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As
we know, the best-laid plans for any project won't succeed
unless the work is systematically managed and monitored
as it progresses. That is the Project Control function.
This process gives all participants the information
to make corrections as needed, to bring the project
to completion, on time and on budget. Maybe, ideally,
even ahead of schedule, if delays are averted and the
allotted "float time" is not used.
To begin, it is useful to review previous topics in
the Professional Practice Curriculum. In the Project
Management Module, the interrelationships of scope,
schedule and budgets were discussed. The importance
of budget and schedule controls were recognized. These
issues are analyzed on a typical project by various
conceptual tools. Typical tools provide the information
for both cost and schedule variances, as well as trend
analysis.
In the Contracting Organizations and Options Module,
the various contract issues were discussed. The contracts
between the various project entities such as the owner,
the designer and the contractor, contain the definition
of scope, the project cost and timing, and a protocol
for prompt response should these "performance" issues
deteriorate.
Baseline budgets and schedules contain the essential
reference points for analysis. The project baseline
budget is a breakdown of the contractually agreed to
cost, while the project baseline schedule is a breakdown
of the contractually agreed to timing. The breakdowns
for these documents should contain similar information
(tasks or cost grouping). Inconsistencies will cause
delays while they are resolved.
A budget breakdown should list elements of costs that
could be monitored as the project progresses. For example,
if equipment (material) items will be "packaged" into
the scope of a purchase order and the installation (labor)
of this equipment will be contracted from a different
service provider, each would be separately listed as
budget items.
The Work Breakdown Structure (WBS) identified on the
project schedule would contain the timing of the work
subdivisions for key equipment (drawing/specification
approval, purchase, fabricate and ship) and installation
(setting, alignment, grouting) and the logical relationships
between each element that comprises the entire scope
of work. The WBS should be organized to incorporate
different budget elements.
Since the project scope typically includes regulatory
issues at the beginning (permits), during (inspection/QC),
and the end (Certificate of Occupancy, Testing Certifications,
etc.), these elements should be part of a baseline schedule.
Since projects are typically broken into phases, separate
budgets and schedules are essential for each of the
project phases. A design, procurement, and construction
schedule, applied during the construction or installation
phase, must often be supplemented by a separate system
testing and commissioning schedule (including warranties,
as-built drawings, etc.) and phased turnover/training
and acceptance. However, the overall budget must contain
sufficient detail for all phases of the project - from
the beginning (baseline).
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