CE168P - Lecture No. 2
CE168P - Lecture No. 2
CE168P - Lecture No. 2
To provide flexibility
To increase accountability
PROCUREMENT AND CONTRACT MANAGEMENT
PROCUREMENT PROCESS
SOLICITATION PLANNING
SOLICITATION
CONTRACT ADMINISTRATION
CONTRACT CLOSE-OUT
How long will it take for the lease cost to be the same as the
purchase cost?
COST-REIMBURSABLE
involve payment to the seller for direct and indirect
costs
Probability
High Greater than 70% probability of occurrence
Medium Between 30% and 70% probability of occurrence
Low Below 30% probability of occurrence
PROJECT RISK MANAGEMENT
RISK MANAGEMENT PROCEDURE
Impact
High Risk that has the potential to greatly impact project
cost, project schedule or performance
Medium Risk that has the potential to slightly impact project
cost, project schedule or performance
Low Risk that has relatively little impact on cost, schedule or
performance
PROJECT RISK MANAGEMENT
RISK MANAGEMENT PROCEDURE
H
M
IMPACT
L M H
PROBABILITY
PROJECT RISK MANAGEMENT
RISK MANAGEMENT PROCEDURE
Schedulers and estimators can use the standard breakdown of the CSI
(Construction Specifications Institute) MasterFormat 1995 (divided into 16
divisions) or MasterFormat 2004 (divided into 50 divisions).
PRE-CONSTRUCTION PLANNING
16 CSI DIVISION
Division 1:
Division 2: Division 3: Division 4:
General
Site Construction Concrete Masonry
Requirements
Division 7:
Division 6: Division 8:
Division 5: Thermal and
Wood and Doors and
Metals Moisture
Plastics Windows
Protection
RESOURCE CONSTRAINT
A resource constraint (or restriction) is when you can
theoretically do two tasks at the same time, but you schedule one as a
predecessor of the other because of resource (labor, equipment)
limitation. This is sometimes called Soft Logic.
PRE-CONSTRUCTION PLANNING
PRIMAVERA (P6) CONSTRAINTS
o Node Networks
Also called activity on node (AON) networks.
A
E
Critical
The essentialPathtechnique for using CPM is to construct a model of
the project that includes the following:
In project management, a critical path is the sequence of
o A list
project of all required
network activities
activities which(typically
add upcategorized within a WBS),
to the longest overall
o The duration
duration. that each the
This determines activity will take
shortest to completion,
time possible to andcomplete
theo project.
The dependencies
Any delay between the activities.
of an activity on the critical path directly
impacts the planned project completion date (i.e. there is no float
on theUsingcriticalthese
path).values,
A projectCPM cancalculates the longest
have several, parallel, path
near of
planned
critical activities
paths. Antoadditional
the end of the project,
parallel and thethe
path through earliest
networkandwith
latest
that
theeach
totalactivity
durationscan shorter
start andthan
finish without
the criticalmaking
path isthe project
called longer.
a sub-
This process
critical determines
or non-critical which activities are "critical and which have
path.
"total float.