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Construction Organization Structure Analysis

This document discusses the organization structure, functions, and culture of T-Lite Engineering, a construction company looking to expand into the Middle East. It recommends revising T-Lite's existing structure with Engineering, Commercial, HR, and Administration divisions to a new structure with doubled workforce. The purpose is to effectively partner with an Omani company and take on civil and infrastructure projects. Key focus areas discussed include organization types and importance of structure, enhancing employee commitment through clear roles and career paths, and developing teamwork through leadership and communication.

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0% found this document useful (0 votes)
13 views24 pages

Construction Organization Structure Analysis

This document discusses the organization structure, functions, and culture of T-Lite Engineering, a construction company looking to expand into the Middle East. It recommends revising T-Lite's existing structure with Engineering, Commercial, HR, and Administration divisions to a new structure with doubled workforce. The purpose is to effectively partner with an Omani company and take on civil and infrastructure projects. Key focus areas discussed include organization types and importance of structure, enhancing employee commitment through clear roles and career paths, and developing teamwork through leadership and communication.

Uploaded by

A. Wishwajith
Copyright
© All Rights Reserved
We take content rights seriously. If you suspect this is your content, claim it here.
Available Formats
Download as PDF, TXT or read online on Scribd

Construction Professional Studies

Summary of out come

Understanding the business organization types related to the field of construction industry,
objectives of such organizations and stakeholders and effectiveness of a well established
organization structure are the intended objectives of this study.

This study will focus on the significance of Organization Structure, Organization Functions,
Enhancing the commitment of Employees and Teamwork, Recruitment process (permanent
and casual employees) and Health and safety management procedures.

The following assumptions are made for the purpose of writing this assignment:

 A construction company based on USAwhich is currently having 200-300 employees


and in need of increasing the number of employees in line with the expansion of the
organization.
 The existing Company Organization Structure is based on the following three (3)
Departments.
1. Construction
2. Finance
3. Administration

The current Organization structure is supposed to be revised in line with the


expansion of the Company and growing business.

The Company is planning to enter into a joint Venture with an Oman based
leading Company with the intention of expansion of the business in the field of
Civil and Infrastructure in Middle East region.

Assessment – 01

T-Lite Engineering is one of the emerging Construction Business Organizations and has
decided to expand their business in the Middle-east region with a new Business Proposal. A
careful preparation of a business proposal assumes a crucial & critical part in the initial
procedure. Such a well prepared business proposal is capable of lighting up the potential
issues in advance.
A businessproposal describes how the intended business can be done and how it can be
lucrative .Furthermore, it presents business recommendations so as to motivate the expected
partners describing them what benefit they are likely to gain.(Wikipedia, 2016)

The purpose of the report is to discuss and recognize the existing organization structure with
understanding of possible and optimum ways to develop a better business plan to expand the
businessin another region (Middle East) with a better organization structure. With such a
developed organization structure and a business proposal, the opportunities for involving in
business in the competitive Middle East region will be potential.

Organization Structure& Structures


Construction associations are collective and complex exhibit of various individuals,
theaptitudes and attitudes, ability to learn and understanding of the objectives and goals are
equally important in any organization. To start a new business in a new region, it is critical
that the organization truly considers the diverse types of business organization structure. Such
as,

 Sole Trade
 Partnerships
 Companies

A sole Trade is a legitimate substance comprising of one obligated person. The individual
"claims" the business. As a result this individual holds the greater part of the value and the
majority of the obligation for the business. Since this individual possesses the whole
business, the main monetary reporting that is required is to fulfill Government necessities for
tax collection purposes.
Partnerships, in some ways, are same as sole trades. But, in the Partnership organizations the
value is claimed by two or more people who are together and independently subject for the
greater part of the obligations of the business.
Companies or Corporations have a tendency to be organizations possessed by numerous
people who are frequently not dynamic in the administration of the association. Organizations
are legitimate elements established as per national laws. There are many types of companies
and basically they can becategorized as limited and unlimited. ([Link],
2016)
Organizations need structure with a specific end goal to survive. Without a well-established
structure, a proper and smooth functioning of any organization cannot be expected. The
success and continuous development in the field of construction work requires a strict level of
leadership to assign responsibilities for mangers in undertaking administration and work
environment security. A proper organization structure permits clear role for every person and
ensure that it is feasible for development occupations to be finished in time without
bargaining the financial plan or security of the workers in the site.
In the event that your organization doesn't have a formal hierarchical structure, you're
requesting troubles. So, having a hierarchy within your organization is very important and
before you do create a one, you have to deliberately break down your business and consider
where you stand.(Anon, 2016)
These are some common types of organization structure.

 Functional
 Divisional
 Matrix

T-Lite Organization Structure


Exsisting and proposedOrganization Chart
T-Lite Engineering is a Top grade, well established and leading organization in the state
having large scale projects and also having a great deal of turnover determined to extend their
operation in larger scale.

Their existing organization structure consists of Engineering division, Commercial division,


Human Resource Management (HR) division and administration division.

The recommended organization structure which is shown below is set out in line with their
intention of moving and extending operation in Middle East region by the end [Link]
present, T-Lite is employing about 200-300 people. As per the revised structure, the
workforce is expected to be doubled to cater for intended business expansion and
development.
One of the best ways to involve in the business in an unfamiliar region is to have a partner
well established in the region. T-Lite has found an opportunity by having consent from a
well-established Omani company.

As per the plan of T-Lite engineering to involve in different sectors in Civil & Infastructure
projects , to have a suitable stucture is essential for the future of the organization.
Organization Functions and Culture

Organization and structure give representatives an aide under which they can work
effectively, and diminishes duplication. Organization functions are the paste that holds every
pieces of the business together in quest for one extreme objective success.
Flow, Communication, Financial Accountability and Leadership are the most important and
effective aspects of the organizational function.([Link], 2016)

Organization culture can be described as a set of guide lines of conduct established within the
organization ensuring the values, beliefs , actions and ethics of the individuals do not violate
the basic interests of the organization. An organization culture ensures that its employees
dress, act and perform their duties in a consistent manner representing the uniqueness of their
organization. The ways which the organization adopts for the business, the way the
employees, customers and business partners are treated exhibit the culture of the
organization.

T-Lite Engineering can have some strategies to change existing culture. Such as,

 Concentration on basicimportant practices.


 Try not to let your formal leaders free.
 Join practices to business targets.
 Exhibit affect rapidly.
 Use cross-hierarchical strategies to become a web sensation
 Adjust automatic endeavours to practices. (Jon Katzenbach, 2016)

Enhancing the commitment of employees and teamwork

Enhancing the commitment and the retention of employee are a very crucial and essential
factor that each organization has to consider highly. In the competitive business world to
achieve the goals and targets, the commitment of the workers are very important. In the
present business field organizations cannot sustain unless every employee is focused on the
organization objectives. Subsequently, it is essential to comprehend the idea of responsibility
and its feasible result.
Team work can be described as the discharging of duties of individuals with Mutual
Corporation and collective effort with an intention of achieving targets, objectives and goals
within the organization. The sense of the concept of team work makes individuals act in the
best possible way in any condition. Further, it will ensure best possible outcome within any
organization
The team work is an important concept within an organization. T-Lite Engineering has to
adopt and develop the concept of team work to be competitive in their future goals. Every
team has to act together simply because they are joining with a local company. Proper
leadership, Role and responsibilities, communication, flexibility … will increase the
effectiveness of the team.

These are some points that can be of great importance to T-Lite engineering in the expansion
of their business with enhancing the commitment of employees and team work.

 Clear definition of the responsibilities


Each and every position within an organization should be assigned with set of
responsibilities. This will ensure that every one is aware of what their role is and to
whom they report.
 Map out career plans and paths
If employees know that they are secured in their jobs, the tendency of employees tostay
with the company for longer periods will be increased.
 Properly Train the management level (Managers, Administrators, Supervisors)
Most cases employees resign because of their immediate bosses. If the managers have
a proper training of Management and people skill the relationship between them will
increase and the arguments will decrease.
 Suitable Salaries
While reasonable and suitable salaries will keep your people within you company and
otherwise they will search the opportunities somewhere else for occupation.
 Have a compelling introduction program & Make learning opportunities
As the organization is in to a expand, in certainly company need to have recruits new
employees. The company shouldhave a well-planned and well prepared
orientationprogram fornew representative giving them an opportunity to learn theway
of coping with new working environment.
 It is essential to give the new representatives feeling that they are important within the
organization and they are given the due considerations.
Furthermore, the accomplishments of representatives are to be observed and
theirachievements are to be appreciated.

The Recruitment Process


For the Expansion of the T-Lite Engineering, settingup recruitment plan and recruit the
permanent and casual employees within the plan is vital. Internal and external are the unique
recruitment methods. Internally company can promote their current employees to their
planned positions in new structure. Externally, from paper ads, College recruitments walk in
interviews, internet…. etc. can be useful for the recruitment.

For the T-Lite Engineering With a specific end goal to expand productivity in employing and
maintenance and to guarantee consistency in the recruitment and selection process, the
followings are suggested.

 Identify Vacancy and Evaluate Need


 Create Position Description
 Create Recruitment Plan
 Select Search Committee
 Post Position and Implement Recruitment Plan
 Survey Applicants and Develop Short List
 Conduct Interviews
 Select Hire
 Settle Recruitment([Link], 2016)
Health and Safety Management

The above note was taken from the HSE book and it was in the Note of Mr. Stephen
Williams who is the HM Chief Inspector of Construction Chair of the Health and Safety
Commission’s Construction Industry Advisory Committee.(Williams, 2016)

A major function of the Human resource management it is very important to have a proper
Health and safety plan within the organization. Every employee is expecting a safe
environment from their organization and it will affect the efficiency of their work.

For the T-Lite Engineering the suggestion is that to have bellow following components for their
health and safety management system.

 Recognizable proof and investigation of Health and safety Hazards at the construction
site
 Preventive actions and measures to avoid the dangers to workers.
 Labourer competency and training
 Assessment program
 Crisis reaction planning
 Incident reporting and examination
([Link], 2016)
References

Wikipedia. (2016). Proposal (business). [online] Available at:


[Link] [Accessed 11 Aug. 2016].

[Link]. (2016). Types of construction organisations - Designing Buildings


Wiki. [online] Available at:
[Link] [Accessed
11 Aug. 2016].

Anon, (2016). [online] Available at: [Link]


[Link] [Accessed 11 Aug. 2016].

[Link]. (2016). What Are the Functions of Organization in Business?.


[online] Available at: [Link]
[Link] [Accessed 11 Aug. 2016].

Jon Katzenbach, a. (2016). 10 Principles of Organizational Culture. [online]


strategy+business. Available at: [Link]
Organizational-Culture?gko=71d2f [Accessed 12 Aug. 2016].

Anon, (2016). [online] Available at: [Link]


[Link] [Accessed 11 Aug. 2016].

[Link]. (2016). 10 Key Strategies to Increase Employee Commitment and Retention


« Workplace Insights. [online] Available at: [Link]
increase-employee-commitment-and-retention/ [Accessed 12 Aug. 2016].

[Link]. (2016). Human Resources: Recruitment & Selection Hiring Process. [online]
Available at: [Link] [Accessed 12 Aug.
2016].

Williams, S. (2016). Health and safety in Construction.

[Link]. (2016). Health and safety management systems. [online] Available at:
[Link]
[Link] [Accessed 12 Aug. 2016].
Summary of outcome

There are numerous key professional Institutions in the Construction Industry. Understanding
the nature and roles of these institutions focusing on the modern Construction administration
is the intended objective of this study. Further, the importance of the Continuous Professional
Development ( CPD ) will also be taken in to consideration in this study.

MODERN CONTRACT ADMINISTRATOR

The Contract Administrator is the individual in charge of managing the construction


contracts. The contract administrator might be the architect, lead consultant, the cost
consultant or the Client’s representative. Normally contract administrator is appointed by the
client and usually acts as the client’s representative. The Contract Administrator is expected
to act genuinely and sensibly in the process of critical decision making and various approvals.

Contractor also can have his own construction administration by appointing a contract
administrator. Contractor's Contract Administration is the procedure by which the
Contractor's Representative and his group guarantee the insurance of Contractor's interests
through opportune and legitimate release of commitments, and securing of rights, to maintain
a strategic distance from liabilities, under the Contract or generally. (Designing
[Link], 2016)
Diverse Role of the modern Construction Contract Administrator

 In the case of Consultant Contract Administrator, preparation of Tender Documents ,


Invitation for Tenders and evaluation of bids fall within the duty of the Contract
Administrator. In addition, negotiations with bidders and finalization of Tenders are
also under the duties of the Contract Administrator.
 The Contract Administrator is to coordinate all the internal and external parties during
the Contract development stage and negotiation stage.
 Consideration of possible Value Engineering and change proposals for the betterment
of the Client without compromising the expected quality of the works..
 Consideration of the Cost and Time impact of the Change orders and controlling all the
Contract Modifications to ensure the expected Project budget and the stipulated time
frame are not exceeded.
 Amicable resolution of disputes among different parties involving in the Project.
 Monitoring the financial status of the Project and advance notifications of anticipated cost
overruns.
 Ensure the required quality assurance procedures are maintained.
 Develop and maintain all contemporary records and other documentation pertaining
to potential changes. Keeping such records would be essential for the resolution of
disputes arising from changes.
 Establishing and maintaining effective and efficient communication / document
transmittal procedure ensuring a proper control of documents..
 Adopting proper legal procedures whenever necessary with the consultation of legal
experts in Contracts.
 Attend various meetings and interface with functional disciplines on contractual
manners.

 Following up the Contractual Payments to the Contractors to minimize the cash flow
problems which can result in slow progress.

Academic Qualifications for Construction Contract Administrator

Master degree or a combination of courses or training in Contract Management.


Professional Qualification for a Construction Contract Administrator

 Undergraduate degree or a combination of any other related courses or


training programs in Contract Management
 5‐10 years of experience in Contracts Administration with exposure to large Contracts.
 Proven experience in contract analysis and management, evaluation and preparation of
contracts, change order request and claims and dispute management.
 Experience in efficient Document Controlling with the help of modern Computer
Applications.
 Working knowledge of the terminology in the Architectural/Engineering and
Construction Industry. The knowledge in Contract Law will be of great importance.
 Thorough understanding of and proficiency in Microsoft Office and other Computer
applications which are essential in the field of modern Contract Administration.
 Proficiency in practical methods of problem analysis and solving. Ability to analyze
issues in micro level and punctuality are of great importance.
 Ability to work with different levels of personnel ensuring and solidifying the
ultimate Contract strategy.
 Excellent language skills (written & spoken) and ability to identify and spot the
ambiguities, inaccuracies and inconsistencies in the Contract. (Lavallee, 2016)

KEY PROFESSIONAL INSTITUTES IN THE CONSTRUCTION INDUSTRY

The roles of these Professional Institutes have been differently characterized. The
Professional Institutes regularly give broad change to the specialists, for instance, basic
specialist headway and being a part in an establishment. A professional Institute is
generally a nonprofit association involving in the promotion of a specific profession.
It equips free direction and preparing, collaboration in gathering and workshops,
opportunities and motivates advantage to use on line assets. There are some professional
Institutes that are largely involving in the industry particularly imperative to the
development business. Such as, RICS, AIQS, CIOB, RIBA, PMI, CIQS and IQSSL and so
forth.(Wikipedia, 2016)
Insititues of Quantity Surveyors Sri Lanka ( IQSSL)

This is the only Sri Lankan educational Institute involving in the


promotion of the education in Quantity Surveying. It was
established in 1974. It conducts various educational programs in
order to equip people with the knowledge in Quantity Surveying.
These educational programs are conducted through The College
of Quantity Surveying.(IQSSL, 2015)

These are the membership categories offered by the Institute.


 Fellow members
 Associate members
 Graduate members
 Registered members
 Technical members
 Probationary members
 Student members
Membership category and Student path

(IQSSL, 2015)
Royal Institution of Chartered Surveyors (RICS)

By a group of London Surveyors, in 1868,


Royal Institute of Charted Surveyors
wasestablished. Originally it was found as the
‘Institution of surveyors’ and became
‘Charted Surveyors institution’ in 1930. The
title of ‘Royal’ was included in 1947 and then
it became ‘Royal Institute of Charted Surveyors’. Now it has spread in more than 140 Nations
and professional institution that authorized professionals within the area, property
and construction sectors around the world.(Wikipedia, 2016)

The RICS is the institution that gives the


direction and advances the profession and
keep up the proficient instructive
standards. It is secure all (Contractor or
client) through a strict code of ethics and
give counsel, investigation and directions.

Associate, ProfessionalMember, Fellow


and Honorable Member are the categories
that are included in the membership plans
of the institute.

(RICS, 2016)

The Chartered Institute of Building


(CIOB)

With an intention of setting up standards in the


field of Building Construction, a group of
London builders established CIOB in March 1834. This establishment was very important in
ensuring the standardization of the Building Construction and in making the industry more
consistent and respectable. (Wikipedia, 2016)

CIOB is assisting the professionals in the field of Construction to acquire globally recognized
accreditation improving their career and the quality of their performance as well. (CIOB,
2016)

These are few routs that offer from CIOB to become a RICS professional.

Built Environment Degree Non Built Environment Degree


 Technical qualifications and/or management experience

 NVQ or vocational qualifications

(CIOB, 2016)
Australian Institute of Quantity Surveyors (AIQS)

This Institute having a considerable abroad participation is the


governing body of the Quantity surveying and Cost
Engineering in Australia. It has developed norms and code of
ethics in order to ensure the practicing Quantity Surveyors are
performing in accordance with the standards. This Institute is
anactive and important member in all the business real forums.
The Institute plays avital role in industry research through the
collection of cost information and the distributed of the Current Construction Costs.

AIQS guarantee the fundamental principles of education and preparing which lead to
membership and individuals are stayed up to date with rising issues influencing them and the
business all in all. Support the education of students, empower and give proceeds with expert
improvements, keep up standard and techniques for method and energize and support proper
exploration are different elements of the institution. ([Link], 2016)

 Approved Academic Qualifications, and

 Non-accredited degree or diploma course in Quantity Surveying or an allied profession


([Link], 2016)

Canadian Institute of Quantity Surveyors (CIQS)


CIQS is a self-administrative, proficient body that sets the
most astounding standard for construction financial
aspects in Canada.
The mission of the CIQS is to advance the advance
professional quantity surveying, establish and maintain
national standards. The objective is to team up with
different professionals and associations in light of a legitimate concern for the construction
industry on national and international levels and also build up and coordinate in conjunction
with the most elevated measures of expert competence and uprightness for every single
individual member through proportional educational and expert improvement programs.
([Link], 2016)

These are some pathways to the memberships in CIQS,

 Student with full accredited programmers


 Student in approved accredited programmers

 Routes for Engineers, Trades and Other

(CIOB, 2016)
CONTINUOUS PROFESSIONAL DEVELOPMENT (CPD)

Continuous Professional Development refers to the way toward following and archiving the
abilities, learning and experience that increase both formally and casually as you work, past
any underlying training. It's a record of what you encounter, realize and afterward apply.

The CPD procedure helps to deal with own particular advancement on a progressing premise.
Its function is to help record, survey and consider what you learn. It's not a tick-box report
recording the preparation has finished. It's more extensive than that. ([Link], 2016)

Benefits for Individuals:

 CPD will boost the certainty and credibility and build up confidence to perform better
in the work place.
 Reveals crevices in your skill and capacities
 The competitive career goals can be achieved easily by having CPD
 A helpful tool for appraisals, exam or an interview to earn more by showcasing the
accomplishment.
 Adapt positively to change by continually upgrading the ability and it will help to
improve the reputation.
 Be more resourceful, fruitful and proficient by updating the knowledge in line with new
global trends and new inventions.([Link], 2016)

Benefits for Organization

 Amplifies staff potential by connecting Learning to activities and hypothesis to


practice.
 This is a decent tool to help workers centre their accomplishments consistently
 Recognizing and developing the role of organization for employers and reflecting it
will help grater advantage.
 CPD ensures the competency and the capability of the workforce and it creates a
positive picture of the organization.
Reference

[Link]. (2016). Contract administrator for construction contracts -


Designing Buildings Wiki. [online] Available at:
[Link]
s [Accessed 31 Jul. 2016].

Lavallee, M. (2016). Contracts Administrator. [online] Astaldi Canada | Construction |


Hydroelectric | Civil & Industrial. Available at:
[Link] [Accessed 31 Jul. 2016].

Wikipedia.(2016). Professional association. [online] Available at:


[Link] [Accessed 1 Aug. 2016].

Lanka, I. (2015). [Link] - College of Quantity Surveying. [online] [Link]. Available at:
[Link] [Accessed 1 Aug. 2016].

Wikipedia.(2016). Royal Institution of Chartered Surveyors. [online] Available at:


[Link] [Accessed 1 Aug.
2016].

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