Project Management for Facility Constructions

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1 Project Management for Facility Constructions

2

3 Alberto De Marco Project Management for Facility Constructions A Guide for Engineers and Architects 123

4 Alberto De Marco Politecnico di Torino Department of Production Systems and Business Economics Corso Duca degli Abruzzi Torino Italy ISBN e-isbn DOI / Springer Heidelberg Dordrecht London New York Library of Congress Control Number: Springer-Verlag Berlin Heidelberg 2011 This work is subject to copyright. All rights are reserved, whether the whole or part of the material is concerned, specifically the rights of translation, reprinting, reuse of illustrations, recitation, broadcasting, reproduction on microfilm or in any other way, and storage in data banks. Duplication of this publication or parts thereof is permitted only under the provisions of the German Copyright Law of September 9, 1965, in its current version, and permission for use must always be obtained from Springer. Violations are liable to prosecution under the German Copyright Law. The use of general descriptive names, registered names, trademarks, etc. in this publication does not imply, even in the absence of a specific statement, that such names are exempt from the relevant protective laws and regulations and therefore free for general use. Cover design: WMXDesign GmbH, Heidelberg Printed on acid-free paper Springer is part of Springer Science+Business Media (

5 Contents 1 Introduction RoadMap Origin of the Book and Acknowledgments Part I Contracting 2 Multiple-Project Management The Multiple-Project Environment Project Portfolio Management Program Management Notion of Program Management Grouping Projects Defining Programs: Selecting and Prioritizing Projects DevelopingPrograms References and Additional Resources Contract Organization RolesinConstructionProjects NotionofContracting DeliverySystems Design-Bid-Build Construction Manager Design-Build Turnkey Build-Operate-Transfer SummaryofDeliverySystems Payment Schemes TimeandMaterial UnitPrices Cost Plus Fixed Percentage Fee Cost Plus Incentive Fee CostPlusFixedFee Target Cost Plus Incentive Fixed Fee v

6 vi Contents CostPlusanAwardFee GuaranteedMaximumPrice(GMP) FirmFixedPrice Summary of Payment Schemes Award Methods SelectingtheAppropriateContractOrganization References and Additional Resources About Contract Organization Contract Administration Introduction to Contract Administration The Bid and Proposal Management Processes The Contract Documents Contract Bonds Changes and Extra Work ProjectDelays ClaimsandDisputes ProjectClose-Out References and Additional Resources About Contract Administration Part II Human Resources 5 Project Management Organization The Organizational Challenge Organizing the Firm for Project Management OrganizingtheProjectTeam People and the Project Manager References and Additional Resources About Project Management Organization Project Information and Communications Management RoleofInformationandCommunications Technologies and Systems for Project Management Filing System Individual Productivity Tools Project Planning Tool Collaborative Workplace Communications Management References and Additional Resources About Information and Communication Management Part III Money 7 Project Feasibility Project Financial Engineering Owner Financing

7 Contents vii Project Financing Contractor Financing Financial Evaluation of Projects NetPresentValue Choice of Discount Rate IRRVersusNPV References and Additional Resources About Feasibility Planning and Scheduling Project Planning: Breakdown Structuring Work Breakdown Structure What Organizational Breakdown Structure Who Cost Breakdown Structure How Much Deterministic Scheduling Principles Scheduling Systems Matrix Scheduling Gantt Chart Scheduling NetworkDiagramming Line-of-Balance Scheduling CriticalPathMethod FloatOwnership Precedence Diagramming Method Resource-Based Scheduling Time-Cost Schedule Optimization with CPM ResourceLeveling Heuristic Scheduling Approaches References and Additional Resources About Planning and Scheduling Project Monitoring and Control The Monitoring Process MeasurementofActualProgress Performance Measurement: Earned Value Analysis Forecasting Performance Project Reporting AreasofProjectControl References and Additional Resources About Project Monitoring&Control Part IV Material Resources 10 Procurement Management Introduction to Procurement Management Procurement Methods and Strategies for Managing the Construction Supply

8 viii Contents 10.3 The Procurement Process References and Additional Resources About Procurement Management Site Management Management of Construction Equipment Quality Management SiteOperationsandSafety References and Additional Resources About Site Management Part V Uncertainty 12 Decision Making Introduction DecisionAnalysis DecisionTrees Expected Value Utility Function NotionofRiskPremium Multiple-Attribute Decision Making MonteCarloSimulation References and Additional Resources About Decision Making Probabilistic Scheduling Scheduling with Uncertainty Pert Simulations MonteCarloSimulations GERT References and Additional Resources About Probabilistic Scheduling Risk Management RiskIdentification Risk Breakdown Structure RiskQuantification RiskControl References and Additional Resources About Risk Management Abbreviations and Acronyms Index

Project Management for Facility Constructions

Project Management for Facility Constructions Project Management for Facility Constructions A Guide for Engineers and Architects Bearbeitet von Alberto De Marco 1. Auflage 2011. Buch. viii, 189 S. Hardcover ISBN 978 3 642 17091 1 Format (B x L): 15,5

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