A QUANTITATIVE APPROACH ON IMPLEMENTATION OF PROJECT MANAGEMENT PRACTICES IN CONSTRUCTION INDUSTRY IN COIMBATORE ABSTRACT Construction sector is considered as a vital sector

in todays economy, due to the development in construction which is taking place in the world in general. The construction industry is directly responsible for approximately 6 percent of private employment (or 5 percent of total jobs). Project management emerged because of the growing demand for complex, sophisticated, customized goods and services and the exponential expansion of human knowledge. Project management ideas are equally applicable to small as well as very large projects. The objective of this research is to present and discuss the management of field construction projects. These projects involve a great deal of time and expense, so close management control is required if they are to be completed within the established time and cost limitations. Effective management of a project also requires a considerable background of general knowledge about the construction industry. Project management, seems to offer what is needed in terms of tools and techniques to raise industry standards. It aims to investigate the current level of application of project management and the obstacles that have prevented its introduction in the Indian construction industry. This study mainly focuses how effectively project management is used in Coimbatore Construction industry in order to reduce cost, improve time and focuses on results and quality. Two questionnaires were prepared and circulated among various construction companies within Coimbatore to know their knowledge about project management and how effectively they utilize the project management tools for the successful completion of the project within the stipulated time and cost. First questionnaire mainly focuses on the demographic factors and study factors of the company. The second questionnaire is framed based on five categories and their implementation of project management is understood clearly and an analysis is made to know the effectiveness of project management in Coimbatore Construction Industry. CHAPTER 1 INTRODUCTION 1.1 GENERAL Construction sector is considered as a vital sector in todays economy, due to the development in construction which is taking place in the world in general. Construction is a vital

sector contributing significantly to the economics of all countries. The construction industry must be dynamic to be able to respond to the changes that the world is constantly facing, as well as the social, economic, and technological challenges affecting all industries. The opportunities and problems in construction are different from those of the last century. The demands of clients, companies and employees differ from time to time, and thus the vision of the construction industry is always developing; to keep up, management must change too. Effective management of a project also requires a considerable background of general knowledge about the construction industry. 1.2 CONSTRUCTION INDUSTRY The construction industry is heterogeneous and enormously complex. There are several major classifications of construction that differ markedly from one another: housing, non-residential building, heavy, highway, utility, and industrial. In addition, these construction types are further divided into many specialties, such as electrical, concrete, excavation, piping, and roofing. The construction industry is directly responsible for approximately 6 percent of private employment (or 5 percent of total jobs). Not only does the construction industry touch the lives of virtually everyone on a daily basis; it occupies a fundamental position in many national economies. This large and pervasive industry is regarded as the bellwether of economic growth. Construction work is accomplished by contractors who vary widely in size and specialty. Some contractors choose to concentrate on a particular task or aspect of the construction project and are therefore referred to as specialty contractors. Others assume broader responsibility for a comprehensive work package and are referred to as prime contractors. Commonly, prime contractors will subcontract specific aspects of a project to the specialty contractors, forming a contractual web of prime contractors and specialty contractors. 1.3 CONSTRUCTION PROJECT Construction projects are intricate, time-consuming undertakings. The total development of a project normally consists of several phases requiring a diverse range of specialized services. In progressing from initial planning to project completion, the typical job passes through successive and distinct stages that demand input from such disparate areas as financial organizations, governmental agencies, engineers, architects, lawyers, insurance and

surety companies, contractors, material manufacturers and suppliers, and building tradesmen. During the construction process itself, even a structure of modest proportions involves many skills, materials, and literally hundreds of different operations. The assembly process must follow a natural order of events that constitutes a complicated pattern of individual time requirements and restrictive sequential relationships among the structures many segments. 1.4 PROJECT STAGES A construction project proceeds in a rather definite order; the stages of development that follow are typical. a) Planning and Definition Once an owner has identified the need for a new facility, he or she must define the requirements and delineate the budgetary constraints. Project definition involves establishing broad project characteristics, such as location, performance criteria, size, configuration, layout, equipment, services, and other owner requirements needed to establish the general aspects of the project. Conceptual planning stops short of detailed design, although a considerable amount of preliminary architectural or engineering work may be required. The definition of the work is basically the responsibility of the owner, although a design professional may be called in to provide technical assistance and advice. b) Design The design phase involves the architectural and engineering design of the entire project. It culminates in the preparation of final working drawings and specifications for the total construction program. In practice, design, procurement, and construction often overlap, with procurement and construction beginning on certain segments as soon as the design is completed and drawings and specifications become available. c) Procurement and Construction Procurement refers to the ordering, expenditure, and delivering of key project equipment and materials, especially those that may involve long delivery periods. This function may or may not be handled separately from the construction process itself. Construction is, of

course, the process of physically erecting the project and putting the materials and equipment into place and this involves providing the manpower, construction equipment, materials, supplies, supervision, and management necessary to accomplish the work. 1.5 CONSTRUCTION MANAGEMENT The term construction management is applied to the provision of professional management services to the owner of a construction project with the objective of achieving high quality at minimum cost. Such services may encompass only a defined portion of the construction program, such as field construction, or they may include total project responsibility. The objective of this approach is to treat project planning, design, and construction as integrated tasks within a construction system. Where construction management is used, a non adversarial team is created consisting of the owner, construction manager, architect-engineer, and contractor. The project participants, by working together from project inception to project completion, attempt to serve the owners best interests in optimum fashion. By striking a balance between construction cost, project quality, and completion schedule, the management team strives to produce for the owner a project of maximum value within the most economical time frame. Construction management does not include design or construction services per se, but involves management direction and control over defined design and construction activities. Construction management services are performed for the owner for a stipulated fee by design firms, contractors, and professional construction managers. Such services range from merely coordinating contractors during the construction phase to broad-scale responsibilities over project planning and design, project organization, design document review, construction scheduling, value engineering, field cost monitoring, and other management services. Construction management plays a vital role in the field of construction. It involves planning, organizing, directing and controlling a project. Planning involves what to do, when to do and who is to do it. 1.6 PROJECT MANAGEMENT 1.6.1 General Project management is the process of the application of knowledge, skills, tools, and techniques to project activities to meet project requirements. That is, project management is an

interrelated group of processes that enables the project team to achieve a successful project. These processes manage inputs to and produce outputs from specific activities; the progression from input to output is the nucleus of project management and requires integration and iteration. Project management emerged because of the growing demand for complex, sophisticated, customized goods and services and the exponential expansion of human knowledge. Project Management is a set of principles, methods and techniques for effective planning of objective-oriented work, thereby establishing a sound basis for effective scheduling, controlling and re-planning in the management of programs and projects. 1.6.2 Need for Project Management Save money through better planning of daily operations and the skill to make good decisions. Close management control of field operations Project conditions such as technical complexity, importance of timely completion, resource limitations, and substantial costs put great emphasis on the planning, scheduling, and control of construction operations. The greater the level of uncertainty in the project, the greater the need for exhaustive project planning and skilled and unremitting management effort The surest way for the contractor to achieve its own objectives, and those of the owner in the bargain, is by applying some system of project management. The project management tools and principles provide the means for Project breakdown into tasks and sub-tasks Finding interdependencies between the tasks Allocating resources, human and material and smoothing resources Estimation for total project duration and budget Monitoring more efficiently project progress

Project management ideas are equally applicable to small as well as very large projects (With small and large number of tasks) Project Management fulfills two purposes: Technical: Documentation techniques to communicate The 'plan' Status which compares 'planned' versus 'actual' performance Human: Managerial skills to be a better 'manager' of people as well as the project

1.6.3 Project Management Characteristics In its most common context, the term management relates to the planning, organizing, directing, and controlling of a business enterprise. Business management is essentially a continuing and internal activity involving that companys own personnel, finances, property, and other resources. Construction project management, however, applies to a given project, the various phases of which usually are accomplished by different organizations. Therefore, the management of a construction project is not so much a process of managing the internal affairs of a single company as it is one of coordinating and regulating all of the elements needed to accomplish the job at hand. Thus, the typical project manager must work extensively with organizations other than his own. In such circumstances, much of his authority is conferred by contractual terms or power of agency and is therefore less direct than that of the usual business manager. Project management is accomplished largely through the personnel of different employers working closely together. 1.7 SOFTWARE MANAGEMENT The development and use of software, such as Microsoft Project (MS Project) and Primavera, has helped greatly in automating many of the static calculations in complex projects, because templates for most charts, diagrams and reports are easily available through such software, after entering the data the user can easily create different types of project management planning and monitoring tools such as GANTT charts, PERT charts and CPM charts. Software can also be used to create the WBS forms, and can help the user create accurate records and

reports such as schedules, budgets and time-line changes, all of which are helpful in monitoring a project. CHAPTER 2 METHODOLOGY 3.1 General This chapter gives the overall view of the methodological approach used for studying the effective utilization of project management in construction industry. A quantitative management approach involves the use of mathematical modeling to find the best solutions to problems.

Fig.3.1 Flow Diagram of Research Methodology 1. Identification of problem

The engineering and construction industry faces formidable challenges. As a whole, the industry worldwide continues to perform unsatisfactorily. It suffers from low profit margin, persistent project overruns in schedule and budget, and it is plagued with claims and counter claims. Construction industry performance can be improved by use of an appropriate project delivery method. There are various factors which must be taken into consideration before selecting a particular project delivery method like type of project, project schedule, constructability challenges, project budget and project complexity so that the project can be completed on time, within budget and with the required quality. The decision of which project delivery method to use should be made early in the life of the project and preferably during the predesign phase.

2. Problem Definition After identifying the problem, it is very much essential to define the depth of the problem from where it is being occurred. Based on various factors the problem could be defined. To minimize the risk of getting off the right track, management must clarify the objective of the project well in advance by a) Defining management's intent in undertaking the project b) Outlining the scope of the project, that is, identifying the departments, companies, functions and staff involved and their approximate degree of their involvement c) Describing the end results of the project and its permanent effects, if any, on the company or division. 3. SELECTING THE BEST SOLUTION WITH THE AVAILABLE ALTERNATIVES
QUESTIONNAIRE SURVEY: A questionnaire is an instrument consisting of a series of and other prompts for the purpose of gathering information from respondents. A questionnaire is simply a tool for collecting and recording information about a particular issue of interest. It is mainly made up of a list of questions, but should also include clear instructions and space for answers or administrative details. Questionnaires should always have a definite purpose that is related to the objectives of the research, and it needs to be clear from the outset how the findings will be used. Respondents also need to be made aware of the

purpose of the research wherever possible, and should be told how and when they will receive feedback on the findings. Two questionnaires were framed based in which the first questionnaire highlights the demographic factors and study factors while the second questionnaire gives the SAMPLING: The purpose of sampling is to gather data about the population in order to make an inference that can be generalized to the population. Sampling is concerned with the selection of a subset of individuals from within a time frame to estimate characteristics of the whole population. Two advantages of sampling are that the cost is lower and data collection is faster. The sampling process comprises several stages: Defining the population of concern Specifying a sampling frame, a set of items or events possible to measure Specifying a sampling method for selecting items or events from the frame Determining the sample size Implementing the sampling plan Sampling and data collecting

INTERVIEW: Interviewing is not a science. Nor is it an art form. It is simply an imperfect form of human communication designed to increase the predictive validity of potential employer-employee relationships. And it is very imperfect. A list of questions is taken in to account and an interview is conducted to the top level management directly.

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DATA COLLECTION/ANALYSIS