Construction Engineering

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Construction Engineering Management Department
CEM 510
Construction Planning Scheduling
Dr. S. Almohawis
Presented By
Abdulrahman Alghamdi Article Monitoring System
And their Effectiveness for Project Cost Control
in Construction Saad H. Al-Jiburi
International Journal of Project Management
(2003)
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INTRODUCTION

• project, plans.
• Project plans Vs Actual.
• Project monitor and report.

 
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2. Monitoring and control A. Monitoring

• Measuring the state of the system.
• Comparing these measurements with the desired
  state of the system.
• Taking corrective action to return the system to
  its desired stage or to minimize some loss
  function.

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2. Monitoring and control B.Control

• Make a plan.
• Implement the plan.
• Monitor actual out put and record it.
• Report actual and planned parameters and their
  variations.
• Take action.

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3. Methods of monitoring projects
Leading Parameter this technique to show the
deviations of the project performance from the
plan, but it does not show the reasons for these
deviations.
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3. Methods of monitoring projects
Activity based ratios
The three ratios, which could be
achieved, are   a)     Planned
performance b)     Actual performance c)     
Efficiency
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3. Methods of monitoring projects
Variances and Earned value Analysis
a) Performance variance Indicates that the
progress of the project is ahead of schedule if
it is positive, or behind schedule if it is
negative.   b)Efficiency variance Indicates
overspending if the variance is positive and
under spending if it is negative.
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4. Measures of effectiveness of control

• Project profit.
• Performance of the project
• Detailed reports.

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5. Model structure
The model is designed so that it can provide data
about the progress of the project in order to be
used by the different monitoring system.
The Scheduler Model representation of
resources MoModel representation of
materials MoModel representation of finance
1.1              
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Experimentation and findings
Many experiments are carried out to test the
effectiveness of the monitoring systems on cost
and progress of the projects. Some changes are
made such as increase in the costs of resources
and materials with time due to different
inflation rates, sudden changes to specific
resources and material costs and the use of a
more optimistic plan
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7.Conclusions

• In this paper we see several monitoring
  techniques and their use for project cost control
  . Comparisons of these system on a theoretical
  basis have indicated that
• Different system are suitable for different
  situation . Example Activity based ratios
  suitable for short term than the Variance.
• Some techniques are simpler and clearer to
  interpret than other .

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