CE-407 Project Planning,
Management & Engg. Economics,
02 Credit Hours
Spring 2015
Lecture 01
Introduction and Definitions
by Faisal Rehman
Department of Civil Engineering, UETP
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Summary
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Construction Project
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Project Cycle and Project Life Cycle
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Project vs Operational Work vs Stretegic Planning vs Program vs
Portfolio vs Sub Project
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Interpersonal Skills
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Project Environment
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Project Stake Holder
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Project Constraints
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Project Management
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Project Management Office (PMO)
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Role of Project Manager and Engineer
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What is Construction Project
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Construction Project is a job of creating services
or building infrastructure that has a beginning
and an end (time), specified outcome ( scope) at
stated level of quality (performance), and a
budget (cost).
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A project is temporary.
A project is unique.
A project is the result of a multi-task job that performs
something specific (i.e. a goal). It is thus progressively
elaborated.
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Project Cycle
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Problem Identification
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Also refered to as the concept stage or need
stage where the project is just a thought
Someone realizes that there is a problem in
search of a solution
or
An opportunity that the organization can take
advantage of.
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Definition
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In this stage, a person or group of people accurately describes
the problem (or, more positively, the challenge or opportunity)
that the project is attempting to solve.
The definition stage is more often neglected, which helps explain
why some projects fail.
The challenge of definition stage is to take the time to thoroughly
describe the problem, beginning with naïve question: What is the
problem we’re trying to solve?
Define the problem and its solution from the customer’s point of
view.
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Project Design
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Define the project objectives
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Finalize the project scope
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Identify project activities
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Break each activity into logical components
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Assign resources and
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Create estimates for time and costs
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Go/no go stage
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Outcome is project budget and timeline
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Decides the success of the project
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Development
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You expand the resources according to the
project plan to complete the activities specified in
the project design.
Quality assurance and communication skills are
vital.
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Implementation
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Field testing and measurement.
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Product is modified or re-engineered.
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Evaluation
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Review of a project.
Reports and personal experience with the
project.
Indentify areas to improve.
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Project Life Cycle
Project life cycles generally define:
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What technical work to do in each phase (for example, in which
phase should the architect’s work be performed?)
When the deliverables are to be generated in each phase and
how each deliverable is reviewed, verified, and validated.
Who is involved in each phase (for example, concurrent
engineering requires that the implementers be involved with
requirements and design)
How to control and approve each phase.
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Project Life Cycle
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Project life cycle descriptions can be very general or very
detailed. Highly detailed descriptions of life cycles can include
forms, charts, and checklists to provide structure and control.
Most project life cycles share a number of common
characteristics:
Phases are generally sequential and are usually defined by some
form of technical information transfer or technical component
handoff.
Cost and staffing levels are low at the start, peak during the
intermediate phases, and drop rapidly as the project draws to a
conclusion.
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Project Life Cycle
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Project Life Cycle
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Project Life Cycle
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Project, Project Life Cycle and Product
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Project Stake Holders
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Project vs Operational Work
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They share many of the following characteristics:
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Performed by people
Constrained by limited resources
Planned, executed, and controlled.
Projects and operations differ primarily in that
operations are ongoing and repetitive, while
projects are temporary and unique.
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Project vs Operational Work
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The objectives of projects and operations are fundamentally
different. The purpose of a project is to attain its objective and
then terminate.
Conversely, the objective of an ongoing operation is to sustain
the business. Projects are different because the project
concludes when its specific objectives have been attained, while
operations adopt a new set of objectives and the work continues.
Projects are undertaken at all levels of the organization and they
can involve a single person or many thousands. Their duration
ranges from a few weeks to several years.
Projects can involve one or many organizational units, such as
joint ventures and partnerships.
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Project vs Operational Work
Examples of projects include, but are not limited
to:
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Developing a new product or service
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Effecting a change in structure, staffing, or style of an organization
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Designing a new transportation vehicle
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Developing or acquiring a new or modified information system
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Constructing a building or facility
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Building a water system for a community
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Running a campaign for political office
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Implementing a new business procedure or process
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Responding to a contract solicitation.
Strategic Planning
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Strategic planning is an organization's process of defining its
strategy, or direction, and making decisions on allocating its
resources to pursue this strategy.
It may also extend to control mechanisms for guiding the
implementation of the strategy.
Strategic planning became prominent in corporations during the
1960s and remains an important aspect of strategic
management.
It is executed by strategic planners or strategists, who involve
many parties and research sources in their analysis of the
organization and its relationship to the environment in which it
competes
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Strategic Planning
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Strategy has many definitions, but generally involves setting
goals, determining actions to achieve the goals, and mobilizing
resources to execute the actions.
A strategy describes how the ends (goals) will be achieved by the
means (resources).
The senior leadership of an organization is generally tasked with
determining strategy. Strategy can be planned (intended) or can
be observed as a pattern of activity (emergent) as the
organization adapts to its environment or competes.
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Strategic Planning
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Strategy includes processes of formulation and
implementation; strategic planning helps
coordinate both.
However, strategic planning is analytical in
nature (i.e., it involves "finding the dots");
strategy formation itself involves synthesis (i.e.,
"connecting the dots") via strategic thinking.
As such, strategic planning occurs around the
strategy formation activity.
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Projects vs Strategic Planning
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Projects are a means of organizing activities that
cannot be addressed within the organization’s
normal operational limits.
Projects are, therefore, often utilized as a
means of achieving an organization’s
strategic plan, whether the project team is
employed by the organization or is a contracted
service provider.
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Project vs Program
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A program is a group of related projects
managed in a coordinated way to obtain benefits
and control not available from managing them
individually .
Programs may include elements of related work
outside of the scope of the discrete projects in
the program. For example: ????
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Project vs Portfolio
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A portfolio is a collection of projects or programs and other work
that are grouped together to facilitate effective management of
that work to meet strategic business objectives.
The projects or programs in the portfolio may not necessarily be
interdependent or directly related.
Funding and support can be assigned on the basis of risk/reward
categories, specific lines of business, or general types of
projects, such as infrastructure and internal process
improvement.
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Project vs Sub Projects
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Projects are frequently divided into more
manageable components or subprojects,
although the individual subprojects can be
referred to as projects and managed as such.
Subprojects are often contracted to an external
enterprise or to another functional unit in the
performing organization.
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Interpersonal Skills
The management of interpersonal relationships includes:
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Effective communication: The exchange of information
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Influencing the organization: The ability to “get things done”
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Leadership: Developing a vision and strategy, and motivating people
to achieve that vision and strategy
Motivation: Energizing people to achieve high levels of performance
and to overcome barriers to change
Negotiation and conflict management: Conferring with others to
come to terms with them or to reach an agreement
Problem solving: The combination of problem definition, alternatives
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identification and analysis, and decision-making.
Project Environment
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There are social, economic, and environmental
context for a Project.
They have intended and unintended positive
and/or negative impacts.
The project team should consider the project in
its cultural, social, international, political, and
physical environmental contexts.
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Project Environment
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Cultural and social environment: The team needs to understand how the project
affects people and how people affect the project.
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International and political environment: Some team members may need to be
familiar with applicable international, national, regional, and local laws and customs, as
well as the political climate that could affect the project.
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This may require an understanding of aspects of the economic, demographic,
educational, ethical, ethnic, religious, and other characteristics of the people whom
the project affects or who may have an interest in the project.
Other international factors to consider are time-zone differences, national and
regional holidays, travel requirements for face-to-face meetings, and the logistics of
teleconferencing.
Physical environment: If the project will affect its physical surroundings, some team
members should be knowledgeable about the local ecology and physical geography
that could affect the project or be affected by the project.
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Project Stake Holders
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Project manager. The person responsible for managing the project.
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Customer/user.
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The person or organization that will use the project’s product.
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There may be multiple layers of customers.
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For example, the customers for a new pharmaceutical product can include the
doctors who prescribe it, the patients who take it and the insurers who pay for it.
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In some application areas, customer and user are synonymous,
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while in others, customer refers to the entity acquiring the project’s product
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and users are those who will directly utilize the project’s product.
Performing organization. The enterprise whose employees are most directly nvolved
in doing the work of the project.
Project team members. The group that is performing the work of the project.
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Project Stake Holders
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Project management team: The members of the project team
who are directly involved in project management activities.
Sponsor: The person or group that provides the financial
resources, in cash or in kind, for the project.
Influencers: People or groups that are not directly related to the
acquisition or use of the project’s product, but due to an
individual’s position in the customer organization or performing
organization, can influence, positively or negatively, the course of
the project.
PMO: If it exists in the performing organization, the PMO can be
a stakeholder if it has direct or indirect responsibility for the
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outcome of theproject.
Project Stake Holders
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In addition to these key stakeholders, there are many different names
and categories of project stakeholders, including internal and external,
owners and investors, sellers and contractors, team members and their
families, government agencies and media outlets, individual citizens,
temporary or permanent lobbying organizations, and society-at-large.
The naming or grouping of stakeholders is primarily an aid to identifying
which individuals and organizations view themselves as stakeholders.
Stakeholder roles and responsibilities can overlap, such as when an
engineering firm provides financing for a plant that it is designing.
Project managers must manage stakeholder expectations, which can
be difficult because stakeholders often have very different or conflicting
objectives.
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Project Parameters/Constraints
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Time
Scope
Performance
and cost..
these are related to each other
So C = f(P,T,S)
At any point, you can control only three of the four parameters
because when one of the project parameters changes, at least
one of the other parameter must change in response.
Controling these constraints is called project management.
Efficient use of resources to complete a project as designed, on
time, at the desired level of performance, and within budget.
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Project Management
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Project management is a set of principles, practices, and
techniques applied to lead project teams and control project
schedule, cost, and performance risks to result in delighted
customers.
The Project Management Institute has identified nine topic areas
to define the scope of project management knowledge as follows:
integration, scope, time, cost, quality, human resources,
communications, risk, and procurement.
Within each of these topic areas, there is a set of principles,
practices, and techniques to help you manage project risks and
capture opportunities for success.
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Project Management
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Efficient use of resources to complete a project as
designed, on time, at the desired level of performance,
and within budget.
Scope creep: Unplanned changes in project scope
Experienced project managers have a formal process of
reviewing and approving changes to the project.
The process is communicated to everyone involved with
the project to stave off creep.
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Project Management Office
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A project management office (PMO) is an organizational unit
to centralize and coordinate the management of projects
under its domain.
Features???
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Role of Project Manager
Networking.
 Strong Communication and Interpersonal Skills.
 Reading Shop Drawing.
 Monitoring and Implementing Project Plan
 Identifying problems and risks by reading key indicators that
delay the project and solving it.
 Avoiding Scope Creep.
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Role of Engineer Regarding Project Management
Reading Project Plan and Shop Drawing.
 Implementing it.
 Reporting Problems.
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Scope of Construction Project Planning
in Pakistan
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The main advantage of construction project planning is that
it is job of leadership in construction industry. One develops
a good link with experts of his field.
Followings are the area of research in Construction Project
management in Pakistan:
– Research on Delay and Cost increase of Project.
– Labour Safety and it's laws on Construction Site.
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Assignments
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Create BOQ with cost estimation and detailed items
including detailed electric work for final finished and
furnished single classroom of a school building.
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What is Kaizen Rule and what are methods in it.
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Explain 5 Whys with examples.
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Describe BIM.
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Describe FIDIC
.
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Describe B/C ratio and IRR
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Reference
Project Management Book of Knowledge - PMBOK
 Mastering Project 2000, Gini Courter and Annette
Marquis-ISBN 81-7656-244-0 (First Chapter)
 https://en.wikipedia.org/wiki/Strategic_planning
 http://www.hyperthot.com/project.htm
 http://en.wikipedia.org/wiki/Project_management
 http://www.suite101.com/course.cfm/17517/seminar
 http://www.netmba.com/
 http://www.gezabottlik.com/usc_courses.html
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