CONFIDENTIAL

EC/OCT 2010/ECM527

UNIVERSITI TEKNOLOGI MARA

FINAL EXAMINATION

COURSE

ENGINEERING PROJECT AND RESOURCES

MANAGEMENT

COURSE CODE

ECM527

EXAMINATION

OCTOBER 2010

TIME

3 HOURS

INSTRUCTIONS TO CANDIDATES
1.

This question paper consists of four (4) questions

2.

Answer ALL questions in the Answer Booklet. Start each answer on a new page.

3.

Do not bring any material into the examination room unless permission is given by the
invigilator.

4.

Please check to make sure that this examination pack consists of:
i) The question paper
ii) An answer booklet - provided by the faculty

DO NOT TURN THIS PAGE UNTIL YOU ARE TOLD TO DO SO

This examination paper consists of 5 printed pages
Hak Cipta Universiti Teknologi MARA

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EC/OCT2010/ECM527

QUESTION 1
a)

Discuss the importance of each of the Project Management objectives.

(5 marks)

b) The need of Project Management in Malaysia is increasing due to challenges faced by

the Malaysian construction industry. Illustrate these strategic and operational
challenges.
(10 marks)
c)

In performing project closure, several activities are essentially required. Point out and
explain in detail the project closure activities.
(10 marks)

QUESTION 2

a)

Prepare a Precedence Diagram for a renovation project, using the information given in
Table 2(a).

Activity

Predecessor

Duration

A
B
C
D
E
F
G

A
A
B
B
C
D, E, F

4
5
3
6
4
3
7

Constraints
Predecessor Relationship
-

SS4

FS3

Table 2(a)
(3 marks)

b)

Referring to the diagram drawn earlier, carry out calculations in order to obtain the
earliest and latest start and finish date for each activity. The project will begin on 1st
July 2010. The working days for this project will be from Mondays to Saturdays,
inclusive of public holidays. Therefore, only Sundays will be the non working days.
Calendar is provided in Table 2(b).
(14 marks)

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EC/OCT 2010/ECM527

MONDAY

TUESDAY

WEDNESDAY

5
12
19
26

6
13
20
27

7
14
21
28

THURSDAY
1
8
15
22
29

FRIDAY
2
9
16
23
30

SATURDAY
3
10
17
24
31

SUNDAY
4
11
18
25

Table 2(b)
c) Differentiate the elements contained in pre tender planning and pre contract planning.
(8 marks)

QUESTION 3
a) Outline and describe the documents required in a project charter.
(12 marks)
b)

A construction firm is given a contract to complete a project in four months, which values
at RM 18, 000. A Gantt chart for the project was prepared and is shown in
Figure Q3(b), together with the budgeted cost for each activity.

JANUARY
FEBRUARY
Activity A (RM 3,
000)
Activity B ( RM 6, 000)

MARCH

APRIL

Activity C (RM 3,
000)
Activity D (RM 6, 000)
Figure Q3(b)
As of end of March, progresses of the activities on site are as follows:
Activity A - 100% completed
Activity B - 75% completed
Activity C - 50% completed
Activity D - 10% completed
Total cost spent = RM 16, 500
With the information given above, assess the status of the project at the end of March, by
providing answers for the following items:
i) The Earned Value (EV), Planned Value (PV) and Actual Cost (AC) for the project.
ii) Cost and schedule indices.
iii) Percentage of over/under budget and ahead/behind schedule
iv) Estimated at completion (EAC)
(13 marks)

Hak Cipta Universiti Teknologi MARA

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EC/OCT 2010/ECM527

QUESTION 4

a)

Describe the difference between Performance Effectiveness and Performance

Efficiency. Illustrate the difference by plotting them in the form of matrix.
(5 marks)

b) Ahmad is considering three options to further develop his company next year.
Table 4(b) shows the option as opposed to its nature of demand, given the annual
payoff respectively.
Nature olF demand
Options
Unfavourable
Favourable
Expand
RM 3, 000
RM 15,000
Move to larger facility
RM - 1 , 000
RM 25, 000
Do nothing
RM 7, 000
RM 10, 000
Table 4(b)
Based on the given information, propose the decisions to be made by Ahmad using
these criterions:
')
ii)
Hi)
iv)

Maximax Criterion
Maximin Criterion
Laplace Criterion
Minimax Regret
(10 marks)

c)

Lunas Sdn. Bhd. is considering to purchase an equipment, whereby the details

required to look into the investment are as follows:
Initial cost = RM 80, 000
Life span = 10 years
Salvage value = RM 3, 000
Annual profit = RM 14, 000
Annual maintenance = RM 2, 000
Major service expenditure (Every 5 years) = RM 3, 000/ service
Compound Interest Factor = 8%
Analyse the worth of this investment using the Present Value Method and suggest
whether Lunas Sdn. Bhd. should proceed or cancel their investment plan. Compound
Interest Table for 8% is given in Table 4(c).
(10 marks)

Hak Cipta Universiti Teknologi MARA

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EC/OCT 2010/ECM527

Single Payment
Compound

N
I
i

Present

Amount.

Worth

.Factor

Factor

fF/p^VJ
i.(*in

(P/FW)

' . A m o u n t
'-

Sinking .
Fund

Factor

Factor -

(RCUNJ

' Present

Capital

Gradient

Gradient

' Worth

Recovery

Uniform

Present

Factor

Serf**

Worth

(AJGXN)

(PW*N)

Factor

8.0%

G r a d l e n it Scries

K q u a l Payment Scries Compound

WFN}

tPtAW>

WW*>:

0.9259

1.0000

1.0000

0.9259

1.0800

o.ouun

0.0000

1.1664
1.1597

0.8573

20800

0.4808

1.7333

0.5608

0.4KOR

0.8573

0.7938

3.2464

0.3080

2.5771

0.3880

0.9487

l.3tf

4.5061

0.2219

3.3121

0.3019

1.4040

2.4450
4.6501

5.8666

0.1705

3.9927

0.2505

I.K465

7.3724

5
6

1
i

4
5

I.4S93

0.7350
0.6306

1.5869

0.6302

7.3359

0.1363

4.6229

0.2163

2.2763

10.5133

1.7138

0.5S35

B.9228

0.1121

5.2064

0.1921

2.6937

14.0242

R
9

1.8509

0.5403

10.6366

0.0940

5.7466

0.1740

3.U985

17.8061

1 9990

0.5002

12.4376

0.0801

6 2169

0.1601

3.49 iO

21.8081

8
1

ifl

2 1589

0.4632

14.4366

0.0690

6.7101

0.1490

3 8733

25.9768

10

2.3316

0.4289

7.1 yv.l

0.1401

4 2395

30.2657

II

2 ".182

0.3971

16.6455
18.9771

0.0601

i;

0.0527

7.5361

0.1327

4.5957

34.6339

12

13
i4

2 719s

0.3677

2I.4')53

0.0465

7.903 H

0.1265

39.0463

13

2.9372

0.3405

24.2149

0.0413

0.S213

43.4713

14

.5

3.1122

U.3J52

27.1521

0.0368

S2442
8 5595

4 9402
5 ^T-I;

0.1168

5.5945

47.8857

15

i6

3.41<9

0.29J9

30.3243

0.0330

8.8514

0 . ! 130

5 9046

52.2640

17

3.7000

0.2703

33.7502

0.0296

56.58*3

16
17

3.99S0

0.2502

37.4502

0.0267

0.1096
0.1067

6.2037

!K

9.1216
9.3719

6.4920

60.8426

13

19

4.3157

0.2317

41.4463

0.0241

9.6036

0.1041

6.7697

65.0134

19

3)

4.6610

0.2145

45.7620

0.0219

9.8 IS 1

0.1019

7.02*9

69.0898

20

21

5.033 S

0.19R7

50.4229

0.0998

7.2940

73.0629

21

5.4365

0.1839

55 4568

0.019s
0.01 HO

10 0168

I0.2IS07

0.0980

7.54 i 2

76.9257

i i

23

5.8715

0.1703

M i SIS'*

0.0164

10 3711

0.0964

7.7786

80.6726

23

-t
1

2+

Ci.3412

0.1577

66.7643

0.0150

10 5289

0.0950

24

6.8485

0.E460

73.1059

0.0137

10.6748

0.0937

8.0066
3.2254

S4.2997

25

87.8041

25

2ft

7 3964

0.1352

79.544

0.0125

10 3 1 0 0

0.0925

3.4 352

9!.1842

27

7 9HBI

0.1252

S7 3503

0.0114

10.9352

0.0914

X 6363

94.4390

26
27

78

K.<27|

0.1159

95.3338

0.0105

11.0511

0.090.5

8.K289

97.5>B7

28

29

9.3 r s

0.1073

[03.9659

0.0096

11.1534

0.0896

9 . 0 ! 33

100.5738

29

30

1(1 0627

0.0994

113.2832

n.ex%8

11.2578

0.0888

9.1K97

103.4558

30

31

fO ("")77

0.0920

111.3459

0.0081

11.3498

0.0881

9.35S4

106.2163

31

32

! l 7371

0.0K52

134.2135

0.0075

11.4350

0.0875

9.5197

I0S.8575

32

33
34
35

12.6760

0.0789

145.9506

axxm

11.5139

0.0869

9.67.17

111.3819

33

13.6901

0.073O

158 6267

0.0063

11 .5869

0X1863

9.R20K

113.7924

34

14.7853

0.0676

171 3Krt

0.0058

1 1.6546

0.0858

9.90 i l

116.0920

35

40

21.7245

0.0460

259.0565

O.CB39

11.9246

0.0839

111.5699

S26.0412

40

4?

31.92(4

0.0313

3Stv505&

0.0026

1 2 1034

0.0826

110447

133.7331

45

50

0.0213

573 7702

0.0017

12 2335

0.08 J 7

1 1.4107

539.5928

50

55

46.9016
68.9139

0.0145

K4N.y232

0.0012

12 3186

0.0812

1 1.6902

144.0065

.55

60

SO t. 257]

0.0099

1253 2133

coons

12.3761

0.0808

11.9015

147 .3000

6ft

dS
70

I4N779*

O.OD67

IS47.2481

0.0005

12.4160

0.0805

12.0602

149.7387

65

2is60&4

0.0046

2710.0301

0.00O4

12 4 4 2 *

0.0S04

12.1783

i 51.5316

70

75

321 2045

0.0031

401)2.5566

0.0002

12.4611

0.(1302

12.2658

152.8448

75

KO

47I.954H

0.002!

5886.9354

0.0002

12 4735

0.0802

12.3101

153.8001

SO

h5

693 4565

0.0014

8<i55.7l>61

U.0001

1 2.4320

0.0801

12.3772

! 54.4925

85
90

90

Ki;K9l5l

0.0010

12721.9336

0.0001

11.4377

0.0801

12.411"

154.9925

95

1497 1205

0.0007

O.OuOl

12.4917

0.0801

12.4165

155.3524

95

100

2199 7 6 1 '

0.0005

I S 7 0 I SCKi'i
27484 5157

O.OOiX)

1 2.4943

0.0800

12.4545

155.6107

HH>

Table 4(c)

END OF QUESTION PAPER

Hak Cipta Universiti Teknologi MARA

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