Introduction In developing Colorite Paints new production facility, an effective planning and control of the project must be carry

out throughout the construction process. Planning is important in ensuring successful project outcomes for the company, the Contractor and all other project participants. The company (which will be referred to as the client throughout this report) must make sure that the project is done on time, within the budget and of high quality (Verzuh, 1999). For that matter, the company must be conversant with planning techniques in order to generate their own plans, monitor progress, evaluate contractors plans and understand what the limitations of the plans are. This is a lot to expect; hence as the client, it is allowed for them to obtain help in the form of professional advisers, usually architects or consultant engineers. Construction Cycle The construction cycle is characterized as a sequential approach and follows the order of briefing of concept and feasibility, designing, tendering, construction stage, and commissioning of the building (Kwakye, 1997). Each phase is completed and approved before proceeding to the next. This interrelated phases associated with the construction cycle are constrained by time, resources and performance. They also involve a wide range of participants with practical and professional skills.

Concept & Feasibilit y Commissi on & handover Design

Constructi on stage

Tender

Figure 1.0: The main elements of the construction cycle (The CIOB, 2002)

Concept and Feasibility Stage Once the client has recognized the need for construction work, they must comply with the requirements and approach the services of an architect or other designer who acts as the project manager. The project manager will inform the clients duties as outlined by the Construction (Design and Management) Regulations 2007 (CDM 2007). These regulations set out a number of actions that the client must do so that they play their part with designers, contractors and product suppliers in securing the wellbeing of the site workers. Failure to do so could lead to prosecution, fines and penalties. Getting it right will benefit a well-run and safe project, which in turn will deliver a building that is safe to operate. The designer appointed is responsible in taking steps to avoid risks to the health and safety of any person involved in all phases of the project from construction to commission, identify hazards and eliminate hazards which may give rise to risks and ensure that any structure designed for use as a workplace has been designed so as to comply with the provisions of Workplace Regulations 1992. Since the construction phase of the project is likely to involve more than 30 days or 500 person days of construction work, the project is referred to as notifiable and are subject to Regulation 21 of CDM 2007, which requires the local Health and Safety Executive (HSE) to be notified of specific information relating to the project. The client must therefore appoint a competent CDM coordinator (complying with the Approved Code of Practice Para 90(b)) to notify their project to HSE via Form F10. On the notification form, it is required that the client makes a declaration that they are aware of their CDM duties; this can be signed on the clients behalf by clients representative but the client maintains responsibility for this declaration (Griffith et al, 2000). It is also the CDM coordinators responsibilities to inform the client of their duties, propose timetable for preconstruction health and safety information pack and if requested, advise client on competences and resources which designer, principal contractor and contractors will need. In addition to appointing the CDM coordinator, the client is required to appoint a principal contractor as well; it is advisable to do so as soon as the client have enough information to make this appointment. The principal contractor can advise on the buildability of the design, as well as provide advice on the time required to plan and prepare before construction work starts. After these competent consultants have been appointed, the client must ensure relevant information that is likely to be needed by this project team is prepared for them to plan and

manage their work, to comply with Regulation 10 of CDM. This means providing information on the condition of the site/premises that may include the location of services and extent of contamination. At the beginning of the feasibility stage, the client should have a business case prepared (capital expenditure programme) involving careful analysis of their business, organization, present facilities and future needs. They must commission feasibility studies with their consultants and establish that the project is both deliverable and financially viable. A suitable procurement route must also be reviewed at this stage. The feasibility study basically defines how the construction goal is to be accomplished, what risks are involved, and any special security, technology, or building considerations. Besides that, the feasibility study report should also include: scope of investigation including establishing service objectives and financial objectives; studies on requirements and risks; environmental impact assessment; health and safety study; statutory requirements or constraint; estimates of capital and operating costs, assessment of potential funding and potential site assessments (The CIOB, 2002). Overall, the decision about whether or not to move a project into design depends on cost of money, schedule, budget and market demand. If the economics look favorable, the project proceeds (Gould & Joyce, 2009). Design Stage The design team will begin with the outline proposals in relation to the clients requirements produced earlier at the feasibility stage. The design team is formed by a host of disciplines required such as the architect, civil engineers, mechanical and electrical engineers, cost planners and quantity surveyors. It is the clients role to appoint these competent personnel in accordance to Regulation 4 of CDM and provide them with preconstruction information as stated in Regulation 10 of CDM. The CDM coordinator appointed earlier also takes part in the

design stage. He is responsible in identifying, collecting and pass on preconstruction information as well as making sure that health and safety is incorporated throughout the whole design process. Investigations of the selected site must be given to the design team by the client in order for them to determine the type of foundation and structure possible for this particular site (Gould & Joyce, 2009). Basic site plans, elevations and construction principles are prepared in written and drawn format together with the cost plans. The clients design team will generate many alternatives in finding the best design solution and these alternatives will be presented to the client for their consideration. These proposals may be amended as often as is necessary to ensure exact fit with the clients brief and project budget. Agreement of the planning brief by the Local Planning Authority is also essential in order to proceed with the design. Discussions will be held with statutory authorities such as Building Control or Approved Inspector. Amendments will be made to proposals if required by statutory authorities. Once the design concept has been approved, the design team will complete the scheme design. Specialty consultants are coordinated by the architect in designing and finalizing the design of the major building systems such as structural, plumbing, roofing and exterior faade. Cost estimates of this project will be produced and this gives the client a greater degree of certainty about the first market test of the project. Once design is finalized, the architect creates the final working construction documents used to bid the job for construction and to build the job in the field. These documents should meet the clients criteria, reflect the design as agreed upon at the schematic phase and refine all the detailed work that went into the design development phase (Gould & Joyce, 2009). The client must also make sure that designers have robust procedures to ensure that health and safety is properly considered at all stages of the design development. Regulation 11.5 of CDM requires the designer to take into account the requirements of the Workplace Regulations 1992 which relates to the design and materials used in the structure. The designer must also ensure all the information relating to the design which is likely to be included in the pre-tender health and safety file is promptly provided to the CDM coordinator.

Tender Stage A tender document is prepared to aid selection of a suitable builder and the execution of the construction works. Completed documents are sent to selected contractors to enable them to submit competitive bids for the project (Kwakye, 1997). Accordingly evaluation of tenders is undertaken by an evaluation panel, comprising a minimum of three members, to ensure a fair and objective decision is reached. The contractor who offers best value for money is awarded the contract. There are two means of choosing a contractor namely open tendering and selective tendering. Open tendering allows bids from any contractor interested; all contractors who respond to the advertisement are supplied with tender documentation, which they can return as appropriate. As for selective tendering, tender is based on approved lists of pre-qualified contractors which are shortlisted; number of tenderers is limited to five to eight people. It is recommended the latter as being the better procedure, affording maximum efficiency and economic advantage all round. Contractors invited to pre-qualify should be asked to submit details of their experience relevant to the particular type of work in the location or circumstances applying. Overall, the contractor should be assessed based on his financial standing, technical and organizational ability, general experience and performance record. This will determine whether the firm has a Health and Safety Policy, and shows how they implement the CDM Regulations 2007. Other question relating to the contractors capacity to act as principal contractor is his record on Health and Safety issues, general policy, organization, planning and monitoring of Health and Safety. If required, the CDM coordinator may advise the client in selecting the principal contractor. He must also provide and distribute the preconstruction health and safety information pack to accompany the tender documents. Once the principal contractor is identified, the CDM coordinator must update the Form 10 notification to HSE. The principal contractor appointed must ensure that the tender includes plans for providing welfare facilities from the start of construction work. He must also identify contractors and ensure that they provide input into health and safety at an early stage.

Construction Stage Once the tendering process has been completed, construction of the project can begin. The construction phase becomes the responsibility of the principal contractor once the contract is awarded. This phase is consists of two major elements; preconstruction and the actual construction phase. At the preconstruction stage, under Regulation 15(b) of CDM, the client has to state the minimum amount of time before the construction phase which will be allowed to the principal contractor for planning and preparation for construction work (see appendix attached section 12 of Form 10). The time allowed must be inserted into Form 10 by the CDM coordinator. The allowed duration will depend upon many factors such as the size of the project, its complexity and the contract value (Griffith et al, 2000). Before construction work begins the client must also check to ensure that suitable welfare facilities have been provided as complied to Regulation 16 of CDM, and that the construction phase plan has been prepared by the principal contractor. With the help of the CDM coordinator, the client must ensure that the plan is project-specific and suitable. Throughout this stage, it is the contractors duties to: schedule pre-contract meetings; placing orders for contractors /sub-contractors and suppliers; prepare construction method statements, master programmes, schedules for labour; plant and material requirements; prepare contract budgets and the construction phase health and safety plan. Pre-start meeting with contractors and consultants (project team) is also held to establish proper working arrangements, roles and responsibilities and lines of communication as well as to agree procedures to be followed throughout the contract (project on site). The principal contractors health and safety plan must be in place before work starts on-site (The CIOB, 2002). On the commencement of construction works, it is required by CDM 2007 that the principal contractor continues to plan, manage and monitor construction work in a way which

ensures it is carried out without risks to health and safety. He must ensure that contractors have adequate and appropriate competences, and that they are informed of the amount of time allowed for planning and preparation. He is also required to take reasonable steps to prevent access by unauthorized persons to the site and ensure that workforce and contractors are equipped with information and training. Lastly, he must pass on all relevant information promptly to the CDM coordinator to compile the health and safety file On the practical completion of construction works, the client will receive the health and safety file prepared by the CDM coordinator. Under Regulation 17 of CDM, the client needs to take reasonable steps to ensure that this health and safety file is kept available for inspection and revised as appropriate. This file will form part of the information which supports the ongoing maintenance, use and alteration of the project. Commission and Handover The completed building is handed over to the client and the contractor ensures that the building and its services perform to the owners expectations (Kwakye, 1997). The defect liability period commences on the date that the construction works have achieved practical completion and expiring on the date twelve (12) months after the date of practical completion of the works as certified by the contract administrator. Within this duration of time, the client may call upon the contractor to return on site to complete any omissions in the works and to make good any defective work or materials. When all omissions and defects have been made good, the contract administrator will issue a certificate or statement of completion of making good defects.

Procurement Method Today, there are several types or variations of project procurement systems being widely used in the construction industry. They range from the traditional system to the many variations of fast-tracking systems such as turnkey, design and build, build-operate-transfer, management contracting and construction management. The different project procurement systems present different methods, process and procedure of designing and construction of projects for the client. These different systems also prescribe the variation of the organizational structure of the project teams in term of role, responsibility and authority (Cooke & Williams, 2004). Among the various procurement systems available, the turnkey design/build method is a suitable procurement system to be applied in this project. Turnkey project procurement system is called fast-tracking or build-it-fast project delivery system where the design and construction are integrated. The design free pre-tender process allow for earlier construction date. It also allows the process of detail design and construction to run almost in parallel and concurrently to each other, thus reducing the overall project development period considerably. Under the turnkey contract, the client together with his consultants will prepare a tender or bidding document that include the project brief and clients requirements and invite selective contractors to bid. For the purpose of submitting tenders, the invited contractors will produce their own design, construction and cost proposal. The client should consider in the selection process that the bidder is an ongoing contractor with all the necessary resources. Once the contractor is engaged, the client signs a contract on a general design, general specifications, general contract conditions and a fixed lump sum or guaranteed maximum price and leaves all the details to the contractor (Birrell, 1996). The contractor will have to do everything from designing, getting approval, financing, construction, furnishing and decorating to commissioning and handing over completed, cleaned and ready for use project (Ashworth, 2002). The word turnkey means that, upon completion, the client is given the key and he can then enter the project by turning the key.

As a single entity responsible for both the design and construction, the contractor is therefore able to control not only the construction time but also the time reserved for the design of the project, thus reducing the overall contract duration (The Aqua Group, 2007). Furthermore, turnkey procurements are generally done on a fixed price or fixed fee for deliverables basis. The contractor is required to successfully perform the specified work and deliver agreed-upon products or services. The specifications are described in detail, ensuring complete understanding of the requirements by both parties. The responsibility and risk for the delivery of the specific product/service is on the contractor. If the contractor exceeds the contract cost, he must still deliver the product for the agreed-upon amount (NYS Project Management Guidebook).

Figure 1.1: The responsibilities of duty holders in the turnkey design/build procurement system (Rashid, 2006)

Project Schedule

Chart 1: Resource schedule for the main elements within the project cycle (Cooke & Williams, 2004)

The bar chart above shows the project programme, indicating the key activities during feasibility, tender and design stages as well as highlighting the anticipated period for the construction phase (Cooke & Williams, 2004). It is drawn up based on the turnkey design and build procurement method and becomes a guide for the client and the client team to aid control. At the beginning of the project, the client will appoint consultants such as an independent architect and a project supervisor to assist him in carrying out the project brief. Once project brief is prepared at the first month, the consultants will discuss the health and safety file with the client. This will help in determining what information the client requires and how the client wishes the information to be stored and recorded. Putting together the health and safety file is a task that is a continual process throughout the project and not left until the construction work is completed (as shown with a dotted line in the schedule).

When the clients requirements are known, the project supervisor will prepare in detail the pre-tender stage health and safety plan requirements on how and when the information for the health and safety file is to be prepared and passed on. The principal contractor once selected at the tender stage, will also include similar procedures in the health and safety plan for the construction phase so that all those who will be contributing to the health and safety file (eg designers and contractors) are aware of the information needed and how it is to be collected, presented and stored. The tender stage begins in February where during this process the pre-qualified contractors will be sent the clients requirements. The two months tender period will allow sufficient time for the contractors to prepare their proposals on design, time, cost and analysis of their tender sums based on the clients requirements given. The client together with consultants will then evaluate these tenders and accept the most satisfied proposals to bind contract. After that, the client will leave all the design and construction stages to the successful contractor. The successful contractor and his in-house team will then proceed to develop the contractors design proposals until the detailed designs are produce. During this design stage, each phase (concept, scheme and detailed design) is completed and approved before proceeding to the next. This will approximately take three months to finish. The construction stage commences after the cost is established but before the design is completed (roughly two weeks after detailed design begins) and thus, will run almost in parallel and concurrently to the design stage. The construction stage is estimated to end in November, and the building is handed over to the client for use on the first week of December. Conclusion In order to ensure success in Colorite Paints long term strategic plan, as a client, the company must be aware of their own and their personnels responsibilities throughout the whole process of developing the new production facility. The company will achieve what they desire once they take control, act in accordance with the CDM Regulations 2007 and ensure secure lines of communication with other professionals involved throughout this project. Hopefully, matters that have been discussed in this report will give you an idea and insights of developing the companys new scheme.