FOURAH BAY COLLEGE (FBC)

UNIVERSITY OF SIERRA LEONE (USL)

ASSIGNMENT 1

STUDENT NAME: WURIE SHAW

REGISTRATION NUMBER: 46750

DEPARTMENT: CIVIL ENGINEERING

LEVEL: YEAR 5 (HONS.2)

MODULE: CONSTRUCTION EQUIPMENTS, METHOD AND
MANAGEMENT
MODULE CODE: CENG 502E
DATE: 17TH NOVEMBER, 2024.
CONTRACTS
What is a Contract in construction?
In simple terms, construction contracts are legally binding agreements that explain the work
that a general contractor will perform and the payment that a project owner will make. These
contracts play a key role in construction management.
However, construction projects vary greatly in terms of complexity and size, so there’s not a
one-size-fits-all approach when it comes to construction contracts. That’s why several types
of construction contracts have been developed, such as lump sum, cost-plus, time & materials
(TM) and unit pricing contracts.
TYPES OF CONTRACTS
There are five common types of construction contracts: lump sum (or fixed price), time and
materials (T&M), unit price, guaranteed maximum price (GMP), and cost-plus. Each of these
contract types is suitable for some projects and not others, and each has both advantages and
disadvantages for the various stakeholders involved in a construction project.
Notably, many projects involve different contract types for different phases or aspects of the
job. Learning more about every type of construction contract can help you find the right
terms to manage financial risk on your project.
There are five common types of construction contracts: lump sum (or fixed price), time and
materials (T&M), unit price, guaranteed maximum price (GMP), and cost-plus. Each of these
contract types is suitable for some projects and not others, and each has both advantages and
disadvantages for the various stakeholders involved in a construction project.
Notably, many projects involve different contract types for different phases or aspects of the
job. Learning more about every type of construction contract can help you find the right
terms to manage financial risk on your project.

1. Lump sum contracts

Lump sum contracts, also called fixed price contracts, establish a fixed price for all of the
materials and labour required to complete a job.
This is the most basic and common type of construction contract. Lump sum contracts work
especially well for projects with a well-defined scope of work, which enables contractors to
make an accurate estimate of the project’s cost.
While lump sum contracts are extremely useful, they do have drawbacks.
Lump sum contracts are helpful for property owners during the bidding phase, but during
construction, owners have to be mindful that the general contractors are incentivized to come
in under budget. For that reason, many owners choose to hire a construction manager as their
representative on the job site.
Lump sum contracts also benefit general contractors, especially those who create accurate
estimates and bids. With a fixed total cost for the project, GCs who manage their costs during
construction can end up with a robust profit margin.
2. Time and materials contracts
Time and materials contracts — also called T&M contracts — reimburse contractors for
material costs and pay a fixed daily or hourly wage for labor costs.
This type of contract offers additional protection for contractors, who have greater assurance
that their costs will be covered throughout the project.
Notably, material and labor costs have several additional factors built in to the contract:
• Materials costs include the cost of the materials themselves, the freight charges, and a
markup charge (typically between 10 and 30 percent).
• Labor costs include the base pay, overhead and administrative costs, and a profit
margin. This is called the loaded labor rate.
Time and materials contracts can be beneficial in many situations, but it’s important to also
understand the risks of this contract type.

3. Unit price contracts

Unit price contracts set a fixed price for a distinct, repeatable aspect of a project, which is
defined as a “unit.”
For example, a contractor building 10 miles of highway may sign a unit price contract, with
each mile of highway representing a unit. The same labour and materials will be used for
each mile of road, so the contractor bills for each of those units at a fixed price. If the scope
of the project changes — for instance, if additional sections of highway need to be built —
the contractor simply bills for additional units upon completion.
Unit price contracts are especially helpful for situations where it’s unknown how many units
of work will be needed. For example, a contractor may remove dirt during site preparation,
billing for each yard of soil removed as a unit with a fixed cost.
Importantly, the unit price includes all of the contractor’s costs — labour, materials, overhead
— and a markup for profit.

4. Guaranteed maximum price (GMP) contracts

A guaranteed maximum price (GMP) contract sets a maximum project cost for the property
owner. Any costs that exceed the maximum price are the responsibility of the general
contractor, who will see their profit margin cut as a result.
With a GMP contract, a general contractor uses a schedule of values to estimate the total
project cost. In addition to these direct costs, the contractor will also include overhead costs
and profit. With this type of contract, the general contractor acts as a construction manager at
risk (CMAR). The CMAR oversees the project from start to finish, and they are at risk of
paying out-of-pocket for going over budget.
5. Cost-plus contracts
A cost-plus contract reimburses contractors for construction costs — labour, materials, and
equipment — along with a predetermined markup rate or fixed fee.
With cost-plus contracts, both direct and indirect costs are covered, and markup is typically
calculated as a specific percentage of the total costs. Direct costs are those specifically related
to the project (like labor, materials, or equipment just for that job) while indirect costs are the
overhead required to keep the business running (like insurance, office space, and software
subscriptions).
While all direct costs are covered in a cost-plus contract, indirect costs are usually covered on
a percentage basis, with the exact amount varying according to the length and scope of the
project.
Notably, a contractor cannot simply bill for costs without any justification. Before the
project begins, the contractor provides the owner with an estimate of costs. The contract
may also stipulate a maximum point beyond which costs will not be reimbursed.
2. CONSTRUCTION HAZARDS AND ITS MITIGATIONS
A construction site is any piece of land where a building is being built or repaired. Those who
work on construction sites are often required to use large tools and pieces of machinery, work
at height, and in environments where hazardous materials are present. Because of the nature
of such work, working on construction sites can be dangerous.

List of Hazards on a Construction Site

Construction hazards are heavily dependent on the type of construction work that is being
carried out. For example, working on scaffolding presents entirely different hazards to
working with asbestos.

The following are the risks and hazards from working on construction sites are:

• Working at height.
• Moving objects.
• Slips, trips, and falls.
• Noise.
• Hand arm vibration syndrome.
• Material and manual handling.
• Collapsing trenches.
• Asbestos.
• Electricity.
• Airborne fibres and materials.

Working at Height
The Health and Safety Executive (HSE) publish statistics every year that detail the most
common causes of ill health and accidents – both fatal and non-fatal – to workers in the UK.
Each year, approximately a quarter of worker fatalities are caused by a fall from height. This
puts working at height as the most common cause of fatal injuries to workers.
Suitable training is required for all employees who work at height. Employees should be
trained in working on different pieces of equipment and surfaces, such as how to work safely
on scaffolding, ladders, and roofs.

The law requires that all employers must assess the risks from working at height. A plan
should then be devised to ensure all work is carried out safely. The employee must have
received the correct training in working at height, and must be aware of the safety procedures
they should follow when doing so.
Working at height must be properly planned and supervised, and certain approaches and
precautions should be adopted. These are:
• Avoid working at height where possible. For example, if something can be assembled
on ground level, do it there.
• Use equipment with an extra level of safety to reduce the risk of a fatal fall. For
example, a scaffold with a double guard-rail.
• Minimise the consequences of a fall, for example by providing a safety net.

High Speed Training offers a convenient, online Working at Height training course, suitable
for gutter and window cleaning, solar panel installation, minor roof work and many more.
Head to our course library for full details.

Moving Objects
A construction site is an ever-changing environment, and construction hazards continue to
increase as construction is underway. There are many moving objects commonly encountered
on construction sites. These include overhead lifting equipment, supply vehicles, and diggers,
all of which move around a usually uneven terrain.
Reducing risks should always be a priority. Workers should always:
• Avoid working close to the moving object.
 • Be vigilant of their surroundings, especially if the object does not have lights or
beepers.
• Wear Personal Protective Equipment (PPE), such as a high visibility jacket, to ensure
they are seen.

Slips, Trips, and Falls

Slips, trips, and falls can happen in almost any environment. As construction sites often have
uneven terrain, buildings at various stages of completion, and unused materials on site, it is
unsurprising that slips, trips, and falls are a common hazard.
HSE reports that several thousand construction workers are injured every year following a
slip or trip, and that most of these could be avoided by effectively managing working areas
and access routes, such as stairwells and footpaths.
Those in control of construction sites must effectively manage the site so that workers can
move around it safely. Risks should always be reported and sorted to reduce the chances of
injury.
Some causes of slips and trips and how to prevent them include:
• Uneven surfaces – The risk of these can be reduced by providing walkways that are
clearly designated as walkways, having good conditions underfoot, and being well lit.
• Obstacles – Instances of slipping and tripping over obstacles can be dramatically
reduced by everyone keeping their work and storage areas tidy and designating
specific areas for waste collection.
• Trailing cables – Cordless tools should be used where possible. If this is not possible,
cables should be run at high levels.
• Wet or slippery surfaces – If a surface is slippery with mud it should be treated with
stone, and if it is slippery with ice it should be treated with grit. Any areas that are
slippery should be signposted, and footwear with a good grip should be worn.

Noise
Construction is noisy and, as a result, noise is a common construction hazard. Loud,
repetitive, and excessive noise causes long term hearing problems, such as deafness. Noise
can also be a dangerous distraction and may distract the worker from the task at hand, which
can cause accidents.
It is the employer’s responsibility to carry out a comprehensive noise risk assessment, and
provide appropriate PPE where necessary.
Hand Arm Vibration Syndrome
Hand Arm Vibration Syndrome (HAVS) is a painful and debilitating disease of the blood
vessels, nerves, and joints. It is usually caused by the prolonged use of hand-held power
tools, including vibratory power tools and ground working equipment.
HAVS is preventable, however once the damage is done, it is permanent. HSE reports that
nearly 2 million people are at risk of developing HAVS. Damage from the disease can include
the inability to do fine work, and cold temperatures can trigger painful attacks in the fingers.
Construction workers should be given appropriate protection when using vibrating tools, and
equipment should be well maintained.

Material and Manual Handling

Materials and equipment are constantly being lifted and moved around construction sites,
whether this be manually or by equipment. Either way, handling carries a degree of risk.
Where duties involve manual handling, adequate training must be provided. If an employee is
required to use lifting equipment, they must be trained in how to use this and a test should be
taken to check their ability to use the equipment safely.

Collapsing Trenches
A common occurrence on construction sites is the collapsing of trenches with workers inside.
Further, a building that is being demolished or under construction can suddenly and
unexpectedly collapse, which can seriously injure, or even kill, those inside.
Precautions for collapse need to be taken before work starts. If the project requires a trench,
site managers should:
• Consider the kind of support that is best suited for the trench.
• Ensure the trench is fully secure.
• Regularly inspect the trench both before and during the work shift.

Asbestos
Asbestos refers to a set of six naturally occurring fibrous minerals. When materials that
contain asbestos are disturbed or damaged, these fibres are released into the air. Inhaling
these fibres can cause fatal and serious diseases such as lung cancer, asbestosis, and pleural
thickening.
Asbestos kills around 5,000 workers per year, and an average of 20 tradespeople die every
week as a result of past exposure. An estimated 500,000 public buildings in the UK are
thought to contain asbestos.
If there is asbestos on the construction site, workers must be informed where it is. They must
be trained in what to do should they come across suspicious materials that may contain
asbestos.

Electricity
It is harmful to be exposed to electrical live parts. Harm can occur either by touching live
parts directly, or indirectly by a conducting object or material.
HSE reports that approximately 1,000 electrical accidents at work are reported every year.
Most of these accidents arise from contact with overhead or underground power cables and
electrical equipment/machinery. Electric shocks are a common cause for falls from ladders,
scaffolds, and other work platforms. There is also a growing number of electrocutions
involving workers who are not qualified electricians, but who are carrying out electrical work
on construction sites.

Airborne Fibres and Materials

Unsurprisingly, a lot of dust is produced on construction sites. The dust on construction sites
is often an invisible, fine, and toxic mixture of hazardous materials and fibres. This can
damage the lungs and lead to diseases such as chronic obstructive pulmonary disease, asthma,
and silicosis.
It is the duty of all employers to ensure protective equipment is used. Simply providing it is
not enough.

Hazardous Chemicals and Dust

It’s not just asbestos that workers need to be aware of, there are several other chemicals and
dusts that can cause harm. Silica, for example, can cause occupational lung disease. Other
hazardous materials can cause immediate health concerns such as burns and poisoning and
others might cause long-term conditions such as cancer or nerve damage. In other extreme
cases, hazardous chemicals can cause fires and explosions.

Manual Tasks
Construction work is naturally very manual. Workers often have to push, pull and lift heavy
items and are sometimes exposed to vibration which can cause strains and other
musculoskeletal issues. Repetitive movements can be another cause of injury for workers
which tend to appear later on down the line. More sudden injuries can be muscle tears,
broken bones and ligament damage.

Fatigue
Manual work can very quickly become tiring. This is easily one of the biggest construction
site hazards as it can affect all parts of work. It’s easier to miss certain risks, people are less
alert to their surroundings, working at heights can be dangerous and potentially fatal
accidents could happen when using heavy machinery. Workers must have the breaks they
need to ensure they’re working safely.

Working Outdoors
Working outdoors can exacerbate already existing problems. Sun exposure can lead to
tiredness and dehydration whilst rain and storms can make surfaces more slippery.
Furthermore, being outside all day can mean you’re exposed to more air pollution.

Mental Health Challenges

Although construction work is very physical, it can also take its toll on one’s mental health.
Bullying, loneliness and a lack of support from more senior people can really affect the
morale of a team and how it works. It’s one of the key reasons why it’s so important to have a
workplace safety culture. Implementing quality safety procedures and risk assessments is
essential for construction site safety and showing workers that management cares about their
well-being.
 HEALTH, SAFETY, AND ENVIRONMENT (HSE) PLAN
Creating a Health, Safety, and Environment (HSE) plan for a construction site involves
several key elements to ensure the well-being of workers and the surrounding environment.
Here's an outline to consider:
1. Risk Assessment:
o Identify potential hazards on-site (e.g., falling objects, heavy machinery,
electrical risks).
o Assess the level of risk associated with each hazard.
o Develop strategies to mitigate or eliminate these risks.
2. Safety Procedures:
o Establish clear protocols for personal protective equipment (PPE) such as hard
hats, gloves, goggles, and steel-toed boots.
o Define safe operating procedures for all machinery and equipment.
o Implement guidelines for working at heights, confined spaces, and in adverse
weather conditions.
3. Training and Education:
o Provide comprehensive training for all workers on safety protocols and
emergency procedures.
o Conduct regular safety meetings to reinforce protocols and address any
concerns.
4. Emergency Response Plan:
o Develop a detailed plan for responding to accidents, injuries, fires, and other
emergencies.
o Ensure all workers are aware of emergency exits, assembly points, and first
aid stations.
5. Environmental Protection:
o Implement measures to minimize environmental impact (e.g., proper waste
disposal, erosion control, pollution prevention).
o Comply with local environmental regulations and obtain necessary permits.
6. Site Security:
o Control access to the construction site to prevent unauthorized entry.
o Secure valuable equipment and materials to prevent theft or vandalism.
7. Regular Inspections and Audits:
 o Conduct routine inspections to identify and rectify safety and environmental
hazards.
o Perform audits to assess the effectiveness of the HSE plan and make necessary
improvements.
8. Documentation and Reporting:
o Maintain thorough records of safety training, incidents, inspections, and
corrective actions taken.
o Report any accidents, near misses, or environmental incidents promptly to
relevant authorities.
9. Continuous Improvement:
o Encourage feedback from workers to continuously improve safety measures.
o Review the HSE plan regularly and update it as needed based on new risks or
changes in regulations.