Project Anglia Tower - Assignment Example

?Project Plan – Anglia Tower Executive Summary Greater London ity (GLA) has issued a tender for the construction of a new commercial tower on a125,000 square metre plot located in Southwark, London. The project should include a commercial tower, a parking complex and a scenic garden. It would need to be handed over to the government by 1 January 2018. This report is a proposal for British Construction Works to participate in the construction tender and undertake the development of the above mentioned project, provided it passes all the feasibility tests. It contains the project plan developed for Anglia Tower, a proposed commercial tower on the 125,000 square metres Southwark plot. The report lists the responsibilities of the project manager of Project Anglia Tower; the structure of the organisation; the stakeholders involved; the project life cycle; the possible work scheduling and cost budgeting methods; and quality, risk and communication management plans. Table of Contents Executive Summary 2 Table of Contents 2 Project manager’s responsibilities 5 Project Overview 6 Objectives of the project 7 Project organisation 8 Organisation Chart 8 Stakeholders 8 Work to be performed 10 Start-up 10 Planning 11 Executing 12 Terminating 12 Schedule Information 12 Budgeting 14 Project management support tools 15 Monitoring plans 17 Quality management plan 17 Risk management plan 18 Communication management plan 19 Reference List 21 Project manager’s responsibilities A project manager would be chosen to head the construction project. The project manager would be in charge of overall management of the construction as well as for other aspects such as co-operation between teams, timely completion and positive work environment. The detailed responsibilities of the project manager are (University of Glasgow, 2013; Project Smart, 2013): 1. Facilitate co-ordination between different arms of the project and ensure smooth transition from one process to another 2. Regularly evaluate project progress and team productivity to make sure the work goes as per specifications 3. Manage conflicts among team members to make sure the project is prioritised higher than personal problems 4. Provide leadership and guidance to the entire project team 5. Manage relations with the stakeholders and keep them duly informed of work progress 6. Provide clear directions to team members and ensure there is no ambiguity in interpreting what is to be done 7. Motivate team members to deliver their best performance 8. Discuss clearly with members whenever there is an issue, a change in plan or a difference between stakeholder’s expectations and results 9. Anticipate, control and mitigate risks that arise during carrying out the project 10. Ensure that work is going on as per project schedule and there is no delay in completion 11. Manage project costs to ensure that it does not exceed the budget 12. Utilise the allocated resources in a planned manner to make sure all the desired achievable are met 13. Procure raw materials and equipments as per need and routinely conduct quality inspection to ensure there are no compromises made on the quality of the project 14. Conduct meetings with stakeholders if there are instances of cost overruns or time delay 15. Ensure the safety of all the workers and other members of the team 16. Maintain a record of all equipments and materials procured, used, in use and in inventory 17. Manage logistics inflow and outflow to and from the project site Project Overview British Construction Works is one of the medium-sized construction companies in the British Isles, having presence in housing and commercial space construction and road works. Since its inception in 1991, it has completed over 100 projects in just 22 years. Recently, the Greater London Authority (GLA) has issued a tender for the construction of a new tower slated for commercial usage. Situated in Southwark, the 125,000 square metre plot earmarked for the project occupies a prominent location within London and is in close proximity with landmarks such as the London City Hall, Gherkin building and the Shard London Bridge tower. The project would consist of a commercial use tower, a parking complex and a scenic garden. This report is a proposal for British Construction Works to participate in the construction tender and undertake the development of the above mentioned project, provided it passes all the feasibility tests. Objectives of the project Judging by the location and government-backing, the project has the potential to deliver immense leverage to the brand value of British Construction Works and place it right among the top players both within the UK and on an international front. The project complements the current growth strategy of the company and would also be a great financial advantage, since the payments would be received per floor completion. However, development of such a large plot would attract immense expectations, anticipations and regulations. It would also demand a huge amount of planning, coordination and spending of resources. This report contains the project plan developed for Anglia Tower, a proposed commercial tower on the 125,000 square metres Southwark plot. At a height of 231 metres, it would be the third tallest tower in the UK, after Shard and One Canada Square (Telegraph Media Group Limited, 2013). The tower would consist of 45 floors, all of which would be allocated for commercial usage. Within the complex, there would also be a parking plaza and a scenic garden. As per stipulations by the UK government while issuing the tender, the project would need to be completed by 1 January 2018 and handed over to the government. Project organisation Organisation Chart                 Board Members                                   CEO                                                 CFO   COO                                   Project Manager                                     Health and Safety In-Charge   Procurement In-Charge   Project Manager Assistant   Machinery and Equipments In-Charge   Site Engineer                   Superintendent               Frontline Official                                   Site Manager Stakeholders Stakeholders of a project refer to the entities, parties or individuals who are directly or indirectly involved and are affected by the project. It may include investors, builders and users of a project, as well as others who might not be associated with the project, but would be directly or indirectly affected by it. The internal stakeholders who are directly associated with Project Anglia Tower are: 1. Greater London Authority (GLA), who have issued the tender to develop the project and would also pay the remuneration a floor-by-floor system. 2. Senior management of British Construction Works. 3. Project manager of British Construction Works who would be handling the entire construction of Anglia Tower. 4. Architect, who would be designing the tower. 5. Heads of different teams, such as masonry, glass works, plumbing, electrical, interior decorators, landscaping and fire and safety teams. 6. All the members of the above mentioned teams. 7. Eventual occupants of the tower. The external stakeholders who are indirectly affected by Project Anglia Tower are: 1. The UK government, who levy taxation on the premises. 2. The residents of City of London, on whose city the tower is being erected. 3. Occupants of nearby plots around the project 4. Local authorities and public associations of Southwark. 5. Labour welfare and environment protectionist groups. 6. Digital and print media, through which the project would be promoted. 7. Any other party not mentioned, yet is affected by the project. To connect all the stakeholders, a reporting structure is provided below (Olander, 2003):       UK Govt.             Greater London Authority   Future occupants                                   London residents                                       Senior Management           Nearby occupants                                   Architect   Project Manager           Public authorities                                                   Welfare groups Fire and Safety head   Interior decorator head   Masonry head   Glass works head   Plumbing head   Landscaping head                             Digital and print media Members   Members   Members   Members   Members   Members         Any other party affected Work to be performed Project Anglia Tower’s life cycle would consist of 4 stages: start-up, planning, executing and terminating (Barron and Barron, 2009). Start-up Since the project would constitute huge resources and finances, it would be essential to judge the prima facie feasibility of the project for the company. Tests would include the capability of the company to undertake the project, the figurative impact of the project on the brand value of the company, the scope of complying with statutory, labour and environmental regulations, and the return on investment. 50% of the projects worldwide meet failure because their stakeholders remain unclear about the rationale behind go-ahead (Stummer and Zuchi, 2010). Thus, once initial tests confirm that Anglia Tower is feasible, the results must be communicated clearly to the stakeholders. Planning This step principally involves identifying all the individual tasks that are integral to the project and developing a detailed work plan. A Work Break-Down Structure (WBS) for Anglia Tower is demonstrated below (MatchWare A/S, 2011; MatchWare A/S, 2012):                                     Project Anglia Tower                                                                 Design Works   Ground Works   Outside Construction   Outside Works   Inside Construction   Inside Works   Inside Installations                               Excavation   Structure erection   Glass fitting   Inside Walls   Internal drainage and Plumbing   Lifts                               Structural foundation   External walls   Grounds beautification   Floors   Kitchens furnishing   Windows                               Concrete base   Drainage system   Water tank installation   Ceilings   Bathrooms furnishing   Doors                               Columns erection   Parking spaces   Septic tank installation   Stairways   Flooring   Fire safety systems                                   Roof casting       Emergency exits   Walls painting   Glass fitting                                               Floor carpeting                                                 Wall tiles fitting                                                   Electrical installations                                                                 Safety alarms   Wiring   HVAC ventilation   Lighting   Phone and net cables                             Other activities during planning include developing deadlines, budgets and work schedules, which would be discussed later. Executing In this step, the work, cost and time plans developed would be put into application by the project team under the supervision of the project manager. Performance of these plans would be evaluated routinely and whenever the outcomes are different from the plan specifications, corrective actions would immediately be implemented. Most of the responsibilities of project manager stated earlier are part of this step. Terminating Once Project Anglia Tower is complete, this step would ensue whereby the stakeholders would need to be notified. Subsequently, the completed premises would be cleared off equipments and wastes, and handed over to GLA. Schedule Information Once the WBS is prepared, the tasks to be performed are prioritised chronologically and individual tasks are assigned a time frame by which they must be completed. This is known as a work schedule. The most common work-scheduling techniques are Critical Path Method (CPM) and Program Evaluation and Review Technique (PERT). A simplified CPM path of Project Anglia Tower and the corresponding Gantt chart are demonstrated below using the milestone work achievements and ignoring detailed tasks:   0       7       8       8       6       6       0   0 START 0   7 B 13   14 C 21   29 E 36   37 F 42   43 G 48   48 FINISH 48   0       0       0       0       0       0       0                                                                                                                                                                           6               7                                   1 A 6           22 D 28                                   0               0                               Task Symbol Task Name         A Design Works         B Ground Works     Duration   C Outside Construction   Earliest/Latest Start Time Task Symbol Earliest/Latest End Time D Outside Works     Delay = 0   E Inside Construction         F Inside Works         G Inside Installations         Figure: Simplified Gantt chart (Source: Author’s creation) The total time frame considered for the project is 48 months (1 January 2014 – 5 September 2017), with no delay in between tasks due to such a tight schedule. A detailed CPM path is provided for all the individual tasks. Individual task times, durations and delays are subject to the planning of the project manager and hence are not provided.                                   AE                                                                                         W   AD       AA                                                                                 V         Y     AB                                                                             U     AC   AF   X   Z                                                     ST   A   G   H   I   J   K   O   P   Q   AG     FI                                                   B                       L   M   N     T             D   E                                                                       R   S             C                         F                 ST Start FI Finish U Stairs AF Kitchen furnishing A Designing K Structure V Emergency exit AG Fire safety B Parking L Outer walls W Carpet L E G E N D C Gardening M Roof casting X Wiring D Septic tank N Water tank Y Voice and data lines E Drainage O Floors Z Safety alarms F Plumbing P Ceiling AA HVAC system G Excavation Q Inner walls AB Lighting H Foundation R Doors AC Tiles I Concrete base S Windows AD Painting J Columns T Glass AE Bathroom furnishing Budgeting The first step in project cost management is determining a budget for the project. For Anglia Tower, during initial feasibility tests, the project manager must estimate the costs of individual tasks that constitute the different milestone phases of the project, such as designing, ground works and outside construction. Once the individual costs are estimated, the project manager would propose the total estimated cost and discuss with the stakeholders of the project. During this discussion, the project manager must explain the suppliers, materials and human resources considered for the project and justify the costs that would be incurred. The stakeholders would then either provide their own inputs and concerns, or approve the project manager’s cost estimation to facilitate the formulation of the final project budget. A simplified budget estimation of ?16 million is provided below. Final cost budget would be subject to calculations by the project manager (MatchWare A/S, 2011; MatchWare A/S, 2012; workbreakdownstructure.com, 2012): Phase Costs (million ?) Designing 1 Electrical works 2 Plumbing Works 0.5 Foundation 1 Structure 2 Masonry 0.5 Tiling 0.25 Painting 0.25 Fixtures 2 Landscaping 1 Outside Works 2 Inside Construction 1 Drainage 0.5 Safety systems 2 Total 16 Project management support tools Cost management is one of the most important aspects in project planning. After the budget is prepared and project is started, the objective of cost management is to ensure the actual project costs incurred stay within the budget prepared. One of the tools of cost management is the Earned Value model. It is a graphical comparison of three elements: Earned Value, or the estimated value of the different tasks done per unit of time; Budgeted Cost of Works Scheduled, or the estimated cost of the different tasks with respect to their scheduled time; and Actual Cost of Work Performed, the actual amount payable per unit of time. A simple EV model for Anglia Tower is provided below. Actual cost figures are subject to detailed feasibility study (Rodriguez-Lopez, n.d.): Figure: Earned Value Analysis (Source: Rodriguez-Lopez, n.d.) Difference between BCWS and Actual Cost is known as Cost Variance, whereas difference between Earned Value and BCWS is known as Schedule Variance (Czarnigowska, 2008). Another project management support tool is the Project Management Software, also known as the PMS. It is a software that can assist in project management by helping to devise a project plan, assimilate and coordinate different resources such as raw materials, labour and finances. The software also helps in calculating usage of resources and cost budgets. Some high-end software are capable of work scheduling, resource and finance allocation management and quality monitoring, while others have problem-solving abilities and can take complex strategic decisions. Monitoring plans To manage a large-scale project like Anglia Tower, several aspects would need continuous monitoring and management, such as quality, communication and contingency risks. Accordingly, three monitoring plans have been designed to address these issues. Quality management plan Quality Management Plan refers to a plan that describes means of carrying out tasks of a project and expectations out of individual teams and team leaders. It standardises the quality of resources to be procured and quality of products to be delivered. It also addresses the structure of a project team, its working policies, roles of managers and employees, reporting hierarchy and means of conducting the project’s different activities, such as planning, evaluating and implementing tasks. The benefits of formulating and implementing a Quality Management Plan are summarized below: 1. Smooth processes help in explaining work progress and resource utilization to stakeholders 2. Quality of work is standardised and as per expectations 3. Productivity is consistent and work delay is minimised At the heart of Quality Management Plan lies the Quality Management System, which is a framework provided by a recognised standard-setting body that can be used during a project to achieve internationally acclaimed quality of work (New South Wales Government, 2013). For Anglia Tower, ISO 9001:2008 standard would be implemented. It is a quality management system provided by the International Organisation for Standardisation (ISO) to ensure that the quality of work of a project meets the expectations of regulatory bodies, senior management, customers and all other stakeholders. This award-winning global standard has been updated over the years and provides one of the most efficient frameworks for maintaining quality. Risk management plan For any large and small scale project, there are always contingent risks associated that may be encountered at any stage of the project. For this purpose, it is necessary for every project to have a Risk Management Plan. It refers to a plan that identifies risks that may be encountered, assesses the impact of these risks on the project activities and provides contingency plans and means of avoiding or mitigating those risks. Lastly, the plan facilitates documentation and tracking of risks. A sample risk management plan for Project Anglia Tower has been prepared as below: Risk Details Impact Rating Response Changes in GLA requirements May change cost, time frame, strategies and project plan 3 Assess feasibility, discuss with stakeholders and incorporate changes in existing plan Complaints from nearby residents regarding pollution May halt project and cause cost overruns 2 Project manager to routinely report response of the surrounding areas to the project to avoid such a scenario. Also, proactively take steps to minimise noise and air pollution Work-related accidents May halt project and cause legal hurdles 3 Health insurance for all project members, high safety precautions for workers, insertion of non-liability clause in contracts Delay in completion May cause legal hurdles and government's dissatisfaction 2 Handover is to be made in 1 January 2018, but project has been planned to be completed by 5 September 2017. Poor quality of materials May compromise tower’s stability 4 Procure materials from multiple vendors and put in place strict quality check system Communication management plan Communication Management Plan refers to a plan that lays down the communications strategies that are to be followed during the project. The plan provides a framework to collect, collate, evaluate, convey relevant information regarding the project to all the stakeholders. It also covers the exchange of communication between the project manager, heads of different teams and all the respective team members to ensure that there is no ambiguity in transfer of ideas, information, knowledge and instructions during the project. This helps in finishing a project within stipulated time and costs and eliminates the chances of project failure. For Anglia Tower, a Communication Management Plan has been developed that contains four tools; a Project Meeting Schedule, a Stakeholder Information Chart, a Project Reporting Table and a Communication Matrix. The formats of these tools are described as below, along with examples in each tool (U.S. Department of Health & Human Services, n.d.). Project Meeting Schedule It keeps a record of all the meetings that are to take place in the short-term future. Type of meeting Details Time Place Stakeholders involved Notes Meeting on work progress Evaluation of tasks performed Every 3 days Project Management Office Internal None Stakeholder Information Chart It keeps a record of all the contact details of stakeholders and the type of information to be conveyed. Name Designation Type of stakeholder Phone No. E-mail Communications John Doe Chairman GLA, investor 123-456(7890) john.doe@gla.uk Meeting reports and work progress Project Reporting Table It keeps a record of the different reports that need to be prepared and shared with different parties of the project. Report Name Details How often Prepared by Shared with Notes Work Progress Report Explanation of tasks performed Every 3 days Project Manager All stakeholders None Communication Matrix It keeps a record of the various work-related communications that are required with various teams of the project. Reference List Barron, M. and Barron, A., 2009. The Project Life Cycle. [online] Available at: [Accessed 28 December 2013]. Czarnigowska, A., 2008. Earned value method as a tool for project control. [pdf] Budownictwo i Architektura. Available at: [Accessed 28 December 2013]. MatchWare A/S, 2011. WBS Template: Construction of A House. [online] Available at: [Accessed 28 December 2013]. MatchWare A/S, 2012. WBS Software. [online] Available at: [Accessed 28 December 2013]. New South Wales Government, 2013. Quality Management Systems Guidelines for Construction. [doc] New South Wales Government. Available at: [Accessed 28 December 2013]. Olander, 2003. External Stakeholder Management in the Construction Process. [pdf] Lund University. Available at: [Accessed 28 December 2013]. Project Smart, 2013. Role of the Project Manager. [online] Available at: [Accessed 28 December 2013]. Rodriguez-Lopez, J., No Date. Cost Management for Project Managers. [online] Available at: [Accessed 28 December 2013]. Stummer, M. and Zuchi, D., 2010. Developing roles in change processes – a case study from a public sector organisation. International Journal of Project Management, 28(4), pp. 384-394. Telegraph Media Group Limited, 2013. London's tallest buildings. [online] Available at: [Accessed 28 December 2013]. U.S. Department of Health & Human Services, No Date. COMMUNICATIONS MANAGEMENT PLAN. [doc] U.S. Department of Health & Human Services. Available at: [Accessed 28 December 2013]. University of Glasgow, 2013. Project Roles and Responsibilities. [pdf] University of Glasgow. Available at: [Accessed 28 December 2013]. workbreakdownstructure.com, 2012. Work Breakdown Structure (WBS). [online] Available at: [Accessed 28 December 2013]. Read More