Case Study Part 4 of 6

The Execution Phase

As explained in the earlier parts of this case study (see related posts below), this case study is about constructing an industrial building.

During the execution phase of this project, the building is actually built.

During this phase of the project, we went through the following project management processes:

 

Conduct Procurement

One of the fist things you do after your project plan is approved is to start your procurement. In this case we started by writing a Request For Quotation (RFQ) with scope we had. Once the RFQ was ready we sent it to the contractor who had similar building for us. This is called single-sourcing. Single-sourcing should only be done when you are pretty sure about your budget. In this case we were.

Part of the RFQ is an invitation for the contractor to visit the site before submitting a price. We make these site visits, called bidders conferences, mandatory for all projects. The reason is that we want the bidders to be as familiar as possible with work before submitting a price.

The contractor submitted the price after the prescribed amount of working days. The price submitted was $40,750 versus $39,000 we had budgeted (see related post below, part 3 of 6). During a brief contract negotiation, the contractor explained that this price was slightly higher because this building had three garage doors instead of the one door the previous building had. This was acceptable to us and we then signed a contract for $40,750.

 

Control Scope, Schedule and Cost

Once the contract was signed, the construction of the building started. To the left is a picture taken during the beginning off the construction. On almost all of my projects I use Earned Value Management (EVM) to control the scope, schedule and cost of the major contracts. EVM is a project management tool that shows you throughout the project what value you have earned for the money you spent. In effect EVM tells you if your money is well spent or not. Here is an example of the one page EVM report I use to manage my projects. Controlling scope, schedule and cost are three of the most important Monitoring and Controlling Processes.

 

Administer Procurement

Throughout the construction of the building you have to manage the contract you signed with contractor. You have to answer contractor questions, discuss any changes and of course make sure the contractor gets paid whenever the building reaches the agreed upon milestones. I have many pictures taken during all of my projects. Some pictures are used as references for future projects, some pictures are just for the project records and most of the pictures are to remember the people that worked on my projects. This picture shows the building at about 80% complete.

 

Manage Stakeholder Expectations

The key to project success is to involve your customers as much as possible.  During the construction of this building we had to make some minor changes. We involve the customer in all of these changes. The customer also had some request for some minor changes which were honored by the project team. The process of Managing Stakeholder Expectations (listening to stakeholder requests and involving them in changes) is vital to the acceptance of the project.

 

As you can see above, we used six of the forty two (teal italic headings) processes. The next blog post will be about the closing phase of this project.

 

Related Posts

Case Study Part 3 of 6

Case Study Part 2 of 6

Case Study Part 1 of 6

Project Management Process Groups

The Project Life Cycle

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