Introduction

It is vitally important that the way decisions are made on projects is structured, ordered and
controlled.

The decisions made at any particular stage should reflect the activities that are being undertaken at
that stage. They should not backtrack, as this will involve abortive costs and the repetition of tasks
that have already been undertaken, and they should not leap ahead as this will prejudice activities
that have not been undertaken and may produce to inappropriate outcomes.

For example:

Deciding that another light socket is required when the electrical drawings have already been
prepared means that those drawings must be re-done. Deciding this after the wall has been
constructed means that holes have to be chased into the already completed wall and then repaired.
Deciding a list of accommodation that a building should provide before any design studies have
been carried out will close down the options that designers consider. It is better in the early stages
to define the functional outputs that are required, and then to assess all the available options. For
example, a functional outcome might be to educate 30 children. This is different from prescribing
that a classroom is built for 30 children. Under the particular circumstances of a project this might
not be the best solution.
Gateways
A simple way to avoid making the wrong decisions at the wrong time is by establishing a series of
project gateways at which the project team compile information describing the project as it stands,
the client assesses that information and either asks for changes or approves it and gives
instructions to progress to the next stage.

At each of these stages, certain aspects of the project may be ‘frozen’ and change control
procedures introduced for those aspects. For example, at the end of the concept design stage, the
project brief may be ‘frozen’. Freezing the project brief means that it can only be changed with the
explicit agreement of the client, and then only when the cost implications and the disruption of the
change have been evaluated and accepted, and the change recorded.

See: Change control for more information.

By adopting a process of progressively reviewing and approving aspects of the project, it moves
forward in a controlled way. If this strategy is not adopted, the client and project team can lose
focus, uncertain of what has been decided and what has not and unable to make progress. There
can also be ‘scope creep’ where instructions are given without a proper assessment of whether the
instructed work is included in existing fees, whether it has been authorised, or whether it is a
sensible use of the clients funds.

For more information see: Gateways.

Decision makers
The completed development belongs to the client, and so it is important that they are the ultimate
decision maker and that they are comfortable with the direction the project is taking. Consultants
and contractors can give advice and make proposals, but the client should decide.

It is not always clear however who the client is. Even on small projects, more than one person will
normally be affected by the project, and they should all have a say in how it develops. If they do
not, there is a risk that they will become detached critics of the project rather than advocates for it.
It is important that they feel involved in the project, and feel ownership of it, and that it does not
just become one person’s vision.

This can be achieved by appointing project champions, responsible for different aspects of the
project, and creating user panels who are consulted about proposals. This should be genuine
involvement, not just a pretence of influence.

In commercial organisations a project sponsor should be in overall control and should report to a
project board. The project sponsor may delegate authority for certain decisions to others.

Other stakeholders and third parties

Decision making is not always in the hands of the client organisation. Other stakeholders, such as
customers, neighbors, investors and shareholders may need to be consulted. In addition, there may
be third parties, who, whilst they have no particular interest in the success of the project, do have
an influence over the outcome, such as utilities companies, local authorities and so on.

Managing these groups and allowing them to have an input whilst still driving the project
forwards can be very challenging and time consuming, particularly as they may not all have the
same objectives. It is important therefore to identify areas of commonality and areas of
dManaging these groups and allowing them to have an input whilst still driving the project
forwards can be very challenging and time consuming, particularly as they may not all have the
same objectives. It is important therefore to identify areas of commonality and areas of difference
between them and to manage individuals whose expectations are unlikely to be met. A first step in
this process can be the preparation of a stakeholder map or stakeholder matrix. This allows a plan
to be developed for how to manage the involvement of different groups.

See Stakeholders and Third party dependencies for more information.

Making changes
Building design and construction is a very complex process, and even with careful control it is
inevitable that changes will be made and decisions revisited. However, these changes should be
kept to an absolute minimum as they disrupt the project and have impacts on time, cost and
quality. Broadly, the later in the development of the project that changes occur, the greater those
impacts are likely to be.

The need for changes can be minimised by:

Undertaking thorough site investigations and condition surveys.
Ensuring that the project brief is comprehensive and is supported by stakeholders.
Ensuring that legislative requirements are properly integrated into the project.
Ensuring that risks are properly identified.
Ensuring that designs are properly co-ordinated before tender.
A change control procedure should clearly define the process by which changes are requested and
approved and who is responsible for those processes. There should then be an evaluation of
whether the impact of the change is acceptable and whether the proposal provides value for
money.

See Change control for more information.

Changes are particularly expensive and disruptive once contracts have already been awarded, as
there is no longer any competition to help keep costs low. This applies in particular to design
changes made once the construction contract has been awarded. Unless there is a very good reason
for late design changes or late design decisions, the right time to make them is during the design
process, not during construction. Contracts can however allow for the possibility of changes by
including rates that will be charged for work not included in the contract.

BIM
Building information modelling (BIM) is a process of information management that ensures
appropriate information is created in a suitable format at the right time so that:

Building design and construction can be assessed at key points in their development to test
whether they satisfy the employer’s business objectives.
Building projects can be designed and constructed efficiently.
Built assets can be operated efficiently when they are completed.
A key part of this process is defining the decisions that the client will have to make during the
design, construction and operation of the built asset, then identifying the information that will
need to make those decisions. This underpins the whole structure of the project, determining what
appointments are necessary and when, the scope of services for those appointments, and defining
the information that needs produced at key points in the project so that its progress is controlled.

This requires a great deal of planning by the client during the early stages of the project, but
should ultimately mean that decision making is more effective and the completed project is better
suited to the client’s needs.

Construction management (CM) is a professional service that uses specialized, project

management techniques to oversee the planning, design, and construction of a project, from its
beginning to its end. The purpose of CM is to control a project's time / delivery, cost and quality—
sometimes referred to as a project management triangle or "triple constraints."[1] CM is
compatible with all project delivery systems, including design-bid-build, design-build, CM At-
Risk and Public Private Partnerships. Professional construction managers may be reserved for
lengthy, large-scale, high budget undertakings (commercial real estate, transportation
infrastructure, industrial facilities, and military infrastructure), called capital projects.

Construction management (CM) is a professional service that uses specialized, project

management techniques to oversee the planning, design, and construction of a project, from its
beginning to its end. The purpose of CM is to control a project's time / delivery, cost and quality—
sometimes referred to as a project management triangle or "triple constraints."[1] CM is
compatible with all project delivery systems, including design-bid-build, design-build, CM At-
Risk and Public Private Partnerships. Professional construction managers may be reserved for
lengthy, large-scale, high budget undertakings (commercial real estate, transportation
infrastructure, industrial facilities, and military infrastructure), called capital projects.

The functions of construction management typically include the following:

Specifying project objectives and plans including delineation of scope, budgeting, scheduling,
setting performance requirements, and selecting project participants.
Maximizing the resource efficiency through procurement of labor, materials and equipment.
Implementing various operations through proper coordination and control of planning, design,
estimating, contracting and construction in the entire process.
Developing effective communications and mechanisms for resolving conflicts.[3]
The Construction Management Association of America (CMAA) states the most common
responsibilities of a Construction Manager fall into the following 7 categories: Project
Management Planning, Cost Management, Time Management, Quality Management, Contract
Administration, Safety Management, and CM Professional Practice. CM professional practice
includes specific activities, such as defining the responsibilities and management structure of the
project management team, organizing and leading by implementing project controls, defining roles
and responsibilities, developing communication protocols, and identifying elements of project
design and construction likely to give rise to disputes and claims.[

Planning, scheduling is an important part of the construction management. Planning and

scheduling of construction activities helps engineers to complete the project in time and within the
budget.

The term ‘Construction’ does not only denotes physical activities involving men, materials and
machinery but also covers the entire gamut of activities from conception to realization of a
construction project. Thus, management of resources such as men, materials, machinery requires
effective planning and scheduling of each activity.

What is Construction Management?

Management is the science and art of planning, organizing, leading and controlling the work of
organization members and of using all available organization resources to reach stated
organizational goals.
Construction management deals with economical consumption of the resources available in the
least possible time for successful completion of construction project. ‘Men’, ‘materials’,
‘machinery’ and ‘money’ are termed as resources in construction Management.

Objectives of Construction Management:

The main objectives of construction management are,

Completing the work within estimated budget and specified time.

Maintaining a reputation for high quality workmanship
Taking sound decisions and delegation of authority
Developing an organization that works as a team.
Functions of Construction Management:
The functions of construction Management are

(a) Planning

(b) Scheduling

(c) Organizing

(d) Staffing

(e) Directing

(f) Controlling

(g) Coordinating

(a) Planning in Construction Management:

It is the process of selecting a particular method and the order of work to be adopted for a project
from all the possible ways and sequences in which it could be done. It essentially covers the
aspects of ‘What to do’ and ‘How to do it’.

Importance of construction project planning:

Planning helps to minimize the cost by optimum utilization of available resources.
Planning reduces irrational approaches, duplication of works and inter departmental conflicts.
Planning encourages innovation and creativity among the construction managers.
Planning imparts competitive strength to the enterprise.
Importance of construction project planning:
Planning helps to minimize the cost by optimum utilization of available resources.
Planning reduces irrational approaches, duplication of works and inter departmental conflicts.
Planning encourages innovation and creativity among the construction managers.
Planning imparts competitive strength to the enterprise.
b) Scheduling in Construction Management:
Scheduling is the fitting of the final work plan to a time scale. It shows the duration and order of
various construction activities. It deals with the aspect of ‘when to do it’.

Importance of construction project scheduling:

Scheduling of the programming, planning and construction process is a vital tool in both the daily
management and reporting of the project progress.

c) Organizing:

Organizing is concerned with decision of the total construction work into manageable
departments/sections and systematically managing various operations by delegating specific tasks
to individuals.

d) Staffing:

Staffing is the provision of right people to each section / department created for successful
completion of a construction project.

e) Directing:

It is concerned with training sub ordinates to carryout assigned tasks, supervising their work and
guiding their efforts. It also involves motivating staff to achieve desired results.

f) Controlling:

It involves a constant review of the work plan to check on actual achievements and to discover
and rectify deviation through appropriate corrective measures.

g) Coordinating:

It involves bringing together and coordinating the work of various departments and sections so as
to have good communication. It is necessary for each section to aware of its role and the assistance
to be expected from others.
Importance of Construction Management:
Construction management practices invariably lead to “maximum production at least cost”. A
good construction management, results in completion of a construction project with in the
stipulated budget.
Construction management provides importance for optimum utilization of resources. In other
words, it results in completion of a construction project with judicious use of available resources.
Construction management provides necessary leadership, motivates employees to complete the
difficult tasks well in time and extracts potential talents of its employees.
Construction management is beneficial to society as the effective and efficient management of
construction projects will avoid, escalation of costs, time overrun, wastage of resources, unlawful
exploitation of labor and pollution of environment.

Functions of Management

Management has been described as a social process involving responsibility for economical and
effective planning & regulation of operation of an enterprise in the fulfillment of given purposes.
It is a dynamic process consisting of various elements and activities. These activities are different
from operative functions like marketing, finance, purchase etc. Rather these activities are common
to each and every manger irrespective of his level or status.

Different experts have classified functions of management. According to George & Jerry, “There
are four fundamental functions of management i.e. planning, organizing, actuating and
controlling”.

According to Henry Fayol, “To manage is to forecast and plan, to organize, to command, & to
control”. Whereas Luther Gullick has given a keyword ’POSDCORB’ where P stands for
Planning, O for Organizing, S for Staffing, D for Directing, Co for Co-ordination, R for reporting
& B for Budgeting. But the most widely accepted are functions of management given by
KOONTZ and O’DONNEL i.e. Planning, Organizing, Staffing, Directing and Controlling.

For theoretical purposes, it may be convenient to separate the function of management but
practically these functions are overlapping in nature i.e. they are highly inseparable. Each function
blends into the other & each affects the performance of others.

Planning
It is the basic function of management. It deals with chalking out a future course of action &
deciding in advance the most appropriate course of actions for achievement of pre-determined
goals. According to KOONTZ, “Planning is deciding in advance - what to do, when to do & how
to do. It bridges the gap from where we are & where we want to be”. A plan is a future course of
actions. It is an exercise in problem solving & decision making. Planning is determination of
courses of action to achieve desired goals. Thus, planning is a systematic thinking about ways &
means for accomplishment of pre-determined goals. Planning is necessary to ensure proper
utilization of human & non-human resources. It is all pervasive, it is an intellectual activity and it
also helps in avoiding confusion, uncertainties, risks, wastages etc.

Organizing
It is the process of bringing together physical, financial and human resources and developing
productive relationship amongst them for achievement of organizational goals. According to
Henry Fayol, “To organize a business is to provide it with everything useful or its functioning i.e.
raw material, tools, capital and personnel’s”. To organize a business involves determining &
providing human and non-human resources to the organizational structure. Organizing as a
process involves:

Identification of activities.
Classification of grouping of activities.
Assignment of duties.
Delegation of authority and creation of responsibility.
Coordinating authority and responsibility relationships.
Staffing
It is the function of manning the organization structure and keeping it manned. Staffing has
assumed greater importance in the recent years due to advancement of technology, increase in size
of business, complexity of human behavior etc. The main purpose o staffing is to put right man on
right job i.e. square pegs in square holes and round pegs in round holes. According to Kootz &
O’Donell, “Managerial function of staffing involves manning the organization structure through
proper and effective selection, appraisal & development of personnel to fill the roles designed un
the structure”. Staffing involves:

Manpower Planning (estimating man power in terms of searching, choose the person and giving
the right place).
Recruitment, Selection & Placement.
Training & Development.
Remuneration.
Performance Appraisal.
Promotions & Transfer.
Directing
It is that part of managerial function which actuates the organizational methods to work efficiently
for achievement of organizational purposes. It is considered life-spark of the enterprise which sets
it in motion the action of people because planning, organizing and staffing are the mere
preparations for doing the work. Direction is that inert-personnel aspect of management which
deals directly with influencing, guiding, supervising, motivating sub-ordinate for the achievement
of organizational goals. Direction has following elements:

Supervision
Motivation
Leadership
Communication
Supervision- implies overseeing the work of subordinates by their superiors. It is the act of
watching & directing work & workers.

Motivation- means inspiring, stimulating or encouragin

actuates the organizational methods to work efficiently for achievement of organizational

purposes. It is considered life-spark of the enterprise which sets it in motion the action of people
because planning, organizing and staffing are the mere preparations for doing the work. Direction
is that inert-personnel aspect of management which deals directly with influencing, guiding,
supervising, motivating sub-ordinate for the achievement of organizational goals. Direction has
following elements:

Supervision
Motivation
Leadership
Communication
Supervision- implies overseeing the work of subordinates by their superiors. It is the act of
watching & directing work & workers.

Motivation- means inspiring, stimulating or encouraging the sub-ordinates with zeal to work.
Positive, negative, monetary, non-monetary incentives may be used for this purpose.

Leadership- may be defined as a process by which manager guides and influences the work of
subordinates in desired direction.

Communications- is the process of passing information, experience, opinion etc from one person
to another. It is a bridge of understanding.

Controlling
It implies measurement of accomplishment against the standards and correction of deviation if any
to ensure achievement of organizational goals. The purpose of controlling is to ensure that
everything occurs in conformities with the standards. An efficient system of control helps to
predict deviations before they actually occur. According to Theo Haimann, “Controlling is the
process of checking whether or not proper progress is being made towards the objectives and
goals and acting if necessary, to correct any deviation”. According to Koontz & O’Donell
“Controlling is the measurement & correction of performance activities of subordinates in order to
make sure that the enterprise objectives and plans desired to obtain them as being accomplished”.
Therefore controlling has following steps:

Establishment of standard performance.

Measurement of actual performance.
Comparison of actual performance with the standards and finding out deviation if any.
Corrective action.

Nature of Staffing Function

Staffing is an important managerial function- Staffing function is the most important mangerial act
along with planning, organizing, directing and controlling. The operations of these four functions
depend upon the manpower which is available through staffing function.
Staffing is a pervasive activity- As staffing function is carried out by all mangers and in all types
of concerns where business activities are carried out.
Staffing is a continuous activity- This is because staffing function continues throughout the life of
an organization due to the transfers and promotions that take place.
The basis of staffing function is efficient management of personnels- Human resources can be
efficiently managed by a system or proper procedure, that is, recruitment, selection, placement,
training and development, providing remuneration, etc.
Staffing helps in placing right men at the right job. It can be done effectively through proper
recruitment procedures and then finally selecting the most suitable candidate as per the job
requirements.
Staffing is performed by all managers depending upon the nature of business, size of the company,
qualifications and skills of managers,etc. In small companies, the top management generally
performs this function. In medium and small scale enterprise, it is performed especially by the
personnel department of that concern.