MANAGEMENT IN THE ENGINEERING AND

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MANAGEMENT IN THE ENGINEERING AND Powered By Docstoc
					             CHAPTER 1
MANAGEMENT IN THE ENGINEERING
 AND CONSTRUCTION INDUSTRY
CONSTRUCTION'S FUTURE:
Increasing size of projects &
        Organizations
Increasing technological complexity &
     more complex interdependencies &
     Variations in the relationships among
    its organization Institution
Rapid Increase of regulations.
At the project level:
 Integration of design, procurement and
 construction into one total process.
Shortage of resources.
Management must cope with new
 economic      and      cultural   realities
 resulting form inflation, energy shortage
 and new societal standards.
 Success will require the fullest
 understanding of all facets of the
 construction Industry.
THE NATURE OF THE CONSTRUCTION
INDUSTRY:
Very large = 10% of GNP
1/2 million construction firms
Intensely competitive
Relatively   has     trivial   technological
advances
Construction       industry    is   custom-
oriented

Do not benefit much of mass production
Very poor in research (<1% of revenue)
compared to 10%-20% in electronics
* Construction has many characteristics
  common to both manufacturing and
  service industries

Like MANF     Physical products

Like SERV     Small assets

Like SERV      Dependent on the qualities
               of its people
TYPES OF CONSTRUCTION PROJECTS:
A) In Developed Countries (USA)
 Residential Construction
 Building Construction
 Heavy Engineering Construction
 Industrial Construction
B) In Gaza strip

 Buildings
 Infra Structure:
     Roads
     Water-related
        Waste water
        Water supply

 Electro mechanical works
EVOLUTION     OF  ALTERNATIVE
APPROACHES TO THE MANAGEMENT
OF CONSTRUCTION:
3 Main players (factors)
(1) Owners      : achieve the best value
                  of money
(2) Contractors : Bid low enough to win
                 Bid high enough to profit
(3) Workers     : Better living standards
                  and working conditions
Modifications of Traditional concepts
Heavy and Highway     Traditional

Bldg. & Industrial   Design – construct

                     negotiated contract
Public Owners        Traditional
                     Except
                     Rapid Transit     &
                     Wastewater
Private Owners       non-traditional
                                                        The Challenges of Construction




Rising Costs                    Time                           Quality                                  Coordination and Control

     Wages                             Delivery of                 Design criteria
                                       materials,
     Materials                         supplies and                                      Owner                 Engineer              Constructor
     and supplies                      equipment                   Inspection
                                                                                                      Construction Management
     Productivity                                                  Lack of
                                       Government                  skilled
     Time delay                        restraints                  workers
                                       Productivity                                  Planning                   Design               Construction
     Jurisdictional                                                Supervision
     disputes
                                       Changes                                              Feasibility              Define              Review plans and
                                                                   Finance
                                                                                                                     project             specifications, and
     Capital equipment                                             Availability             Finance                                      challenge same
     (price at time of                 Design
                                       schedule                    of materials                                      Personnel
     delivery)                                                                                                       selection
                                                                                            Contract                                     Personnel
                                       Construction                                         method                                       selection
                                                                                                                     Design in
     Inflation                         schedule
                                                                                            Operating                logical             Construction
                                                                                            requirements             construct           methods
                 Cost-Time-Quality-Trade-offs                                                                        sequence
                                                                                            Controls                                     Schedule
                                       Union                                                Standards                Cost and            Cost analysis
                                       agreements                                                                    value control
                                                                                            Bidder                                       Reporting
                                                                                            selection                Design              and control
                                       Training
                                                                                            Resources                schedule            Construct
                                       Value engineering
                                                                                            Contract                 Procedures          Value
                                       (functional analysis)
                                                                                            terms                                        engineering
                                                                                                                     Review final
                                       Isolation and analysis of                                                     plans and
                                       high-cost areas                                                               specs w/cost
                                                                                                                     estimate

 Reference: Challenges in construction’s future. (from Boyd C. Paulson, Jr., Goals for Basic Research in
 Construction, Technical Report No. 202, Stanford University, Dept. of Civil Engineering, The Construction Institute,
 Stanford, Calif., July 1975.)

				
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posted:10/8/2012
language:English
pages:9