Your company has bagged a lucrative contract to construct a housing

colony for an Industrial Group to be located in Western Maharashtra in a

coastal belt. You as a Project Manager have been asked by the company
to evolve Organization Structure with following conditions.

i. Organization should be as lean and thin as possible with

bare minimum of personnel on company roll upto Junior
Engineer level.
ii. All supervisors to down below will be temporary for project
duration only to be recruited locally from 10 km radius.

Suggest and discuss an organization structure denoting responsibility,

authority, communication control for all facets of construction work and
management functions as visualized by you.

Housing colony consists of 10 Bungalows for senior executives, 20

Apartments in five building, 100 dwellings for white collar workers and 300
dwellings for blue collared workers. Colony will have market and
entertainment complex.

Before starting the assignment we need to understand some basic term and
their functions of Organisation mgmt. such as Business Enterprise,
Enterpreneurship, Management and Organisation etc because these terms
are very important role in Organisation Mgmt.

Page 1 of 34
WHAT IS ENTERPRISE?

The business enterprise is a work organization especially created to produce

goods and services for the community. It produces goods for the market and
consumers that yield profits for the owners or dividends for share holders. It
generates services for employees in terms of jobs, careers, income, perks
and welfare. The enterprise provides a frame work for control and co-
ordination of diverse skills necessary for the achievement of the common
goal.

WHY PEOPLE JOIN AN ENTERPRISE

People join an Enterprise because they know that by co operation with one
another they can achieve for themselves more than what is otherwise
possible through individual efforts. Investor hope to earn higher dividend rate
from their portfolios. Enterpreneurs seek higher rewards and satisfaction
through enterprise.Managers draw professional recognition and look forward
to career development opportunities from the companies they work for.

FOUR BASIC FEATURE OF BUSINESS ENTERPRISE

1) A statement of aims and objectives, the purpose for which the

enterprise has been created. This may be stated in the form of
Memoranda of the Articles of Association in the case of limited
companies, trusts etc. or partnership deed of a firm.
2) An enterprise has a culture of its own which may be influenced by
personal philosophy and values of promoters and owners, social
environment and societal ethos expressed through methods and
procedures of work and conveyed through business policy and
communication system.

Page 2 of 34
 3) Every enterprise has a decision making and implementation machinery
to translate policies into actions.
4) There is a mechanism of socialization of new members structured into
recruitment, selection and training program which gives the new
comers the required behavior pattern.

FORMS OF BUSINESS ENTERPRISE

1. PROPRIETORY AND PARTNERSHIP FIRMS:

An individual or a group of person can float a proprietory firm with

single ownership or in partnership. In either event the liability of the
owner is unlimited and in case of loss the recoveries can be made from
any of the partner irrespective of his/her share holding ratio.But limited
liability is a great risk. The financial institutions hesitate ordinarily to
entertain requeste for assistance from such firms.

2. COMPANIES:
These are joint stock companies where the capital base is created
through sales of shares. In the case of private ltd. Companies, the total
number of share holders cannot be more than 50, share are not quoted
on stock exchange and liquidity of shares is restricted. Public limited
companies offer their shares to large public and the shares are widely
distributed amongst holders. Shares can be quoted on stock exchange
and they are liquid assets. Companies may be public limited but may
be held tightly or lightly by a family.
Financial Institutions like LIC, ICICI, IDBI, State financial corporations,
banks etc. lend large sum of money to the companies and may also
hold share in them. In fact it is hard to find a private sector company
where financial institutions do not play a significant role through supply
and control of funds.
Page 3 of 34
3. MULTINATIONAL CORPORATIONS:

Multinational Corporations have their head quarters in one country but

their operations in many countries. In its early stages, international
business was conducted with an ethnocentric outlook, that is, the
orientation of the foreign operation was based on that of the parent
company.
It is assumed that nationals have the best understanding of the local
environment. Regioncentric orientation favors the staffing of foreign
operation on a regional basis. The modern Multinationals corporations
has a geocentric orientation. This means that the total organization is
viewed as an interdependent system operating in many countries.

ADVANTAGE OF MULINATIONAL CORPORATION

Multinational corporations have several advantage over firms that have

a domestic orientation. Obviously the MNC can take advantage of
business opportunities in many different countries. It can also raise
money for its operation throughout the world. Moreover Multinational
firms benefits by being able to establish production facilities in
countries where their products can be produced most effectively and
efficiently.
The advantage of Multinationals operations must be weighed against
the challenges and risks associated with operation in foreign
environment. Finally multinationals must maintain good relations with
the host country, a task that may prove difficult because government
frequently change and corporations must deal with and adapt to these
change.

Page 4 of 34
 It is important to note that the goal of an enterprise is to attain the optimum
efficiency and effectiveness. An enterprise is a social instrument for the
creation of wealth for the nation.

ENTERPRISE PROFILE
The enterprise profile is usually the starting point for determining where
the company is and where it should go. Thus, top managers determine the
basic purpose of the enterprise and clarify the firms geographic
orientation, such as whether it operate in selected regions or even in
different countries. In addition, managers assess the firms’ competitive
situation.

ORIENTATION OF TOP MANAGERS

The enterprise profile is shaped by people, especially top managers, and their
orientation is important for formulating the strategy. They set organizational
climate, and they determine the direction of the firm. Consequently, their
values, their preference, and their attitudes toward risks have to be carefully
examined because they have an impact on the strategy.

STRATEGIES AND IMPLEMENTATION OF STRATEGIES

It is one thing to develop clear and meaningful strategies. It is another matter,
and one of very great practical importance, to implement strategies effectively.
If strategic planning is to be successful, certain steps must be taken to
implement it.

1. Communicating strategies to all key decision-making managers.

It does little good to formulate meaningful strategies unless they are
communicated to all those managers who are in position to make
Page 5 of 34
 decisions on programs and plans designed to implement them. Nothing
has been communicated unless it is clear to the receiver. Strategies
may be clear to the executive committee members and the chief
executive who participated in developing them. However, strategies
should be communicated in writing, and top executives and their
subordinates must make sure that everyone involved in implementing
strategies understands them.

2. Developing and communicating planning premises

Managers develop premises critical to plans and decisions, explain
them to all those in the decision making chain, and give instructions to
develop programs and make decision in line with them. If premises do
not include key assumptions about the environment in which plans will
operate, decisions are likely to be based on personal assumptions and
predilections. This will certainly lead to a collection of uncoordinated
plans.

3. Ensuring that action plans contribute to and reflect major

objectives and strategies.
Action plans are tactical or operational programs and decisions, major
or minor, which take place in the various parts of an organization. If
they do not reflect desired objectives and strategies, the result will be
vague hopes or useless intentions. If care is not taken in this area,
strategic planning is not likely to have bottom-line impact, that is affect
ion the profits. There are various ways of making sure that action plans
contribute to major goals. If manager understands strategies, all
managers can certainly review the recommendations of staff and line
subordinates to see that they contribute and are consistent, it is a good
idea for major designs to be reviewed by an appropriate small
committee, such as one including a manager’s superior and a staff

Page 6 of 34
 specialist. Budget should also be reviewed with objectives and
strategies in mind.

4. Reviewing strategies regularly

Even carefully developed strategies may cease to be suitable if
conditions change. Therefore, they should be reviewed from time to
time. Financial performance alone is an insufficient indicator of
company success; it requires scanning of external environment for new
opportunities and threats and revaluating internal strengths and
weaknesses. The competitive situation may be changed by new forces
requiring regular review of strategies.

5. Developing contingencies strategies and programs

If considerable change in competitive factors or other elements in the
environment occur, strategies for such contingencies should be
formulated. Even if there is considerable uncertainty and events may
occur that make a given set of objectives, strategies, or programs
obsolete, a manager has no choice but to proceed on the most credible
set of premises he/she can come up with that given time frame.
Contingency plans can provide a degree of preparation.

6. Making the organization structure fit planning needs

The organization structure, with its system of delegations, should be
designed to help managers accomplish goals and make decisions
necessary to put plans into effect. If possible, one person should be
responsible for the accomplishment of each goal and for
implementation of strategies to achieve this goal. The responsibility of
the various positions in the matrix organization should be clearly
defined.

7. Continuing to emphasize planning and implementing strategy

Page 7 of 34
 Even if an organization has a workable system of objectives and
strategies and their implementation, the system can easily fail unless
responsible managers continue to steer the nature and importance of
these elements. The process may seem tedious and unnecessarily
repetitious, but it is the best way to make sure that members of an
organization learn about them. Teaching does not necessarily mean
conducting seminars; rather, much of teaching can take place in day-
to-day interaction between superiors and subordinates.

8. Creating a company climate that forces planning

People tend to allow problems and crises of today to interfere with
effective planning for tomorrow. The only way to ensure that planning
will be done is to develop strategies carefully and to take pains to
implement them.

WHAT IS MANAGEMENT AND REQUIREMENT OF MGMT.:

One of the most important human activities is managing. Ever since people
began forming groups to accomplish aims they could not achieve as
individuals, managing has been essential to ensure the co-ordination of
individual efforts. As society has come to rely increasingly on group effort, and
as many organized groups have become large, the task of managers has
been rising in importance.
Management is the process of designing and maintaining an environment in
which individuals, working together in groups, efficiently accomplish selected
aims. This basic definition needs to be expanded:
i) As managers, people carry out the managerial functions of
planning, organizing, staffing, leading, and controlling.
ii) Management applies to any kind of organization
iii) It applies to managers at all organizational levels
iv) The aim of all managers is the same: to create a surplus.
Page 8 of 34
 v) Managing is a concern with productivity: this implies effectiveness
and efficiency
Management is the process of utilizing physical and human resources to
accomplish designed objectives. Management is the process of designing and
maintaining an environment in which individual working together in groups,
efficiently accomplish selected goals.
Management involves the organization, direction communication,
co ordination, and evaluation of people to achieve these goals.
Management is motivating, persuading and influencing others providing
leadership, promoting team work, exercising and delegating authority and
making decision.

Before any attempts to implement a project, the planners and

Implementers should set up goals and objectives.
A goal defines broadly, what is expected out of a project. A goal emerges
from the problem that needs to be addressed and signals the final destination
of a project.
Objectives are finite (limited) sub-sets of a goal and should be specific, in
order to be achievable.
The objectives should be :
Specific : clear about what, where, when, and how the situation will be
changed;
Measurable : able to quantify the targets and benefits;
Achievable : able to attain the objectives;
Realistic : able to obtain the level of change reflected in the objective; and
Time bound : stating the time period in which they will each be accomplished.
To achieve the objectives of a project, it is essential to assess the resources
required /
available. The planners and implementers should also identify the constraints
they may face in executing the project and how they can overcome them. The

Page 9 of 34
goals and objectives provide the basis for monitoring and evaluating a project.
They are the yardsticks upon which project success or failure is measured.

Activities at Mobilization Stage

Deployment of Plant & Machinery, Staff, Labour, Material, Money for initial
set-up and construction of Site Infrastructure as per schedule, agreed during
Tender.
Arrangement & submission of Performance guarantee, Bank guarantee for
mobilization & machinery advance, Labour license and Workmen
Compensation and other relevant Insurance policies (like CAR policy).
Initial arrangement of Staff & Labour Accommodation and their
Transportation, Telecommunication facilities and Bank account.
Activities at Construction Stage
The project activities are not individualistic, one–time events; they do overlap
at varying
levels throughout the project.
Study :
• Nature of the Project,
• Scope of work in BOQ,
• Commercial Conditions,
• Technical Specifications,
• Site Investigation Report.
� Quantity Estimation from Drawings and BOQ.
� Preparation of :
• Construction Schedule,
• Site Infrastructure Plan,
• Estimation & Scheduling of Manpower,
• Estimation & Scheduling of Materials,
• Estimation & Scheduling of Equipments,
• Cost Estimation and Cash Flow,
• Quality Assurance & Control Plan
Page 10 of 34
• Safety, Health and Environmental Plan,
• Work Procedures.
� Carry out :
• Preliminary Site Survey (like establishing Bench Mark),
• Site Clearance,
• Soil Investigation (if required),
• Mix Designs.
� Proceed with construction.
Check Design Aspects
Whether Soil Investigation carried-out by Customer.
If yes, study the Bore Log data and if not, conduct the soil investigation, where
required.
Check the soil condition.
Whether foundation is designed according to site’s soil condition or other
suitable / economical options can be worked-out.
Whether slope protection is required during open excavation.
Whether sub-soil de-watering arrangements are required.
If boulders are available, can it be crushed and used as aggregates for
concrete works or for boulder pitching / road works. (Check royalty clause
also).
Whether Project falls in Seismic Zone.
If yes, in which Zone.
Whether its effects are considered by designer while designing.
Whether any support is required to get the in-house design for Formwork,
Staging, Detailed fabrication drawings, Pre-cast yard, Culvert to approach site
etc.
Check the source of Stone Aggregates, Sand, Construction Water and type of
Cement.
Whether any recognized agency available near-by to check the suitability of
these materials.
Whether initial design mixes can be carried-out near-by by any recognized
Page 11 of 34
agency.
Whether it is possible to carry-out the steel fabrication on site.
If yes, arrange Welder pre-qualification process.
Check the availability of welding equipments.
Check the availability of testing facilities.

Resource Based Planning & Scheduling

Resource based planning and scheduling helps in advance, all activities of the
project undertaken. It also helps to plan, in advance, the inputs required for
the project, and also, take effective steps to make these inputs available at
the required time. It helps in fixing targets for achievement in terms of
milestone events, invoicing and contribution.
The resource based scheduling systems consists of following ten schedules :
1) Construction Schedule
2) Quantity Schedule
3) Schedule of Invoicing
4) Schedule of Staff requirement
5) Schedule of Labour requirement
6) Schedule of Material requirement
7) Schedule of Equipments requirement
8) Schedule of Direct Costs
9) Schedule of Overheads (Indirect Costs)
10) Cash Inflow and Outflow
These schedules enable timely mobilization of the required resources and
help in identification of bottlenecks in the early stages of project duration.
They also act as references for comparison with actual progress, cost of
construction and contribution at any time during the course of project
construction.

Scheduling, Execution and Monitoring

Page 12 of 34
� In Construction Schedule, the execution of the project is detailed according
to work sequence and thus this form the basis of day to day action plan.
� It also forms a major input for other schedules i.e. Schedule of Invoicing,
Manpower Schedule, Material Schedule, Equipment Schedule, Schedule
of Direct Cost and Schedule of Indirect Cost.
� Hence this is of vital importance.
� The procedure to be followed in preparation of Construction Schedule are :
• Study the scope of work in detail from tender drawings / most recently
available drawings,
• Decide on the sequence of construction including methods to be adopted
and equipment to be used,
• A major project is cut down into a number of activities (tasks),
• All these activities are arranged in a logical sequence,
• It should be prepared, taking into consideration milestone events in each
structure and also inter dependency of activities between structures,
• Before an activity may begin, all activities preceding it, must be completed,
• Organize activity concurrently (parallel) to make optimal use of resources.
• Minimize activity dependencies to avoid delays caused by one activity
waiting for another to complete.
Estimate resources for activities
Identify activity dependencies
Identify activities
Allocate resources to activities
Create Construction Schedule
• Inter dependencies arises due to the sequencing of activities, constraints
such as utilization of a common resources or structural orientation when the
product of a preceding activity must be available to the succeeding activity,
• It should also take into account commencement dates of all inputs and other
factors affecting these activities,
• Prepare Schedule assuming most likely time period for each activity,
• Each activity is assigned time and other necessary resources like quantity,
Page 13 of 34
manpower, plant and cost,
• Resources should be assigned in all activities and in particular on the critical
path,
• On a review, if it is found, that the critical path is too taxing on the
resources, then alternative methods, alternative resources and re-working of
the Schedule may become necessary,
• Initially the duration arrived at, as described above may not fit in the desired
time of completion as per contract,
• The whole exercise is to be repeated to review and fit in,
• The unexpected always happens. Always allow contingency in planning,
• Do resource leveling :
o If resource fits with minimum idle time in between the deployment and
does not contain peaks and troughs, then the leveling is already done.
o If it does contain peaks and valleys the, idle times are to be eliminated
first by reviewing the logic in the program so as to ensure continuous
deployment,
o Then reshuffle utilization of the resources to avoid peak requirements
based on the floats in the activities. While utilizing the floats, care is
also to be taken not to make the entire program critical.
� The Construction Schedule will form the basis of all monthly / weekly
programmes made at site.
� Submit the construction schedule and work procedures to Client for
approval.
� Proceed for Construction on the basis of approved schedule and work
procedure.
� Prepare Monthly Construction Schedule for execution purpose.
� Monitor construction activities on day-to-day basis and evaluate resource
utilization.
� In case of slippage in construction schedule, at any stage :
• Identify the cause of failure, scrutinize and analyze the gap,
• Update construction schedule, as per project requirement/s for all balance
Page 14 of 34
activities,
• Plan mobilization of additional resources, as required.
� Go-ahead with revised construction schedule.
� Complete the project and hand-over to Client.

SCOPE OF WORK

I as a project manager for this particular project would have the following
duties and responsibilities in the scope of work of the company to evolve
Organization Structure with following conditions.
Organization should be as lean and thin as possible with bare minimum of
personnel on company roll upto junior Engineer level. All Supervisors to down
below will be temporary for project duration only to be recruited locally from
100km radius.
To build a housing colony consists of 10 bungalows for senior executives, 20
Apartments in five buildings, 100 dwellings for white collar workers and 300
dwellings for blue collared workers. Colony will have market and
entertainment complex.
The very basic scope of work includes the following:
i) The organization structure.
ii) Communication system which includes the reporting inside and
outside the organization.
iii) Authority and litigation
iv) Motivation of the all employees at different levels of the organization
v) Training of employees, specially the unskilled labour. The different
types of training incorporated.
vi) Recruitment ,application and selection of employees
vii) Monitoring and controlling each facet of the organization structure
built up.

Page 15 of 34
CHARACTERISTICS OF CONSTRUCTION INDUSTRY

Below are listed characteristics of the construction industry as it exists today.

These characteristics have a meaning to the kind of managerial strategies
that could be developed.
i) Construction is large industry of small firms.
ii) Construction industry is client oriented instead of production
oriented
iii) Construction industry is primarily contracting. All relationships are
contractual and exist during project life only.
iv) Entry into construction industry is easy due to lack of
registration/licensing and low initial capital requirement.
v) Construction industry has inter-dependence between many
heterogeneous disciplines and professions.
vi) Construction is labor intensive industry(in terms of role of labor)
vii) In construction industry product is first sold and then made.
viii) In construction industry each product made is unique. There is no
repetitive work at all.
ix) In construction industry plant and machinery are not fixed. They
move from site to site.
x) In construction industry work is seasonal, labor is casual and
temporary, sub-contracting is common.
xi) In construction industry production is done at sites under
natural/hazardous conditions. Safety is of paramount importance.
xii) In construction industry employment relations are contractual and of
short duration and hiring is project based.
xiii) In construction industry unionization is difficult, unions are unstable,
and unions are difficult to deal with.
xiv) Participants in construction are contractors, clients, government.
They come together around project.

Page 16 of 34
 xv) Project-The project is the design and production of construction
facility.

The work performed by the organization involves a number of processes and

sub processes,
the process model can be applied iteratively, by means of :
• Identifying inputs (from the output of the previous stage).
• Planning & Scheduling.
• Implementation.
• Monitoring.
• Recording.
• Improving.

ENTERPRENEURSHIP
Enterprise are developed by people and managed by people. Those who
develop and promote companies are entrepreneur and once developed, the
enterprises are run by managers.
Is a professional manager who rose to become chairman of the board an
entrepreneur? Does a civil servant on appointment as Managing director of
public corporation become an entrepreneur? Will an entrepreneur who
promoted a company and sat down to run it be called a manager? There are
no clear cut answer of these questions. And yet management educators
concerned with training and employers who seek to hire suitable managers
should distinguish between the two roles.
An Entrepreneur is one who undertakes an economic venture, owns,
organize, promotes and manages it and assume the risk of business.
Whether a person is trained or not success in business depends on how well
a person is able to find the problems that need to be solved.
An Entrepreneur is supposed to display “Operant behavior” vis-a vis the
“respondent behavior” displayed by managers who are experts in problem
solving and decision making.
Page 17 of 34
ORGANIZATION

This refers to the structure of authority relationship which results from

organization process. For most practicing managers the term organization
implies a formalized intentional structure of roles or positions. Organizing is
the second management process, next to planning. The organizing process
brings together the basic resources of an enterprise in an orderly manner, and
arranges people in an acceptable pattern so that they could perform the
required activities efficiently and achieve objectives. It is the process that
enables people to work together effectively in an enterprise.

ORGANIZATION STRUCTURE

Looking at organizing as a process requires that several fundamentals be

considered.
1. The structure must reflect objectives and plans, because activities
derive from them
2. It also should reflect the authority available to an enterprise
management. Authority in a given organization is a socially determined
right to exercise discretion: as such, subject to change.
3. The organization structure like any plan must reflect its environment.
Just as the premises of a plan may be economic, technological,
political, social, or ethical, so may be those of an organization
structure. It must be designed to work, to permit contributions by
members of a group, and to help people gain objectives efficiently in a
changing future. In this sense, a workable organization structure can
never be static. There is no single organization structure that works
best in all kinds of situations. An effective organization structure
depends on situation.

Page 18 of 34
4. Since organization is staffed with people, the groupings of activities
and the authority relationships of an organization structure must take
into account peoples limitations and customs. This is not to say that the
structure must be designed around individuals instead around goals
and accompanying activities. But an important consideration is the
kinds of people who are to staff it.

Page 19 of 34
Model Organizational Structure for Construction Industry

Page 20 of 34
 Objective and Path:

To exercise management control the learning path shall primarily be in three

stages:
Third Stage:
 Improvement in Productivity & Revenue
 Optimum Utilization of resources
 Control of wasteful expenditures
 Financial Planning
 Contracts Management
 Leadership Skill
 Administrative Control

Page 21 of 34
First Stage:
Experience in Work Process
Creation of Database with monitored data on time motion study,
resource utilization and output cost
Analysis of data and Evaluation
Second Stage:
Planning -
Time - Activity
Resource
Cash flow & Cost budgeting
GAP Analysis between planned targets and actual achievements
recorded through monitoring process
Quality Plan and Quality Assurance, Awareness in ISO 9001 : 2000
Health Safety Environment (HSE)
Documentation & Reporting

ORGANISATION ANALYSIS

Organisation analysis is the technique used very often by management

consultant to study the organization, identify its strengths and
weakness, locate the areas where changes are needed and to report
to the clients.
Periodically companies also report to organization analysis for corporate
planning.

The Organisation analysis is done for the following purpose:

To know the organization structure

a. Various functions
b. Status of each function and functionary
c. Reporting relationship
Page 22 of 34
 d. Authority flow
1. To identify weak points in the organization
2. To locate points that are not updated and update them.
3. To ensure that authority is commensurate with responsibility at each
stage.
4. Each person has one boss only. One man receives instructions from one
person only and to remove anomaties if any.
5. To see that formal organization is commensurate with informal
organization.
6. To help work out job description and process charts.

SITE ORGANISATION

Essentially a project for getting success needs a good responsible team.

The team works with a goal of completing the project in time within the
specified costs and quality specifications. To achieve the aforesaid goal,
the work and responsibilities are divided within the team. The work
management will be as per the chart showing the site organization team.
The brief role and responsibilities of various personals involved in the
project are as follows.

PROJECT MANAGER

He is appointed by the head office to look after the complete project. He

is the head of the project team and is responsible for any act at site. He
manages the entire construction process and is accountable to the
client. He should get all site and head office related information.

If any decision is needed the project manager would be the top most
authority to give or arrange the answer of the decision.

Page 23 of 34
PROJECT CO-ORDINATOR

The decisions at head office and the problems or demands at site are
coordinated by the project coordinator. Project coordinator acts as a link
between the project manager and site engineer. He should be very well
aware of the work happening at site and the decisions taking place at
head office. It would be his duty to provide the project information to
project manager.

SITE ENGINEER

The key person and the head of the team working at site, is the Site
Engineer. He operates the complete work at site making use of the
available resources and managing the workforce. Site Engineer would
be responsible for any work happening at site so it would be his duty to
check and study the execution of work

ASSISTANT ENGINEER

Site engineer needs a proper team composed of engineers, supervisors

and skilled and unskilled workforce at site. To share his workload he is
accompanied by assistant engineers and junior engineers who provide
him all the details of the work asked by him.

FOREMAN
A foreman is the leader of the workforce.
It would be his responsibility to communicate directly to the workforce.
After getting approval of a drawing it would be the duty of the foreman to

Page 24 of 34
 dictate the workers “what to do” and to check the work progress. In fact
the foreman handles the labors.

COMMUNICATION AND REPORTING SYSTEM

After forming the team which will execute the construction process, a
proper communication and reporting system is formed at site. It would be
the duty of all persons included in the team to make the coordination
among them and to carefully look after their allotted responsibilities.
They will have to make a communication chain providing information of
the project to all the other senior or junior persons involved in the work.
The communication and reporting system will be done as per the chart
attached.

MOBILIZATION

After studying the project and forming a team with an effective system of
communication, work at site will progress in following manner
.
PHASE I
First of all fencing will be done all around the site. This fencing will be
either of permanent nature like brick wall boundary or of temporary
nature like wire fencing as per instruction issued by the head office.
After the fencing a name board will be erected at the entrance of the site.
The name board will include following details

i) Name of the organization or client

ii) Name of the organization or client

Page 25 of 34
 iii) Name of the Project Management Group (Head Office)

iv) Name of the architect

v) Names of the consultants

Structural Engineer
Services consultant (Plumbing and electrical)
Fire Safety etc.

vi) Project Area details

vii) Project cost

PHASE II
Site will be cleared and leveled. All the unwanted materials like bushes,
trees, stones, waste particles etc. will be removed from the site.
Trenches will be filled and extra sand will be excavated to make the site
leveled.

PHASE III
Construction of

i) site office,
ii) camps,
iii) equipment yard,
iv) stacking yard,
v) stores,
vi) services
vii) Security Posts

Page 26 of 34
PHASE IV

Proposed construction work in actual starts at site after demarcation at

site.

EFFECTIVE COMMUNICATION

The following points should be borne in mind

1. The object and purpose of the communication must be clearly known
2. The form and medium of the communication should be appropriate
3. The language of communication, both written and verbal should be
understandable by the receiver.
4. Information/message/instruction should be complete and
unambiguous. It should not be based on any assumptions
5. There should be a proper follow up.

MOTIVATION OF TEMPORARY EMPLOYEES

As a project Manager I must motivate temporarily assigned individuals by

appealing to their desires to fulfill the highest two levels. Of course, the
motivation process should not be developed by making promises that
cannot be met. As a Project Manager I must motivate by providing:

• A feeling of pride or satisfaction for one’s ego

• Security of opportunity
• Security of approval
• Security of advancement, if possible
• Security of promotion, if possible

Page 27 of 34
 • Security of recognition
• A means for doing a better job, not a means to keep a job

Understanding professional needs is an important factor in helping people

realize their true potential. Such needs include:
• Interesting and challenging work.
• Professionally stimulating work environment.
• Professional growth.
• Overall leadership (ability to lead)
• Tangible rewards
• Technical expertise (with in the team)
• Management assistance in problem solving
• Clearly defined objectives
• Proper management control
• Job security
• Senior management support
• Good interpersonal relations
• Proper planning
• Clear role definition
• Open communications
• A minimum of changes

Motivating employees so that they feel secure on the job is not easy,
especially since a project has a finite lifetime. Specific methods for
producing security in a project environment include:
• Letting the people know why they are where they are.
• Making the individuals feel that they belong where they are.
• Placing individuals in positions for which they are properly trained.
• Letting the employees know how their efforts fit into the big picture.
Page 28 of 34
 Since project manager cannot motivate by promising material gains,
then I must appeal to each person’s pride. The guidelines for proper
motivation are:
• Adopt a positive attitude.
• Do not criticize management.
• Do not make promises that cannot be kept.
• Circulate customer reports.
• Give each person the attention he requires.

There are several ways of motivating project personnel. Some effective ways
include:
• Giving assignments that provide challenges.
• Clearly defining performance expectations.
• Giving proper criticism as well as credit.
• Giving honest appraisals
• Providing a good working atmosphere.
• Developing a team attitude
• Providing a proper direction

The Motivator- Hygiene Approach to Motivation

Closely related to Maslow’s theory, Frederick Herzberg’s research

purports to find a two factor explanation of motivation. All needs have been
classified into two groups. In one group are things such as company policy
and administration, supervision, working conditions, interpersonal
relations, salary, status, job security and personal life. These were found
by Herzberg to be only ‘dissatisfies’ and not motivators. Further if they
exist in a work environment in high quantity and quality, they do not

Page 29 of 34
motivate or give satisfaction; their lack or absence would however cause
dissatisfaction.

In the second group, Herzberg listed ‘satisfiers’ or motivators. All relate to

job content. These include the factors of achievement, recognition,
challenging work, advancement and growth in the job. Their existence will
yield feelings of satisfaction or no satisfaction.

The first group of factors Herzberg called ‘maintenance’ or ‘hygiene’

factors. Their present will not motivate people in an organization; yet they
must be presence or dissatisfaction will arise. Herzberg has also made
clear that motivation will not be very effective if hygiene factors are
missing. The second group or the ‘job content’ factors are the real
motivators because they have the potential of yielding a sense of
satisfaction. This theory implies that managers, to motivate others must
give considerable attention to upgrading job content.

Herzberg’s two factor theory cast a new light on the content of work
motivation. Up to this point, management had generally concentrated on
the hygiene factors. When faced with a morale problem, the typical
solution was higher pay, more fringe benefits and better working
conditions. However, as has been pointed out, this simplistic solution did
not really work. Management are often perplexed because they are paying
high wages and salaries, have an excellent fringe benefit package and
provide great working conditions, but their employees are still not
motivated. Herzberg’s theory offers an explanation for this problem. By
concentrating only on the hygiene factors, management is not motivating
their personnel. Job enrichment was thus a direct outgrowth of Herzberg’s
work.

Page 30 of 34
 There are probably very few workers or managers who do not feel that
they deserved the raise they received. On the other hand, there are many
dissatisfied workers and managers who feel they did not get a large-
enough rise. This simple observation points out that the hygiene factors
seem to be important in preventing dissatisfaction but do not lead to
satisfaction. Herzberg would be the first to say that the hygiene factors are
absolutely necessary to maintain the human resources of an organization,
dangling any more in front of employees will not motivate them. According
to Herzberg’s theory, only a challenging job which has the opportunities for
achievement, recognition, responsibility, advancement and growth will
motivate personnel.

The Relationship of the Maslow and Herzberg theories of Motivation

While Maslow helped in identifying needs or motives, Herzberg provided

insights into the goals and incentives that tend to satisfy these needs.

MASLOW

Motives
(Needs)

BEHAVIOR

Goal
(Incentive)

HERZBERG

Thus, in a motivating situation, if the project manager knows what are the high
strength needs (Maslow) of the individuals he wants to influence, then he
Page 31 of 34
should be able to determine what goals (Herzberg) he could provide in the
environment to motivate those individuals. At the same time, if the project
manager knows what goals these persons want to satisfy, he can predict what
their high strength needs are. That is possible because it has been found that
money and benefits interpersonal relations and supervision are example of
hygiene factors that tend to satisfy needs at the esteem and self-actualization
levels.

TYPES OF TRAINING

RECRUITMENT/APPLICATION/SELECTION
Training is an inseparable part of staffing. There are three types of training
namely Induction training, Job training and refresher training.
Training is work oriented and is aimed at imparting specific skills for doing a
particular job. It is continuous process.
Through a medium of certain test candidates are selected for the particular
recruitment, these tests are namely:
1. Trade test or performance test particularly for jobs where certain skills
and knowledge is expected.
2. Group discussions to judge candidate’s ability to work in a group, his
response to suggestions or views from other, self confidence etc.
3. Medical examination to ensure physical fitness.
4. Intelligence tests to judge the candidates mental alertness, reasoning
ability and general level of intelligence.

AUTHORITY & LEADERSHIP

Authority is the legitimate right to direct and influence the performance of
others. When we speak of authority in managerial settings, we usually refer to
the power of positions. At the same time it may be noted that other factors
such as personality, style of dealing with people, expertise, competence, etc

Page 32 of 34
condition the extent to which the authority of a position and the person
occupying it is accepted by the subordinates.
A person may be having authority but his subordinates are not willing to
accept it or support him / her. Leadership comes into the picture. Persons in
authority should also have corresponding leadership qualities which motivate
and enthuse subordinates to accept them in that role.

Page 33 of 34
Page 34 of 34