The Specific issues to be evaluated during the Value Management Study:
Design of the project:
The design team has to decide upon the design of the project such as the type of building to be constructed, interiors etc.
Location of the Project:
The team has to look at the different sites available. The site should be easily accessible with good transport facility. It should be near to all the other offices of the TechWatt to have an easy link between all the offices.
Accommodation:
The accommodation should have a minimum capacity for 12 staffs and should also provide place for the visitors. All the required facilities has to be included such as dining area, bedrooms , kitchen, bath room, heating, good ventilation etc.
Workshop:
The work shop should have a capacity to easily accommodate 15 workers and should provide space to install all the machineries and other equipments. There fore it is recommended to go for a little bigger building taking into consideration the future expansion.
Ability to host visitors, meetings, conducts tours etc:
To conduct all the above, the facilities such as meeting halls, conference rooms, additional office area etc is required.
Budget:
The budget allotted for the project is approximately £5 million. The quality of the building has to be good within the project budget.
Additional facilities:
Additional facilities such as car parking have to be provided for the employees and the customers. Facilities such as common cafeteria, recreation centre etc must be provided for the employees.
Environmental Criteria:
Environmental assessment such as air pollution, noise pollution etc has to considered and needed steps has to be taken to eliminate all these factors.
The Role of Each Stake Holder Involved:
The stake holders involved in the value management study are:
Value Manager:
He is the head of the value management study. He initiates the meeting with the client and submits the value management report to the client. He should conduct studies on the time frame, quality and the project plan.
Architect:
Architect works on the design of the building based on the requirements given by the client. He is responsible for the design and he has to make sure that the design is giving value for money.
Structural Engineer:
The structural Engineer proves the structural design of the project. He is responsible for the structural stability and the safety of the building. He can change the architect drawing if there is no structural feasibility in the design.
Project Manager:
The Project Manager is the main representative from the client side who is responsible for the whole construction work. He calculates the time limit to finish the project and also looks in to the quality considerations.
Quantity Surveyor:
The quantity Surveyor is a main part and works on the cost aspect of the project. He will be responsible for selecting and delivering different materials for the construction. The estimates proposed by the QS will be very competitive.
Client:
The client is the owner of the project. The client will be providing his requirements to the project team. There fore his satisfaction with each of the proposals is very important.
Service Engineer:
The service engineer is involved in the service provided in the building such as electrical, plumbing, air conditioning etc.
The Information Client will need to provide to the Workshop Participants before Each Study:
The client provides the requirements he expects from the study to the stake Holders such as Architect, Structural Engineer, Quantity Surveyor etc. the information client has to provide are;
- The aim and the objective of the project.
Quality is an important factor and has to be considered for the project. All the materials used for the project should be of high quality and proper checking has to be done by the project manager.
The budget allotted for the project has to be clearly defined. This will help in calculating the coast control techniques. The whole life cycle cost of the project and the cost certainties also has to be evaluated. There fore a detailed value management study has to be carried out during the pre defining stage.
The time limit to complete the project has to be finalised and should be finished in the calculated time since it adversely affect the project budget. There fore the time required for the design and the execution of the project has to be calculated.
- The list of machineries going to be installed in the project. It is needed to fix the electrical connection.
- The value manager should be provided with the plans of future expansion if there is any.
- The list of stake holders involved in the discussion.
- Site Details:
The site consideration such as the size and shape of the site and the area in which the site is situated has to meet the project objective. The site is easily accessible to the city and proper transportation facility should be there.
Proposed Agenda for the Work Shop:
Conclusion:
The proposal regarding the key issues are submitted to the client. The value management study is expected to have a big impact on improving the success of the project. It is recommended to take out further value management studies at the later stages to make sure that the project is progressing in a positive way.
Risk Management Report
Introduction:
This report has been prepared to do a Risk Management for the TechWatt Corporation and develop a strategy on how to tackle the study in order to achieve the maximum possible out put.
TechWatt Corporation is a small but fast growing IT company producing both computer hard ware and soft ware systems. The company is considering investing in a regional HQ as part of an ambitious expansion plan, and are about to commission a major project for this. An amount of £5 million has been allotted for the project but no major decision has been taken yet either on the site or the design of the facilities.
The basic requirements TechWatt expect to have from the facility are:
- Provide an office accommodation for the management employees: i.e. a total of 12 staffs.
- Provide a work shop for high tech light manufacturing processes: i.e. a total of 15 staffs.
- Provide the ability to receive visits from clients and potential clients for meetings and to tour the facility.
The main stake holders included in the Value Management Study includes:
Client, Project Manager, Risk Manager, Quantity Surveyor, Architect, Structural Engineer etc.
The Specific issues to be evaluated during the Value Management Study:
Risk in the design:
The design risk includes:
- Errors in the drawing and design by the architects, structural engineer etc.
- Risk of finishing the drawing in the agreed time.
- Risk due to number of revisions made in the drawings.
- Risk due to the mistake in estimation and costing.
- Risk occurs when a team member in the design team resigns which results in the delay in delivering the drawing.
Risk arising by the contractor:
- Risk occurring due to the inexperience of the contractor in doing the kind of project.
- Risk occurring due to the lack of coordination with the sub contractors and the suppliers which results in delay of the work.
- Risk due to the manpower mismanagement and also due to the issues regarding claims, disputes etc.
- Risk due to the delay in payment of bill to the contractor by the client.
- Risk due to the hindrance happened due to the unpredictable climatic conditions.
- Risk in the delay of the project due to the use of low quality materials and equipments.
Risk arising by the client:
- Risk due to not giving insufficient information on the clients needs to the contractor.
- Risk due to delay in making important decision.
- Risk due to the wrong selection of procurement route to construction of the building.
- Risk of delay due to changes in the architectural drawing and the design calculations.
- Risk due to giving less attention for the project.
Risk arising in the site:
- Risk due to improper soil investigation in the site which results in problems like water logging etc.
- Risk due to problem with the transportation facility to the site which delays in the delivery of the materials to the site.
- Risk due to the change in the site and other site conditions.
- Risk due to the hazardous substances present which results in project delay.
- Risk in delay of the project due to the climatic conditions.
Other miscellaneous risks:
- Risk in delay of the project due to the delay in the approval from the local authorities.
- Risk due to some political interferences.
- Risk due to the problems raised by the neighbourhood property owners.
- Risk due to the existence of previous building in the site.
The Role of Each Stake Holder Involved:
The stake holders involved in the Risk management study are:
Risk Manager:
He is the head of the risk management study. He initiates the meeting with the client and submits the risk management report to the client. The risk manager will prepare a risk management evaluation report to submit to the client.
Architect:
Architect works on the design of the building based on the requirements given by the client. He is responsible for the design and he has to make sure that the design is proper and the risk of changes in the drawing is minimal.
Structural Engineer:
The structural Engineer proves the structural design of the project. He is responsible for the structural stability and the safety of the building. He can change the architect drawing if there is no structural feasibility in the design.
Project Manager:
The Project Manager is the main representative from the client side who is responsible for the whole construction work. He calculates the time limit to finish the project and also looks in to the quality considerations. He coordinates the construction team and make sure that the potential of risk is minimum.
Quantity Surveyor:
The quantity Surveyor is a main part and works on the cost aspect of the project. He will be responsible for selecting and delivering different materials for the construction. The estimates proposed by the QS will be very competitive.
Client:
The client is the owner of the project. The client will be providing his requirements to the project team. There fore his satisfaction with each of the proposals is very important.
Service Engineer:
The service engineer is responsible for the risk involved in the service provided in the building such as electrical, plumbing, air conditioning etc.
The Information Client will need to provide to the Workshop Participants before Each Study:
The client provides the requirements he expects from the study to the stake Holders such as Architect, Structural Engineer, Quantity Surveyor etc. the information client has to provide are;
- The aim and the objective of the project.
- Quality expectations:
Quality is an important factor and has to be considered for the project. All the materials used for the project should be of high quality and proper checking has to be done by the project manager.
The budget allotted for the project has to be clearly defined. This will help in calculating the coast control techniques. The whole life cycle cost of the project and the cost certainties also has to be evaluated. There fore a detailed risk management study has to be carried out during the pre defining stage.
The time limit to complete the project has to be finalised and should be finished in the calculated time since it adversely affect the project budget. There fore the time required for the design and the execution of the project has to be calculated.
- The list of machineries going to be installed in the project. It is needed to fix the electrical connection.
- The risk manager should be provided with the plans of future expansion if there is any.
- The list of stake holders involved in the discussion.
- Site Details:
The site consideration such as the size and shape of the site and the area in which the site is situated has to meet the project objective.
Proposed Agenda for the Work Shop:
Conclusion:
The proposal regarding the key issues are submitted to the client. The risk management study is expected to have a big impact on improving the success of the project. It is recommended to take out further risk management studies at the later stages to make sure that the project is progressing in a positive way.
References:
- Value Management of Construction Projects, John Kelly, Steve Male and Drummond Graham. (2007).
- Value and Risk Management- A guide to best practise, Michael. F. Dallas. (2006).
