ASSIGNMENTON

MANAGEMENT IN ORGANISATIONSPGPM 11

ASSIGNMENT

NICMAR/CODE OFFFICE

1. Course No : PGPPM 11

2. Course title : Management in Organisations

3. Assignment No : 01

4. Date of dispatch : 15-03-2012

5. Last date of receipt of

Assignment at CODE office :

ASSIGNMENT

Your company has bagged a lucrative contract to construct a housing colony for an industrial group to be located in western Maharashtra in a coastal belt. You as a project manager have been asked by the company to evolve organisation structure with following conditions.

i. Organisation should be as lean and thin as possible with bare minimum of personnel on company roll up to junior level.

ii. All supervisors to down below will be temporary for project duration only to be recruited locally from 100km radius.

Suggest and discuss an organisation structure denoting responsibility, authority, communication control for all facets of construction work and management functions as visualised by you.

Housing colony consists of 10 bungalows for senior executives, 20 apartments in 5 buildings, 100 dwellings for white collar workers and 300 dwellings for blue collar workers. Colony will have market and entertainment complex.

ABSTRACT

This paper proposes a structure for an organisation for a residential

project in their construction processes. This structure aims at integrating the

knowledge that is found scattered among the several branches related to the

construction system. This paper starts from a survey on the literature about the

organisation of knowledge, particularly about the system of facets classification,

and includes the directives proposed by the ISO norms for the classification of

information in the civil construction industry according to the concept of

process.

This assignment is about management in an organisation for a

residential project. A housing colony generally comprises of blocks which is

categorized based upon the grade or designation of the personnel working in the

firm. As it is for industrial company, proposed in the assignment, the

designation of the personnel varies from senior executives to blue collared

workers.

INTRODUCTION

Management of materials and information flows are key strategic

priorities for construction firms. Sound performance in these two areas can

provide them with significant benefits and allow the adding of value for clients.

The introduction of supply chain management in construction is intended

to integrate processes, manage interfaces between companies in projects, reduce

uncertainties and weed out inefficiency as much as possible. The elimination of

waste and inefficiency from the supply chain builds in value in the process.

Similarly, Sir John Egan reaffirmed the aforementioned recommendations

in his report title “Rethinking Construction’’ (Egan, 1998: 16). The report

identified five key drivers of change, namely:

Committed leadership;

Focus on the customer;

Integrated processes and teams;

Quality driven agenda, and

Commitment to people.

The present assignment paper is done by keeping in mind the above factors

for attaining the best and profitable output.

SCOPE OF WORK

The project is about construction of a housing colony for an industrial

group in Western Maharashtra in a coastal belt. There are three main aspects to

be studied in the course of project namely man power, materials and expectance

of the clients.

Considering the fact that the local labours can be engaged in the field of

work due to the following facts

a. No accommodation is must for local workers,

b. Only travel arrangements can be made on demand as the people are

around 100km radius from the work site and

c. The number of labours can be altered in the work load.

Apart from these as all the materials and are purchased from the local

surroundings the availability of materials can be made on demand and there

will be an assured supply of materials.

Apart from the housing it is also proposed to build an entertainment

complex and a market.

Entertainment complex comprises of a theatre and a multi-purpose hall

and a small park at the entrance. Considering on the economical basis the

market can be also kept inside the complex as a shopping mall.

BREAKDOWN IN MANAGEMENT

The above chart is the outline for the breakdown for the management in

the organisation. The top most position in any project is the project manager.

The orders are executed by the junior engineers through their senior engineer

who is guided by the construction manager. The functions of the personnel are

discussed briefly below

I. PROJECT MANAGER:

The project manager is a leader of the team.

The project manager will have clear idea about all the process that

takes place in the project.

He should be influencing the team to follow in the achievement of

a common goal.

He should be able to identify the delay if it is occurred and should

be able to rectify it. He is answerable to the top level management

of the firm and to the clients.

PROJECT MANAGER

PROJECT CONTROLS MANAGER

SCHEDULERS

DOCUMENT CONTROLLERS

COST SPECIALISTS

DESIGNMANAGER

QC INSPECTOR

SAFETY INSPECTORS

CONSTRUCTION MANAGER

SENIOR ENGINEER

ENGINEERS

II. PROJECT CONTROL MANAGER

The function of a project control manager is to regularise the work

flow in the project.

He forms a planning department under which all the essentials of

the project are been maintained and recorded.

The project control manager being the head of the planning

department has to keep up the above mentioned functions. He is

assisted by:

SCHEDULERS: prepares the work flow for a project.

DOCUMENT CONTROLLERS: maintains all the records of the

project

COST SPECIALISTS: analysis the day to day change in field of

construction financially and run the project economically.

III. DESIGN MANAGER:

The design manager makes the plan and does the design of every single

member of a structure that has to come in the project.

As for the residential project, he does prepare the layout of the entire

colony with specification of the every single apartment and bungalow

allocated as per the specification proposed by the clients.

He prepares the drawings which provide all the essentials for the

structure.

QC INSPECTOR: He takes care in examining the quality of the all the

products from reinforcement, concrete to a completed building.

SAFETY INSPECTORS: He assures the safe working condition

prevails in the site to all the people working in the site. Thus he assures that the

risk factors in the site are minimized and a safe working environment is

provided.

IV. CONSTRUCTION MANAGER

He is the head of the execution department.

The main function of the execution department is to execute the orders

received from the planning department.

The most active post in the organisation is the construction manager

since he decides upon the plans proposed on assumed working conditions

and executes them under the actual working conditions.

He has a team consisting of engineers’ ad his sub ordinates for various

works in the field.

Assigning responsibility

The table below gives the outline for the entire assignment as a precise for the above all discussions:

TASKS THAT HAS TO BE PERFORMED WHO PERFORMS

THE TASK

Measuring and laying-out site; calculating requirements; cutting

and aligning bricks; applying and finishing mortar

Brick layer

Studying requirements; measuring site; setting forms; preparing

grading and base

Cement mason

Establishing methods, procedures, sources, and models for

analyzing construction cost information; verifying weekly

critical path balancing; comparing construction budget with

variance calculations

Construction

accountant

Preparing residential closing work papers; completing monthly

job closing routine; preparing financial statement data;

preparing sales commissions, overhead, and marketing journal

entries

Construction

Accounting

Coordinator

Completing building permit requirements; maintaining sub-

contractor relationships; assigning project numbers; noting

phase completion dates

Construction

Administrative

Assistant

Establishing construction financial data methods, procedures,

sources, and models; collecting, tracking, and calculating cost

information; identifying and analyzing variances; maintaining

job cost system

Construction Cost

Analyst

Producing and improving architectural plans; reducing

construction costs; resolving design and construction problems;

resolving differences between designers and sales personnel

Construction Design

Services Supervisor

Operating computer-aided design system; forwarding blueprints

to requesting parties; analyzing design options; evaluating

construction

Construction Design

Technician

Establishing and enforcing purchasing policies; identifying Construction

resources; negotiating quality, delivery, and price agreements

and leases; maintaining ethical standards

Director

Identifying suitable parcels and locations; negotiating

purchases; planning land development; developing building

sites

Construction

Division President

Collecting and studying reports, maps, drawings, blueprints,

aerial photographs and tests on soil composition, terrain,

hydrological characteristics, and related topographical and

geologic data; preparing engineering design and documents;

confirming specifications; inspecting construction site

Construction

Engineer

Studying home plans; updating specifications; identifying and

projecting costs for each elevation; costing changes, additions,

and site adjustment requirements

Construction

Estimator

Studying blueprints; scheduling materials, equipment; preparing

cost estimates; monitoring expenses

Construction

Foreman

Assembling and disassembling scaffolding; checking schedules;

determining materials requirements; locating, loading,

unloading, and moving materials.

Construction

Laborer

Planning construction requirements; ; resolving land

development issues; building quality homes

Construction

Manager

Understanding and analyzing construction objectives;

interviewing “people” who understand goals; studying position

and product statements; diagnosing/analyzing needs and

requirements

Construction

Operations Vice

President

Analyzing materials, supplies, tools, and equipment

requirements; requisitioning and approving purchase of

materials, supplies, tools, and equipment; providing project

estimates; monitoring project expenditures

Construction Planner

Advising clients regarding project objectives and requirements;

Directing development of, and verifying, project drawings,

specifications, details, and budgets; controlling expenses;

guiding project operations

Construction Project

Controller

Interviewing customers; following warranty guidelines;

scheduling work with subcontractor; monitoring and evaluating

Construction Quality

Assurance

subcontractor work Coordinator

Recording surveys; tracking warranty claims; obtaining and

investigating complaints; compiling and updating customer

satisfaction information

Construction Quality

Manager

Providing administrative services; representing builder;

identifying and correcting customer complaints; resolving

warranty issues

Construction

Secretary

Identifying new acreage; obtaining and analyzing development

bids; determining development profitability negotiating land

purchase; obtaining utilities

Construction

Services Vice

President

Defining project purpose and scope; calculating resources

required; establishing standards and protocols; allocating

resources

Construction

Supervisor

Reading blueprints; estimating and ordering requirements;

measuring and laying-out reference lines; measuring, cutting,

fitting, and finishing dry-walls

Dry-Wall Installer

Preparing bid documents and contracts; coordinating contract

execution; maintaining contract records; maintaining materials

and sup preparing material bids

Engineering

Construction

Administrative

Completes construction projects by verifying estimates, project

drawings, and specifications; establishing and disseminating

schedules; awarding contracts; obtaining tools and equipment

Engineering

Construction Project

Manager

Identifying suitable parcels and locations; negotiating

purchases; planning land development; developing building

sites

Home Construction

manager

Constructs pipeline by studying demand estimates; assessing

Sites and watercourse crossings; preparing specifications and

logistics; completing impact studies

Pipeline

Construction

Manager

Laying-out project; gathering materials; preparing roof;

installing roofing

Roofer

Developing staking sheets; completing and filing forms and

sketches; requesting payment of permit and easement fees;

Staking Aide

defining staking requirements

Planning surveys; verifying construction location; defining lines

and grades, typography, underground facilities, cut and fill;

providing maps, calculations, documentation, and illustrations

Surveyor

Training laborers on how to properly handle and dispose of

hazardous materials according to procedures and policies set by

personal corporation regulations and state laws.

Safety Supervisor

Direct safety programs in an attempt to reduce any hazards or

injuries possible during and after the site’s construction

Safety Director

Studying blueprints; calculating requirements; measuring and

laying-out site; measuring, cutting, and attaching laths

Tile Setter

INPUT/COMMUNICATION REQUIRETMENT AND FLOW

As discussed above the breakdown in an organisation can be categorized

precisely under four departments namely,

i. Planning & Infrastructure department,

ii. Finance department,

iii. Quality department and

iv. Execution department.

The functions of all the above departments are explained elaborately

below

PLANNING & INFRASTRUCTURE DEPARTMENT:

The Planning team would work on the Layout, Town Planning and

Connectivity.

The Infrastructure team would ensure that the basic infrastructure

like Water and Electricity is made available to the units.

The intention to club these two divisions is based on logical

interpretation of the basic tenets on which the two teams work.

A coordinative effort between these two divisions will ensure that

that the product is ready for the execution team to deliver.

FINANCE DEPARTMENT:

The team will work around the year to ensure that the required

cash flows are maintained and also to ensure that the work doesn’t

get affected due to the inherent issues of managing the project.

Employees in the Manager level will ensure that all the required

books are to do the book keeping and also execute the plans of the

General Managers.

The General Managers are to ensure that the plans are made

keeping in mind the vision and direction set by the Project

Manager.

QUALITY DEPARTMENT:

The Quality Team will have a structure as follows: Quality Control

plays a very vital role in a project. Hence, it would be critical to

have a Quality team member involved in every critical aspect of

the project.

A team member would be involved in the Planning and

Infrastructure, one team member in Architecture and one in

Execution.

A team member of the cadre of an AGM would ensure that the

Managers who look after the individual portfolios execute the plans

according to the vision and direction of the Program Manager.

EXECUTION DEPARTMENT:

The primary thing that has to be realized is that execution is a very

critical team for the success of the organization.

This team has to be closely monitored and should also be given

enough flexibility to allow intelligent deviations from the plan and

also should be flexible enough to incorporate the changing

conditions in the environment.

The above discussion is precisely shown in the flow chart below,

Thus it is very clear from the flow chart that in the field of construction

there is no unidirectional flow of orders or communication it is a must that a for

an efficient project there is a must that all should be knowing the happenings

around them so as that the problems can be discussed and hurdles are overcome.

So as a result the client is pleased and at the same time the work progress

is also maintained at the same ratio. As a result for the company time efficiency

is gained which at the day’s end earns a lot of profit and fame for the concern

BREAKDOWN IN ORGANISATION:

The following are the number of people required –

White collared workers – 100

Blue collared workers – 300

BLUE COLLARED WORKERS

Job Title No. of workers

Brick layers 30

Cement Masons 30

Construction Foreman 36

Construction Laborer 100

Construction Supervisor 15

Dry-Wall Installer 2

Pipeline/ Plumber 10

Roofer 15

Staking Aide 20

Surveyor 2

Safety Supervisor 15

Tile Setter 15

Electrician 10

TOTAL 300

WHITE COLLARED WORKERS

Job title No. of workers

Construction accountant 3

Construction Accounting Coordinator 3

Construction Administrative Assistant 10

Construction Cost Analyst 2

Construction Design Services Supervisor 5

Construction Design Technician 15

Construction Director 1

Construction Division President 1

Construction Engineer 15

Construction Estimator 5

Construction Manager 3

Construction Operations Vice President 1

Construction Quality Assurance coordinator 3

Construction Quality Manager 3

Construction Secretary 1

Construction Services Vice President 1

Safety Director 3

Chief Operating Officer 1

Construction Project Manager 15

Account officer 4

Store Managers 5

TOTAL 100

CONCLUSION

The task of organizing the information in the building field is difficult

due to the nonexistence of a national classification system with a general

consensus, nor is there anational norm for the classification and organization of

this information. As a solution tothis problem, the structure of the existing

(hierarchical and facets) classifications wasapproached and the choice was

made for the classification by facets.

The structure proposed for the organization of the knowledge based on

the Document, Processes, Elements and Basic Materials trees for a small

building company has enabled the relation to be made among Materials,

Services and Suppliers. A real example was used based on the quality

documents obtained from one company. Later, other documents used by the

company may be included. This will allow for the registration of experiences.

The organized and integrated knowledge originated from a classification

structure can work as a professional habilitation/updating tool, capable of

integrating the knowledge of the area under consideration. Moreover, it can

contribute to the strengthening of the technical history of the company and work

as a channel to disseminate this knowledge to its collaborators.

RECOMMENDATIONS

Having stated that the non-integration of the construction supply chain

hinders the creation and improvement of value for money in the construction

process.Specifically the recommendations are anchored on collaboration and

supply chain management. The recommendations include:

Ensuring the early involvement of key project team members that have

expert knowledge so that an appropriate level of client satisfaction and

value can be defined;

Establishing of subcontractor and supplier relationships by selecting

teams based on value rather than lowest price;

Integrating pre-construction and construction activities and adopting

common processes such as ICT;

Managing the project parameters of cost, schedule, quality, and H&S in

unison;

Working together as a team to agree mutual goals and devise dispute

resolution mechanisms;

Developing and monitoring continuous improvement programmes;

Developing and implementing sound risk management processes;

Dealing with risks and rewards equitably by using modern commercial

arrangements such as collaborative contract forms, target cost and open

book accounting;

Using non-adversarial forms of contract and ensuring that contractual

relationships are appropriate for expected project objectives;

Using cost-plus and design and build forms on contract and

deemphasising the use of management contracting as well as traditional

forms of contracting and

Mobilising and developing people in order to ensure employee

satisfaction through integrated teams.

BIBLIOGRAPHY

Hinks, J., Aouad, G., Cooper, R., Sheath, D., Kagioglou, M. and Sexton, M. (1997) IT

and The Design and Construction Process: A Conceptual Model of Co-Maturation,The international journal of construction IT, July

Construct IT report. (1995) Occasional Paper No. 1: A Process-Based Study of an ITResearch Work Plan, University of Salford.

Hughes, W. (1991) Modelling the Construction Process Using Plans of Work,Construction Project Modelling and Productivity - Proceedings of the InternationalConference CIB W65, Dubrovnik.Glaser, E.M. & Backer, T.E. (1973). A Look atParticipant Observation, Evaluation, 1: 3: 46-49.

Banwell, H. (1964) Report of the Committee on the Placing and Management ofContracts for Building and Civil Engineering Works, HMSO.

Love, P.E.D., Smith, J., Treloar, G. and Li, H. (2000a). Some empirical observations of service qualityin construction. Engineering Construction and Architectural Management