14/10/2022

Construction
Management

Introduction to Construction
Management
Lecture 1

Prepared by
Dr. Shady Dokhan

Construction Management Course Outline

• Introduction
• Delivery Methods
• Contracts
• Different Planning Techniques
• Project Cost & Finance
• Project control

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Introduction

Civil Engineers

Construction Project Management

What is Construction Management?

“The art of managing resources in the

construction project in order to
complete the project within planned
schedule, planned budget, and with
required quality”.

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Video

What is construction Management ?

Construction Industry

Employing millions

5 % of construction GDP

$12.711 billion

Egyptian Construction

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Construction Industry

• The largest industry worldwide

• Unique characteristics & challenges
• Growth in this industry in fact is an indicator of
the economy conditions of a country
• Cuts across a large number of trades that
consume a wide employment circle of labor
• Feed & interact with the manufacturing
industry, which exports a large portion of its
products to the construction industry

Difficulties facing Construction Industry

Nature of Industry Increasing

Projects Characteristics Challenges

• Temporary
• Constrained by Time, Money & Quality
• Involve many conflicting parties
• Many decisions are made based solely on
experience

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Difficulties facing Construction Industry

Nature of Industry Increasing

Projects Characteristics Challenges

• Extremely Fragmented, with many small

specialties involved
• Intense competition & high failure rates
• Rapidly affected by recessions
• Little research & development expenditures
• Confidentiality & lack of information sharing
• Slow to adopt new technologies

Difficulties facing Construction Industry

Nature of Industry Increasing

Projects Characteristics Challenges

• Global market competition

• Increasing regulations (environment & safety)
• New advances in materials & equipments
• Tight budget, less time, yet better quality is
demanded
• Rising Costs
• Lack of Skilled Resources

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Construction Industry

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Total Height : 829.8 m

Budget : US$ 20 billion
Construction hoists Duration : five years
Over 5000 Skilled workers

Complex
Ten cranes
Environment

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Video

Mega Construction Projects

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Need for Construction Management

 Cope with increasing complexity of modern
projects.
 Utilize resources (4 Ms) efficiently. Manpower,
Materials, Machinery, and Money
 Communicate effectively among the parties.
 Meet requirements and deadlines.
 Achieve higher productivity.
 Document and utilize past experience to improve
future construction.

Classifications of Construction Projects

Residential Buildings Houses, low‐rise, high rise
buildings…..
Commercial & Institutional Hospitals, shopping centers,
Buildings educational buildings….
Industrial Buildings Factories, power plants,
petrochemical plants…
Heavy & Highway Streets, high ways, airports,
Construction tunnels, bridges, dams, canals…

Marine Construction Ports, off‐shore platforms,

submarine pipelines…
Military Construction

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Project Participants

Project Participants
Owner / Client / The individual or organization who owns and
Employer finance the project.

Architect / Engineer / The individual or firm engaged to do complete

Designer design works.

General Contractor The firm that is under contract to the owner for
construction of the project or for a major portion .

Subcontractor/ The individual or firm under contract to another

Suppliers contractor to perform a portion of the contractor’s
work.
Construction Manager The organization or firm which furnishes the
administrative & management services for
construction projects.

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Project Life Cycle

Operation &
Concept Design Construction
Maintenance
 Concept: Is the project truly viable?
— Need — Conceptual Design — Contractor carry out site — O & M
—Project Definition — Preliminary
Design Stage: prepare Designand tender
detailed design construction
documents — Lessons
— Feasibility — Detailed Design — Engineer deployed for learned
—Construction — Specifications contract
Construction: The contractor starts the construction administration &
Alternatives — Quantities construction supervision
—Master
O & M: Carried out—byTender
Schedule the owner’s own employees
Documents — Time, cost & quality
— Budget — Contract control
— Commissioning

Management Triangle

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Project Management Triangle

 It is a management processes of planning,

implementing and controlling of any one‐time
human activity within time, budget and scope
boundaries, to deliver high quality at low
absorption level of resources
time scope budget

Project Management Triangle

Time
(schedule) Budget
(cost)
Objective(s)

quality

Scope
(tasks)

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Project Management Triangle

SCOPE:

 Requirements specified for the end result

 The overall definition of what the project is
supposed to accomplish, and a specific description
of what the end result should be or accomplish
 A major component of scope is the quality of the
final product
 The amount of time put into individual tasks
determines the overall quality of the project
 Over the course of a large project, quality can have a
significant impact on time and cost (or vice versa)

Project Management Triangle

TIME:

 Time required for project completion

 It is important to divide the work into several
smaller pieces so that it is easy to estimate the time
and measure progress.
 Time is not considered a cost nor a resource since
the project manager cannot control the rate at
which it is expended. This makes it different from all
other resources and cost categories.

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Project Management Triangle

COST:

Cost to develop a project depends on several

variables including: labor rates, material rates,
risk management, plant (buildings, machines,
etc.), equipment, and testing.
Cost also include design costs, supervision,
contract administration, inspection,
management and profit.

Project Management Triangle

To increase the scope of the project it is necessary to increase time and budget.
To increase the level of quality it is necessary to absorb more resources.

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Project Management

Quality vs. Resources

Efficiency of the project

Quality Resources

MAX ? MIN

Why Construction Projects Fail?

• Unrealistic deadline is established (Time)

• Poor scope
• Changing customer requirements
• Underestimate of effort
• Technical difficulties
• Miscommunication among project staff
• Failure in project management
• Personal Conflicts

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Advantages of Applying Construction

Management
• Better control of financial, physical, and
human resources
• Improved customer relations
• Shorter development times
• Lower costs
• Higher quality and increased reliability
• Higher profit margins
• Improved productivity
• Better internal coordination
• Higher worker morale

Material available @
You can safely download this slides, but please consider to read below:

Lecture 1

Thank You

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