Chapter-7

Controlling Project Integration and

Work
7.1 Work Scope Control
7.2 Product Quality Control
7.3 Labor Productivity Control
7.4 Equipment Productivity Control
7.5 Material Productivity Control
7.6 Work Schedule Control
7.7 Performance Control Using
Earned Value Analysis

An efficient integrated project control system

generates information that can improve the
productivity of man and material; economize
the employment of resources; enable
understanding of time and cost behaviors;
provide early warning signals of ensuring
dangers; update resource planning and costing
norms; prevent pilferages and fraud; and assist
in formulating bonus/incentive schemes for
motivating people.
Like the guidance system of a missile, a
project needs an effective control system to
continuously monitor the deviations from the
planned path, and to apply corrective
measures.

7.1 Work Scope Control

It aims at ensuring that project includes all the works
conforming to stipulated design, drawings,
specifications and BOQ, and is concerned only with
the work required to complete project successfully.
Work scope control ensures that only authorized
works are done, these works are carried out as per
approved construction practices, while working under
safe environment and end product meets the
functional and specified requirements. It involves Measuring the approved work scope progress
including ordered work deviation.
Analyzing the implication of deviations from the
sanctioned work in terms of quantity of work,
completion time, resources required and cost
involved.
Formulating remedial measures.

In the interest of project propose, project scope

may undergo some changes from the original
scope of work. In case of changes, necessary
change control system must bring out the
implication of change on project time, resources
and cost prior to approval such changes are
divided into two categories.
a) owner requested changes
b)Engineering warranted changes
All such changes have implications and must
therefore be well considered and agreed upon by
the client prior to implementation(except in case
of emergency). The implication must be
authorized in writing, recorded in change order
register, distributed to all concerned and tracked
till completion.

IN NEPAL
If contract amount exceed up to 10%,work is
executed by the same contractor
Up to 25% increase in one item, work is executed by
the same contractor
If contract amount exceed more than 10%, work is
executed by the same contractor after approval from
one level higher authority.
If contract amount exceed more than 25%, ask for rerate and negotiated and work is executed.
If the work is not completed in time by the contractor
then liquidated damage=.05% of contract amount
and not greater than 10%

7.2 Product Quality Control

Quality cost more but lack of quality cost even more

cost per unit

of production

Economic
balance

Total
cost

Prevention and
Appraisal cost

Failure cost

Measure of quality
( Quality Level)

Quality control involves monitoring output of

specific stages in the production of facility to
determine if they comply with relevant quality
standard and identifying ways to eliminate
causes of unsatisfactory result
Quality control measures in construction involves
[Link] quality consciousness
[Link] resources for assuring and controlling
product quality
[Link] up site material testing laboratory
4. Training the concerned staff
[Link] Quality plan
[Link] Material

[Link] Quality performance

[Link] cause of Quality Failure
[Link] plan to rework when needs
[Link] Quality performance for effective
implement
In construction work , Rework is necessary due to 46% incorrect execution
-30% lack of care
-8% lack of information
-4% lack of competence
-4%lack of knowledge
30% Failure in design and development
8% lack of clear data
8% material fault
6%impossible to execute
2% of others

Following Inspection practices are

usually recognized as the main steps
leading to the control of Quality
through inspection
[Link] inspection: To ensure that materials
procured are according to laid down as
specification and as per terms and conditions of
supply order. It is done at source as well as site.
2. Process Inspection: To ensure that operations
are being carried out correctly and
systematically so that finished job is in
accordance with laid down standards

[Link] inspection: To ensure that

the equipment being procured are as
per requirement and according to
terms and conditions of supply order.
[Link] of finished job: To ensure
final product.

7.3 Labor Productivity Control

Productivity=output/input
Workers job productivity=Work done in units/Effort in man
hour
Workers productivity index=Actual labor hour/standard
labor hour
Studies carried out at construction site reveals that 50-70%
of his total employment time is productive and remaining
30-50% are wasted for
a. Idle waiting
b. Late starting
c. Unscheduled breaks
d. Unnecessary travelling
e. Early Quitting
f. Delay in receipts of tools, materials and work instructions

Typical causes of low productivity

1)Unproductive time
-Rework of defective work
-Waiting for material, equipment and instruction
-Absent from works by workers
-Frequent changes in scope of work
-Conflict between supervisor and workers
2)Workers low morale:
-Non fulfillment of employment terms and condition
-Insecurity of employment
-Substandard(poor) working condition
-Frequent transfers
-Frequent changes in scope of work
-conflict between workers and supervisors.

3)Poor prework preparation by supervisor

-Excess workers employed by supervisor
-Insufficient instructions for the execution of
work.
-Incorrect sequencing of work activities
4) Directional failure of project management
-Failure to set performance target
-Failure to make provision for timely
resource support
-Failure to provide feedback
Failure to motivate workers

Workers productivity can be

controlled by
Review the causes of unproductive
time
Replace labor by equipment where
possible
Substitute inefficient tools
Improve working condition
Employ competent supervisors.

7.4 Equipment Productivity Control

Equipment productivity stands for quantity of
work done per equipment hour.
Equipment productivity index=Equipment Actual
performance/Equipment standard performance
In construction, some tasks are labor intensive,
some predominantly employ equipment, and
some use a combination of both, i.e. labor and
equipment. Equipment productivity control is
under-taken to determine its employment time,
output achieved and its productivity at site. Its
main purpose is to minimize wastage in
utilization.

A given piece of equipments productivity is

optimum when it is employed on the primary
task for which it is [Link]. Bull dozer
used for cutting earth and hauling by dozing
action up to 60 meters.
While purchasing a equipment, one must
analyze all the possible alternatives(buy or
lease) If we own the equipment, it includes
depreciation cost, interest, taxes, insurance,
licenses, storage etc. as owning cost and fuel
cost, routine maintenance, major repair,
manpower cost are operating cost. These cost
should be thoroughly analyzed.

EXAMPLE
An Equipment costs Rs. 50,00,000. Its life is
5 years and salvage value is Rs.
20,00,[Link] it worthy to buy or lease the
equipment at Rs.10,00,000 per year? i
=10%
Analyze the problem by equivalent worth
method.(PW,AW or FW), and give the
decision.
Similarly, we must calculate economic life
of the equipment to replace timely.

Generally, Equipment productivity at site

differs from the standard productivity. In the
initial stage Productivity is less than
standard. It gradually improves provided that
equipment remains in serviceable condition.
However equipment performance depends
on many inherent variables which areEquipment serviceability condition
Effect of terrain/access to worksite
Working space restriction
Weather condition
Working condition
Working timing etc.

Factors which are to be controlled to

improve productivity are

Insufficient preparation
Lack of continuity of work
Inadequate operators skill
Lack of effective supervision
Non availability of maintenance and
repair facilities
Poor equipment management
Accidents

Thus Equipment productivity can be

improved by suitably matching
machines with job, employing
experienced operators, competent
maintenance staff, adopting
corrective methods of work
execution, enforcing proper
maintenance measures and having
an effective plant manager.

7.5 Material Productivity Control

In construction, material accounts for 7080% of total cost. So if we are able to save
the material cost by 5% only, it will result in
saving of up to 4% of total project cost,
which is possible.
The main reason of excessive materials
wastage during procurement and uses can
be attributed to one or more of the
following.
1. Excessive Quantity estimation
2. Buying material of wrong
specification/inferior quality
3. Unnecessary buying of items

[Link] buying of short lived items

[Link]/unnecessary handling of materials
[Link] in transportation
[Link] of pre work preparation and co-ordination
[Link] Quality of materials
[Link]/fires
[Link] rate of deterioration due to storage at
place of work
11. Failure to return unused surplus materials
12. Theft.
So preventive measures can be taken to
minimize wastage of material and saving a lot.

7.6 Work Schedule Control

Work schedule control is necessary

To meet the management need for the early
completion of the project with acceptable cost
to be paid for gaining time.
To avoid delays which may attract heavy
penalty or loss of goodwill.
To venture(engage) on another project
To earn bonus for early completion if found
feasible
Transfer the resources needed else where
To conform to a given resources availability
schedule

Tools for schedule control

are
Bar chart
CPM/PERT
Line of balance(LOB)
among these CPM is most popular.

EXAMPLES

Look on copy

7.7 Performance Control Using Earned Value Analysis

Budgeted cost of work

scheduled (BCWS)
Budgeted cost of work
performed (BCWP), which is
also called Earned Value
Actual
cost
of
work
performed (ACWP)

Cost Variance (CV)

Cost
variance
(CV)
is
the
difference of Budgeted Cost of
Work Performed (earned value)
minus Actual Cost of Work
Performed. It can be expressed
as:
CV = BCWP ACWP, where
negative variance indicates cost
overrun

Schedule Variance (SV)

Similarly, schedule variance (SV) is
the difference of Budgeted Cost of
Work Performed (earned value)
minus Budgeted Cost of Work
Scheduled. It can be expressed as:
SV = BCWP BCWS, where negative
variance indicates time overrun.

Cost performance (CP)

Cost performance can be obtained
by
multiplying
earned
value
(BCWP) by Actual Cost of Work
Performed (ACWP), which can be
expressed as: BCWP
CP =
ACWP

Schedule performance
(SP)
Schedule performance can be
obtained by multiplying earned
value (BCWP) by Budgeted Cost
of Work Scheduled (BCWS),
which can be expressed
as:
BCWP
SP =
BCWS

EXAMPLE
50 units of plantation have to be
done in 2 weeks period.
Estimated plantation cost was
Rs. 200/unit
Progress monitoring was done
one week after the work was
completed
Only 40 % work was completed
(as per schedule 50 % has to be
completed)

Here,

BCWS:25 x 200 = Rs. 5000

BCWP:20 x 200 = Rs. 4000
ACWP:20 x 250 = Rs. 5000

Cost variance (CV)

CV = BCWP ACWP
= 4000 5000 = - 1000
CP = BCWP/ACWP
4000/5000 = 0.80
Hence,
Total cost at completion would
be (50 units x Rs. 200)/0.80 =
Rs. 12,500

Schedule variance (SV)

SV = BCWP BCWS
4000 5000 = - 1000
SP = BCWP/BCWS
4000/5000 = 0.80
Hence,
Total completion time would be
2 weeks/0.80 = 2.5 weeks