 ASSIGNMENT NICMAR / SODE OFFICE

 Course No. - PGCM 11 Course Title - Principles and Practices

of Management
 SUBMITTED BY: Sondigala Nilesh, PGCM,
 REG NO: 214-08-11-12287-2161

 3 ASSIGNMENT:

Your company has bagged a lucrative contract to construct a

housing colony for an industrial group to be located in western
Maharashtra in a coastal belt. You as a project manager have been
asked by the company to evolve organization structure with
following conditions. i. Organization should be as lean and thin as
possible with bare minimum of personal on company roll up to
junior level. ii. All supervisors to down below will be temporary
for project duration only to be recruited locally from 100km radius.
Suggest and discuss an organization structure denoting
responsibility, authority, communication control for all facets of
construction work and management functions as visualized by you.
Housing colony consists of 10 bungalows for senior executives, 20
apartments in 5 buildings, 100 dwellings for white collar workers
and 300 dwellings for blue collar workers. Colony will have
market and entertainment complex

 Controlling and forming a structure required for the proper

execution of project. Assigning duties to the Authorities along
with giving suitable jobs to junior staff members.  Recruitment
of required man power.  Establishing flow of communication. 
Framing managerial functions and categorizing them into
technical and administrative functions.  Visualizing all key
functions to be carried out for the project. 4 ABSTRACT: This
Project Report is about management in an organization,
organization here is a construction cum residential project
comprising of a housing colony having residential blocks for
different level of personnel based on the hierarchy / and their
designation in the firm they work for. The project range varies
from bungalows for senior executives to apartments and
dwellings for white collar and blue collar workers. Succeeding
 report projects the responsibility and duties of a project manager
which he has to undertake and subsequently perform for the
construction project in the due course of time. The
responsibilities and duties of Project manager mainly
encapsulates:-
 Framing guideline easy to follow. Determining bottlenecks
and then methods to get rid from it.  Committed leadership. 5
INTRODUCTION: Main pillars on which a construction project
is laid are proper, effective and efficient planning and
management of material flow. Materials right from the raw form
to semi-finished and then finally in to finished state must be
planned and managed in such a way that no wastage or misuse
comes in to scene. The introduction of supply chain
management in construction is intended to integrate processes,
manage interfaces between companies in projects, reduce
uncertainties and weed out inefficiency as much as possible. The
elimination of waste and in efficiency from the supply chain
builds in value in the process. All the authorities guiding
personnel at different level of construction project should be in a
perfect sync and well-coordinated. Flow of information from the
top level of management to bottom and vice-versa must be
smooth, lucid and clear avoiding any conflict and misguidance.
Manpower should be as lean as possible avoiding any over
numbered people situation at project site. For planning,
managing and executing a construction project following key
areas are the axis around which a Project manager emphasis and
concern should revolve:-
 Less controlling and monitoring required. Easy and less hectic
management system.  Avoid over crowded situation on
construction site.  This will cut down the cost involved in
arranging and maintaining man power.  Maintaining as less
no. of people as possible on company rollup to junior level. 
Intelligent planning off finances and cash flow. The present
assignment paper is done by keeping in mind the above factors
for attaining the best and profitable output. SCOPE OF WORK
The project is about construction of a housing colony for an
industrial group in Western Maharashtra along a coastal belt.
 Following points must be strictly considered and followed
during the start of project:-  Making a task schedule clearly
indicating start and finish date of project along with time taken
to complete different individual tasks at different levels and
stages of project.  Quality driven agenda. 6
 The number of workers can be altered according to work load.
The Complete colony area can be tentatively divided as
indicated in the tabulated form given below:- BLOCK AREA
(sq.m.) PERSONNEL NO’S REMARKS A 120/BLOCK Senior
Executives 10 10 Bungalows B 100 White Collared Workers
100 Individual House C 80 Blue Collared Workers 300
Individual House A small shopping complex equipped with
shops providing daily uses items and recreation hubs like
multiplex is also proposed to be built along with the housing
colony at the Centre of the colony. A park for children is also
been proposed at the entrance. Apart from these entire basic
infrastructures a small medical dispensary will also be an
integral part of the residential colony project. Only travel
arrangements can be made on demand as the people are around
100 km radius from the work site.  No accommodation is must
for local workers.  Supervisors below junior level will be on
temporary job basis and to be recruited locally from 100 km
radius. 7
 8 FUNCTIONS The key function of construction Project: 1.
Planning and scheduling: Planning involves formulation of
number of alternative realistic work plans for achieving
specified objectives. Finally selecting a plan which is best suited
from the stand-point of available resources and constraints
imposed upon the project. Scheduling is fitting of the final work
plan into a time scale. It shows the duration and order of various
construction activities. 2. Organizing: Organizing is concerned
with division of total project in to manageable
departments/sections and systematically arranging various
operations by delegating specific task to individuals. 3. Staffing:
Organizing involves division of project work into section and
Staffing is the provision of people to fill the position so created.
4. Directing: the directing function is concerned with the
 training to the subordinate t carry out assigned task supervising
their work and guiding their efforts. The essence of directing
lies in the ability to motivate people individually and as groups.
5. Controlling: Controlling is necessary for ensuring effective
and efficient working. It involves review of the work plan to
check on actual achievement and to discover and to rectify
deviation through appropriate corrective measures. 6. Co-
ordinating: Since authority coverage to the top of the
organizational pyramid it is necessary to bring together and
coordinate the work of various department and sections. This
 To employ work force, hire machinery, engage sub-contractors
and material suppliers with or without reference to H.O To
direct and control the construction work on site.  To coordinate
the entire construction work on site and with the head office. 
He should be able to identify the delay if it is occurred and
should be able to rectify it. He is answerable to the top level
management of the firm and to the clients.  He should be
influencing the team to follow in the achievement of a common
goal.  The project manager will have clear idea about the entire
process that takes place in the project.  The project manager is
a leader of the team. 9 requires an efficient system of
communication so that each department and section is aware of
its role and assistance to be expected from others. Based on key
functions we can make a management chart BREAKDOWN
MANAGEMENT The above chart is the outline for the
breakdown for the management in the organization. The top
most position in any project is the project manager. The orders
are executed by the junior engineers through their senior
engineer who is guided by the construction manager. The
functions of the personnel are discussed briefly below: 1.
PROJECT MANAGER:
 The project control manager being the head of the planning
department has to keep up the above mentioned functions. He is
assisted by: SCHEDULERS: prepares the work flow for a
project. DOCUMENT CONTROLLERS: maintains all the
records of the project. He forms a planning department under
which all the essentials of the project are been maintained and
 recorded.  The function of a project control manager is to
regularize the work flow in the project.  To call periodical joint
meetings of several key personnel working at the site to review
progress and to issue instruction for speeding up work if
required. The achievement of these project objectives is closely
linked with the skill, effectiveness and efficiency of the project
management team, and how it is organized for conducting its
operations. This team consists of the functional of heads or the
body of manager in a project. i. PROJECT COORDINATOR 
To check the progress of work regularly in orders to avoid delay
in construction work.  To organize, direct and control men
working under him. 10 depending on the sizes of the project,
policy of firm, distance from H.O and also his standing within
the firm.
 The main function of the execution department is to execute the
orders received from the planning department. He is the head
of the execution department.  He prepares the drawings which
provide all the essentials for the structure. QC INSPECTOR: He
takes care in examining the quality of the all the products from
reinforcement, concrete to a completed building. SAFETY
INSPECTORS: He assures the safe working condition prevails
in the site to all the people working in the site. Thus he assures
that the risk factors in the site are minimized and a safe working
environment is provided. 2. CONSTRUCTION MANAGER 
As for the residential project, he does prepare the layout of the
entire colony with specification of the every single apartment
and bungalow allocated as per the specification proposed by the
clients.  The design manager makes the plan and does the
design of every single member of a structure that has to come in
the project. 11 COST SPECIALISTS: analysis the day to day
change in field of construction financially and run the project
economically. ii. DESIGN CONSULTANT:
 He has a team consisting of engineers’ ad his sub ordinates for
various works in the field. The table below gives the outline for
the entire assignment as a precise for the above all discussions:
The most active post in the organization is the construction
manager since he decides upon the plans proposed on assumed
 working conditions and executes them under the actual working
conditions. 12
 13 SR.NO DESIGNATION QUALIFICATION &
EXPERIENCE NO REMARKS 1 Project In-Charge Min 15
years of exp in the field of construction 1 From the head of the
project nominated via board of members in company 2 Asst.
Project Manager Min 10 years of exp in the field of construction
1 Recommended by the project in charge 3 Account Manager
Min 10 years of exp in the field of accounting & auditing 1
Takes sole responsibility for maintain the cash flow control for
the entire project 4 Construction Manager Min 10 years of exp
in the field of construction 1 Makes the entire work flow
operations in the project 5 Quality Control In- Charge Min 10
years of exp in the field of quality and control 1 Ensures the
project works are done with quality 6 Engineers Min 0-2 years
of exp in the field of construction 5 For site work 7 Foreman &
supervisor Min 5-20 years of experience in the field of
construction 20 For site work
 The intention to club these two divisions is based on logical
interpretation of the basic tenets on which the two teams work,
The Infrastructure team would ensure that the basic
infrastructure like Water and Electricity is made available to the
units.  The Planning team would work on the Layout, Town
Planning and Connectivity.  Execution department. The
functions of all the above departments are explained elaborately
below: PLANNING AND INFRASTRUCTURE
DEPARTMENT:  Quality department and  Finance and
Marketing department,  Planning and Infrastructure
department, 14 INPUT/COMMUNICATION
REQUIRETMENT AND FLOW As discussed above the
breakdown in an organization can be categorized precisely
under four departments namely,
 A team member of the cadre of an AGM would ensure that the
Managers who look after the individual portfolios execute the
plans according to the vision and direction of the Program
Manager. A team member would be involved in the Planning
and Infrastructure, one team member in Architecture and one in
 Execution.  The Quality Team will have a structure as follows:
Quality Control Plays a very vital role in a project. Hence, it
would be critical to have a Quality Team member involved in
every critical aspect of the project.  The General Managers are
to ensure that the plans are made keeping in mind the vision and
direction set by the project manager. QUALITY
DEPARTMENT  Employees in the Manager level will ensure
that the required books are to do the book keeping and also
execute the plans of the General Managers.  The team will
work around the year to ensure that the required cash flow is
maintained and also to ensure that the work doesn’t get affected
due to the inherent issues of managing the project.  A
coordinative effort between these two divisions will ensure that
the product is ready for the execution team to deliver.
FINANCE AND MARKETING DEPARTMENT: 15
 This team has to be closely monitored and should also be given
enough flexibility to allow intelligent deviations from the plan
and also should be flexible enough to incorporate the changing
conditions in the environment. COMMUNICATION FLOW
Co-ordination of workers their views and finally completion of
project are the necessary task of manager. He has to collect
views of various persons at different level and required to
execute the job to be more correct, realistic and feasible. He is
also required to co-ordinate various gangs, persons involved in
construction. He has also to co- ordinate various activities in a
project. Motivation is very essential in modern management
technique. The job of managerial person is to motivate the
workers for effective working. This can be achieved by
economic, psychological and sociological The primary thing
that has to be realized is that execution is a very critical team for
the success of the organization. 16 EXECUTION
DEPARTMENT satisfaction of workers. Functional authority is
the common thing in organization. It is the power which an
individual or department may have delegated to it for specific
processes, practices, policies and related matters. A Managing
Director may have the complete authority to manage the
company subject to the superintendence and control of board of
 Directors. But he is not expert in every function in the company
and has officer responsible for technical, production, finance,
personnel matters etc. Theoretically all these officers must give
advice to managing Director and the latter alone
 17 will issue instructions. However, Managing Director
delegates authority to these officers to issue instruction directly
to the line organization. This is called functional authority.
Since functional authority is an act of delegation, it may create
confusion. A project manager reports to the managing Director.
He may receive instruction from Finance Manager who is of
equal status. Functional Manager generally lay down the rules,
procedures, forms, norms, time schedule etc. in regard to the
discharge of work. Line Managers function within the
framework. The main objective of any management, i.e. to
achieve a time cost balance relationship by proper planning and
scheduling the project has already been explained in previous
clauses. Man power and equipment have been assumed to be
available as and when they are needed, which is off course not
usual. The basic planning problem is therefore, how to decide
between alternative ways of using resources such that the best
profits are obtained. These decision are perhaps more difficult
that the management has to face. The “resource analysis report”
allows a manager to best use all means at his disposal. It is a
technique to level out the peaks and the valleys that prevail in
the managers industry. In planning resource requirements,
therefore, the following key questions have to be answered.
What are the total requirements of resource for a project over its
duration? If resource available are insufficient than what is the
minimum duration by which the completion period of the
project can be delayed? What is the best utilization of the
available resources to carry out the project in a fixed time?
There are two basic problems involved in resource scheduling.
Project duration being fixed, to level or to smoothen the
resource demand avoiding peaks and valleys as far as possible.
It is called resource aggregation, i.e. unlimited resources are
available for disposal. With fixed availability of resources, to
minimize
 18 the project duration, i.e. Resource allocation. It occurs when
there is scarcity of resources. The above discussion is precisely
shown in the flow chart below: Client Needs Use Consultant
Design and Studies Constructor Management Site Construction
Subcontractor Fabrication Capacity Suppliers Parts production
Material Production Information Flow (orders, programs
estimates, procedures, etc.) Resources Flow (supplies, finished
products, equipment, etc.) Thus it is very clear from the flow
chart that in the field of construction there is no unidirectional
flow of orders or communication it is a must that a for an
efficient project there is a must that all should be knowing the
happenings around them so as that the problems can be
discussed and hurdles are overcome. So as a result the client is
pleased and at the same time the work progress is also
maintained at the same ratio. As a result for the company time
efficiency is gained which at the day’s end earns a lot of profit
and fame for the concern.
 Managing the project parameters of cost schedule, quality and
H Establishing of subcontractor a supplier relationship by
selecting teams based on value rather than lowest price. 
Ensuring the early involvement of the key project team member
that have expert knowledge so that an appropriate level of client
satisfaction and value can be defined. 19 CONCLUSIONS The
structure proposed for the organization of the knowledge based
on the Document, Processes, Elements and Basic Materials trees
for a small building company has enabled the relation to be
made among Materials, services and Suppliers. A real example
was used based on the quality document obtained from one
company. Later, other documents used by the company may be
included. This will allow for the registration of the experiences.
The Organized and integrated knowledge originated from a
classification structure can work as a professional
habilitation/updating tool, capable of integrating the knowledge
of the area under consideration. Moreover it can contribute to
the strengthening of the technical history of the company and
work as a channel to disseminate this knowledge of its
collaborations. The Recommendations include: & Working
 together as a team to agree mutual goals and devise dispute
resolution mechanisms.S in unison.
 Mobilizing and developing people in order to ensure employee
satisfaction through integrated teams. BIBLOGRAPHY:
Chapter on Organization Management – Koontz Odoneal
McGraw Hill Publications Report of the Committee on the
Placing and Management of Contracts for Building and Civil
Engineering Works - Banwell, H. Modeling the Construction
Process Using Plans of Work - Hughes, W Using cost – plus
and design and build forms on contract underemphasizing the
use of management contracting as well as traditional forms of
contracting.  Using non – adversarial forms of contract
ensuring that contractual relationships are appropriate for
expected project objectives.  Dealing with the risks and
rewards by using modem commercial arrangements such as
collaborative contract forms target cost and open book
accounting.  Developing and implementing sound risk
management processes.  Developing and monitoring
continuous improvement program. 20

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