Construction Industry Report

Table of Contents
INTRODUCTION.......................................................................................................................................2
LO1: Describe the construction industry with reference to company structures and other activities.......3
P1: Explain how the construction industry has developed and encompassed professionalism within its
structure...................................................................................................................................................3
P2: Demonstrate the scope and linkage between all parties within a construction organization..............4
P3: Identify the type of contractual work tendered by the contractor.......................................................5
M3: Analyze how the construction industry has developed overall in terms of company structures, it’s
employees and contracted work...............................................................................................................6
LO2: Explain different types of construction companies with the market and their relationships within the
tendering process.........................................................................................................................................6
P4: Identify the different types of construction companies in the market................................................6
P5: Explain the relationship between different construction organizations..............................................7
M2: Analyze the catalyst which connects construction companies, including contracts and tendering.. .7
LO3: Key stages in a construction project and how Building Information Modelling informs the different
stages...........................................................................................................................................................9
P6: Sustainable and Modern construction processes and sequences used within today’s industry...........9
P7: Contract planning techniques used within micro and macro projects..............................................10
P8: BIM impacts upon operations and construction companies.............................................................11
M3 Analyze how construction has developed in terms of innovation, designs and within contracts for
micro and macro projects and interrelationships with BIM...................................................................12
LO4 Analyze how the construction industry has developed suitable collaboration strategies in support of
greater recognition of health & safety........................................................................................................13
P9 Explain how health & safety has now become an integrated part of the construction process..........13
P10 Describe the government legislation which has benchmarked health & safety within construction.
...............................................................................................................................................................14
P11 Discuss the role of collaboration and communication in ensuring safe working practices.............14
M4: Demonstrate how the construction industry has benefited through changes in health and safety
legislation..............................................................................................................................................15
CONCLUSION.........................................................................................................................................16
References.................................................................................................................................................17
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INTRODUCTION
In this report we will discuss about construction companies, their types and various aspects that
affects the construction industry. In LO1 we will discuss about what is a construction company,
its structure and its various references. Different links between all parties in a construction
company will be discussed along with the analysis of various processes like tendering and
contracting. In LO2 we will get to know various types of construction companies in the market
and how they are dependent in certain situation. We will get to know what connects these
various companies and how to engage in the process of collaboration when needed.
LO3 is all about various stages in a construction project, process of traditional construction
versus modern construction methods. Planning of macro and micro projects will be debated in
this section. LO4 will include discussion about health and safety measures in a construction
project and what all kind of measure can be taken to prevent any harm to the projects or to the
people involved in it.
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LO1: Describe the construction industry with reference to company
structures and other activities.
Construction companies are the companies which are dependent on their performance standard
and quality of their work. Despite the everyday structural development around the globe but as a
whole, the construction business is scarce. There are still problems like performance standards
and performance measurements that affect the construction industry.
P1: Explain how the construction industry has developed and encompassed
professionalism within its structure.
Structure of any construction company consists of two major roles: first is all the job roles and
their arrangement in the company and second relationships between those job roles or
designation. There are numerous roles present and required in a construction company like
Marketing, Human resources, Finance, Logistics, Project Management etc. and to have a strong
integral structure all the departments must have proper communication and ethnic relationships
between them.
Main roles in the structure of Construction Companies
CEO or Chief Executing Officer
CEO of a construction company is responsible for decision making on all the important aspects
of the company. Chief Executing Officer assigns distinct roles to his/her subordinates to oversee
various projects as it would be impossible for a single person to see every single detail of every
project so dividing and distributing responsibilities is the best and more efficient way to proceed
any project in a construction company.
Managing Director
The role of managing director is to see every project that the company takes and oversee all the
construction jobs after they have acquired it. The managing director is responsible for structural
plans of the project and work plans for the jobs that will be required to complete the project. This
job also comes with the responsibility of hiring people who are capable of the job and for firing
any person who is incompetence for the job
Project Director
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Before the actual construction of the project is started, there has to be an analysis and survey of
all the criteria’s which are included in the project. Like, cost analysis, performance standards etc.
After all analysis, the Project Director directs the construction workers to the site to start the
project and he also oversees all the day to day progress and reports them back to the
headquarters.
Project Supervisor
Project Supervisor is a subordinate of Project Director. He sees over all the aspects of the work
along with the roles that it requires. For example, Project supervisor will oversee the team who is
responsible for construction materials like asphalt and cement. He also ensures that all workers
are completing their shift and if there are any issues regarding workers, he must pass along the
request to the Project Director.
Construction Workers
Construction workers perform daily tasks at the site. They build the structure using tools and
construction materials. They handle all the physical aspect of the project. There are special
permits for the workers who handle distinct tasks like electrical wiring, bulldozers etc.
P2: Demonstrate the scope and linkage between all parties within a construction
organization.
There are various parties within a construction organization. Like:
 Employer/Client
 Contractor
 Project Manager
 Contract administrator
 Architect
1. Employer/Client
An employee or client is the person who hires a construction organization to work for
him. An employee describes the construction of anything that he/she requires to the
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construction company and hires them to procure the work and build the project that the
client desires.
2. Contractor
The contractor is the person who is hired by the employer to carry out and complete the
project. To divide and distribute the workload, a contractor hires sub-contractors so that
he can separate the responsibilities between them. The contractor is responsible for the
design and development of the project and oversees all the tasks of the project.
3. Project Manager
Project Manager is responsible for the analysis of the project’s different aspects like cost
analysis, job’s analysis etc. The project manager also sends the works to the construction
site after the analysis is completed.
4. Contract Administrator
Contract Administrator is responsible for the contractual proposal’s preparation and
review. He also negotiates the cost of equipment’s and material to lower the overall cost
of the project.
5. Architect
The architect is the person who designs the project and figures out the calculation that
makes the project durable and sturdy. Calculation done by the architect has to correct and
precise because the whole project’s construction depends upon those calculations.
P3: Identify the type of contractual work tendered by the contractor.
At this stage, the contractor selects and appoints a number of works for the project.
According to their job profile management assign them different responsibilities which fit
their profile. Sometimes this stage is repeated at various times because responsibilities
changes as the project move forward. This stage is very crucial because hiring the right
person for the job is very important to the project to avoid problems in the future.
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M3: Analyze how the construction industry has developed overall in terms of
company structures, it’s employees and contracted work.
In the past few decades, various number of industry sectors has evolved. Traditional ways of
working are becoming obsolete and new ways are fulfilling requirements of the project. Same
things are happening to the construction industry as well. Traditional ways of constructing a
project are not used in today’s world. Various entities were introduced because of the
circumstances. Like contractor’s have to bid for the tender if they want to get the project. They
hire people with proper permits and license so that only rightful person will complete the to job
and incompetence can be avoided. Overall company structure has also changed HR departments
to see all the works and discuss any issues related to them. Banks are acting a Funder so that the
right amount of capital can be invested in the project.
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LO2: Explain different types of construction companies with the market and
their relationships within the tendering process.
P4: Identify the different types of construction companies in the market.
There are 8 types of construction companies in the market:
1. Small Renovation Contractor
2. General Contractor
3. Owner- Builder
4. Real Estate Developer
5. Professional Construction Manager
6. Program Manager
7. Package Builders
8. Sponsor-Builder
P5: Explain the relationship between different construction organizations
A various number of Construction organizations are present in the market. Generally, they
appear as competitors but there are some aspects where they have certain relationships between
them which are co-existential. Like a company who takes projects and build them will not have
specific departments for the construction materials. It would usually contact some other company
whose primary role is to provide construction material to the larger corporation who need it.
Another example would be sometime companies doesn’t hire all the expertise that they need for
a specific project as when the project is completed, they have to pay that specific person a salary
without being able to use his/her skills. So, in that case, there are some industries which provide
skill or unskilled workers for hire for a specific amount o time. After their work is finished, they
will go back to the company from which they came and they will get assigned to another project
in some other company.
M2: Analyze the catalyst which connects construction companies, including
contracts and tendering.
Sometimes there are some projects which are too big for any single company to finish so some
companies get in a binding contract which includes them in a temporary contract which
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establishes them together as a single company. The catalyst in this situation is the project which
made this collaboration possible. This is a very efficient way of working because if a company
takes on a project which is out of its bounds then both the company and the project will suffer.
So, the clever thing to do is find a suitable or compatible company which can help in the
completion of the project. The process of tendering is the first stage as it will determine the size
of the project and it will also help the companies to realize whether to find a compatible
company or not to finish the project.
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LO3: Key stages in a construction project and how Building Information
Modelling informs the different stages.
P6: Sustainable and Modern construction processes and sequences used within
today’s industry
There are various sustainable and modern practices in construction which are as follows:
1. Materials
To build a sustainable structure, it is required to utilize materials which are environment-
friendly. There are various modern and sustainable materials which are utilized as
concrete, steel roofs, prefabricated bathrooms, etc. These materials are also
environmentally sustainable and environment-friendly.
2. Prefabricated or Volumetric Construction
There is greater demand for volumetric construction as a lot of time is saved and also
waste is reduced. With this transportation, the volume is also saved.
3. Permanent Modular Construction
This includes modules for offsite structure. After these cranes are utilized to assemble all
prefabricating chunks. This process is sustainable. This is becoming common as it is
flexible.
4. Software Estimation
There are various software’s available from which the volume of materials utilized in the
construction process would be estimated. It saves both money in time. The example of
this is BIM software.
5. Construction Software
These are the tools for managing a construction project. It includes all the needed support
for construction, resources, operations, etc. The software which comes under is as CAD
and BIM Hook J. (2016).
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P7: Contract planning techniques used within micro and macro projects.
The planning is done according to the specified project. These are available to the contractor.
These techniques are applied to both minor and macro projects. There are various techniques
included in contract planning which are as follows:
1. Bar charts or giant charts: In bra charts, the time period is estimated. There are various
symbols and tasks which can be accumulated in these graphs.
In Giant chart also, Various tasks are enlisted with an estimated period of completion of
that particular task. Through this target can be met.
2. Precedence Diagrams: Through these various activities in the process can be identified
with scheduling time. Here dependencies are also shown.
3. Network analysis or critical path techniques: This is extensively used in construction
industry. Here the time and resources can be estimated Rodriguez J. (2018).
4. The line of balance charts: This is one of the control processes which contains a lot of
methods as related to various parameters as cost, completion and time
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P8: BIM impacts upon operations and construction companies
BIM has a great impact on the construction industry. According to the study, 75 % have adopted
great investment.
There is a great impact on the construction industry as:
1. 33% of costs have decreased at initial phases.
2. Till completion 50% projects are delivered faster.
3. More environmentally friendly process. It was around 50 % of lower harmful emissions.
4. More collaboration and coordination.
5. There is a higher level of flexibility.
6. Risk can be mitigated.
Entire practices are changed because of this tool. This has a good impact on the construction
industry.
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M3 Analyze how construction has developed in terms of innovation, designs and
within contracts for micro and macro projects and interrelationships with BIM.
After BIM, the whole construction industry is innovated in terms of parameters as construction
designing and management. There are various capabilities of BIM. This has 3 dimensions as
Visualization perspective, rich inclusion and non-geometric data. There are various benefits in
terms of innovation and design:
1. Both communication and collaboration are better
As BIM allows various things like versioning, collaborating with multiple other
software’s, and communication. There are different tools available on clouds. Here
different models for the project can be communicated and collaborated.
2. Model-based cost estimation
There are different estimators incorporated in BMI. These estimators can help you with
different estimators. It saves both time and money. Here risks can be determined with
proper identification of construction assemblies.
3. Visualization of the project
Here the entire project can be visualized. A full overview of projects can be taken. The
decision-making process is also improvised.
4. Clash Detection with improved coordination
Here clash in the projects can be detected easily. This improves the coordination and
efficiency in the project.
5. Risk Mitigation and Cost efficient
There are various strategies of risk which can be seen with proper analyzing it (Hall, J.,
2018).
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LO4 Analyze how the construction industry has developed suitable
collaboration strategies in support of greater recognition of health & safety.
P9 Explain how health & safety has now become an integrated part of the
construction process.
There are various health and safety hazards with laborers which should be seen at the time of
construction. There are various hazards related to health and safety as trips, slips, moving
objects, etc. Now, this is an integrated part in the process of construction. The points below are
followed at the time of construction as:
o Daily visits should be carried out to view all possible risks and preventive steps should be
identified.
o Safety toolbox should be there. Meeting are organized with a major topic for safety
where various safety measures are covered. This is done so that all the workers know
about different measures related to health and safety
o PPE should be mandatory
o Regular breaks should be given to all workers.
o Both physical and mental health of workers is focused on.
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P10 Describe the government legislation which has benchmarked health & safety
within construction.
As we have discussed so far that Construction business like any other business have some health
and safety measures and government plays an important role in establishing rules and regulations
regarding construction work so that no possible harm can be done to the people working on the
project or harm to the project.
Over the past few years there have been some huge improvements regarding reducing number of
injuries on the construction site due to new government legislation about health and safety
issues. These legislations both motivates the field and improve quality of work as it ensures no
number of people should harmed in the process.
P11 Discuss the role of collaboration and communication in ensuring safe working
practices
In the above section all the safety measures that are implemented by government are discussed.
No matter how small or big a project is safety of the workers has to be of highest priority.
They’re also a very important measure to ensure safety of the project and workers and i.e. proper
communication and collaboration of safe working practices. These safety criteria would be
useless if no one knows about them or no one understands how to apply these practices in their
work.
Assigning a worker, the responsibility of ensuring communication about safety practices is a
basic step to help workers to communicate better. Regular survey to ensure that workers are
satisfy from these new safety measures or not. To understand the importance of collaboration, we
must understand what impact does it make on construction management:
1. Improved worker safety
2. Better coordination among workers
3. Improved emergency response measures
4. Trust and respect
5. Reduced dispute resolution
All these points are important as it ensures that all the tasks during a construction project runs
smoothly. Also, we must understand that a task is just as good as the people that does it.
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M4: Demonstrate how the construction industry has benefited through changes in
health and safety legislation.
So far, we have learnt about all the safety measure that construction company must implement at
their work place and include in workplace procedure. But what the point of all this if no one gets
benefited from all these legislations.
In reality people have been benefited from all these new rules and regulations. There has been a
huge decrement in number of workplace hazards, a smaller number of safeties complains.
Workers trust each other which promotes positivity in the company.
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CONCLUSION
In LO1 we discussed about what is a construction company, what is measures and structures?
Also, we learnt links between various entities in structure in a construction. In LO2 we came to
understand about various types of construction company and how in some situation they are co-
dependent on each other.
In LO3 we discussed about key stages in a constriction project. Stages like contracting, planning,
designing, etc. Impacts of BIM and its references were also the part of LO3 section. In LO4 we
discussed health and safety measures and how these measures improve the quality of the work at
a construction site.
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References
Hook J. (2016). The Modern Methods of Building and Construction. [online] Available at:
https://www.buildsoft.com.au/blog/the-modern-methods-of-building-and-construction
[Accessed 9 Mar. 2019].
Rodriguez J. (2018). How to Use and Identify the Critical Path Using a CPM Schedule. [online]
Available at: https://www.thebalancesmb.com/critical-path-method-scheduling-844481
[Accessed 9 Mar. 2019].
Hall, J. (2018). Top 10 Benefits of BIM in Construction. [online] Connect.bim360.autodesk.com.
Available at: https://connect.bim360.autodesk.com/benefits-of-bim-in-construction [Accessed
9 Mar. 2019].
Sharman, J. (2018). 12 of the biggest health and safety risks in construction. [online] thenbs.
Available at: https://www.thenbs.com/knowledge/12-of-the-biggest-health-and-safety-risks-in-
construction [Accessed 9 Mar. 2019].
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