Colombo School: Evaluating Company Structures & Construction Processes

This report, prepared for a BTEC HND in Construction and the Built Environment, provides a detailed analysis of company structures and construction processes within the construction industry. It explores the industry's evolution, encompassing professionalism, company structures, employee roles, and contracted work. The report examines the scope and interlinkages of various parties involved in construction projects, different types of construction companies, and contractual work types. It also delves into modern construction processes, including sustainability considerations and the impact of Building Information Modeling (BIM). Furthermore, the report addresses health and safety integration, government legislation, and the importance of collaboration and communication in ensuring safe working practices. The report covers topics such as the development of the construction industry, its challenges, and the roles of contractors and consultants. The report also analyzes the business ethos of construction companies and evaluates the impact of health and safety legislation. The report is a comprehensive overview of the construction industry, its structure, and its processes. It also gives a look at the impact of different factors on the industry.

Company Structures & Construction Processes1
EVALUATING COMPANY STRUCTURES & CONSTRUCTION PROCESSES
By Nuwantha Lakpriya
BTEC HND in Construction and the Built Environment (Construction - Architectural
Technology)
Lecturer Mr. Lakkhana Perera
Unit 4 - Construction Practice & Management
Colombo School of Construction Technology
10/12/2021

Company Structures & Construction Processes2
Contents
Introduction.................................................................................................................................................3
What is the construction industry...............................................................................................................3
Task 1..........................................................................................................................................................5
P1. Explain how the construction industry has developed and encompassed professionalism within its
structures................................................................................................................................................5
M1. Analyst how the construction industry has developed overall in terms of company structures, its
employees, and contracted work............................................................................................................5
D1.Critically evaluate how construction companies have developed their structure and business ethos.
.................................................................................................................................................................6
P2. Demonstrate the scope and linkage between all parties within a construction organization...........7
P3. Identify the tendered by contractors type of contractual work........................................................7
Task 2..........................................................................................................................................................8
P4. Identify the different types of construction companies in the market..............................................8
M2. Analyze the catalyst which connects construction companies, including contracts and tendering. 9
D2. Compare the main factors which differentiate between construction companies, contracts, and
tendering...............................................................................................................................................10
P5. Explain the relationship between different construction organizations..........................................10
Task3.........................................................................................................................................................10
P6. Identify, with examples, modern construction processes and sequences used within today’s
industry, highlighting the way they respond to sustainability needs.....................................................10
M3. Analyze how construction has developed in terms of innovation, designs, and within contracts for
micro and macro projects, and the interrelationship with BIM.............................................................11
D3. Provide a detailed analysis of how the construction industry has evolved in terms of innovative
construction methods and contracts.....................................................................................................12
P7. Explain contract planning techniques used within micro and macro projects.................................12
P8. Identify where BIM impacts upon operations and construction companies...................................14
Task4.........................................................................................................................................................14
P9. Explain how health & safety has now become an integrated part of the construction process......14
M4. Demonstrate how the construction industry has benefited through changes in health & safety
legislation..............................................................................................................................................15
D4. Evaluate the impact of health & safety legislation, how it has evolved the drivers for it, and its
advantages or weaknesses within construction....................................................................................15

Company Structures & Construction Processes3
P10 Describe the government legislation which has benchmarked health & safety within construction.
...............................................................................................................................................................16
P11 Discuss the role of collaboration and communication in ensuring safe working practices.............16
Conclusion.............................................................................................................................................16
References.................................................................................................................................................17
Introduction
What is the construction industry
The construction industry is a very broad term that encompasses many different related
industries. These may be the building of homes, schools, skyscrapers, bridges, and other
construction projects. Construction projects are overseen by construction managers who are
responsible for the budget of the project and making sure it meets deadlines.
Construction is defined as a type of work that involves preparing the site for an improvement,
constructing the improvements, and providing facilities such as roads or drainage to a location.
In the construction industry, there are two main types of jobs: field construction jobs and office
engineering jobs. The field construction workers are involved in heavy lifting and physical
laboring. Office engineering staff are more engaged in the design and planning of building
works.
How has the Construction Industry changed over time?
The Construction Industry has witnessed various changes over time ranging from political to
economic factors, environmental issues, and social pressures. It has been associated with various
changes that have impacted the industry. Some of these changes are indicated through the
following:
What problems do people face in the Construction Industry?
The construction industry is widely associated with a high number of injuries and fatal accidents
while at work. There has been a significant increase in the number of construction workers who
die while working on projects. The main problem is unsupervised work and unsafe working
conditions which as a result have led to increase in injuries and fatalities among workers.
Workers generally face a high risk of job-related injuries and fatalities which makes it very hard
for them to manage or organize their savings for retirement.
“The construction industry contributes significantly too many countries’ gross domestic products
(GDP). Global expenditure on construction activities was about $4 trillion in 2012. Today,
expenditure on the construction industry exceeds $11 trillion a year, equivalent to about 13

Company Structures & Construction Processes4
percent of global GDP. This spending was forecast to rise to around $14.8 trillion in 2030 (no
author, n.d.)”.
The construction industry, also known as building construction, is an important industry. The
sector generates billions of dollars each year and employs millions of people who construct
buildings, bridges, roads, and other structures. The four basic segments of the industry are
general contractors and subcontractors; specialized design professionals; temporary labor; and
manufacturers of construction equipment such as cranes, bulldozers, and excavators. General
contractors can manage a variety of tasks from designing a building to overseeing the day-to-day
operational tasks. They typically employ large numbers of workers to work on any or all aspects
of a project depending on its size or complexity. Specialized design professionals typically work
on a specific aspect of the project such as plans, engineering, or architectural aspects. They can
also employ large numbers of workers to manage construction projects. Temporary labor
includes laborers and engineers who may be hired to perform small tasks for building projects
such as removing old materials and setting up new ones. The final industry group is that of the
manufacturers of construction equipment, who produce materials and components used in
building construction including cement, steel, asphalt, cinder blocks, and many others.
Manufacturing is one of the largest sectors in the economy with $181 billion in revenues. Many
companies are engaged in more than one aspect of construction work which reflects its
importance to the national economy (no author, n.d.).
The sector is dominated by firms that are small to medium in size both by the number of
employees and the amount of revenue generated for a company, compared to other sectors that
tend to be dominated by very large firms with millions or tens of millions of dollars in revenue
per year. Construction is also dominated by small firms because it requires a large number of
workers to manage any or all aspects of a project depending on its size (No Author, 2021).

Company Structures & Construction Processes5
Task 1
P1. Explain how the construction industry has developed and encompassed
professionalism within its structures.
Over the past two decades, the construction industry has seen rapid-fire changes over any period
of history, including both the Industrial Revolution and the post-war period. From digital
recordings and 3D imaging systems to smart construction software and drone technology, the
construction site works a little differently.
There is a range of regional units with special features and characteristics of expertise to
implement in Alpha Construction. This characterizes that they have a huge impact on the
benefits of their business expertise as follows:
Approach - This is often an essential element of proficiency, should have a positive angle, so it
facilitates the expansion of job success.
The Arrival-Wearer’s clear the attendant-bearer is absolutely necessary to create jobs in specific
ways, so this specific look significantly facilitates job success.
Behavior - Ensuring respect, calm care should not offend. Glossary - Eternally correct words
should be used, and generally not suitable for use in large conversations as a result of the level of
proficiency assessed by the dictionary (Meng, 2012).
Psychology - Designing the media of thoughtful equilibrium.
There are several types of input professionals in the business, known as architects, planners, civil
engineers, structural engineers, automation engineers, technologists, and quantitative surveyors.
M1. Analyst how the construction industry has developed overall in terms of company
structures, its employees, and contracted work.
Role of Contractors
Contractors have a key role in the construction industry and are responsible for various tasks
such as design and planning, site development and procurement, equipment installation and
service, renovation projects, project management, and administration. There are many different
types of contractors who perform their duties in a variety of industries or sectors.
In order to understand some of the responsibilities that contractors need to maintain during their
business operations, it is important to understand what type of contractor they work for.

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Contractors can be classified as general contractors or subcontractors depending on how they
provide services needed by the project's owner.
General contractors are given the full responsibility to perform the services of their projects.
Subcontractors are hired by a general contractor for a specific task, and will generally not have
the authority to make any changes to the project's design unless it is approved by the owner and
general contractor.
Contractors are also classified as "turnkey", "time-and-materials" or "lump sum" contractors
depending on how they provide services to their customers.
Turnkey contractors provide all of their services in exchange for a single price which is payable
upon completion of the project (Tobias, July 28, 2021 ).
Types of consultants in the construction Industry.
There are Different types of Consultants in the construction industry some of them are
Architecture, Structure or Civil Engineer, Quantity surveyors (QS), Project Manager,
Building Services Engineer (no author, n.d.).
Sources from: (No Author, 2020).
D1.Critically evaluate how construction companies have developed their structure and
business ethos.
The business ethos is vital because the industry has become therefore massive. Firms can have
giant groups that are more durable to manage and keep employees happy. Having a powerful
business attribute helps forestall this because it permits for departments like human resources to
be created to require care of the staff’s desires. It permits employees to remain intended and to
feel safe in their jobs as they need somebody chatting with them directly concerning their
desires. In addition, business attributes can permit employees to seek out firms they might wish
to work for because it will mirror the morals of the businesses. Additional and additional
construction corporations are trying to be additional property as this can be what the present
operating population wish. To understand that the work they're doing can stay there and not be
destroying the environment around them.

Company Structures & Construction Processes7
P2. Demonstrate the scope and linkage between all parties within a construction
organization.
Construction is a collaborative process that relies on the interactions and coordination between
different entities, including designers, architects, general contractors, subcontractors, and
vendors. It requires an understanding of how these various roles interact with one another to
create a well-built project.
One of the most important aspects of construction management is being able to demonstrate how
all parties are interconnected. With so many different players on the field, it can be hard to keep
things straight! The foundation for every construction project begins with detailed plans provided
by architects who are commissioned by designers. This collaboration ensures that there are no
major errors in design or unforeseen problems during construction phases in Alpha
Constructions.
P3. Identify the tendered by contractors type of contractual work.
There are many different factors that may lead to the need for an Alpha Construction project.
These can include but are not limited to updating, renovating, and repairing buildings; the
development of new buildings; and reconstruction projects after natural disasters. The process of
tendering has been used in construction work since 1845 and is governed by the Construction
Act 1996. The purpose of this system is to make sure that builders can prepare their bids, and
also ensure that they will be awarded on merit rather than on price alone (Finch, 2011).
Contractual work.
1. Residential building - Small residential buildings are no more than four stories high, and
the main occupancies are located on the ground floor or basement level. Residential
occupancies shall not exceed five persons/units per single-family residence. Parking
spaces shall be provided for guest parking, staff, and visitors (no author, n.d.).
2. Institutional and commercial building- Institutional buildings are those that are owned
and operated by an organization. Commercial buildings are used for commercial purposes
such as retail, hospitality, or office space.
3. Specialized Industrial Construction- This entails building structures that require a high level of
specialization as well as technical skills in planning, construction, and design (MNCS Editorial,
2019).

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4. Infrastructure & Heavy Construction-Example of construction projects include Dams,
Ports, Bridges, Tunnels, Railways, and Subways.
Task 2
P4. Identify the different types of construction companies in the market.
Type of Construction Companies.
1. Small Renovation Contractors
2. General Contractors
3. Owner-Builder
4. Real Estate Developer
5. Professional Construction Manager
6. Program Manager
7. Package Builder
8. Sponsor Builder
Small Renovation Contractors-
Small renovation contractors typically work on jobs requiring tiny amounts of capital and also
the sort of work that doesn't need a lot of estimating or an oversized construction organization.
They sometimes perform home alterations or tiny business and paperwork.
General Contractors-
Typical contractors are large-scale versions of small repair contractors. The scale of the jobs they
take on is larger, so they sometimes subcontract part of the work. They usually specialize in new
residential or commercial new buildings.
Owner-Builder-
Owner-builder is not considered a contractor. The project will determine what they want in the
future that they can own and operate or rent or sell after the building is completed.
Real Estate Developer-

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A real estate developer is a type of owner-builder who also builds for private ownership;
however, a real estate developer can sell before construction is complete.
Professional Construction Manager-
A professional construction manager is an agent who acts as an authority on behalf of the owner.
In the case of large projects, this could be an individual or an organization.
Program Manager–
A program manager is like a professional construction manager. The manager here will play a
greater role in the business structure itself. They have more control over business planning and
contracts.
Package Builder-
Package makers design and build buildings at an early stage. Package makers often employ staff
such as architects, engineers, and construction staff for early-stage design work.
Sponsor Builder-
The sponsor-builder designs, plans, builds, rents, manages and maintains the building.
M2. Analyze the catalyst which connects construction companies, including contracts and
tendering.
The key factors that companies bring together as a catalyst are a communication and networking,
the tender process, and the contractual agreements.
All of these are important because they are key steps that allow companies to build strong
relationships. Networking acts as a gateway, but tenderness strengthens these relationships to
match existing ones.

Company Structures & Construction Processes10
There are many ways companies can tender to suit different types of relationships. The different
types are as follows:
Public Procurement
Serial Tendering
Negotiated Tendering
Framework Tendering
D2. Compare the main factors which differentiate between construction companies,
contracts, and tendering.
The main factors that differentiate between companies are the size of the company, the type of
contract, and the type of tender. The size of the company allows them to get more leverage when
they tender as they are more likely to compete due to the number of resources they have.
The word "tender" has many meanings in English, but as an art term in law, it implies that a
proposal of money, property, or performance is used interchangeably in the same sense in legal
proceedings. A tender is a testimonial or proof of proof to the court.
"Contract" is a completely different legal feature. A contract is an agreement that its parties agree
to guarantee in accordance with its terms. A contract is often done in writing or orally and there
are a number of parts or stages that need to be rewarded to tie the parties together. Initially, one
thing must be proposed between the parties, or generally, each party must propose each option.
P5. Explain the relationship between different construction organizations.
The contractor can only do part of the job, such as building a bridge or completing an entire
work, building a road, or lifting an entire building. The client and contractor communicate with
each other on issues such as project daily costs, inspections, project goal schedules, and error
checking due to design errors.
Task3
P6. Identify, with examples, modern construction processes and sequences used within
today’s industry, highlighting the way they respond to sustainability needs.
Construction today is a big business. As such, construction processes and sequences have
evolved as the industry’s demand for speed and efficiency has increased. However, it’s important

Company Structures & Construction Processes11
to remember that even though these procedures and techniques have changed drastically over the
years, the building remains an art form; every piece requires a level of expertise and creativity.
The difference between onsite and offsite construction is that onsite construction is the actual
physical building process, where people typically live, work and play while they construct the
building. Offsite construction is when you build a structure, but do not actually physically place
it on your property. This can save time as well as reduce disruption to other businesses in the
area (no author, 2021). For example, consider when a construction company builds a new
warehouse. In this case, the building is constructed but it is only for the purpose of storing
materials.
The construction workers are actually transported to the new warehouse by truck and worked on-
site, and will be driven back to their vehicles after work is complete that night.
Onsite construction is an ideal process for building structures on your property that can be
transformed into homes or businesses if need be. For example, if you have an empty acre of land
in Greenville, SC that you want to build a house on, then you should construct a permanent
house there rather than move all your belongings into one trailer, which could cause problems
later on down the road.
M3. Analyze how construction has developed in terms of innovation, designs, and within
contracts for micro and macro projects, and the interrelationship with BIM.
Contracts for micro and macro construction projects have been on the rise across the US. This is
due to an increase in builders and innovation, such as sophisticated designs and remodeling. The
boom in construction has not only benefitted contractors but also small businesses, potential
homeowners, and communities at large.
With a skilled team of architects behind each project, polished design work is a must. Whether
they are designing a new structure or undertaking a renovation project on an existing one, they
will use precision drawings to finalize their proposal for approval from investors or landlords
before breaking ground on any development project.
Why has construction innovation increased?
Construction companies are driven by the need to innovate because it leads to a better product
for clients and more well-paying jobs for skilled workers. In order for buildings to be more
energy-efficient, contractors are searching for ways to save on their cost of construction and
make improvements within existing structures. The boom in innovation has also contributed to
smaller projects being less expensive and more efficient compared to huge building projects.

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D3. Provide a detailed analysis of how the construction industry has evolved in terms of
innovative construction methods and contracts.
The global construction industry is currently undergoing a paradigm shift. Innovative techniques
are making their way in as the construction market evolves to accommodate the changing social
and environmental needs of society. From smart buildings to alternative energy technologies, to
ecological solutions, the construction industry is being revolutionized through new innovative
applications that are not only economically sustainable but also enhance the quality of life for
current and future generations.
The analysis will focus on how the industry has evolved with its focus primarily on how
contractors and builders at large interact with clients during the course of project development
and execution. This takes place in three stages: pre-bid contract development, bid proposal
agreement negotiation, and post-bid contractual performance management.
Innovation frames are confusing multifunctional frames characterized by interdependent
advanced stages with different inputs, creative and non-creative expansive effects, and the
potential for non-linear effects.
Innovation frames are socio-specific frames created by the proportional collaboration of
community and mechanical components; Understanding development frameworks thus
empowers more and more valuable cross-sectoral education (no author, 2015).
P7. Explain contract planning techniques used within micro and macro projects.
Construction Scheduling Methods for Projects:
Critical Path Method (CPM)
Program Evaluation and Review Technique (PERT)
Line of Balance (LOB)
Q Scheduling
Resource-Oriented Scheduling
Last Planner System (LPS)
Gantt chart