Construction Industry: Professionalism, Contracts, and Development

This report provides a comprehensive analysis of various aspects of the construction industry, beginning with a discussion of professionalism and its importance in promoting sustainability. It examines the scope and linkages between different parties within a construction organization, highlight...Read More

Task 1
Solution (a):
Development and encompassed Professionalism in the construction industry:
The professionalism can be defined as the objective assessable stages of exact assistances and
competences. There are a lot of qualified organizations which globally represent the suitable
skill and competence stages of professionalism.
In some cases, these professional institutions are emerging and encouraging the expert code
of conduct which defined how professional should use their assimilated services for the
communal benefits. Though, separate competence is a much more important query for the
joining services and competences with a certain mindset, ideology and attitude to investigate
anybody's occupation in terms of ensuring and promoting sustainability. By this background,
the professionalism can be demarcated as the work idea aim to encourage and provide the
choices and results which poise the short-term profit of the company, end customer's value
expectations and the long-time wider good. In other terms, maintainable competence can be
defined by the integrity and consistency which applied at one's service and capability for the
communal benefits. (Aho 2013)
Solution (b):
Scope and linkage between all parties within a construction organisation:
There are various events elaborated in the conclusion of the construction project. The major
parties are the architect or engineer, the owner and the client, and the overall servicer. There
are some businesses contracts in between these parties for agreement process of projects
work completion, for example, engineering, project, management, building and design.
The building project can be prepared for implementation only when the required fund gets
approved by the owner and required approvals are obtained by the relevant authorities. After
meeting that above criterion for project establishment, the customer will approach the
servicer or an architect for the plan completion.
From medium to the large size projects, the customer can perform the work by using various
processes such as: by the trade contract, ensuring the general contractor for a selected work

portion, and the direct execution of the remaining work, or entrusting the general contractor
for the entire work etc.
In the main contract, the customer is having the contract with the project strategy architect
and the general contractor. Hence there are two distinct agreements named as the client-
contractor contract and the client-architect contract. The architect is capable to work as the
client representative or not; it is the subject of the client involvement in decision- making.
Solution (c):
Types of contractual work tenders:
There are several categories of the bids which are shown below:
 Open tender:
Open tendering is the significant tendering process which is engaged with both the sectors
either the private sector or the government subdivision. This tendering system permits
everyone to acquire the tender for supplying the required properties and facilities, and it
proposes an equalized chance to any organization for tender submission. This tendering
process is mostly applicable in the engineering and the construction companies. (Opus
Kinetic, 2019)
 Selective tender:
This type of tendering process allows the dealers to succumb the tenders only by the
invitations. These dealers are appropriate for that contract in terms of the contract's size,
complexity and the nature; which can be reviewed by their previous track records. This
kind of tendering process provides high confidence to the client about their need
satisfaction.
 Negotiated Tenders:
This kind of tendering process is applicable in the manufacturing and the construction
business. The negotiation with the single dealer in this process can be appropriate for
various reasons such as the extended scope of the present contract and highly specialized
contract. The cost of these kinds of tenders is minimized, and it also permits initial
contractor participation.
 Single-stage or two-stage tenders:
The single-stage tendering process is applicable when the entire information which
required for calculating the accurate amount is obtainable at the time of tender instigates.
In this process, a favoured tenderer is nominated and by succeeding the discussions, the
tendered can be selected.

Two-stage tendering is utilized for allowing the initial selection of the dealer before the
completion of the entire data which is required for enabling a fixed cost.
Justification of the tender category used in the proposed project:
The tender which is applicable in the proposed project scenario is the open type tender
because it is suitable for the construction industry or the industrial complexes.
Solution (d):
Construction industry development in terms of company structure:
The construction industries include 3.1 billion dollars for the equipment, which also
witnessed a slowdown. Before this crisis, the equipment market grew at a rate of 35% in
seven years. (User, n.d.)
The environment is significantly assessed through the certainty level and the interdependence
between the project sub-activities. (Rowlinson 1996)
Construction industry development in terms of employees:
Presently, The shortage of the labours are becoming more dominant in the construction
industry and the companies are required to concentrate on the meetings for work-life quality
and the corporate culture which attracts and retain good people. In the recent survey of
FMI’s, it is shown that approximately 86% of the respondents reported that the companies are
facing the shortage of skilled labours. (Hoover 2016)
Construction industry development in terms of contracted works:
In all the examples which show the Owner being as the Contractor, there should be separate
company's existence for the different operations, and the adequate construction contract
between these companies must be made in writing. The construction developer can only be a
project owner or be a project contractor and owner both.
Justification of the company structure for the proposed scenario:
The proposed scenario is based on the growth of the construction industry in terms of
construction arrangement because the corporation is a medium-sized family-based business.
And as it is already mentioned above that the ecological influence of the construction project

& the technical complexity can be measured in terms of how these influences shape project
management and hence it will impact the company’s development.
Solution (e):
Development of structure and business ethos in the construction industry:
The construction industry is a dynamic and complex industrial segment. The construction
industry entails the different players at the various stages as it majorly encompasses the
operations like design, construction, planning and maintenance. The shareholders mainly
include the servicer, designer, client and manufacturers. And these all are being elaborated in
the process from the beginning to the ending of the project. A study has revealed that earlier
construction projects faced several issues related to fragmentation, for example, professional
isolation, lack of coordination between the construction and the design. (Mohd Nawi, Baluch
and Yusni Bahauddin, 2014)
Impacts on the proposed scenario:
The Customers who are shown as the company's assets and the proposed studies on them
represent that customer retention's expenses are having a great influence on the financial
value of the corporation than the actual financial instruments. (Mohd Nawi, Baluch and
Yusni Bahauddin, 2014)

Task 2
Solution (a):
Different categories of construction companies:
There are numerous categories of construction businesses which are elaborated below:
(ConstructionPlacements, 2019)
1. Civil Engineering company:
The civil engineering company is applicable in organizational basics designing, for
example, concrete desk, structural steel or foundations etc. whereas, the construction
company build the structures which are designed by the civil engineers.
2. Construction contracting company:
A broad construction servicer are responsible for the everyday review of the construction
site, retailers and jobs management, and the data communication to all the elaborated
events by the construction project course.
3. Heavy engineering and construction:
In this business, companies build heavy civil engineering projects such as Road, dams,
utility systems and bridges etc.
4. Industrial infrastructural companies:
Industrial substructure companies are applicable in building, structure, water dock, mill or
shop, processing and assembly etc.
5. EPC companies:
EPC companies stand for the process of engineering, procurement and construction.it is
the protuberant method of the constricting arrangement in the construction business.
Category of the proposed construction industry:
The proposed scenario comes under heavy engineering and construction due to the
construction of heavy structures as London Airport.

Solution (b):
Relationship between the various construction companies:
The relationships between the different construction industries are shown in the form of an
arm-length relationship. This relationship operates entirely through the legal obligation and
the close cooperation which are enhanced by the trust, good faith and openness. Due to this
arm-length arrangement, the companies are based on the force of law for achieving the
satisfaction of the client. The foundation of companies on the basis of this law is frequently
observed in terms of business culture contribution within the construction where each party’s
issue extends only up to the legal procedures needed for them.
However, this relationship often provides a product which meets the requirement of the
client; it cannot be expressed that this experience will always meet the client's requirement.
On the other hand, non-enforceable contracts can enhance the client’s risk exposures from the
non-performance through the parties which are involved in the cosntruction. Hence between
these extremes, there are some variance occurs in between these relationships which are
observed.
Solution (c):
Link connection of the construction industries:
The mobility-solutions segment and digital collaboration have involved nearby 60% for all
the ventures funded in the construction business. One start-up has developed the apps for
smartphones and the tablets which permit the changes in the construction blueprints and the
relayed plan at real-time on-site. Site photos can be linked with the all construction plan and
the construction industries; hence it gets co-related with each other. This solution manages a
document's master set with the cloud-based access and automatic version control. (Sridhar,
n.d.)
Solution (d):
Difference between the contracts and tenders in Construction Company:
Tender is often represented as the invitation of trade; however, the contract is an agreement
which is under law enforcement.
Hence the term tender elaborates an invitation to skill as a proposal. Contract develops as an
agreement which exists in between the purchaser and additional event. This is for any work
implementation for the supply of works, services and goods.

Task 3
Solution (a):
The term MMC or the modern method of construction (MMC) usually shows the off-site and
the prefabricated structure. In current timing, MMC usage has enhanced within the
construction industry as the industry is looking for quicker development which should have
sustainable and cheaper construction methods than that of the new approaches.
Sustainable technology is connected to the structure for preserving the atmosphere for the
upcoming generations. This maintainable growth term can be elaborated as a growth which
encounters the current requirements without cooperating the future generation's capability to
meet their requirements. It got only a way of thinking for reducing the building's carbon
footprint through waste reduction and increment in energy efficiency. (Sancheti Builders,
2018)
MMC is presently the most applicable method for the construction process due to many
reasons such as skill shortages, new regulations, specific structure requirements and the
affordability. It is being created as an atmosphere where the traditional approaches for the
construction are no longer a suitable option for the consideration. (Sardén, 2010)
Solution (b):
A macro plan can cover the whole structure from the drawing board to the opening day. It
would usually be formed in widely brush terms without more detailing and perhaps with the
scale of months and weeks.
A micro plan can cover a exact portion of the project is highly significant description; the
plan can be in positions of the weeks and days. (Yodiz Team, 2017)
Most Suitable contract planning technique:
Concentrating on the macro-planning is a good idea for the agency as it strategizes to get the
best outcomes. By doing this, it is possible to focus on the huge picture for hitting the target
every time. (Simicic, n.d.)

Solution (c):
Building information modelling permits the virtual 3D models for construction; this is being
designed by the contractors or designers. It can be provided with the whole project group,
which will then suggest in the delivery and understanding of the project. (Trimble.com, 2019)
The data involves the entire knowledge which goes into maintaining and constructing a
structure by its life cycle. And it includes building programming, facilities and the price
organization facts.
There are four main stages of BIM, and the government of the UK is having the aim of stage
2 BIM through 2016 on the community obtained tasks. BIM stage 2 targets to permit the
scheme groups for producing their models at mutual criterions by which they can be replaced
and transported together by the patented IT system. (Decipher 2014)
Solution (d):
Construction development in terms of relationship with BIM:
Both 4D and 5D building and the price demonstrating are the main zones of BIM, and the
goal of the project group can comprehend the boundary between the programme, construction
and the prices before the beginning of some tasks, with the target of reducing crashes and the
issues once the tasks have instigated.
The construction companies are observing at the servicers, employers, and the expert group
to hold BIM technology and up-skill the employee to take up the mantra for transporting the
tasks by utilizing the BIM technology. (Decipher 2014)
Solution (d):
Construction development in terms of micro and macro projects:
There are two basic categories of the project knowledge which are being shown below:
 Micro-knowledge: required for carrying out the single task.
 Macro-knowledge: entire controlled knowledge by the peoples from the given
organization stage.

Project knowledge is achieved at the four different levels such as project, individual,
organization and globally. Project knowledge creation is the major aim of a separate stage
and an essential aim of the project stage. The major and the concluding aim of it deceits at the
project level; this is the submission of the project knowledge management for solving the
problems and executing the activities. The organization as a complete form facilitates the
project by the project knowledge management. (Stanislaw 2011)
Construction development in terms of innovation and design:
Innovation is a broad idea which comprises developments in the procedures, facilities and
products. It includes integrating innovative approaches which produce variations that support
for solving the business requirements and so enhance its attractiveness.
The usage of the innovation in the construction business is not straight forward, except the
sector prominence in the growth and development of the broad frugality.
(Designingbuildings.co.uk, 2019)
Research is being conducted for developing the construction and design process protocol,
especially for home modifications. A three-stage methodology is being taken for the
qualitative data analysis. The online survey in the UK generates this data. (Russell, Ormerod
& Newton 2018)
The Survey is really important for the proposed project as it provides the basic idea for
design, innovation and technology which can be used in the construction project.
Task 4
Solution (a):
Importance of health and safety in construction in construction site:
Health and safety are the most significant considerations which must be taken before any of
the construction projects. Health and safety in the construction industry are essential because
the construction business is going through the dangerous circumstances and it can be
hazardous at several times. Facts elaborate that approximate 3 % of the building labours in
the UK tolerate the work-related accidents, and about 4% are injured from these accidents.
(Onsite-support.co.uk, 2017)

It can enhance the higher losses in the working hours, and it also elaborates that workers are
not satisfied with their job roles.
There are various significant reasons which enhance the importance of health and safety at
the workplace. It emphasizes the safety magnitude at the construction site, and there are two
ways which can support for preventing the incidents from happening.
 Training: several accidents happen on the construction location due to the improper
training of the workers before starting any project. Practical training provides
awareness in the workers about the dangers at the construction sites.
 Tools: the right security apparatuses can also reflect a significant change in accidents
at the workplace because they evade needless conditions. (Onsite-support.co.uk,
2017)
Solution (b):
One of the significant philosophies of the act is “The ideology to health and safety command
of the risk management”, whereby employers are needed to identify assess and hazards the
likely effects, to reduce the associated risks.
It also marked the beginning of arrangement between EU and UK health and safety
legislation.
By referring the collection to as the six-packs, it is included as:
 Health and safety management regulations in 1999.
 Usage and provision of work equipment regulations 1998.
 Manual Handling operations regulations 1992
 Personal protection equipment at worksite regulations 1992.
 Workplace Regulations 1992(Croneri.co.uk, 2019)
Solution (c):
Fatality and accident rates suffering are being meaningfully advanced than other industry
segments. Although all the events intricate in the construction companies can address their
respective responsibilities, the absence of integration in between every company frequently
results in the communication issues which endangered H&S. Entire information consisting of
the project must be willingly accessible for the whole parties, to ensure hitch-free and smooth
project execution.

Solution (d) and (e):
Impacts of health and safety legislation at the construction site:
The HSA has very palpable effects on health and safety in this nation between the years
1974. When it is initially enacted and 2015, for instance, a major accident of employees are
fell, which is around 85%.
The HAS establishes the duty for the employee health and safety squarely at employers
feet’s. It also executes the obligations on importers, suppliers, originators, contractors, and
the builders used at work. The HAS concentrates profoundly on it being the manager who is
holding the duties for confirming that there is a harmless location at the whole timing where
hazards are spoke and reduced where it is conceivable. The legislation is not planned to be
complex as its main aim is to support employers for enhancing conditions at work for the
employers. (Anon, n.d.)
Advantages of health and safety legislation at the construction site:
There are several advantages of health and safety regulations which are shown below:
1. Protection of workers from suffering due to ill health and accidents.
2. Reduction in sick leave and absences.
3. Staff retaining
4. Maintaining the reputation of an organisation.
5. Boost profits and productivity.
6. Reduction in premium insurances and legal costs. (Hse.gov.uk, 2019)
Disadvantages of health and safety legislation at the construction site:
An investigation is done in literature, which required for examining the implementation of
HSM systems between small and medium-sized construction companies who found that the
main issue is at the timing of H&S foundation for a recently established organisation. The
main barriers are the lack of skill, lack of knowledge, cost and guidance. (Chileshe 2012)

References
Aho, I. (2013)) Value-added business models: linking professionalism and delivery of
sustainability. BUILDING RESEARCH & INFORMATION. 41(1), pp. 110–114. Available
from: https://www.tandfonline.com/doi/pdf/10.1080/09613218.2013.736203?
needAccess=true [Accessed 24 february 2020].
Anon, (n.d.). Whitepaper: Health and Safety in the Construction Industry – RG Group.
[online] Available at: https://rg-group.co.uk/whitepaper-health-and-safety-in-the-
construction-industry/ [Accessed 26 Feb. 2020].
Hse.gov.uk. (2019). Business benefits. [online] Available at:
https://www.hse.gov.uk/business/business-benefits.htm.
Chileshe, N. (2012) Benefits and barriers of construction health and safety management
(HSM) Perceptions of practitioners within design organisations. Journal of Engineering
Design and Technology. 10(2), pp. 276-298. Available from:
https://www.researchgate.net/publication/262894170_Benefits_and_barriers_of_construction
_health_and_safety_management_HSM [Accessed 26 february 2020].
ConstructionPlacements. (2019). What are the various types of Construction Companies? -
ConstructionPlacements. [online] Available at:
https://www.constructionplacements.com/what-are-the-various-types-of-construction-
companies/ [Accessed 24 Feb. 2020].
Croneri.co.uk. (2019). Legislation in the construction industry | Croner-i. [online] Available
at: https://app.croneri.co.uk/feature-articles/legislation-construction-industry.
Decipher, C. (2014) BIM and its Effects on the Construction Industry. Available from:
https://www.constructionglobal.com/equipment-and-it/bim-and-its-effects-construction-
industry [Accessed 26 February 2020 ].
Designingbuildings.co.uk. (2019). Innovation in construction projects. [online] Available at:
https://www.designingbuildings.co.uk/wiki/Innovation_in_construction_projects [Accessed
26 Feb. 2020].

Hoover, S. (2016) Managing Employees in Today's Construction Industry. Available from:
https://www.constructionbusinessowner.com/management/managing-employees-todays-
construction-industry [Accessed 24 February 2020 ].
Mohd Nawi, N., Baluch, N. and Yusni Bahauddin, A. (2014). Impact of Fragmentation Issue
in Construction Industry: An Overview. MATEC Web of Conferences, [online] 14, pp.1-8.
Available at:
https://www.matec-conferences.org/articles/matecconf/pdf/2014/06/matecconf_bsfmec2014_
01009.pdf [Accessed 24 Feb. 2020].
Onsite-support.co.uk. (2017). Why Is Construction Safety Important? - OnSite Support.
[online] Available at: https://www.onsite-support.co.uk/news/why-is-construction-safety-
important [Accessed 26 Feb. 2020].
Opus Kinetic. (2019). 4 Types of Tender and Tendering Processes. [online] Available at:
https://www.opuskinetic.com/2019/04/4-types-of-tender-and-tendering-processes/ [Accessed
24 Feb. 2020].
Rowlinson, S. (1996) Organizational structures in the construction industry. Construction
Management and Economics. 14(3), pp. 199-212. Available from:
https://www.researchgate.net/publication/24077196_Organizational_structures_in_the_constr
uction_industry [Accessed 24 february 2020].
Russell, R., Ormerod, M. and Newton, R. (2018) The Development of a Design and
Construction Process Protocol to Support the Home Modification Process Delivered by
Occupational Therapists. Journal of Aging Research. 2018(4904379), pp. 1- 13. Available
from: https://www.hindawi.com/journals/jar/2018/4904379/ [Accessed 26 february 2020].
Sancheti Builders. (2018). 8 Modern Building Construction Techniques. [online] Available
at: http://sanchetibuilders.com/8-modern-building-construction-techniques/ [Accessed 26
Feb. 2020].
Sardén, Y. (2010). MODERN METHODS OF CONSTRUCTION: A SOLUTION FOR AN
INDUSTRY CHARACTERIZED BY UNCERTAINTY? In: Egbu, C. (Ed) Procs 26th
Annual ARCOM Conference, [online] pp.1101–1110. Available at:

https://www.researchgate.net/publication/267263679_Modern_methods_of_construction_A_
solution_for_an_industry_characterized_by_uncertainty [Accessed 26 Feb. 2020].
Simicic, K. (n.d.). The Difference In Macro- and Micro-Planning | Productive Blog. [online]
Productive Blog. Available at: https://www.productive.io/blog/difference-macro-micro-
planning/ [Accessed 26 Feb. 2020].
Sridhar, M. (n.d.). Imagining construction’s digital future. [online] McKinsey &
Company. Available at: https://www.mckinsey.com/industries/capital-projects-and-
infrastructure/our-insights/imagining-constructions-digital-future [Accessed 24 Feb. 2020].
Stanislaw, G. (2011) A model of project knowledge management. Project Management
Journal. 42(3), pp. 23–44. Available from: https://www.pmi.org/learning/library/project-
knowledge-management-micro-macro-2192 [Accessed 26 february 2020].
Trimble.com. (2019). What is BIM (Building Information Modeling). [online] Available at:
https://constructible.trimble.com/construction-industry/what-is-bim-building-information-
modeling.
User, S. (n.d.). Construction Sector: Current Scenario and Emerging Trends. [online]
Nbmcw.com. Available at: https://www.nbmcw.com/report/construction-infra-industry/1835-
construction-sector-current-scenario-and-emerging-trends.html [Accessed 24 Feb. 2020].
Yodiz Team (2017). Micro & Macro Project Management in Agile Framework. [online]
Yodiz Project Management Blog. Available at: https://www.yodiz.com/blog/micro-macro-
project-management-in-agile-framework/.