GROUP 1 ● Management to be effective must
be systematic
The Structural Elements of an ● Management to be successful
Organization must be scientific
1. Men ● Management must be humanistic
2. Materials ● Management is an intangible force.
3. Machine ● Management is situational
4. Methods ● Management is a system of
5. Money authority.
The Major Elements of Organization Key Functions of Management
1. Distribution of Functions 1. Planning
2. Vertical and Horizontal authority 2. Organizing
relationship 3. Staffing
3. Communication and decision 4. Leading
process 5. Controlling
4. Policies
Types of Management Theories
Types of Organizational Structure 1. Scientific Management Theory
1. Functional Organization 2. Administrative Management
2. Line Organization Theory
3. Line and Staff Organization 3. Bureaucratic Management Theory
4. Committee Organization 4. Human Relations Theory
5. Systems Management Theory
Principles of Good Organization 6. Contingency Management Theory
1. Principle of Objective 7. Theory X and Theory Y (X & Y
2. Analysis. Theories)
3. Simplicity 8. Classical Management Theory
4. Functionalism 9. Modern Management Theory
5. Departmentalization 10.Quantitative Management Theory
6. Centralization of Authority and 11.Holistic Management Theory
Responsibility 12.Knowledge Worker Theory
7. Limited Span of Control
Factors Influencing Management
What is Management? Structures
● Management is a process 1. Size of the Organization
● Management is a function 2. Nature of the Business
4. Unit Price
Types of Management Structures Qualities of an Effective Manager:
1. Hierarchical (Tall) Structure 1. He studies, analyzes, and dissects
2. Functional Structure his job.
3. Divisional Structure 2. He knows how to delegate the
4. Matrix Structure administrative details of his job.
5. Flat Structure 3. He is willing to delegate to and
share with his subordinates the
4 main elements of a project credit of a job well
1. Scope of the project 4. He trains and develops his men to
2. Resources for the project prepare them to assume delegated
3. Time duration of the project work.
4. Cost and money 5. He knows how to control and plan
his time.
Project Management Phases 6. His institutes controls for effective
● Phase 1: Project initiation performance
● Phase 2: Project planning
● Phase 3: Project execution Executive Functions of Managers:
● Phase 4: Project monitoring 1. To Plan
● Phase 5: Project closure
Plans may be classified as:
Contract
● A contract is a legally binding 1) Objective of the enterprise
agreement between two or more 2) Policies
parties to exchange something of 3) Procedures
value. 4) Budget
● In construction, it is usually money 5) Programs
in exchange for construction
services to build a facility. A 2. To Organize
contract imposes both contractual 3. To Direct
an 4. To Control
Different Types of Contracts: Benefits of Effective Delegation
1. Lumpsump ● Improves efficiency by sharing
2. Cost Plus Fee workloads
3. Guaranteed Maximum Price
● Develops future leaders through Aside from Taylor, several notable figures
experience contributed to the growth of Scientific
● Strengthens communication and Management:
teamwork 1. Carl G. Barth
● Increases motivation and job – merged mathematics and
satisfaction machine tools to improve industrial
● Enhances decision-making and efficiency. ·
innovation 2. Henry L. Gantt
Shortage of Capable Leaders – introduced worker psychology,
the Gantt chart for scheduling, and
This shortage can be traced to: the concept of incentive plans.
1. Lack of incentive in supervisory 3. Stanford E. Thomson
positions. – worked with Taylor in applying
2. Ineffective recruitment of people scientific methods to industrial
with leadership potential. operations
3. Insufficient training of present and
potential supervisory personnel. Habits of Effective Engineers
1. Time management
Project managers must ensure – knowing where their time goes
effective coordination through: and managing it efficiently..
● Clear communication channels, 2. Focus on contribution
● Defined responsibilities, and – emphasizing results rather than
● Consistent leadership across effort.
teams. 3. Building on strengths
– improving what works instead of
Principles of Scientific Management fixing weaknesses.
Taylor’s theory was based on several key 4. Setting priorities
principles: – concentrating on key areas with
1. Division of labor and specialization the highest impact.
2. Unity of command and 5. Making effective decisions
centralization of decision-making – following logical steps and
3. One-way authority avoiding rushed judgments.
4. Narrow span of control
The Eight Foundations of Humanistic
Contributors and Development Management
1. Having a Good Staff
2. Establishing Clear Company employees to work together toward
Policies a meaningful future
3. Upholding an Ideal to be Striven
For
4. Choosing a Field of Business
Appropriate for the Time What is an Order?
5. Preventing Factions from Forming ● An order is a specific message
within the Company given by a leader to a follower with
6. Regarding the Company as a the intent of influencing the
Public Institution follower to take a desired action.
7. Following a Policy of Open Orders may be verbal or written.
Management
8. Working Towards a System of When to Use Verbal Orders
Management that Involves All 1. If the task/order is simple and clear
Employees 2. When privacy is important.
3. If the person receiving the order is
intelligent and reliable.
The Importance of Vision and Ideals 4. When a demonstration is involved.
Matsushita identified three essential
elements for any enterprise: Written orders
1. A Goal ● are critical tools for delivering
– The specific target or result the instructions that require accuracy,
company aims to achieve. This traceability, and formality. Unlike
provides a concrete focus for daily verbal orders, written instructions
activities and measurable serve as permanent records and
performance. help avoid misinterpretation,
2. An Ideal especially in complex or sensitive
– The moral and philosophical situations.
foundation that guides decisions. It
ensures that the company’s Forms of Orders
actions remain ethical and socially 1. A request
responsible. 2. A suggestion
3. A Vision 3. Asking for a volunteer
– The long-term picture of what the 4. A direct order
company wants to become. This
inspires both management and Request
● A request is an order expressed 2. Materials
politely or indirectly, asking 3. Machines
someone to do something willingly 4. Methods
rather than through command or 5. Money
authority
● “Can you please have the report Key Functions of Management
ready by 5 PM today?” 1. Panning
2. Organizing
Suggestion. 3. Staffing
● In organization and management, 4. Leading
you use a suggestion when giving 5. Controlling
an order if you want to guide or
influence employees politely while The key aspects of project
still allowing them to feel involved management.
and make their own decisions. 1. Defining project scope
2. Identifying deliverables
Knowledge Worker 3. Managing risks
● A knowledge worker is a person 4. Effective communication across
whose primary job involves teams
handling or using information and
ideas rather than performing II. TRUE OR FALSE
manual or routine physical tasks.
1. A knowledge worker is a person
C. Learning Activities/Exercises/Essay whose primary job involves
Questions/Assessment Questions performing manual or routine tasks
rather than performing manual or
I. ENUMERATION routine tasks. FALSE
2. Management to be effective must
Four (4) forms of an order be systematic. Things can be done
1. Request better by means of plan of inaction.
2. Suggestion FALSE
3. Ask for Volunteers 3. Contingency Theory states that
4. Direct Order/ Command there is no one-size-fits-all
approach. TRUE
The Structural Elements of an 4. Being a boss is the same as being
Organization. a leader. FALSE
1. Men
5. The autocratic style of leadership control and results. They rely on
is best used in emergencies or their position to demand respect
when quick action is needed. and compliance. In contrast, a
TRUE leader earns respect through
6. There is one perfect leadership example, guidance, and
style that fits all organizations. inspiration. Instead of
FALSE commanding, a leader motivates
7. Responsibility without authority others to give their best because
makes management ineffective. they feel valued and supported.
TRUE (Answer may vary.)
III. MATCHING TYPE 2. What does the statement “Be strict
with yourself, but gentle with
1. Cost Plus Fee others” mean for leadership?
- B. Reimbursed costs plus
profit A true leader understands that
2. Unit Price leadership begins with
- A. Paid per unit of self-discipline. Being strict with
material/work yourself means setting high
3. GMP (Guaranteed Max) standards for your own actions,
- D. Cost-based with a capped words, and decisions. A leader
total who is strict with himself earns
4. Lump Sum respect no
- C. Full cost agreed in advance,
risk on contractor
5. Leasing
- E. Contractor operates and
may maintain
IV. ESSAY
1. Explain the difference between
being a “boss” and being a
“leader.”
A boss gives orders and expects
obedience, often focusing on
GROUP 6 2. sub-agents and/or section
engineers; - are responsible for
contractor’s site organization managing specific portions or
● serves as the backbone of any sections of the construction works
construction project, ensuring that under the supervision of the agent.
resources, manpower, and 3. the plant manager; - is
activities are systematically responsible for overseeing all
managed to achieve efficiency and construction equipment and
quality outcomes. machinery used on-site, ensuring
that they are available, properly
employer and his engineer maintained, and operating
● play a supervisory and efficiently.
administrative role in the project. 4. the general foreman; - acts as the
The employer, as the project direct link between the site
owner, provides the necessary management team and the
resources and approves major workforce.
decisions, while the engineer 5. a quantity surveyor or
represents the employer in measurement engineer; - in
technical and contractual matters. charge of the financial and
contractual aspects of the project.
the resident engineer 6. the office manager - responsible
● serves as the employer’s for handling the administrative
representative on-site, overseeing functions of the construction site.
the daily progress of the project.
The resident engineer’s duties The Agent
include supervising construction ● The agent is responsible for
activities, checking for quality and directing the construction work on
accuracy, and ensuring that the site. He (or she) will have wide
contractor follows specifications powers to employ men, hire
and safety standards. machinery and equipment,
purchase materials, and employ
The key personnel employed by a civil subcontractors.
engineering contractor on a
construction site are usually: Site Field Personnel
1. the agent, who is in charge; - acts 1. Section engineers
as the overall representative of the - are responsible for surveying,
contractor in managing the project. setting out the site, and conducting
technical tests. At the start of a managing utilities such as
project, they handle site leveling electricity and telephone services.
and establish the main grid lines.
2. A site accountant,
2. The plant manager - often assisted by a pay clerk,
- holds a critical position on-site, as manages all cash transactions on
construction work can be delayed if the construction site, including
equipment is unavailable due to handling the local bank account
breakdowns or late delivery. In and ensuring that funds are
many developed countries, much available for daily operations. It is
of the construction plant is hired, crucial to employ experienced
and maintenance is usually the personnel for this role, as careful
responsibility of the supplier, handling of money is essential to
requiring constant coordination prevent errors or disputes.
between the plant manager and
hire firms. 3. The pay clerk,
- in particular, may be responsible
3. The general foreman for distributing pay packets to
- is an essential figure on many workers, a task that requires
construction projects, particularly diligence and discretion to avoid
those too large for one person to problems if a packet goes missing.
manage alone. Acting as the
agent’s right-hand man, the
general foreman ensures that work
progresses daily according to the Accounting Methods
project plan. ● In construction project
management, maintaining a
Site Office Personnel well-defined financial control
1. An office manager system is essential to ensure
- is required on all but the smallest accountability, transparency, and
construction sites. He is proper allocation of resources.
responsible for procuring Effective accounting is at the heart
miscellaneous job requirements, of successfully managing any
including consumables such as engineering or construction
picks, shovels, fuel protective business. This specialized field
clothing, small tools, fuel, and requires meticulous attention to
detail and an in-depth
understanding of the financial 1. Clause 5 – Clarification: Explains
dynamics of each project. ambiguities in the contract
documents, ensuring mutual
Internal hire rates understanding of technical details.
● A contractor typically maintains a 2. Clause 7 – Drawings and
stock of construction plant and Details: Issues further drawings or
equipment available for allocation details as construction progresses,
to various projects under the promoting accuracy and continuity.
company’s management. When 3. Clause 12 – Ground Conditions:
these items are deployed to a site, Assesses and determines actions
the respective job account at the required to overcome unforeseen
head office is charged with the cost conditions such as unstable soil or
of plant delivery along with daily or groundwater.
hourly rates, depending on 4. Clause 13 – Compliance:
whether the equipment is Ensures that works are executed in
operational or idle. accordance with specifications and
design.
Outside hire rates 5. Clause 14 – Method and
● In instances where the required Program Review: Verifies that the
equipment is unavailable from the contractor’s schedule and
contractor’s stock, the site agent construction methods meet safety,
must procure it from an external quality, and efficiency standards.
plant hire company. 6. Clause 36 and 38 – Material
Testing and Inspections: Verifies
Nominated subcontracts material quality and inspects
● subcontractors specifically critical works (e.g., foundations)
selected or approved by the before concealment.
Engineer for certain portions of the 7. Clause 44 and 48 – Completion
work and Time Extensions: Certifies
completion and determines
The Engineer’s duties are detailed reasonable extensions due to
under the ICE Conditions (7th legitimate delays.
Measurement Version) and include 8. Clause 51 and 52 – Variations
numerous clauses, some of which are and Valuations: Orders,
elaborated below: measures, and values variations
and additional works.
9. Clause 60 – Payment improved functioning. Instructions that
Certification: Reviews progress introduce entirely new or unrelated items
and certifies interim and final fall outside the engineer’s authority and
payments fairly. must be referred to the employer, who
10.Clause 66 – Dispute Decisions: must negotiate directly with the contractor
Issues determinations on disputes for such additions. The section
prior to arbitration or adjudication. emphasizes that unauthorized or
excessive use of variation powers can
The Project Manager’s key duties cause contractual complications,
include: highlighting the need for clear
communication between the engineer,
1. Clause 16: Giving early warning of employer, and contractor whenever
potential risks or changes. changes arise.
2. Clause 17: Resolving ambiguities
or inconsistencies in contract Section 4.3 highlights that under the
documents. FIDIC conditions, the engineer must
3. Clause 30: Certifying and deciding consult both the employer and the
when completion is achieved. contractor before making decisions that
4. Clause 31: Reviewing and affect their rights or obligations. Although
accepting the contractor’s program the engineer has broad powers to issue
for compliance. instructions and manage the contract,
5. Clause 34: Instructing suspension these 18 powers should be exercised only
of work when necessary. after fair consultation, giving both parties
6. Clause 35: Certifying takeover of the opportunity to present their views. This
the works. process ensures transparency, maintains
7. Clauses 50–51: Assessing and the engineer’s impartial role, and helps
certifying interim and final prevent disputes arising from unilateral
payments. decisions.
8. Clauses 60–65: Managing
compensation events, obtaining Section 10.2 describes the duties
quotations, and determining concerning the pre-tender stage: it
payments or time extensions. requires that a Planning Supervisor be
appointed, and that various
Section 17.3 explains that under the ICE preconstruction information is gathered.
conditions, the engineer may only instruct This includes identifying hazards (like
variations that are necessary for existing services, ground conditions),
completing the works or desirable for their ensuring design assumptions about safety
are made, and clarifying special or
unusual risks. Clause 12 claims - granting payment or
time extensions due to unforeseen
Section 10.3 describes the Health & physical conditions or artificial obstructions
Safety Plan required under the CDM
Regulations. It outlines how the plan is to VO means “Variation Order” where it is
be developed from pre-tender and carried an official instruction issued by the
through into the construction phase. It Engineer that tells the contractor the
covers items such as risk assessment, new/changed work and how the contractor
method statements, special hazards, will be paid for it.
coordination among parties on site,
emergency procedures, welfare/training. ➔ ICE - Institution of Civil Engineers
The Resident Engineer (RE), often ➔ CECA - Civil Engineering
referred to as the engineer’s Contractors Association
representative on site, serves as the
client’s technical authority and supervisor ➔ NEC Contracts - New Engineering
during construction. Positioned directly at Contract
the project site, the RE oversees daily
activities, ensures compliance with design ➔ ECC Contracts - Engineering and
specifications and safety standards, and Construction Contract
facilitates communication between
contractors, consultants, and the project ➔ FIDIC - Fédération Internationale
management team (Oregon Department of des Ingénieurs-Conseils
Transportation, 2023).
Clause 2(3) - Under the ICE conditions, Learning Activities/Exercises/Essay
the engineer is allowed to appoint an questions/Assessment
Engineer’s Representative on site, often
referred to as the resident engineer, I. IDENTIFICATION
whose role is to “observe and supervise
the construction and completion of the 1. What section explains that under
works” the ICE conditions, the engineer
may only instruct variations that
Clause 2(4) - The engineer may delegate are necessary for completing the
certain duties and powers to the resident works or desirable for their
engineer , except for those specifically improved functioning? Section
excluded. 17.3
7. What should the RE do with gifts
2. What section describes the duties from contractors? Politely decline
concerning the pre-tender stage: it
requires that a Planning Supervisor 8. Who assists the RE in site work?
be appointed, and that various Assistant engineers
preconstruction information is
gathered. This includes identifying 9. What type of meetings helps
hazards (like existing services, prevent costly disputes or delays in
ground conditions), ensuring projects? Early warning meetings
design assumptions about safety
are made, and clarifying special or 10.These typically include assistant
unusual risks. Section 10.2 engineers, inspectors, document
controllers, quantity surveyors,
3. It serves as an administrative safety officers, and lab/testing
system that ensures a company’s personnel who collectively ensure
work follows its established that workmanship, materials, and
standards. Quality Assurance processes comply with
specifications, that records are
4. A QA system can cover either a accurately maintained, and that
few or all aspects of a company’s problems are detected and
operations. To confirm that it corrected before they escalate.
functions as intended, what is The RE’s staff
required? Auditing
11.Under which clause of the ICE
5. On-site implementation of QA can Conditions of Contract must the
also be challenging, as most specific powers delegated to the
instructions are given verbally, Resident Engineer be set out in
inspections are visual, and a large writing and communicated both to
portion of the work is ___. him and to the contractor? Clause
Subcontracted or handled by 2(4)
temporary labor.
12.Who is referred to as the
6. Who is responsible for identifying engineer’s representative on site
and correcting poor workmanship responsible for overseeing daily
on a construction site? The construction activities and ensuring
Resident Engineer (RE) compliance with project standards?
The Resident Engineer (RE)
The engineer is notified of what
13.What document governs the work is subcontracted.
appointment and powers of the
Resident Engineer? ICE 19.Second required conditions for a
Conditions contractor to be able to
sub-contract any part of a project.
14.Under which conditions are there The engineer is notified of the
no restrictions on powers name of the subcontractor
delegated to the Resident appointed.
Engineer? FIDIC Conditions
20.Examples of expenses that are
15.What clause ensures timely using budget from an opened local
delivery of drawings and bank account of an agent. Fuel
approvals; delays may lead to Allowance/Wages/ Delivery Fees
contractor claims? Clause 7(4)
21.Often assisted by a pay clerk,
16.A form of hire rate that happens manages all cash transactions on
when a contractor does not have a site and oversees the local bank
plant on hand making him loan the account to ensure funds are
exact construction plant from available for daily operations. Site
another company or contractor. accountant
External Hire rate
22.Essential on nearly all construction
17.It is the introduction of adjudication sites, except the smallest. Office
under that act to deal with disputes Manager
has at least allowed
sub-contractors to press their 23.In charge of the financial and
claims to an earlier conclusion, and contractual aspects of the project.
to challenge any withholding of Quantity Surveyor
payment by the contractor. Part II
of the UK Government’s 24.Acts as the overall representative
Housing Grants, Construction of the contractor in managing the
and Regeneration Act 1996 project. Agent
18.First required conditions for a 25.Acts as the direct link between the
contractor to be able to site management team and the
sub-contract any part of a project. workforce. Foreman
26.What is ICE stands for? 2. What should the RE do if the
Institution of Civil Engineers contractor refuses to do a variation
unless there’s a signed Variation
27.What is ECC stands for? Order (VO)?
Engineering and Construction
Contract The RE should calmly explain that
the contractor still has to follow the
28.What is FIDIC stands for? instruction as required by the
Fédération Internationale des contract. The RE can also clarify
Ingénieurs-Conseils how payment will be handled,
whether using the existing rates or
29.What clause is the testing or new ones if necessary. Later on,
witnessing tests on materials either the Engineer will issue the official
during manufacture or on the site. Variation Order to confirm the
Clause 36 change and payment details. This
way, the work continues without
30.Internationally known as the most delay and the contractor is assured
recognized standard? FIDIC of fair payment.
II. ESSAY 3. How can a Confirmation of Verbal
Instruction (CVI) cause problems if
1. Why does the Resident Engineer the RE doesn’t handle it properly?
(RE) need to give written
instructions instead of just verbal A CVI can become an official
ones? instruction if the Engineer does not
Written instructions help avoid reject it immediately. If the RE is
confusion and misunderstandings not careful, the contractor might
later on. In construction, people later use it to claim extra payment
might forget details or interpret or additional time. To avoid this,
things differently, so having the RE should always check what
everything in writing makes sure is written in the CVI, keep clear
everyone clearly understands what and accurate records, and inform
to do. It also serves as proof of the Engineer right away if there is
what was agreed and protects both any mistake or misunderstanding.
the RE and the contractor if issues
or disagreements happen later.
4. What are the main safety the agent. By being firm but
responsibilities of the Resident understanding, the RE earns
Engineer (RE) on the construction respect and keeps the project
site? running smoothly with good
cooperation.
The RE acts as the Engineer’s
Safety Manager on site. This
means making sure everyone,
including the RE’s team and
visitors, follows the safety rules.
The RE should also work 43
closely with the contractor on
safety matters and deal with safety
violations properly. The RE should
first talk to the contractor to fix the
issue, then send a written notice if
needed, and only stop work if it is
still not resolved. Handling safety
issues calmly helps maintain a
safe and cooperative working
environment.
5. How can the Resident Engineer
(RE) maintain a good working
relationship with the contractor’s
agent?
The RE should show fairness,
respect, and professionalism.
Being clear with instructions,
organized, and quick to respond
helps build trust with the
contractor’s agent. The RE should
avoid interfering with the
contractor’s work and should not
contact subcontractors directly. All
communication should go through