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Chapter one: Prepared by Tsegaye G

Chapter One: Introduction

Dictionary definition of inspection / supervision
 a critical examination of somebody or something
CONSTRUCTION SITE SUPERVISION aimed at forming a judgment or evaluation
Microsoft Encarta 2009.

COTM 4302

Construction Inspection/supervision: the process
of ensuring Achievements of targets/ Objectives (cost,
Prepared by Tsegaye Girma time and quality) which has been set at the planning stage.
EiABC, Chair of Project Management
Inspection is one of the means of ensuring compliance of
design and specifications.

The primary objective of inspection is to ensure safety of
lives and durability of structure.
Chapter one: Prepared by Tsegaye G

.Continued

The construction supervisor is the person who
plans, directs, and coordinates onsite activities that
result in turning drawings and specifications into
reality.

Therefore, the inspector has the responsibility of
ensuring that the structure being built confirms to
the acceptable standards and good workmanship and
quality materials.

The inspector has professional as well as ethical
responsibility to ensure that the structure is built
correctly.

Most of the buildings and other infrastructure fails
due to lack of proper and professional supervision
causing loss of lives and
Chapter one: property.
Prepared by Tsegaye G
Continued

Proper inspection becomes a critical aspect of a work in
order to ensure that the works to be accomplished are
done as intended, confirming to the technical documents
requirement.

The relationship between the inspector and the
contractor should be partnership rather than advisory and
regulatory.

It is common that inspectors takes side and may think
that anything he/she can do to slow down, impede or
control the work is to the advantage of the employer.

The inspector is responsible to control quality of work but
if he/she impede the progress, the employer will incur
additional costs.
Chapter one: Prepared by Tsegaye G

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Importance of Supervision Cont

Supervision is important to ensure that the structures or works
If the work is executed with faulty supervision, it may
being executed are constructed according to Design, result in
Specification, code requirements as well as accepted practice.  Change in the intention of the designer

Therefore, supervision can be defined as the process of ensuring  Unsafe and/ or unacceptable structure
compliance with technical requirements, government regulations  Additional costs to the employer
and accepted levels of workmanship.  Un necessary delay

Structures may be designed correctly, but if the actual  Poor quality of work, etc
construction is carried out with faulty supervision, the intention
of the design works may not be accomplished, resulting in unsafe,
and/or unacceptable structures

Chapter one: Prepared by Tsegaye G Chapter one: Prepared by Tsegaye G

.Continued The Construction Project Environment

The detailed knowledge of the plans and
The influence of various elements in the
specifications for the particular work is very executing inspectors duties is called Project
important for execution of his duties. environment.

He/ she should be familiar with any revisions or  The environment in which the inspector will
amendments done to the original documents and exercise his tasks could be demanding and takes
also the reason for such changes and their his technical as well as interpersonal skills.
incorporation to the works.

He/she must also be able to follow the progress
of the work, record accurately and follow up the
day-to-day progress.

He/ she must record and advice rectifications of
errors observed Chapter
during one: Prepared by Tsegaye G
inspection of works. Chapter one: Prepared by Tsegaye G

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The Construction Project Environment The Construction Environment

 All this is maintained within the project environment  Therefore the inspector must be alert to the
involving the

Client influence of various elements in the execution

The contractor of his duties.
The Engineer/Architect


 And possibly with differing project delivery methods
 The Construction Environment is influenced by
 Construction Project Environment is:

Is complex
Contractor attitude
Has many risks

Contractor abilities



Requires varying skills

And is demanding
Trade atmosphere
 Because of the varying nature of the work flexibility is a
Field team ability
very crucial

Completeness of drawings

Field conditions
Chapter one: Prepared by Tsegaye G Chapter one: Prepared by Tsegaye G

The Construction Environment The Construction Environment

 Contractor attitude: a particularly antagonistic
contractor may cause problems in the exercise of
the inspection process
 Contractor abilities: the lack of competence of the
contractor may be a cause for a more intensive
inspection work
 Trade atmosphere: the general trade atmosphere
will have an impact either positively or negatively in
the exercise of the inspection process
 Filed team ability: the skills of the staff assigned by
the contractor to carry out the work on site will go a
long way into affecting the inspection process
 Inspector ability: the skills of the inspector on the
inspection process will have a great impact on the
construction project environment.

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The Construction Environment The Skills of Inspection

 Completeness of drawings: incomplete drawings or
designs will be a cause for delays and
misunderstandings between the inspection team and
the contractor.
 Field conditions: the conditions on filed in which the
work is being carried out will affect the general
work atmosphere.

In order to earn the respect of the contractor it
is very important that the inspector display
excellent competence in supervision practice.

In the course of supervision, fairness is of
paramount importance.
 As a representative of the client, the inspector
needs to exercise professional integrity and a high
ethical standard. This will go a long way into
maintaining the mutual respect that is vitally
necessary for a smooth execution of a work.
 It is a fact that projects which experience delays
due to difficulties between inspector and
contractor cost more.

Chapter one: Prepared by Tsegaye G Chapter one: Prepared by Tsegaye G

Contd Contd
 Communication skills
 In exercising the duties of inspection, in addition to
Written and oral, Listening and speaking
the contractual role, the inspector is required to o

o Internal and external

developed and be competent in various skills that
o Formal and Informal
will assist him in effectively carrying out his duties.
o Vertical and Horizontal
 Some of these include
 Negotiating
 Observation skills
 Problem solving skills
o Global observation skills
o Problem definition
o Abstract observational skills
o Decision making, the right decision at the
 Technical skills or competence
right time
 Interpersonal skills
 Analytical skills
o Looking at the big picture of the effect of the
Chapter one: Prepared by Tsegaye G Chapter one: Prepared by Tsegaye G
decision

4

Observation
 Developing good skills of observation is an
asset in exercising the duties of an inspector.
The ability to have a global as well as
abstract form of observation that is having a
wider view of the task to be inspected as well
as at the same time focusing on details is
critically important. Besides it is vitally
important to remember issues /points
observed as well as keep an accurate record.
Chapter one: Prepared by Tsegaye G
Interpersonal skills
 It is a well observed fact that the way
information is transmitted can affect the way it
is understood.
 In such an atmosphere, the way the inspector
transmits guidance to the contract will
contribute either to a good understanding and
reception of the information or create barriers
hampering timely completion.
 It becomes very important therefore that the
inspector develop good interpersonal
communication skills, in speaking, listening etc. in
the process of carrying out inspection duties.
Chapter one: Prepared by Tsegaye G
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Technical competence
 It is also vitally important that the inspector
be competent in his areas of expertise as well
as be familiar with current technology and
methods of executing construction works.
 In all cases the inspector must have technical
competence well above the people being
supervised, so that he is in a position to guide
workers and correct any faulty works.
Chapter one: Prepared by Tsegaye G
Communication skills
 Communicating involves the exchange of information.
 The sender is responsible for making the information
clear, unambiguous, and complete so that the receiver
can receive it correctly.
 The receiver is responsible for making sure that the
information is received in its entirety and understood
correctly. Communicating has many dimensions:

Written and oral, listening and speaking.

Internal (within the project) and external (to the customer,
the media, the public, etc.).

Formal (reports, briefings, etc.) and informal (memos, ad hoc
conversations, etc.).

Vertical (up and Chapter
downone:
the organization)
Prepared by Tsegaye G and horizontal (with
peers and partner organization).
5

Negotiating
 Negotiating involves conferring with others to
come to terms with them or reach an agreement.
 Agreements may be negotiated directly or with
assistance; mediation and arbitration are two
types of assisted negotiation.
 Negotiations occur around many issues, at many
times, and at many levels of the project.
 During the course of a typical project, project
staff is likely to negotiate for any or all of the
following:
 Scope, cost, and schedule objectives.
 Changes to scope, cost, or schedule.
 Contract terms and conditions.
 Assignments.
Chapter one: Prepared by Tsegaye G
 Resources.
Decision Making
 Decision-making includes analyzing the
problem to identify viable solutions, and then
making a choice from among them.
 Decisions can be made or obtained (from the
customer, from the team, or from a
functional manager).
 Once made, decisions must be implemented.
Decisions also have a time element to them
the right decision may not be the best
decision if it is made too early or too late.
Chapter one: Prepared by Tsegaye G
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Problem Solving
 Problem solving involves a combination of problem
definition and decision-making.
 Problem definition requires distinguishing between
causes and symptoms.
Problems may be internal (a key employee is
reassigned to another project) or external
(a permit required to begin work is delayed).
 Problems may be technical (differences of opinion
about the best way to design a product), managerial
(a functional group is not producing according to
plan), or interpersonal (personality or style clashes).
Chapter one: Prepared by Tsegaye G
Analytical skills
 In the course of carrying out his tasks the
inspector is required to make decisions that
may affect the progress of the work. At such
times analyzing the situation and weighing
alternatives to arrive at a good decision will be
vitally important.
 Therefore the skills of analysis that of looking
at the bigger picture while at the same time
separately understanding critical elements ,
therefore become a vital element of good
inspection.
Chapter one: Prepared by Tsegaye G
6

The role of Inspector

An inspector may work for the Employer, the
Contractor or the Consultant, in any case
however, his responsibilities are the same.

Most of the time the inspector works on the side
of the consultant.

The main role of supervisor in general is to follow
up the execution of a project with the design,
specification and appropriate legal and social
practice.
Chapter one: Prepared by Tsegaye G
The role of Inspector
 The main role of the supervisor is to follow
up the execution of a project with the
appropriate quality products
o Inspect
o Guide
o Assist
o Facilitate
o Control quality but not to hinder work.

The controlling aspect of the inspection
should only came in the event that the
contractor fails to execute the works
according to standards and accepted
practice. Chapter one: Prepared by Tsegaye G
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The Inspector .
 The inspector must have a keen eye, be observant
and able to see critically. To do this a thorough
knowledge of the procedures for executing the
particular work he is inspecting is necessary.
 Detailed knowledge of the plans and specifications
for the particular work is also a vitally important
part of the work. He must also be familiar with any
revisions or amendments done to the original
documents, and the reason for such changes and
their incorporation into the works.
Chapter one: Prepared by Tsegaye G
.Continued

The inspector needs to exercise professional
integrity and high ethical standards.

He/ she must always understand the problem of the
contactor and find a solution to assist him in
resolving the issues without waiving any of the
specific requirements of the specification.

In summary the inspector must have the following,
o Knowledge
o Integrity
Ability
o
Good judgment
o
o Good attitude
o practice
Chapter one: Prepared by Tsegaye G
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..Continued The Construction Site Relations

His specific duties are summarized below:
 Ensuring compliance by the contractor with drawings,
specifications and contractual provision of the project.
 Monitoring project progress according to the schedule
 Coordinating and monitoring different tests
 Inspecting contract drawings and specifications
 Rejection of works which is not within the contractual quality
 Stopping of works when safety concern override basic
contractual commitment.
 Approval or rejection of shop drawings, materials and samples
 Certifying interim payment certificates

In other hand the inspector has no authority to
revoke, alter, enlarge, relax, or release any of the
requirements of theChaptercontract provisions.
one: Prepared by Tsegaye G
 The construction site is also an area where
people interact
 Relationships in construction sites can become
strained. This may be caused by pressure on
meeting deadlines, or even differing
personalities. The supervisor should therefore
be tactful in handling difficulties in such a
stressful environment. One must never allow
emotions to govern but be even handed in
addressing site issues.
Chapter one: Prepared by Tsegaye G

The Construction Site Relations The Construction Site Relations

 As in all human activities the construction  The requirements of the contract must at all
sector involves the interaction of people times be separated from personal
with different predisposition. The preferences or bias. Communication lines
inspector should therefore be aware of between the contractor and the supervisor
human personality differences and act must also be maintained at all times, with due
appropriately. It is always an advantage to care.
perceive peoples moods and daily stresses
which will eventually assist in achieving a
positive objective.

Chapter one: Prepared by Tsegaye G Chapter one: Prepared by Tsegaye G

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The Construction Site Relations Necessary Equipments

 The inspector should therefore
Make sure that you have the following equipments

Be tactful, avoid confrontation at hand whenever inspecting a site

maintain common sense
 Tape mater

Avoid shouting

ensure that works attain high standard right from the beginning  Level

Explain any ambiguous tasks and Correct it if needed  Straight edge

Do not delay rectification of work correct before it progresses  Note book, diary
significantly
 Safety helmet

When required give prompt replies and be decisive

Instruct the Forman/supervisor in responsible position only  Suitable site shoes

Communicate to appropriate personnel only  Appropriate clothing

Chapter one: Prepared by Tsegaye G Chapter one: Prepared by Tsegaye G

Defects in Construction Contd

Defects in construction may appear due to either  Some of this defects will result in
of the following reasons buildings or parts of buildings that are
 Inadequate strength or stiffness
 Structural instability
unsuitable or unusable. Others will
 Settling of foundations result in excessive operating and
 Distressed structural members as evidenced by cracking, maintenance costs, premature
movement and excessive deflection
 Weather and moisture intrusion caused by failure of roofing, replacement costs, or depreciated or
exterior wall, floors and openings unacceptable appearance and sometimes
 Premature depreciation such as abnormal wear, decay, corrosion
 Poor Workmanship
property damage, personal injury or
 Un-adequate Supervision death.
 Usage of poor quality material
Chapter one: Prepared by Tsegaye G Chapter one: Prepared by Tsegaye G

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Continued Continued

Defects in structure can occur during the construction o By coating?

By strengthening?
period or during times of use. o
o By premature replacement?

The inspector is required to analyze the situation and arrive o By acceptance of defects and monetary adjustments?
at a technically sound explanation as well as possible o By some equivalent to the originally specified product or procedure?
practical recommendations. o By some creative or innovative procedure?

The inspector is therefore expected to answer the following
The inspector should also understand the costs of remedial
key questions for analyzing the defect and forward the measures.
possible recommendations o Costs of analysis and recommendation.
 What is the phenomenon? o Costs of Redesign works
 How can it be described and explained? o Costs of inspection and testing
 What is the exact cause? o Costs of labor, material, equipment coordination
 How it can be rectified? o Costs of consequential damages
o By removal or replacement? o Costs due to loss of use of building
o By repair? o Costs due to damage of personal injuries.
Chapter one: Prepared by Tsegaye G Chapter one: Prepared by Tsegaye G

Identifying the source of responsibilities Contd

Who is responsible for the failure
 Design problem?
o Was the construction project properly design?
The architect and the engineers are primarily responsible for
the design problems. Who is responsible for Temporarily
structures?
 Construction problem?
o Was the project built in accordance with contract
requirement? Was it properly constructed? Does the
contractor provide right materials as per the specifications.
Who is responsible?
 Maintenance or usage problem?
o Was the project and all its systems been properly
cared for? Has the project been abused or damaged
by its user? has the project been used improperly?
Who is responsible?
 Unforeseen circumstance [natural disaster, war, etc]
Who is responsible?
 Faulty supervision
Who is responsible?

Accidents are very common in construction sites,
hence, it is very important that healthy and
safety issues are addressed properly.

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Construction Site Safety A FEW FACTS:

Construction Site Safety

 Introduction A Few facts  The first week on each new site is the
 Construction Accidents
 Safe Access On-Site most dangerous
 Working at Height
 Ladder Safety  Accidents are more frequent at the
 Roof Safety end of the day
 Excavation Work
 Crane Safety  Small building jobs are the most risky
Traffic vehicles & Plant


 Goods Hoist
 Safety helmets, Hi-
Hi-viz jackets,
 Electricity safety boots do prevent injury and
Working Near Sewage


 PPE
death
 Safety Success  Light weight shoes-
shoes-such as trainers
or runners are not suitable on site
Chapter one: Prepared by Tsegaye G Chapter one: Prepared by Tsegaye G

Construction Accidents Safe Access On Site

Construction Site Safety

Construction Site Safety

Breakdown of fatalities according to type of accident in
 Everyone can get to their place of work
construction industry safely
 56% falls from height  Edges from which people could fall are
 21% trapped by something collapsing or provided with double guard rails or other
overturning suitable edge protection
 10% struck by a moving vehicle
 Holes are protected with clearly marked
 5% contact with electricity or electrical discharge
and fixed covers to prevent falls
 4% struck by a flying/falling object during
machine lifting of materials  Site is tidy
 3% contact with moving machinery or material  Good lighting
being machined
 1% exposure to a hot or harmful substance
 Fenced off from public

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Working at Height LETHAL LADDERS:

Height HAZARDS on Cconstruction Sites Ladders kill a lot of people.

Construction Site Safety

Construction Site Safety

Holes in Floors
loors,, Gaps on Working Platforms,
latforms, Shafts and Stairwells
not Adequately Covered,
overed, Barricaded
arricaded,, Fenced Off Make sure the ladder is:-
is:-
 Right for the job. Would scaffolding
or a cherry picker be better?
Using ladders or scaffolding without  In good shape
proper fixing is crazy  Secured near the top
Never use incomplete scaffolding.  On a firm base and footing
4 up 1 out
Make sure there are hand rails and toe  Rising at least 1 meter beyond the landing place OR that
boards at all edges there is a proper hand hold

Things fall on sites, wear your helmet Always have a firm grip on the ladder
Before starting work at heights check for and keep a good balance
clearance from any overhead power lines
Chapter one: Prepared by Tsegaye G Chapter one: Prepared by Tsegaye G

THE ROOF: A RISKY PLACE TO BE.

Safe Ladders
Very Simply:-
Simply:-
Construction Site Safety

Construction Site Safety

 Never allow more than one person on a ladder  Always inspect a roof before you walk on it
 You must have protection to stop you from falling off the
 Use tool belts or hand lines to carry objects. edge
 Do not lean out from the ladder in any direction  You must use proper safety harnesses and running cables
when working on top of a roof
 If you have a fear of heights dont climb a Remember: a walk along a fragile roof could be your last
ladder 50% of fatal injuries involving roofs are falls thru
thru
 Do not allow others to work under a ladder in fragile materials, 30% are falls from edges and
openings
use

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EXCAVATION WORK. EXCAVATION WORK

If you want to avoid being buried

Construction Site Safety

Construction Site Safety

If you want to avoid being buried
alive apply these rules:-
rules:- alive apply these rules:-
rules:-
 All excavations deeper than 1.25meters MUST be shored or
battered.  Make sure the excavation is
 Excavations deeper than 2 meters MUST have a guard rail
or barrier
inspected daily
 Vehicles working too close to the  Make sure you know where any
side of the trench or rubble piled underground pipes and cables are
on the sides may cause collapse before you hit them
 Vehicles tipping into the excavation
 REMEMBER: There is no safe
must use stop blocks
ground that will not collapse
 Trench sides can collapse without
Chapter one: Prepared by Tsegaye G
warning Chapter one: Prepared by Tsegaye G

CRANE SAFETY Traffic Vehicles & Plant

Very Simply :-
:-
Construction Site Safety

Construction Site Safety

 The weight of the load must be carefully
estimated
 The crane must be fitted with an automatic  Vehicles and pedestrians should be kept apart on-site
safe load indicator (one that works) separate them as much as possible using barriers
 The crane must always work on a hard, level  Adequate clearance around slewing vehicles
base  Avoid reversing where possible & use one-way system
 The load must be properly fixed and secured  Vehicles should have reversing alarms/sirens
 The banks man must be trained to give clear  Passengers only on vehicles designed to carry them
signals
 NEVER, NEVER be carried with a load
Chapter one: Prepared by Tsegaye G Chapter one: Prepared by Tsegaye G

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Goods Hoist ELECTRICITY

Good Safety Practice Good practice with electricity on site:-

site:-
Construction Site Safety

Construction Site Safety

 Treat electricity with respect
 Installed by a competent person
 Rated capacity clearly marked  Check constantly that cables are not
damaged or worn
 Current examination and inspection report
 Suitable base enclosure to prevent people  Keep trailing cables off the ground and
being struck by moving part of hoist away from water
 Landing gates kept shut except when  Never overload or use makeshift plugs
platform is at landing and fuses

Chapter one: Prepared by Tsegaye G Chapter one: Prepared by Tsegaye G

Working near Sewage PPE on-

on-site
Health Risks:
Construction Site Safety

Construction Site Safety

*Gastroenteritis *Hepatitis
*Weils disease (Leptospirosis) {Rats Urine}
*Asthma *Skin/Eye infections *Inflammation of the lungs
Most construction sites require at least:
How to become infected:
 Hard hat
Hand-to-mouth contact(eating, drinking, smoking, wiping the face with contaminated gloves)
Safety Boots

most common 
 Skin contact(cuts, scratches or wounds and some organisms enter the body through the eyes)
 Breathing(either as dust or mist)
 Hi-viz jacket
How to protect yourself:
 Understand the risks  Safety Glasses
 Understand how you may be infected
 Wear protective clothing
 Avoid sewage if possible



Apply good personal hygiene
Cleanse all wounds & cover
Wear them always for your safety
 Change out of contaminated clothing
 Clean equipment & boots etc on site
 If in doubt - see your doctor
Chapter one: Prepared by Tsegaye G Chapter one: Prepared by Tsegaye G

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BASIC SAFETY PHILOSOPHY FOR

SUCCESS Construction Site Safety
A NEW SAFETY CULTURE
No job is so important that it cannot be done
 All accidents are preventable. safely
 No job is worth getting hurt for.
 Every job will be done safely.
 Incidents can be managed.
 Safety is everyones responsibility.
 Continuous improvement.
 Safety as a way of life for 24 hours/day
 All individuals have the responsibility and accountability to UNDER NO CIRCUMSTANCES ARE PERSONS
identify eliminate or manage risks associated with their
workplace WORKING ON THIS SITE TO PUT
 Legal obligations will be the minimum requirements fro our THEMSELVES IN DANGER
health & safety standards
 Individual will be trained and equipped to have the skills and
facilities to ensure an accident free workplace BEST - BE Safe in your site
Chapter one: Prepared by Tsegaye G Chapter one: Prepared by Tsegaye G
Whats your company approach to safety?

Chapter one: Prepared by Tsegaye G

15

CHAPTER TWO
BIDDING PROCEDURES, CONTRACT TYPES
AND SPECIFICATIONS
Learning Objectives:
At the end of this Chapter , students should be able to:

Explain the bidding procedures for works and service contract

Mention the different types of tendering

Understand the major components of construction contract document

Explain the different types of specifications
Scope and Value of Contract
3
 This SBD is suitable for a standard contract, where
the works have been fully designed by or for the
Procuring Entity (Employer), prior to bidding, and the
Contractor will be responsible for construction only.
 It is suitable for works valued at up to US$10 million.
 This SBD for the Procurement of Works is not
suitable for the following situations:

Complex works under US$10 million, such as large water
treatment plants;

Works over US$10 million;

Works designed by the Contractor, including turnkey
contracts.
4/30/2013
Standard Bidding Document (SBD)

2
The significance of having standard bidding
procedure, specially for public funded projects is:

To simplify the drafting of a specific bidding document for
Procurement of Works by procurement staff;

To minimise the time required by the Tender Committee to
approve Bidding Documents prior to release;

To reduce Bidders time and effort in the preparation of Bids;

To facilitate and simplify the evaluation and comparison of bids
and Contract award by the Procuring Entity
 To ensure this, for instance, the Ethiopian
government established an agency (PPA) that
supervises procuring entities and sets procedures of
public procurement [proclamation no. 430/2005]
Summary of BP for Service Contract
4 Preparation of Terms of Reference (TOR)
 Preparation of Cost Estimate
 Advertize for expression of interest
 Prepare short list
 Prepare and issue Request for Proposal (RFP)
 Evaluate Technical proposal
 Notify Unsuccessful Bidder
 Notify bidders (passing technical Requirements) about the
date of financial opening
 Open financial opening in public
 Evaluate financial proposal
 Negotiate price and sign contract
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5
continued
6
Bidding procedure for works
 The TOR normally consist of

Background of the project;  The relevant parts of the bidding process are summarised
here as follows:

Objectives of the Assignment;

Selection/Identification of Bidders;

Scope of work;

Preparation and Issue of Bidding Documents;

Transfer of knowledge;

Bidding Period and Bid Receipt;

List of reports, schedule of deliveries, period of

Bid Opening;
performance;

Bid Evaluation; and

Data, local services, personnel, and facilities to be

Bid Acceptance, Contract Award and placement.
provided by the borrower; and

Institutional arrangements.

GPN and SPN

7
Types of tender
 General Procurement Notice is made during projects planning
Things Bidders Geographical Procurement Procurement phase and it is only interests of the bidders are aroused because
Bases Procured Coverage Coverage Awareness Steps
sufficient tender documents are not available.
This approach is used:


 The Project Owners to

 identify interested bidders to issue Invitations by letters and save time;
Types Goods Competitive International General PN Single  identify bidders relevant for the procurement required; and
Services Negotiated Regional Specific PN Two Staged  protect loss of cost in preparing lots of tender documents.
Works National Pre Qualification  The Bidders to:
 give sufficient time to assess the cost of the project;
Local Post - Qualification
 protect loss of cost only to participate; and
 encourage competent bidders.

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GPN Sample GPN

 There are two types of GPN based on their purpose why and when
they are notified.
 The first type is when the purpose is to create awareness and let bidders
prior information about upcoming projects such that they can follow up its
development and include them in their plan.
 This type of GPN is used for procurement of works and goods and is often
announced as soon as the design implementation service is started.
 The Second type is when the purpose is to determine interested bidders
who could be invited in the form of Limited Competitive Tendering. This
type of GPN is used for procurement of services and is often announced
after financial sources are determined. GPN covers the Employer and its
financiers for its project; Description of the project with its probable or
planed implementation time; type of procurement method and address
where further information can be obtained.

SPN Types of Tender

12

 Based of things to be procured tenders can be classified

 Specific Procurement Notice (SPN) is an Invitation for
Tender or a Request for Proposal when the project is
ready for implementation. SPN can be sent to those
interested bidders identified following GPN directly.
Otherwise, it should be advertise on the bases of
enlarging opportunities. The contents of SPN are similar
to The Form of Invitation to Tender
as:

Consultancy/ Service
o Services means the consultancy services to be performed by the
Supplier as described in the contract. E.g. Feasibility study, Business
plan, Design, Supervision, Contract administration

Works
The Works are what the Contract requires the Contractor to
o
construct, install, and turn over to the Employer, as defined in the
Special Conditions of Contract.

Goods
o Goods means all of the commodities, raw materials, machinery and
equipment, and/or other materials that the Supplier is required to
supply to the Procuring Entity under the Contract.

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Bid Qualification Procedure Types of Contracts based on method

of evaluation of proposal
13 14

Competitive Bid Negotiative Bid 1. Competitive Selection Process Quality v Cost based
(QCBS):
Financial Proposal
Financial proposal and Technical proposal is evaluated

Two envelope system used
Short-Listed Bid Open Bid

Financial proposal opened in public,
Financial Pr.
Sf = 100 x Fm/F

S = (St x T%) + (Sf x P%)
One-Stage Procedure Two-Stage Procedure

Illustrative example..
Financial Proposal
2. Competition on quality (QBS)
Pre-Qualification Post Qualification
Technical Evaluation Only

Negotiations on Price
Technical Proposal
Financial Proposal
Financial Proposal
Technical Proposal

Contd Quiz
3. Selection under fixed budget (SFB)  Assume that you are assigned as the evaluation committee of
some construction bid. It has been stated in section 3 of the bid
 Technical and financial proposals in two document that the method of evaluation is Quality and Cost
separate envelopes based selection system and the weight given for technical
and financial is 70% and 30 % respectively. By Assuming that

Financial proposals to be within specified fixed budget the minimum qualification criteria is 75% , recommend the

Technical evaluation (quality) first potential bidder for award of the contract. The technical sore

Public opening of financial proposals and financial offers of the bidders are summarized below.

Rejection of proposals exceeding fixed budget Technical score out of 100% Financial offer of the bidder

Highest rated technical proposal (within fixed budget)  Bidder A 87 17,530,000.00 ETB
selected  Bidder B 76 14,500,000.00 ETB
4. Least Cost Selection (LCS)  Bidder C 91 21,000,000.00 ETB

Financial Proposal will be ranked  Bidder D 73 12,000,000.00ETB

The lowest priced proposal will be recommended for
contract award, subject to satisfactory negotiations.

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Types of Contract based on method of pricing Types of Contract based on method of pricing
17 18

 Type of contracts: 3. Cost - plus contract

1. lump sum contract A cost-plus contract is the extreme form of the cost reimbursable

Such a contract might be used for the supply of a particular type and is so called because
unit of process plant or material, or for a package deal in
The contractor is reimbursed for all costs incurred during the
which the Contractor is responsible for both fulfillment of the contract,

Plus an agreed fee to cover overheads and profit.
o Detailed design and

The fee may be defined as a percentage of the agreed actual cost
o Construction.
or as a fixed amount

2. Cost - reimbursable contract 4. Admeasurements Contracts

Cost- reimbursable contracts are used when the requirements of the  The most common types of construction contract which facilitate
promoter are vague or competitive tendering,

when it is desirable for design to proceed concurrently with construction.  It incorporate some mechanism for the introduction and evaluation of

Such contracts are also used when the promoter wishes to be directly changes in the work content of the contract.
involved in the management of the contract or to reduce the financial
risk to the contractor

Types of Contract based on method of pricing The Contract

19

a) Bill of quantities :Bidders are required to enter unit prices against the estimated
quantities of many items of completed work  a Contract between parties is basically an .
b) Activity Schedule :
This types of contract is similar to the bill of quantities, but the estimated quantities
of work items which are expected to be less accurate than those given in the bill of
quantities. Agreement
5. Target Contracts:
 A promoter may introduce additional incentives into a contract by enforceable at law
offering the contractor a bonus payment for the achievement of
some previously defined target in terms of

Time,

Cost, or  Which contains certain elements .

Performance

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ELEMENTS OF CONTRACTS Construction Contracts

 Construction Contracts therefore have certain

 Mutual Agreement and Genuine Intention elements .
 Ex: they include
 Offer and Acceptance  An agreement ..meeting of minds
 Capacity to Contract  Terms and Conditions
 Allocation of Risks between
 Consideration in a Contract  Employer
 Lawful Object of a Contract  Contractor
 Duties, Responsibilities and Obligations
 Contract Time  Role of the Engineer/Architect
 The absence of any one of these elements is sufficient to void a contract..
 Default and remedies

Construction Contracts (cont.) Construction Contract Documents

 The construction contract documents define the

agreement between the owner and the contractor.
 It is a two-party agreement that does not include the  Advertisement for bids  Payment Certificates
designer (For DBB project delivery).  Information for bidders  Contract form or
agreement
 It is important that the construction contract, whatever  Bid form
form it may take,  General conditions or
 General notices provisions
 States clearly the roles and responsibilities of the
 Notice of award  Supplemental and/or
parties
 Notice to proceed special conditions
 Bid bond  Plans
 Performance bond  Specifications

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Construction Contract Documents ..Contnd

Characteristics of a good contract document: Construction Contracts

1. Carefully considered
2. Expressed clearly bidders are required to:
3. Time-tested  Examine all portions of the contract documents
4. Comprehensive  Examine the physical conditions of the site
5. Fair  Determine legal requirements affecting the work
6. Balanced  Complete these investigations prior to bidding
7. Applicable to the elements of a construction projects

Cond
DEFAULTS AND REMEDIES IN
CONTRACTS
 When a contract is breached, the party not guilty of
the breach is relieved by law from his duties arising
Construction Contracts out of contract, and he may seek a remedy for the
contract documents should: breach at law.
 Includea hierarchy to determine which documents  The law provides two common remedies:
govern in case of conflict  Damages to be paid in money to the hurt party by the
party in breach of contract
 Not contain ambiguous language
 Specific performance of the contract by a court order.
 Not contain exculpatory clauses
 In construction contracts money damages are much
more common than specific performance.

7

QUALITY RELATED FUNCTIONS OF CONSTRUCTION CONTRACTS
 The contract documents can be considered a and contractor under DBB, it may include a
procedures manual to help ensure quality. (They set
forth procedures and quality requirements for
management and administration of the contract, such
as schedules, shop drawings, and inspections.)
 Construction contract can also be used as a planning
tool for quality. Parties can look to the various
components (specification requirements, submittals,
inspections) to help ensure that proper attention is
given to quality.
Content of construction Contracts
 Description of works
 Price of works
 Construction start and completion times
 When and how advance and progress payments are to
be made
 How to compensate for changes in construction schedule
or contract amount, for design changes, contract
suspension or termination
 Sharing and evaluation of loss in respect of force
majeure events including acts of God
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ROLE OF THE DESIGNER IN THE
CONTRACT DOCUMENTS
 Although contract is an agreement between owner
description of the various services and functions the
designer may provide during construction.
 The designer may also have a major role in preparing
many of the contract documents and compiling
documents for use by bidders and the parties.
 The contract documents for design-build include
design criteria, performance specifications, or outline
specifications.
Content of construction Contracts
 Changes in contract amount or scope due to changes in
materials or services
 Sharing of third party damage liability
 Method of delivery of owner supplied materials or
owner-rented tools or equipment
 Times and methods of inspection of wholly or partially
completed construction and time of delivery of
completed construction
 Time and method of payment upon completion of
construction
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Content of construction Contracts Content of construction Contracts

 Interest, penalty and other damages in case of  Therefore in construction contracts the above
delay in performance of contractual obligations elements are systematically organized into the
and other liabilities  General Agreement
 General conditions
 Method of dispute resolution  Supplementary conditions
 Technical Section
 Specifications
 Drawings
 BOQ

Content of construction Contracts The Construction Documents

 Standard forms of construction contracts have three main parts:  There are now many standard construction
 The agreement
 The general conditions documents that support project management that
 The conditions of particular applications include
 The agreement  standard forms,
 is quite brief and appears to consist mostly of statements of fact,
whereas  agreements,

 The general conditions  general conditions, and

 deals primarily with matters that pertain generally to be  other documents.
construction work and the persons involved.
 The Particular Conditions
 Deals with particular applicable conditions

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Standard Construction Documents Standard Construction Documents

 Example .
 Technical
 Fidic Form of Contract  Specifications
 JCT  ASTM
 AIA  ACI
 RIBA
 CSI
 NEC
 SABS
 PPA
 IS

 BatcoDa  BS
 MoWUD  ETHIOPIAN STNADARDS

Standard Construction Documents Construction Contract Types

 BOQ
 Re-measurement form
 Standard Principles of measurement  Schedule of rates
 Etc  Lump Sum
 BOT
 BOOT
 Turn Key
 Cost Plus
 Labor Contracts
 Segregated Contracts
 Subcontracting
 Own Force Contracts

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The FIDIC form of Contract

42
FIDIC Conditions of Contract
:
 FIDIC
 General conditions
Red Book: Is intended for Civil Engineering construction works.

 Particular conditions
Yellow Book: more suitable for Electromechanical works,
 Red Book emphasis on testing, commissioning procedures, guarantees etc
 Green Book
 White Book
Silver Book: fro Design Build Projects (Turnkey Projects) no
Engineer)
 Yellow Book

Green book: For works of smaller nature.

White Book: for Consultancy Services (Design and Supervision)

The FIDIC Red Book The FIDIC Yellow Book

 Red Book: Conditions of Contract for Construction
Engineering works designed by the Employer,
 First Edition 1999
 Contents of Contract Book
 General Conditions
 Guidance for the Preparation of the Particular
Conditions
 Forms of Tender and Contract Agreement
 Dispute Adjudication Agreement
 Turner and Townsend
For Building and
 Yellow Book: Conditions of Contract for Plant and Design-Build For
electrical and mechanical plant, and for building works, designed by
the Contractor
 First Edition 1999
 Contents of Contract Book
 General Conditions
 Guidance for the Preparation of the
 Particular Conditions
 Forms of Tender and Contract Agreement
 Dispute Adjudication Agreement
 The Yellow Book provides conditions of contract for construction works
where the design is carried out by the Contractor

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The FIDIC Silver Book The FIDIC Green Book

 Silver Book :Conditions of Contract for EPC/Turnkey Projects  Green Book :Short Form of Contract
 First Edition 1999  First Edition 1999
 Contents of Contract Book
 Contents of Contract Book
 General Conditions
 Agreement
 Guidance for the Preparation of the
 Particular Conditions  General Conditions
 Forms of Tender and Contract Agreement  Rules for Adjudication
 Dispute Adjudication Agreement
 Notes for Guidance
 The Silver Book is suitable for use on process, power and private-
infrastructure projects, where a Contractor is to take on full responsibility  The Short Form of Contract is recommended for engineering
for the design and execution of a project. Risks for completion to time, cost and building work of relatively small capital value. The
and quality are transferred to the Contractor and so the Silver Book is only Guidance Notes for the Green Book recommended that
suitable for use with experienced Contractors familiar with sophisticated
risk management techniques generally it should not be used on projects with a contact
value greater than US$500,000.

The FIDIC MDB Book The FIDIC DBO Contract Book

Red Book (MDB edition) :Conditions of Contract for Construction For

Building and Engineering works designed by the Employer  DBO Contract ;Conditions of Contract for Design,
 MDB Edition 2005 Build and Operate Projects
 Contents of Contract Book  First Edition 2008
 General Conditions
 Guidance for the Preparation of the Particular Conditions  Contents of Contract Book
 Forms of Tender and Contract Agreement
 Dispute Adjudication Agreement
 General Conditions
 As part of their standard bidding documents the Multilateral  Particular Conditions
Development Banks (MDBs) have for a number of years required
their borrowers or aid recipients to adopt the FIDIC  Sample Forms
 Conditions of Contract.

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The Construction Contract and Supervisory role The Role of the Supervisor FIDIC Art 37.1

 The Contract documents stipulate the role of  The Engineer, and any person authorized by him,
 The Engineer (Supervisor) shall at all reasonable times have access to the Site
 The client and to all workshops and places where materials or
 The contractor Plant are being manufactured, fabricated or
 Therefore the task of the supervisor is defined and prepared for the Works and the Contractor shall
limited in these documents afford every facility for and every assistance in
obtaining the right to such access.

The Role of the Supervisor Art 37.3 The Role of the Supervisor
Dates for Inspection And Testing

 Rejection
 The Contractor shall agree with the Engineer on the time and place
for the inspection or testing of any materials or Plant as provided in  If, at the time and place agreed in accordance with
the Contract. The Engineer shall give the Contractor not less than 24
hours notice of his intention to carry out the inspection or to attend Sub-Clause 37.3, the materials or Plant are not
the tests. ready for inspection or testing or if, as a result of
 If the Engineer, or his duly authorized representative, does not
the inspection testing referred to in this Clause, the
attend on the date agreed, the Contractor may, unless otherwise Engineer determines that the materials or Plant are
instructed by the Engineer, proceed with the tests, which shall be
deemed to have been made in the presence of the Engineer. The defective or otherwise not in accordance with the
Contractor shall forthwith forward to the Engineer duly certified Contract, he may reject the materials or Plant and
copies of the test readings. If the Engineer has not attended the
tests, he shall accept the said readings as accurate. shall notify the Contractor thereof immediately.

13

The Role of the Supervisor
 Rejection
 The notice shall state the Engineer's objections with reasons.
The Contractor shall then promptly make good the defect or
ensure that rejected materials or Plant comply with the
Contract. If the Engineer so requests, the tests of rejected
materials or Plant shall be made or repeated under the
same terms and conditions. All costs incurred by the
Employer by the repetition of the tests shall, after due
consultation with the Employer and the Contractor, be
determined by the Engineer and shall be recoverable from
the Contractor by the Employer and may be deducted from
any monies due or to become due to the Contractor and the
Engineer shall notify the Contractor accordingly, with a copy
to the Employer.
Instructions for Variations
 51.2 The Contractor shall not make any such
variation without an instruction of the Engineer.
Provided that no instruction shall be required for
increase or decrease in the quantity of any work
where such increase or decrease is not the result of
an instruction given under this Clause, but is the
result of the quantities exceeding or being less than
those stated in the Bill of Quantities.
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The Role of the Supervisor
 Examination of Work before Covering up (FIDIC 38.1)
 No part of the Works shall be covered up or put out of view without
the approval of the Engineer and the Contractor shall afford full
opportunity for the Engineer to examine and measure any such part
of the Works which is about to be covered up or put out of view and
to examine foundations before any part of the Works is placed
thereon.
 The Contractor shall give notice to the Engineer whenever any such
part of the Works or foundations is or are ready or about to be
ready for examination and the Engineer shall, without unreasonable
delay, unless he considers it unnecessary and advises the Contractor
accordingly, attend for the purpose of examining and measuring
such part of the Works or of examining such foundations.
Measurement Quantities
 55.1 The quantities set out in the Bill of Quantities
are the estimated quantities for the Works, and
they are not to be taken as the actual and correct
quantities of the Works to be executed by the
Contractor in fulfillment of his obligations under the
Contract.
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Work to be Measured
 56.1 The Engineer, shall except as otherwise stated,
ascertain and determine by measurement the value of
the Works in accordance with the Contract and the
Contractor shall be paid that value in accordance with
Clause 60. The Engineer shall, when he requires any
part of the Works to be measured, give reasonable
notice to the Contractors authorised agent, who shall:
 (a)forthwith attend or send a qualified representative
to assist the Engineer in making such measurement, and
 (b)supply all particulars required by the Engineer.
Work to be Measured
 Should the Contractor not attend, or neglect or omit to send such
representative, then the measurement made by the Engineer or
approved by him shall be taken to be the correct measurement of
such part of the Works. For the purpose of measuring such
Permanent Works as are to be measured by records and drawings,
the Engineer shall prepare records and drawings as the work
proceeds and the Contractor, as and when called upon to do so in
writing, shall, within 14 days, attend to examine and agree such
records and drawings with the Engineer and shall sign the same
when so agreed. If the Contractor does not attend to examine and
agree such records and drawings, they shall be taken to be correct.
If, after examination of such records and drawings, the Contractor
does not agree the same or does not sign the same as agreed, they
shall nevertheless be taken to be correct, unless the Contractor,

Construction Contracts -- General Conditions Construction Contracts -- General Conditions

 Contractors warranties
Defective drawings
 
 Approval of contractors plans
and equipment
 Approval of shop drawings
other submittals
 Guarantee by the Contractor
 Conduct of the work
 Defective work
 Relations with other contractors
and subcontractors
 Inspection of materials
 Inspection of field work
 Authority of the Engr.
 Duties of the inspector
 Permits and licenses
 Labor considerations
 Work done by the owner
 Lines and grades
 Order and discipline
 Performance
 Final inspection & acceptance
 Federal, state, and local  Retainage
government regulations
Bonding and insurance
 Employment (EOE rules)
 Guarantee of equipment
 Emergencies
 Minimum wage rate  Borings
 Domestic vs.foreign materials  Spare parts
and labor
 Construction reports
 Payrolls and bills of material
 Cooperation among contractors
 Patents

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Provisions of Contract/Contract Document

61 62
Commencement of site Supervision
For works contract include:  As per sub clause 41.1 of the GCC of FIDIC 1987 edition,
a. Invitation to Bid; the Contractor shall commence the Works as soon as is
b. Construction Agreement and its Appendices;
reasonably possible after the receipt by him of a notice to
c. Letter of Acceptance;
d. Signed form of Bid of the Contractor, Appendices and Annexes ;
this effect from the Engineer, which notice shall be issued
e. Particular Conditions of Contract within the time stated in the Appendix to tender after the
f. General Condition of Contract; date of the Letter of Acceptance
g. Priced Bill of Quantities;
h. Drawings;
i. Technical Specifications and Methods of Measurement;  Hence, the supervision service of the Engineer will
j. The Standard Instructions and Information to Bidders for Building
commence in parallel
k. Construction Works and the Particular Project Information and
Instruction thereto;
l. Any other documents required to form part of the Contract.

Assignment 1
 Compare and contrast the role and responsibility of
the Engineer between FIDIC and PPA.

Standards Codes and

Specifications

16

Standards Codes and Specifications
 The Construction industry has a number of standards
and codes that govern the process
 This include
 BuildingCodes (Ex. EBCS)
 Standards (Ex. Ethiopian Standards)
 Specifications (Ex. BatCoda , Astmetc)
Specifications
 Specifications are
 Written descriptions of the required quality of the built
product and its component products.
A specification may also include the procedures for
determining that the requirements of the specification
have been met.
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Standards Codes and Specifications
 In order to adequately carry out supervision tasks
the supervisor must be well knowledgeable in the
area of construction specifications and standards.
 This is particularly important in understanding the
specific requirements of a project as described in
the construction specifications
THE IMPORTANCE OF THE SPECIFICATION
 There are many design decisions which cannot be expressed
in drawn form. These must rely on being expressed in words.
 There are, also, many design decisions which would be too
tedious, or too impractical for some other reason, to be
recorded in drawings.
 The specification is thus created to complement the drawings
so that together they convey all the design decisions.
 This is why a construction specification is primarily a design
document.
17

Role Of Specifications
 The specification has many roles including:
A document demonstrating compliance with statutory
requirements.
 A written record of design decisions, materials used
and set standards.
 An estimating document.
 A tendering document.
 A legal, contractual document.
Purpose of Specifications
 The specification links the drawings with the general
conditions of contract. It complements, without
duplication, the information in the drawings or the
general conditions of contract.
 Drawings are graphic descriptions which primarily
define quantity, position and sometimes quality.
 Specifications are written descriptions which define
quality. Together they express the designer's
intentions.
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Role Of Specifications
 An on-site working document.
 A dispute settlement document.
 A project management tool.
 A facilities management tool.
 A document to be analyzed for feedback into the
office master specification and office procedures.
Purpose of Specifications
 The purpose of a Civil Engineering Specification is
to tell the contractor precisely the,
 Quality and type of materials required to be
incorporated in the works
 the workmanship and finish, anticipated with
consideration given to practical limitations such as
tolerance, clearances,
 Extent of the work to be executed
 Methods he may or may not use in order to carry out
the works
18

Purpose of Specifications
 Requirements and procedures to be complied with in
inspection, tests and analysis, during manufacture and
usage by the owner both on site and off site.
 Methods for testing and acceptance of final products
 Parameters for rejection of non conforming works etc.
 Factory tests (If necessary), protection during
manufacture, transport and placing or the like
Purpose of Specifications
 Specifications should describe
 fabrication, and application, through installation,
finishing and adjustment.
 Specifications
should include any necessary codes and
standards applicable to the project.
 The specifications should also include descriptions and
procedures for alternate materials, products or services
if necessary.
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Purpose of Specifications
 Specifications should describe the type and quality of
every product required for the project.
 The specifications should describe the requirements for
fabrication, erection, application, installation and
finishing.
 Specifications should describe the quality of
workmanship necessary for the project.
 This includes all phases of creation and installation
starting with manufacturing,
Reference Standards
 Reference standards specify standards such as
ASTM, ES, BSI, etc.
 The various manufacturers must meet these
standards.
 Example: Portland Cement: Conform to ASTM C150,
Type I or Type II, low alkali. Maximum total alkali shall
not exceed 0.6 percent.
19

Reference Standard Specifications
 Under this method reference is made to an established
standard defined by associations very knowledgeable
about a certain part or phase of construction.
 Reference standard specifications are used for
"commodity" products in the marketplace, where brand
names are not important.
Workmanship specifications
 Workmanship specifications; describing the
desired results that need to be achieved in the
works which include;
 The desired results in relation to the quality of
workmanship and finish, giving due consideration
to practical limitations in tolerance, clearances
and the like.
 Construction methods or procedures necessary
for the accomplishment of particular targets.
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Materials and workmanship specifications:
 Material specifications: describing the physical
and/or chemical properties, performance
characteristics or in some cases, a composition of the
two of the materials to be incorporated into the
works. These properties can be cross checked by
tests. These descriptions generally include;
 physical properties, such as strength, durability, hardness,
and elasticity
 Chemical composition
 Electrical and thermal and acoustical properties
 Appearance including color texture pattern and finishes
Workmanship specificationscntd
 Any limitations or restrictions to be placed on the
contractors methods in the interest of coordination of
the work.
 Any precautions necessary for the protection of the
work or adjacent property.
 The methods of inspection and tests to which the work is
to be subjected with particulars as to mill and shop
inspections as well as field inspections.
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Performance specifications Unenforceable specification clauses.

 Performance specifications: such types of specification,  To the satisfaction of the engineer

define the performance requirements for machinery
and plant operating equipment. This allows the advance
manufacture and procurement of such equipment, or the
purchase of standard brands.
 Some of the standards specifications are published
reference standards issued by government and
professional societies, and industry associations for
utilization in construction work or material production.
 As determined by the engineer
 In accordance with the instructions of the
engineer
 As directed by the engineer
 In the judgment of the engineer
 In the opinion of the engineer
 Unless otherwise directed by the engineer
 To be furnished if requested by the engineer

Unenforceable specification clauses.

 In strict accordance with

 In accordance with the best commercial practice
 In accordance with the best modern standard
practice
 In accordance with the best engineering practice
 Workmanship shall be of the highest quality
 Workmanship shall be of the highest grade
 Accurate workmanship

Chapter one: Prepared by Tsegaye G

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 4/30/2013

Introduction
2

Definition
 can be defined as either individuals or units or the organization
itself for which they claim a stake in the project such that they get
benefit from or affected by the whole processes of the project and
CHAPTER-THREE 
its deliverables.
In the construction context then, they are parties who will be interested in
projects undertaken or products delivered by the industry.

Stake holders responsibility in construction projects

Major stakeholders in const. project Employers Responsibilities

3 4

The major stakeholders of the construction industry are the client who finance the
Right of Access to the Site
projects, the contractors who implement the projects, the consultants who design and  The Employer shall give the Contractor right of access to, and
supervise the works, and the regulators who regulate how the industry and its actions
possession of, all parts of the Site within the time (or times)
functions. stated in the Contract Data.
 Client/Employer: are the parties (public or private) under who finance the
Permits, Licenses or Approvals
project is executed
 The Employer shall provide, at the request of the Contractor,

Comes up with the investment needs such as project idea, land, such reasonable assistance as to allow the Contractor to obtain
capital etc. properly

Responsible for Project Scope Definition; Project Financing; a) copies of the Laws of the Country which are relevant to the Contract but are
Administration (Limited); Organization and Risk allocations not readily available, and

Usually provides the infrastructure needed b) any permits, licenses or approvals required by the Laws of the Country
(2.3 )Employers Personnel and (2.4 )Employers Financial Arrangements

Takes care of some of the legal constraints & permits
Refer FIDIC 1999/ harmonized FIDIC

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Client/Employer Consultant/Engineer
5 6

In Ethiopian context, the major public clients in the construction industry
include ;
 The Integrated Urban Housing Development Program Office
(IUHDPO) under MoWUD,
 The Ethiopian Road Authority (ERA),
 The Ethiopian Electric Power Corporation (EEPCO),
 The Ministry of Water Resources (MoWR),
 The Defense Force, Ministry of Health, Ministry of Education, etc and
their regional subsidiaries/equivalents.

Consultants: are professional bodies who design the project
 Change the clients project idea into economic and constructible artifact
 Make sure that design satisfies requirements
 [Usually] prepare BoQ and contract documents

If assigned to supervise:
 Look after proper execution of project
 Administer the contract
 Certify payment certificates
 Issue provisional and final acceptance certificate etc.

 Besides, the private sector also takes a huge stake as a client,

particularly in the housing sector.

Engineer and Engineers Representative Engineer and Engineers Representative

7 8

Definition
 Engineer means the person appointed by the Employer to act as
Engineer for the purposes of the Contract whose duties and
Engineers Representative means a person appointed
autorities are listed below. from time to time by the Engineer under Sub-Clause 2.2

Engineers Duties and Authority
Sub-Clause 2.2(Engineers Representative2.2)
(a) The Engineer shall carry out the duties specified in the Contract.
 The Engineers Representative shall be appointed by and be responsible
(b) The Engineer may exercise the authority specified in or necessarily to be
implied from the Contract, provided, however, that if the Engineer is to the Engineer and shall carry out such duties and exercise such authority
required, under, the terms of his appointment by the Employer, to obtain as may be delegated to him by the Engineer under Sub-Clause 2.3
the specific approval of the Employer before exercising any such
authority, particulars of such requirements shall be set out in Part II of
these Conditions. Provided further that any requisite approval shall be
deemed to have been given by the Employer for any such authority
exercised by the Engineer.
(c) Except as expressly stated in the Contract, the Engineer shall have no
authority to relieve the Contractor of any of his obligations under the
Contract.

2

Engineer and Engineers Representative
9 10
Engineers Authority to Delegate his representatives

The Engineer may from time to time delegate to the Engineers
Representative any of the duties and authorities vested in the
Engineer and he may at any time revoke such delegation. Any such
delegation or revocation shall be in writing and shall not take effect
until a copy thereof has been delivered to the Employer and the
Contractor.

Any communication given by the Engineers Representative to the
Contractor in accordance with such delegation shall have the same
effect as though it had been given by the Engineer.
Engineer and Engineers Representative
11

Engineer to Act Impartially Wherever, under the Contract, the
Engineer is required to exercise his discretion by:
(a) giving his decision, opinion or consent,
(b) expressing his satisfaction or approval,
(c) determining value, or
(d) otherwise taking action which may affect the rights and
obligations of the Employer or the Contractor

He /She shall exercise such discretion impartially within the
terms of the Contract and having regard to all the
circumstances.

Any such decision, opinion, consent, expression of satisfaction, or
approval, determination of value or action may be opened up,
reviewed or revised as provided in Clause 67(Settlement of
Disputes).
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.Continued

Provided that:
a) any failure of the Engineers Representative to disapprove any
work, materials or Plant shall not prejudice the authority of
the Engineer to disapprove such work, materials or Plant and to
give instructions for the rectification thereof, and
b) if the Contractor questions any communication of the
Engineers Representative he may refer the matter to the
Engineer who shall confirm, reverse or vary the contents of
such communication.
 The Engineer or the Engineers Representative may appoint
any number of persons to assist the Engineer's
Representative in the carrying out of his duties under Sub-
Clause 2.2.
Engineer and Engineers Representative
12
In general the main responsibility of the resident engineer
(RE) include, among other things;
 To check and certify the contractors work program
 To certify the contractors method of carrying out the works
 To check that the works comply with the drawings
 To see that the requirements of the specifications in regard to materials and
workmanship are adhered to
 To watch for faulty materials and workmanship
 To issue further instructions and clarifications if necessary
 To measure the amount of work done for payment purposes
 To keep a record of all works measurement
 To periodically report to the owner the progress of the works.
3

Contractor
13

Contactors: are the parties that change the drawings and
specification made by the consultants into a physical
structure( construction is physical realization of design)

Prepares a bid document

Provides the resources needed to execute the project

Executes the project according to the specification and legal
requirements

Monitors project execution

Rectifies defects
Contractors General Responsibilities
15
The contractors right
Within the exercise of the construction activities the contractor

has rights and obligations that are specifically indicated in the
contract documents. The inspector must therefore consider these
rights of the contractor whenever involvement in site inspection is
necessary.
 Such an action would necessitate the careful understanding and
observance of the stipulations of the contract documents, including
pre tender, tender documents, pre tender site visits minutes of
meetings, memorandums of understanding signed during tender
negotiations time, pre construction job site conference minutes,
drawings, specifications, bill of quantities, addendum, soil
investigation reports, standards specified in the contracts etc.
4/30/2013
Contractors General Responsibilities
14
Under general obligation sub clause 8.1;

The Contractor shall, with due care and diligence, design (to
the extent provided for by the Contract), execute and
complete the Works and remedy any defects therein in
accordance with the provisions of the Contract.

The Contractor shall provide all superintendence, labour,
materials, Plant, Contractors Equipment and all other things,
whether of a temporary or permanent nature, required in and
for such design, execution, completion and remedying of any
defects, so far as the necessity for providing the same is
specified in or is reasonably to be inferred from the Contract.

The Contractor shall give prompt notice to the Engineer, with a
copy to the Employer, of any error, omission, fault or other
defect in the design of or Specification for the Works which
he discovers when reviewing the Contract or executing the
Works.
Statutory bodies
16

Statutory bodies: are government bodies that
looks after the projects compliance with the
general publics interest

Prepare a general development scheme and make sure
that the project satisfies the specified requirements .

Look after the safety, legal, commercial etc issues
associated with the project.

Look into the environmental, cultural and social effect
that the project can cause,
4
 4/30/2013

.Continued Other stakeholders

17 18

In Ethiopia, the major statutory bodies involved in the
construction industry includes:
 Municipalities: Bodies who are given the mandate to look after
urban housing construction and its associated legalities;
 the Ethiopian Road Authority: Besides being a major client of
the road sector by itself, the ERA is the party mandated to
look after the road sector construction works;
 the Ministry of Water Resources; is the party mandated to
overlook water sector development programs;
 the Ministry of Works and Urban Development, the party
mandated to regulate and promulgate bylaws, codes, standards,
etc meant to promote efficiency, transparency, accountability
as well as growth in the industry; Etc
 Suppliers: are parties that supply the varies materials, equipments
and services needed for the project
 Financers (Financial institutions): are donating or loaning agencies
or institutions like banks, insurances, pension agencies etc who could
provide loan services for the project
 Works in the industry: are professionals, occupational or unskilled
laborers who earn their living from working in the industry or its
supply chain.
 Trade Unions: Though not much visible in Ethiopian context, are
unions of the working class that look after unfair treatment of
workers (like payment issues, firing issues) as well as issues related to
occupational health and safety.

..Continued
19

 Project product users: are parties who may be

using the end product of the project
 The general public: are communities of the locality,
the general society of a country or even the globe
who may have a vested interest in the project.
 Other sectors: are sectors which could have interest
in the process or product on the construction project

5

CHAPTER-FOUR
Time control and monitoring
3 Contd

The absence of a project time plan almost makes certain that
a project cannot be completed on schedule without incurring
extra costs.

A plan prepared well before the commencement of
construction project can be instrumental in:
 Formulating directions,
 Coordinating functions,
 Setting targets,
 Forecasting resources.
 Budgeting costs,
 Optimum utilization and orderly arrangements of resources,
 Control of cost and progress of executed work,
 Controlling performance and motivating people
5/14/2013
Introduction
2

Scheduling is a mechanical process for laying out the various
activities of a certain project or program along a time scale
and in a proper sequence.

In other words, scheduling is the preparation of a time table or
an action plan which serves as a guide for the implementation


of the activities and computation of resources required at
different stages in time.
Every construction projects are time bounded.
Due to the above nature, based on the contract time, delays


results to penalties while early completion might earn rewards

There may be many reasons both foreseeable and
unforeseeable, for non-completion of a project on the
intended completion time.
4
Contd

Planning requires an intimate knowledge of construction
methods combined with the ability to visualize distinct work
elements and to establish their mutual interdependencies.

Construction planning is a fundamental and challenging
activity in the management and execution of construction
projects.

A good construction plan is the basis for developing the
budget and the schedule for works.
1
 5/14/2013

Contd Project schedule

5

Construction planning consists of the following basic
steps
 Choice of technology and method of construction,
 Definition of work tasks,
 Creating logical relationship among individual tasks
 Estimation of the required resources and durations for
individual tasks, and

The approved Master schedule, called the schedule
baseline, is a component of the overall project plan.

It provides the basis for measuring and reporting
schedule performance.

In PPA, the general conditions of contract Clause 29-
32 has clear stipulation on project schedule(program),

Time Control (PPA) Contd

8

Clause 27.4

Clause 27.1
 The Engineers approval of the Program shall not alter the
 The Contractor shall submit the work program showing
Contractors obligations,
the general methods, arrangements, order, and timing
for all the activities in the Works within the time stated  The Contractor may revise the Program and submit it to the
in special condition of contract Engineer again at any time.

Clause 27.2  A revised Program shall show the effect of Variations and

 The work program shall be updated based on the Compensation Events.

progress of the work including any changes

Clause 27.3
 The contractor is responsible for updating the work program
within the time stated in SCC

Clause 28, Extension of the intended completion date

Clause 28.1
 The Engineer shall extend the Intended Completion Date if a
Compensation Event occurs or a Variation are issued

2

Contd
9 10

Clause 28.2
 The Engineer shall decide whether and by how much to
extend the Intended Completion Date within 21 days
after recipt of the time extention claim.
 If the Contractor has failed to give early warning of a
delay or has failed to cooperate in dealing with a
delay, the delay by this failure shall not be considered
in assessing the new Intended Completion Date.
Contd
11

Clause 30, (Delays ordered by the Engineer)

Clause 30.1
 The Engineer may instruct the Contractor to delay the start or
progress of any activity within the Works.

Clause 31, ( Management Meetings)

Clause 31.1
 Either the Engineer or the Contractor may require the other to
attend a Management meeting,

Clause 31.2
 The Engineer shall record the business of management meetings
and provide copies of the record to those attending the
meeting and to the Employer
5/14/2013
Contd

Clause 29, (Acceleration)

Clause 29.1 and 29.2
 When the Employer wants the Contractor to finish before the
Intended Completion Date, the Engineer will obtain priced
proposals for achieving the necessary acceleration from the
Contractor
 If the Employer accepts these proposals,
1. the Intended Completion Date will be adjusted accordingly and
confirmed by both the Employer and the Contractor.
2. The new proposal will be incorporated in the Contract Price and it
will be treated as a Variation.
Contd
12

Clause 32, (Early Warning)

Clause 32.1
 The Contractor shall warn the Engineer at the earliest
opportunity of specific likely future events or circumstances that
may adversely affect the quality of the work, increase the
Contract Price or delay the execution of the Works.
 The Engineer may require the Contractor to provide an
estimate of the expected effect of the future event or
circumstance on the Contract Price and Completion Date

Clause 32.2
 The Contractor shall cooperate with the Engineer in making and
considering proposals for how the effect of such an event or
circumstance can be avoided or reduced by anyone involved in
the work.
3

Construction work plan and review
Programme to be Submitted14.1(FIDIC 4th ed)
The Contractor shall, within the time stated in Part II of these
Conditions after the date of the Letter of Acceptance,
submit to the Engineer for his consent a programme, in such
form and detail as the Engineer shall reasonably prescribe,
for the execution of the Works. The Contractor shall,
whenever required by the Engineer, also provide in writing
for his information a general description of the
arrangements and methods which the Contractor proposes
to adopt for the execution of the Works.
Measurement of productivity and work
suspension on site
Rate of Progress 46.1
If for any reason, which does not entitle the
Contractor to an extension of time, the rate of
progress of the Works or any Section is at any time,
in the opinion of the Engineer, too slow to comply with
the Time for Completion, the Engineer shall so notify
the Contractor who shall thereupon take such steps as
are necessary, subject to the consent of the Engineer,
to expedite progress so as to comply with the Time
for Completion. The Contractor shall not be entitled to
any additional payment for taking such steps. .
5/14/2013
Construction work plan and review
Revised Programme14.2
If at any time it should appear to the Engineer that the
actual progress of the Works does not conform to the
programme to which consent has been given under Sub-
Clause 14.1, the Contractor shall produce, at the request
of the Engineer, a revised programme showing the
modifications to such programme necessary to ensure
completion of the Works within the Time for Completion.
Measurement of productivity and work
suspension on site
.If, as a result of any notice given by the Engineer
under this Clause, the Contractor considers that it is
necessary to do any work at night or on locally
recognised days of rest, he shall be entitled to seek
the consent of the Engineer so to do. Provided that if
any steps, taken by the Contractor in meeting his
obligations under this Clause, involve the Employer in
additional supervision costs, such costs shall, after due
consultation with the Employer and the Contractor, be
determined by the Engineer and shall be recoverable
from the Contractor by the Employer, and may be
deducted by the Employer from any payment due or
to become due to the Contractor and the Engineer
shall notify the Contractor accordingly, with a copy to
the Employer.
4

Measurement of productivity and work suspension on
site
Suspension of Work 40.1
The Contractor shall, on the instructions of the Engineer, suspend the progress
of he Works or any part thereof for such time and in such manner as the
Engineer may consider necessary and shall, during such suspension, properly
protect and secure the Works or such part thereof so far as is necessary
in the opinion of the Engineer. Unless such suspension is:
(a) otherwise provided for in the Contract,
(b) necessary by reason of some default of or breach of contract by the
Contractor or for which he is responsible,
(c) necessary by reason of climatic conditions on the Site, or
(d) necessary for the proper execution of the Works or for the safety of the
Works or any part thereof (save to the extent that such necessity arises
from any act or default by the Engineer or the Employer or from any of
the risks defined in Sub-Clause 20.4), Sub-Clause 40.2 shall apply.
Performance reports
 Status reporting_ describing where the project now stands
Progress reporting- describing what the project team has accomplished

 Forecasting- predicting future project status and progress.
 Performance reporting should generally provide information on scope,
schedule, cost, and quality.
5/14/2013
Performance reports

Performance reports provide information on
schedule performance such as which planned dates
have been met and which have not. It may also
alert the project team to issues which may cause
problems in the future.

Performance reporting involves collecting and
disseminating performance information in order to
provide stakeholders with information about how
resources are being used to achieve project
objectives.
Change requests

Change requisites may occur in many forms-oral or
written, direct or indirect, externally or internally
initiated, and legally mandated or optional.
Changes may require extending the schedule or
may allow accelerating it.
5
 5/14/2013

Construction work progress recordings

Construction work progress recordings
and keeping dairies
and keeping dairies

Site records
 Delay in construction projects are very common specially in countries like Ethiopia.
Maintain work progress
 This demand the follow up of the activities over a prolonged time.
Maintain a log sheet of materials delivered/used
Therefore keeping accurate records plays a significant role, particularly when

there is a tendency for varying the work.

Maintain record of instructions, date given and to whom
 It is therefore become imperative to maintain accurate written site records, which
given
include;
Maintain record of variation orders given, date given
 Work progress and to whom given
 Material quality for quality control
 Weather data

Keep record of measurements, co-signed
 Working hours
Record details of works before covering up( ex.
 Any incidents Foundations)
 Material on sites

Keep record of tests and relevant material data
 Labor and equipment deployed
 Instructions issued (co-signed by all)

Construction work progress recordings Reports

and keeping dairies

The following items should also be a part of the construction
administration record keeping
 Field observations reports: follow-ups on all unresolved items
 Shop drawings, samples, product data, checklist of all required
submissions
 Submittals: checklist of all required submittals correspondence
 Payment requests, schedules of contract sum and time, change orders
 Change orders and construction change directives
 Drawings and revisions
 Specifications and revisions
 Status of requests for information's and requests for quotations
 Memos on delay caused by weather, strikes, unavailability of
materials, and other things.

The purpose of the inspectors site visit is to become
generally familiar with the progress and quality of the
work and to determine if the work is being done in a manner
which will yield results consistent with the contract documents.

The supervisor is required to keep the owner informed of the
progress and quality of the work.

Most inspectors discharge this continuing obligations by
sending the owner a written report of each site visit with a
copy sent to the contractor.

The report should be a complete record of the proceedings
at the inspectors job site visit and should include;

6
 5/14/2013

Reports Formats
26

 Date
 Time, duration Site Diary
 Weather conditions
 Persons present
Progress report
 Percentage of work completed by trade

Schedule
 Work progress compared to schedule
 Work now being accomplished, work scheduled before next visit
 Questions raised by the contractor or owner
 Determinations made by the engineer
 Any questions or actions which remain pending for appropriate later
attention.

7
 5/21/2013

Introduction
2

In countries like Ethiopia most construction projects didnt

completed with the estimated project cost because of the
following reasons:
CHAPTER-FIVE  Change in scope of the project due to request from either of
the parties,
 Delay,
 Under estimated quantities,
Cost control and monitoring  Incompleteness of designs,

The method of cost controlling in PPA has been defined
from clause 37 up to 54 of General conditions of contract.

Cost Control Continued

3
 Clause 37 : Bill of Quantities or activity schedule

Types of Contract
 Admeasurements contract BOQ
 Lump sum Activity schedule

The quantities set out in the Bill of Quantities are the estimated quantities for the
Works, and they are not to be taken as the actual and correct quantities of the
Works to be executed by the Contractor in fulfilment of his obligations under the
Contract.
 Clause 38: Change in bill of quantities

Option 1: Changes in the Bill of Quantities for Admeasurements Contracts
 If final qty >qty in BOQ by 25% provided that the change exceeds 5% of the
contract price, the engineer shall adjust the unit rate.
 The engineer shall not adjust the unit rate if the change exceeds 15% of the
contract price.
 The contractor shall submit the cost breakdown up on request


4 Option 2: Changes in the Activity Schedule for Lump Sum Contracts
 Prices in the Activity Schedule shall not be altered.
 Clause 39: Variations
 All Variations shall be included in updated program produced by the
Contractor
 Clause 40: Payment for Variations
 For both Admeasurement and Lump Sum Contracts, the Contractor shall
provide the Engineer with a quotation for carrying out the Variation when
requested to do so by the Engineer.
 For Admeasurement Contracts only, if the work in the Variation corresponds
with an item description in the Bill of Quantities and if, in the opinion of the
Engineer, the quantity of work above the limit stated in Sub-Clause 38.1 or
the timing of its execution do not cause the cost per unit of quantity to change,
the rate in the Bill of Quantities shall be used to calculate the value of the
Variation.

1

Continued
5 6
 If the cost per unit of quantity changes, or if the nature or timing of the work in the
Variation does not correspond with items in the Bill of Quantities, the quotation by the
Contractor shall be in the form of new rates for the relevant items of work.
 For both Admeasurement and Lump Sum Contracts, if the Contractors quotation is
unreasonable, the Engineer may order the Variation and make a change to the
Contract Price, which shall be based on the Engineers own forecast of the effects of
the Variation on the Contractors costs.
 For both Admeasurement and Lump Sum Contracts, if the Engineer decides that the
urgency of varying the work would prevent a quotation being given and considered
without delaying the work, no quotation shall be given and the Variation shall be
treated as a Compensation Event
 For both Admeasurement and Lump Sum Contracts, the Contractor shall not be
entitled to additional payment for costs that could have been avoided by giving
early warning.
Continued
7 8

The value of work executed shall comprise the value of:
a) The quantities of the items in the Bill of Quantities completed in the
case of Admeasurement Contracts; or
b) Completed activities in the Activity Schedule in the case of Lump
Sum Contracts.
 The value of work executed shall include the valuation of
Variations and Compensation Events.
 The Engineer may exclude any item certified in a previous
certificate or reduce the proportion of any item previously
certified in any certificate in the light of later information.
5/21/2013
Continued

Clause 41: Cash flow forecast
 When the Program is updated, the Contractor shall provide the
Engineer with an updated cash flow forecast.

Clause 42: Payment Certificates
 The Contractor shall submit to the Engineer monthly statements
of the estimated value of the work executed less the cumulative
amount certified previously
 The Engineer shall check the Contractors monthly statement
and certify the amount to be paid to the Contractor.
 The value of work executed shall be determined by the
Engineer.
Continued

Clause 43: Payments
 Payments shall be adjusted for deductions for advance
payments and retention
 If an amount certified is increased in a later certificate or as
a result of an award by the Adjudicador or an Arbitrator,
the Contractor shall be paid interest upon the delayed
payment as set out in this clause
 Unless otherwise stated, all payments and deductions will be
paid or charged in the proportions of currencies comprising
the Contract Price.
 Items of the Works for which no rate or Price has been
entered in will not be paid for by the Employer and shall be
deemed covered by other rates and prices in the Contract.
2
 5/21/2013

Continued Continued
9 10

Clause 44: Compensation event
Clause 47: Price Adjustments

Clause 45: Tax  Price Adjustments formula
 Unless otherwise specified in the SCC, the Engineer shall not Ln Mn En
adjust the Contract Price if taxes, duties, and other levies are pn = A + b +c +d + etc .
changed that subsequently affect the Contract Price. Lo Mo Eo

Clause 48: Retention

Clause 46: Currencies

Clause 49: Liquidated damage
 Where payments are made in currencies other than Ethiopian

Clause 50: Bonus
Birr, the exchange rates used for calculating the amounts to be
paid shall be the exchange rates stated in the Contractors Bid.
Clause 51: Advance Payment

Clause 52: Securities

Clause 53: Day work

Clause 54: Cost of repair

FIDIC Works to be measured on site

Works to be measured on site (b) supply all particulars required by the Engineer.
11 12
Quantities55.1
The quantities set out in the Bill of Quantities are the estimated quantities for
Should the Contractor not attend, or neglect or omit to send
the Works, and they are not to be taken as the actual and correct quantities of
such representative, then the measurement made by the
the Works to be executed by the Contractor in fulfilment of his obligations
under the Contract. Engineer or approved by him shall be taken to be the correct
Work to be Measured56.1 measurement of such part of the Works. For the purpose of
The Engineer, shall except as otherwise stated, ascertain and determine by measuring such Permanent Works as are to be measured by
measurement the value of the Works in accordance with the Contract and the
records and drawings, the Engineer shall prepare records
Contractor shall be paid that value in accordance with Clause 60. The Engineer
and drawings as the work proceeds and the Contractor, as
shall, when he requires any part of the Works to be measured, give reasonable
notice to the Contractors authorised agent, who shall: and when called upon to do so in writing, shall, within 14
(a) forthwith attend or send a qualified representative to assist the Engineer in days, attend to examine and agree such records and drawings
making such measurement, and With the Engineer and shall sign the same when so agreed. .
(b) .

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 5/21/2013

Certificates and Payment

Works to be measured on site
13
If the Contractor does not attend to examine and agree such
records and drawings, they shall be taken to be correct. If, after
examination of such records and drawings, the Contractor does not agree the
same or does not sign the same as agreed, they shall nevertheless be taken to
be correct, unless the Contractor, within 14 days of such examination, lodges
with the Engineer notice of the respects in which such records and drawings
are claimed by him to be incorrect. On receipt of such notice, the Engineer
Monthly
14
Statements60.1
The Contractor shall submit to the Engineer after the end of each month six copies,
each signed by the Contractors representative approved by the Engineer in
accordance with Sub-Clause 15.1, of a statement, in such form as the Engineer may
from time to time prescribe, showing the amounts to which the Contractor
Considers himself to be entitled up to the end of the month in respect of:
(a) the value of the Permanent Works executed,

shall review the records and drawings and either confirm or (b) any other items in the Bill of Quantities including those for Contractors
vary them. Equipment, Temporary Works, day works and the like,
Method of Measurement57.1 (c) the percentage of the invoice value of listed materials, all as stated in the

The Works shall be measured net, notwithstanding any general or

Appendix to Tender, and Plant delivered by the Contractor on the Site for
incorporation in the Permanent Works but not incorporated in such Works,
local custom, except where otherwise provided for in the
(d) adjustments under Clause 70, and
Contract.
(e) any other sum to which the Contractor may be entitled under the Contract or
otherwise.

Certificates and Payment

Certificates and Payment
Monthly Payments60.2
15 16

The Engineer shall, within 28 days of receiving such statement, deliver to the Employer
an Interim Payment Certificate stating the amount of payment to the Contractor which
Correction of Certificates60.4
the Engineer considers due and payable in respect of such statement, subject: The Engineer may by any Interim Payment Certificate make any
(a) firstly, to the retention of the amount calculated by applying the Percentage of Retention
stated in the Appendix to Tender, to the amount to which the Contractor is entitled under
paragraphs (a), (b), (c) and (e) of Sub-Clause 60.1 until the amount so retained reaches
correction or modification in any previous Interim Payment
the Limit of Retention Money stated in the Appendix to Tender, and
(b) secondly, to the deduction, other than pursuant to Clause 47, of any sums which may have
Certificate which shall have been issued by him and shall
become due and payable by the Contractor to the Employer.
Provided that the Engineer shall not be bound to certify any payment under this Sub
have authority, if any work is not being carried out to his
Clause if the net amount thereof, after all retentions and deductions, would be less than satisfaction, to omit or reduce the value of such work in any
the Minimum Amount of Interim Payment Certificates stated in the Appendix to
Tender. Interim Payment Certificate
Notwithstanding the terms of this Clause or any other Clause of the Contract no
amount will be certified by the Engineer for payment until the performance security, if
required under the Contract, has been provided by the Contractor and approved by
the Employer.

4
 5/21/2013

17

Sample of payment certificate 18

and how to prepare

Earned Value Analysis

Introduction Introduction
19 20

 Earned Value analysis is a method of performance measurement. Earned Value is a

program management technique that uses work in progress to indicate what will
happen to work in the future. o Earned value is a highly appropriate technique for assessing and

Earned Value is an enhancement over traditional accounting progress measures. forecasting progress and performance of projects.

Traditional methods focus on planned accomplishment (expenditure) and actual o The technique of earned value enhances the cost performance analysis of a
costs. project through the application of a consistent methodology and by providing

Earned Value goes one step further and examines actual accomplishment. a uniform unit of measure.

This gives managers greater insight into potential risk areas. With clearer picture,
managers can create risk mitigation plans based on actual cost, schedule and
technical progress of the work.

It is an early warning program/project management tool that enables managers
to identify and control problems before they become difficult to correct it.

It allows projects to be managed better on time, on budget.

Earned Value Management System is not a specific system or tool set, but rather, a
set of guidelines that guide a companys management control system

5
 5/21/2013

Basic Parameters for EVA Definition of terms

21 22

 Budgeted Cost of Work Scheduled (BCWS) or

Planned Value (PV),

 Budgeted Cost of Work Performed (BCWP) or

Earned Value (EV) and

 Actual Cost of Work Performed (ACWP) or

Actual Cost (AC) .

Definition of terms Definition of terms

23 24

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 5/21/2013

Project cost control: the EVA Example

25
Status date Planned comp. Actual 26 Activity Cost ETB Month 1 Month2 Month 3 Month 4 Month 5 Month 6
date comp.date (x1000)
EAC Site clearing 22
Over budget VAC Fencing 10
cash flow Paving 18
BAC ACWP=AV ETC Excavation 30
Found. 50
BCWS=PV Concrete
Framing 40
SV=EV-PV Electric 6
CV=EV-AV Plumbing 16
Forecast time Walling 13
CPI=EV/AV
overrun
BCWP=EV Ceiling 4
SPI=EV/PV
Finishing 34
Time Carpentry 14

contd
27

 After Three and half months the following works has been
accomplished
 Site clearing 100% Completed
 Excavation 100% Completed
 Foundation 100% Completed
 Fencing 100% Completed
 Electric 100% Completed
 Framing 50% Completed
 Plumbing 75% Completed
 Paving 50% Completed
 The Actual cost incurred till the date of reporting is 152,000 ETB.
 What is the status of the project in terms of schedule and Budget?
 Is the project behind the schedule or ahead of the schedule?
 Is the schedule under budget or over budget?

7
 5/27/2013

CHAPTER: SIX Quality Control In

Construction
Quality Control and Monitoring

Quality Definition.
Quality Definition

The American Society for Quality (ASQ) glossary
It further states that it is
defines quality as:

Based on customers perceptions of a products design

A subjective term for which, each person has his or her own and how well the design matches the original
definition. In technical usage, quality can have two specifications
meanings:
 The ability of a product and service to satisfy stated or implied

The characteristics of a product or service that bear on its needs.
ability to satisfy stated or implied needs.
 Achieved by conforming to established requirements within an

A product or service free of deficiencies. Organization.

1
 5/27/2013

Quality Inspection:
Inspections

An inspection is a specific examination, testing, and
Inspections are usually nondestructive. Some of the
formal evaluation exercise and overall appraisal of a nondestructive methods of inspection are
process, product, or service to ascertain if it conforms
Visual

to established requirements. It involves measurements,
Liquid dyed penetrant

tests, and gauges applied to certain characteristics in
Magnetic particle

Radiography
regard to an object or an activity.

Ultrasonic

inspection of the finished products

Eddy current

Acoustic emission

Thermography

Quality Control
Quality Control
quality Control is a collective term for activities and
involves a universal sequence of steps as follows:

Choose the control subject, that is, choose what we intend to
techniques, within the process, that are intended to regulate.
create specific quality characteristics. Such activities
include continually monitoring process, identifying and
Establish measurement.

eliminating problem causes, use of statistical process
control to reduce the variability and to increase the
efficiency of the process. Quality control certifies that
the organizations quality objectives are being met
Kerzner (2001) (p. 1099)

Establish standard of performance, product goal, and process goals.

Measure actual performance.

Compare actual measured performance against standards.

Take action on the difference.

2
 5/27/2013

Quality Control Tools Quality Assurance

1. Cause-and-effect diagram Quality assurance is the third era in the quality

2. Check sheet management system.
3. Control chart
4. Data collection
quality assurance as all the planned and systematic
5. Flow chart
activities implemented within the quality system that can
6. Histogram be demonstrated to provide confidence a product or
7. Pareto analysis service will fulfill requirements for quality.
8. Pie chart
9. Run chart
10. Scatter diagram

Quality Engineering Quality Management

quality engineering technology
The ASQ glossary defines quality management as

the body of technical knowledge for formulating policy
and for analyzing and planning product quality in
order to implement and support that quality system
which will yield full customer satisfaction at minimum
cost
 (p. 234). Feigenbaum (1991)
the application of quality management system in
managing a process to achieve maximum customer
satisfaction at the lowest overall cost to the
organization while continuing to improve the
process.

3

Total Quality Management (TQM)

During the past twenty years, there has been a
revolution toward improved quality. The
improvements have occurred not only in product
quality, but also in quality leadership and quality
project management.
Statistical Quality Control (SQC)
 Statistical Quality Control (SQC)a set of statistical
techniques that can be used to monitor quality; includes
acceptance sampling and in-process sampling.
5/27/2013
Total Quality Management

After WWII quality became a dominant thinking
the birth of

Total
Quality Management, with its three constitutive
elements:

Total: Organization wide

Quality: Customer satisfaction

Management: Systems of managing
Quality Standards

A standard is simply a definition of how something
should be. (Pyzdek 1999)
Standards are documents used to define acceptable
conditions or behaviors and to provide a base line for
assuring that conditions or behaviors meet the acceptable
criteria. In most cases standards define minimum criteria;
world class quality is, by definition, beyond the standard
level of performance. Standards can be written or unwritten,
voluntary or mandatory. Unwritten quality standards are
generally not acceptable. (p. 2)
4

Quality Standards
Chung (1999) defines standards as a reference base
that is required to judge the adequacy of a quality
system. He further states that a quality system has
to cover all the activities leading to the finished
product. Depending on the scope of operation of
the organization, these activities include planning,
design, development, purchasing, production,
inspection, storage, delivery, and after-sales
service (p. 14).
Quality Standards

Apart from these there have been many other national
and international quality system standards.

These various standards have commonalities and
historical linkage.

However, in order to facilitate international trade,
delegates from 25 countries met in London in 1946 to
create a new international organization. The objective
of this organization was to facilitate international
coordination and unification of industrial standards.

The new organization, International Organization for
Standardization, ISO, officially began operation on
February 23, 1947.
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Quality Standards
Standards produced by these organizations/institutes
are recognized worldwide. These standards are
referred in the contract documents by the designers to
specify products or systems or services to be used in a
project. They are also used to specify the installation
method to be followed or the fabrication works to be
performed during the construction process
ISO

ISO is a network of national standards institutes of
157 countries (as of September 2007),

formed on the basis of one member per country,
with a Central Secretariat in Geneva, Switzerland,
that coordinates the system.
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ISO-9000 ISO

ISO = International standardization
ISO is the worlds largest developer and publisher of
Organization international standards.

The ISO 9000 series of standards has been
It is a nongovernmental organization that forms a
adopted as a national quality system standard by bridge between the public and private sectors.
most developed countries.
ISO has more than 16,500 international standards.

Of all the standards produced by ISO, the ones that are

ISO-9000 first edition in 1987
most widely known are the ISO 9000 and ISO 14000

Reviewed in 1994 series.

Latest version 2000

ISO 9000 has become an international reference for
quality requirements in business-to-business dealings

ISO

The ISO 9000 family is primarily concerned with
quality management.

This means what the organization does to fulfill The

customers quality requirements,

Applicable regulatory requirements, while aiming to
enhance customer satisfaction

Achieve continual improvement of its performance in
pursuit of the objectives
ISO-9000

ISO 9000 quality system standards are a tested
framework for taking a systematic approach to
managing the business process so that organizations
turn out products or services conforming to
customers satisfaction. The typical ISO quality
management system is structured on four levels,
usually portrayed as a pyramid.

6
 5/27/2013

ISO-9000 Quality management system

ISO-9000
structure

quality policy- which sets out what management requires
Quality Policy its staff to do in order to ensure quality management
system.
Quality
quality manual, which details the work to be
Manual done

Procedures-mainly discuss the following:
Work What is to be done?
Instructions/Procedures How is it done?
How does one know that it has been done properly (for example,
by inspecting, testing, or measuring)?
Quality Forms and Records What is to be done if there are problems (for example, failure)?

ISO-9000 Documentation requirements

Forms and records that are used to capture the
history of routine events and activities

Documentation..

Documented statements of a quality policy

Quality objectives

Quality manual

Documented procedures required by ISO

Documents needed by the organization to ensure the
effective planning, operation and control of its
processes

Records required by ISO

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ISO-9000 necessary steps to

ISO-9000
implement the QMS
ISO 9000:2000 outlines the steps. These are



ISO-9000 includes
1. Identify the process (activities and necessary elements) needed for
quality management system.
2. Determine the sequence and interaction of these processes and how
ISO 9000:2000 Terms and Definition
they fit together to accomplish quality goals.

ISO 9001:2000 Certification
3. Determine how these processes are effectively operated and
controlled.
ISO 9004:2000 additional (advanced)
4. Measure, monitor, and analyze these processes and implement action
necessary to correct the process and achieve continual requirements.
5. Ensure that all information is available to support the operation and
monitoring of the process.
6. Display the most options, thus helping make the right management
system.

Construction Project
a temporary Endeavour
Undertaken to create a unique product

Temporary: having a definite beginning and end

Quality in Construction

Unique: different from other products in some way

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Construction Project Construction Projects

types of construction projects:

Involve

Process Type Projects

Liquid chemical plants

Owners
Liquid/solid plants

Solid process plants

Petrochemical plants

Petroleum refineries

Design professionals
Non-process Type Projects

Power plants

Manufacturing plants

Constructors
Support facilities

Miscellaneous (R&D) projects

Civil construction projects

Commercial/A&E projects

Construction Projects Quality in Construction

Civil Construction Projects.
Construction work..

Residential construction
Unique worknot repetitive

Building construction (institutional and commercial)
Non conforming product difficult to rectify

Industrial construction
Sometimes remedial action may not be possible

Heavy engineering construction

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Quality in Construction. Quality in Construction.

Quality .. Construction project quality is the fulfillment of the owners
..the fulfillment of project responsibilities in the delivery of products and
services in a manner that meets or exceeds the stated requirements and needs per
expectations of the owner, design professional, and constructor.
defined scope of works

within a budget and
Responsibilities refer to the tasks that a participant is expected to perform
to accomplish the project activities as specified by contractual agreement
specified schedule
and applicable laws and licensing requirements, codes, prevailing industry
standards, and regulatory guidelines. Requirements are what a team
member expects or needs to receive during and after his or her
to satisfy the owners/users requirements.
participation in a project. (p. xv)

Quality in the Constructed Project (2000) by the American

Society of Civil Engineers (ASCE)

The phenomenon of these three components can

be called the construction project trilogy

Quality Control In Ethiopian Codes Quality Control In Ethiopian Codes

According to EBCS 2 Concrete quality control
comprises of

EBCS 2 lays out some general guidelines on Quality
Quality Control: Comprises a combination of actions
and decisions taken in compliance with specifications
control .
and checks to ensure that these are satisfied.

The emphasis is particularly on concrete works
Quality control consists of two distinct, but
interconnected parts, namely production control and
compliance control.

10

Quality Control In Ethiopian Codes

Production Control: Comprises a combination of
actions and decisions taken during production to
check the operation and to obtain a reasonable
assurance that the specifications will be satisfied.

Compliance Control: Comprises a combination of
actions and decisions, in accordance with
compliance rules adopted in advance, to check the
compliance of the product with the specifications.
Quality Control In Ethiopian Codes

Control of Mixing, Transportation and Placement of
Concrete

The accuracy of the mix proportions shall be checked
regularly. The consistency of the fresh concrete shall be
checked periodically with the slump test.

During concreting, checks shall be made on the deformations
of the formwork and its supporting structure and on any
leakage of water.

Control for Curing the Concrete

It must be checked that curing complies with approved
method curing depending on the environment and on any
special requirements.
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Quality Control In Ethiopian Codes
EX. Inspection of Materials



Inspection of materials on site shall be made at delivery to check
compliance with the specifications and the requirements of this Code.

Inspection Prior to Concreting

This inspection shall be made to check:
 the rigidity of the scaffolding and shuttering
the leak-tightness of joints between formwork elements

 conformity of the dimensions of the formwork with the drawings
 the cleanliness of the formwork
 the surface condition of the reinforcement
 the position and size of reinforcement
 the rigidity of the reinforcement securing systems, and the quality of the joints
between bars.
Quality Control In Ethiopian Codes

Construction Procedures

A site book shall be kept and for large structures, it shall contain the
following information:

dates on which concreting and stripping of formwork has taken
place

acceptance of materials and components

results of tests and measurements

concrete mix used (type and origin of cement and aggregates)

inspection and measurement reports of the positioning of
reinforcement

important instructions received

(g) description of any incidents.
11

Quality Control In Ethiopian Codes

Compliance Controls for Concrete

Compliance with specified properties of concrete shall
be judged by tests made on proper specimens at an
age of 28 days unless there is evidence, satisfactory to
the authority having jurisdiction, that a particular testing
regime is capable of predicting the strength at 28 days
of concrete tested at an earlier age, in which case
compliance may be based on the results of such tests
alone.
Quality Control In Ethiopian Codes

Sampling and Testing Methods

In general, it is sufficient to make only one test specimen
from a single representative sample for each mix of
concrete. If more than one specimen is taken, the mix shall
be considered as being represented by the mean value of
the test results obtained from the various specimens.

Each mix from which a sample is taken shall be chosen at
random from among the possible mixes.

The samples shall, where practicable, be taken at the point
of discharge from the mixer or, in the case of ready-mix
concrete, at the point of discharge from the delivery vehicle.
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Quality Control In Ethiopian Codes

concrete for the specimen shall normally be taken
when the concrete is actually being poured.

Compliance of prescribed and standard mixes
(Section 8.2) shall be based on checks made on the
mix properties (such as aggregate gradation,
cement content, mix proportions, and workability);
but, because strength tests provide an implicit check
on the quality of the mix, they may, alternatively,
be used for the acceptance of concretes made with
prescribed and standard mixes.
Quality Control In Ethiopian Codes

Size of Lot and Frequency of Sampling

The lot is defined as the quantity of concrete produced in the same
essential conditions and subjected to individual assessment.

The lots shall be defined before the commencement of construction,
by taking into account the number of tests required for a decision
(see Section 9.3.1.3) as well as the frequency of sampling and
testing to be adopted.

The minimum rate of sampling shall be decided by the engineer
taking into account the nature of the work. Higher rates would be
appropriate at the start of the work, to establish quickly the level of
quality, or during periods of production when quality is in doubt, or
for highly-stressed structural elements.
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Quality Control In International Codes Quality Control In International Codes

In general, the following may be adopted as the minimum
requirement on size of lot and frequency of sampling,
except for the special cases given hereunder:

No individual sampling can. represent, on the average, more
than 100 mixes or 100 m', whichever is the smaller volume
of concrete.
Read EBCS Statistical Compliance Criteria

For each grade of concrete, at least one sample shall be
taken every week (c) For each grade of concrete, at least
two lots shall be made.

Exception: For small buildings (e.g., having a total volume of
less than 100 m' of concrete) using concrete grade C30 or
lower, Condition (3) need not be complied with.

51
Quality Control
 Clause 33: Identifying Defects
 The Engineer shall check the Contractors work and notify the
Contractor of any Defects that are found. Such checking shall
not affect the Contractors responsibilities
 Clause 34: Tests
 If the Engineer instructs the Contractor to carry out a test not
specified in the Specification to check whether any work has a
Defect and the test shows that it does, the Contractor shall pay
for the test and any samples. If there is no Defect, the test shall
be a Compensation Event.
Continued
52 Clause 35:Correction of Defects
 The Engineer shall give notice to the Contractor of any Defects
before the end of the Defects Liability Period, which begins at
Completion, and is defined in the Special Conditions of Contract
 Every time notice of a Defect is given, the Contractor shall correct
the notified Defect within the length of time specified by the
Engineers notice.
 The Defects Liability Period shall be extended for as long as Defects
remain to be corrected.
 Clause 36: Un corrected defects
 If the Contractor has not corrected a Defect within the time specified
in the Engineers notice, the Engineer will assess the cost of having
the Defect corrected, and the Contractor will pay this amount.

13

Quality control
EBCS2-1995, 9.4 measures to be taken in case of non-
compliance
 If the quality of the structure is found to be in doubt after an
inspection or from the test results, then a special examination shall be
made to verify the soundness of the information received and to asses
the actual strength of the structure constructed with possible recourse
to more accurate methods of calculations.
Sequence of measures
The following sequential measures shall be taken where the results of
compliance control tests or inspection are unsatisfactory:
a) The position of concrete which does not fulfill the compliance
criterion shall be identified
b) The structural safety shall be checked by appropriate calculations
on the basis of the actual tests which did not comply. If safety is
assured, the concrete can be accepted.
c) If the structural safety or durability are not assured, then the
strength of the concrete shall be examined by taking drilled cores
or by non-destructive methods. The results of the tests shall be
assessed on the basis of the prescribed acceptance criterion,
taking into account any differences in age.
Continued
55
 Sample Check list
5/27/2013
Continued
d) If this new information's shows that structural safety is assured,
the concrete may be accepted after it has been decided
whether repairs are necessary to ensure durability
e) If the results of check tests by non-destructive methods show
that the quality of concrete is inadequate or show other
defects, the engineer may require a loading test to be made
which shall then carried out in accordance with procedure set
in 9.4.4
f) If the structural safety and durability are not assured, then
the possibility of strengthening the structure must be
investigated. If strengthening is not feasible, then the
concrete shall be rejected, and the structure or member
demolished or given a reduced structural grading by limiting
its service rating, as appropriate.
56
Thank You!!!
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