Understanding the determinants of good construction project management: what construction project managers need to know Assignment 1- Project context and proposal Term 1 – 2017 (Melbourne Campus) Table of Contents Executive Summary 1.Introduction 3 2. Project context 5 3.Project proposal 6 3.1Background of the problem 6 3.2 Research problem 7 3.3 Project proposed aim and objectives 8 4.Literature review 9 4.1introduction of literature review 9 4.2 Defining relevant theories and concepts 9 4.2.1 The concept of Project management 9 4.2.2 Project management practice 9 4.2.3 The concept of critical success factors 10 4.2.4 Project performance 10 4.3. Limitations of the study 10 5. Conclusion of the literature review 11 6. Research method 11 7. Project plan 12 7.1.Proposed Data Collection and Analysis Approaches 12 7.2. Milestones and schedule 13 7.3. Grantt chart 14 8.References 15 9.Appendix 19 Executive Summary Project Management is a field that deals with the planning, management, monitoring, changing and controlling of a project, be it IT projects or construction projects or other business and engineering projects. The most important issue that the construction project managers face is the selection of a suitable methodology. Moreover, the project managers also face significant issues in decision making that have the potential to change the course or outcome of the project. Hence, this particular research aims at analyzing the risks and issues faced by the project managers as well as the best project management practices for construction projects. The field of analysis will also include the risks and values of construction projects as well as the critical success factors for these projects. These analysis results are expected to help reach a suitable conclusion regarding the best project management practices for ensuring a successful outcome for the project. This research project will also deal with detailed secondary data collection where different literary and statistical data will be collected and analyzed. 1.Introduction According to oxford dictionary profession means that “a paid occupation , especially one that involves prolonged training and a formal qualification”. It is clear that profession has included both continuous training and recognised education qualification. Buhai(2012)states that all professions are related for providing services, not for sales of goods and they have special education requirements along with using independent judgment to fulfil the client’s interest. This research is based on construction project management and is mainly focused on the issues and problems faced by project managers in the construction projects. Any project involves a number of stakeholders that have different ideas regarding project management and execution. For project execution, there are different methodologies that involve different types of execution methods, cost and time. Hence, selection of the methodology that is most suitable for the project is necessary (White & Fortune, 2002). The most important issue that the construction project managers face is the selection of a suitable methodology. Moreover, the project managers also face significant issues in decision making that have the potential to change the course or outcome of the project. Hence, this particular research aims at analyzing the risks and issues faced by the project managers as well as the best project management practices for construction projects. A professional is a person who performs his duties in an organization by following all the organizational rules and guidelines. In construction business, a professional person is expected take part in the construction projects that include the design, development of project plan and change management in the project. They are different workers in the aspect that they prepare and control the project whereas the workers implement the plans and changes in the construction field. Professionals balance technical and managerial skills by suggesting technical inputs in the project plan and managing the human resources to gain maximum efficiency in the project. A professional contributes to an organization by fulfilling all his roles and responsibilities successfully within the time limit (Wirth, 1996). A professional in a construction industry should follow construction standards and guidelines that are in effect according to the government rules. Professionals in construction industry must maintain a strong ethical environment and integrity with other team members as the construction is entirely dependent on teamwork. Finally, according to literature, professionals with a specific technical background should be allowed to perform duties within his area of expertise. 2. Project context The success of any construction project is met only when the expectations of stakeholders are achieved. The major stakeholders may include the planner of the project, the engineer running the project and the contractor or the operator not forgetting the owner of the project (Dolfi et al., 2007). The expectations of different stakeholder may vary from one another. It is for this reason that study about the determinants of project success and the critical success factors that enable construction managers to lead a project effectively. These are important way of improve the project outcome (Fisher, 2010).Construction is a very risky business but it can also lead to the creation of value (Linger et al., 2012). Many of the management practices that are commonly used in the construction sector leads to failure because construction projects can differ completely (Institution of Engineers Australia, 1959). The success of any project relies on how the project is managed since from the very beginning all through to the end (Starkweather & Stevenson, 2011). One needs to effectively understand the project in order to effectively manage it. The major problems that are faced project managers are things such as how best to plan a project, the implementation of the planned project including the cost of the whole project as well as the time allocated for different phases of the project (El-Sabaa, 2001). An understanding of the critical success factors for managing projects is very important especially in the support of decision making(Abramowicz,& Orlowska, (1999).The decisions made including those that relate to the construction architectural and engineering construction significantly affect the performance of the project (Westerbeek, 2005). There is currently a death of the studies that evaluates the importance of project management practitioner skills. This paper together with the study that it proposes attempts to address this issue 3.Project proposal 3.1Background of the problem The regular use of project management methodologies started a long time ago indeed since from when the pyramids in Egypt were build. Engineering and construction projects have been considered complex endeavours for centuries (Barber, 2005). The discipline of construction project became formalized back in the 1960s’ which was then aided by use of new computing power. One of the most achievements in the development of construction project management was the organization of the Olympic Games through the use of robot project management methods. This project had fixed resources and it was demonstrate of that it was possible to run a project without violating the project constraints and parameter (Ahlemann & Teuteberg 2009). With time, the application of project management methods widened and then the standards became apparent. Some of the most notably achievements that were implemented in modern times was the implementation of new IT systems, research and development projects, especially in the pharmaceutical industry and strategic and new product and service development. Some of the reasons why it is important to study project management and understand its most critical activities include: • Effective controls changes in project management will enable organizations to cost effectively launch new products and processes as well as programs. • Formal management structures enable managers to control the projects which have become difficult to control without this knowledge. • Emergency projects have characteristics which are substantially different from non-emergency projects. • Good project management increases the effectiveness of cross-functional teams. • Project management is being used by companies to identify their future leaders. 3.2 Research problem There are many decisions that have to be taken during the process of project management. The initial decisions made at the start of the project tend to have the greatest impact on the project. These are weightier than those that are made while the project is in progress (Wanna, 2007). A given project will not be successful if the project managers lack understanding of the criteria that can lead them to achieve the goals initially set from the start of the project(Zou& Sunindijo, 2015). This study is aims to identify the factors that affect the outcome of projects as a result of project management activities being undertaken by construction managers which enable the companies to comprehensively evaluate project outcome. The latter factors are used by project managers to evaluate the effect of the projects on the companies for which they perform project management duties (Sauser et al., 2009). Every company is well advised to identify its critical success factors, as they allow it to achieve high management standards and develop workers’ skills (Project Management Institute, 2013). These factors influence the competitive performance of any given organization if the results are satisfactory (White & Fortune, 2002). Studies involving critical success factors are important to undertake especially in the academic and research sectors (Nicholas, 2012). There are several factors that could determine the success implementation of many kinds of projects. These factors may involve activities that are part of the present operations of the organization (Pant & Baroudi, 2008). This study is aims to identify the relationship between the critical success factors and the performance of the projects. 3.3 Project proposed aim and objectives Contributing to a national building initiative on project is one of the major outcomes of good. As the residents in a nation need adequate shelter and infrastructure, project management also contributes in commercial and industrial sectors, as well as the recreation sector (Harris, 2013). Clients are more likely to be fully satisfied by outcome that lead to high quality including outputs that have high returns and are easy and cheap to construct and maintain on scale up too. Project management has the following objectives: • Enhance the environment. • Play a major role in preserving the natural ecosystems and habitats. • Ensure customer satisfaction and comfort too. • Contribute to both national building and the economy. • Achieve excellence in technology, especially in aspects such as infrastructure planning and many other aspects of expertise (Crawford, 2000). 4.Literature review 4.1introduction of literature review The main purpose of this literature review is to understand the academic literature on construction project management. The review is aims to find out what a qualified project manager is expected to know so as to be able to work competently. 4.2 Defining relevant theories and concepts 4.2.1 The concept of Project management In recent years, researchers and practitioners have developed an interest in what causes construction project management failure as well as some of the factors that can be normally associated with success from the project (Burke, 2010) as well as good management of the life cycle of the projects. The success of any project depends on the way in which the project manager utilises the skills and competences that have been attained (Wirt, 1996). A successful project manager has to demonstrate flexibility and also high levels of competency across many areas at all stages of the project life-cycle (Muller & Turner, 2005).Many of the steps that can be taken to improve project management practices together with the profession itself includes effective management of time, as time is a key factor of production together, and the cost and the management of scope of the technology (Muller & Turner, 2009). Projects management requires managers who know how to use modern knowledge in management methods and tools, to understand the design and the process stages of construction (Brebbia et al., 2012). 4.2.2 Project management practice Many of projects require the application of the best practice project management (Australia, 1975).The technology needed must be understood. Likewise, it is necessary to understand the degree to which to which technology should be used (Holzle, 2010). The duty of the project manager is to coordinate the processes, avoid the application of random processes nonetheless the process should be considered dynamic and subject to change (Yang, 2012) 4.2.3 The concept of critical success factors They are conditions which lead to a reasonable effect and the success of any project when the project is well managed (Blackburn, 2002). Many studies have identified different types of these factors that could be relevant but there is lack of agreement on how researchers may judge the success of the project or the determinants of its success (In Acton, 2012). The effectiveness of the projects management could be improved by studying these factors (Camilleri, 2016). 4.2.4 Project performance Projects are a collection of activities are completed to achieve certain objectives while utilising resources that are owned by the company (Crawford, 2007). There are many variables which influence the success of the implementation of the project as already has been identified (Tremblay et al., 2002). The critical success factors can be grouped into five major categories which include factors that are related to the project, procedures of the projects and actions employed in project management not forgetting the external environment of the project (American Concrete Institute, 1979). 4.3 Limitations of the study The proposed study only focuses on the use of critical success factors in determining the success and competency of a project manager. It does not focus on other factors such as time, resources and also the objectives of the owners of the project which in one way or another may influence the project outcome. 5. Conclusion of the literature review The study and its outcome aim to help practitioners in charge of the projects to improve the level of construction performance. These studies should identify the factors that can lead to the success of the project as well as provide framework that will enable stakeholders to determine if success can be achieved from their point of view. The study is also aims to elaborate the framework which can be used to determine the factors that can lead to success by employing standard project management methods. The study is also aims to assist all parties that are involved in the construction industry understand the benefits of employing best practice project management method. 6. Research method A good framework identifies the difference between the factors that can lead to success as well as the performance of the project. Critical success factors have a great impact on the success of any given project (Barber, 2003). It is always important to identify these factors of in the practices that are applied in the project management. The population to target in this survey questionnaire are Australian engineers and architect together with builders which will be the secondary source of data in this study(Crawford, 2000). The analysis of how this group of people work will provide the necessary data that can be used to evaluate the necessary knowledge that a competent project manager should have. The source of this data will specifically be a secondary source from which some written information will be used to provide the necessary information. 7. Project plan 7.1.Proposed Data Collection and Analysis Approaches Data collection process includes the collection of sufficient information on the research topic. These sets of data are analyzed and a suitable conclusion is reached at the end of the research (Yang, 2012). However, selection of a suitable data collection method is necessary. Different data collection methods provide different outcomes and are used according to the requirement of research. This research is based on construction project management and the data collection approach will consist of one stage .in this research secondary data will be considered. Secondary Data Collection – In this stage, the actual statistical data will be collected from different organizations that deal with construction projects. These statistical data consist of real world values and are known as secondary data. Primary data is more or less inaccurate whereas secondary data is mostly accurate unless there are any discrepancies in the statistics. Research Approach – The secondary data will be collected from different organizational sources and analyzed (Zou & Sunindijo, 2015). Once secondary data analysis is complete, the secondary data will be compared to find the differences between the values. Finally, the comparison data and the conclusion of the research are to be prepared and documented 7.2. Milestones and schedule The milestone and deliverables for the project proposal is shown in the following table Week 1 Week 3 Week 5 Week 9 Week 12 Project proposal Literature review Data collection Data Analysis Final report submission 7.3. Grantt chart Task name Start day End day Duration (days) Project proposal 9/3/2017 15/3/2017 7 Literature review 16/3/2017 30/3/2017 14 Methodology 31/3/2017 14/4/2017 14 Data collection 15/4/2017 6/5/2017 21 Data analysis 7/5/2017 21/5/2017 14 Final report 22/5/2017 2/6/2016 11 References Ahlemann, F.; Teuteberg, F.; Vogelsang, K., 2009 Project management standards – Diffusion and application in Germany and Switzerland, International Journal of Project Management 27. American Concrete Institute. (1979). Concrete international: Design & construction. Detroit, MI: The Institute. Australia. (1975). Work and people. Melbourne: Australian Dept. of Labor and Immigration. 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