1. PROJECT MANAGEMENT & BUSINESS PLANNING PROCESS
027
PROJECT MANAGEMENT & BUSINESS PLANNING PROCESS
Dr f Dejahang (BSc CEng, BSc (Hons) Construction Mgmt, MSc, MCIOB, PhD)

2. PROJECT MANAGEMENT BUSINESS PLANNING PROCESS
Building and civil engineering projects carry uncertainty and risk.
Organisations under take RISK when they need to achieve their business objectives more effectively.
Expand ONLY when the potential benefits out weight the risk involved.

3. PROJECT MANAGEMENT BUSINESS PLANNING PROCESS
All projects should therefore arise from a need to fulfil two main factors such as:
Specific Strategic Objectives
Achieve competitive advantages

4. PROJECT MANAGEMENT BUSINESS PLANNING PROCESS
The business planning process has
four essential steps:
Remember ‘MOST’
Mission Statement
States the reason for the organisations existence;
Initiates the business planning process;

5. PROJECT MANAGEMENT BUSINESS PLANNING PROCESS
Objectives are:
The position;
In quantities terms;
In qualitative terms;
that the organisation wishes to reach;
Must be in a stated period of time.

6. PROJECT MANAGEMENT BUSINESS PLANNING PROCESS
Strategies to consider:
Design to achieve the objectives such as:
A set of budgets
Clear goals
Achievable targets
Statement for needs.

7. PROJECT MANAGEMENT BUSINESS PLANNING PROCESS
Covering all aspects of the business
such as:
People
Premises
Organisations
Capital
Cash.

8. PROJECT MANAGEMENT BUSINESS PLANNING PROCESS
Tactical plans
Individual plans to achieve items such as:
Defined goal
Operations and Projects
The plan describes how the organisation will
achieve each element of the strategic plan.

9. Tactical plans Defined goal Operations and Projects1
Defined goal 2
Operations and Projects 3
Achieve each element of the strategic plan

10. PROJECT MANAGEMENT BUSINESS PLANNING PROCESS

11. PROJECT MANAGEMENT BUSINESS PLANNING PROCESS
Another way to look at Business plan
Remember ‘COST’
C Commitment by all concerned to the project
O Objectives being clear to all-Scope and Mission
S Strategy to meet the objectives-Milestone Plan
T Tactical-activities found necessary to achieve to each milestone and solve Problems

14. P7

15. FUNCTION OF PROJECT MANAGEMENT
The basic Management Principles described by Henri Fayol are:
To plan
To organise
To co-ordinate
To control
To lead

16. FUNCTION OF PROJECT MANAGEMENT
To lead
To control
To co-ordinate
To organise
To plan

17. FUNCTION OF PROJECT MANAGEMENT
The function of Project Management
in more detail are:
To establish the clients objectives and priorities issues such as:
brief formulation;
client organisation;
approval powers.

18. FUNCTION OF PROJECT MANAGEMENT
Design Project Organisation
Such as:
organisation chart;
decision point;
Relationships;
feed back.

19. FUNCTION OF PROJECT MANAGEMENT
Integrate Client into the project
client organisation integrated into project organisation;
people responsibilities;
decision processes.

20. FUNCTION OF PROJECT MANAGEMENT
Selection and appointment of
Contributors
identify contributors;
identify input required;
identify when input required and duration;
record types of appointment.

21. FUNCTION OF PROJECT MANAGEMENT
Full brief formulation process
Establish need, budget, cost plan, cost limit, procurement route.
Start value engineering.
Programme formulation.
The overall project programme.

22. FUNCTION OF PROJECT MANAGEMENT
The phase or stage programme
The design programme.
The procurement programme.
The construction programme.
The commissioning programme.

23. FUNCTION OF PROJECT MANAGEMENT
Activation of the relationships between contributors
Ensure contributors are brought in and integrated into the project organisation.
Ensure contributors can perform as required.

24. FUNCTION OF PROJECT MANAGEMENT
Establish appropriate information and communication structure by:
establishing a full project procedures manual containing;
description of formal communication cannel;

25. FUNCTION OF PROJECT MANAGEMENT
change requests and instructions;
drawings framework;
co-ordination project information system;
Address index of all contributors.

26. FUNCTION OF PROJECT MANAGEMENT
Convening and chairing meetings of
contributors at all stages such as:
Judging the need and frequency;
Who needs to attend;
Agenda setting;
Minutes and action.

27. FUNCTION OF PROJECT MANAGEMENT
Monitoring and controlling
Pro-active role;
Obtaining feedback and under taking analysis;
Testing outcomes to objectives and taking corrective action;
Forecasting;
Integrating and controlling contributors.

28. FUNCTION OF PROJECT MANAGEMENT
Managing completion
Commissioning programme;
Training of user;
As built drawings-user maintenance manuals;
Strategy for occupation or disposal.
Evaluation of outcomes
Success in achieving objectives;
The final feedback loop;

29. FUNCTION OF PROJECT MANAGEMENT
SYSTEMATIC APPROACH TO ANY
PROJECT
Royal Institute of British Architects (RIBA PLAN OF WORK)

30. TACTICAL PLANS

31. RIBA PLAN OF WORK Appraisal
Carry out studies to determine the feasibility of the Client's requirement.
2A Review with client alternative design and construction approaches and the cost Implications.
2B Provide information for report on cost implications.

32. RIBA PLAN OF WORK B Strategic Brief
Receive strategic brief prepared by the client.
C Outline Proposals
1 Commence development of Strategic Brief into Project Brief
2 Prepare Outline Proposal
3A Provide an approximation of construction costs. OR
3B Provide information for cost planning.

33. RIBA PLAN OF WORK
4 Obtain Client approval to Outline Proposals and approximate construction cost.
5 Co-operate with Planning Supervisor where applicable.

34. RIBA PLAN OF WORK D Detailed Proposals
1 Complete developments of Project Brief.
2 Develop the Detailed Proposal from
approved Outline Proposals.
3A Prepare a cost estimate. OR
3B Provide information for preparation of
cost estimate.
4 Consult statutory authorities.

35. RIBA PLAN OF WORK
5 Obtain Client approval to the Detailed Proposal showing spatial arrangements, material and appearance, and a cost estimate.
6 Prepare and submit application for full planning permission.

36. RIBA PLAN OF WORK E Final Proposals
1 Design Final Proposals from approved Detailed Proposals.
2A Revise cost estimate.
2B Provide information for revision of cost estimate.
3 Consult statutory authorities on developed design proposals.

37. RIBA PLAN OF WORK
4 Obtain Client approval to type of construction, quality of materials, standard of workmanship and revised cost estimate.
5 Advise on consequences of any subsequent changes on cost and programme.

38. RIBA PLAN OF WORK F Production Information
1 Prepare production information for tender purposes.
2A Prepare schedules of rates and/or quantities and/or schedules of works for tendering purposes and revise cost estimate. OR

39. RIBA PLAN OF WORK
2B Provide information for preparation of tender pricing documents and revision of cost estimate.
3A Prepare and make submissions under building acts and/or regulations for other statutory requirements. OR
3B Prepare and give building notice under building acts and/or regulations (not applicable in Scotland).

40. RIBA PLAN OF WORK
4 Prepare further production information for construction purposes.
G Tender documents
Prepare and collate tender documents in sufficient detail to enable a tender or tenders to be obtained.
Where applicable pass final information to Planning Supervisor for pre-tender Health and Safety Plan.

41. RIBA PLAN OF WORK 3A Prepare pre-tender costs. OR
3B Provide information for preparation of pre-tender cost estimate
H Tender Action
1 Contribute to appraisal and report on
tenders negotiations.
2 If instructed revise production information to meet adjustments in the tender sum.

42. RIBA PLAN OF WORK J Mobilisation
1 Provide production information as requested for the building contract and for construction.
K Construction to Practical Completion
1 Make visits to the works in connection with the Architect's design.

43. RIBA PLAN OF WORK
2 Provide further information reasonable required for construction.
3 Review design information from contractors or specialists.
4 Provide drawings showing the building and main lines of drainage and other I information for the Health and Safety File.

44. RIBA PLAN OF WORK
5 Give general advice on operation and maintenance of the building.
L After Practical Completion.
1 Identify defects and make final inspections.
2A Settle Final Account. OR
2B Provide information required by others for settling final account.