Section 1 Flashcards
Critical path method (CPM)
The method of project scheduling that graphically shows dependent, interconnected, and related activities or tasks, including the critical sequence of tasks, called the critical path, that must take place on schedule if the overall project is to stay on schedule.
Budgeted cost of work scheduled (BCWS)
The estimated or planned cost to complete a particular task. Can be expressed as dollars or hours.
Budgeted cost of work performed (BCWP)
The amount of the estimated budget earned based on comparing the task work actually completed to the estimated budget for the task.
Actual cost of work performed (ACWP)
The amount of money or hours spent performing the task.
Design to Cost (DTC)
A method of design in which the initial task sets an appropriate cost target. All subsequent planning, preliminary design, and final design activities and solutions are monitored and tested for conformance with the initial cost target.
Finish-to-Finish (FF)
Two (or more) tasks are interrelated and scheduled to finish at the same time.
Finish-to-Start (FS)
Two (or more) tasks are interrelated and one must finish before the other is scheduled to start.
Guaranteed Maximum Price (GMP)
A type of contract with which the design firm invoices on a cost basis up to a stipulated maximum dollar amount that cannot be exceeded.
Lump sum (LS)
A type of contract with which the design fee is a specific fixed amount that the design firm receives for its services regardless of how much money it actually spends to provide the services.
Management by Objective (MbO)
Method by which projects are managed by objectives rather than by activities or tasks. A set of manageable project objectives are defined. Project progress is then measured by performance toward achieving these objectives rather than by the performance of activities or tasks. Completed work is analyzed and necessary adjustments to future work are made to achieve the stated objectives. The MbO method was first outlined by Peter Drucker in his 1954 book % Practice of Management.
Other Direct Costs (ODCs)
A term used in project accounting that refers to miscellaneous costs other than those related to direct labor. In general, ODCs include postage costs, messenger services, printing, photo development, etc.
Program Evaluation & Review Technique (PERT)
A work diagramming system that uses statistics to determine the probabilities of task durations.
Project Manager (PM)
The person who leads the project team. The PM has six main activities: 1. defining the project scope of work, 2. planning the design work, 3. directing the design work, 4. coordinating the work with the client and the design team, 5. monitoring the work progress, 6. and learning from project outcomes to improve performance on the next project.
Project Management Body of Knowledge (PMBOK)
The Project Management Institute’s guidebook. PMBOK is a recognized ANSI standard.
Project Management Institute (PMI)
An international organization devoted to the standardization and dissemination of project management knowledge and techniques worldwide and across industry lines.
Quality Assurance / Quality Control (QA/QC)
Quality assurance involves developing a quality-control plan by which all the “right things” are done throughout the project to achieve a project management process that produces a design and deliverables of high quality. Quality control is the use of a standardized system of checking procedures to ensure that deliverables are as accurate as practically possible.
Start-to-Finish (SF)
Two (or more) tasks are interrelated so that one task finishes when the other is scheduled to start.
Salary-related expenses (SREs)
The additional labor costs associated with the employees’ salaries such as Social Security, vacation, sick leave, employee benefits such as health insurance, etc.
Start-to-Start (SS)
Two (or more) tasks are interrelated so that the tasks are scheduled to start at the same time.
Time + Materials (T + M)
A type of contract with which the design firm is paid for its labor (time) costs and its other direct costs (materials). T&M contracts do not have maximum dollar amounts.
Total Quality Management (TQM)
Involves managing the quality of all aspects of a project including the design, the design process, and the management of the design process. With TQM, a firm’s upper management leads by example and assumes that employees will naturally do a good job if properly trained, given the correct tools, and provided with the right overall work environment.
Work Breakdown Structure (WBS)
A review and analysis of the design of an architectural, engineering, or planning project by a third-party team of experts with the mission of improving the design’s performance, reliability, quality, safety, and lifecycle costs.
Will include the following characteristics: developed iteratively and is hierarchical; no more or less detail than is needed; tasks are defined by object, duration, and level of effort
6 Project Management Goals (Ramroth)
Goal 1 - Reach the end;
Goal 2 - Reach the end on budget
Goal 3 - Reach the end on time
Goal 4 - Reach the end safely
Goal 5 - Reach the end (as close to) error-free (as possible)
Goal 6 - Reach the end meeting everyone’s expectations
6 Fundamental Activities of Project Management (Ramroth)
DEFINING the design project’s scope of work, budget, and schedule / determine project objectives
PLANNING work effort so that project objectives, budget, and schedule will be met
DIRECTION the design team so that objectives will be met while staying within budget and schedule
COORDINATING the efforts of the design team so that interdisciplinary information flows smoothly and at the right time
MONITORING the design team’s work production and profess against project objectives, budget, and schedule
LEARNING from the project - what went right and what went wrong
6 Objectives of the Project Work Plan (Ramroth)
Definition of the project objectives
Identification of the project team
Breakdown of the project into task budgets
Development of the project schedule
Establishment of the project quality control program
Identification of other project-specific procedures and standards
A Task’s 3 Subdivisions
An objective
A duration
A level of effort
Acts of God
Events causing a project delay that are not caused by the owner or the contractor. Such delays often result in adjustments to the contract duration but not to the contract amount.
Actual Acceleration
An increase in the pace of construction as a result of a specific directive from the owner
Addenda
Formal changes or clarifications issued to all identified bidders by the owner or the owner’s representative during the bidding period.
Additional Work
Construction work that was not recognized at the contract award but that must be performed in order to deliver a project as planned.
Adverse Weather
Weather conditions not anticipated in a particular location for a particular time of the year that impede construction progress.
Advertisement
A public announcement to solicit bids for a construction project.
Agency Agreement
An arrangement between a principal and an agent by which the agent agrees to perform certain tasks for the principal. The principal is bound by the actions of the agent.
Agent
A party who acts for another party and binds that party by those acts.
Alternates
An itemization of selected items of work for which bidders are asked to provide prices that will add to or subtract from the base bid. These prices items will give the owner greater flexibility in choosing items to add to or delete from the contract.
Alternative Dispute Resolution Technique (ADR)
A means used for settling conflicts by means of an alternative procedure to formal litigation.
Arbitration
A well-established alternative to litigation in which the conflict is resolved by an impartial third party or an impartial panel of selected individuals.
As-Built Drawings (aka As-Builts)
Project drawings that show all data concerning the actual in-place locations of all construction items, including any items that differ from what was shown in the original drawings.
Balanced bid
A unit price bid that accurately reflects the actual anticipated price of each item of work to be performed.
Bid Bond
A surety instrument that guarantees to the owner that the bearer, if awarded the contract, will enter into a binding contract and provide all required bonds.
Bid Peddling
The effort by a bidder, usually a subcontractor, on a project to determine the relative standing of a quoted bid. If the bid is not the lowest bid, the bidder may reassess the amount originally quoted and submit a lower bid before the deadline for bid submittal.
Bilateral Contract
An agreement made through the mutual promises of the contracting parties.
Board of Directors
An elected group of individuals who are assigned the responsibility of managing a corporation. They act as agents for the stockholders and are accountable to them.
Boilerplate
The general conditions that outline the roles of the parties to a construction agreement and provide guidance concerning procedures to follow under varying circumstances.
Bonding Capacity
The maximum amount of uncompleted construction work that a contractor can have under contract, above which no bonds will be provided
Brokerage
A situation in which the general contractor subcontracts all the work on a project.
Builder’s Risk Insurance
Construction insurance that provides coverage specifically for a project that is under construction. Although this is normally considered to be fire insurance other types of losses are also generally covered.
Calendar Days
The time unit that may be used to define the duration of construction.
Cardinal Change
A change order that is of such magnitude that the original scope of the project is altered to an extent that constitutes a new contract.
Caveat Emptor (let the buyer beware)
A defense, no longer valid, in which it is assumed that a product must be accepted with whatever flaws exist at the time of purchase.
Certificate of Insurance
A written document that serves as evidence that a particular insurance policy is in force
Change Order
A directive, usually authorized in writing by the owner, to alter or modify some aspect of a project. Such a directive is generally accompanied by an adjustment to the contract amount and / or the contract duration.
Closed Specification
A specification that is expressly restrictive in stating that only one or two products will satisfy the quality requirements, or is implied when performance is so narrowly prescribed that only one or two products will satisfy the requirement.
Code of Ethics
The written standards of behavior adopted by a profession
Completion date
The time of construction; stated not in terms of a specified duration, but as a specified date by which construction must be complete.
Compliance Officer
The title of OSHA employees who are responsible for enforcing OSHA regulations through site inspections
Complimentary Bid
A bid that is not prepared in earnest, but is presented to appear to be a serious bid. Such bids are usually generated through collaborative efforts with another bidder who does submit a serious bid.
Condemnation
The exercise of eminent domain to seize private property.
Consideration
An essential ingredient of a contract that implies something of value, commonly a stated sum of money.
Construction Schedule
A detailed network analysis or bar chart of a construction project showing the sequence and duration of activities required to construct a project
Constructive Acceleration
An increase in the pace of construction that is not a result of a directive but is done by inference. Denial of a legitimate request for a time extension, such as for an excusable delay or a change order, would be an example.
Constructor
The party, also called the prime or general contractor, who has primary responsibility for the construction of a project.
Contractor-Caused Delays
Construction delays caused by or under the control of the contractor. No contract adjustments are associated with such delays
Contributory Negligence
Careless acts of an injured person that accompany the careless acts or physical conditions under the control of a second party
Cost-Plus Contract
A contract in which the contractor is reimbursed for specified incurred costs, with an additional allowance provided for overhead and profit
Counteroffer
The rejection of an offer followed by another proposal. This proposal forms a new offer. A counteroffer by a party changes the roles of the negotiating parties
Critical Activity
An activity in a construction schedule that must be completed in the time allotted for its completion or the project duration will be increased
Dedication
Public permission granted by the owner of property for the public to use a given parcel of land for a specified use. This use cannot be denied as long as consistent use is made as specified
Design-build method
An arrangement by which the owner lets a single contract for both the design and the construction of a project; also known as design-construct or turnkey construction
Designer
The party responsible for translation the concept of a project to a document that can be used as a guide for its construction
Design Specifications
‘How to’ specifications that state exactly what the contractor is to do in order to satisfy a quality requirement
Differing Site Conditions
Physical conditions on a site that differ from what was shown in the bidding documents or from what would reasonably be expected
Disputes Review Board
A panel of experts selected on a project to render decisions on disputes brought to it for consideration
Dividends
Monetary return made by insurance companies to clients who have kept losses to an acceptably low level. Also, profits of corporations shared with stockholders.
Dual Gates
Two entrances established on a construction project where both union and nonunion workers will be employed. One entrance will be established as the ‘union workers only’ entrance and the other entrance can be used by any worker. A nonunion worker passing through a union gate will result in ‘contamination’ of the gate and can result in a labor dispute
Easement
A restricted use of private land granted to another party. The restricted use may be in the form of the right cross to a parcel of land to gain access to another; the right to install, maintain, and monitor a gas line and so forth
