Project Management: Australian Property Management

This report depicts the benefits of using professional project management practices in real field of application. The company nominated for the specific assignment is “Australian Property management” and the company is assigned in development of a high residential building.

Running head: PROJECT MANAGEMENT
Project Management: Australian Property Management
Name of the student:
Name of the university:

2PROJECT MANAGEMENT
1. Best practice for the service delivery plan
This report depicts the benefits of using professional project management prcatices in real
field of application. The company nominated for the specific assignment is “Australian Property
management” and the company is assigned in development of a high residential building. While
implementing theses management practices proper usage of standards, codes of practices,
guidance notes, health-safety policies, engagement of staffs and sub contractors are necessary.
In addition to this, incorporating client’s ethics, analysis and planning of possible risks
are crucial. The service delivery practice requires clear, transparent communication among the
project team members, maintenance of scope and project expectation, flexibilities to adopt
change management 1. Additionally, adaptability of different people and personalities are needed
for successful delivery of services these are also successfully implemented in this report.
1.1 Standards, codes of practice, guidance notes and operational procedures that
were taken into account while developing plan
1.1.1 Standards
In order to develop the project plan for construction of a building project management
standards are required to be considered by the contractors and sub contractors. Various attempts
are there used to develop project management standards. One of the most widely used
approaches include capability maturity model, GAPPS, cost management framework, ISO
1 Pheng, L.S., 2018. Project Procurement Management. In Project Management for the Built Environment (pp.
177-193). Springer, Singapore.

3PROJECT MANAGEMENT
standards, Prince2, V-Model, IAMMP 2. Apart from this, there are some other phases needed to
be categorized and maintained accordingly such as initiation, planning, execution, monitoring
and closure.
1.1.2 Code of ethics
The code of practices should be incorporated by the construction project manager of
Australian Property management are as follows:
 Confined spaces
 Construction work
 First aid in the work place with fatigue management
 Preparation of a safety dataset
 Preparation of safety data sheet for the hazards workplace chemical
 Preventing falls in housing constructions
1.1.3 Guidance notes and operational procedures
The guidance and operational procedures needs to be followed by project manager and
project team members are comprises of different operational procedures and guidance notes 3.
The SOP is consists of project charter, project purposes, compliance, government regulations,
2 Yakovlev, A., Vyglovsky, O., Demidova, O. and Bashlyk, A., 2016. Incentives for repeated contracts in public
sector: empirical study of gasoline procurement in Russia. International Journal of Procurement
Management, 9(3), pp.272-289.
3 Nojavan, S., Zare, K. and Mohammadi-Ivatloo, B., 2015. Stochastic energy procurement management for
electricity retailers considering the demand response programs under pool market price uncertainty. Majlesi J.
Energy Manag, 4(3), pp.49-58.

4PROJECT MANAGEMENT
reinforcement, technical actions, creditability, legal defense etc. The standard operation
procedure can minimize issues of project variations.
1.2 The reporting expectations of the client
Regardless of type, size and complexity of projects the project managers should try to
meet the expectation of the clients. In other words, the project outlines should be designed as a
customer focused structure. Before listing the target audience anticipation of the clients are also
required. Continuous communications among project team members are mandatory to share
ideas and decisions of the project team members. Apart from this, expectation of clients should
be managed properly through implementing the below actions:
 Creation of boundary
 Flowchart design and implementation
 Building expectation around the reporting methods
 Establishing outcomes considering under promises and over delivery
 Contingency buffer building
 Determination of needs versus capacity and delivery
 Avoidance of months to months agreement
2. The use of terotechnology concepts
In order to interpret the business goals as well as multidisciplinary clients strategies it is
mandatory for the project managers, contractors and labours to maintain certain rules, regulation
and project life cycle practices. Terotechnology is one of the most widely used technologies in

5PROJECT MANAGEMENT
the construction industries 4. It is an integrated approach that is used to control cost and is
encompasses all cost elements initiated from design and maturity of until it is finally disposed. In
other words, it is comprises of management, financial, engineering, construction prcatices those
are applied for managing the physical assets. Terotechnology gives an integrated approach to the
project manager for improving the physical asset management.
Terotechnology deals with project life cycle costing that helps to arrive at investment
decision pertaining to high costing capital assets such as machine tools. The types of costs that
are operated with terotechnology include discounting cost, whole life cycle cost, life cycle
costing and spreadsheet analysis. Usage of terotechnology is the best possible value used for
money from the subsequent asset employment and procurement. In order to achieve lowest
costing assets over the constriction project life cycle period, the construction manager requires
defining the performance level. It makes sure the selection based on values rater than lower cost.
However, cheaper sometimes may cost more for life tie maintenance. The construction head of
Australian Property management would be able to take care of those assets throughout the
construction season. In order to improve each asset feedback for individual information is
collected in this approach. It minimizes the rate of overall cost for procuring the construction
project. At the project construction procurement phase, this technology is applied as a
complimentary approach for future maintenance.
Application of terotechnology is comprises of five phases such as planning and design,
acquisition, operation, maintenance and disposal. In order to avoid overrunning cost and over
4 de Carvalho, M.M., Patah, L.A. and de Souza Bido, D., 2015. Project management and its effects on project
success: Cross-country and cross-industry comparisons. International Journal of Project Management, 33(7),
pp.1509-1522.

6PROJECT MANAGEMENT
allocated budget the construction managed needs to design and develop the project using the
concept of terotechnology. It helps to make comparison between range of solutions, techniques,
replacement strategies and time period as well. The application of terotechnology minimizes the
conflict related issues that may interrupt the outcome expected from the Australian Property
management constriction project.
2.1 Incorporate ethics of client that are integrated into the plan
Both clients and construction project associates are required to follow the ethical
practices throughout the project progress period. Based on company values, business decisions
are required to be taken by the construction head and working team members 5. The value
statements should be clear to the project team members. The below list is comprises of the
ethical practices those should be followed:
 The business values of Australian Property management must be followed by each client
 The confidentiality of construction project regarding laws and regulations should not be
exploited by the clients
 The clients must follow and maintain the legal concern every time
 The legal actions and legal documentation should be properly maintained by the clients
of the construction project
 The clients require to deal with ICE inspection details
5 Ahmed, J.U., 2015. Determinants and constraints to effective procurement management in government projects:
a practitioner's perspective (Doctoral dissertation, BRAC University).

7PROJECT MANAGEMENT
2.2 Risks and opportunities that was assessed and analyzed
Different types of risks are associates to construction projects that should be managed
and resolved to obtain commercial revenue. The risks are as follows:
 Safety hazards that may lead to worker’s accident and major injuries
 Unknown condition of the construction sites
 Shortages in number of labours
 Unavoidable natural disaster
 Improper written contracts and usage of damaged construction tools and
equipments
 Sudden or unexpected material cost
The related opportunities are mentioned in the below section:
 Professional construction management provides high level market insights and
expertise which are integral to successful completion of the projects 6
 The issues and challenges with communication also get resolved
 Regardless of size and type the construction project the point of contact can be
achieved
 No issues to overrunning cost and over allocation of budget occurs
 The overall work efficiency gets enhanced and improved
6 Heldman, K., 2018. PMP: project management professional exam study guide. John Wiley & Sons.

8PROJECT MANAGEMENT
3. The performance of plant equipment
3.1 Relevant examples taken from workplace
In order to maintain flow of any constriction project the construction head and other
resources are needed to use proper tools, technologies and construction equipments as well.
Accurate construction managerial actions will help to keep the balance in the project maintain
the working environment 7. Each probable construction issues will be absolutely resolved with
the proper equipment, tool and technique application.
For instance, during construction of a residential complex in New South Wales (NSW),
Australian Property management used and applied certain needful equipments and tools. The use
of such plant equipments are mentioned below:
Name of the plant
equipments
Description on usability
Motor Grader The road grader was used to surplus the surface of the chosen
construction site
Road roller machine In order to compact the asphalt this equipment is used
Asphalt Mixing plant Asphalt Mixing plant is used to prepare the concrete required for the
construction
Forklift Truck In order to lift up and remove objects from one location to another
location this equipment is used by the construction project managers
Crawler excavator This is used to excavate or move rocks and soil from the site
7 Morozov, V.V. and Liubyma, I.O., 2016. The integration models of procurement management of hybrid projects
in development of project-oriented enterprises. Bulletin of NTU" KhPI". Series: Strategic Management, Portfolio,
Program and Project Management, 6(2 (1174), pp.22-25.

9PROJECT MANAGEMENT
Wheel loader Pile of materials are removed from location to location with this wheel
loader
4. Maintenance strategies analyzed and used to develop the maintenance plan
4.1 Advantages of developing a cyclic maintenance plan
There are certain maintenance strategies those should be incorporated by the project
manager and project team members to resolve possible challenges, operational and functional
errors. During development of this plan certain specialized service delivery plan needs to be
incorporated and those are elaborated in this paper. The integrated approach of service delivery
defines co-operation of certain knowledge management areas.
 It ensures longevity of the constructed buildings
 The issues of costly breakdown repair also get resolved with implementation of
the cyclic maintenance program
 Rather, cyclic maintenance is referred to as the best possible way used to keep the
home or building constructed by Australian Property management in a good
condition 8
 It make sure the compliance to the statutory components
8 Papke-Shields, K.E. and Boyer-Wright, K.M., 2017. Strategic planning characteristics applied to project
management. International Journal of Project Management, 35(2), pp.169-179.

10PROJECT MANAGEMENT
4.2 A list of resources used to perform maintenance
In order to maintain performance of the individual proper resources should be assigned to
each activity and the details of the resources are as follows:
Resources Expected performance
Project manager The project manager is expected to accomplish
the project within estimated time and budget
Civil engineer The responsibility of the civil engineer is to
outline the construction details considering
consumer’s expectation
Architect The exterior and interior design are expected to
be completed by the architect
Machinery or construction tools Based on the construction outlines proper
machineries and tools are to be chosen by the
contractors and subcontractors
Finance manager It is responsibility of the finance manager to
make a feasibility study to measure actual
expected budget of construction project.
Contractors The contractor assigned to the project should
engage themselves to manage the construction
work
Sub contractors Responsible to accomplish their roles throughout
the project progress session

11PROJECT MANAGEMENT
4.3 A cost-benefit analysis
Cost Benefit Analysis for Australian Property management construction
project
Cost assigned for the construction site
$
80,000.00
Material cost
$
20,000.00
Team salary
$
15,000.00
Labour cost
$
7,000.00
Net cost developed for the construction project
$
122,000.00
Cost assigned for legal documentation
$
5,000.00
Suppliers cost
$
12,000.00
Logistic cost
$
12,000.00
Net operational cost assigned for the project
$
29,000.00
Approx savings from the salary of the labours
$
55,000.00
cost from the building registration
$
58,000.00
Total benefit from the construction project
$
113,000.00
Cost benefit analysis for the
Australian Property
management construction
project
Expected project discount
6.00
%
Tendering cost
$
50,0
00.0
0

12PROJECT MANAGEMENT
Tool and material cost
$
20,0
00.0
0
Project approval Cost
$
15,0
00.0
0
Year
of
Proje
ct
0 1 2 3 4 5
Net
value
Net commercial profit from
the project
$25,
000.
00
$
26,00
0.00
$
27,00
0.00
$
30,000
.00
$
25,00
0.00
$
24,00
0.00
Rate of discount
4.00
00
2.000
0
1.450
0 1.2000
1.000
0
0.850
0
PV profit
$100
,000.
00
$52,0
00.00
$39,1
50.00
$36,00
0.00
$25,0
00.00
$20,4
00.00
Benefits (PNV)
$100
,000.
00
$
152,0
00.00
$
191,1
50.00
$
227,15
0.00
$
252,1
50.00
$
272,5
50.00
$
272,5
50.00
one time project cost
$
(15,
000.
00)
Project recurring cost
$0.0
0
$
(20,00
0.00)
$
(20,00
0.00)
$
(20,00
0.00)
$
(20,00
0.00)
$
(20,0
00.00
)
Discount rate for the project
0.95
00
0.850
0
0.800
0 0.7500
0.700
0
0.650
0
Recurring cost for the PV
$0.0
0
$
(17,00
0.00)
$
(16,00
0.00)
$
(15,00
0.00)
$
(14,00
0.00)
$
(13,0
00.00
)
Total cost (PV) $
(15,
$
(32,00
$
(48,00
$
(63,00
$
(77,00
$
(90,0
$
(90,0

13PROJECT MANAGEMENT
000.
00) 0.00) 0.00) 0.00) 0.00)
00.00
)
00.00
)
Total NPV
$
182,5
50.00
Total Return of Investment
(ROI) expected
2.028
3
5. An outline of how the actions in the plan were categorized scheduled
5.1 The plan allows for future development
For future success and development of construction project the plan should be followed
and maintained are as follows:
 Unify the organization Australian Property management
 Effective planning for future growth
 Maximizing the efficiency of the facilities
 Exploring programming requirements to provide functional and operational
effectiveness 9
 To evaluate both the future and current space efficiency
 Construction renovation is required to meet the consumers need even if it changes
9 Sorunke, O.A., Omojola, O.S. and Adeleke, E.O., 2016. The Imperative of Risk Management Plan in Curbing
Corruption in Public Procurement System in Nigeria. International Journal of Academic Research in Accounting,
Finance and Management Sciences, 6(2), pp.134-139.

14PROJECT MANAGEMENT
5.2 Legislation, regulations, health and safety policies and procedures
The construction project manager and team members need to maintain and approve the
plan.
 On the construction site the health and safety of the labours must be maintained
 Authorized legal documentation should be all maintained by contractors and
project managers 10
 Competent project supervisor, health and safety officers are to be appointed
 Construction site should kept tidy
6. Tenants and other stakeholders assigned to the project
6.1 Examples of how relevant sub-contractors and staff were engaged
Name of the stakeholders Interest Power
Project manager Interested to accomplish the
project within estimated
timeline and budget
High
Finance manager The responsibility of the
finance manager is to make
feasibility study to estimate
net budget for the project
High
Contractors The interest of the contractor Low
10 Yan, M.R., Chien, K.M. and Yang, T.N., 2016. Green component procurement collaboration for improving
supply chain management in the high technology industries: A case study from the systems
perspective. Sustainability, 8(2), p.105.

15PROJECT MANAGEMENT
is to meet expectation and
demand of consumers
Sub contractors The process of bidding are
interest of the sub contractor
Low
Legal advisor Construction site related all
legal documents must be
signed
High
Government The interest of the government
is referred to as a concept
based in law which allows the
government to regulate the
construction related matter
successfully.
Low
Resource manager Interested to assign needful
resources to each construction
project activities
6.2 Examples of how the maintenance work was monitored
In order to avoid overrunning cost and over allocated budget the contractors and the sub
contractors are required to keep an appropriate balance between the project activities and the
respective actions to be taken for maintaining the work. The construction project maintenance
work ought to be monitored considering some aspects in terms of the following elements:
 The entire construction environment needs to be monitored accordingly

16PROJECT MANAGEMENT
 The quality of the construction site should be all controlled 11
 Maintain timeliness and meeting targets
 Monitoring health and safety concerns
 Monitoring costing based on materials
 Conformance of the specifications and planning
 The logistic services and the raw materials for the construction project must be
properly monitored
6.3 Records of acquisitions and disposals
In order to accomplish the construction project Australian Property management has
purchased around 20% of a third party company shares for taking control overall 12. The project
acquisition has occurred as soon as another sponsor company achieved more than a half of the
ownership in the target company.
On the other hand, it is responsibility of the construction head to take those actions
through which the wastes related issues can be completely resolved. The wastes must be
disposed in proper dumping areas instead of polluting the environment.
6.4 Examples of continuous improvement
In order to obtain continuous improvement properly the construction heads of an office
renovation project are to be followed the following:
11 Hornstein, H.A., 2015. The integration of project management and organizational change management is now a
necessity. International Journal of Project Management, 33(2), pp.291-298.
12 Pheng, L.S., 2018. Project Procurement Management. In Project Management for the Built Environment (pp.
177-193). Springer, Singapore.

17PROJECT MANAGEMENT
 Development of proper strategies and goals
 Accurate budgeting and capital planning
 Implementation of Lean methodology
 Multiple competencies, business process and activity follow
 Use of needful supporting construction tools and equipments

18PROJECT MANAGEMENT
References
Ahmed, J.U., 2015. Determinants and constraints to effective procurement management in
government projects: a practitioner's perspective (Doctoral dissertation, BRAC University).
Dalcher, D., 2016. Thinking in Contracts: the role of intelligent procurement in projects. PM
World Journal.
de Carvalho, M.M., Patah, L.A. and de Souza Bido, D., 2015. Project management and its
effects on project success: Cross-country and cross-industry comparisons. International Journal
of Project Management, 33(7), pp.1509-1522.
Fuller, M.A., Valacich, J.S., George, J.F. and Schneider, C., 2017. Information Systems Project
Management: A Process and Team Approach, Edition 1.1. Prospect Press.
Heldman, K., 2018. PMP: project management professional exam study guide. John Wiley &
Sons.
Hornstein, H.A., 2015. The integration of project management and organizational change
management is now a necessity. International Journal of Project Management, 33(2), pp.291-
298.
Morozov, V.V. and Liubyma, I.O., 2016. The integration models of procurement management
of hybrid projects in development of project-oriented enterprises. Bulletin of NTU" KhPI".
Series: Strategic Management, Portfolio, Program and Project Management, 6(2 (1174)),
pp.22-25.

19PROJECT MANAGEMENT
Nicholas, J. M., & Steyn, H. (2017). Project management for engineering, business and
technology. Routledge.
Nojavan, S., Zare, K. and Mohammadi-Ivatloo, B., 2015. Stochastic energy procurement
management for electricity retailers considering the demand response programs under pool
market price uncertainty. Majlesi J. Energy Manag, 4(3), pp.49-58.
Papke-Shields, K.E. and Boyer-Wright, K.M., 2017. Strategic planning characteristics applied
to project management. International Journal of Project Management, 35(2), pp.169-179.
Patel, T., Rathod, H., Sharma, N.D. and ME, I.Y., 2016. Analysis of parameters affecting
material procurement in construction industry.
Pheng, L.S., 2018. Project Procurement Management. In Project Management for the Built
Environment (pp. 177-193). Springer, Singapore.
Sorunke, O.A., Omojola, O.S. and Adeleke, E.O., 2016. The Imperative of Risk Management
Plan in Curbing Corruption in Public Procurement System in Nigeria. International Journal of
Academic Research in Accounting, Finance and Management Sciences, 6(2), pp.134-139.
Yakovlev, A., Vyglovsky, O., Demidova, O. and Bashlyk, A., 2016. Incentives for repeated
contracts in public sector: empirical study of gasoline procurement in Russia. International
Journal of Procurement Management, 9(3), pp.272-289.
Yan, M.R., Chien, K.M. and Yang, T.N., 2016. Green component procurement collaboration for
improving supply chain management in the high technology industries: A case study from the
systems perspective. Sustainability, 8(2), p.105.