1.0 Introduction
Construction management has encountered a number of schools of thought. Succeeding
schools of thought about management modify and extend existing ones but not supersede them as they still continue to exercise sway over ways in which organizations operate. Construction management is a discipline comprising systematic approaches to control time, cost and quality of a construction project based on recorded research and experience.
Though construction management must have been applied in the construction of Egypt pyramids centuries ago, but the discipline of management is relatively new, and origins of modern management can be traced to the beginning of last century. At present, there is no such thing as a comprehensive construction management theory but rather theories about the management.
By tracing the development of management as a discipline, four major schools of thought can be recognized; Classical approach (1900), Human relations approach (1925), Systems approach (1950) and contingency approach (1975).
1. Classical Approach to Management:
1.1 Scientific management
Introduced by Fredrick Winslow Taylor (1856-1917)
By scientific management Taylor meant the systematic observation and measurement of work which was intended to replace the traditional approaches to work based on rule-of-thumb, intuition, precedent, guesswork and personal opinion. Taylor's objective was to improve efficiency and his quest was to identify the "best way" of doing any job. Taylor argues that having established the best way of doing the job then management should select a 'first-class' man who has physical and intellectual qualities to achieve the required output and then systematically train him to use only the 'best way'. Taylor sought to separate the role of managing the work; i.e., planning and organizing, from the actual execution of the work
1.2 Administrative management
Introduced by Henri Fayol (1841-1925)
Fayol's definition of management was in terms of five functions:
To forecast and plan: "Examining the future and drawing up the plan of action" To organize: "building the structure, material, and human of the undertaking" To command: "marinating activity among personnel" To coordinate: "binding together, unifying and harmonizing all activity and effort" To control: "seeing that everything occurs in conformity with established rule and
expressed command"
Fayol introduced fourteen general principles of administrative management. The fourteen
principles are: Division of work: Specialization leads to greater productivity Authority: the right of management to issue commands and takes responsibility for their
actions. Discipline: employees should obey orders provided that management exercise good
leadership. Unity of command: an employee should only have one boss. Unity of direction: people who work in the same kind of task must have common
objectives. Subordination of individual interest to general interest: achieving the objectives of the
firm must take precedence. Remuneration: the importance of pay as motivator is recognized. Centralization and decentralization: the degree of each must be appropriate to the
organization and the quality of its personnel. Scalar chain: the creation of a hierarchy of command with the vertical flow of directions
and responses is emphasized although properly controlled lateral communication is not
ruled out. Order: both material order and social order are essential for efficiency. Equity: in running an organization a combination of kindliness and justice should be used
in treating employees. Stability of tenure: Fayol believed that successful businesses tend to have more stable
management personnel.
Initiative: all personnel in an organization should be encouraged to use their initiative. Esprit de corps: management should seek to maintain the morale of its employees and
foster a team spirit.
1.3 Bureaucratic Model
Introduced by Max Weber (1864-1920)
Weber was concerned with the way in which authority was exercised within organizations.
Authority, where orders are voluntarily obeyed by those receiving them, was distinguished from power, which is the ability to force people to obey. Weber describes three types of organizations based on the way in which authority is legitimized. Charismatic form of organization in which authority is based on the personal qualities of the leader, traditional organizations in which the bases of authority are precedent and usage, and rational-legal in which authority stems from holding a particular position in the organization.
2 Human Relations Approach
The founder of the Human relations approach is widely recognized to be Elton Mayo, who
undertook what became known as Hawthorne investigations that took place at Western Electric Company in Chicago. Mayo concluded the following:
Man is basically motivated by social needs Satisfaction at work derives from social relationships at work rather than from the work
itself. The work group itself exerts more influence on a worker than do incentives and controls
used by management. A manager will be effective only to the extent that he can satisfy his subordinate social
needs.
Though Mayo's research methods were heavily criticized, the impact of the Hawthorne
investigations on management thinking was considerable particularly the realization of the
"Human factor" and the "Informal group"
3. Systems Approach
The key concepts of the systems approach evolved in response to a rapidly changing
environment. It expanded on the previous schools of thought in two ways:
The focus of the systems Theory is the whole organization comprising a set of interacting
sub-systems The relationship between the organization and its environment is a central concern of the
systems theory.
4 Contingency Approach
The most recent school of thought about management. It combines the other three approaches and states management actions cannot always relate either to general or unique circumstances but depend on contingency factors and circumstances. In other words, the way in which an organization organizes and manages its tasks is contingent on the circumstances in which it operates.
1.4 Definitions
Management is the art of getting things done through people [Mark Follett]. Management can also be defined as the process of planning, organising, leading, and controlling the efforts of organisation members and of using all organisational resources to achieve stated organisational goals [Stoner et. al., 1985]. A process is a systematic way of doing things. PMBOK [2000] defines general management to encompass planning, organising, staffing, executing, and controlling the operations of an ongoing enterprise.Construction Management refers either to the study and practice of the managerial and
technological aspects of the construction industry (including construction, construction science,construction management, and construction technology), or to a business model where one party to a construction contract serves as a construction consultant, providing both design and construction advice.
1.5 Objectives and principles/functions of management
1.5.1 Functions of management Planning Organizing Staffing Directing Controlling Coordinating Communicating
1.5.1.1 Planning – what to do, when to do it and how to do it? It looks at various alternative
methods of executing the work and take action. Planning also looks at each component regarding the time of its inception (start) and completion, labour, materials, equipment and finance involved and construction facilities required from time to time. It takes care of the likely uncertainties to be encountered in execution of work due to various unpredictable factors such as weather, difficulties in procurement of materials, price fluctuations, non-availability of labour due to festivities and illness.
1.5.1.2 Organising – This relates to the creation of an organizational set up capable for the
execution of the planned activity and defining the responsibility of each individual in the
organization. The type of organization would depend on the type and volume of work as well as the method of its execution.
1.5.1.3 Staffing – relates to proper selection of staff and in required numbers i.e selection of
right staff for right job. It also involves in-service training of staff to tackle challenging problems and be able to shoulder greater responsibilities. Staffing function involves the following activities:
a) Recruitment and selection,
b) Training and development,
c) Remuneration of employees and
d) Performance appraisal.
1.5.1.4 Directing – This function involves motivation, guidance, supervision, and delegating,
counselling and leading employees of the organization. This is achieved by establishing effective communication between employees and management to develop awareness of the planned programmes and the means and methods to be adopted to implement them. The object of directing is to ensure that each employee knows what exactly he/she is supposed to do, how and when to do it. Planned programmes can be in form of bar charts/network diagrams, estimates, detailed specifications and other details of work. It can therefore be said that directing subordinates embraces three essential activities:
a) issuing orders and instructions,
b) guiding and counselling subordinates in their work to improve their performance and c) supervising the work of subordinates to ensure that it conforms to plans.
1.5.1.5 Controlling – This is monitoring progress achieved in comparison with the planned
programme and identifying the areas of deficiency so that remedial measures may be taken to remove this deficiency. It is a three step process of measuring progress towards an objective, evaluating what remains to be done and taking the necessary corrective action to achieve or exceed the objectives (measuring, evaluating and correcting). In construction, the aims of controlling are:-
Keep watch over physical progress of each activity so that work is completed as per
schedule; Check quality of work as per specifications; Control the use of resources (machines, materials, labour etc) to avoid wastage; Control expenditure on each item of work to complete the work within estimated cost.
The manager is responsible for ensuring the accomplishment of group and organizational goals and objectives. To effect this, he must have a thorough knowledge of standards and cost control policies and procedures so that a comparison is possible between operating results and preestablished standards.
1.5.1.6 Coordinating – This relates to harmonizing the action and approach of various groups of employees to achieve a common objective. In construction, a large number of interrelated and interdependent activities are carried out simultaneously and it is essential that the actions of various groups involved do not cause hindrance in the progress of any other activity e.g. mixing concrete before completing the fixing of bars.
1.5.1.7 Communicating – Communication means the process of passing on information or ideas or thoughts to others. According to Megginson, communication is the chain of understanding that integrates the members of an organization from top to bottom, bottom to top and laterally.
While communicating, the subject matter of communication must be made very clear so as to
avoid confusion and ambiguity on the part of the receiver.
1.6 Importance of management
The need for management or its importance can be studied under the following headings:
a) Management meets the challenge of change: – In recent years the challenge of change
has become intense and critical. The complexities of modern business can be overcome
only by scientific management.
b) Efficient utilization of the seven „M‟s:– There are seven ‗M‘s in industries:Management, Materials, Machines, Men, Methods, Money, and Market. Management
stands at the top and determines and controls all other factors in industries. Just as the
mind directs and controls the body to fulfil its desires, management directs and controls
the organization to achieve desired goals.
c) Integrates various interests: – In the group efforts, there are various interest groups and
they put pressure over other groups for their maximum share in their total output.
Management balances these pressures and integrates the various interests.
d) Provides innovation: – Management provides new ideas in organizations and visions to
the organization and necessary life for better and grater performance.
e) Provides coordination and establishes team spirit – Management coordinates the activities
of the different departments of an enterprise and establishes team-spirit amongst employees.
f) Tackles business problems: – Management serves as a friend, philosopher and guide in
tackling business problems. I t provides a tool for doing a task in the best way.
g) A tool of personality development: – Management is not in directing things but the
development of men. It makes the personality of the people and attempts to raise their
efficiency and productivity.
1.7 Functions of a construction manager
Construction Cost Management is a fee-based service in which the Construction Manager (C.M) is responsible exclusively to the owner and acts in the owner's interests at every stage of the project. The construction manager offers advice, uncolored by any conflicting interest, on matters such as: Optimum use of available funds; Control of the scope of the work; Project scheduling; Optimum use of design and construction firms' skills and talents; Avoidance of delays, changes and disputes; Enhancing project design and construction quality; Optimum flexibility in contract
