Tuesday, December 11, 2012


Hai All. This week I am making internal audit for a firm under provision of "Construction Management Services in civil, Building & Infrastructure works". Great..The Quality Management System (QMS) Manual was nicely in place and fullfill all the ISO 9001:2008 requirements. Procedure and processes to achieve their goal all had been properly documented and followed. The question here is how do they can loose so much in a project !!!!!!. It cause millions.

It is no body fault. That is construction. After a light conversation with the owner, I realise Who is the culprit behind all the event that make them lost so much. Here is it.


Project planning( Click this to purchase at Amazon) had failed.
The project had been awarded, However they could not start the construction due to le land accusation problem.

The above issue was only resolve almost a year after the contract awarded. Cost increase.

Project Pricing.
Pricing was done and accepted however there is no clause allow for price fluctuation variation order. From tendering until start work, it take almost two years!!! market price for almost all construction material had increase and the worst part is it goes up above their pricing. It is not contractor fault. They had include such situation in their budget but they still get beaten.

Service provider.
Their main service provider had pull out from that project to avoid the losses. They pull out without making any profit. They make such a loss in form of had not been able to captured other opportunity to make money  from other project. They don't dare to take the opportunity due to the reason that the project they had committed to is a mega project to them. Hence they can't wait any longer and decide to give up the project.

The firm decision.
To continue with the project no matter what it takes. They cannot pull out because of legal implication on them. They will be blacklisted!!!!!....They had to proceed with a lost.

Minimising the Lost.(Click this link to purchase)
Actively look for ways to minimise losses. Negotiating Skills required...!!!!!

Moral of the story.
1. Step back If you are not prepared to continue.
2. planning is a way to maximize your profit and ability.( Click here to buy).


Related Article in this blog :
Top Secret of successful construction project.
Project planning guide
Tendering Guide
Quality Documentation filing
Tendering : Evaluate your financial capacity
Construction tender bidding procedure and processes
Big money in Construction Industry
Making Money in Construction
How to reduce the construction cost
Winning a tender
Important of project Planning
How to bid and win any tender
Construction Management

Thursday, December 6, 2012

Top secret of successful construction project.

Being a contractor is always about making money by delivering projects to client. The question is, do you have a proper tool to make your dream come true?

Here is the secret.  Successful contractor always have this four Alphabets in his mind.

" P-D-C-A" which is stand for , P=Plan, D=Do, C=Check and A=Action.


As a contractor, in actual fact, all of them is doing the same thing. However the missing link is, this PDCA is always not documented properly and been compile into a manual. it is OK if all this PDCA work can be done alone by the owner of the firm but how about is this task is given to their staff ? For experience staff they might already have the idea on how to do it but it always not the case for newbies.

In view of this situation I attach herewith the link on part of the PDCA process. This process I name it PROJECT MONITORING PROCESS. it come together with how to monitor a project and what are the form that required in order to properly documenting the progress of a project. feel free to take a look on the list below.

Project monitoring process
Investigation form
project status review

Monday, December 3, 2012


What is the purpose of Project Planning? In actual fact Project planning shall begin as early in the tendering process. The purpose of doing a planning is:


Contractor that comply to the purpose above, no doubt that he/she will gain profit. In other words " planning is a tool that will guide contractor through out the construction process and to avoid any losses in term of money. As such the important document that a contractor shall have with him for every construction he/she undertake is Project Quality Plan (PQP). In this document there is guidance for his staff on site to do their works efficiently.