tag:blogger.com,1999:blog-72001427398796095672024-03-13T18:55:03.151+02:00Construction SiteMDA ProjectsUnknownnoreply@blogger.comBlogger17125tag:blogger.com,1999:blog-7200142739879609567.post-41683417736777859892018-01-24T12:13:00.003+02:002018-01-24T20:48:26.270+02:00Scope Management: A Tool for Change Management in the Construction Industry<a href="https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEiQVdt7qpVn7Hc0Glg3shNGXdRXMaEkW67GtE_0ENKEj8OSjUH8bM-Xk5xOOA2kyUtgebdhorPkFNczDM1LSEwpRFZW4N2UHtyHZdNgx1-yFDpcTttkgHi2Vx7TicywmFcixMVOR3DqCDvj/s1600/MDA+-+Scope+Change+Management.png" imageanchor="1" style="clear: right; float: right; margin-bottom: 1em; margin-left: 1em;"><img border="0" data-original-height="521" data-original-width="521" height="320" src="https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEiQVdt7qpVn7Hc0Glg3shNGXdRXMaEkW67GtE_0ENKEj8OSjUH8bM-Xk5xOOA2kyUtgebdhorPkFNczDM1LSEwpRFZW4N2UHtyHZdNgx1-yFDpcTttkgHi2Vx7TicywmFcixMVOR3DqCDvj/s320/MDA+-+Scope+Change+Management.png" width="320" /></a>Project success in the construction industry, as with any business development in any other industry, is about delivering results. It requires meticulous planning of the work required to achieve project objectives according to agreed client baseline requirements, timeously and within budget. It also requires professional, independent and experienced orchestration of these two key success factors:<br />
<br />
<ul>
<li>setting and managing progress goals and
devising a scope management system to manage the evolving specification and</li>
<li>detailed design processes as the baseline
requirements become the full project scope,</li>
</ul>
thus limiting risk through all phases of the construction project cycle from initiation to closing.<br />
<b><br /></b>
<b>More than a linear process</b><br />
<br />
However, scope management is not just a linear process of project scope ‘checks and balances’ blended together to assist in getting a project started. It’s about identifying project constraints, possible issues and challenges, effectively addressing these and, where possible, planning for them. It’s about taking the time required at the outset to clarify these real and potential issues and challenges, and to devise contingencies to prevent – or at least minimise diversions, delays and unforeseen costs. Essentially, it’s about helping to mitigate risk.<br />
<b><br /></b>
<b>Why change occurs</b><br />
<br />
Change is inevitable and can be a major project risk, which, if resisted or poorly managed could cause severe delays, overspend and even project failure. But before addressing how to manage change, its important to understand why it occurs.<br />
<br />
<div class="separator" style="clear: both; text-align: center;">
</div>
The reasons for change are multiple and vary from project to project. They may result from:<br />
<ul>
<li>Additional time required to contemplate user needs</li>
<li>An inadequately defined project brief
Design errors</li>
<li>Site conditions</li>
<li>Inclement weather</li>
<li>Material shortages</li>
<li>Lack of skills and performance issues</li>
</ul>
The point is, change is unavoidable.<br />
<b><br /></b>
<b>How not to manage change</b><br />
<br />
Depending on where in the project cycle the change occurs the first person to feel the effect of that change – it could be a member of the design team or the contractor - may be tempted to ‘fix it’. Design changes during the pre-construction phase are the easiest to resolve as they generally only incur costs. Changes after construction has started are more difficult to manage as they may incur both costs and time.<br />
<br />
Under pressure not to incur the costs associated with delays and disruptions, the contractor for instance, may be tempted to resolve the problem himself. This could have implications that are far reaching beyond the scope of the contractor to remedy. Invariably he is not the party best equipped to assess all the facts, conduct a complete assessment of the potential implications, and come to an all-encompassing project solution. Consequently, it is unlikely that he would be the best person to manage the associated risk and the subsequent impact on the project and all its stakeholders.<br />
<b><br /></b>
<b>Who is best positioned to manage scope change?</b><br />
<br />
As it poses a high risk, scope management is not just about flagging change and following a change-order process. As part of the overall scope management process it is a function of the independent project manager who is best able to manage the risk associated with change as he is in a pivotal position between the client, design team and the contractor.
This is a key project imperative because we never know when change will occur, what form it will take or how big the ramifications will be in terms of project cost and project schedule. To achieve project success, effective change management requires knowing how to engage with the change process in a systematic way rather than a hit-and-miss reactionary response.<br />
<br />Unknownnoreply@blogger.com3tag:blogger.com,1999:blog-7200142739879609567.post-54362937749641011902017-09-11T13:03:00.000+02:002017-09-11T13:03:00.586+02:00How to Manage Construction Project RiskThe management of risk is one of the most complex aspects of a construction project, more so, when it comes to large projects. Right from the beginning, from the inception phase, risks must be identified, assessed and methods must be applied to mitigate them.<br />
<br />
One thing that is certain is that each construction project is a bespoke process. From typology, geology, design and materials used to the workforce required to ‘assemble’ a project in all weather conditions, risks differ from project to project. Consequently different approaches must be used to address them. In addition, allowances must be made for variability throughout the construction project’s lifecycle: change is inevitable and the ripple effect of the risks associated with that change must be managed to ensure complete and successful project delivery.<br />
<b><br /></b>
<b>Risk management in a construction project lifecycle</b><br />
<br />
In order to better understand construction project risk it’s important to know the phases within a construction project lifecycle. Academically, the construction project lifecycle is a straightforward process that follows six clearly defined phases:<br />
<br />
<ol>
<li>Inception and brief</li>
<li>Concept design</li>
<li>Design development or detailed design</li>
<li>Documentation and procurement</li>
<li>Construction</li>
<li>Close out </li>
</ol>
<br />
In practice, however these phases do not necessarily happen sequentially. While each phase of the project lifecycle should be signed off before commencing with the next phase, some phases require an iterative process. In other words, decisions taken in a previous phase are revisited, perhaps a number of times, before final resolution of a particular issue. The risks therefore need to be continually updated during project implementation until each item is identified and resolved at least risk to the client.<br />
<br />
Iteration in one phase can occur concurrently with another project phase. It occurs particularly in phases three to five (see diagram). Iteration can involve increased risk, which must be addressed, managed and reduced to acceptable levels.<br />
<b><br /></b>
<br />
<div class="separator" style="clear: both; text-align: center;">
</div>
<div class="separator" style="clear: both; text-align: center;">
<a href="https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEiSdyJmTnG0Lide25cq-UZ8KhQV0KFFk-MtoihPhW9SCnAw9wh8cEBA8NTsyhEUzoqOcCKFBFmDIb13LyX8gmY_L7DIInAi4ZNV_7HOb6hujgTknNcm6zCGlGmmo-bH9eiqKVHISxMn7pBk/s1600/MDA+Project+Risk+-+Construction+Project+Iteration.png" imageanchor="1" style="margin-left: 1em; margin-right: 1em;"><img border="0" data-original-height="630" data-original-width="1600" height="125" src="https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEiSdyJmTnG0Lide25cq-UZ8KhQV0KFFk-MtoihPhW9SCnAw9wh8cEBA8NTsyhEUzoqOcCKFBFmDIb13LyX8gmY_L7DIInAi4ZNV_7HOb6hujgTknNcm6zCGlGmmo-bH9eiqKVHISxMn7pBk/s320/MDA+Project+Risk+-+Construction+Project+Iteration.png" width="320" /></a></div>
<b><br /></b>
<b>Stakeholder risk management</b><br />
<br />
Managing risk is not just about systems and processes though. It’s also about the people involved in the project supply chain. In fact, it is the human component of a construction project; the stakeholders especially, that potentially pose the greatest risk. What does this mean?<br />
<br />
Essentially, there are three key stakeholders on a construction project: The client, the design team and the contractor team. The entire project is generally led by a professional project manager who reports directly to the client while managing the efforts of the design team and contractor team. The design team is usually led by an architect together with various other professional consultants whom themselves enlist other specialists as required. Similarly, the contractor team is usually led by a principal contractor, who enlists sub-contractors whom themselves have a host of suppliers and specialist service providers in support of the construction effort.<br />
<br />
In other words, the project lifecycle involves many people and organisations each with their own business expectations, financial objectives and internal processes. While motivated by sound practices, these individual agendas are not necessarily compatible with overall project goals.<br />
<b><br /></b>
<b>Mitigating stakeholder risk</b><br />
<br />
While having the initial vision and a clear end goal, the client is not necessarily geared up to manage the construction project. In fact, the building contract itself is an agreement between the client and the contractor. It could be argued that the contractor should act as project manager. However, this is counter intuitive to maintaining project objectivity, something the project manager is able to do having no vested interest other than to ensure project goals are met without undue risk.<br />
<br />
Ultimately, the mitigation of stakeholder risk as with all other project risks requires independent and even-handed management. It requires someone who has an all-encompassing perspective and knowledge of all the stakeholder roles and related processes, to eliminate or at least reduce stakeholder risk. To achieve this, impartial judgement and a professional communication interface between stakeholders is key. Ultimately, risk management is the domain of an independent and professional project manager who has nothing to protect except the client and the integrity of the overall project.<br />
<br />
Unknownnoreply@blogger.com11tag:blogger.com,1999:blog-7200142739879609567.post-8918403609372417332017-07-24T10:35:00.001+02:002017-07-24T10:37:04.022+02:00Urbanisation and The Hidden Implications of City Developments<a href="https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEgPLo8VmK5-X95rE7lGXRaGFe1dDSbvFdLJKsk38b3B9YrNVCgIEW1P8JaLPOsFoFzHDCPw0BrbBwCBy9eCTY7GBv4KRCq0rCUCCJXVehhC5TY4oVaEfO3MM6f9JMvqYHwLi7c6s-GOrsSp/s1600/MDA+Urbanisation-Inner+City+Dev.jpg" imageanchor="1" style="clear: right; float: right; margin-bottom: 1em; margin-left: 1em;"><img border="0" data-original-height="1200" data-original-width="1600" height="240" src="https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEgPLo8VmK5-X95rE7lGXRaGFe1dDSbvFdLJKsk38b3B9YrNVCgIEW1P8JaLPOsFoFzHDCPw0BrbBwCBy9eCTY7GBv4KRCq0rCUCCJXVehhC5TY4oVaEfO3MM6f9JMvqYHwLi7c6s-GOrsSp/s320/MDA+Urbanisation-Inner+City+Dev.jpg" width="320" /></a>Urbanisation is a widespread global trend with unmistakable local impact. According to KPMG, “it is estimated that by 2050, more than 70% of the world’s population will live in cities, representing a growth of 95% globally and 257% for sub-Saharan Africa”. This rising influx of people to city centres will continue to place enormous pressure on infrastructure, which will necessitate further growth and development.<br />
<br />
<b>Beyond building structures</b><br />
<br />
Buffered by mountains and sea, Cape Town is popularly known as one of the most beautiful cities in the world. However, this buffer effect poses significant development challenges, which are further impacted by:<br />
<br />
<ul>
<li>Countrywide service delivery problems</li>
<li>Energy shortages (electricity inconsistency)</li>
<li>Water shortages (extreme shortages in the Western Cape)</li>
<li>Limited natural resources</li>
<li>Limited human resources</li>
<li>Limited financial resources</li>
<li>An increasingly overburdened infrastructure (owing to the continuous emigration of people from other provinces to the Western Cape)</li>
<li>Severe traffic congestion</li>
<li>Lack of affordable housing in Cape Town’s central business district (CBD)</li>
</ul>
Taking all of this into account, a single fact emerges: Sustainable development that looks beyond building structures to ensure successful urbanisation within a fully functioning CBD is key.<br />
<br />
<b>Improving a bullet train on the move</b><br />
<br />
Much like a heart, the CBD has arteries. If these arteries are constrained the heart is at risk. In other words, Cape Town needs responsible development that cleanly does its job with minimal disruption to the city. This includes heeding past solutions where structures already exist.<br />
<br />
For instance, some would argue the unfinished Foreshore Freeway viaduct should be demolished to make way for extravagant engineering and architectural marvels with sprawling public parks. While visually appealing to some, under the lengthy construction phase that comes with all mega projects, traffic flow will undoubtedly be drastically impeded. Why not simply complete viaducts as they were originally intended? This would allow for increased capacity without placing unnecessary pressure on an already overburdened infrastructure.<br />
<b><br /></b>
<b>Mega projects cost money and who pays?</b><br />
<br />
More development to meet the rising demands of a growing population is inevitable, but this also means further spending. Mega projects cost money, lots of money. With municipal rates and grants from the National Treasury being the only source of income for the city, where will the funding come from?<br />
<br />
City developments need to be carefully and realistically thought through from concept and construction to the operational phase, while taking into account the potential drag on taxpayers, both local and national. The pitfalls of ignoring the potential drag on taxpayers are well documented.
<br />
<br />
National government needs to provide flexible opportunities for an ever-changing South African built environment to encourage private sector development. This will help to minimise public spend and generate a greater rates income for local government.<br />
<b><br /></b>
<b>Important lessons from The Boston Big Dig</b><br />
<br />
Unofficially known as The Big Dig, supporters of the Central Artery Tunnel Project (CA/T) project in Boston, Massachusetts enthuse that; “it was never a highway project but rather an exercise in urban beautification”. Were that the case, the project delivered.<br />
<br />
However, the reality is that the Big Dig was fundamentally a highway project that was non-viable from the start. There were major design issues, construction problems, elaborate and unnecessary systems and inadequate cost controls among others.<br />
<br />
All of these factors resulted in a failure to safeguard taxpayer money. Costs soared nearly ten times from $2.6bn to $15bn ($24bn after interest on debt). Projects in other parts of the state suffered. In fact, although the project was completed in 2007 the people of Massachusetts are still paying for it.
<br />
<b><br /></b>
<b>Is there an upside to urbanisation?</b><br />
<br />
According to PWC, UK urbanisation presents substantial opportunities with the potential for cities “to act as powerful and inclusive development tools”. In Cape Town alone there are more jobs (255 000) than there are residences (55 000). That said, city living is aspirational and usually accessible predominantly to high income earners only. Nonetheless, the potential to mix low income with high income earners is a distinct and realistic possibility. It also presents an ideal opportunity to address Cape Town city’s legacy of inequality embedded in the last century.<br />
<br />
It could be argued that more people working and living in the city means more cars and further congestion. On the contrary, safe, reasonably inexpensive and reliable, and successful mega public transit projects such as the My CiTi Bus system have helped to improve CBD accessibility and reduce traffic congestion.
Unquestionably, successful urbanisation requires innovative sustainable development to build a more integrated environment that creates value for the city. However, this can only happen with considered and insightful planning and careful construction development project management.
<br />
<br />Unknownnoreply@blogger.com0tag:blogger.com,1999:blog-7200142739879609567.post-55367066357164192622017-04-13T12:00:00.002+02:002017-04-13T12:00:59.358+02:00Why Choose a Career in Construction Development Project Management?<a href="https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEgDBDPDhDygkHSWMEZ4KjOD2_bgDErB1wqtLqOZjmPYQDAYBbUoPyATXDw5SwQsedcyi2HHuErqa4zqhwLWTs_6hZmGWrt5oy8Ew9xsiB7AwliCdkFBCkkB9nfOcC4sM3eqUOW1t6Q28S9r/s1600/MDA+Careers+Construction+Development.png" imageanchor="1" style="clear: right; float: right; margin-bottom: 1em; margin-left: 1em;"><img border="0" height="239" src="https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEgDBDPDhDygkHSWMEZ4KjOD2_bgDErB1wqtLqOZjmPYQDAYBbUoPyATXDw5SwQsedcyi2HHuErqa4zqhwLWTs_6hZmGWrt5oy8Ew9xsiB7AwliCdkFBCkkB9nfOcC4sM3eqUOW1t6Q28S9r/s320/MDA+Careers+Construction+Development.png" width="320" /></a>Choosing the right career in a world that is constantly changing, where some industries and roles might not exist in 20 years from now, is daunting. The truth is, for the most part we have<br />
no real idea of what things will be like in the future.<br />
<br />
That said, we can assume with a fair degree of certainty that there will always be a construction development industry: the need for building structures has existed since humans first walked the earth. Like all industries, the built environment slows down and speeds up in response to the economic climate but, with an ever-expanding global population it will of necessity continue to evolve and advance. It will always exist.<br />
<b><br /></b>
<b>What is a construction development project manager?</b><br />
<br />
Everyone practices project management to some extent. In its most basic form, project management is about establishing and achieving goals. It’s also about the planning, organisation and oversight required to meet these goals.<br />
<br />
However, whereas project managers in some other industries might take responsibility for a particular aspect of an area or project, a professional and qualified project manager in the construction development industry orchestrates and oversees all aspects of a construction project from concept to completion and beyond.<br />
<br />
Typically the project manager identifies objectives, defines project scope, manages time, cost and quality, and factors in project changes. It goes without saying then that one of the most important members (perhaps arguably the most essential) of any construction development team is the project manager.<br />
<b><br /></b>
<b>Is there a demand for project managers in construction development?</b><br />
<br />
In the last 50 years, the industry has evolved and splintered from core disciplines such as architect, quantity surveyor, engineer and builder into increasingly specialised disciplines. This includes importance roles concerning environment, heritage, health and safety, BBBEE (broad based black economic empowerment), and green and sustainable buildings among others.
Add to this all the laws and codes that come with these new and necessary disciplines and it becomes even more critical for an objective and interdependent project manager to bring all the various disciplines together to act as one cohesive entity. In other words, the construction development project manager is the binding element that holds it all together. The project manager takes responsibility for facilitating a successful project outcome.<br />
<b><br /></b>
<b>How to know if it’s the right career for you?</b><br />
<br />
There is an inordinate amount of pressure for young people finishing school to pick an industry, pick a qualification and then you have a career path perfectly slotted into a neat box. In the past, if you wanted to work with people you chose psychology. If you wanted to work with figures you picked accounting. Project management in the construction development industry doesn’t fit into a neat box.
<br />
<br />
In fact, if you have a strategic and analytical mind and have an affinity for people but don’t want to be desk bound then this could be the career for you. First, it’s important to start by knowing yourself, who you are, what your talents and skills are and then making an informed decision.<br />
<b><br /></b>
<b>Requirements for a career in project management in construction development</b><br />
<br />
Project managers must be professionally qualified and registered. The minimum qualification is a relevant four year degree or diploma in engineering, building management or similar with appropriate industry registration. This includes the SACPMP (South African Council for Project and Construction Management Professions) and ACPM (Association of Construction Project Managers).
<br />
<br />
Seasoned construction development project managers will tell you that on-the-job learning is lifelong, particularly the kind of learning that happens on site, during the building process.<br />
<b><br /></b>
<b>Typical profile of a construction development project manager</b><br />
<br />
Real project managers are not averse to getting their boots dirty. They spend time on and off site. They take time to observe, listen, ask questions, and they show a healthy appreciation and respect for people. They interact with a kaleidoscope of personalities from all walks of life: From professionals in various disciplines to the on-site workforce that has the responsibility for the physical construction of a development.<br />
<br />
The best construction development project managers are exceptional communicators who take responsibility for conveying the bad news as well as the good. They are natural born planners but, while planning is central to the role, experienced project managers are always prepared for the unexpected. It’s part of what makes the construction development project management role exciting and challenging.<br />
<br />
Related topics:<br />
<a href="http://mdaconstructionsite.blogspot.co.za/2017/01/does-construction-development-project.html" target="_blank">Does A Construction Development Project Manager Add Real Value?</a><br />
<br />Unknownnoreply@blogger.com7tag:blogger.com,1999:blog-7200142739879609567.post-66508369276927101752017-01-19T16:15:00.001+02:002017-12-01T08:08:12.764+02:00Does A Construction Development Project Manager Add Real Value?<div class="MsoNormal" style="text-align: justify;">
The Construction development
industry has existed since the beginning of civilization and, like other
industries, has evolved and grown over time. Historically, the “master builder”
was the carpenter or stone mason, who performed the tasks of project manager,
architect, quantity surveyor, engineer, and builder. In fact, the master
builder oversaw the entire building process.</div>
<div class="MsoNormal" style="text-align: justify;">
<br /></div>
<div class="MsoNormal" style="text-align: justify;">
Over the years there has been an
evolution of additional complexities burgeoning the construction development
industry, which requires management and facilitation beyond historic
development project requirements: hence the need for professional qualified
project management to align these factors. These evolving complexities include
among others:<br />
<br /></div>
<div class="MsoNormal" style="text-align: justify;">
</div>
<ul>
<li>Construction development industry fragmentation and specialisation</li>
<li>New regulations and legislative requirements</li>
<li>Industry skills shortage</li>
<li>Technological advancement</li>
<li>Materials innovation</li>
<li>Economic constraints and risk management</li>
<li>Contractual claims environment</li>
<li>Stakeholder and community involvement</li>
<li>Additional construction industry management services</li>
</ul>
<div class="MsoNormal" style="text-align: justify;">
<o:p><b>Construction development industry fragmentation and specialisation</b></o:p></div>
<div class="MsoNormal" style="text-align: justify;">
<br /></div>
<div class="MsoNormal" style="text-align: justify;">
Evolutionary construction
industry growth, particularly in the last 50 years or so has fragmented
industry roles from core construction disciplines (architect, engineer and
builder) into a multi-faceted and growing list of specialised disciplines. With
the built environment becoming increasingly specialised (and fragmented) it becomes
more difficult for all these disciplines to work together to produce one
cohesive product in line with the client’s expectations.</div>
<div class="MsoNormal" style="text-align: justify;">
<br /></div>
<div class="MsoNormal" style="text-align: justify;">
<b style="mso-bidi-font-weight: normal;">New regulations and legislative requirements<o:p></o:p></b></div>
<div class="MsoNormal" style="text-align: justify;">
<br /></div>
<div class="MsoNormal" style="text-align: justify;">
There is also increasing concern
about important issues such as environment, health and safety, BBBEE (broad
based black economic empowerment), green building, sustainable buildings, and
heritage. This has resulted in new legislation leading to new disciplines within
the built environment, which produce additional independent silos that need to
be coordinated.</div>
<div class="MsoNormal" style="text-align: justify;">
<br /></div>
<div class="MsoNormal" style="text-align: justify;">
While critical in tightening up
industry practices and conduct, building laws, codes and regulations are onerous.
They add another layer of<span style="mso-spacerun: yes;"> </span>industry
‘rules’ to the built environment project management process. The application of
these rules requires precise and specific implementation and management
expertise from within the industry and on each construction development
project. </div>
<div class="MsoNormal" style="text-align: justify;">
<br /></div>
<div class="MsoNormal" style="text-align: justify;">
<b>Industry skills shortage</b></div>
<div class="MsoNormal" style="text-align: justify;">
<br /></div>
<div class="MsoNormal" style="text-align: justify;">
As new disciplines splinter and
emerge, the demand for skilled and specialist labour increases. However, skill
levels in the South African construction industry do not always meet this
demand. </div>
<div class="MsoNormal" style="text-align: justify;">
<br /></div>
<div class="MsoNormal" style="text-align: justify;">
Top professionals such as
architects are lured away by better opportunities overseas. Reduced standards
of education and insufficient training and experience yield lower levels of
competence among professionals, sub-standard contractor supervision and poor
workmanship. This places greater pressure on the project manager to monitor and
ensure that the various construction disciplines are delivering on a given
project: to enforce high standards and exceptional quality workmanship at an
affordable cost.</div>
<div class="MsoNormal" style="text-align: justify;">
<br /></div>
<div class="MsoNormal" style="text-align: justify;">
<b style="mso-bidi-font-weight: normal;">Technological advancement <o:p></o:p></b></div>
<div class="MsoNormal" style="text-align: justify;">
<br /></div>
<div class="MsoNormal" style="text-align: justify;">
Technological innovation helps to
advance construction efficiencies, building quality, and asset longevity. For
instance, <u><a href="http://mdaconstructionsite.blogspot.co.za/2016/06/how-bim-is-revolutionising-construction.html">BIM (building information modeling)</a></u> has become the worldwide standard in engineering and is
fast becoming the international standard for construction and project
management. That said, technology is best executed, and delivers the best
results, when complemented by human endeavour. </div>
<div class="MsoNormal" style="text-align: justify;">
<br /></div>
<div class="MsoNormal" style="text-align: justify;">
While IT systems provide
management tools to enhance efficiency, they do not reduce the time required to
manage people nor do they obviate the critical people management aspect of
project coordination and facilitation. </div>
<div class="MsoNormal" style="text-align: justify;">
<br /></div>
<div class="MsoNormal" style="text-align: justify;">
<b style="mso-bidi-font-weight: normal;">Materials innovation<o:p></o:p></b></div>
<div class="MsoNormal" style="text-align: justify;">
<br /></div>
<div class="MsoNormal" style="text-align: justify;">
Whereas materials selection
options were limited in the past, the more recent explosion of materials
innovations, has resulted in a multitude of materials and finishing options.
While exciting for the industry this necessitates far tighter management of the
materials procurement process. If improperly managed, too many choices lead to
indecision, more and more samples requested, unnecessary time wastage and
unforeseen costs.</div>
<div class="MsoNormal" style="text-align: justify;">
<br /></div>
<div class="MsoNormal" style="text-align: justify;">
<b style="mso-bidi-font-weight: normal;">Economic constraints and risk management<o:p></o:p></b></div>
<div class="MsoNormal" style="text-align: justify;">
<br /></div>
<div class="MsoNormal" style="text-align: justify;">
The demand for greater efficiency
in a constrained economy, means that the construction industry is compelled to
work with tighter budgets and competitive tendering. This means stringent and
exacting cost management. Add to this the proliferation of industry specialist
materials and the increased complexity of construction projects. The result is more
construction work being taken on at far greater risk.</div>
<div class="MsoNormal" style="text-align: justify;">
<br /></div>
<div class="MsoNormal" style="text-align: justify;">
In the current economic climate,
the professional project management consultant is expected to carry more risk
work at no additional cost to the client. Construction projects are undertaken,
sometimes with years of non-paying foundational risk work with no guarantee
that the project will proceed. Risk management is a critical and fundamental
scheduling process, and requires meticulous detail and a great deal of
expertise and time to mitigate risk for the project as a whole. As such, it
forms an integral part of effective construction project management.</div>
<div class="MsoNormal" style="text-align: justify;">
<br /></div>
<div class="MsoNormal" style="text-align: justify;">
<b style="mso-bidi-font-weight: normal;">Contractual claims environment<o:p></o:p></b></div>
<div class="MsoNormal" style="text-align: justify;">
<br /></div>
<div class="MsoNormal" style="text-align: justify;">
With clients demanding more for
less to meet the demands of an increasingly regulated development environment,
contractors and consultants charge significantly reduced fees. Reduced
contractor mark-ups and professional fees are a prevailing and problematic
local and national economic issue. As a result, professional consultants and
contractors need to become more conscious of this and claim for additional
expenditure. However, the claims process requires monitoring, mediation and
facilitation. The tighter the budget, the greater is the need for professional
risk management.</div>
<div class="MsoNormal" style="text-align: justify;">
<br /></div>
<div class="MsoNormal" style="text-align: justify;">
<b style="mso-bidi-font-weight: normal;">Stakeholder and community involvement<o:p></o:p></b></div>
<div class="MsoNormal" style="text-align: justify;">
<br /></div>
<div class="MsoNormal" style="text-align: justify;">
Given the chequered history and
demography of the country, there is a growing need for more community
participation and other stakeholder involvement in construction projects. BBBEE
is important for the country to encourage the participation of previously
disadvantaged groups to further economic growth. </div>
<div class="MsoNormal" style="text-align: justify;">
<br /></div>
<div class="MsoNormal" style="text-align: justify;">
That said, while important for
the country, stakeholder engagement and the responsibility to ensure government
BBBEE and community involvement targets are achieved becomes the domain of the
project manager.</div>
<div class="MsoNormal" style="text-align: justify;">
<br /></div>
<div class="MsoNormal" style="text-align: justify;">
<b style="mso-bidi-font-weight: normal;">Additional construction industry management services<o:p></o:p></b></div>
<div class="MsoNormal" style="text-align: justify;">
<br /></div>
<div class="MsoNormal" style="text-align: justify;">
There is an increasing demand for
project managers to take on additional built environment functions over and
above the ‘standard’ project management services. These functions often
constitute all or part of the role of a separate construction discipline, such
as the development manager’s role or the design co-ordination function. In
fact, they become part of the project manager’s standard portfolio of services.
Consequently, the project manager’s scope of responsibility increases
significantly, often at no additional fee for the added service.</div>
<div class="MsoListParagraphCxSpFirst" style="margin-left: 0cm; mso-add-space: auto; text-align: justify;">
<br /></div>
<div class="MsoListParagraphCxSpLast" style="margin-left: 0cm; mso-add-space: auto; text-align: justify;">
<b style="mso-bidi-font-weight: normal;"><span lang="EN-ZA" style="font-size: 12.0pt; line-height: 115%; mso-bidi-font-size: 11.0pt;">The glue
that binds it all together<o:p></o:p></span></b></div>
<div class="MsoNormal" style="text-align: justify;">
<br /></div>
<div class="MsoNormal" style="text-align: justify;">
While professional project
management is a specialist standalone built environment discipline in its own
right, it is multifarious. In other words, <u><a href="http://mdaconstructionsite.blogspot.co.za/2013/12/true-construction-project-management.html" target="_blank">true project management</a></u> requires
sufficient knowledge of all construction development disciplines and cross sector
experience. Professional project management is the glue that integrates the
combined knowledge and experience so that all parties involved work as a
cohesive entity to deliver a successful project outcome. With the myriad of
expanding complexities and risks in the construction development industry can
you afford not to have a professional project manager overseeing your project?<br />
<br /></div>
<div class="MsoListParagraphCxSpFirst" style="margin-left: 0cm; mso-add-space: auto; text-align: justify;">
<div class="separator" style="clear: both; text-align: center;">
<a href="https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEj64hinbAlMOKsjDBSM105cjh1JMl0Vl1zSiV_idLiYnZ5U5PEykNE9M4h3OQ1fl7JISZfC7XuBS3mAbNDEkTwPSjr8lNMg3Kd9ZTBFIFm4IOfC2StjmqdDh0ojDPNfM5BNSL1eja1HKmyP/s1600/MDA+-+Project+Management+Workstream.jpg" imageanchor="1" style="margin-left: 1em; margin-right: 1em;"><img border="0" height="540" src="https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEj64hinbAlMOKsjDBSM105cjh1JMl0Vl1zSiV_idLiYnZ5U5PEykNE9M4h3OQ1fl7JISZfC7XuBS3mAbNDEkTwPSjr8lNMg3Kd9ZTBFIFm4IOfC2StjmqdDh0ojDPNfM5BNSL1eja1HKmyP/s640/MDA+-+Project+Management+Workstream.jpg" width="640" /></a></div>
<br /></div>
Unknownnoreply@blogger.com8tag:blogger.com,1999:blog-7200142739879609567.post-13024774996315515562016-10-04T21:44:00.000+02:002017-12-01T08:20:10.805+02:00How ‘BIM’ is Revolutionising the Construction Industry (Part 3 of 3)<div class="separator" style="clear: both; text-align: center;">
<a href="https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEjEoniyVK1OLokAhyGbP4UWZdUkNugO9jvTx2SfVnoUtoiiSvXSMyjmPIm7yAbQPdWznsWBRGXPz2zpR99Ndoqfcru4QWPymlaFJqdGiuOoBOFEb4n0uhSYSpRSAgOYOmqG2QZF2BvyxjFl/s1600/MDA+Projects+BIM+3.png" imageanchor="1" style="clear: right; float: right; margin-bottom: 1em; margin-left: 1em;"><img border="0" height="177" src="https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEjEoniyVK1OLokAhyGbP4UWZdUkNugO9jvTx2SfVnoUtoiiSvXSMyjmPIm7yAbQPdWznsWBRGXPz2zpR99Ndoqfcru4QWPymlaFJqdGiuOoBOFEb4n0uhSYSpRSAgOYOmqG2QZF2BvyxjFl/s320/MDA+Projects+BIM+3.png" width="320" /></a></div>
<h3>
<b>Is BIM the future?</b></h3>
It goes without saying that with any construction project, meticulous record keeping of every exchange, decision and approval is imperative. Without detailed records the volume of information (data) produced becomes overwhelming and unnecessarily confusing. The negative pitfalls are endless.<br />
<br />
Building information modelling (BIM) is without a doubt a more efficient and visually effective method of managing data. The benefits of using BIM data for multiple applications makes it an incredibly powerful tool because it covers so much more than mere geometry.<br />
<br />
Utilising BIM data for other purposes is particularly evident when the 3D model is used to design and produce greener buildings. BIM enabled simulation of a building’s lifecycle means that the benefits of green investment over time can be measured to within single digit accuracy. This is exciting from an investor’s perspective.<br />
<b><br /></b>
<b>Leveraging BIM’s full benefits</b><br />
<br />
Creating a building or asset in virtual reality requires specialist, high-level management and expertise. It also requires effective communication between project participants at various levels so that the integrated intellectual capacity of all parties benefits the client.<br />
<br />
From a project management perspective model integration and facilitation of information flow is not as simplistic as it might appear. In other words, BIM is not just a software change.<br />
<br />
It takes time to become familiar with and proficient in the use of the software. It also takes time and expertise to understand the protocols to be adhered to when models are either combined or shared. Ultimately, BIM is a process fully and properly comprehended with extensive first hand experience.<br />
<b><br /></b>
<b>How should it be managed?</b><br />
<br />
By way of example, the client often assumes that everything is in 3D and therefore easy to manipulate or change. This is problematic because regardless of whether changes are two or three dimensional, any changes to a building can impact various services and possibly structural elements.
<br />
<br />
While BIM makes changes more easily communicable to the client, it does not lessen the impact of these changes. Professional project managers know that BIM can never replace the fundamentals of project management, which include clear and effective communication with client, the professional team, and various contractors.<br />
<br />
If the BIM implementation process is not managed properly the benefits of BIM usage from the perspective of both the professional / construction team and the client are lost in a mountain of data. The importance of project management professionals steering the BIM process, and the entire project from concept to completion and beyond cannot be overemphasized.<br />
<br />
<b>The jury’s in</b><br />
<br />
In countries such as the United States, United Kingdom, Singapore, Brazil, various Scandinavian countries and others there is no argument about whether BIM is worthwhile or not. The fact is it works.<br />
<br />
At a BIM conference held earlier this year in Johannesburg, South Africa it was encouraging to see that local firms and building contractors are swiftly moving towards international standards.
<br />
<br />
However, South Africa has a long way to go to keep pace with countries that are deep into the BIM adoption process. The question therefore is not whether BIM is the future of the South African construction industry or whether project management companies should prepare for it. Rather it is a question of how soon it can be implemented. To its credit, the South African construction industry is starting to realise that the sooner it commits to BIM, the greater the benefits will be.
<br />
<br />
<a href="http://mdaconstructionsite.blogspot.co.za/2016/06/how-bim-is-revolutionising-construction.html">Part 1 of 3</a><br />
<a href="http://mdaconstructionsite.blogspot.co.za/2016/07/how-bim-is-revolutionising-construction.html">Part 2 of 3</a><br />
<br />Unknownnoreply@blogger.com0tag:blogger.com,1999:blog-7200142739879609567.post-37302097793790982922016-07-29T09:00:00.000+02:002017-12-01T08:18:02.805+02:00How ‘BIM’ is Revolutionising the Construction Industry (Part 2 of 3)<div class="separator" style="clear: both; text-align: center;">
<a href="https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEijGaphKcRx85VuDClWR-eoretr47z38Kl_ReOMEhcIFy6kMar-J4CQ9Rrw0zVZjZmCBfPh7pEB0mi4l-PkG063-_G3_Vf2lwllju5cPVcQdVrO4F-lwK7buJfihtpXdYiQS_rOOV9fVdNu/s1600/MDA+BIM+2.png" imageanchor="1" style="clear: right; float: right; margin-bottom: 1em; margin-left: 1em;"><img border="0" height="318" src="https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEijGaphKcRx85VuDClWR-eoretr47z38Kl_ReOMEhcIFy6kMar-J4CQ9Rrw0zVZjZmCBfPh7pEB0mi4l-PkG063-_G3_Vf2lwllju5cPVcQdVrO4F-lwK7buJfihtpXdYiQS_rOOV9fVdNu/s320/MDA+BIM+2.png" width="320" /></a></div>
<h3>
<b>A South African and African context</b></h3>
Building information modelling has taken giant steps in a relatively short space of time. Its global growth and adoption rate has been massive. In South Africa the overwhelmingly positive benefits of BIM are driven by consulting engineering and project management companies like <a href="http://goo.gl/X1evD7" target="_blank">WSP | Parsons Brinckerhoff Consulting Engineers</a> and <a href="http://www.mdaprojects.co.za/" target="_blank">MDA Projects</a> pushing beyond merely producing ‘pretty pictures’.<br />
<br />
In some countries such as the United Kingdom, BIM has been legislated. South Africa is not yet at the same level but usage is rapidly growing as the benefits of BIM for larger projects become apparent.<br />
<b><br /></b>
<b>Towards a South African package with national benefit</b><br />
<br />
<a href="http://goo.gl/MN7NlV" target="_blank">5D BIM</a> is not yet utilised in South Africa. This is because the digital costing process is not in line with South African quantity surveying processes (Standard Systems of Measurement and Standard Bill of Quantities among others). Herein lies an opportunity for quantity surveyors to step in. In fact, MDA Projects is currently in dialogue with quantity surveyors so that South Africa can potentially put its own stamp on the process through a proudly South African package that will have national benefit.<br />
<b><br /></b>
<b>Beyond day-to-day information systems</b><br />
<br />
The ability to effectively integrate the various built environment disciplines such as electrical, mechanical, fire, water and sewerage will set companies apart. MDA Projects is on a drive to undertake the majority of its larger built environment projects using BIM, in order to go beyond day-to-day information systems. Currently operating predominantly at a 4D level, they have set their sights firmly on incorporating the entire BIM range of services.<br />
<br />
From a project management perspective BIM process implementation is not without its challenges. With many contractors and suppliers in South Africa having little or no opportunity to work with BIM, facilitating the interphase between the design team and contractors is tricky. Granted, information flow and contractual arrangements related to this element of the construction process are easily documented. However, it takes a high level of cooperation and skill to manage the process effectively.<br />
<b><br /></b>
<b>Can BIM work in an African context?</b><br />
<br />
Africa does not have the convenience of readily available material suppliers or specialised contractors. To overcome these challenges, detailed project planning becomes a critical precursor to project success.
Much like a Meccano set, a key benefit of BIM is that regardless of resources required, equipment and necessary materials can be:<br />
<ul>
<li>Predetermined with a high degree of accuracy</li>
<li>If required can be premanufactured / preassembled </li>
</ul>
4D simulation enables the project management team to find the best possible design methodology. It also ensures that resources are allocated with a higher degree of accuracy.<br />
<br />
Through the BIM process materials and equipment can be manufactured in South Africa or another African country that has the capability and capacity to do so. Similarly, modular systems can be prepared off site, in a controlled factory-type environment. In this instance, the delivery sequence is then synchronised within the BIM programme to ensure that everything is transported when and where required.<br />
<br />
By simply starting the design process earlier, pre-manufactured items can be shipped or transported ahead of time. This is particularly prudent when building on an island or at a remote location.<br />
<b><br /></b>
<b>Positive socio-economic outcomes</b><br />
<br />
With the application of simplified construction methods (modular systems) unskilled and unemployed local community members can be trained and employed within the assembly component of the construction process, without compromising the quality of the end product. Translated, this means that BIM potentially has a far-reaching positive impact not just for the construction industry but for African communities too by creating semi-skilled opportunities for people previously not utilised in the construction industry.
<br />
<br />
<a href="http://mdaconstructionsite.blogspot.co.za/2016/06/how-bim-is-revolutionising-construction.html">Part 1 of 3</a><br />
<a href="http://mdaconstructionsite.blogspot.co.za/2016/10/how-bim-is-revolutionising-construction.html">Part 3 of 3</a><br />
<br />Unknownnoreply@blogger.com2tag:blogger.com,1999:blog-7200142739879609567.post-67004969312290116622016-06-22T16:24:00.000+02:002017-12-01T08:15:15.071+02:00How ‘BIM’ is Revolutionising the Construction Industry (Part 1 of 3)<a href="https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEgt4CNNrG6GRWYLmFHWXVshnaBi23gieqsXXqEKfbzYXMfVR9zvZ7itMP47ID2CQixvt7SCkhcEjz8hCalxJ-9_qnRjOa7wykm05o31f6oyvpgs9Tzw5HqUg5umJ8srb6C7jYTrny5LC1nE/s1600/MDA+BIM+1.png" imageanchor="1" style="clear: right; float: right; margin-bottom: 1em; margin-left: 1em;"><img border="0" height="239" src="https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEgt4CNNrG6GRWYLmFHWXVshnaBi23gieqsXXqEKfbzYXMfVR9zvZ7itMP47ID2CQixvt7SCkhcEjz8hCalxJ-9_qnRjOa7wykm05o31f6oyvpgs9Tzw5HqUg5umJ8srb6C7jYTrny5LC1nE/s320/MDA+BIM+1.png" width="320" /></a>There are numerous definitions of building information modelling (BIM), many of which relegate it to a software package or mere digital model creation. However, BIM is much more than this. It is a continuously evolving business process that enables the digital exploration of a building’s key physical and functional characteristics before, during and after construction. By consolidating information (data) about all aspects or components of a building in one place, critical information becomes accessible to all project participants.<br />
<b><br /></b>
<b>Debunking common BIM misconceptions</b><br />
<br />
Professional designers such as architects and engineers throughout the world commonly use BIM or parts thereof. For this reason it is often perceived as a design process as opposed to a management process. Where architects and engineers may differ at certain phases of a building’s lifecycle, BIM requires careful planning and a cohesive approach. It is in the <a href="http://mdaconstructionsite.blogspot.co.za/2013/12/true-construction-project-management.html" target="_blank">project management</a> arena therefore that BIM is most likely to have the most effective long-term impact.<br />
<b><br /></b>
<b>Reducing risk of errors</b><br />
<br />
As a shared resource, BIM ensures that participants work together and to the same exacting standards. This means that during a building’s design phase the risk of errors is reduced because clashes and challenges can be detected with a high degree accuracy. Through the simulation of potential problems, reliable solutions and decisions can be made to ensure better design integration and improved constructability.<br />
<b><br /></b>
<b>A new generation of tech-savvy project managers</b><br />
<br />
Unsurprisingly, the management of BIM projects is increasingly becoming the domain of a new generation of tech-savvy project managers. While the core principles of project management remain the same, the way these principles are applied and the speed at which they are implemented is astounding. This new breed of project managers innovate ways to yield the information (data) flow to the benefit of the entire professional construction team and, more importantly, to the benefit of the client.<br />
<b><br /></b>
<b>From line drawings to 3D BIM virtual walk-throughs</b><br />
<br />
Since the early days of two-dimensional (2D) line drawing plans and elevations, BIM has made significant advancements in various industries, including the built environment. South African consultants such as architects and engineers have been using 3D BIM software to perform high quality renderings of buildings and building walk-throughs for some time now.
Several models may be realised to represent the various construction project disciplines. Each of these can be assimilated to form a master model to identify if or where the models ‘clash’. Establishing clashes or discrepancies up front (clash detection) significantly improves the construction process resulting in fewer delays, design changes, material costs and reduces the risk of budget overruns.<br />
<b><br /></b>
<b>How 4D ‘time’ improves the planning and scheduling process</b><br />
<br />
While it includes all the capabilities of 3D, 4D BIM incorporates a ‘time’ dimension that provides an overview of the entire construction process. By linking the various 3D components of the construction project disciplines to a delivery timeline, planned construction sequences can be visually rendered, reviewed and resolved. This includes everything from on site space utilisation and materials approval, ordering and storage, to clearer workflow projections and progress reports. Even the most complex project planning and work schedules can be compressed without incurring additional risk.<br />
<b><br /></b>
<b>5D ‘cost’ and model-based estimating</b><br />
<br />
In addition to creating a model that clearly demonstrates how changes to the various components affect the appearance of a building, 5D BIM demonstrates the capabilities of 3D and 4D but with a more multi-dimensional ‘live’ application. All project elements can be seen and reviewed in order to compile a more precise project scope and cost. Any changes to the calculations of a building project will automatically reflect changes in cost calculations.<br />
<b><br /></b>
<b>6D simulation of operational and lifecycle costs</b><br />
<br />
By populating the building model with operational data and transferring the data into simulation software operational costs can be mapped out for the lifecycle of a building. Venturing beyond the construction process, when supplemented with operational data the information collected can be used to determine the benefit of energy efficient installations or installations with higher capital requirements. This will benefit the investment enormously in the long run.<br />
<b><br /></b>
<b>7D facility maintenance management</b><br />
<br />
7D modelling occurs when the building model is populated with detailed information on the various installed components. The information is used as a management tool that enables the extraction and tracking of data, which covers everything from general maintenance to optimisation of operational management systems.<br />
<b><br /></b>
<b>Towards a worldwide BIM standard</b><br />
<br />
In the last decade or so BIM has become the worldwide standard in engineering circles and increasingly in construction and project management. That said there are some who argue that the initial time to implement properly and the face value costs outweigh the value created from the combined efforts of people, building processes and technology. Cost is not a barrier to entry if one considers that in its most basic, entry-level form BIM allows for the kind of efficiency saving that significantly:<br />
<br />
• Reduces risk and uncertainty<br />
• Increases accuracy<br />
• Identifies inconsistencies (clash detection) and<br />
• Ensures on site operations are executed more effectively and more cost efficiently<br />
<br />
BIM also provides the added benefit of long-term maintenance and operating cost management long after the key handing over phase. As a result, the maintenance process can be meticulously mapped and financially planned for the duration of the building’s lifecycle.
<br />
<br />
<a href="http://mdaconstructionsite.blogspot.co.za/2016/07/how-bim-is-revolutionising-construction.html">Part 2 of 3</a><br />
<a href="http://mdaconstructionsite.blogspot.co.za/2016/10/how-bim-is-revolutionising-construction.html">Part 3 of 3</a><br />
<br />Unknownnoreply@blogger.com4tag:blogger.com,1999:blog-7200142739879609567.post-10720791800326297742014-08-01T12:14:00.001+02:002014-08-01T12:14:43.078+02:00The Essential Nature of Construction Project Scope Management<a href="https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEhlSsQeMz2RsaF7sGmmKU-sphdd1bNgpVFhbkUFTi4KOGtfFh6-c5ViTy48CSdyaE6NWbza0LOyUNsmxUvZjS8Q2iWiJPr00bxmyVhXs5H719BKfEptxj-sY7AzSkwFbRXgoASAtEyXv7FL/s1600/dreamstime_xs_40558513.jpg" imageanchor="1" style="clear: right; float: right; margin-bottom: 1em; margin-left: 1em;"><img border="0" src="https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEhlSsQeMz2RsaF7sGmmKU-sphdd1bNgpVFhbkUFTi4KOGtfFh6-c5ViTy48CSdyaE6NWbza0LOyUNsmxUvZjS8Q2iWiJPr00bxmyVhXs5H719BKfEptxj-sY7AzSkwFbRXgoASAtEyXv7FL/s1600/dreamstime_xs_40558513.jpg" height="288" width="320" /></a>How many times have you experienced or heard of construction project time and cost overruns or entire construction project failures? These can be attributed to a number of factors, but one of the leading reasons is the lack of a scope management plan (SMP).<br />
<br />
Scope management begins with scope definition, which refers to the client’s brief, essentially the client’s objectives or the desired end product. Once the scope definition of the project (or the client’s objectives) is down in writing, scope management planning can begin. Without a clear scope definition, proper scope management is virtually impossible.<br />
<br />
<b>The scope management plan</b><br />
<br />
The SMP is developed during the pre-construction conceptual phase and refined in the development phase. Scope must be developed to a point where a programme and a budget can be fixed to it. In other words, it clearly outlines the extent of the project, available budget, and times frames where three fundamentals must be agreed and signed off by the client:<br />
<br />
• Extent defined by drawings and specifications<br />
• A budget based on the drawings<br />
• A programme to identify the project time frame<br />
<br />
The agreed scope framework forms the construction project baseline against which all design, cost and programme objectives are measured.<br />
<b><br /></b>
<b>Determining and incorporating reasonable scope changes</b><br />
<br />
The scope management plan is critical to determine how recognisable scope changes will be identified and classified in relation to the signed off base documentation. It also determines whether or not the changes can be incorporated into the project scope and the process according to which this will occur. Without proper project scope management there is a very real risk of unforeseen cost escalations and overall programme implications, which could render the project unfeasible.<br />
<b><br /></b>
<b>Streamlining a construction project into manageable components</b><br />
<br />
Scope definition and clarification flows from the scope management plan and serves to improve cost accuracy and resource estimates by providing more insight into the project objectives. This is, in essence, a circular process as cost, design and programme are constantly reviewed against base documentation and there must be agreement reached, between those concerned for the changes, as defined by the scope management plan.<br />
<br />
Scope definition develops into the project work breakdown structure (WBS) and defines the design elements, outputs required, the different construction work packages, and project resourcing required. Work packages include and outline how the project will be procured and measured financially, and typically include: civil works, structural, architectural, mechanical, electrical and electronic components among others. Scope definition is critical to clarifying and explaining the construction project approach and how it will meet client needs.<br />
<b><br /></b>
<b>The importance of scope verification or approval</b><br />
<br />
This is the stage where the project as a whole or the various construction elements are accepted or rejected. On the surface, scope verification or sign off is fairly straightforward. However, it involves a meticulous review of the various elements of the construction work and the client’s acceptance or rejection thereof. Various on site inspections (sample sign offs) are carried out to measure, examine, test and confirm that the results meet the set baseline requirements.<br />
<b><br /></b>
<b>The inevitability of changing your scope</b><br />
<br />
In almost any successful project management undertaking, some change in scope must be anticipated. To this end, the scope management plan should include a clearly defined scope change control system to allow for cost, time and quality implications. Scope can change in various ways such as the addition or expansion of work packages, re-specification of product elements or changes to project performance requirements, among others. Scope change can only be agreed if the impact on cost, time schedules, quality measurement and possibly overall project objectives are fully understood and adjusted to fit within the parameters of the SMP.<br />
<b><br /></b>
<b>Partnering with the right project management team</b><br />
<br />
Project completion and sign off should bring together all the essential elements and close out the scope management plan. A review of successes and challenges should be initiated and discussed with the client at project close out to feed back into standard processes for refinement and adjustment where required.<br />
<br />
Effective scope control is a specialist project management function. It requires extensive project management experience, maturity and deft communication to ensure that everyone involved in the construction project understands the scope of it and agrees on how goals will be met. If managed professionally, scope control significantly increases the chances of successfully achieving the original project objectives.<br />
<br />Unknownnoreply@blogger.com8tag:blogger.com,1999:blog-7200142739879609567.post-65936441915194043752014-06-20T09:42:00.000+02:002016-08-01T14:56:22.084+02:00Corruption and Ethics in The Construction IndustryA conversation with Ian Taylor, Managing Director, MDA (Mitchell du Plessis Associates (Pty) Ltd<br />
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<b>It is often intimated that the construction industry is susceptible to ethical misconduct. Some references imply that the construction business is the most corrupt economy worldwide.</b><br />
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For the most part, the construction industry is, I believe, both an honest and ethical economic sector. However, it takes only a few bad apples to spoil the crop. Unfortunately, the construction sector, with its one off purchase (generally) of a project, rather than a production run scenario, is prone to misuse of the system. There is however an infinite number of ‘straight’ participants who get passed over unnoticed while the ‘rotten apples’, once found out, hog the headlines. Politics is perhaps the only ‘industry’ with a more unenviable reputation.<br />
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<b>How does the South African construction industry fare in terms of industry corruption and the effective management of ethics?</b><br />
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On the one hand South Africa is still in a state of flux. While our new democracy is 20 years old, there are some deep-seated mindsets that will take generations to overcome.<br />
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Now, more so than say 15 years ago, there is a shortening of the time horizon for business. This is because 15 years ago, with the prospect of a glowing future for South Africa there was less of a need for instant (short term) gratification. The future was to take care of that.<br />
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Currently, there is some uncertainty about the economic outlook for South Africa and concern that in a period as short as five years, the country’s economic landscape may be entirely different, so the ‘need’ for instant gratification has increased exponentially.<br />
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The good news is that ethical management is still in the majority. It must, at every opportunity, be instilled in the workforce that ethical behaviour is a non-negotiable requirement for employment in the construction industry.<br />
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In fact, the South African construction industry must be ruthless in its resolve to weed out any and all corrupt practices. It must recover ill-gotten gains for those who are out of pocket and convince the public, private clients and National bodies that project funding will be used for its intended purpose (the project) and not to feather the nests of those who are inclined, and are in a position, to redirect some of the funds. For this to be effective, reasonable and fair, fees and profit mark ups must be accepted.<br />
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<b>How does MDA deal with ethical dilemmas and conflicts of interest?</b><br />
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Projects are often high risk, high visibility ventures. The pressure to cheat, or at the very least to cut corners in the construction industry is high as well. The management style at MDA is such that a director is personally charged with overseeing the execution of any project ‘from cradle to grave’. That director, in turn, reports to his board where all decisions on possible conflicts of interest and ethics are taken. From the outset, we eliminate the possibility of a rouge manager getting away with any dishonest undertaking.<br />
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<b>What is/are the critical project management ethics issue/s currently impacting the construction industry in a South African context? How does one address this/these issue/s?</b><br />
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Undoubtedly, the biggest ethics issue currently under review in the South African construction industry is the purported, and at times acknowledged, collusion in the build-up to the FIFA World Cup 2010. The Competition Commissioner has levelled fines of various severity levels on the contractors involved in wrongdoing and, for the most part, these contractors have admitted guilt.<br />
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In my opinion, any further recourse against the contractors over and above the imposed fines will be futile. As it is the fines have not been directed at the actual guilty parties (certain management within these companies). In other words, in fining the companies and not the specific wrongdoers, profits available for distribution are reduced. This in turn, reduces profits available to shareholders who, although not involved in the collusion in the first place, are penalised anyway. A more appropriate approach is for legal charges to be brought against those individuals directly involved in any wrongdoing. The final outcome of this case is sub-judice (under judgement).<br />
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<b>Does MDA have a code of ethics and how does this tie in with your own personal code of ethics?</b><br />
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We often say that, “who you have on your project management team will determine your success” and we’ve been in business since 1979. MDA has a reputation for doing what is right and honourable and we have always made decisions, and taken appropriate actions, based on the best interests of society, public safety, and the environment. Yes, we have a code of ethics and we firmly uphold it and hold each other firmly accountable to it.<br />
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My personal journey in terms of work environment ethics started almost four decades ago when I was ‘encouraged’ to look away while a questionable undertaking was to be carried out on a construction site. I did not look away and the questionable undertaking never took place. Fortunately, I have never had any other ‘offers’ but my decision would be the same nevertheless.<br />
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I believe in negotiating hard but I never compromise on the honesty and integrity I expect of myself and of others. I always operate from this standpoint with regard to clients, professional team members and contractors. It gives people a reason to trust you. And if you achieve that, you have achieved success.
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<table align="center" cellpadding="0" cellspacing="0" class="tr-caption-container" style="margin-left: 1em; margin-right: 1em; text-align: right;"><tbody>
<tr><td style="text-align: center;"><a href="https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEimXpJiOeibHO0GVBloSdfZs7My5x74MW_I5lwv80enKGqM5ehWcB3aXU_SSeBl3FCOOFhRWJARMXPzqE2ezKqrYQRXaMgHCjTsnmdHQnfLE3GtwXlvJIbQfNhPW__DwJRw1Fzu56Mu-nE8/s1600/Ian+Taylor.jpg" imageanchor="1" style="clear: right; margin-bottom: 1em; margin-left: auto; margin-right: auto;"><img border="0" height="213" src="https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEimXpJiOeibHO0GVBloSdfZs7My5x74MW_I5lwv80enKGqM5ehWcB3aXU_SSeBl3FCOOFhRWJARMXPzqE2ezKqrYQRXaMgHCjTsnmdHQnfLE3GtwXlvJIbQfNhPW__DwJRw1Fzu56Mu-nE8/s1600/Ian+Taylor.jpg" width="320" /></a></td></tr>
<tr><td class="tr-caption" style="text-align: center;">Ian Taylor, Managing Director, MDA</td></tr>
</tbody></table>
Unknownnoreply@blogger.com2tag:blogger.com,1999:blog-7200142739879609567.post-27456098766044216102014-04-23T22:31:00.000+02:002014-04-23T22:31:10.058+02:003 Key Factors for Successful Construction Project ManagementEven with current economic challenges, high costs and budget cuts, clients still expect construction projects to be completed faster and at less cost. They expect all of this without compromising on quality and value. Critical factors such as identifying objectives, defining project scope, managing time, cost and quality, and factoring in project changes requires an experienced project manager with strong technical capabilities and decision-making effectiveness. It stands to reason then that one of the most important members of any construction team is the project manager.<br />
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<b>1 Pre-planning to optimise investment</b><br />
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<a href="https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEgtBiFowRBJYVL0ZcWiuwDzzk0BYXFuS-neMfk3uxWeJ4ZoLltjnmbwmRBNLAGM6tZQ0vBeSIM1i3rERK5HqJtRFLfboXcC1iP2wRFfVu9cql_-wz8zm0wu2T-dbF3_ek0of17_5Xnm7KHb/s1600/MDA.jpg" imageanchor="1" style="clear: right; float: right; margin-bottom: 1em; margin-left: 1em;"><img border="0" src="https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEgtBiFowRBJYVL0ZcWiuwDzzk0BYXFuS-neMfk3uxWeJ4ZoLltjnmbwmRBNLAGM6tZQ0vBeSIM1i3rERK5HqJtRFLfboXcC1iP2wRFfVu9cql_-wz8zm0wu2T-dbF3_ek0of17_5Xnm7KHb/s1600/MDA.jpg" height="213" width="320" /></a>Project management is much more than just managing the building process. It includes specific strategies and tools for initiating and managing construction delivery, from establishing objectives right until the last wall is painted. It’s all about managing expectations and thinking through ideas for improving building quality to actively reduce operational costs. Project management is also about understanding and integrating complete systems to control any changes to project scope, costs, time and schedules. Right from the outset, a good project manager must consider ways to optimise the client’s investment.<br />
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<b>2 Scope Management to limit risk</b><br />
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Project scope basically refers to the work required to achieve a client’s specifications and objectives. Right from the beginning comprehensive project scope management helps to define work tasks and other project requirements to achieve successful completion. It’s critically important therefore to establish clear and realistic goals upfront.
Scope management is directly related to managing change. While change is inevitable and sometimes desirable, project scope management helps to limit unnecessary changes that could negatively impact on the cost and programme of the construction project as a whole. It also helps to ensure beneficial changes are properly evaluated and assimilated with as little risk as possible.<br />
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<b>3 Continuous cost management for timely, cost-effective delivery</b><br />
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Cost management is not something that just happens at the beginning and end of a construction project. It is also not purely reliant on reports from Quantity Surveyors. Project costs should be continuously measured and analysed throughout a construction project. This includes everything from planning, programming, design, procurement and construction right until occupancy. Cost begins with realistic budgets based on actual estimates for related work. Comparing budgets to actual costs at every stage of the construction project process is vital particularly when it comes to change management. Proper cost management ensures the project is timely and cost-effective.<br />
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<b>Conclusion</b><br />
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With effective pre-planning, scope and cost management it is possible for an experienced project manager to predict with a fair degree of accuracy construction project outcomes. Without the application of comprehensive project management principles the outcome of any project remains unsure and the various parties involved in the project cannot be held accountable. This is evident in certain construction project failures. With all the current economic and construction industry challenges, professional project management is essential to improving construction industry performance.
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<br />Unknownnoreply@blogger.com4tag:blogger.com,1999:blog-7200142739879609567.post-54649397899420794772014-03-26T23:44:00.002+02:002014-03-26T23:44:36.805+02:00The Rise of Social Media in The Construction IndustryWhen we talk about social media, we talk in terms of LinkedIn, Twitter, Facebook, and the like. However, technically speaking social networking began with the click of a button in 1971 when the first email was sent.<br />
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Until fairly recently, the last 10 years or so, people logged on to the Internet to mainly search the web and send and receive emails. The very notion of “online community” was practically non-existent.
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Then came the social media revolution. Facebook was launched in 2004, and, while preceded by My Space and a couple of others, this is, arguably, when social media began to drastically change the way people communicate.<br />
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<b>Social media revolution</b><br />
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Initially viewed by many business professionals as a means to gossip and a waste of time, these naysayers have since begun to realise the value of social media. In fact, only now, are we beginning to properly understand how to use social media to create real business value.<br />
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More than 1.5 billion people have a social media account and the medium continues to change the way people live and work. Social media has quickly become a critical business tool with far-reaching capabilities partly because it’s fast, and relatively low cost.<br />
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Millions of professional people use social networks daily to build visibility, gain access to important business information, and to grow their bottom line. The majority of these professionals operate in the B2B arena.<br />
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<b>Construction too hands on for social media</b><br />
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While the construction industry has lagged behind somewhat in adapting to a digital age, many construction businesses and related professional companies are starting to take advantage of social media benefits.<br />
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Still, the old argument that social media is too hands on to be really successful in the construction industry comes up from time to time. Not to take anything away from the important role performed by every construction team member from the ground up, not everyone in the industry is mixing cement and carting wheelbarrows. There are an increasing number of respected industry professionals who actively engage on social media and with measurable business success.<br />
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<b>Not a random act of marketing</b><br />
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<a href="https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEjt8VWWs-5nYHv1wL7qRghpzMAfV1uHJvT4W8o73TFGho3xvHGMitp0fpnX7jWTxwgnZ5Rn02NmWxjNE1srmgdHjqRekt7cBmOcJm_2GaKyLQIKfxh7V6lqGgkde6Csg0FfykHaY8X-8F-A/s1600/MDA01.jpg" imageanchor="1" style="clear: right; float: right; margin-bottom: 1em; margin-left: 1em;"><img border="0" src="https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEjt8VWWs-5nYHv1wL7qRghpzMAfV1uHJvT4W8o73TFGho3xvHGMitp0fpnX7jWTxwgnZ5Rn02NmWxjNE1srmgdHjqRekt7cBmOcJm_2GaKyLQIKfxh7V6lqGgkde6Csg0FfykHaY8X-8F-A/s1600/MDA01.jpg" height="309" width="320" /></a>Time spent on traditional marketing communication platforms such as print, radio and television is on the decline. By contrast, time spent on social networks for business purposes is increasing. In spite of the gradual switch from traditional channels to social media, studies show that most construction industry professionals who engage on social media on behalf of their company still don’t have a social media strategy. Without a clear strategy, and it needn’t be complicated, it’s difficult to measure what works.<br />
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Before embarking on any kind of social media undertaking for business, it’s important to know where you want to go. Do some research to understand which social media platforms are likely to be best for your objectives and the market you’re trying to reach. Studies show that LinkedIn and Twitter are top B2B platforms and are the most effective in the Construction industry.<br />
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Regardless of the route you decide to take, the reality is that social media is no longer a question of whether it’s necessary for business but rather a question of how well it’s executed.
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<br />Unknownnoreply@blogger.com11tag:blogger.com,1999:blog-7200142739879609567.post-25506346658430081002014-03-12T19:41:00.000+02:002018-01-05T12:18:55.496+02:00The Economic Benefit of The South African Construction Industry in 2014 (Part 3 of 3)There are numerous challenges with which the construction industry is faced. If not adequately addressed these could have a serious negative impact on the future of the industry and South Africa in general. Each construction project is unique and has different key criteria that must be addressed and overcome in order for it to be considered a success.
One of the major issues hampering industry advancement is workforce training. Those that have been in the industry for a length of time have witnessed the gradual reduction in the skill level of all participants in the industry.<br />
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<b>Other challenges include:</b><br />
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• Failure of government to deliver on its infrastructure spending programme in a managed way<br />
• Changes in market sentiment, both locally and abroad<br />
• Availability of fast internet and cheap data storage<br />
• Failure of the industry to implement just and fair equity employment<br />
• Failure to implement sustainable building projects<br />
• Continued loss of skilled labour and graduates to competing and ‘less challenging’ industries<br />
• Global competition and its impact on the erosion of margins<br />
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<b>The way forward</b><br />
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At MDA, we believe future project managers in South Africa will be expected to deliver quality projects with less money and less resources. This will be compounded by a steady increase in professional competition. Still, we are confident that while the overall volume of work appears stagnant for the near future, there are sufficient projects, new and repeat business, for true project management providers.
In order to take advantage of the opportunities that will present themselves project management companies will need to continuously adapt processes. Part of this will include the provision of a solutions driven mindset to retain highest order confidence by the authorities and provide a value added service of international quality. By following these principles the local construction industry can begin to regain its pre 2010 World Cup image.<br />
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<b>Automation, innovation, infrastructure</b><br />
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<a href="https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEh3IwrsW5GSVj0cICZVzzaRJ3_CuEVp8cZZzx5w24c-NThuSELlT0Dth2eyhiUXwkM-7pjBBLw0qUJm15ybMd4rW9vXEy5eWDKNqymaYEZA7xXzpdq4-IsFKfW-WClka-cRFUqtmdu3TJcu/s1600/GOLD.jpg" imageanchor="1" style="clear: right; float: right; margin-bottom: 1em; margin-left: 1em;"><img border="0" height="317" src="https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEh3IwrsW5GSVj0cICZVzzaRJ3_CuEVp8cZZzx5w24c-NThuSELlT0Dth2eyhiUXwkM-7pjBBLw0qUJm15ybMd4rW9vXEy5eWDKNqymaYEZA7xXzpdq4-IsFKfW-WClka-cRFUqtmdu3TJcu/s1600/GOLD.jpg" width="320" /></a>One of the methods to achieve this is by process automation. This will significantly save costs by reducing time and effort wasted on activities that have little or no impact on project quality. Moreover, with the projected decrease in private investment in large-scale projects and a government focus on infrastructure, project management companies need to reassess their skill set. They also need to invest in training to equip managers for future developments both in South Africa and beyond our borders.
Without a doubt the construction industry and project management professionals in particular face difficult challenges in the next couple of years. Notwithstanding the serious challenges highlighted in<a href="https://mdaconstructionsite.blogspot.co.za/2014/01/the-economic-benefit-of-south-african_30.html" target="_blank"> Part 1</a> and <a href="https://mdaconstructionsite.blogspot.co.za/2014/02/the-economic-benefit-of-south-african.html" target="_blank">Part 2</a>, in a subdued economic environment, South Africa needs innovative thinking to pull up the country by the boot strings.
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<a href="http://mdaconstructionsite.blogspot.com/2014/01/the-economic-benefit-of-south-african_30.html" target="_blank">Part 1 of 3</a><br />
<a href="http://mdaconstructionsite.blogspot.com/2014/02/the-economic-benefit-of-south-african.html" target="_blank">Part 2 of 3</a><br />
<br />Unknownnoreply@blogger.com0tag:blogger.com,1999:blog-7200142739879609567.post-38590751823591690182014-02-19T21:05:00.000+02:002014-05-01T11:28:37.803+02:00The Economic Benefit of The South African Construction Industry in 2014 (Part 2 of 3)Investment growth in the construction industry, particularly if the NDP is poorly managed, is expected to remain muted. Growth is expected to moderate from an estimated 3,2% in 2013, and 1,9% in 2013 to a probable improvement between 3% and 4% in the next couple of years. This projected improvement is supported mainly by an encouraging recovery in the property and commercial markets.
By contrast, investment growth in the civil sector is highly sensitive to government spending and, based on the 2013/2014 budget, is not expected to increase in real terms.<br />
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<b>Opportunities for medium sized contractors</b><br />
<br />
<a href="https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEjNw9NAzytNyKhAZRBOhwdvxMGeX19g3DfF2g23VaXn8GnoWe16tuLsyhvWyg3o4DrJHNmcfN6KNsWwIuK0aJadYncw0S81J-mNpq_E_mWknNTuR_Xx-VZY5roGVDwZToI2x0S_Qqyfm4KR/s1600/MDA.jpg" imageanchor="1" style="clear: right; float: right; margin-bottom: 1em; margin-left: 1em;"><img border="0" src="https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEjNw9NAzytNyKhAZRBOhwdvxMGeX19g3DfF2g23VaXn8GnoWe16tuLsyhvWyg3o4DrJHNmcfN6KNsWwIuK0aJadYncw0S81J-mNpq_E_mWknNTuR_Xx-VZY5roGVDwZToI2x0S_Qqyfm4KR/s1600/MDA.jpg" height="213" width="320" /></a>According to <a href="http://www.databuild.co.za/index.php/trends/" target="_blank">Databuild</a> reduced demand in the mining sector will dampen private sector investment in civil works. However, while the larger contractors are seeking opportunities in Africa and elsewhere, medium sized contractors will be ideally placed to maximize domestic opportunities. The one area of major works where a highly skilled workforce will be required is in the proposed nuclear power station rollout. If Government is fully prepared, the project should commence in 2014.<br />
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<b>Sector recovery and Government expenditure</b><br />
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The RMB/Morgan Stanley report of January 2013 also predicts no real growth in the construction sector for 2014. However, the report indicates an expected increase in fixed investment in 2015 driven by Eskom, Transnet and SANRAL projects. They are also firm in their view that sector recovery is heavily reliant on government infrastructure expenditure.
On a more positive note, the RMB/Stanley report of February 2013 suggests that required government expenditure would be driven by supply and demand imbalances. The poor provision of electricity and water in particular has become a critical issue for Government.<br />
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<b>Construction industry’s current employment contribution</b><br />
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In spite of the challenges, the construction industry’s economic contribution to GDP stands at 8,7% for 2013, with the same 8,7% forecast for 2014. According to <a href="http://www.industryinsight.co.za/news_article.htm?contentID=261" target="_blank">Industry Insight</a>, there were approximately 483 651 people employed in the South African construction industry in 2011. Of these, 35% were employed in civil works. At present, construction contributes a significant 8% of total employment across all work sectors countrywide.<br />
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<b>More significant opportunities for job creation</b><br />
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What’s more, since this sector will require goods and services from other sectors, another 1 397 jobs could be created. The direct, overall impact means a possible 3 377 jobs with another 1 590 jobs indirectly supported; the affected sectors supplying the building and construction sector will have to increase their outputs.
With this in mind, and considering the planned R3,2 trillion allocated for future investment in the South African building and construction sector, there are potentially even more significant opportunities for job creation. Translated, this means future Government expenditure of almost 30% of GDP by 2030.<br />
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<a href="http://www.mdaconstructionsite.blogspot.com/2014/01/the-economic-benefit-of-south-african_30.html" target="_blank">Part 1 of 3</a><br />
<br />Unknownnoreply@blogger.com3tag:blogger.com,1999:blog-7200142739879609567.post-91502794165753070472014-01-30T22:40:00.000+02:002014-05-01T11:23:08.365+02:00The Economic Benefit of The South African Construction Industry in 2014 (Part 1 of 3)Over the last 34 years <u><a href="http://www.mdaprojects.co.za/" target="_blank">Mitchell du Plessis Projects</a></u> (MDA) has experienced various highs and lows in the overall economy of the country. There have been dramatic improvements in the political stability of the country. This has led to a multiracial economic elite and sustainable black middle class has developed.<br />
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<b>At the forefront of economic activity</b><br />
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However, the base out of which this living standard has evolved has not been matched by improvements in the core values required to sustain development. For example, construction labour training from unskilled to artisan has all but ceased. Consequently, when economic conditions improve, the construction industry will be unable to take advantage of the upswing and deliver. This is significant given that construction counts for approximately 8% of GDP.<br />
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<b>Economic outlook remains sensitive</b><br />
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<a href="https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEhmjHhFFPLiEKHhuyIPH-sJfgg8w-1M6fi6VDkputxyMP60BXnkG1sr4zmjIGqEFnDchYLFlZsmXGY0CZpyFc30BPA3bYhh1IWwjEK1yLDoxUZehGQm6tsXJvohrDj8Lh5Fjk7SafBaszzV/s1600/MDA.jpg" imageanchor="1" style="clear: right; float: right; margin-bottom: 1em; margin-left: 1em;"><img border="0" src="https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEhmjHhFFPLiEKHhuyIPH-sJfgg8w-1M6fi6VDkputxyMP60BXnkG1sr4zmjIGqEFnDchYLFlZsmXGY0CZpyFc30BPA3bYhh1IWwjEK1yLDoxUZehGQm6tsXJvohrDj8Lh5Fjk7SafBaszzV/s1600/MDA.jpg" height="212" width="320" /></a>According to <u><a href="http://www.databuild.co.za/index.php/trends/" target="_blank">Databuild</a></u>, the economic outlook for the South African economy remains sensitive to various factors. This sentiment follows a further downward revision in the 2013 GDP forecast by both the South African Reserve Bank and the International Monetary Fund (IMF). The South African economy is expected to have grown by between 2% and 2,4% in 2013, insufficient to make a meaningful contribution to the overall economy.
The risk of a further downgrade in the country’s sovereign debt rating has also increased. As a result, lower than expected economic growth will have a negative impact on the current account deficit.
On a positive note, a general improvement in world economic activities and improved retail sales performances in the latter part of 2013 should stimulate development. This, in turn, will give rise to construction activity.<br />
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<b>Investor and business confidence</b><br />
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Moreover, protests related to poor service delivery impact negatively on investor and business confidence, locally and internationally. Also, the upcoming general election in April could further restrain development opportunities, at least until there is greater ongoing political certainty in terms of economic direction.<br />
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<b>The impact of increased Government expenditure</b><br />
<br />
The proposed increase in Government expenditure as a result of the National Development Plan (NDP) will, once the rollout system has been put in place, provide a meaningful improvement in the flow of work through the professions and construction related concerns. However, there are a number of issues that will need to be addressed first, such as securing funds through external borrowings or increased taxes, neither of which is palatable. And what of the up skilling of labour to undertake the work, the provision of sufficient resources at reasonable rates, to name a few?<br />
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<b>Accountability at national level</b><br />
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From the issues above, there are a number of key elements that must be addressed at a national level before grandiose plans will benefit the industry workforce. This also applies to the general population as a whole. Government has an extremely poor record in terms of ‘getting things done’. This is where the professions can provide the assistance needed to reinvigorate the economy.
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<a href="http://mdaconstructionsite.blogspot.com/2014/02/the-economic-benefit-of-south-african.html" target="_blank">Part 2 of 3</a><br />
<a href="http://mdaconstructionsite.blogspot.com/2014/03/the-economic-benefit-of-south-african.html" target="_blank">Part 3 of 3</a><br />
<br />Unknownnoreply@blogger.com0tag:blogger.com,1999:blog-7200142739879609567.post-36223384812201095132013-12-25T19:44:00.000+02:002013-12-25T19:50:34.184+02:00Witty Construction Project Manager’s LamentFor those in the construction industry and the broader built environment, the end of the year is a time to reflect on the year’s achievements and challenges. Mitchell du Plessis Projects (MDA) is no different. Now in our end of year shut down we thought we’d share with you a witty take on project management. This poem was penned by recently retired Deputy City Manager of the City of Cape Town, Mike Marsden.<br />
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<b>Project Manager’s Lament</b><br />
<br />
Persuasion of the powers that be<br />
is met with incredible relief<br />
that the project need has been accepted<br />
with the issue of the brief.<br />
<br />
Approval of the project is followed by despair.<br />
First choice colleagues from the cream<br />
are suddenly found to be<br />
unavailable for inclusion in the team.<br />
<br />
Enthusiasm for the project
takes a sudden plunge<br />
as it is decided that the project team<br />
will have to find the funds.<br />
<br />
The project team is under stress<br />
as the politicians examine the deadline<br />
for completion of the project<br />
and decide to halve the time.<br />
<br />
The projects done and dusted.<br />
Audit will investigate the very roots<br />
to identify the guilty and<br />
the settling of disputes.<br />
<br />
The team has come through thick and thin;<br />
have grown as family, fit and lean,<br />
overcome all problems, delivered as required<br />
but now it falls to me to disband the team.<br />
<br />
Undaunted project managers<br />
brimming with professional thirst<br />
await their new assignments.<br />
For next verse please revert to first.
<br />
<br />
<br />
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<tr><td style="text-align: center;"><a href="https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEh5IE9uRH_fQO0Hi2DLpoGHFmzLvSMfNUDE_ZYFk0-0ytu57GEm-Txc3Gl_RfBgTIq2cto_i96GR08Zqw-p3IEjB9BF7Q-s0BTxPUGy3uVBDQ-Lthu2cPE4_YTjIgl3DQrPGrzM6q6sUJTR/s1600/dreamstime_xs_2508908.jpg" imageanchor="1" style="clear: right; margin-bottom: 1em; margin-left: auto; margin-right: auto;"><img border="0" height="427" src="https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEh5IE9uRH_fQO0Hi2DLpoGHFmzLvSMfNUDE_ZYFk0-0ytu57GEm-Txc3Gl_RfBgTIq2cto_i96GR08Zqw-p3IEjB9BF7Q-s0BTxPUGy3uVBDQ-Lthu2cPE4_YTjIgl3DQrPGrzM6q6sUJTR/s640/dreamstime_xs_2508908.jpg" width="640" /></a></td></tr>
<tr><td class="tr-caption" style="text-align: center;">Cape Town Waterfront</td></tr>
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<br />Unknownnoreply@blogger.com52tag:blogger.com,1999:blog-7200142739879609567.post-81797372812114431952013-12-04T10:19:00.001+02:002013-12-04T10:19:16.931+02:00True Construction Project Management and How To Tell The DifferenceIn recessionary times successfully managing a construction project from concept to completion becomes even more complex. Yet, there is an alarming tendency to want to absorb the project management role into other construction disciplines. This means that the architect, quantity surveyor or one of the engineering disciplines takes on the additional role at a marginal or zero cost.
However, cutting project management fees is shortsighted and not financially viable in the longer term. In fact, as project viabilities become more marginal, the need for independent leadership becomes even more acute. In particular, larger more complex projects with tighter profit margins demand an elevated level of objectivity and independence to control and manage project variables.<br />
<b><br /></b>
<b>Why you need a dedicate project management service provider</b><br />
<br />
Competitive tendering, the mindless ‘chase to the bottom’, threatens financial viability, quality, safety, efficiency and overall project sustainability. Now more than ever, consultants are expected to work within tighter budgets but according to the same quality standards, timeframes and end results. As such, professional and independent project management is key to achieving the right balance between conceptual idealism and implementation realities. In fact, it should be the first ingredient in the makeup of your professional team.<br />
<b><br /></b>
<b>Selecting the right project management team</b><br />
<br />
From the start your project manager should have relevant demonstrable experience, having worked on similar or more complex projects. Scale too is important. Make certain you select someone that projects the authority, overall team sensitivity, and financial responsibility you require. You also need someone with the appropriate expertise and resources for your particular project size and scale requirements.<br />
<b></b><br /><b></b>
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<tr><td style="text-align: center;"><a href="https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEig2p-MJfxahK0geZi8ECWlHPVWtBplzXkD7p5Vb0MCwHri0iUpKjASsKTCbUBfaONxOd9gXrTzJ3JVTB5Vo_jHZqKNtBGM4GP4vrQ2lqh9oFsawa5FpJqUFVLXD3LikzWbyPCRXJAotFBg/s1600/Group+Pic+(1).JPG" imageanchor="1" style="margin-left: auto; margin-right: auto;"><img border="0" height="240" src="https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEig2p-MJfxahK0geZi8ECWlHPVWtBplzXkD7p5Vb0MCwHri0iUpKjASsKTCbUBfaONxOd9gXrTzJ3JVTB5Vo_jHZqKNtBGM4GP4vrQ2lqh9oFsawa5FpJqUFVLXD3LikzWbyPCRXJAotFBg/s320/Group+Pic+(1).JPG" width="320" /></a></td></tr>
<tr><td class="tr-caption" style="text-align: center;">Part of the MDA Projects Team</td></tr>
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<b>Alarming rate of building collapses in South Africa</b><br />
<br />
This year alone several buildings collapsed in South Africa. In most cases unprofessional contractor management was sited. The most recent case in Tongaat resulted in two deaths and injury to 30 other people who were trapped in the rubble. While not directly related to the issue of dedicated project management it does highlight the serious consequences of cutting critical steps in the construction process. This is a prime example of how professional and independent project management could have prevented the tragedy from happening.<br />
<b><br /></b>
<b>Anticipating potential problems</b><br />
<br />
A reputable project manager anticipates worst case scenarios and puts processes in place to help mitigate risk. But risk control is more than a system of checks and balances. It is also about procuring the right people and credibly managing multi-disciplinary teams. Not having a credible project management service provider results in unnecessary waste, escalated costs, unforeseen delays, and even loss of life. The entire question of procuring professional services by competitive tendering and confusing quality and functional ability with price needs serious review.
<br />
<br />Unknownnoreply@blogger.com1