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I. Lxecunve Summary

1he rsL parL of Lhe reporL lnLroduces Lhe Lheorles and pracuces of consLrucuon pro[ecL
managemenL (M). ro[ecL ManagemenL alms aL achlevlng goals and ob[ecuves Lhrough Lhe
planned expendlLure of resources LhaL meeL Lhe quallLy, cosL, ume, scope, and safeLy
requlremenLs. 1here are 4 Lypes of managemenL Lheorles whlch can be applled Lo consLrucuon
managemenL and many oLher organlzauons and companles. 1he Lheorles are Lhe Classlcal School,
Lhe Puman 8elauons School, Lhe SysLem School and Lhe Conungency School.

ulerenL conLracL managemenL and procuremenL meLhods and pracuces ln Pong kong and
overseas are also lnLroduced. SWC1 analysls ls done on Lhe currenL conLracL managemenL
pracuces ln Pong kong, lncludlng lump sum xed-prlce conLracLs, consLrucuon managemenL
conLracLs, managemenL conLracung and ueslgn and 8ulld (u8) conLracLs.

SLrengLhs and weaknesses of consLrucuon M are also analyzed. A charL on how Lhe manpower,
maLerlals and machlnery can be managed Lo lmprove quallLy, cosL, ume, envlronmenL as well as
healLh and safeLy of consLrucuon pro[ecL ls done.

1o lmprove currenL M pracuces, several Lechnologles, especlally AuLo-lu Lechnologles can be

used. 1he second parL of Lhe reporL lnLroduces dlerenL auLo-lu Lechnologles and dlglLal
Lechnologles as well as Lhelr appllcauons. Ma[or lnnovauve appllcauons of Lhe Lechnologles are:

l. SafeLy helmeL wlLh A8 Lechnologles, C8 code and mlcrophone,

ll. Wl-ll webcam CC1v sysLem wlLh face recognluon Lechnology,
lll. WasLe Lracklng sysLem,
lv. use of smarL card ln safeLy equlpmenL and machlnery, and
v. Movlng Cb[ecL ueLecuon and lorward Lmergency 8rake ln vehlcles.

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1ab|e of Contents

I. Lxecunve Summary 3

II. Introducnon S

III. art 1 - Construcnon pro[ect management: theor|es and pracnces 6 - 11

l. ManagemenL Lheorles
2. uenluon of ro[ecL
3. ConsLrucuon ro[ecL ManagemenL
4. Locauonal dlerences ln conLracL and procuremenL
3. Analysls on currenL M pracuces
6. 8easons for Lhe popularlLy of organlzauon form ln consLrucuon pro[ecL
7. SLrengLhs of CM
8. Ma[or shorLcomlngs of currenL M pracuces and Lhe ways Lo overcome Lhem
9. Analyucal Lools used durlng meeungs
10. CharL for ConsLrucuon ro[ecL ManagemenL ln enLagon

IV. art 2 - Auto-ID techno|og|es and the|r app||canons

1. lnLroducuon Lo dlerenL Lechnologles

2. ros and cons of Lechnologles
3. Appllcauons of Lechnologles

V. Conc|us|on

VI. keferences

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II. Introducnon

WlLh Lhe help of consLrucuon M, many consLrucuon pro[ecLs such as bulldlng roads, brldges and
houslng pro[ecLs were done successfully. AlLhough consLrucuon M pracuces have slgnlcanLly
helped lmprove Lhe bullL envlronmenL, many shorLcomlngs are also found. WlLh Lhe help of Lhe
rapld developmenL of dlglLal Lechnologles and AuLo-lu Lechnologles, consLrucuon M can
denlLely be lmproved.

ln Lhls reporL, Lheorles and pracuces of consLrucuon M wlll be lnLroduced and analyzed. Aer
LhaL, dlerenL AuLo-lu Lechnologles and dlglLal Lechnologles are lnLroduced. Appllcauon of Lhese
Lechnologles ln consLrucuon M pracuces are analyzed and evaluaLed. 1hese appllcauons are
belleved Lo be very useful Lo all Lhe consLrucuon pro[ecLs of our company.

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III.|. Management 1heor|es

a. 1he C|ass|ca| Schoo|

1here are 3 sLrands of LhoughLs, sclenuc managemenL, admlnlsLrauve managemenL and
bureaucrauc model. 1he classlcal School emphaslzes LhaL Lhe role of managemenL ls Lo conLrol,
plan and dlrecL Lhe work of employees. lL concerns on emclency and sLrucLure. Powever, lL ls
crluclzed Lo be lnhuman and lack of creauvlLy.
llq.1 1be Jlvlsloo of loboot lo tbe closslcol 5cbool
(kettleveJ 11-0J-2014 ftom bup.//eJocouoo-pottol.com/ocoJemy/lessoo/closslcol-scleoufc-scbool-of-moooqemeot.btml#lessoo)

Speclallzauon ln procedure and progresslve developmenL of workers may be found ln consLrucuon

lndusLry lf Lhe Lheorles of classlcal school are applled ln Pong kong.

b. 1he numan ke|anons Schoo|

Puman relauons school ls a modlcauon on classlcal school ln Lerms of humanlLy. lL focuses on
human sausfacuon and suggesLs LhaL people are mouvaLed by soclal needs. Soclal needs are
saused by lnLerpersonal relauonshlps raLher Lhan Lhe work lLself. Powever, over-emphaslzlng on
human relauons wlll lead Lo neglecL on worklng emclency and quallLy.

c. 1he System Schoo|

1he sysLems school focuses on eecuveness, Lhe lnLeracuon wlLhln Lhe organlzauon and Lhe
relauonshlp beLween organlzauon and envlronmenL. lL ls crluclzed LhaL Lhe sysLems school ls Loo
general and noL pracucal.

d. 1he Connngency Schoo|

1he conungency school also emphaslzes on eecuveness. lL suggesLs a exlble, consLanLly
ad[usLed sLrucLure and worklng meLhod. ulerenL rlsk dlsLrlbuuon conLracL sLraLegles and paymenL
sysLems Lo sulL dlerenL cllenLs' requlremenLs ln Pong kong consLrucuon lndusLry ls an example of
appllcauon of Lheorles of Lhe conungency school.
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III.||. Dehn|non of ro[ect

ro[ecLs are Lemporary ln naLure. ln a pro[ecL, Lhere are cerLaln Lasks requlred Lo be
accompllshed wlLhln a speclc daLe by a Leam. lan, deslgn and consLrucuon are maln
componenLs of consLrucuon pro[ecLs. Scope of pro[ecL ls speclcally lncluded ln Lhe
conLracL.

III.|||. Construcnon ro[ect Management (CM)

1he purpose of ro[ecL ManagemenL ls Lo achleve goals and ob[ecuves Lhrough Lhe planned
expendlLure of resources LhaL meeL Lhe quallLy, cosL, ume, scope, and safeLy requlremenLs.
ConsLrucuon managers musL conLrol, deecL, or mlugaLe Lhe eecLs of any occurrence or
slLuauon LhaL could aecL pro[ecL success.

CM ls dened by Walker:
1be ploooloq, coottol ooJ cootJloouoo of o ptoject ftom coocepuoo to compleuoo
(locloJloq commlsslooloq) oo bebolf of o clleot. lt ls coocetoeJ wltb tbe lJeoufcouoo of tbe
clleots objecuves lo tetms of oullty, foocuoo, poollty, ume ooJ cost, ooJ tbe estobllsbmeot
of telouoosblps betweeo tesootces. 1be loteqtouoo, mooltotloq ooJ coottol of tbe
coottlbotots to tbe ptoject ooJ tbelt ootpot, ooJ tbe evoloouoo ooJ selecuoo of oltetoouves
lo potsolt of tbe clleots sousfocuoo wltb tbe ptoject ootcome ote fooJomeotol ospects of
coosttocuoo ptoject moooqemeot.

rocess of pro[ecL lncludes lnluallzlng, plannlng and deslgn, execuuon, monlLorlng and
conLrolllng and closlng. lor consLrucuon pro[ecLs, deslgn, pre-consLrucuon, procuremenL,
consLrucuon, and owner occupancy are maln processes. lor deslgn sLage, all deslgns are
requlred Lo meeL legal regulauons and achleve cllenLs' ob[ecuves. Selecuon of Lenders also
Lakes place ln Lhls sLage. rocuremenL concerns wlLh Lhe purchase order and supply of all
requlred labor, maLerlals and machlnery. SafeLy conLrol and monlLorlng progresses are
lmporLanL durlng consLrucuon phase. Aer consLrucuon, a nal lnspecuon conducLed by
cllenL ls needed. 1he cllenL checks all compleLed works Lo see wheLher Lhey comply wlLh
requlremenLs ln conLracL before owner occupancy.

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III.|v. Locanona| D|erences |n Contract and rocurement

a. nong kong
Lump sum hxed-pr|ce contract ls Lhe mosL common Lype of bulldlng conLracL. 1he Lender can be
based on drawlngs and speclcauons whlch are prepared by consulLanLs, or on bllls of quanuues.
Selecuon of conLracLor ls made Lhrough compeuuve Lenderlng or negouauon.

Construcnon management contracts are noL common. ln Lhls Lype of conLracL, conLracLor wlll acL
as Lhe consLrucuon manager. Powever, lL has no conLracLual llablllLy on ume and cosL. ln Lhls Lype
of bulldlng conLracL, package conLracLors enLer dlrecL conLracL wlLh cllenL.

ln management contracnng, conLracLor wlll manage and sub-leL work packages and lnpuL
experuse durlng deslgn sLage. aymenL meLhod ls usually by prlme cosL plus managemenL fee ln
percenLage or xed. CuaranLeed maxlmum prlce (CM) ls a commonly used meLhod coupled wlLh
managemenL conLracung Lo x Lhe maxlmum celllng prlce. ConLracLors wlll be responslble for Lhe
exLra cosL when Lhe ulumaLe cosL ls above CM.

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ln Des|gn and 8u||d (D8) contracts, u8 conLracLor ls responslble for boLh deslgn and consLrucuon
works of a bulldlng and all servlces lnsLallauons.

b. Austra||a
1he ConsLrucuon lndusLry uevelopmenL Agency (CluA) has developed Lhe AusLrallan ConsLrucuon
lndusLry re-quallcauon CrlLerla Lo provlde Lhe cllenLs, conLracLors, consulLanLs and
subconLracLors a conslsLenL and ob[ecuve framework Lo deLermlne whlch companles are pre-
qualled for work or reglsLer for parucular pro[ecLs. 1he re-quallcauon CrlLerla allow cllenLs
rellable and ob[ecuve assessmenL of Lhe capaclLy of an organlzauon Lo compleLe work requlred
and opumlze Lhe predlcLablllLy of pro[ecL ouLcomes lncludlng ume, cosL and quallLy.

c. S|ngapore
WlLh alms aL reduclng Lhe number of workers on slLe and achlevlng beuer slLe producuvlLy,
Slngapore adopLs and encourages more labor emclenL deslgns and pre-assembled producLs. 1here
ls an lncreaslng Lrend Lo adopL ueslgn and 8ulld procuremenL ln prlvaLe secLor bulldlng pro[ecLs ln
Slngapore.

d. 1he Un|ted States of Amer|ca

ln Lhe uSA, unllke Pong kong and 8rlLaln, quanuLy surveylng ls noL an lmporLanL elemenL ln
consLrucuon lndusLry.

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III.v. Ana|ys|s on Current ro[ect Management racnces

Lump Sum Contract

Strengths Weaknesses
Price certainty obtained for clients
Sufcent time is required for completion of design in a set of
documents and drawings by consultants
Fairness in competitive tendering ensured
Risks evenly distributed between client and contractor
Standard form of contract
Less arguments
Sufcient commitment before start of work
Opportunities Threats
Fluctuation in market
Construction Management Contract
Strengths Weaknesses
Complete control of client
Stringent budget and cost control required as contract has little
incentive to control cost
Useful where scope of project uncertain at the beginning
Quick start and fast track allowed
No price certainty
Standard form of contract
Less arguments
No single point accountability for time liability
Sufcient commitment before start of work
Opportunities Threats
Design details needed to be completed on time
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Management Contract
Strengths Weaknesses
Fast track allowed as design phase overlaps with construction
phase
Clients carry greater risk
Stringent budget and cost control required
Flexible to adopt changes
No price certainty
Opportunities Threats
Good team relationship required
Late information from design team
Design and Build Contract
Strengths Weaknesses
Fast track and quick start of project allowed
Stringent budget and cost control required as contract has little
incentive to control cost
More risks born by contractor
Tailor-made design for the skill of contract, better use of materials
and detailing
No price certainty
More exible in the working process which can solve problem
quicker and save the sudden extra cost
No single point accountability for time liability
Strengths Weaknesses
Design details needed to be completed on time
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III.v|. keasons for the opu|ar|ty of Crgan|sanon Iorm

a. Increas|ng I|ex|b|||ty
1he sLrucLure of Lhe organlzauon can be changed accordlng Lo Lhe naLure and characLerlsucs of Lhe
consLrucuon pro[ecL. 1herefore, Lhe consLrucuon pro[ecL can be done emclenLly and eecuvely
wlLh Lhe mosL sulLable organlzauon form.

b. 8r|ng|ng |n D|erent Stakeho|ders]arnes

1he cllenL, Lhe deslgn Leam and Lhe consLrucuon Leam can work LogeLher as a pro[ecL group, wlLh
clear conLracLual relauonshlps and responslblllues.

c. Improv|ng Coord|nanon between arnes

Crganlzauon form ln consLrucuon pro[ecL enhances Lhe communlcauon beLween parues wlLh Lhe
help of organlzauon charL, schedule of works, C (roducL, Crganlzauon and rocess) model and
8ulldlng lnformauon Modelllng (8lM). 1he schedule of works shows clearly Lhe ume and durauon
of dlerenL Lasks and Lhe C model shows Lhe correspondlng sLakeholders. 8lM serves as a
shared knowledge resource for lnformauon abouL a faclllLy. 1he collaborauon by dlerenL
sLakeholders aL dlerenL phases of Lhe llfe cycle of a faclllLy can be done.

d. keduc|ng cost
WlLh beuer use of ume and beuer coordlnauon beLween parues, Lhe ume of Lhe consLrucuon
pro[ecL, so as Lhe ume cosL of Lhe pro[ecL, can be reduced slgnlcanLly.

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III.v||. Strengths of Construcnon ro[ect Management

a. 1o ensure Lhe quallLy of work and Lhe resulLs meeL requlremenLs and expecLauons of cllenL
b. 1o reduce consLrucuon ume
c. 1o reduce cosLs
d. 1o ensure healLh and safeLy aL consLrucuon slLe
e. 1o encourage envlronmenLal proLecuon

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III.v|||. Shortcom|ngs of Current M racnces & Ways to Cvercome

a. Inadequate|y-tra|ned or Inexper|enced ro[ect Manager

1he pro[ecL managemenL and even Lhe whole pro[ecL wlll fall lf an lnadequaLely-Lralned or
lnexperlenced person ls plcked as Lhe pro[ecL manager. 1he pro[ecL manager may fall Lo
coordlnaLe dlerenL parues and handle rlsks durlng Lhe pro[ecL. 1o prevenL Lhls slLuauon from
happenlng, Lhe pro[ecL manager chosen should be experlenced and well Lralned. 1he pro[ecL
manager should be a qualled works professlonal and also have good repuLauon.

b. Non-Creanv|ty
Aer decldlng on Lhe schedule of works, people have Lo work fasL so as Lo nlsh Lhelr Lasks on
ume. unreasonably shorL consLrucuon ume lmposed wlll unleash Lhe creauvlLy of Lhe deslgners,
who are eager Lo come up wlLh brllllanL deslgns. Moreover, lL may adversely aecL Lhe quallLy of
Lhe producLs as workers may pay more auenuon on ume raLher Lhan quallLy. 1herefore, sumclenL
ume should be allowed for each sLage Lo ensure quallLy and creauvlLy of works.

c. oor Commun|canon
1he requlremenLs from Lhe cllenL and Lhe managemenL Leam have Lo be passed Lo Lhe pro[ecL
Leam members Lhrough Lhe pro[ecL manager. lf Lhere are any mlsLakes ln Lhe Lransfer of
lnformauon, addluonal ume, cosLs and maLerlals may be needed Lo correcL Lhem. 1o lmprove
communlcauon among dlerenL parues, 8ulldlng lnformauon Modelllng can be lnLroduced Lo
enhance lnformauon Lransfer beLween sLakeholders.

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III.|x. Shortcom|ngs of Current M racnces & Ways to Cvercome

Analytical Tool 1 Root Cause Analysis

Objective To identify the root causes of faults of problem
How he analytical tool is used in meeting
The current problems at construction site and construction
project can be identied using root cause analysis
Analytical Tool 2 Brainstorming
Objective To gather a list of ideas contributed by group members
How he analytical tool is used in meeting
Ideas on current problems at construction site and construction
project as well as the application of technologies can be
gathered by using brainstorming during meetings
Analytical Tool 3 SWOT Analysis
Objective
To evaluate the strengths, weakness, opportunities, and threats
of technologies
How he analytical tool is used in meeting
Different current PM Practices are evaluated using SWOT
analysis. Please refer to III.v. Analysis on Current Project
Management Practices for details
Analytical Tool 4 Benchmarking
Objective
To identify the best practice of both products and the
processes in which the products are created and delivered
How he analytical tool is used in meeting
The applications of technologies are analysed and compared
using benchmarking
Analytical Tool 5 Process Mapping
Objective To break down a procedure into its component steps
How he analytical tool is used in meeting
The steps of searching information, identifying application and
making reports as well as presentation are identied and
sequenced
Analytical Tool 6 Process Mapping
Objective
To make a decision by analysing the forces for and against a
change
How he analytical tool is used in meeting
Force Field Analysis is used to analyse the advantages and
disadvantages of applications of technologies to see if they are
truly practical and benecial to construction projects
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