status
Report progress
Report cost
COMPARE
Actual status
against plan
-Schedule
-Cost
14-Jan-22
Project Monitoring & Control
26
Downloaded by Ram Ale (su.aale047@gmail.com)
26
lOMoARcPSD|13102316
14-Jan-22
Project Control
Control – process and activities needed to
correct deviations from plan
 Control the triple constraints

time (schedule)
 cost (budget, expenses, etc)
 performance (specifications, testing results, etc.)

14-Jan-22
Project Monitoring & Control
27
27
Techniques for monitoring and
control
Earned Value Analysis
 Critical Ratio

14-Jan-22
Project Monitoring & Control
28
Downloaded by Ram Ale (su.aale047@gmail.com)
28
lOMoARcPSD|13102316
14-Jan-22
Earned Value Analysis
A way of measuring overall performance (not
individual task) is using an aggregate performance
measure - Earned Value
 Earned value of work performed (value completed)
for those tasks in progress found by multiplying the
estimated percent physical completion of work for
each task by the planned cost for those tasks. The
result is amount that should be spent on the task so
far. This can be compared with actual amount spent.

14-Jan-22
Project Monitoring & Control
29
29
Earned Value Analysis

Methods for estimating percent completion




The 50-50 estimate. 50% is assumed when task is begun, and
remaining 50% when work completed.
0-100% rule. This rule allows no credit for work until task is
complete, highly conservative rule, project always seem late
until the very end of project when everything appears to
suddenly catch up
Critical input rule. This rule assigns progress according to
amount of critical input that has been used. Labor or skilled
dependent, machine critical input – buy machine complete task
– may be misinformation
Proportional rule. This rule divides planned (or actual) time-todate by total scheduled time(or budgeted (or actual ) cost-todate by total budgeted cast] to calculate percent complete. This
is commonly used rule.
14-Jan-22
Project Monitoring & Control
30
Downloaded by Ram Ale (su.aale047@gmail.com)
30
lOMoARcPSD|13102316
14-Jan-22
Earned Value Analysis
Refer to earned value chart – basis for evaluating
cost and performance to date
 If total value of the work accomplished is in balance
with the planned (baseline) cost, and actual cost then
top mgmt has no particular need for a detailed
analysis of individual tasks
 Earned value concept – combines cost reporting &
aggregate performance reporting into one
comprehensive chart

14-Jan-22
Project Monitoring & Control
31
31
Earned Value Analysis
Baseline cost to completion – referred to as
budget at completion (BAC)
Actual cost to date – referred to as estimated cost
at completion (EAC)
Identify several variances according to two
guidelines



1.
2.
14-Jan-22
A negative variance is ‘bad’
Cost and schedule variances are calculated as earned
value minus some other measure
Project Monitoring & Control
32
Downloaded by Ram Ale (su.aale047@gmail.com)
32
lOMoARcPSD|13102316
14-Jan-22
Earned Value Chart – basis for evaluating
cost & performance to date
14-Jan-22
Project Monitoring & Control
33
33
Earned Value Analysis - Variances
4 types of variances;
 Cost (spending) variance (CV) – difference
between budgeted cost of work performed (earned
value) (BCWP) and actual cost of that work (ACWP)
 Schedule variance (SV) – difference between
earned value (BCWP) and cost of work we scheduled
to perform to date (BCWS)
 Time variance (TV) –difference between time
scheduled for work performed (STWP) and actual
time to perform it (ATWP)

14-Jan-22
Project Monitoring & Control
34
Downloaded by Ram Ale (su.aale047@gmail.com)
34
lOMoARcPSD|13102316
14-Jan-22
Earned Value Variance - Formula
CV = BCWP – ACWP (negative value - cost overrun)
SV = BCWP – BCWS (negative value - behind schedule)
TV = STWP – ATWP (negative value - delay)
Index (Ratios)
Cost Performance Index (CPI) = BCWP/ACWP
Schedule Performance Index (SPI) = BCWP/BCWS
Time Performance Index (TPI) = STWP/ATWP
14-Jan-22
Project Monitoring & Control
35
35
EXAMPLE
Assume that operations on a Work Package cost RM 1,500 to
complete. They were originally scheduled to finish today. At this
point, we actually spent RM1,350. And we estimate that we
have completed two thirds (2/3) of the work. What are the cost
and schedule variances?
CV = BCWP – ACWP = 1500 (2/3) – 1350 = - 350
SV = BCWP – BCWS = 1500 (2/3) – 1500 = - 500
CPI = BCWP/ACWP = 1500(2/3)/1350 = 0.74
SPI = BCWP/BCWS = 1500(2/3)/1500 = 0.67
Spending higher than budget, and given what we have spent,
we are not as far along as we should be (have not completed
as much work as we should have)
14-Jan-22
Project Monitoring & Control
36
Downloaded by Ram Ale (su.aale047@gmail.com)
36
lOMoARcPSD|13102316
14-Jan-22
Possible to have one of indicators to be
favorable while the other unfavorable
 Might be ahead of schedule and behind
costs
 Six possibilities (see figure next slide)

14-Jan-22
Project Monitoring & Control
37
37
6 Possibilities Earned Value Analysis
14-Jan-22
Project Monitoring & Control
38
Downloaded by Ram Ale (su.aale047@gmail.com)
38
lOMoARcPSD|13102316
14-Jan-22
EXERCISE (Text P.544 Problem 4)
A project to develop a country park has an actual cost in month
17 of $350,000, a planned cost of $475,000, and a value
completed of $300,000. Find the cost and schedule variances
and the three indexes.
$
Time t
14-Jan-22
Planned (Baseline) – 475,000
PV=BCWS
Actual cost – 350,000
AC=ACWP
Value completed – 300,000
EV=BCWP
Month 17
Project Monitoring & Control
39
39
Solution
BCWS = 475,000
BCWP = 300,000
ACWP = 350,000
CV = BCWP – ACWP
SV = BCWP – BCWS
CV = 300,000 – 350,000 = -50,000 (negative value - cost overrun)
SV = 300,000 – 475,000 = -175,000 (negative value - behind schedule)
Cost Performance Index (CPI) = BCWP/ACWP = 300/350 = 0.86
Schedule Performance Index (SPI) = BCWP/BCWS = 300/475 = 0.63
Time Performance Index (TPI) = STWP/ATWP
Scheduled Time Work Performed (STWP) can be estimated
Time t = Schedule Variance/Slope of Planned costs =
-175,000/ (475,000/17) = - 6.26 months
 Time Difference= 17- 6.26 = 10.74
TV = 10.74/17 = 0.63
14-Jan-22
Project Monitoring & Control
40
Downloaded by Ram Ale (su.aale047@gmail.com)
40
lOMoARcPSD|13102316
14-Jan-22
Critical ratio
Sometimes, especially large projects, it may
be worthwhile calculating a set of critical
ratios for all project activities
 The critical ratio is
actual progress
x budgeted cost

scheduled progress
actual cost
If ratio is 1 everything is probably on target
 The further away form 1 the ratio is, the more we
may need to investigate

14-Jan-22
Project Monitoring & Control
41
41
Critical ratio example
Calculate the critical ratios for the following activities and
indicate which are probably on target and need to be
investigated.
Activity
Actual
progress
Scheduled
Progress
Budgeted
Cost
Actual
cost
Critical
ratio (CR)
A
4 days
4 days
60
40
B
3 days
2 days
50
50
C
2 days
3 days
30
20
D
1 day
1 day
20
30
E
2 days
4 days
25
25
1.5
1.5
1
0.67
0.5
14-Jan-22
Project Monitoring & Control
42
Downloaded by Ram Ale (su.aale047@gmail.com)
42
lOMoARcPSD|13102316
14-Jan-22
Critical ratio example
Can be on schedule and below budget (Act A)
Why so good? Cutting corners?
 Can be behind schedule but below budget
(Act C)
 Can be on budget but physical progress
lagging (Act E)
 Can be on schedule but cost running higher
than budget (Act D)
 On budget ahead of schedule (Act B)

14-Jan-22
Project Monitoring & Control
43
43
Summary
Need proper project monitoring and control
mechanisms
 Tools available to help in monitoring and
controlling activities
 There are human control and management
aspects not covered here

14-Jan-22
Project Monitoring & Control
44
Downloaded by Ram Ale (su.aale047@gmail.com)
44