In construction industry, conflicts are inevitable in any construction projects.
Construction projects require that every parties are related in term of negotiation such project managers, safety managers, clients, suppliers, designers, site engineers, and consultants. Negotiation is one potential consequence to succeed projects when comparing with other factors. Many negotiators need to understand their personal characteristics for bargaining.
For any given issues, problem or conflict encountered, the participant has a negotiating position. Different construction projects have different conflict styles and different departments try to work together.
Mr. Surapong Panja made a case study on “Negotiation Issues, Styles, And Outcomes: A Study of Building Construction Projects in Thailand”. He learned that construction industry always has conflicts that can be attributes to more factors such as change order, variation work, job safety, price adjustment (inflation or deflation), and time extension. These factors can produce many conflicts itself and may contribute germination and manifestation. Dispute is always negotiated by project participants, and the process of negotiation is the first task before considering other resolution methods. The project manager of contractor tends to use avoiding style. It is suggested that it is more important for negotiation outcome to understand the proper negotiation style on each negotiation outcome in order to make beyond benefit to negotiation outcome with satisfaction.
His abstract is copied and posted here.
ABSTRACT
Negotiation is one potential process to make construction projects to succeed or fail. The negotiation between project participants is the first step to do businesses even construction industry, and it can take place all stages of construction projects. In negotiation process, the characters of project participants can affect to their behavior which can lead to resolve conflicts and outcome with satisfaction. Thus, the ability of project participants for negotiating effectively is a one essential success or failure. Weakness of negotiation can also affect to a sizable loss not only negotiator’s needs but also affect to other sides involve. Notwithstanding, understanding both the behavior of negotiation style, negotiation issues, and outcomes are valuable for practices and academics.
This study also emphasized on five aspects: (1) to study negotiation styles regarding with the project manager of consultant and contractor in the way they use negotiation styles. (2) To study what are important negotiation issues between the project manager of consultant and contractor those are important to both parties (contractors and consultants) and issues that are possible for value exchange in bidding and construction stage. (3) To find out the relationship between negotiation styles and negotiation outcomes. The questionnaire survey involved in thirty high-rises building projects.
Based on the results, the finding can suggest that different negotiation styles will affect to different negotiation outcomes, and what the negotiation style are appropriate with each negotiation outcome. The suitable negotiation style on negotiation outcome may be helpful to increase negotiation outcome. The understanding the strongest negotiation style can provide more beneficial as well as weakness styles can also provide drawback. Furthermore, the significant responsibility of project manager is to identify the important issues for one’s side, and another side may be less important issues which can apply to possible value exchange concept.
Thursday, 18 June 2009
Wednesday, 17 June 2009
CORRELATION BETWEEN PERSONALITY AND JOB PERFORMANCE
People are now considered as one of the factors that sustain advantage in an increasing globally work oriented competition among organizations. Human Resources (HR) are appreciated as an asset to corporate success, among other factors because its functions cover a wide range of activities which are required for different skills.
Construction compared with other organizations has the highest degree of applying HR for all hierarchical levels and one of the largest global employment sectors, providing work for a significant proportion of the labor market and accounting for a significant share of the world gross domestic product.
Human Resources in a labor construction have many varieties; from top to bottom; comes from different backgrounds; and have various skills and diverse aptitudes that make difficulty in controlling them. Therefore, construction companies must have appropriate Human Resources Planning (HRP).
Ms. Swe Zin Myint conducted a case study in “The Relationships Between Personality and Job Performance in Myanmar Construction Projects”. The analysis result of his study shows that there are correlations between personality and job performance of respondents who work in construction sites. He found out that (1) conscientiousness and integrity play crucial role in managers’ personality trait because it is related with most of managers’ job performance categories by positive correlation. Therefore, in recruiting for manager’s position, the employers must check the applicants’ personality traits especially in conscientiousness (2) Organizational factors influence more than the personality factors level to job performance. Therefore, employers better manage HR in an effective way to get high performance from them. The employers can recruit employees by testing their personality required for the job and if the personality is not fit with the HR job position or job performance, employers can exert effort to increase it by providing organizational factors.
His thesis abstract is copied and posted.
ABSTRACT
In order to achieve the success, every organization has to metain their competitive strategy by modifying it according to rapidly growth of technology. There are many strategies to overwhelm competitors but all of them are based on human resources (HR). Consequently, one of the important factors to have proper human resource management is their personality traits. This study intends to investigate the relationship between personality and job performance of HR in construction to manage HR effectively by achieving high performance. A survey for the study was conducted in Yangon, the previous capital city of Myanmar and target on manager, site engineer and site supervisor of ongoing construction projects. The study indicated that not only correlation of personality and job performance but also fundamental personality traits for manager especially for human resource management. Moreover, it also compared the influential level of personality traits and organizational factors on job performance.
Construction compared with other organizations has the highest degree of applying HR for all hierarchical levels and one of the largest global employment sectors, providing work for a significant proportion of the labor market and accounting for a significant share of the world gross domestic product.
Human Resources in a labor construction have many varieties; from top to bottom; comes from different backgrounds; and have various skills and diverse aptitudes that make difficulty in controlling them. Therefore, construction companies must have appropriate Human Resources Planning (HRP).
Ms. Swe Zin Myint conducted a case study in “The Relationships Between Personality and Job Performance in Myanmar Construction Projects”. The analysis result of his study shows that there are correlations between personality and job performance of respondents who work in construction sites. He found out that (1) conscientiousness and integrity play crucial role in managers’ personality trait because it is related with most of managers’ job performance categories by positive correlation. Therefore, in recruiting for manager’s position, the employers must check the applicants’ personality traits especially in conscientiousness (2) Organizational factors influence more than the personality factors level to job performance. Therefore, employers better manage HR in an effective way to get high performance from them. The employers can recruit employees by testing their personality required for the job and if the personality is not fit with the HR job position or job performance, employers can exert effort to increase it by providing organizational factors.
His thesis abstract is copied and posted.
ABSTRACT
In order to achieve the success, every organization has to metain their competitive strategy by modifying it according to rapidly growth of technology. There are many strategies to overwhelm competitors but all of them are based on human resources (HR). Consequently, one of the important factors to have proper human resource management is their personality traits. This study intends to investigate the relationship between personality and job performance of HR in construction to manage HR effectively by achieving high performance. A survey for the study was conducted in Yangon, the previous capital city of Myanmar and target on manager, site engineer and site supervisor of ongoing construction projects. The study indicated that not only correlation of personality and job performance but also fundamental personality traits for manager especially for human resource management. Moreover, it also compared the influential level of personality traits and organizational factors on job performance.
Congratulation for Mr Nguyen Van Diep, CEIM/MPM Vung Tau
Dear Mr Nguyen Van Diep (CEIM/MPM 08)
We would like to congratulate you with your new promotion as the Deputy of General Director of PTSC-OS (Petrovietnam Technical Service Offshore Servive - Tong cong ty dich vu ky thuat dau khi- Cong ty Dich vu khai thac bien) ( ma tren TT chung khoan- PVS).
We wish you successfull with your new position.
We are proud of your achievement.
Regards
Hadikusumo
We would like to congratulate you with your new promotion as the Deputy of General Director of PTSC-OS (Petrovietnam Technical Service Offshore Servive - Tong cong ty dich vu ky thuat dau khi- Cong ty Dich vu khai thac bien) ( ma tren TT chung khoan- PVS).
We wish you successfull with your new position.
We are proud of your achievement.
Regards
Hadikusumo
Congratulation for Mr Nguyen Khoa, CEIM/MPM Vung Tau
Dear Mr Khoa (CEIM/MPM 2008)
CEIM family would like to congratulate you with your new position as the Deputy of General Director of PVC-IC (Petro Vietnam Construction - Industrial Construction Tong cong ty thiet ke va xay lap dau khi-Cong ty IC)
We are proud of you, Mr Khoa.
We wish you successfull with your new position.
Regards
Hadikusumo
CEIM family would like to congratulate you with your new position as the Deputy of General Director of PVC-IC (Petro Vietnam Construction - Industrial Construction Tong cong ty thiet ke va xay lap dau khi-Cong ty IC)
We are proud of you, Mr Khoa.
We wish you successfull with your new position.
Regards
Hadikusumo
PROBLEMS AND PRACTICES IN EPC PROJECT MANAGEMENT
EPC projects face many challenges to stay in the competitive world despite of the efforts made towards compressing activities by phase overlapping, in order to reduce time scale and to obtain better EPC projects. These project challenges lead to cost overrun and schedule delay.
But what are the specific factors and problems in EPC Projects; and the effective Project Management (PM) practices especially on petrochemical and oil and gas EPC projects in Thailand?
Mr. Raman Awale made a case study on “Problems and Practices in EPC Project Management: A Case Study on Petrochemical, Oil and Gas EPC Projects in Thailand”. His study reveals that major factors contributing to schedule delay and cost overrun are mostly related to material and equipment; lack of EPC contractor’s experience, lack or poor coordination and communication between Client, contractor and suppliers resulting to late approvals; poor planning and controlling; lack of top management commitment and unrealistic project scheduling.
His full abstract is copied and posted here.
ABSTRACT
EPC (Engineering, Procurement and Construction) projects are highly schedule driven where phases are overlapped to complete the project as early as possible. Moreover, these EPC projects are massive, utilize high skill and well train employee, acquires complex and complicated methodology/technology, needs fast information flow between different phases and close collaboration of multidiscipline as well. EPC projects are facing serious problems like crew idleness, rework and management dilemma which lead to cost overrun and schedule delay. Hence, this study aims to explore effective project management practices and problems faced in EPC projects especially on petrochemical and oil and gas EPC projects in Thailand, such that necessary proactive planning can be performed before to conduct such project effectively.
Methodology consists of three steps - pilot survey, interview approach and case study approach. Interview Approach (adjusted Grounded Theory Approach) is purposed to find out the significant delay and success factors together with effective management practices from various factors collected from literature review and pilot survey. Later, case study approach is used to validate the information gathered previously and to understand the relation and consequences of each factor in real situation. The respondent and interviewee were chief civil engineer, deputy chief engineer, director, project managers, construction manager, project engineers, process engineer, vice presidents, (Professional Experts) etc from 15 different EPC companies (9 Client companies and 6 Contractor companies).
The study reveals that major factors contributing to schedule delay and cost overrun are mostly related to material and equipment such as material shortage, procurement delay, or late delivery on site. Besides, delay in placing purchase order, design changes, lack of EPC contractor’s experience, late approvals, vendor information coming in late and further most due to the lack of coordination between Client, contractor and suppliers regarding exchange of information are other factors contributing cost overrun and schedule delay.
In addition, poor planning and controlling, lack of top management commitment, unrealistic project scheduling and poor coordination and communication are poor project management practices explored. However, subcontractor management and control mechanism, lesson learnt practice, involvement of construction and operational personnel during conceptual phase are success project management practice found. Furthermore, interface management and control, integrated team management, real time reaction, dispute management, risk management, stakeholder management, continuous and dynamic detail planning and monitoring during execution and being proactive to issues, carrots and sticks approach (incentive criteria), clear roles and responsibilities, etc are also the big concerns in terms of project management practice regarding controlling cost overrun and schedule delay.
The findings from this study can be helpful to EPC contractors, owners, investors, project managers, construction managers, engineers and other construction stakeholders to understand the major factors, causes and problems related to phase overlapping of EPC process. This will guide them in developing and adopting necessary effective and efficient project management practice to conduct EPC projects on cost, on schedule with good quality providing clients satisfaction and safety measures. This research can be viewed as a lesson learned approach.
Keywords: EPC Projects, Phase Overlap, Delay and Success Factors, Project Management Practice, Long Lead Items, Scope Changes, Lesson Learned
But what are the specific factors and problems in EPC Projects; and the effective Project Management (PM) practices especially on petrochemical and oil and gas EPC projects in Thailand?
Mr. Raman Awale made a case study on “Problems and Practices in EPC Project Management: A Case Study on Petrochemical, Oil and Gas EPC Projects in Thailand”. His study reveals that major factors contributing to schedule delay and cost overrun are mostly related to material and equipment; lack of EPC contractor’s experience, lack or poor coordination and communication between Client, contractor and suppliers resulting to late approvals; poor planning and controlling; lack of top management commitment and unrealistic project scheduling.
His full abstract is copied and posted here.
ABSTRACT
EPC (Engineering, Procurement and Construction) projects are highly schedule driven where phases are overlapped to complete the project as early as possible. Moreover, these EPC projects are massive, utilize high skill and well train employee, acquires complex and complicated methodology/technology, needs fast information flow between different phases and close collaboration of multidiscipline as well. EPC projects are facing serious problems like crew idleness, rework and management dilemma which lead to cost overrun and schedule delay. Hence, this study aims to explore effective project management practices and problems faced in EPC projects especially on petrochemical and oil and gas EPC projects in Thailand, such that necessary proactive planning can be performed before to conduct such project effectively.
Methodology consists of three steps - pilot survey, interview approach and case study approach. Interview Approach (adjusted Grounded Theory Approach) is purposed to find out the significant delay and success factors together with effective management practices from various factors collected from literature review and pilot survey. Later, case study approach is used to validate the information gathered previously and to understand the relation and consequences of each factor in real situation. The respondent and interviewee were chief civil engineer, deputy chief engineer, director, project managers, construction manager, project engineers, process engineer, vice presidents, (Professional Experts) etc from 15 different EPC companies (9 Client companies and 6 Contractor companies).
The study reveals that major factors contributing to schedule delay and cost overrun are mostly related to material and equipment such as material shortage, procurement delay, or late delivery on site. Besides, delay in placing purchase order, design changes, lack of EPC contractor’s experience, late approvals, vendor information coming in late and further most due to the lack of coordination between Client, contractor and suppliers regarding exchange of information are other factors contributing cost overrun and schedule delay.
In addition, poor planning and controlling, lack of top management commitment, unrealistic project scheduling and poor coordination and communication are poor project management practices explored. However, subcontractor management and control mechanism, lesson learnt practice, involvement of construction and operational personnel during conceptual phase are success project management practice found. Furthermore, interface management and control, integrated team management, real time reaction, dispute management, risk management, stakeholder management, continuous and dynamic detail planning and monitoring during execution and being proactive to issues, carrots and sticks approach (incentive criteria), clear roles and responsibilities, etc are also the big concerns in terms of project management practice regarding controlling cost overrun and schedule delay.
The findings from this study can be helpful to EPC contractors, owners, investors, project managers, construction managers, engineers and other construction stakeholders to understand the major factors, causes and problems related to phase overlapping of EPC process. This will guide them in developing and adopting necessary effective and efficient project management practice to conduct EPC projects on cost, on schedule with good quality providing clients satisfaction and safety measures. This research can be viewed as a lesson learned approach.
Keywords: EPC Projects, Phase Overlap, Delay and Success Factors, Project Management Practice, Long Lead Items, Scope Changes, Lesson Learned
Saturday, 13 June 2009
“How does infrastructure relate to national development?”
Global infrastructure development clearly represents the world synchronization and globalization. Infrastructures play a major role to facilitate country’s logistic, communication and accesses to energy as an important part of national development.
Based on the IMD World Competitiveness Yearbook (2008) report, Thailand has climbed-up the global competitiveness ranking from thirty-third to twenty-seventh at the end of 2007. Thailand’s infrastructure ranking supported the fact that the development of infrastructure directly affect to national competitiveness and that the origin of each fast growing country is rooted from its well-managed infrastructure.
Mr. Kantanat Chaipermsak had just defended his case study on “Megaproject Development Relationships Among Stakeholders”. He concluded that infrastructures made their contributions to economic growth and poverty reduction. It is also vital to national development and affect to the national competitiveness. It has been proven that the mechanism of each fast growing country was running by the well-managed infrastructure since it supports country’s logistic, communication and accesses to energy.
This is his abstract.
ABSTRACT
Availability and efficiency of infrastructure contribute to economic growth and poverty reduction while the absence of adequate infrastructure services is one of the main problems that hinder the effort of development. In most developing countries, the demand of service infrastructures rising while existing infrastructures ranges of services are still far too scant. The problem might come from their readiness on such a big investment on infrastructure development. The potential megaproject development mechanism should be created in order to get people prepared and react firmly when the opportunity is coming. This research aims to find out how the megaproject development mechanism works.
The research has been conducted under the unique single-case study basis. The research began with factors identification in order to develop the megaproject development model. After the model has completed, Thai Landbridge megaproject has been selected to be analyzed. Data collection was performed by a data observing process in one of the Landbridge conceptual meeting. Data analysis has been conducted by using explanation building method in which all the observed information and important evidences have been revealed and explained.
Four key stakeholders’ activities have been analyzed. It was found that, most of the time, government and infrastructure investor always play key roles on the Landbridge project development mechanism while the business investors’ activities are mostly based on the key trade-related or commercial activities. By voluntarily involved in some part of the megaproject mechanism process, the communities had received their huge benefits as well.
Based on the IMD World Competitiveness Yearbook (2008) report, Thailand has climbed-up the global competitiveness ranking from thirty-third to twenty-seventh at the end of 2007. Thailand’s infrastructure ranking supported the fact that the development of infrastructure directly affect to national competitiveness and that the origin of each fast growing country is rooted from its well-managed infrastructure.
Mr. Kantanat Chaipermsak had just defended his case study on “Megaproject Development Relationships Among Stakeholders”. He concluded that infrastructures made their contributions to economic growth and poverty reduction. It is also vital to national development and affect to the national competitiveness. It has been proven that the mechanism of each fast growing country was running by the well-managed infrastructure since it supports country’s logistic, communication and accesses to energy.
This is his abstract.
ABSTRACT
Availability and efficiency of infrastructure contribute to economic growth and poverty reduction while the absence of adequate infrastructure services is one of the main problems that hinder the effort of development. In most developing countries, the demand of service infrastructures rising while existing infrastructures ranges of services are still far too scant. The problem might come from their readiness on such a big investment on infrastructure development. The potential megaproject development mechanism should be created in order to get people prepared and react firmly when the opportunity is coming. This research aims to find out how the megaproject development mechanism works.
The research has been conducted under the unique single-case study basis. The research began with factors identification in order to develop the megaproject development model. After the model has completed, Thai Landbridge megaproject has been selected to be analyzed. Data collection was performed by a data observing process in one of the Landbridge conceptual meeting. Data analysis has been conducted by using explanation building method in which all the observed information and important evidences have been revealed and explained.
Four key stakeholders’ activities have been analyzed. It was found that, most of the time, government and infrastructure investor always play key roles on the Landbridge project development mechanism while the business investors’ activities are mostly based on the key trade-related or commercial activities. By voluntarily involved in some part of the megaproject mechanism process, the communities had received their huge benefits as well.
Friday, 12 June 2009
How to Manage the Thailand’s Best Oil Refinery? Find out from Mr. Chalermchai Udomranu
Mr. Chalermchai Udomranu is a Vice President for Refining Project of the Bangchak Petroleum Public Company Limited in Thailand. He has more than 20 years experience in Bangchak’s oil refinery and accomplished a lot of projects.
To have knowledge of some techniques, around forty (40) students under the Professional Program Management program will be participating in his lecture in “Applied Project Management in Oil Refinery Project” which is scheduled from 24-26 July 2009 at Vung Tau City.
Mr. Chalermchai Udomranu’s Concise Background
Education
- Masters in Business Administration - Thammasat University, Bangkok (1993)
- Bachelor in Engineering (Electrical Engineering) - Chulalongkorn University, Bangkok (1982)
- Successfully enrolled in the following Refinery Improvement Projects,
- Plant 3 Restructuring Project
- Plant 2 Modification Project
- Gas Oil Hydrotreating Project
- Reformer Modification Project
- Sulfur Plant Project
Work Experience
- Vice President – Refining Project (Product Quality Improvement Project, PQIP) (2005-present)
- Senior Manager – Refining Project (2003-2004)
- Senior Manager – Technical Service Division (2002)
- Senior Manager – Maintenance Division (2001)
- Maintenance Division Manager (1997-2000)
- Engineering Division Manager (1994-1996)
- Electrical and Instrument Section Head (1993)
- Senior Project Engineer (1990-1992)
- Project Engineer (1985-1989)
To have knowledge of some techniques, around forty (40) students under the Professional Program Management program will be participating in his lecture in “Applied Project Management in Oil Refinery Project” which is scheduled from 24-26 July 2009 at Vung Tau City.
Mr. Chalermchai Udomranu’s Concise Background
Education
- Masters in Business Administration - Thammasat University, Bangkok (1993)
- Bachelor in Engineering (Electrical Engineering) - Chulalongkorn University, Bangkok (1982)
- Successfully enrolled in the following Refinery Improvement Projects,
- Plant 3 Restructuring Project
- Plant 2 Modification Project
- Gas Oil Hydrotreating Project
- Reformer Modification Project
- Sulfur Plant Project
Work Experience
- Vice President – Refining Project (Product Quality Improvement Project, PQIP) (2005-present)
- Senior Manager – Refining Project (2003-2004)
- Senior Manager – Technical Service Division (2002)
- Senior Manager – Maintenance Division (2001)
- Maintenance Division Manager (1997-2000)
- Engineering Division Manager (1994-1996)
- Electrical and Instrument Section Head (1993)
- Senior Project Engineer (1990-1992)
- Project Engineer (1985-1989)
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