AAP1146G

UNIVERSITI TEKNOLOGI MARA

CAWANGAN PERAK
KAMPUS SERI ISKANDAR

SEMESTER DIS 2016-APRIL 2017

COURSE :

CONSTRUCTION PROJECT MANAGEMENT

COURSE CODE :
DQS390

DATE OF ISSUE :
WEEK 10

DATE OF SUBMISSION :
WEEK 12

PREPARED FOR :
CIK NUR ATHIRAH

TITLE : CONTROLLING

PREPARED BY:

STUDENT ID NAME

2014898232 WAN HAZIQ AZRI BIN WAN MAHAZIR

2014616182 MUHAMAD ZARIF BIN ZAINAL ABIDIN

2014455188 MOHAMAD ASYRAF AFIQ BIN CHE HANAFI

2014683718 IZZUL AZRI BIN ISMAIL

2014833408 MUHAMMAD FAIZ BIN YAHAYA

2014485854 MOHAMMAD HAFIZI BIN JUNAIDI

CONTENTS

NO. TITLE PAGE NO.

1 ACKNOWLEDGEMENT 3

2 INTRODUCTION 4

3 CHALLENGES OF CONTROLLING THE 6

PROJECT

4 APPROACHES THAT PROJECT MANAGERS 11

SHOULD TAKE

5 CONCLUSION 15

6 REFERENCES 16

2

ACKNOWLDEGEMENT

Alhamdulillah, thanks Allah S.W.T for all the blessing and giving us strength and

all the effort to manage and complete our report on time in accordance to guidelines

given.

First of all, we would like to express our deepest thanks to our lecturer, Cik Nur

Athirah for all the guidance, knowledge, giving ideas and great advice to us. To our

every group members, thanks for every contribution and cooperation given.

Lastly, we would like to say, Everything pure and good is coming from Allah

S.W.T. and everything unlikely is coming from our own weakness. The truth is

everything is from Allah S.W.T.

3

INTRODUCTION

What is management? Management has been described as a social process

involving responsibility for economical and effective planning & regulation of operation of
an organization in the fulfillment of achieving something desired. It is a dynamic process
which consist of various elements and activities. According to Weihrich & Koontz, 1994
Management is the process of designing and maintaining an environment in which
individuals working together in groups, efficiently accomplish selected aims.

Different experts have classified functions of management. There are four

fundamental functions of management according to George & Jerry which are planning,
organizing, actuating and controlling. According to Henry Fayol, To manage is to
forecast and plan, to organize, to command, & to control. Whereas Luther Gullick has
given a keyword POSDCORB where P stands for Planning, O for Organizing, S for
Staffing, D for Directing, Co for Co-ordination, R for reporting & B for Budgeting. But the
most widely accepted are functions of management given by KOONTZ and ODONNEL
which are Planning, Organizing, Staffing, Directing, and Controlling

For theoretical purposes, it is suitable to separate the function of management

but practically these functions are overlapping in nature or activities as they are highly
inseparable. Each function blends into the other & each affects the performance of
others.

There are 5 major functions of management namely controlling, planning, leading,

organizing, and staffing. One of the function, Controlling, is a task to ensure that what
was planned and organized happen as constructed. Controlling is directly related to
planning as it is a continuous process, through the process of planning and re-planning.
Controlling is the final link in the functional chain of management activities and brings the
functions of management cycle full circle.

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INTRODUCTION (contd)

Generally, control, the root word of controlling means the process through
which standards for performance of people and processes are set, communicated, and
applied. As said earlier, controlling is a counterpart of planning as it involves process of
planning, re-planning, positive corrective, and timely action. A method of examining
achievement against the targeted aims during planning process.

Plan

Re-planning Feedback

Adjust

It implies measurement of accomplishment against the standards and correction of

deviation if any to ensure achievement of organizational goals. The purpose of
controlling is to ensure that everything occurs in conformities with the standards. An
efficient system of control helps to predict deviations before they actually occur.

According to Theo Haimann, Controlling is the process of checking whether or not

proper progress is being made towards the objectives and goals and acting if necessary,
to correct any deviation. According to Koontz & ODonell Controlling is the
measurement & correction of performance activities of subordinates in order to make
sure that the enterprise objectives and plans desired to obtain them as being
accomplished. Therefore controlling has following steps:

a. Establishment of standard performance.

b. Measurement of actual performance.
c. Comparison of actual performance with the standards and finding out deviation if
any.
d. Corrective action.

5

CHALLENGES OF CONTROLLING THE PROJECT

TIME CONTROLS

Controlling the time and schedule relate to deadlines and time constraints is one
of the famous challenges in every construction project in Malaysia. The knowledge area
of time management typically refers to the skills, tools, and techniques used to manage
time when accomplishing specific tasks, projects and goals.Time is money, if the time
given are wasted, then it will affect other aspects in terms of quality and the most looked
up thing, the cost.

The development project lasts 15-years which will be carried out in 6 phases and
different phases comprise of different buildings and works. Therefore, it is important to
overcome this time control challenge in order to carry out the project smoothly without
flaws and disputes. To become an effective and professional time manager, project
managers should be able to clearly understand the activities of the project and have the
necessary skill set to plan, schedule, and control a project timeline. Along with these
skills, project managers must also be able to utilize time management tools to help them
analyses, measure, and assess their time management techniques.

Project managers need to ensure the delivery of materials, supplies, and

equipment follows accordingly as schedule during pre-planning stage. The delay of
delivery will affect the works vastly because it can leads to other works delay. For
example, delivery of doors which comes after the delivery of ironmongery will cause the
the works to be on hold.

Next, in terms of productivity. As a project managers, the leader on behalf of the

client, it is crucial to make sure the contractors to the works as planned. Sometimes,
contractors carry out two or more construction projects at the same time. Therefore, it is
important to control the responsibility of the contractor.

In conclusion, those are a few challenges in term of time controls which are the
delivery of materials, supplies, equipment and productivity. There are more challenges
that have not been explained namely government restraints, design schedule, and
construction schedule.

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 CHALLENGES OF CONTROLLING THE PROJECT (contd)

COST CONTROLS

During the execution of a project, procedures for project control and record
keeping become indispensable tools to managers and other participants in the
construction process. Cost control can be achieved by selecting the right man for the
right job, the right equipment and tools for the right work and the right quality of materials,
in the right quantity, from the right source, at the right price and delivered at the right
time. Project managers are expected to be well equipped to execute the project, with
due consideration to the quality of work, yet within the estimated cost and limits.

Project resource inputs at the project site which produce outputs in the form of
work include men, materials, machinery and money. The success of this project
depends upon the performance of these input resources when controlling costs. For this
50 hectares of land project, it sure involves a colossal amount of resources. Project
managers should do everything possible to avoid unnecessary delays and wastage as it
is one of the leading causes of cost escalation.

One of the big problems on most building sites is the large amount of materials
wastage due to varying circumstances. This problem requires a supervisor to constantly
be on the lookout for the losses. Wastage of materials can take place during the
procurement process, storage, and during utilization.

Wastage during procurement: Wastage during storage: Wastage during utilization:

Wrong specifications. Damages and breakages Lack of pre-work preparation

Buying more than the
actual requirements to cater
for unrealistic and
unforeseen eventualities.
Untimely buying of short-life
materials.
Improper and unnecessary
handling of materials.
Wastage in transportation. climatic conditions. Over-issues from the central
during handling.
Deterioration due to
incorrect storage.
Incorrect maintenance
Short-shelf life and losses
due to fire.
Thefts or vandalism.
Exposure to extreme
7
and coordination.
Improper accounting and poor
storekeeping.
Negligent and careless
attitude of the supervisor High
rate of deterioration due to
long storage at the place of
work.
stores and failures to return
unused surplus materials to
the stores.
CHALLENGES OF CONTROLLING THE PROJECT (contd)

COST CONTROLS (contd)

In construction, some tasks are labour intensive, some predominantly employ

equipment, and some use a combination of both. While the actual work done and the
associated labour is accounted by the supervisor concerned, the equipment and
productivity control is undertaken to determine its employment time, the output achieved,
and its productivity at site. The main purpose of the control is to minimize wastage in
utilization so that the overall project cost is not affected.

Labour productivity achieved at the site for a given work provides a measure of
the labourers efficiency and effectiveness and the level of site organization. It shows the
total time for which the labourer was employed at work, the time he was productive on
work and the time he remained unproductive. Productive times are wasted for various
reasons such as idle waiting, unnecessary travelling, late starting, early quitting,
unscheduled breaks, delays in the receipt of tolls, delays to receive materials and
work instructions. It is confirmed that labour is a significant factor in the cost of
buildings and more efforts. Cost control process involves accounting of actual
productivity, and comparing with the standard, analyzing the causes for variations taking
remedial measures for improvement. It needs a close supervision and good working
relationship.

The relationship between time and cost is a very important aspect in the control
of costs on site as any variation in time has automatic implication on cost. It is important
to report and record all the works involving materials, plant and labour on sites. This
enables the contractor be able to know the costs and expenses of the resources used on
site and compare with the initial cost budget. Various report techniques used include;
daily or weekly and monthly recording, schedule control, site daily diary report and the
project budget.

Relationship between time & money = The longer the time, the higher the cost. The shorter
the time, the lower the cost

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CHALLENGES OF CONTROLLING THE PROJECT (contd)

QUALITY CONTROLS

Quality controls is the part of quality management that ensures products and
service comply with requirements. It is a work method that facilitates
the measurement of the quality characteristics of a unit, compares them with the
established standards, and analyses the differences between the results obtained and
the desired results in order to make decisions which will correct any differences.

Technical specifications define the type of controls that must be carried out to
ensure the method of construction used by the contractors and workers are carried out
correctly. They does not only include the products materials, but also the execution and
completion of the works. The process of inspecting the quality for this massive project is
a pain in the head as the number of inspectors are usually lower than the worker.
Therefore, it is a bit impossible to inspect every activities carried out on the site.

One way of controlling quality is based on the inspection or verification of finished

products. The aim is to filter the products before they reach the client, so that products
that do not comply with requirements are discarded or repaired. This reception control is
usually carried out by people who were not involved in the production activities, which
means that could be costly, and preventative activities and improvement plans may not
be effective. It is a final control, located between producer and client, and although it has
the advantage of being impartial, it has a large number of drawbacks, such as slow
information flows, and that the inspectors are not familiar with the circumstances of
production and are not responsible for the production quality.

9

CHALLENGES OF CONTROLLING THE PROJECT (contd)

QUALITY CONTROLS (contd)

Statistical control can be applied to the final product or during the construction
process. Statistical controls at reception establish sampling plans with clearly-defined
acceptance or rejection criteria, and complete batches are tested by means of random
sampling. The sampling control can be based on inspection by attributes in line with the
performance standard applied during pre-contract stage. For example the specification
given by the Architect and Engineers of the project.

A construction company should reduce the costs of bad quality as much as

possible, and ensure that the result of its processes comply with
the client's requirements. Both internal and external controls can be carried out. For
example, the control of concrete received by the contractor can be carried out by an
independent entity; the execution of steelworks can be controlled by the project, or the
construction company can establish an internal control for the execution of the building
work.

10

APPROACHES THAT PROJECT MANAGERS SHOULD TAKE

Project managers is suggested to practice a control process in order to carry out this
development project and overcome three challenges that have been discussed earlier
which are challenges in terms of time, cost, and quality. The control process is a
continuous flow between measuring, comparing, and action. There are 4 steps in the
control process:

1. Establishing Performance Standards

2. Measuring Actual Performance
3. Comparing Measured Performance Against Established Standards
4. Taking Corrective Action

This four steps of control process can be applied in 3 phases of controlling in the
construction project which are during feedforward controls, concurrent controls, and
feedback controls. It is proven that establishing performance standards during the early
part of each of these phase and took corrective action as soon as possible can help to
overcome any problems and challenges in the management of the project.

Feedforward Controls Concurrent controls Feedback Controls

Focus on the operations Apply to processes as Focus on the results of
before any parties begin they are happening. operations.
their responsibilities. Enacted while work is They guide future
The goal is to prevent being performed include planning, inputs, and
unwanted problems. any type of steering or process designs.
For example: Control is guiding mechanism such For example: Timely
scheduled maintenance as direct supervision, reports so that almost
on automobile and automated systems like instantaneous
machinery. Regular computers programmed adjustments can be made
maintenance feeds to inform the user when
forward to prevent they have issued the
problems. wrong command, and
Safety system, training organizational quality
programs, and budgets programs.

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APPROACHES THAT PROJECT MANAGERS SHOULD TAKE
(contd)

1. ESTABLISHING PERFORMANCE STANDARDS

In order to become a successful project managers, they need establish the

standard of performance or a certain and specific goal to be achieved. With the help of
this standard, the goal can be clearly see and visible to be achieved by project
managers and allow them to focus on these controls.

Time Controls Focus on the deadlines and time constraints.

Prepare Gantt chart to make sure the construction

finished within 15 years.
Make amendments to any changes in the Gantt chart
Material Controls Focus on the inventory and material-yield controls.

Advise the contractor to always update on the inventory

as this is one of the factor of reduction in quality for the
final product of construction
Equipment Controls Focus on the machinery, imposed on the operator to protect the
equipment or the process.

Always discuss with the professional team the suitability

of the plants and equipments used by the contractor in
order to reduce any unwanted wastage.
Cost Control Focus on the cost standards that are need to be met and
required by the client.

As a project manager, supervise the cost prepared by

the Quantity Surveyor as some of them may behave
biasly towards contractors company for personal
benefits.
Employee Focus on actions and behaviors of individual and groups of
Performance Controls employees.

Always advise the client as they may lack of knowledge

towards the construction method
Financial Controls Focus on achieving the organizations profit motive

Set a financial control to reduce unwanted wastage

which may increase the cost of the construction.
Operations Controls Focus on the methods assess on how to efficiently and
effectively an organizations transformation process create
goods and services

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APPROACHES THAT PROJECT MANAGERS SHOULD TAKE
(contd)

2. MEASURING THE ACTUAL PERFORMANCE

The measurement of performance against standards should be done on a

forward-looking basis so that deviations may be detected in advance of their occurrence
and avoided by appropriate actions. If standards are appropriately drawn and if means
are available for determining exactly what subordinates are doing, appraisal of actual or
expected performance is fairly easy. But there are many activities for which it is difficult
to develop accurate standards, and there are many activities that are hard to measure.

It may be quite simple, for example, to establish labor-hour standards for the
production of a mass-produced item and it may be equally simple to measure
performance against these standards, but in the less technical kinds of work. For
example, controlling the work of the industrial relations manager is not easy because
definite standards cannot be easily developed. The superior of this type of managers
often relies on vague standards, such as the attitude of labor unions, the enthusiasm,
and loyalty of subordinates, the index of labor turnover and/or industrial disputes etc. In
such cases, the superiors measurements are often equally vague.

In this phase, project managers are required to collect, gather, and save data to
measure actual performance to determine variation from standards that have been set.
The data can be in written or unwritten data.

Written Data Unwritten Data

1. Time Cards 1. Personal observation

2. Inspection reports 2. Statistical reports
3. Evaluation reports 3. Oral reports
4. Site meeting

13

APPROACHES THAT PROJECT MANAGERS SHOULD TAKE
(contd)

3. COMPARING MEASURED PERFORMANCE AGAINST ESTABLISHED

STANDARDS

It is an easy but important step in the control process. It involves comparing

measured results with the standards already set. If performance matches the standard,
managers may assume that everything is under control. In such a case the managers
do not have to intervene in the organizations operations.

The comparison of results with standards determines variation. Some variation

can be expected in all activities. There are range of variation and the acceptable
variance has to be established before comparing the performance with the standards.
However, the control has to be management by exception. Project managers should let
the operations of works to continue as long as they fall within prescribed control limits.
Deviation or differences that exceeds this range would alert the supervisor to a problem.

4. TAKING CORRECTIVE ACTION

This step becomes essential if performance falls short of standards and the
analysis indicates that corrective action is required. Project managers need to find the
cause of deviation from the standards first before takes actions to remove or minimize
the cause. There are two type of corrective actions which are:

Basic Corrective Action : Determine how and why performance has deviated and
correct the source of the deviation.
Immediate Corrective Action: More efficient, however basic corrective action is more
Effective.

Control can also reveal inappropriate standards and in that case, the corrective
action could involve a change in the original standards rather than a change in
performance. It needs to be mentioned that, unless managers see the control process
through to its conclusion, they are merely monitoring performance rather than exercising
control. The emphasis should always be on devising constructive ways to bring
performance up to a standard rather than on merely identifying past failure
14

CONCLUSION

In conclusion, management in the construction project is really important as it is

the process of designing and maintaining an environment in which individuals working
together in groups efficiently accomplish selected aims. With the help one from the 5
basic functions established by experts, controlling helps to ensure what was planned
and organized happen in the way that it was planned and organized. It sets the
standards of performance of people and processes are set, communicated and applied.

However, project managers may encounter a few challenges within 15 years of

the construction project. The challenges comes from 3 major constraints which are time,
cost and quality. The constraints contribute to the branches of problems which can be a
pain in the head of the professional members in the construction. Without proper action
to be taken, unsolved problems can become the major factor which contribute disputes
in the construction project. It is eventually be a waste of time and money for every
parties.

Luckily, these problems can be solve professionally if the project managers

practice the control process in order to carry out this development project and overcome
three challenges that have been discussed earlier which are challenges in terms of time,
cost, and quality. The control process is a continuous flow between measuring,
comparing, and action. There are 4 steps in the control process which are establishing
performance standards, measuring actual performance, comparing measured
performance against established standards, and taking corrective action.

If the project managers apply the control process accordingly, it is safe to say
that the construction can be carried out with reductive unwanted wastage. This will
eventually makes other parties to increase their productivity smoothly without headache
from disputes and misunderstanding.

15

REFERENCES

Successful Project Management by Trevor L Young, published by Kogan Page

Publishers, 3 July 2016 (224 pages)

The Project Management Book by Richard Newton, published by Pearson UK,

29 April 2013 (296 pages)

Project Management by Cengage Learning, Emea, 1998 (441 pages)

The Rational Project Manager: A Thinking Team's Guide to Getting Work Done
by Jim Mullins, published by John Wiley & Sons, 8 April 2005 (240 pages)

https://news.mak.ac.ug/documents/Makfiles/aet2011/Otim-2.pdf (25 February

2017)

https://iedunote.com/control-process-steps (25th February 2017)

https://www.slideshare.net/rohansolanki1/control-process (26th February 2017)

http://www.ce.udel.edu/courses/CIEG%20486/Challenges%20Facing%20Today'
s%20CM.pdf (26th February 2017)

16