This article discusses the management of a construction company and the factors to consider when deciding whether to bid for a large infrastructure project. It also covers the selection of project team members and information about the company.
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CONSTRUCTION COMPANY MANAGEMENT2 Executive Summary Winning a large infrastructure tender can carve out new opportunities for this construction company and what better way to start off a new business venture into the public sector than the construction of a public structure; a bridge. The company has expanded over the years and therefore has the ability to carry out this project if the factors necessary to know whether it is worth it are met. Project team members will ensure the project’s progress meets set timelines and control measures are implemented where needed. The team members will be selected carefully because they are a key aspect of good quality work. Introduction ADCO Constructions is located in North Sydney on 7-9 West Street, was established in the year 1972, and plays an important role in the construction industry composition. Bridges are an important part of all infrastructures around the world. The construction company is getting involved with a bridge construction project. The bridge will be a beam bridge that will encompass quality in its construction. The company aims to be involved in construction, checking on its progress, ensuring maximum safety by monitoring the quality of resources used and applying controls throughout the construction. The quality of resources to be used will be optimum in all aspects as this will translate to the best construction. The environment, being a global concern, is our concern too. The project is aimed at being environmentally friendly, in accordance with environmental laws. The project will be tailored to create a good working environment where stakeholders and teams on the site are able to have an interaction as it goes on. 2
CONSTRUCTION COMPANY MANAGEMENT3 Information on the project The project will encompass the use of various professionals in its building. A civil engineer and structural engineer will be needed as much as an electrical engineer and mechanical engineers will be required. Other professions required in the project are material engineers and design engineers. These different disciplines will be in charge of designing a structure that focuses on safety, ensuring electricity powered resources are correctly designed, installed, maintained and adjusted to fit their need where necessary. Machines used in construction will have to be maintained and used safely which is another job that encompasses a mechanical engineer's work in the project. Blueprints of the structure will also be created in cohesion by the engineers to be able to produce the best structure that fits all the requirements. These individuals with diverse knowledge that is necessary must be able to work together harmoniously to ensure quality work(American Association of State Highway and Transportation Officials, 2017). A project manager will be selected to ensure the project runs its course on schedule, ensure control measures and adjustments are made on time. Optimal quality will be a major characteristic of the bridge that will be observed. This is an important aspect because good quality will guarantee fewer repair requirements thus reducing future costs and it also guarantees durability. Environmental issues will be observed so that the construction is regarded as environmentally friendly. An efficient construction system that is relevant to a bridge construction is an important feature that will be observed. Such a system will increase the rate of construction of the structure. The construction company will also aim at the attractiveness of the bridge. A deep foundation is paramount to support the weight. Support 3
CONSTRUCTION COMPANY MANAGEMENT4 beams will then be assembled on the site as it is cost effective. The mega structure will then be joined together and launched. Concrete will then be poured then finishing touches will be done. The beam bridge will be used for transport on a short distance. Selection of project team members Such a large project will require a huge number of individuals to ensure the project objectives are efficiently met and within the stated timelines. The staff required for this project is diverse and some will be needed for a short period to provide skills required at a particular point while others are required to be present on a day to day basis. With regard to this, it is realized that the individual expertise involved in the project will keep changing. Clients, managers of the project and consultants are some individuals who will remain constant in the project. In light of this project team that is required. This team will see the construction of the bridge from its inception to its completion. The team members will have to work closely together frequently and hence the need to select the right members for the project team. The project team must be properly planned as it is the basis of the achievement of a successful project. As the expertise required for the project changes, so does the project team as the construction goes on. The team will include a project manager, a lead consultant, other consultants who will report to the lead consultant, a lead designer who will have a design team reporting to them. A contractor, sub-contractor and suppliers will also be involved. The design team will include an architect. The project manager will look out for the interests of the client and the staff working on site. To be able to select the proper project team, the ability to effectively communicate is paramount. Effective communication will encompass the ability to communicate different kinds of messages 4
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CONSTRUCTION COMPANY MANAGEMENT5 to different audiences. This skill is important because they will be required to interact and work with different people hence they have to pass on information in a way that will make people want to do as they are told. The knowledge on regulations required in project management is another characteristic that will be considered in selecting team members. This will ensure they have the basics down hence it will be easier for them to work together. A high degree of the organization will be considered. This is to ensure that they are able to know what is going on with different sectors of the project to avoid chaos. The organization also ensures that the individuals are able to work under pressure and are able to utilize the available resources efficiently. Project team members should have people skills. It involves the ability to make people look forward to working on the project and being charismatic with the ability to influence multitudes making them motivated to do quality work on the project and also influence the client to look forward to quality work. Team members, especially the project manager should have skills of estimation that are unparalleled. This is important for the efficient management of resources and time. Activities should not be delayed because delay can cause a ripple effect that eventually negatively affects the completion of the project on the set timeline. The team members should be assertive. They should be able to stand up for their decisions however difficult for others to follow. Team performance appraisals will be used to ensure the project team efficiently carries out its duties. Team members will be required to be accountable for each other so that they motivate each other to efficiently work so they are able to have a good team appraisal. How they solve problems will also be a way to measure their performance. The bridge will meet the political 5
CONSTRUCTION COMPANY MANAGEMENT6 requirements of the state to ensure it is not decommissioned when it is underway or even worse when it is done. Information on the company The company offers construction services to its clients. The company focuses on providing quality services. Apart from renovation, design and construction management services, the company also involves itself in mega projects such as bridge building since its recent expansion. The company has seen the completion of up to more than 3500 projects since it was founded. It generates revenue in excess of one billion thus the conclusion that it is financially stable. The company has been in business for a couple of years summing up to 46 years to date. Over the years we have improved on various processes because of the experience gained as we have worked on the projects that have come our way over the years. The company is a private company that is among the largest due to the huge amounts of revenue generated on an annual basis accompanied by a large turnover. We have more than five hundred and eighty employees who are direct employees. The employee pool is diverse in the disciplines they major in and the new ideas they bring to the company. The different kinds of work that we engage in include housing both in the private and public sectors, the building of factories, medical facilities, schools and infrastructure projects that are one of the larger ones. The basis of a successful business is its strong foundation. This foundation includes employees. We invest in our staff so that they are able to grow in the long run. This supports our aim of quality work and enables development of the organization making us get a sizeable market share. This investment in the staff eventually results in low rates of staff turnover. We are able to retain a lot of customers due 6
CONSTRUCTION COMPANY MANAGEMENT7 to this since the already present relationship between the customer and the staff goes on thriving when the staff is retained. We engage in welfare projects and an example of this is when we raised funds to aid farmers who were affected by drought. We are also involved in the development of universities in all aspects. We consider the environment as we work on any project so that the work we do is environmentally friendly. We ensure to comply with set building standards. Safety for on-site workers is guaranteed by the fact that we comply to set safety standards and procedures. We ensure to ensure all our staff including the site workers so that they are guaranteed safety. One of the major projects we have undertaken is the construction of an airport. The objective of the project was to provide facilities that will be in use even in the future and provide a safe and highly reliable structure. We also ensured the minimization of adverse environmental effects. We ensured flexibility of the structure in case of future technological enhancements. The company uses a divisional structure kind of management structure. Leadership is divided according to the various projects that are being carried out. Managers of the different division are selected by their skills(Cass, 2017). These skills include competence in understanding processes in terms of technical skills and the ability to control projects. These are just skills that are considered among others. The company focuses on strengthening itself to be able to withstand any economic downturns. To do this we maintain a stable customer base by ensuring their satisfaction. Having market strategies that are effective is another way to ensure organizational strength. Proper staff management, encouraging innovation and consulting a professional business consultant are other ways we have been able to live through economic downturns. 7
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CONSTRUCTION COMPANY MANAGEMENT8 The decision on whethertosubmit the tender The decision to bid or not to bid is a decision that has to be made soundly to ensure that the right choice is selected. To ensure this happens, there are considerations to be made. An analysis of the strengths and advantages that will be enjoyed if the tender is won has to be made to realize whether to submit a tender or not. These strengths and advantages have to be in conjunction with the company's long-term goals. In case we win the tender to the project it will attract more clients because we will be widely recognized once the project is underway and even more when it is completed. We will also have a long-term source of revenue if we win the tender because any future adjustments to the bridge or repairs will be catered for by this firm. This will also ensure stability in the long run. The presence or absence of profitability is a consideration that will be made. The project must be able to generate a sizeable profit for the firm for it to be worthwhile (Wells & Kloppenborg, 2015). Analysis of the resources required to see the project through to its completion will be done and measured against the price the client will pay. If it proves positive, the tender will be applied but if the reverse is we will not apply for the tender. The analysis to measure profitability will include calculation of the cost of labor that will include insurance costs and any additional training costs. Cost of machines and tools and the cost of benefits provided to the laborers will also be calculated. The summation of all this should be less than the expected revenue. Once the presence of profits has been confirmed we will need to analyze and see whether the organization has the ability to complete the task. To do this we will first consider the other 8
CONSTRUCTION COMPANY MANAGEMENT9 projects that are underway and what resources in terms of labour, equipment and funds have been dedicated to them. By doing this we are able to tell if we have enough of the mentioned resources for the upcoming large infrastructure project. These resources should be enough to comfortably see the project through on time and high quality. If this condition is satisfied, the bidding will be given a go ahead. Historical data will be analyzed. We will look at the bids we have won in the past and the ones we did not win and consider the causes. Once we do this we will be able to realize what the chances of winning the bid are and factors to change to be able to increase our winning chances. The project should be in line with the long-term organizational goals. We will have to clearly identify the organizational goals, in the long run, to be able to decide whether the project aligns with it or not. Our goal is expanding into the public market and since the project is aligned with this it will be a great decision to tender for the project. A risk assessment will be conducted as a way to decide whether to bid. A large project such as this one has a lot of potential risks such as incomprehensive documents, lack enough knowledge on the construction grounds, unreasonable timelines and inadequate safety. Adequate resources should be available for efficient management of risks and even their elimination. High unmanageable risks will see the organization not apply for the tender. 9
CONSTRUCTION COMPANY MANAGEMENT10 Conclusion The organization is looking to expand into the public market and winning this tender will be a major boost in the achievement of this goal. To be able to carry out this project a project team will have to be formed. Their role will be to manage the construction in all aspect. The most efficient team members will have to be selected for the realization of this goal. The company also has to have enough resources to complete the project I all aspects. The criteria to realize whether the tender is worth applying for have to be met. This report encompasses information on all the above. 10
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