PROCUREMENT MANAGEMENT IN CONSTRUCTION PROJECTS

The procurement process is the method used to purchase goods or services. The process must be carefully managed to ensure good value is obtained, the correct goods or services are purchased, a high level of quality is received, timescales are met and good relationships are maintained between the procurer and the supplier. Establishing a procurement strategy at the outset is key to a successful outcome.

The strategy is likely to focus on issues such as:

  • Speed.
  • Cost.
  • Quality.
  • Specific project constraints.
  • Risk.
  • Asset ownership.
  • Financing.
  • Programme.

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RESOURCE MANAGEMENT FOR CONSTRUCTION PROJECT

Great commercial construction managers are often the unsung heroes of building projects. Thanks to their skills and diligence, construction projects can be delivered without delay, on the budget, and within scope. It takes exceptional resource management skills to ensure the right staff is working with the right equipment on the right tasks at the right time. Below are several resource management techniques, solutions and concepts to help your team mitigate risks and increase profits. Continue reading “RESOURCE MANAGEMENT FOR CONSTRUCTION PROJECT”

REASONS FOR COST OVERRUNS IN PROJECT

How Proper Planning Can Help Keep Your Project on Budget

It’s safe to say that cost overruns in construction projects have become an industry-wide status quo. In fact, according to a study from KPMG, just 31% of all projects came within 10% of the budget in the past 3 years. However, with project budgets being scrutinized more so than ever and overall industry productivity remaining stagnant, construction professionals can’t really afford to accept the new normal.

To know how to address cost overruns in construction projects, it’s important to understand the root of the problem. Oftentimes, overruns hint at deeper issues in project management and from schedules and budgets being set improperly from the very beginning of the project. Although extreme weather or forces beyond human control can impact budgets, in most cases, a project’s overrun is a result of inaccurate analysis or planning before building even starts. In parallel with better planning, technology can also help to reduce the common problems or elements that contribute to cost overruns, ensuring you can maximize efficiency and profits. Continue reading “REASONS FOR COST OVERRUNS IN PROJECT”