NICMAR-Assignment_NCP21_1

ASSIGNMENT

NICMAR / CODE OFFICE

1. Course No. NCP 21

2. Course Title Management in Organisation

3. Assignment No. 1

4. Date of Dispatch: 12-08-2013

5. Last date of receipt of Assignment at CODE office

ASSIGNMENT

Your company has bagged a lucrative contract to construct a housing colony for an

Industrial Group to be located in Western Maharashtra in a coastal belt. You as a

Project Manager have been asked by the company to evolve Organisation structure

with following conditions.

i. Organisation should be as lean and thin as possible with bare

minimum of personnel on company roll upto Junior Engineer level

ii. All supervisors to down below will be temporary for project duration

only to be recruited locally from 100 KM radius

Suggest and discuss an organization structure denoting responsibility, authority,

communication control for all facets of construction work and management

functions as visualized by you.

Housing colony consists of 10 Bungalows for senior executives, 20 Apartments in

five buildings, 100 dwellings for white collar workers and 300 dwellings for blue

collared workers. Colony will have market and entertainment complex.

Submitted by :

Murali Krishna Naidu, SODE Reg No. 213-05-11-11534-2153

NICMAR CODE 2013-14 ASSIGNMENT–1 NCP21- Management in Organisation

Submitted by: Murali Krishna Naidu, Reg No 213-05-11-11534-2153 Page 2

Orgnisation Structure for a project

Name of the Project:

Housing colony for an Industrial Group to be located in Western Maharashtra in a

coastal belt.

1.Introduction:

ABC company bagged a project to construct a housing colony for about 630 houses

of various types for a popular industrial group. Company got this project based on

its organizational popularity in similar jobs assuring high quality matched with

timely delivery in any normal/restricted territorial conditions. With this image, we

need to propose a workable, effective organization structure where workforce

suggested to such a precious project shall have the degree of understanding about

optimum use of resources like materials, work practices, quality assurance, safety

and environmental concerns.

2. Scope of work:

The main scope of this proposal is to propose a suitable organization structure

with

Good inter / external communication system

Clear roles and responsibilities

Measurable motivation calendar

Inviting job applications, screening and placement

Effective skill based trainings to employees to discharge pre defined duties

Self made appraisal preparation, evaluation and controlling system



3. Organisation structure:

The following parameters of the awarded construction project are to be

considered which may influence in selection of an organization structure.

Limitations of Construction companies / agencies/ firms in having

permanent/contract staff as construction projects are more a client

oriented than a product oriented. The current project is a design and

executes nature.

Projects will be awarded based on competitive bidding, entered into a

contract agreement which defines the obligations of the client and

contractor with rigid completion conditions as money and time are involved

and in no case these shall be compromised by both the parties. The project

is to be completed in a phased manner i.,e handing over of few bungalows,

apartments and dwellings in different phases. So the work force can be

engaged on a phased manner.

Construction project elements will have dependent features on other

projects/companies as each project is considered to be unique. Building

construction involves civil, electrical, mechanica installations coupled with

statutorial fulfillments like municipal, power, fire, police, water board

departments.

The geographical conditions of the project area are to be taken into

consideration to provide living / working ambience to the staff. The current

location is near to coast and will have high humidity conditions in hot

summer season. Daily transport of workers is a must as the project work



place is not having any possibilities and it would be costly to provide even

temporary shelters to the daily workers at site.

Construction work involves more unskilled labourers who shall be treated

with more patience and to be dealt in a humanly nature. In such areas,

worker union involvement and handling is very much a corner which needs

continual watch and attention.

Construction work involved with different skilled persons with various levels

of education, experiences, backgrounds who shall be treated and

maintained with appropriate, dignifying, respectful relationships

Construction work involved with more Tools and Plant machincery as the

costs involved for them is a considerable amount in the project estimation.

Any damage to machinery by improper handling vis-a vis any injury to work

force by the machinery is not admissible

Selection of suitable Organisation structure:

Examine different types of structures whether they fit in to an appropriate

structure of project organization with the above parameters.

To achieve highest efficiency from the team, the organizational structure

shall be chosen so that greater harmony from all functioning departments could be

balanced.

The following types of organizational structures could be examined before

zeroing on the appropriate structure for the aforesaid project work.



Organisational structures mainly base upon the following needs of the either

the policies of company, personal needs of top brass, specific requirement of

client, work/task related requirements, constraints of finance, quality and time. In

few cases, organsiational structures are copied from the available structures doing

similary kind of work with rare corrections based on the specific work

requirements of the project. Always, this type of structures will get good results as

the initiation process of project management could be achieved in preliminary

times and thereby financial achievements. In case of involvement of functional

heads keeping their teams in their hold may sometimes play a role to spare their

functional team members to the intended project. In cases, where the project

needs a worker of different trade/skill other than what the company possesses

may have to be inducted separately, in advance, with higher costs and amenities

not usual to the normal company blue books there by creating unrest among

existing equal cadre employees in the company. This is also the case with engaging

people in critical conditions to overcome the constraints in the project.

However, organizations with a kind of set of clear goals, staffing patterns,

firm rules, famed for timely raising the work bills matched with timely wage

payments to its employees will overcome any difficulty in placing its staff into any

of the jobs it holds at any time without any parallel or vertical constraints. People

even work for lesser wages once they get security for their job, recognition to

their efforts and rewards/incentives for their achievements

Organisational structures range from functional to projectized with a variety

of matrix structures between them. The project characteristics such as Project

Manger’s authority, Resource availability, Who controls the project budget, role of



Project Manager, Administrative staff will be influencial from little to none and

weak to strong from functional to projectised organizational structures.

In a functional organization, each employee has on clear supervisor, staff members

grouped by specialities which are further sub divided into further functions.

The matrix organsiations are a blend of functional and projectised

characteristics.Depending on the authority of Project Manager, it can be said

about Weak or Strogn matrix of functional managers, staff, project managers.

In a projectised orgranisation, team members are often co-located, most of

the organisation’s resources are involved in project works, and project managers

have a great deal of independence and authority. Projectised organsiations often

have organizational units and departments, but these groups either report directly

to the project manager or provide support services to the various projects.

Therefore out of listed types above, the projectised type model can be most

beneficial for this project. This is because of the following reasons:

Need of quick decision making: Hierarchy is important so that the decision

making powers can be clearly categorized.

Need for better communication: Also a flat type of organization leads to

better communication

Social involvement: In such projects the people are moved from the

Headquarters in metropolitan cities to the project site. It is important for

them to have a social life. This will increase the feeling of attachemnet and

motivation. Lack of social life is one the biggest de-motivator for engineers

working in remote areas.



Organisational Structure

Selection of Team size:

This is dependent on the phases of work which we handle at a time and the

phase of work could be arrived from Work Breakdown structure. In this case, the

project is to build three types of houses/dwellings.

Initially, anticipating some blue collar and white color employees for about

50 white color dwellings and 200 blue collar dwellings could be populated, this

could be treated as 1st phase.

Similarly, in 2nd phase, 5 apartment buildings and 5 bunglows and in 3rd

phase, 50 white color;100 blue color dwellings and 5 bunglows could be taken

taken up.

This phasing will allow the same team to perform 3 similar tasks reducing

the resource requirement by about 2

Project

Manager

Manager

(Admn)

Chief

Architect

(Design)

(

Architects

Constructio

n Managers

(Civil)

Constructio

n

Supervisors

Constructio

n Managers

(MEP)

Constructio

n

supervisors

Manager

(Finance)

Accountants Executives



Team members

The project team shall consist homogeneity of people with identical goal

and approach with different methodologies based on each task. The team

management will be as per the chart shown above. The brief role and

responsibilities of various individuals positioned in the project shall be not less

than the following:

Project Manager

Appointed by the head office

Incharge of complete project

Responsible for all activities of the project

Manages entire construction process

Liase with Client and consultants

Accountable to the company as well as client in all quality, finance and time related activities.

Final decision maker for all project related issues.

Construction Managers:

Head of the team working at site level

Operates complete work at site

Plans available resoures in the project for his tasks

Orgnanises Supervisors/foremen under his department

Makes preliminary reports to be sent by Project Manager to Client/Consultants

Directly reports to Project Manager

Accountable to all site quality, safty, HR issues of the tasks assigned to him

Obtaining approvals from the Consultants about working drawings, field/lab tests etc

Construction Supervisor

Heads the workforce at site

Communicates directly with work force consisting unskilled / skilled persons

Assigns workforce what to do after obtaining working drawings

Other teams

Related department personnel like Mechanical, electrical, sanitary, watersupply, horticulture, HR, administration, finance, accounts etc



Communication system:

In general, the communication system will be followed as per the hierarchy

shown in organization chart and in some cases, the teams may communicate with

head office for example the departments like Procurement, Accounts,Finance etc

where a centralized monitoring system prevails in resource management. However,

for all practical purposes, the Project Manager is the official spokesperson to say

any thing about his project to the client/consultant. Inter departmental

communications are allowed where ever common tasks/methodologies are defined

and where the company is having a systematic communication formats, the inter

departmental communications works with easeness without ambiguity, confusion.

With the above explained organization structure and team in place, the

intended project should be completed in time with minimum resources and

maximum quality.

Bibliography & references:

1. NICMAR Session book on Management in Organisation

2. Organisation Management by Koontz Odoneal-McGraw Hill Publishers

Submitted by :

Murali Krishna Naidu, SODE Reg No. 213-05-11-11534-2153

Documents

NICMAR-Assignment_NCP21_1