CHAPTER 1

INTRODUCTION 0
PROJECT SELECTION 0
RELEVANCE 0
HISTORICAL BACKGROUND OF A NULDING CONSTRUCTION 0
BRIEF BACKGROUND INFORMATION 0

CHAPTER 2
RESEARCH METHODOLOGY 0
AIM AND OBJECTIVES 0
SCOPE OF THE STUDY 0
LIMITATIONS OF STUDY 0
SELECTION OF THE PROBLEM 0
CONSTRUCTION TOOLS 0
COMMON CONSTRUCTION EQUIPMENT 0
EARTH MOVING MACHINES 0
TRANSPORTING EQUIPEMENT 0
CONCRETUING EQUIPMENT 0

CHAPTER 3
LITERATURE REVIEW 0
INTRODUCTION 0
EMPLOYEE TRAINING 0
BENEFITS OF TRAINING 0
TRAINING AND DEVELOPMENT METHOD 0

CHAPTER 4
DATA ANALYSIS 0
STRATEGIC PLANNING AND PROJECT PROGRAMMING 0
INTERPERSONAL BEHAVIOR IN PROJECT ORGANIZATION 0
PERCEPTIONS OF OWNERS AND CONTRACTORS 0
INVEST IN EMPLOYEES INCREASE RETENTION 0
APPRENTICESHIP 0
CHAPTER 5
CONCLUSION 0
PROFESSIONAL CONSTRUCTION MANAGEMENT 0
IMPROVEMENT MEASURES AND FUTURE RESEARCH GUIDELINES 0
REFERENCES 0
Chapter 1
 Introduction
Project-based on construction sites is a delicate type of projects which
includes proper designing of worksite their architecture and labour
required. Selection of proper land required is a very important task
which is the foundation of the project. In this chapter, we will know
about various aspects of the project which includes a selection and
relevance of the problem, historical background of the problem brief
profile of the study area, the definition of related aspects,
characteristics, different concepts about problems.

Training is a prime opportunity for any business to enhance their

employee’s knowledge, skills as well as team morale. Unfortunately,
training in many cases is overlooked and pushed to the side as it is not
viewed as an obvious ‘money making initiative.’ However, at Esteem
we strongly believe that training and development programmes are
fruitful to both employers and employees.

Employee training tries to improve skills, or add to the existing level

of knowledge so that employee is better equipped to do his present
job, or to prepare him for a higher position with increased
responsibilities. However individual growth is not and ends in itself.
Organizational growth needs to be measured along with individual
growth, Training refers to the teaching or learning activities done for
the primary purpose of helping members of an organization to acquire
and apply the knowledge skills, abilities, and attitude needed by that
organization to acquire and apply the same. Broadly speaking training
is the act of increasing the knowledge and skill of an employee for
doing a particular job.
1.1 PROJECT SELECTION: -
Project Selection is a process to assess each project idea and select the
project with the highest priority. Project selection methods have a
vital role during project initiating phase. In fact, during, ng the project
selection processes a project manager rarely has any involvement.
However, knowing the essentials of various project selection criteria
adds value to the overall project execution. Moreover, those aspiring
for the project management professional certification examination
need to know the basics of project selection methodologies.

1.2 RELEVANCE: -
The relevance of a project describes how efficient the outcome of the
project is expected to be concerning a given goal, to be specified by
the evaluation or by the project being submitted. A project proposal is
a document that describes a proposed project and its purpose,
outcomes, and the steps that will be taken to complete the project. Not
to be confused with a project contract, which is the formal agreement
between two parties to complete a project, a project proposal’s
purpose is to communicate how a company, team, or individual plan
to approach a project.

In this visit, I have learned how a construction site is built for a

project and what all the problems we need to encounter while a
project is running
HISTORICAL BACKGROUND OF A BUILDING
CONSTRUCTION

Fig 1.1

The history of construction consists of one innovation after another,

and brick by brick we have arrived at the industry we know today.
Ancient construction around the world
Exactly what constitutes as “construction” throughout history can be
murky. Can we consider pit-houses construction? What about grass
shelters?
One thing is for certain: building activities are as old as humans
themselves.

Construction during primitive times consisted of mud huts and stone

monoliths such as Stonehenge. The tools of the trade included animal
bones, copper plates, and axes. This activity eventually leads to proto-
cities — putting an end to pastoral life and paving the way to society
as we know it.

Over time, humans refined their construction practices and started

building more permanent structures. Historians believe what we know
as traditional construction began to take shape in Ancient Egypt and
Mesopotamia. As humans abandoned nomadic life, these societies
built permanent shelters. The Egyptian Pyramids are some of the first
examples of large-scale, permanent structures.

As the population grew and urbanization took over, construction

quickly became a staple of civilization. Although this type of
construction is a far cry from buildings we see today, this type of
activity laid the foundation for contemporary construction
 Fig 1.2
In India, our history creates a great impact on shaping our future. The
ancient technologies adopted by our very own ancestors is extremely
iconic. During the early times, there was an ecological balance
maintained amongst the human and natural environment. They
believed in amalgamating the nature with the building to create a
picturesque scenario so did not harm the natural beauty of the
environment. India at present boasts about 3650 approximately
renowned ancient heritage structures and sites of national importance.
Highlighted here is a regional study of the ancient construction
techniques of Bengal and its undiscovered historical beauty.

India has been recognized worldwide for its variant culture and its
contribution to the same. If every heritage structure is taken in
account, a common factor that seems to be distinctive is its
construction technique and structural stability which ensures its
existence even till date despite witnessing calamities, manmade
disasters and negligence. This promotes and renders to the rich
cultural heritage of our country. Divided into its various architectural
types and styles, every structure has its individuality and speciality.
Not sure if it is the contribution of the English or our very own Aryan
ancestors in the field of architecture, these places do come up with
innumerable unique techniques which are still being discovered.
While some structures are under the protection of World Heritage
Commission, Archaeological Survey of India or State Heritage
Commission, there is also a shocking existence of more than 1 lakh
structures, precincts and sites which are still unidentified and
unprotected. Highlighting a particular region and its architectural style
which was known for its simplicity and grandeur using locally
available material.
 1.3 BRIEF BACKGROUND INFORMATION

The performance of the construction industry has a major influence

on the economic, infrastructure, agricultural and technological
development of a country. Construction is increasingly becoming
highly technical and sophisticated with high standard of quality and
specification. These coupled with clients demand for value-for-money
requires the efficient employment of equipment which can largely
improve productivity in the construction industry. The general aim of
every construction is to produce a structure that can provide the
required functions at the most reasonable cost, within a given time
frame and at the required level of quality. Mechanization is one of the
ways by which these could be achieved. The fast-developing
construction industry now heavily depends on equipment to achieve
the high demands of quality project delivery.

Equipment implies the machinery, tools (other than craftsmen’s

personal tools) used in the contractor’s yard, workshop or site.
Generally, equipment are introduced to contracts to increase the rate
of output, reduce overall building cost, achieve high output standards
often required by present day designs and specifications, eliminate
heavy manual work thus reducing fatigue and carry out activities
which cannot be done manually or do them more economically.

The introduction of equipment to a contract does not however

necessarily result in economic savings unless the contract work is so
organized that machines are fully utilized or operate for continuous
periods at full capacity that is about 85% of its on-site time, their use
will not be economical. To be economic, equipment must be fully
utilized and not left standing idle since equipment, whether hired or
owned, will have to be paid for even if it is non-productive.
Heavy equipment will be needed for excavation, haulage, lifting and
transportation of materials and people during the construction of a
project in order to meet all the client’s specifications. Contractors
stand to gain from the use of equipment in the form of increased
output per employee, increased productivity from equipment leading
to overall profits.

Unfortunately, performance of construction firms in the industry has

been affected by several constraints with lack of access to finance
arguably the most critical of these constraints. At least, it prevents
contractors from procuring all necessary resources for their
construction works including equipment.

It is against this background that this investigation has been

conducted to find the equipment acquisition methods being used by
Ghanaian contractors as well as the problems the contractors
encounter when acquiring equipment for their construction.
 1.4 ORGANIZATION OF PROJECT

The top management of the owner sets the overall policy and
selects the appropriate organization to take charge of a proposed
project. Its policy will dictate how the project life cycle is divided
among organizations and which professionals should be engaged.
Decisions by the top management of the owner will also influence
the organization to be adopted for project management. In general,
there are many ways to decompose a project into stages. The most
typical ways are:

Sequential processing whereby the project is divided into separate

stages and each stage is carried out successively in sequence.
Parallel processing whereby the project is divided into independent
parts such that all stages are carried out simultaneously.
Staggered processing whereby the stages may be overlapping, such
as the use of phased design-construct procedures for fast-track
operation.
It should be pointed out that some decompositions may work out
better than others, depending on the circumstances. In any case, the
prevalence of decomposition makes the subsequent integration
particularly important. The critical issues involved in organization
for project management are:

How many organizations are involved?

What are the relationships among the organizations?
When are the various organizations brought into the project?
There are two basic approaches to organize for project
implementation, even though many variations may exist as a result
of different contractual relationships adopted by the owner and
builder. These basic approaches are divided along the following
lines:
Separation of organizations. Numerous organizations serve as
consultants or contractors to the owner, with different organizations
handling design and construction functions. Typical examples
which involve different degrees of separation are:
Traditional sequence of design and construction
Professional construction management
Integration of organizations. A single or joint venture consisting of
a number of organizations with a single command undertakes both
design and construction functions. Two extremes may be cited as
examples:
Owner-builder operation in which all work will be handled in house
by force account.
Turnkey operation in which all work is contracted to a vendor
which is responsible for delivering the completed project
Since construction projects may be managed by a spectrum of
participants in a variety of combinations, the organization for the
management of such projects may vary from case to case. On one
extreme, each project may be staffed by existing personnel in the
functional divisions of the organization on an ad-hoc basis as until
the project is completed. This arrangement is referred to as the
matrix organization as each project manager must negotiate all
resources for the project from the existing organizational
framework. On the other hand, the organization may consist of a
small central functional staff for the exclusive purpose of
supporting various projects, each of which has its functional
divisions. This decentralized set-up is referred to as the project-
oriented organization as each project manager has autonomy in
managing the project. There are many variations of management
style between these two extremes, depending on the objectives of
the organization and the nature of the construction project. For
example, a large chemical company with in-house staff for
planning, design and construction of facilities for new product lines
will naturally adopt the matrix organization. On the other hand, a
construction company whose existence depends entirely on the
management of certain types of construction projects may find the
project-oriented organization particularly attractive. While
organizations may differ, the same basic principles of management
structure are applicable to most situations.
Chapter 2
 2.1 RESEARCH METHODOLOGY

Every project work is based on certain methodology, which is a way

to systematically solve the problem or attain its objectives. It is a very
important guideline and lead to completion of any project work
through observation, data collection and data analysis. According to
Clifford Woody, “Research Methodology comprises of defining &
redefining problems, collecting, organizing &evaluating data, making
deductions &researching to conclusions.

Accordingly, the methodology used in the project is as follows: -

 Defining the objectives of the study.

 Framing of questionnaire keeping objectives in mind.

(considering the objectives)

 Feedback from the employees.

 Analysis of feedback.

 Conclusion, findings and suggestions.

The general aim of every construction is to produce a structure that

can provide the required functions at the most reasonable cost, within
a given time frame and at the required level of quality. Mechanization
is one of the ways by which these could be achieved. The fast-
developing construction industry now heavily depends on equipment
to achieve the high demands of quality project delivery.
 2.2 AIMS AND OBJECTIVES

The main aim of this study is to investigate the existing equipment

acquisition methods in use in the Ghanaian construction industry as
well as the problems that the contractors encounter when acquiring
equipment with the view to recommending better and more effective
practices in the construction industry.

Specific objectives of the investigation are to:

 Find out existing equipment acquisition options used by the

contractor.

 Identify problems faced by the contractor in acquiring

equipment for construction works.

 Examine existing arrangements (if any) made between

equipment hire and manufacturing companies and the
construction companies.

 Recommending better acquisition options as well as solutions

to some of the major problems the contractors face when they
try to acquire equipment.

 To identify cause of rework and to determine their degree of

severity on the performance in terms of time and cost in
construction projects.

 To determine the impact of rework on organizational project

performance (cost and time), through case studies.
2.3 SCOPE OF THE STUDY
A number of firms within the D1 and D2 of contractors by the
Ministry of Water, Works and Housing and the Ministry of
Roads and Transport in the Kumasi Metropolis will be
identified, selected and studied.

The equipment items that will be covered under the study will
include general equipment, earth moving, lifting, transporting
and excavation equipment’s.

This study is important to identifying and to evaluating the main

factors affecting the productivity of construction projects and to
improve the rework reducing condition for the projects. The
findings may help construction parties to understand causes of
rework which affect construction project performance in terms
of cost and time. The study focuses on the analysis of the
rework activities by identifying the magnitude and its impact of
Cost and Time in Construction projects. Positive aspects and
also negative aspects of rework are highlighted and suggestion
will be given to reduce the rework in construction projects.

2.3 LIMITATION OF STUDY

The constructability concept development was triggered by the
attempts to integrate the contractor knowledge and experience at the
design stage. The very selection of the appropriate procurement model
during the contract stage represents one of the concept
implementations models. This paper deals with the stage and project
participant integration, those being the essential constructability
concept implementation elements. For this purpose, a research
including five Croatian building construction projects was conducted.
The construction projects were analysed and described by applying
the multiple case study scientific method. This paper presents the
processing algorithm and results for the two selected cases, the first of
which with the traditional procurement model and the second with the
alternative management-oriented procurement model, as well as the
results of the case study conducted on all five projects. The results
lead to specific conclusions and recommendations for applying the
models at the markets of less developed countries. The changes in
construction project traditional procurement model domination cannot
be made radically due to cultural and financial reasons. They require a
change of awareness and investment of significant resources. Due to
the stated reasons an improved traditional procurement model
introduction is proposed. The measurement introduction must be
adapted to every single project. In order to improve the construction
project procurement procedures, one must make an influence on the
wider community where the project takes place and influence the
changes primarily within the legislative and the institutional frames.
2.4EFFECTS OF PROJECT RISKS ON
ORGANIZATION
The uncertainty in undertaking a construction project comes from
many sources and often involves many participants in the project.
Since each participant tries to minimize its own risk, the conflicts
among various participants can be detrimental to the project. Only the
owner has the power to moderate such conflicts as it alone holds the
key to risk assignment through proper contractual relations with other
participants. Failure to recognize this responsibility by the owner
often leads to undesirable results. In recent years, the concept of "risk
sharing/risk assignment" contracts has gained acceptance by the
federal government. Since this type of contract acknowledges the
responsibilities of the owners, the contract prices are expected to be
lower than those in which all risks are assigned to contractors.

In approaching the problem of uncertainty, it is important to recognize

that incentives must be provided if any of the participants is expected
to take a greater risk. The willingness of a participant to accept risks
often reflects the professional competence of that participant as well
as its propensity to risk. However, society's perception of the potential
liabilities of the participant can affect the attitude of risk-taking for all
participants. When a claim is made against one of the participants, it
is difficult for the public to know whether a fraud has been
committed, or simply that an accident has occurred.

Risks in construction projects may be classified in a number of ways.

One form of classification is as follows:

 Socioeconomic factors
 Environmental protection
 Public safety regulation
  Economic instability
 Exchange rate fluctuation
 Organizational relationships
 Contractual relations
 Attitudes of participants
 Communication
 Technological problems
 Design assumptions
 Site conditions
 Construction procedures
 Construction occupational safety

The environmental protection movement has contributed to the

uncertainty for construction because of the inability to know what will
be required and how long it will take to obtain approval from the
regulatory agencies. The requirements of continued re-evaluation of
problems and the lack of definitive criteria which are practical have
also resulted in added costs. Public safety regulations have similar
effects, which have been most noticeable in the energy field involving
nuclear power plants and coal mining. The situation has created
constantly shifting guidelines for engineers, constructors and owners
as projects move through the stages of planning to construction. These
moving targets add a significant new dimension of uncertainty which
can make it virtually impossible to schedule and complete work at
budgeted cost. Economic conditions of the past decade have further
reinforced the climate of uncertainty with high inflation and interest
rates. The deregulation of financial institutions has also generated
unanticipated problems related to the financing of construction.

Uncertainty stemming from regulatory agencies, environmental issues

and financial aspects of construction should be at least mitigated or
ideally eliminated. Owners are keenly interested in achieving some
form of breakthrough that will lower the costs of projects and mitigate
or eliminate lengthy delays. Such breakthroughs are seldom planned.
Generally, they happen when the right conditions exist, such as when
innovation is permitted or when a basis for incentive or reward exists.
However, there is a long way to go before a true partnership of all
parties involved can be forged.

During periods of economic expansion, major capital expenditures are

made by industries and bid up the cost of construction. In order to
control costs, some owners attempt to use fixed price contracts so that
the risks of unforeseen contingencies related to an overheated
economy are passed on to contractors. However, contractors will raise
their prices to compensate for the additional risks.

The risks related to organizational relationships may appear to be

unnecessary but are quite real. Strained relationships may develop
between various organizations involved in the design/construct
process. When problems occur, discussions often center on
responsibilities rather than project needs at a time when the focus
should be on solving the problems. Cooperation and communication
between the parties are discouraged for fear of the effects of
impending litigation. This barrier to communication results from the
ill-conceived notion that uncertainties resulting from technological
problems can be eliminated by appropriate contract terms. The net
result has been an increase in the costs of constructed facilities.

The risks related to technological problems are familiar to the

design/construct professions which have some degree of control over
this category. However, because of rapid advances in new
technologies which present new problems to designers and
constructors, technological risk has become greater in many instances.
Certain design assumptions which have served the professions well in
the past may become obsolete in dealing with new types of facilities
which may have greater complexity or scale or both. Site conditions,
particularly subsurface conditions which always present some degree
of uncertainty, can create an even greater degree of uncertainty for
facilities with heretofore unknown characteristics during operation.
Because construction procedures may not have been fully anticipated,
the design may have to be modified after construction has begun. An
example of facilities which have encountered such uncertainty is the
nuclear power plant, and many owners, designers and contractors
have suffered for undertaking such projects.

If each of the problems cited above can cause uncertainty, the

combination of such problems is often regarded by all parties as being
out of control and inherently risky. Thus, the issue of liability has
taken on major proportions and has influenced the practices of
engineers and constructors, who in turn have influenced the actions of
the owners.

Many owners have begun to understand the problems of risks and are
seeking to address some of these problems. For example, some
owners are turning to those organizations that offer complete
capabilities in planning, design, and construction, and tend to avoid
breaking the project into major components to be undertaken
individually by specialty participants. Proper coordination throughout
the project duration and good organizational communication can
avoid delays and costs resulting from fragmentation of services, even
though the components from various services are eventually
integrated.

Attitudes of cooperation can be readily applied to the private sector,

but only in special circumstances can they be applied to the public
sector. The ability to deal with complex issues is often precluded in
the competitive bidding which is usually required in the public sector.
The situation becomes more difficult with the proliferation of
regulatory requirements and resulting delays in design and
construction while awaiting approvals from government officials who
do not participate in the risks of the project.

IMPROVE RISK MANAGEMENT

Nearly every construction company rightfully states “safety”

as a business operation priority. But without training, are you
really backing up that claim? The Occupational Safety and
Health Administration (OSHA) likely plays a role in your
business. With state and federal combined, OSHA conducted
more than 70,000 inspections in 2018, and its work makes a
big impact: Since 1970, worker deaths in America are down
on average from 38 worker deaths a day to 14 in 2017.

While that’s a great trend, 14 deaths a day is nothing to smile

about. Improving risk management in construction begins
with training, continues with training and ends with training
… or big-time fines. Construction is such a high-risk industry
that OSHA has designated four areas as the “fatal four”
workplace injuries:

Falls
Being struck by an object
Electrocutions
Caught or crushed by equipment or machinery
With the proper training, these fatal risks can be drastically
reduced. Get started with OSHA training on our Learning
Management System, which includes certified OSHA training
through Click Safety.
Reducing risk means being prepared, and more specifically,
having prepared your workforce with the appropriate safety
training. Take advantage of training to reduce onsite injuries
and better manage risk by implementing a Learning
Management System that is:

Mobile-friendly
Cloud-based
Easy-to-use
Comprehensive
Available on-the-go
Employees doing risky work need to be able to access training
content at any time. When they can navigate problems more
easily, they’re more likely to retain and implement the critical
information. This not only helps with safety, but when
deployed properly with a customizable system, great training
can extend your company culture and values.

Tip: Consider how company-required certifications can help

keep your crew safer. Using a certification management
system can give managers a quick glance of the certified
employees who are qualified to operate equipment or work on
a particular type of project. Or, for new hires, consider the
value of being ready on Day 1, when your new team member
can snap a picture of their OSHA card, upload it to your
training site and get started on the project.
2.5 SELECTION OF THE PROBLEM

The highly technical and standardized nature of current construction

designs and high demands in terms of quality coupled with often short
contract durations undeniably demands the use of equipment. They
play an increasingly important role in building as well as civil
engineering operations and both time and a lot of money can be saved
by acquiring and using them. Heavy equipment is needed for
excavation, haulage, lifting and transportation of materials and people
during the construction of a project thus performing an operation
faster, more economically, safely and with a better quality and finish.

Notwithstanding such great achievable benefits, it requires substantial

capital to procure equipment, set up plant management departments
and even use the equipment. It often requires very large bank
guarantees, collaterals, high interest rates on bank loans, sometimes
cumbersome bureaucratic procedures to acquire funds to purchase
plant or equipment. This is probably why most Ghanaian contractors
still depend heavily on manual labour to execute their projects.

On large and complex projects of long durations, it may be practical

to purchase plant or equipment for a specific job and resell at the end
of the contract. The problem here is that fluctuations in prices on our
current market may make it difficult to forecast costs with certainty.

Equipment holding firms often do not offer favourable and attractive

conditions for the acquisition of equipment to encourage contractors
to use equipment on the projects. Very few of the contractors can
meet the required conditions before procuring most needed
equipment. Again, equipment holding firms are usually found in the
urban areas of our country which are almost always far away from
most of the construction sites warranting high haulage costs from the
plant depot.

Purchasing a plant or equipment could also tell greatly on the finances

of the firm as a very large sum of money may be locked up in
purchasing the plant which then has to be worked at a good utilization
level to recoup investments made into it.

Finally, purchasing equipment is sound investment if there is enough

work ahead to keep it fully employed. Some estimates suggest the
equipment must be working regularly for three to five years to recover
the capital outlay. However, the situation in is that of many
contractors competing for very few projects. Construction firms
cannot be assured of regular projects to fully utilize their investment
in equipment therefore they rather do not invest in it all or when they
do, it is very minimal.

All the aforementioned problems collectively contribute to the reason

why most of the contractors are unable to acquire the necessary
equipment for construction works and thus leaving construction in
Ghana still very labour intensive.
2.6 CONSTRUCTION TOOLS
Equipment plays an increasingly important role in building as well as
civil engineering operations, and both time and money can be saved
by the efficient use of mechanical aids. Equipment implies the
machinery, tools (other than craftsmen’s personal tools) and other
equipment used in the contractor’s yard, workshop or site. These may
range from small hand-held power tools to larger and more expensive
equipment such as mechanical excavators and cranes.

The aim of any construction activity or project is to produce a

structure of the right quality and standard at an optimum cost within
an acceptable time frame. The use of equipment for construction
becomes necessary where using manual labour will not help achieve
the project’s objectives.
Generally, equipment is introduced to contracts for one of the
following reasons:

* Increased production.

* Reduction in overall construction costs.

* Carry out activities which cannot be carried out by the traditional

manual methods in the context of economics.

* Eliminate heavy manual work thus reducing fatigue and as a

consequence increasing productivity.

* Replacing labour where there is a shortage of personnel with the

necessary skills.
* Maintain the high standards required particularly in the context of
structural engineering works
  SOME COMMON CONSTRUCTION EQUIPMENT
USED DURING CONSTRUCTION

Presented here is a brief description of some of the important

construction equipment that may be used during the construction of a
building project.

 EARTH MOVING MACHINES: -The equipment

described here include the bulldozers, graders, scrappers
etc that are used to move massive volumes of excavated
materials during construction.

 BULLDOZER: -

Fig 2.1

The primary earth-moving machine is the heavy-duty tractor,

which when fitted with tracks to grip the ground and with a
large movable blade attached in front, is called a bulldozer. The
bulldozer as shown in fig above may be used to clear brush,
small trees, debris, remove boulders, and level ground. They
may even be used as towing tractor or a pusher to a scrapper.
They consist essentially of a track or wheel mounted power unit
 with a mould blade at the front. Many bulldozers have the
capacity to adjust the mould blade to form an angledozer which
can tilt the mould blade about a central swivel point. They
become even very useful especially in civil engineering projects,
which often require the moving of millions of cubic meters of
earth.

 TRACTOR SHOVEL: - These are sometimes called loaders

or loader shovels and primary function is to scoop up loose
materials in the front mounted bucket, elevate the bucket and
deposit the material into an attendant transport vehicle. Tractor
shovels are driven towards the pile of loose material with the
lowered bucket. The speed and the power of the machine will
then enable the bucket to be filled. To increase their versatility,
the tractor shovels can be fitted with a 4 in 1 bucket enabling
them to carry out bulldozing, excavating, lifting and loading
activities.

Fig 2.2
 Like the scrapper, the tractor shovel is not suitable for work in
rocks and waterlogged areas and will require a crawler tractor to
work in the latter condition.
 FACE SHOVEL: - The primary function of this machine is to
excavate against a face or a bank above its own track or wheel
level. It is suitable for clay and can be used in excavating and
even rock which needs to be loosened, usually by blasting prior
to the excavation. A face shovel has the added advantage of
loading materials excavated into dump trucks. It can also be
used extensively for relocating spoils within a given radius or
short distance and for heaping spoils for future use.

Fig 2.3

Face shovels like the one shown in fig above usually require
attendant haulage vehicles for the removal of the spoil and a
low-loader transportation between sites most especially in
developed areas. They are also not suitable for deep
excavations.
 TRANSPORTING EQUIPMENT: -These are mainly
used for the transportation of personnel, materials, machines and
equipment from one site to the other or from one location to the
other within a relatively large site. They range from
conventional saloon car to the large low loader lorries designed
to transport other items of builders’ equipment between
construction sites and the equipment yard or depot.

 LORRIES:-Lorries which are usually referred to as haul

vehicles are available as road or site only vehicles. The road
haulage vehicles have to comply with all the requirements of the
concerning vehicle usage which among other requirements
limits size and axle loads. The site only vehicles are not so
restricted and can be designed to carry two to three times the
axle load allowed on the public highways. They are also
designed to withstand the rough terrain encountered on many
construction sites.
Fig 2.4
Lorries specifically designed for the transportation of large items of
equipment are called low loaders and are usually fitted with
integral or removal ramps to facilitate loading equipment onto the
carrier platform.

 DUMPERS: -Dumpers are used for horizontal transportation

of materials ranging from aggregates to wet concrete on and off
construction sites generally by means of an integral tipping skip.
 Fig 2.5

Highways dumpers or dumper trucks are similar but larger

design and can be used to carry materials such as excavated
spoil along the roads. A wide range of dumpers are available
with various carrying capacities with hydraulic control for either
a side, front or elevated tipping. They are designed to traverse
rough terrain but they are not designed to carry passengers.

 HOISTS: - Hoists are designed for vertical transportation of

materials, passengers or both. Material hoists are usually mobile
and they can be dismantled, folded onto the chassis and moved
to another position or site under their own power or towed by a
haulage vehicle.

Passenger hoists are designed to carry passenger passengers

although they most can be capable of carrying the load of
passengers as well as materials.
  CRANES: - Cranes are lifting devices designed to raise
materials by means of rope operation and move the load
horizontally. Crane types can range from simple rope and pulley
to complex tower cranes but most can be placed within one of
three groups namely: static (operate from a fixed position),
mobile (operating position can be changed by crane under its
own power) and tower (can be operated from a fixed position or
rail mounted to become mobile) cranes.

Fig 2.6
Several forms of cranes can be identified. Some of these are listed
below:

* Self-propelled cranes
* Lorry Mounted cranes
* Track mounted cranes
* Gantry/Portal cranes
* Tower cranes
 CONCRETUING EQUIPMENT: -This equipment
perhaps falls among the group of equipment that may be readily
found on most construction sites since concrete usually forms a
large proportion of the materials used in construction.
Concreting equipment can simply as classify under the
following headings: mixing, transportation and placing.
 CONCRETE MIXERS: -These are used in mixing concrete
especially in large volumes. Apart from the very large output
mixers most concrete mixers in general use have a rotating drum
designed to produce concrete without segregation of the mix.

Most small batch mixers are of tilting drum type with outputs up
to 200 lit/batch. They are generally hand loaded which makes
the quality control of successive mixes difficult to regulate.
Medium batch mixers can achieve outputs up to about
750lit/batch and may be designed with a tilting drum mixer or as
a non-tilting drum mixer with a reversable drum. These mixers
usually have
 Fig 2.7
integral weight batching loading hoppers, scrapper shovels and
water tank thus giving better quality control than the small batch
mixers.

 CONSTRUCTION SURVEY TOOLS: - Survey existing

conditions of the future work site, including topography,
existing buildings and infrastructure, and underground
infrastructure whenever possible. (for example, measuring invert
elevations and diameters of sewers at manholes)

Fig 2.8

Stake out lot corners, stake limit of work and stake location of
construction trailer (clear of all excavation and construction)
Stake out reference points and markers that will guide the
construction of new structures

Verify the location of structures during construction

Provide horizontal control on multiple floors
Conduct an As-Built survey: a survey conducted at the end of
the construction project to verify that the work authorized was
completed to the specifications set on plans
 RECRUITMENT TOOL: -Recruiting becomes easier when
you offer opportunities to workers that will advance their
professional standing and skills. In fact, in today’s competitive
hiring environment, a quality workforce training program can be
presented to recruits as a competitive benefit.

Fig 2.9

On-the-job training for high-demand industries like brick

masonry, electricians and plumbing decreases the bar of entry
and encourages even novices to apply. This larger pool gives
you a wider selection for hiring, and allows you to focus not just
on skills, but also on personality fit. As your team grows, some
of these younger workers will be bound for management and
other important leadership roles. With your larger pool of
recruits, you’ll have a better chance of having the ambitious
personality types you need to take on the jobs.
Chapter 3
 LITERATURE REVIEW

3.1 INTRODUCTION

Training is a prime opportunity for any business to enhance their

employee’s knowledge, skills as well as team morale. Unfortunately,
training in many cases is overlooked and pushed to the side as it is not
viewed as an obvious ‘money making initiative.’ However, at Esteem
we strongly believe that training and development programmes are
fruitful to both employers and employees.

3.2 EMPLOYEE TRAINING

Employee training has actually already been recognized as one of the

important factors in Human Resources Management. It has also
attracted huge research attention by academic writers. Therefore, it
has come with several of training’s definitions.

Employee training is the systematic and planned modification of

actions by learning programs, events and activities that will result in
the trainees having the higher level of skills, knowledge, abilities and
competencies to do their work effectively. However, argues that
training is a planned effort to facilitate the learning of skills,
employee’s behaviour, and

job related knowledge. According to employee training is defined as

any endeavour to improve the performance of the employee on a held
job or anything that is related. It also means modification in skills,
attitudes, behaviours’, or specific knowledge. To make it more
effective, it must involve the learning experience, planned
organizational activity, and also be designed in response to
recognized needs.

Employee training is not only about getting new knowledge, abilities

and skills, but also the likelihood to endorse entrepreneurship, let the
employees know how to fit- in any changes, encourage them to have a
better attitude, train and involve the employees to make any important
decision-making regarding the works.

Besides that, the researchers also keep arguing about the importance
of the training as they continue their quest in the area of training
research. Some of the researchers have some argue that the
acclamation of employee trainings important in these past years have
quite been influenced by the competition’s growth where foregoing of
employee development is considerably enlightened. In addition to the
above, also quote that the technological developments and
organizational change have slowly bringing some employers to
realize that success depends on the abilities and skills of the
employees. So that considerable investment in training is really
needed.
3.3 BENEFITS OF TRAINING

Benefits stated that the major training purpose is for the employees to
have a better knowledge, behaviours, and skills highlighted in training
programs and to use them in their daily activities. Besides, training’s
purpose is to acquire and increase knowledge in a good way, improve
attitudes towards work related tasks, and improve skills. Training is
also a motivator that can bring the short- term and long- term
advantages for both individuals and organizations.

The examples of the benefits are:

• The knowledge of the employees about culture and outside
competitors increased.
• The employees who have the expertise can be assisted to work
with new technologies.
• The employees can also be guided to work productively in
teams in order to produce a better quality of products and services.
• The culture of the company is ensured to focus on innovation,
learning and creativity.
• The safety can also be ensured by providing new ways for the
employees to contribute to the company during their employment and
their interests change or expertise when they are absolute.
• The employees are prepared to be able to work more effectively
with their mates, especially the women and the minorities.
• The availability and quality of the staffs can be improved.
• The employees that have undergone training will become more
confidence and motivated.

3.4 TRAINING AND DEVELOPMENT METHODS

Agreed that all the human resource actions are function to either
develop individual’s performance on the current work, train new
workers for new jobs or new positions in the future and common
development for both individuals and organizations in order of
achieving organizations current and future targets.

Basically, different organizations will choose different kind of

training methods because of a few reasons such as it is based on the
strategy, objectives, and resources available of the organization. It is
also based on the identified needs at the time, and last but not least, it
depends on the group that need to be trained, which might be among
individual employees, groups, departments, or the whole organization.

The method of training is consisted of two methods, which are on-

the-job training and off-the-job training.

On-the-job training might include of teaching or coaching by people

or trainers that have more experience of that particular area, at the
bench or at the worktable. Usually, the on-the-job training is given to
the employees while they are doing their usual work at the same work
spaces. There are many examples of on- the-job training such as
coaching and/or mentoring, job rotation and transfer, and
apprenticeship.

Off-the-job training focus more on the development and long-term

education. As discussed in the literature and as foreshadowed by the
employers, off-the-job training generally added an extra dimension to
the training undertaken by the young people. For example, it afforded
the chance to learn about practices in other companies and to learn
skills that might not be utilised in the particular workplace.
Off-the-job training usually involving sending employees away from
their regular work spaces, and at the same time the concentrations is
all on the training. The examples for off-the-job trainings are
conferences and role playing. These will be explained precisely.
3.5 JOB ROTAION AND TRANSFER (On-the-Job
Training)

According to job rotation and transfer is the way taken by the

company to develop and improve the skills of the employees, that
involving employee’s movements from one particular responsibility
to another official responsibility. As an example, having to work on a
higher position in the organization or from the different branch of the
organization to another branch.

As an example, in transfers, it might need the employees to move

from one country to another country. Along the differences exist in
different countries which the organizations are operating, the rotations
and transfers will increase the knowledge of give the employees about
the different operations in the organizations. The selected employees
will acquire a beneficial knowledge that can give benefit to company
because the competitive advantage of the company will increase.

CONFERENCE (Off-the-Job)

Conference is one of the training and development method that need

presentations by more than one individual to a large number of
audiences. A group of employees are trained on one some specific
topics all at the same time in wide number of audiences. However, it
is not that easy to make sure that all trainees understand the topic
overall and this become as one of its disadvantages. The trainees
might not have the same level of understanding.

ROLE PLAYING (Off-the-Job)

Role training is one of the most effective training and development

techniques that attempt to capture and bring forth decision making
circumstances to the employee that are being trained. It is an excellent
method to achieve a lot of benefits for company, management, and
employees. Role playing is not just about practicing to work with an
imaginary client out loud. It actually helps a group of employees to
act out work scenarios. A great deal of confidences can be developed
by role playing technique as it is an open communication and it also
put a player „on-the-spot‟. According to role plays can be trained
when one of the participants act as him/herself, meanwhile the other
person act as that particular individual the trainee interacted before.
Role playing can help employees to learn the acceptable system and it
is one of the best ways to communicate about the ideas with the
clients. A low- stress environment is the most suitable environment to
conduct this technique as it is easier to adapt learning. The trainers
can make corrections about the employee on the role- playing by
having more rehearsal and they can also critique the employees on
training. To make it clearer, this type of training should be done in the
real job place.
3.6 COACHING AND/OR MENTORING (On-the-Job
Training)

The more knowledgeable and skilled employees will be coaching the

less knowledgeable and less skilled employees. Mentoring is proved
that it provides so many benefits for development of the responsibility
and relationship building. Usually, the fresh recruited graduates in the
company are applied by the practice by being attached to coach that
might be their instant managers or senior manager. However, that
does not mean that the older employees do not need training method
as it is more emphasized on the fresh employed individual in the
company.

TIME PERFORMANCE

The success of the performance mainly is an indicator of a success of

any construction project. There have been many researches done that
circulate about the performance of construction project. Regarding to
the construction time is becoming more important because it is a vital
benchmarking for assessing the project performance the organizations
project efficiency. Time is one of the most basic criteria to determine
a project success. Unfortunately, most constructions industry in
Malaysia has been recognized as industries that are facing poor
performance that will lead to failure in achieving effective time
performance. Because of this, many projects faced a delay in big
amount of time.

QUALITY PERFORMANCE

The achievement of cost and time are the aspects that project
management attends most of the time, resulting in the half- hearted
effort to make quality of the project as one of the most important
factors for project success. The quality is often overlooked while
achieving the objectives of time and cost in a project. Even there are
many studies that have been done showing that quality is very
important in a project; they are sacrificed in order to achieve a short-
term objective. The control of the performance of installation,
building or engineering arrangement should be managed in the same
way as how time and cost is managed.
3.5 RELATIONSHIP BETWEEN EMPLOYEE
TRAINING AND PROJECT PERFORMANCE

Constructer said that training has a very significant role for the project
performance which contribute to three main issues, that are: 1)
Training and development has the potential in improving the
productivity of the labour 2) Training and development can make the
quality of that output better: a more highly trained employee is not
only more skilled and experienced at the work but also alert of the
importance of the project performance 3) Training and development
improves the capability of the employee to adapt to any changes; the
successful implementation of change whether technical (in the form
of new technologies, new products, new markets, etc.) depends on the
skills of the organization 's member.

Since day by day the new technology is emerging, the training to help
workers learn how to handle the complex machines related to a
construction project as example, is very important. The improvement
of skills and knowledge among the employees is becoming more vital
towards the performance, competitiveness and innovation. In spite the
existence of relationship between training towards project
performance, the studies that have been done to give enough proof for
the thoughts are still lacking.
If training is planned, there are many benefits that can be derived
from it. This means that the trainers and trainees are all set for the
training well later on. Training is an important action needed in order
of achieving the learning that are necessary for improved project
performance.

There are a few steps involved in a planned training:

1) Identify and define training needs.

2) Describe the learning that are necessary such as types of
skills and knowledge that have to be known and what
attitudes need to be changed.

3) Define the training objective

4) By using right combination for training techniques and

locations, training programs to accomplish the needs and
objectives have to be planned.

5) Decide who is going to provide the training.

6) Evaluate the training.

3.6 VIEWS ON TRAINING

Training according to the Committee for Tutorial Matters (CTM)

Standing Committee: Co-operative Education (2000) refers to
experiential and co-operative education and is defined as a method of
education, which combines learning in the classroom with learning in
the workplace. Education has been described as all the ways in
which people train and develop to fulfil their potential as a result of
acquiring skills, attitudes, and values which reflect the social, cultural,
and physical environments in which they live. Training, on the other
hand, is the systematic development of attitudes, knowledge and skill
patterns required by an individual to perform adequately a given task
or job. Cooperative education, therefore, aims to prepare people for
the world of work within their socio-civic environments. Successful
co-operative education programmes are seldom critically examined.
Industry placement or “work placement” which is often integral to a
co-operative education program is the term used primarily in the
United Kingdom to describe a period of time when the student is
located in the work-place with the purpose of learning on the job. The
placement may be paid or unpaid. This particular approach provides
opportunities for students to have hands-on experience as part of their
course of study. In this way students are prepared for their future
careers. They acquire valuable and specialized knowledge and skills
by learning from experience and reflecting on that experience while
becoming acquainted with the work processes. This form of
experiential learning may be expressed as the combination of three
elements, namely programmed learning in structured settings,
questioning learning gained via investigation and research, and own
experience.

3.7 THE SKILLS, ATTRIBUTES AND QUALITIES

OF AN ENGINEER

Engineering is a profession directed at the skilled application of a

distinctive body of knowledge and understanding based on
mathematics, science and technology, integrated with business and
management, which is acquired through education and profession
formation in a particular discipline.

The following highlights the general areas that engineering students

at honours level need to foster, namely

 Knowledge and understanding

 Intellectual abilities’
 Practical skills; and
 General transferable skills

Furthermore, to enable students to become effective engineers, they

need to develop certain qualities of mind, through the study of
engineering. They need to become

 creative, particularly in the design process

  analytical, in the formulation and solution of problems
 innovative, in the solution of engineering problems and transfer
of technology
 self-disciplined and self-motivated, in the pursuit of their studies
and professional practice
 of an enquiring mind, eager for new knowledge and
understanding
 independent of mind, with intellectual integrity, particularly in
respect of ethical issues, and
 enthusiastic, in the application of their knowledge and
understanding and skills in the pursuit of the practice of
engineering and promotion of the engineering disciplines

OBSERVEATION

It is evident that no matter the country or the models used, the

experiences of construction management and civil engineering skills
are generally similar.
The following trends were observed

 There are different definitions of what constitutes the period the

students spend outside the learning environment
 There are three partners to be considered in the co-operative
education model, namely students, the academic institutions and
the employers (industry)
 Co-operative education, irrespective of the discipline is meant to
bridge the gap between the classroom and workplace
 The learning outcomes approach can be utilised to incorporate
the roles of construction management and civil engineering into
the educational curriculum by including the following:
 Objectives
  Subject knowledge
 Discipline and
 Competencies.
 There is the need for the provision of a valid methodological
approach for higher education institutions to incorporate
Construction Management and Civil Engineering.

Chapter 4
DATA ANAYLISIS
 Fig.4.1

This report draws on the views and insights of the three partners in the
co-operative model, namely the students, academic staff and industry
stakeholders. The views were obtained through multiple survey
instruments of multiple samples comprising students, industry and
academic staff - the partners in the co-operative education approach
to construction management and civil engineering. The approach
undertaken in the design of the survey instrument and data collection
is illustrated in Figure 4.1 and was composed of three primary steps.
Issues associated with the steps are explained

This step involved the focus and phraseology of the research

instrument that was designed to be used to interview stakeholders.
The original plan was to conduct a qualitative approach based on
interviews. The original sample data planned is shown in Table.

Table 4.1

As evidenced from Table 4.1, the majority of the respondents in the

research by academic discipline were from Construction Management
while the largest group of participants (79.45%) were students. This is
not surprising since the research team had more ready access to
students than to the other participants in co-operative education. The
civil engineering component did not include any detailed survey from
the employers and staff as the issues raised in the study had been
adequately covered within the National Advisory Council on
Innovation (NACI) study, therefore reference is made to the
information and findings as presented in that particular study.
Industry participants were invited to participate in the survey on an
“Interview Basis." However, those unable to make time for the
interview were called by telephone, faxed the questionnaire and
informed that they would be called to do the interview by telephone.
Only as a last resort were participants permitted to self-complete the
questionnaire. With all the measures undertaken, the desired sample
as was achieved. These samples were considered representative of
the three collaborative partners. The final responses as a percentage
of the total by each discipline are also shown for Construction
Management and Civil Engineering respectively. Table 4.1 shows the
frequency of the respondents by participant and discipline as follows:
Construction Management: Staff (30), Students (348) and Employers
or Industry (60). The responses from the students could further be
classified as follows: First year (162) and third and fourth years (186)
From the Civil Engineering perspective, of the 123 students, 69 %
were first year whereas the remainder were third year students.

The survey instrument used in the Construction Management and

Civil Engineering study comprised of 5 sections dealt with the
following as illustrated in Figures 6 and 7 respectively. A total of four
dimensions of educational offerings and experiential training within
South Africa were perceptualized and measured using the 5-point
Likert scale. For example, in section A that deals with experiential
training, respondents were asked to respond to 11 statements relative
to what method should be used for assessing experiential training
where 1 = strongly disagree, 2 = disagree, 3 = neutral, 4 = agree and 5
= strongly agree. Scales were Likert type where respondents were
asked to rate their levels of agreement or importance. Qualitative
answers were also sought from the respondents in order to qualify
their responses to previous close ended questions. The survey
instrument which formed part of deliverable no. 2 and used in the
evaluation of Construction Management courses offered at the former
Technikons, now Universities of Technology comprised of 4 sections,
namely model preference (7 closed and 4 open questions), opinions
on Construction Management courses at TUT (14 closed and 6 open
questions), opinions on training and education (3 closed and 2 open
questions), and participation in construction (3 closed questions).

4.1 STRATEGIC PLANNING AND PROJECT

PROGRAMMING

The programming of capital projects is shaped by the strategic plan of

an organization, which is influenced by market demands and
resources constraints. The programming process associated with
planning and feasibility studies sets the priorities and timing for
initiating various projects to meet the overall objectives of the
organizations. However, once this decision is made to initiate a
project, market pressure may dictate early and timely completion of
the facility.

Among various types of construction, the influence of market

pressure on the timing of initiating a facility is most obvious in
industrial construction. [3] Demand for an industrial product may be
short-lived, and if a company does not hit the market first, there may
not be demand for its product later. With intensive competition for
national and international markets, the trend of industrial construction
moves toward shorter project life cycles, particularly in technology
intensive industries.

In order to gain time, some owners are willing to forego thorough

planning and feasibility study so as to proceed on a project with
inadequate definition of the project scope. Invariably, subsequent
changes in project scope will increase construction costs; however,
profits derived from earlier facility operation often justify the increase
in construction costs. Generally, if the owner can derive reasonable
profits from the operation of a completed facility, the project is
considered a success even if construction costs far exceed the estimate
based on an inadequate scope definition. This attitude may be
attributed in large part to the uncertainties inherent in construction
projects. It is difficult to argue that profits might be even higher if
construction costs could be reduced without increasing the project
duration. However, some projects, notably some nuclear power
plants, are clearly unsuccessful and abandoned before completion, and
their demise must be attributed at least in part to inadequate planning
and poor feasibility studies.

Fig 4.2

The owner or facility sponsor holds the key to influence the

construction costs of a project because any decision made at the
beginning stage of a project life cycle has far greater influence than
those made at later stages, as shown schematically in Figure 2-3.
Moreover, the design and construction decisions will influence the
continuing operating costs and, in many cases, the revenues over the
facility lifetime. Therefore, an owner should obtain the expertise of
professionals to provide adequate planning and feasibility studies.
Many owners do not maintain an in-house engineering and
construction management capability, and they should consider the
establishment of an ongoing relationship with outside consultants in
order to respond quickly to requests. Even among those owners who
maintain engineering and construction divisions, many treat these
divisions as reimbursable, independent organizations. Such an
arrangement should not discourage their legitimate use as false
economies in reimbursable costs from such divisions can indeed be
very costly to the overall organization.

Finally, the initiation and execution of capital projects places

demands on the resources of the owner and the professionals and
contractors to be engaged by the owner. For very large projects, it
may bid up the price of engineering services as well as the costs of
materials and equipment and the contract prices of all types.
Consequently, such factors should be taken into consideration in
determining the timing of a project.

CONSTRUCTION MANAGEMENT
PRELIMINARY FINDINGS OF THE PILOT STUDY
The findings of the preliminary survey are statistically reported
descriptively together with measures of central tendency, particularly
the means of responses. Demographics of Respondents All the
industry participants interviewed in the preliminary study were from
across the various provinces in world. The majority of companies
interviewed employed more than 250 workers
 Fig 4.3

The respondents participated primarily in the industry as follows:

 Contractors – 65.1%
 Subcontractors – 9.3%; and
 Consultants – 25.6%
Figure 11 shows the frequency of respondents by turnover during the
past three years. The majority of those interviewed (44%) reported
turnovers in excess of R20 million
4.2 INTERPERSONAL BEHAVIOR IN PROJECT
ORGANIZATIONS

While a successful project manager must be a good leader, other

members of the project team must also learn to work together,
whether they are assembled from different divisions of the same
organization or even from different organizations. Some problems of
interaction may arise initially when the team members are unfamiliar
with their own roles in the project team, particularly for a large and
complex project. These problems must be resolved quickly in order to
develop an effective, functioning team.

Many of the major issues in construction projects require effective

interventions by individuals, groups and organizations. The
fundamental challenge is to enhance communication among
individuals, groups and organizations so that obstacles in the way of
improving interpersonal relations may be removed. Some behavior
science concepts are helpful in overcoming communication
difficulties that block cooperation and coordination. In very large
projects, professional behaviour scientists may be necessary in
diagnosing the problems and advising the personnel working on the
project. The power of the organization should be used judiciously in
resolving conflicts.

The major symptoms of interpersonal behaviour problems can be

detected by experienced observers, and they are often the sources of
serious communication difficulties among participants in a project.
For example, members of a project team may avoid each other and
withdraw from active interactions about differences that need to be
dealt with. They may attempt to criticize and blame other individuals
or groups when things go wrong. They may resent suggestions for
improvement, and become defensive to minimize culpability rather
than take the initiative to maximize achievements. All these actions
are detrimental to the project organization.

While these symptoms can occur to individuals at any organization,

they are compounded if the project team consists of individuals who
are put together from different organizations. Invariably, different
organizations have different cultures or modes of operation.
Individuals from different groups may not have a common loyalty and
may prefer to expand their energy in the directions most advantageous
to themselves instead of the project team. Therefore, no one should
take it for granted that a project team will work together harmoniously
just because its members are placed physically together in one
location. On the contrary, it must be assumed that good
communication can be achieved only through the deliberate effort of
the top management of each organization contributing to the joint
venture.
4.3 PERCEPTIONS OF OWNERS AND
CONTRACTORS

Although owners and contractors may have different perceptions on

project management for construction, they have a common interest in
creating an environment leading to successful projects in which
performance quality, completion time and final costs are within
prescribed limits and tolerances. It is interesting therefore to note the
opinions of some leading contractors and owners who were
interviewed in 1984.

From the responses of six contractors, the key factors cited for
successful projects are:

 well defined scope

 extensive early planning
 good leadership, management and first line supervision
 positive client relationship with client involvement
 proper project team chemistry
 quick response to changes
 engineering managers concerned with the total project, not just
the engineering elements.
Conversely, the key factors cited for unsuccessful projects are:

o ill-defined scope
o poor management
o poor planning
o breakdown in communication between engineering and
construction
o unrealistic scope, schedules and budgets
 o many changes at various stages of progress
o lack of good project control
The responses of eight owners indicated that they did not always
understand the concerns of the contractors although they generally
agreed with some of the key factors for successful and unsuccessful
projects cited by the contractors. The significant findings of the
interviews with owners are summarized as follows:

 All owners have the same perception of their own role, but they
differ significantly in assuming that role in practice.aa

 The owners also differ dramatically in the amount of early

planning and in providing information in bid packages.aa

 There is a trend toward breaking a project into several smaller

projects as the projects become larger and more complex.aa

 Most owners recognize the importance of schedule, but they

adopt different requirements in controlling the schedule.

 All agree that people are the key to project success.

From the results of these interviews, it is obvious that owners must be

more aware and involved in the process in order to generate
favourable conditions for successful projects. Design professionals
and construction contractors must provide better communication with
each other and with the owner in project implementation.
4.4 COMBINATION OF HIRE AND OWN
A mixed policy of owning and hiring equipment may be the preferred
option. For example, regularly required items might be purchased and
hiring adopted only to smooth out demand.

writes that serious consideration should also be given to the extent to

which the equipment is to be operated before an acquisition decision
is made. He outlines the following factors concerning the level of
operation of a equipment:

1. Acquire equipment new and operate to a down value and sell it.

2. Acquire second-hand equipment and operate to scrap value.

3. Acquire equipment new and operate to scrap value.

4. Acquire a second-hand equipment and operate to a down value and

resell.

FINANCING OF EQUIPMENT
A firm, having decided to buy a equipment instead of hiring, has the
following methods of paying for the equipment.

1. Cash or outright purchase

2. Hire Purchase
3. Credit Sales
4. Leasing
5. Hiring
CASH OR OUTRIGHT PURCHASE
When using this option, the buyer pays cash or immediately at the
time of purchase, thereby providing tangible asset on the balance
sheet. Obviously, this option is only possible if cash is available and
therefore presupposes that profits have been built up from investors
such as shareholder, bank loans, etc. Also, some large or technically
unusual contracts sometimes include monies to permit the contractor
to purchase the necessary equipment at the start of the project.

simply identifies some of the advantages of outright purchase as:

1. Equipment availability is totally within the control of the

contractor.

2. Hourly cost of equipment is generally less than hired equipment.

3. Owner has choice of costing method used.

however, advices that besides the purchase price of a equipment,

consideration should be given to the following points:

1. Capital outlay and interest charges

2. The cost of maintenance and repairs

3. The cost of transporting equipment between sites

4. Insurance premium and

5. Standing time on site.

COST OF OWNING AN EQUIPMENT

The cost of owning and operating construction equipment is affected
by factors such as the cost of the equipment delivered to the owner,
the severity of the conditions under which it is used, the cares with
which the owner maintains and repairs it and the demand for used
equipment when it is sold which will affect the salvage value. In his
report, ‘Effects of equipment breakdown on civil and building
construction works’, identified the costs involved in owning and
operating equipment as:

I. Depreciation

When a unit of equipment is placed in operation, it begins to wear out.

Regardless of the care in maintaining and repairing it, the equipment
will wear out or become obsolete and has to be replaced. The owner
of the equipment has to provide a reserve fund to replace it when it is
worn out. Where the contractor fails to include an appropriate
allowance for depreciation of his equipment in his estimate, there will
be no funds available to replace the equipment when they become
aged or obsolete.

II. Maintenance and repairs

The cost of maintenance and repairs varies considerably with the type
of equipment, the service to which it is assigned and the care it
receives. The annual costs of maintenance and repairs is expressed as
a percentage of the annual cost of depreciation or independent of
depreciation and it must also be sufficient to cover the cost of keeping
the equipment operating.

4.5 INVEST IN EMPLOYEES, INCREASE

RETENTION

By offering both on-the-job training and online courses, your

company is investing time and good faith in your workforce.
Continued learning is important to employees. Creating opportunities
through training paves a clear career path for employees to follow,
and gives them confidence not only in your belief in them, but also
that you’re making plans for the future. Laborers seeking
advancement within their organization can take advantage of career
development opportunities offered to their current role, whether that
looks like preparing them for a foreman or manager position, or
teaching them a more niche skill set.

For the construction industry, which has largely focused on drawing

in new young workers, learning is key:

87 percent of Millennials rate “professional or career growth and

development opportunities” as important to them in a job
Nearly half of Millennials say they’d leave their job for one that
offered professional development
78 percent of employees said they would remain longer with their
employer if they saw a career path within the current organization.
In today’s cutthroat recruiting and retaining environment, training is a
proven path to attracting and keeping employees in construction. It
empowers your workforce and gives your company “employer of
choice” status by earning a reputation as a company that invests in its
team.

Learn more about how to launch a strategic training program – that

includes hundreds of on-point videos, as well as OSHA certifications
– by getting an Arcaro demo today.

4.6 APPRENTICESHIP

Basically, apprenticeship trains employees to meet industry

standards for some specific work. Training programs which get
together with the changing needs and individual needs are usually
designed by employers and skilled employees. The objective of the
program is to produce many skilled employees based on the
requirement of the specific industry. Apprenticeship training is a
process where some individual become skilled workers, by the
mixture of long-term and formal learning on-the-job training.
Apprenticeship system can also be concluding as a form of full-time
employment and a process of training and education. While
learning, the people can also earn. Training and education of
apprentices should be arranged in a way to assist apprentices meet
the company’s objectives.
Chapter 5
 CONCLUSIONS

The obtained results of quality analysis result in the following

conclusions regarding the state, possibilities and limitations of non-
traditional procurement model application in the markets of less
developed countries:
1) The dominant construction project procurement model is the
traditional procurement model which points out the falling
behind the construction industry regarding the application of
new, more modern procurement models which could positively
influence the integration of stages and the participants as is
recommended by the world research and practice. However, the
client's requirements for modification of the traditional
procurement models are getting more obvious by the day in
which one part of the risk, the responsibility and construction
organization and the design documentation financing is shifted
to the contractor, this being one of the main designs and build
procurement model features. At present moment this only
relates to the contractor taking over the financing and the
communication with the designer, while the design
documentation and contract conditions regarding the design
 still remain the issue to be directly resolved between the client
and the designer.
2) It is quite clear that the clients have recognized the advantages
of joining the designer and the contractor during the design and
the construction stage which enables them to reduce the amount
of work and simplifies the communication.

T hose clients who have enough

resources and
experience tend to choose the
management-oriented
procurement models requiring
greater contractor
involvement but being more flexible
regarding design
alterations. In comparison to the pure
construction
procurement model, if the client can
conduct separate
contracting with numerous
subcontractors, the
construction project management
enables the client
better control over costs and
avoidance of
management function multiplication
which results in
cost increase.
3) Those clients who have enough resources and experience tend
to choose the management-oriented procurement models
requiring greater contractor involvement but being more
flexible regarding design alterations. In comparison to the pure
construction procurement model, if the client can conduct
separate contracting with numerous subcontractors, the
construction project management enables the client better
control over costs and avoidance of management function
multiplication which results in cost increase.
4) The traditional payment models are usually applied (the price-
based or the output-based model). In the conducted research
only one project included the payment model based on costs
and fees and the client was not pleased. Based on that separate
opinion no company conclusions can be made but a successful
cost fee model application requires experience and additional
resources of the client and the contractor oriented towards cost
monitoring and control.
5) The procedure of selecting the contractor can be related to the
type of the client. Public clients must obey the Law on Public
Procurement and choose the contractor through tender. Thereat,
the mentioned Law on selecting the most favourable contractor
allows the lowest-price criterion application, as well as the cost-
benefit criterion application. The cost-benefit criteria are not
defined by law; their selection and pondering is left to the
 client. However, all research points out dominant predominance
of the lowest-price criterion. This is explained by stating that
the application of this criterion is simpler but the application
practice also points out a potential danger and sensitiveness
when applying this criterion especially when dealing with the
sensitive areas such as design and construction
6) Private clients mostly use nonprocedural direct agreement or
biddings. A private client has the possibility of early
involvement for all the participants who usually get involved in
the project just at the construction stage, those being the
contractor and the construction supervisor, which positively
influences the buildability/constructability concept effectuation
even when this is not agreed upon by contract
7) Most of the examined participants had doubts about the real
possibilities of correlating the designers and the contractors
during the project stages. However, they all agree that an earlier
inclusion of contractors or contractor experts for the selected
technical solutions and the technology could positively
influence the project success.
8) The project design supervision contracting during the
construction stage was also positively assessed. It is, however,
rarely contracted so that the designer is mostly excluded from
the project after the detailed engineering design has been
completed
9) The presence of an expert project management on behalf of the
client which is actively included into all project stages is, in our
opinion, of key importance for the project success. However,
the research has shown an insufficient or very poor knowledge
of those issues so that the issues have not been regulated either
by the law or in practice. Even if the projects are of great
complexity, the best-case scenario has the management left to
individuals who do not have the project manager licence and
 quite often lack knowledge about the issues. The project
managers are seldom met in practice.

5.1 PROFESSIONAL CONSTRUCTION MANAGEMENT

Professional construction management refers to a project management

team consisting of a professional construction manager and other
participants who will carry out the tasks of project planning, design
and construction in an integrated manner. Contractual relationships
among members of the team are intended to minimize adversarial
relationships and contribute to greater response within the
management group. A professional construction manager is a firm
specialized in the practice of professional construction management
which includes:

Work with owner and the A/E firms from the beginning and make
recommendations on design improvements, construction technology,
schedules and construction economy.
Propose design and construction alternatives if appropriate, and
analyse the effects of the alternatives on the project cost and schedule.
Monitor subsequent development of the project in order that these
targets are not exceeded without the knowledge of the owner.
Coordinate procurement of material and equipment and the work of
all construction contractors, and monthly payments to contractors,
changes, claims and inspection for conforming design requirements.
Perform other project related services as required by owners.
Professional construction management is usually used when a project
is very large or complex. The organizational features that are
characteristics of mega-projects can be summarized as follows:[6]

The overall organizational approach for the project will change as the
project advances. The "functional" organization may change to a
"matrix" which may change to a "project" organization (not
necessarily in this order).
Within the overall organization, there will probably be functional,
project, and matrix suborganizations all at the same time. This feature
greatly complicates the theory and the practice of management, yet is
essential for overall cost effectiveness.
Successful giant, complex organizations usually have a strong matrix-
type suborganization at the level where basic cost and schedule
control responsibility is assigned. This suborganization is referred to
as a "cost centre" or as a "project" and is headed by a project manager.
The cost center matrix may have participants assigned from many
different functional groups. In turn, these functional groups may have
technical reporting responsibilities to several different and higher tiers
in the organization. The key to a cost-effective effort is the
development of this project suborganization into a single team under
the leadership of a strong project manager.
The extent to which decision-making will be centralized or
decentralized is crucial to the organization of the mega-project.
Consequently, it is important to recognize the changing nature of the
organizational structure as a project is carried out in various stages.

The obtained results of quality analysis result in the

following conclusions regarding the state, possibilities
and limitations of non-traditional procurement model
application in the markets of less developed countries:
1) The dominant construction project procurement
model is the traditional procurement model which
points out the falling behind the construction industry
regarding the application of new, more modern
procurement models which could positively influence
the integration of stages and the participants as is
recommended by the world research and practice.
However, the client's requirements for modification
of the traditional procurement models is getting more
obvious by the day in which one part of the risk, the
responsibility and construction organization and the
design documentation financing is shifted to the
contractor, this being one of the main design and
build procurement model features. At present
moment this only relates to the contractor taking over
The obtained results of quality analysis result in the
following conclusions regarding the state, possibilities
and limitations of non-traditional procurement model
application in the markets of less developed countries:
1) The dominant construction project procurement
model is the traditional procurement model which
points out the falling behind the construction industry
regarding the application of new, more modern
procurement models which could positively influence
the integration of stages and the participants as is
recommended by the world research and practice.
However, the client's requirements for modification
of the traditional procurement models is getting more
obvious by the day in which one part of the risk, the
responsibility and construction organization and the
design documentation financing is shifted to the
contractor, this being one of the main design and
build procurement model features. At present
moment this only relates to the contractor taking over
5.2 IMPROVEMENT MEASURES AND FUTURE
RESEARCH GUIDELINES

The changes in construction project

traditional
procurement model domination
cannot be made radically
due to cultural and financial reasons.
They require a
change of awareness and investment
of significant
resources.
Due to the stated reasons an
improved traditional
procurement model introduction is
proposed. For building
construction field two procurement
models are suggested:
- the improved traditional
procurement model for
building construction projects of
private clients and
- the improved traditional
procurement model for
building construction projects of
public clients.
The changes in construction project
traditional
procurement model domination
cannot be made radically
due to cultural and financial reasons.
They require a
change of awareness and investment
of significant
resources.
Due to the stated reasons an
improved traditional
procurement model introduction is
proposed. For building
construction field two procurement
models are suggested:
- the improved traditional
procurement model for
building construction projects of
private clients and
- the improved traditional
procurement model for
building construction projects of
public clients.
The changes in construction project
traditional
procurement model domination
cannot be made radically
due to cultural and financial reasons.
They require a
change of awareness and investment
of significant
resources.
Due to the stated reasons an
improved traditional
procurement model introduction is
proposed. For building
construction field two procurement
models are suggested:
- the improved traditional
procurement model for
building construction projects of
private clients and
- the improved traditional
procurement model for
building construction projects of
public clients.
The changes in construction project
traditional
procurement model domination
cannot be made radically
due to cultural and financial reasons.
They require a
change of awareness and investment
of significant
resources.
Due to the stated reasons an
improved traditional
procurement model introduction is
proposed. For building
construction field two procurement
models are suggested:
- the improved traditional
procurement model for
building construction projects of
private clients and
- the improved traditional
procurement model for
building construction projects of
public clients.
The changes in construction project
traditional
procurement model domination
cannot be made radically
due to cultural and financial reasons.
They require a
change of awareness and investment
of significant
resources.
Due to the stated reasons an
improved traditional
procurement model introduction is
proposed. For building
construction field two procurement
models are suggested:
- the improved traditional
procurement model for
building construction projects of
private clients and
- the improved traditional
procurement model for
building construction projects of
public clients.
The changes in construction project
traditional
procurement model domination
cannot be made radically
due to cultural and financial reasons.
They require a
change of awareness and investment
of significant
resources.
Due to the stated reasons an
improved traditional
procurement model introduction is
proposed. For building
construction field two procurement
models are suggested:
- the improved traditional
procurement model for
building construction projects of
private clients and
- the improved traditional
procurement model for
building construction projects of
public clients.
The changes in construction project
traditional
procurement model domination
cannot be made radically
due to cultural and financial reasons.
They require a
change of awareness and investment
of significant
resources.
Due to the stated reasons an
improved traditional
procurement model introduction is
proposed. For building
construction field two procurement
models are suggested:
- the improved traditional
procurement model for
building construction projects of
private clients and
- the improved traditional
procurement model for
building construction projects of
public clients.
The changes in construction project
traditional
procurement model domination
cannot be made radically
due to cultural and financial reasons.
They require a
change of awareness and investment
of significant
resources.
Due to the stated reasons an
improved traditional
procurement model introduction is
proposed. For building
construction field two procurement
models are suggested:
- the improved traditional
procurement model for
building construction projects of
private clients and
- the improved traditional
procurement model for
building construction projects of
public clients.
The changes in construction project
traditional
procurement model domination
cannot be made radically
due to cultural and financial reasons.
They require a
change of awareness and investment
of significant
resources.
Due to the stated reasons an
improved traditional
procurement model introduction is
proposed. For building
construction field two procurement
models are suggested:
- the improved traditional
procurement model for
building construction projects of
private clients and
- the improved traditional
procurement model for
building construction projects of
public clients.
The changes in construction project traditional procurement model
domination cannot be made radically due to cultural and financial
reasons. They require a change of awareness and investment of
significant resources. Due to the stated reasons an improved
traditional procurement model introduction is proposed. For building
construction field two procurement models are suggested:
-the improved traditional procurement model for building
construction projects of private clients and
- the improved traditional procurement model for building
construction projects of public clients.

Both models imply introduction of the following

measures:
1) Participant objective adjustment.
2) Appointment of the project manager by the client.
3) Inclusion of the contractor or a construction expert
during design stage at projects of private clients and a
construction expert at public clients
Explanation: Since public clients abide the Law on
Public Procurement, the contractor cannot be
included during construction stage.
4) Inclusion of future end-user at an as early project
stage as possible.
5) Inclusion of the designer during construction stage
through project design supervision.
6) Increase of the role and inclusion of the construction
supervisor during construction stage.
7) Interaction of all participants in projects of a private
client and application of cost-benefit bidding in
projects of a public client.
Explanation: The lowest-cost criterion hardly ever
provides the best results in practice.
Both models imply introduction of the following measures:

1) Participant objective adjustment.

2) Appointment of the project manager by the client.

3) Inclusion of the contractor or a construction expert during design

stage at projects of private clients and a construction expert at public
clients Explanation: Since public clients abide the Law on Public
Procurement, the contractor cannot be included during construction
stage.

4) Inclusion of future end-user at an as early project stage as possible.

5) Inclusion of the designer during construction stage through project

design supervision.
6) Increase of the role and inclusion of the construction supervisor
during construction stage.

7) Interaction of all participants in projects of a private client and

application of cost-benefit bidding in projects of a public client.
Explanation: The lowest-cost criterion hardly ever provides the best
results in practice.

The measurement introduction must be adapted to

every single project. However, in order to improve the
construction project procurement procedures, one must
make an influence on the wider community where the
project takes place and influence the changes primarily
within the legislative and the institutional frames.
The measurement introduction must be adapted to every single
project. However, in order to improve the construction project
procurement procedures, one must make an influence on the wider
community where the project takes place and influence the changes
primarily within the legislative and the institutional frames.

Future research must define legal

prerequisites which
enable application of non-traditional
procurement models.
This specially relates to Law on
Spatial Planning and
Construction and Law on Public
Procurement.
Furthermore, the research should be
directed towards
establishing appropriate new
procurement models in
public and private sectors under the
circumstances of an
amended legislation and
establishment of requirements
which must be met (not only at a
legal, but also at a real
operative and functional level),
especially in the design
and construction segment so that the
models could take
hold and be applied in practice. The
analysis of the stated
issues will become even more
interesting when the
Republic of Croatia enters the
European Union.
Future research must define legal prerequisites which enable
application of non-traditional procurement models. This specially
relates to Law on Spatial Planning and Construction and Law on
Public Procurement. Furthermore, the research should be directed
towards establishing appropriate new procurement models in public
and private sectors under the circumstances of an amended legislation
and establishment of requirements which must be met (not only at a
legal, but also at a real operative and functional level), especially in
the design and construction segment so that the models could take
hold and be applied in practice. The analysis of the stated issues will
become even more interesting when the Republic of Croatia enters the
European Union.