Module 2
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Details: It is typically measured in units of time such as days, weeks, or months. Duration is a
critical component in scheduling as it helps in setting timelines and deadlines for project
activities.
Importance: Accurate estimation of duration ensures that projects are completed within the
planned timeframe, which is essential for cost control and resource allocation.
Details: It is determined by calculating the forward pass in project scheduling techniques such
as the Critical Path Method (CPM).
Importance: Knowing the ES helps in scheduling tasks optimally, ensuring that there are no
delays and resources are effectively utilized from the earliest possible time.
Details: It is calculated by adding the duration of the task to its Earliest Start Time (EF = ES +
Duration).
Importance: Determining the EF is crucial for understanding the project timeline and ensuring
that subsequent tasks can start without delay.
Total Float
Definition: Total Float, also known as Total Slack, is the amount of time that a task can be
delayed without affecting the project's overall completion date.
Details: It is calculated as the difference between the Earliest Finish Time and the Latest Finish
Time of a task (Total Float = LF - EF) or between the Earliest Start Time and the Latest Start
Time (Total Float = LS - ES).
Importance: Managing Total Float helps project managers prioritize tasks and allocate
resources efficiently. It provides flexibility in the schedule and can be used to manage
uncertainties and unexpected delays.
1. Cost Control: Proper management of materials helps in reducing costs associated with
overstocking, underutilization, or wastage.
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2. Efficient Resource Allocation: It helps in efficiently allocating resources by ensuring that materials
are available when needed, reducing downtime and delays.
3. Inventory Management: It allows for the proper tracking and management of inventory, ensuring
that stock levels are maintained and replenished as needed.
4. Quality Control: Material management helps in maintaining quality standards by ensuring that only
approved and quality-checked materials are used in construction.
5. Risk Management: It helps in mitigating risks associated with material shortages, delays, or
defects by having proper inventory and supply chain management practices in place.
6. Project Planning and Scheduling: Effective material management contributes to accurate project
planning and scheduling by ensuring that materials are procured and delivered according to project
timelines.
7. Compliance and Documentation: It helps in ensuring compliance with regulations and standards
by maintaining proper documentation related to material procurement, usage, and disposal.
Overall, a well-implemented Material Management system enhances project efficiency, reduces costs,
minimizes risks, and contributes to the successful completion of construction projects.
Write short notes on
Decision Tree
A decision tree is a decision support tool that uses a tree-like graph or model of decisions and
their possible consequences, including chance event outcomes, resource costs, and utility.
SWOT analysis
Done in the beginning of a project to understand the preparedness, advantages and
disadvantages for a company to take up the project.
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The primary objective is to help organizations develop a full awareness of all the factors
involved in making a business decision.
Definition: SWOT analysis is a strategic planning tool used to identify and understand the
Strengths, Weaknesses, Opportunities, and Threats related to a project or organization.
Purpose: It helps project managers assess internal capabilities (Strengths and Weaknesses)
and external factors (Opportunities and Threats) that may impact the project's success.
Methodology:
Strengths: Internal attributes and resources that give the organization an advantage over
others. Example: Skilled workforce, strong brand reputation.
Weaknesses: Internal attributes that may hinder the organization's performance. Example:
Lack of skilled staff, outdated technology.
Opportunities: External factors that could benefit the organization if capitalized upon.
Example: Emerging market trends, technological advancements.
Threats: External factors that could cause trouble for the organization. Example: Competitor
actions, regulatory changes.
Application: SWOT analysis is used in the early stages of project planning to understand the
project's current state and identify areas for improvement or risk mitigation strategies.
Cost/Benefit analysis
A cost-benefit analysis (CBA) is a systematic process in which decisions relating to proposals
are analysed to determine whether the benefits outweigh the costs, and by what margin.
CBA serves as a basis for comparing alternatives proposals and making informed decisions
about whether to proceed.
Cost-benefit analysis, CBA, is the social appraisal of marginal investment projects, and policies,
which have consequences over time
CBA seeks to attach monetary values to external effects so that they can be taken account of
along with the effects on ordinary inputs and outputs to the project/policy
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Definition: Cost/benefit analysis is a systematic approach to evaluating the potential benefits
and costs of a project or decision.
Purpose: It helps project managers and stakeholders assess whether the benefits of a project
outweigh the costs, providing a basis for decision-making.
Methodology:
Costs: Includes all expenses associated with the project, such as labor, materials,
equipment, and overhead costs.
Benefits: Includes all positive outcomes or gains resulting from the project, such as
increased revenue, cost savings, or intangible benefits like improved reputation.
Analysis: The analysis involves quantifying costs and benefits in monetary terms and
comparing them to determine the project's viability. If the benefits exceed the costs, the
project is considered financially feasible.
Application: Cost/benefit analysis is used throughout the project lifecycle to assess the
economic impact of project decisions, helping ensure that resources are allocated efficiently
and projects are financially viable
Value Engineering
Value engineering is a systematic method to improve the “value” of a product or service that the
project produces.
Clearly, project value is increased when the function is increased or the cost is decreased, or
both.
Value engineering is used to solve problems and identify and eliminate unwanted costs, while
improving function and quality.
The aim is to increase the value of products, satisfying the product’s performance requirements
at the lowest possible cost.
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Primary functions are those that cannot be compromised.
For example, A bridge’s primary function is carry traffic across a river.
Secondary functions are optional and provide convenience or dependability to the user. A
bridge’s following-
Appease Landowners
Preserve wildlife
Aesthetics
Durability
Feasibility Studies are preliminary studies undertaken in the very early stage of a project. They
tend to be carried out when a project is large or complex, or where there is some doubt or
controversy regarding the proposed development.
Before any executive gives the green light to a project that could cost thousands (or millions) of
dollars, you can bet he or she will want to see a feasibility study. So what is a feasibility study in
project management?
A feasibility study determines whether the project is likely to succeed in the first place. It is
typically conducted before any steps are taken to move forward with a project, including planning.
It is one of the most important factors in determining whether the project can move forward.
Budget: Does the organization have the financial resources to undertake the project, and is the
cost/benefit analysis of the project sufficient to warrant moving forward with the project?
Legality: What are the legal requirements of the project, and can the business meet them? are there
any hurdles in the approvals required.
Risk: What is the risk associated with undertaking this project? Is the risk worthwhile to the
company based on perceived benefits?
Operational feasibility: Does the project, in its proposed scope, meet the organization’s needs by
solving problems and/or taking advantage of identified opportunities?
Time: Can the project be completed in a reasonable timeline that is advantageous to the company?
Project scope refers to the total amount of work that must be done in order to deliver a product,
service, or result with specified functions and features.
It includes everything that must go into a project, as well as what defines its success.
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PROJECT SCOPE MANAGEMENT
Scope management is the process of defining what work is required and then making sure all of
that work – and only that work – is done.
Project Scope Management is the knowledge area concerned with managing how the scope will be
defined, verified, and controlled.
One of the project manager’s responsibilities is to ensure that only the required work (the scope)
will be performed and that each of the deliverables can be completed in the allotted time and within
budget..
The project manager must seek formal approval on a well-defined and clearly articulated scope.
Without a comprehensive project scope management plan, there’ a good chance your team is
doing work that’s unnecessary to complete the project at hand, or even wasting time thinking about
what they should be doing next.
To help you get your team working on more of the right work, here are some of the key processes
involved in effective project scope management
Together you will decide and document how you want to define, manage, validate, and control the
project’s scope.
The scope management plan also includes information on how you will handle unforeseen
circumstances throughout the project, how the deliverables will be accepted, and how you will
come up with some of the other key elements including a work breakdown structure (WBS) and a
scope statement.
Collect Requirements
Make sure to interact with all the stakeholders to get a clear idea of what your stakeholders
want and how you’re going to manage their expectations.
You will document exactly what is wanted out of the project as far as status updates and final
deliverables.
This information can be gathered through focus groups, interviews, or surveys, and by creating
prototypes.
scope statement should attempt to answer seven questions: Who? What? When? Where? Why?
How? and How Many?
Once you understand what deliverables are expected, you’re ready to clearly define exactly
what is in scope and what is out of scope for your project.
A project scope statement will serve as a guide throughout the project. It may seem odd to list
what is not involved in the project, but that is a crucial step.
It can be hard to list down everything that is included in the project, but if what is not included
is clearly mentioned, then chances of doing unnecessary work is reduced.
Project Scope
Deliverables
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Out of scope activities
Based on your project scope statement and the documents created during requirements
collection, you would build a WBS, which is essentially the entire project broken down into
smaller individual tasks.
Deliverables are clearly defined, providing the project manager and the team with several more
manageable units of work
This is where your scope statement and deliverables are reviewed by whoever needs to
approve them, whether it be a customer, a stakeholder, a manager, or all three.
It’s important to have a plan in place for exactly how project deliverables will be accepted as
complete. At the end of this process, you’ll accept deliverables, change requests, or project
document updates.
A project’s status should be monitored from start to finish to ensure that it is being executed
according to your project scope management plan.
You never know when the scope may need to change or a customer may add new
requirements.
In order to control the scope, project managers should compare performance reports with the
project requirements
The primary objective is to help organizations develop a full awareness of all the factors
involved in making a business decision.
Definition: SWOT analysis is a strategic planning tool used to identify and understand the
Strengths, Weaknesses, Opportunities, and Threats related to a project or organization.
Purpose: It helps project managers assess internal capabilities (Strengths and Weaknesses)
and external factors (Opportunities and Threats) that may impact the project's success.
Application: SWOT analysis is used in the early stages of project planning to understand the
project's current state and identify areas for improvement or risk mitigation strategies.
Cost/Benefit analysis
A cost-benefit analysis (CBA) is a systematic process in which decisions relating to proposals
are analysed to determine whether the benefits outweigh the costs, and by what margin.
CBA serves as a basis for comparing alternatives proposals and making informed decisions
about whether to proceed.
Cost-benefit analysis, CBA, is the social appraisal of marginal investment projects, and policies,
which have consequences over time
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CBA seeks to correct project appraisal for market failure
CBA seeks to attach monetary values to external effects so that they can be taken account of
along with the effects on ordinary inputs and outputs to the project/policy
Purpose: It helps project managers and stakeholders assess whether the benefits of a project
outweigh the costs, providing a basis for decision-making.
Application: Cost/benefit analysis is used throughout the project lifecycle to assess the
economic impact of project decisions, helping ensure that resources are allocated efficiently
and projects are financially viable
Explain in detail role of project manager in construction project
Stage -1: Project Identification:
Project idea conception:
Feasibility Studies:
Project Objectives
Methodology
Resource forecasts
Organization outline
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Potential risks
Stage -3: Project Appraisal – Objective Assessment
Market & Demand Analysis:
Technical Analysis
Financial Analysis:
Role: Project manager may be involved in brainstorming sessions to generate project ideas
based on market trends, organizational goals, or stakeholder needs.
Responsibility: Identifying potential project opportunities and aligning them with organizational
objectives.
2. Feasibility Studies
Role: Project manager leads or participates in feasibility studies to assess the viability of
project ideas.
Role: Project manager collaborates with stakeholders to define the project scope, deliverables,
and constraints.
Responsibility: Ensuring that the project scope is clearly defined and agreed upon by all
stakeholders.
2. Project Objectives
Role: Project manager sets specific, measurable, achievable, relevant, and time-bound
(SMART) project objectives.
Responsibility: Ensuring that project objectives are aligned with organizational goals and
stakeholder expectations.
3. Methodology
Role: Project manager develops or selects the appropriate project management methodology
for project execution.
4. Resource Forecasts
Role: Project manager estimates the resources required for project execution, including human,
financial, and material resources.
Responsibility: Ensuring that resources are available and allocated effectively throughout the
project lifecycle.
Role: Project manager develops cash flow projections and secures funding for the project.
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Responsibility: Managing project finances to ensure that the project remains within budget.
6. Organization Outline
Role: Project manager defines the project organization structure, roles, and responsibilities.
Responsibility: Ensuring that the project team is properly organized and motivated to achieve
project objectives.
7. Potential Risks
Role: Project manager identifies potential risks and develops risk management strategies.
Role: Project manager analyzes market trends and demands to assess the project's market
potential.
Responsibility: Ensuring that the project meets market needs and has a competitive
advantage.
2. Technical Analysis
Role: Project manager evaluates the technical feasibility of the project, considering
technological requirements and constraints.
Responsibility: Ensuring that the project can be technically executed within the specified
constraints.
3. Financial Analysis
Role: Project manager conducts financial analysis to assess the project's financial viability.
Responsibility: Ensuring that the project is financially feasible and can generate the expected
returns on investment.
Budget: Does the organization have the financial resources to undertake the project, and is the
cost/benefit analysis of the project sufficient to warrant moving forward with the project?
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Legality: What are the legal requirements of the project, and can the business meet them? are there
any hurdles in the approvals required.
Risk: What is the risk associated with undertaking this project? Is the risk worthwhile to the
company based on perceived benefits?
Operational feasibility: Does the project, in its proposed scope, meet the organization’s needs by
solving problems and/or taking advantage of identified opportunities?
Time: Can the project be completed in a reasonable timeline that is advantageous to the company?
2. Demand Survey: potential customers, consumption patterns, existing market, government policy,
demand forecast and sale potential
3. Technical Studies: Process selection, construction methodology, location study, local resources,
transportation, cost estimates, scope of work etc.
4. Financial Implications: Sales forecast, project budget, cash flow, payback period
6. Summary of recommendations
1. SWOT Analysis
Description: SWOT stands for Strengths, Weaknesses, Opportunities, and Threats. It helps in
identifying internal and external factors that may impact the project's success.
Use: Project managers use SWOT analysis to assess the project's feasibility by evaluating its
strengths and weaknesses against opportunities and threats in the external environment.
Use: Project managers use CBA to quantify and compare the costs and benefits of a project,
helping stakeholders make informed decisions about its feasibility.
3. Risk Assessment
Description: Risk assessment involves identifying, analyzing, and evaluating potential risks that
could impact the project's success.
Use: Project managers use risk assessment to understand the project's risk profile and develop
strategies to mitigate or manage these risks, increasing the project's feasibility.
4. Market Research
Description: Market research involves gathering and analyzing information about the market,
including customer needs, competitors, and trends.
Use: Project managers use market research to assess the demand for the project's products or
services, helping determine its market feasibility.
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Use: Project managers use technical feasibility studies to evaluate the project's technical
requirements and determine if they can be met within the organization's capabilities.
Use: Project managers use EIA to understand the project's environmental impact and ensure
compliance with environmental regulations, enhancing its feasibility.
Use: Project managers use operational feasibility studies to assess the project's operational
requirements and determine if they can be met within the organization's operational framework.
8. Stakeholder Analysis
Description: Stakeholder analysis identifies and analyzes the stakeholders affected by the project.
Use: Project managers use stakeholder analysis to understand stakeholder interests and concerns,
ensuring that the project meets their needs and expectations, increasing its feasibility.
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