building works project management process

7/30/2019 Building Works Project Management Process

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Building Works Project Management Process

Introduction

This document is intended to provide general information about the way that Asset Management Services (AMS) delivers capital works

projects, which is generally by means of a traditional Head Contract method. Throughout this document reference is made to differenttypes of cost estimate. These are explained in a section called Standard Capital Works Project Cost Definitions.

A project manager(PM) will appointed by the Manager, Capital Planning & Management (CP&M) when funding has been approved for aproject. The funding source would usually be the Capital Management Plan (CMP) but in some instances funding may be provided from

another source. At this stage the level of funding will usually have been based on an Indicative Cost, which will have an order of accuracy

of 30%.

A project sponsor(PS) will also be identified. The PS has an oversighting role and should be available to help resolve any problems that

might arise.

The University will appoint a cost consultant who will be an integral team member and will provide cost estimates at appropriate stages

of the project. If the cost rises above the approved budget a Hold Point is triggered. The Project Manager will be expected to reduce

the cost or advise the Project Sponsor and agree on the next course of action. A project cannot progress beyond a Hold Point if it does

not conform to budget expectations.

The project budget/cost will comprise all costs likely to be included within any contract and other project related costs that will be

external to the contract. These later costs will include all fees, any decanting or relocation costs (including storage or leasing costs) and fit-outs provided by University sections, usually ITR or AMS, Where a major refurbishment of existing space is proposed it might be necessary

to include an allowance to redress existing statutory problems or to meet current statutory requirements. In some instances this could

include the provision of infrastructure such as disability access or additional car-parking.

A PUG (Project User Group) will be established for all projects. Membership will vary but should include staff from the intended users

of the space and other relevant University Staff. The PWP (ProjectWorking Party) will comprise user representatives with a detailed

knowledge of the project requirements. Members may be part of the PUG but need not be. A TWP (Technical Working Party) willinclude representatives from relevant technical areas within AMS such as, Parking, Security, Infrastructure Services, Facilities Management,

Grounds., representatives from other University sections such as ITR and OH&S and could include technical staff from a faculty or school if

appropriate, for example if a laboratory was included in the project.

The project management system divides a project into three phases which are further split into a number of stages.

FEASIBILITY PHASE

This covers the first phase of a project where initial investigations may identify a number of options for consideration. The University will

then decide which option to pursue. The Feasibility Phase includes the following stages; Project Scoping & Programming, Consultant

Selection and Identification of Options and will require the PUG and PM to develop a Functional Brief for the project, which will form the

basis for the Consultant Commissioning Brief.

PROCUREMENT PHASE

This covers the following stages; Schematic Design Development, Detailed Design, Tendering and Construction.

POST CONSTRUCTION PHASE

During this phase the building will be occupied and any defects will be resolved. During the period there should be a Post Occupancy

Evaluation (possibly at six months) to review the project delivery. There should also be an engineering services review to establish if thebuilding is operating as planned.


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FEASIBILITY PHASE

The length of time required to complete this phase will vary according to the complexity and size of the project but it would normally be

not less than three months and could be up to six months.

1. Project Scoping and Programming StageThe goal is to translate the identified needs and initiatives into a Functional Brief to be used to select a Principal Consultant. The PUG and

the TWP will provide the information required by the Project Manager based on known plans, needs, building and site conditions etc.During this process extensive use is made of relevant standards and benchmark documents including the TEFMA Benchmarks, UTASDesign Guidelines, Australian Standards, Building Code of Australia etc. If site selection is to be determined during the Feasibility Study the

relevant Campus Master Plan will be one of the reference documents.

Outputs Functional Brief to form the basis of the Consultants Commissioning Brief

Identified method for selecting consultant(s)

Brief Stage Cost

TASK Minimum Activity

A Inform relevant University staff that the project is

proposed and identify any existing service,infrastructure or maintenance issues to consider

Circulate an Internal AMS request for information to ITR, CIWP

(Compliance Issues Working Party), OH&S staff, AMS

Infrastructure Services Unit, AMS Facilities Management Unit andother relevant staff identified on a project by project basis.

B Identify actual space requirements. Establish PUG & PWG to provide details of activities to be

undertaken, anticipated staff/student numbers, details of any

equipment that may have special technical requirements. Alsoidentify any Australian Standards or other requirements to be

met, for example OGTR or AQIS. Requirements.

Identify any specific programming requirements.

PM to work with PUG to document project specific expectations

of consultant team (if necessary).

C Identify technical requirements including site services,

ESD (Environmentally Sustainable Design),infrastructure, etc.

Establish TWG, review responses to Internal Request for

Information and identify relevant services, infrastructure,

maintenance or other issues that need to be addressed as part ofthe project.

Identify any technical requirements that are specific to the project,

for example a need for acoustic treatments in some areas, special

needs of laboratory equipment.

Document project specific expectations of consultant team (if

necessary).

D Prepare Functional Brief and Commissioning Brief Include identified spatial and technical requirements.

Clearly identify selection criteria and/or basis of selection.

Identify contract to be used and include information relating tofees and insurance levels required.

E Determine how to select consultant. Options include an open tender, a request for Expressions of

Interest (EOI) followed by a select tender, or a select tender usingknown consultants.

Document reasons for selecting method to be used.

F Obtain Brief Stage Cost Cost consultant to review project requirements identified to date.


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2. Consultant Selection Stage

The goal is to select and appoint the Principal Consultant in accordance with existing UTAS tendering processes.

Outputs Signed Contract(s)

TASK Minimum ActivityA Seek Expressions of Interest or Fee Proposals for

assessment.

Open process Place advertisements in the press.

Select process Approach selected tenders in writing.

B Establish an assessment panel (Tender Board) Panel members need to have a clear understanding of the project,

the assessment process to be used and the Universitys

expectations with respect to the management of potential

Conflicts of Interest. The PM is responsible for providingrelevant information and documents.

C Assessment Process In accordance with existing UTAS processes. PM to act as Chairof Board and fully document reasons for selection.

Where it is necessary to follow up on a proposal or to negotiate

with the lowest tenderer this will be undertaken by the PM and

documented.

D Preparation of Contract for signature. Managed by the PM in accordance with existing procedures


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3. Identification of Options Stage

The goal is to identify and cost option(s) to achieve the project requirement. Consultants are expected to test and

put forward a range of options for University consideration.

Outputs Draft Room Data Sheets

Detailed feasibility report, including relevant infrastructure and services sections.

Budget Estimate or Outline Proposal Cost. This will be a Hold Point as the University approval

processes depends on the value of the project and takes time to be worked through.

Preliminary Risk register

Approvals The BEC needs to be consulted during this Stage

For the project to proceed beyond the Feasibility Phase approvals will be required from the Finance

Committee and Council on the recommendation of the Planning and Resources Committee (P&RC).


A Principal Consultant (PC) to provide project timetable Needs to take account of planned CMPRC meeting dates to

provide sufficient time for the study to be undertaken and for the

report to be considered prior to a meeting of the CMPRC.

Needs to allow for consideration and input by the BuiltEnvironment Committee (BEC).

B PUG to identify any changes to work practices,

organisation etc that are to be implemented by thepotential occupants in association with the project

and a method for addressing them.

Examples include: a desire to move to open plan or shared

accommodation or a decision to alter work flows or the way anactivity is undertaken.

The PUG must actively manage this and all affected

section staff must be involved. Failure to successfully manage

this may result in major problems for the project later.

C Confirm and if necessary expand information

provided in the Commissioning Brief relating to

services, spatial expectations etc.

PUGs, PWGs, TWGs to meet with Principal Consultant and

services consultants on a regular basis. All meetings to be

minuted.

The Principal Consultant will establish a Risk Register to identifypossible project risks.

D Architect to identify possible concept options Prepare report detailing preferred option(s).

Maintain regular contact with Cost Consultant.

Refer to BEC for comment at appropriate time.

E Preparation of services reports for possible option(s). Services consultants to undertake necessary investigations andreviews, including building services, site services, ESD

requirements, traffic investigations, geotechnical investigations ifrequired.

Hold discussions with relevant University staff on an as required

basis AMS, ITR, OH&S, DAWP, users

F Preferred option(s) identified and forwarded toUniversity to consider.

Cost consultant to prepare Budget Estimate or Outline ProposalCost for preferred option(s)

PUG to confirm support for preferred option(s)

Report and preliminary Risk Register (if appropriate) forwarded to

CMPRC or project sponsor to endorse.

G Project approved by UTAS For CMP funded projects P&RC and Finance Committeeagreement required prior to Council approval.


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PROCUREMENT PHASE

4 Schematic Design StageThe goal of this stage is to develop a clearly defined design with a comprehensive scope, budget and programme.

Depending on the complexity of the project this stage would not be less than three months in duration but could take

considerably longer.

Outputs Confirmed Room Data Sheets

Schematic level drawings (sketch plans)

Reports detailing the results of any service or infrastructure investigations.

Preliminary ESD Report

Preliminary Engineering Services Design BriefUpdated Risk Register.

Sketch Design Cost

Approvals During this stage it will be necessary to provide advice to the BEC on such matters as final location

and external appearance of new buildings.

Regularly update Finance committee on possible cost and actual expenditure.


A Review and confirm data sheets for agreed option,

including draft room data sheets and services orequipment data sheets if necessary.

Consultants to meet with PUG, PWP, TWP and other UTAS staff

as required.

B Ensure that any proposed organisational or work flow

changes are being addressed by the Faculty/School/Division or Section.

Affected staff must be given the opportunity to participate in the

process. Where a final decision is taken the relevant Dean /Director/ Head of School or Unit Head must be apprised of the

consequences to the project if there are subsequent delays orlater disagreements.

C Confirm spatial relationships within the building. Set

environmental, ESD and other considerations.

Undertake initial materials investigations. Preparefloor plans and elevations for comment.

Services engineers to undertake detailed investigations to produce

necessary reports. For example, Fire Services, Access, Traffic

Geotechnical survey etc. This may include a condition audit onexisting building.

Services engineers to develop the preliminary design brief inliaison with TWP and other UTAS staff.

Cost consultant to build up Sketch Design Cost Plan concurrently.

Continue to build up Risk Register.

D Prepare Planning/Development application, if

required.

Liaise with relevant planning authority.

E Acceptance of Schematic design, preliminary

Engineering Services Brief

PUG to formally Sign-Off on proposed layout. After this point the

PUG will not normally be able to request changes to the project,

In the event of a really unexpected requirement the user may berequired to meet the additional cost.

AMS staff and TWP to review Engineering Services brief and

identify any areas where changes or additional information isrequired.

F Review Sketch Design Cost Plan. A Hold Point will be triggered if the cost plan exceeds the

previously agreed Budget Estimate or Outline Proposal Cost,otherwise proceed to Detailed Design.


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5 Detailed Design Stage.The goal is to develop the sketch design into working drawings and specifications suitable for construction purposes. During this stage the

cost consultant will be expected to review the project and cost plan on a regular basis and provide advice if the cost appears to be

increasing. It should be possible to complete this stage within three to four months.

Output ESD brief

Engineering services briefCompleted tender documentation.Tender Document Cost (Pre-tender cost)

Total Project Cost

Approvals Relevant technical staff (AMS, ITR, OH&S, Student Disability, School or Faculty) to sign off detailed

design plans.

PUG to review and sign-off detailed design plans.

UTAS issued Approval to Call Tenders


A Finalise architectural design, including floor plans,

elevations, furniture layouts, joinery details, finishes

and colour schemes.If necessary prepare demolition schedule and identify

any UTAS assets to be removed, disposed of orrelocated.

PUG, PWP, TWG to review layout and confirm compliance with

data sheets. Principle Consultant to ensure compliance with UTAS

Design Guidelines and any Statutory Requirements.Cost consultant to review proposals.

Confirm any activities or cost items that are not to be included in

the contract but may be included in the final UTAS budget. forexample decanting or relocation costs (including storage, leasing

costs ect), consultant fees etc.,

B Final ESD brief to be submitted for acceptance. Where appropriate this should include a project specific

environmental management plan that addresses issues such as

noise emissions, waste management, dangerous goods, green

house gas emissions etc.

Cost consultant to review proposals.

C Services engineers to prepare a services design brieffor sign off.

The brief to include necessary calculations and details of

Commissioning requirements and proposed training plans.

Provision for appropriate verifications during Post Occupancy

Evaluation.Where specialised equipment is to be accommodated PUG or

PWP to review services proposed. Cost consultant to reviewproposals.

D Risk Register to be finalised. Project manager to review and advise of any specific risks that

may need to be addressed.

E Review of documentation at 50% and 90% completestage.

PUG to review from space use, room layout perspective.

Services to be reviewed by TWP and AMS staff. PUG involved

with services if specialised equipment is included.

Cost consultant to attend reviews.

F Principal Consultant to prepare tender

documentation in accordance with UTASrequirements. Method of Tendering to be agreed.

Project Manager to ensure that consultants have access torelevant information at the appropriate time.

Project Manager and Principal Consultant to consider open tender

or a variation of select tender. Document reasons for eventualdecision.

G Review of Tender Documents, including TenderDocument Cost (Pre-tender cost).

Hold point is triggered if Total Project Cost exceedsapproved budget.

Principal Consultant to confirm that the documentation complies

with all relevant statutory requirements and the UTAS DesignGuideline or highlight area of non-compliance.

Review tender Document Cost and other costs that may be

external to the proposed contract. Compare with approvedbudget.

H Proceed to call tenders The University will issue written approval to call tenders when allproject requirements have been met.


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6 Tender stage

The goal is to obtain competitive prices for the project through standard tendering processes. The Principal Consultant

will manage the process, including responding to Requests for Information and the issue of any addendas. Depending

on the project there may also be a nominate AMS contact person. Tenders will be received in the AMS Tender Box and

opened in accordance with existing UTAS policy and procedures. It will take a minimum of three weeks from the time

tenders are called for a decision on the successful tender to be made. This could be longer if tenders exceed costexpectations.

Output Acceptable Tender Price

Signed contract for the work to proceed.

Approval Depending on value, contracts will usually be signed by the Vice Chancellor or Executive Director

Finance and Administration.


A Establish a Tender Opening Board The Project Manager will do this in accordance with existing

UTAS policy. All members of the Board to be provided with

appropriate information, including method for selecting a tender.

All members to be provided with a copy of the Conflict of

Interest Statement to be signed during the opening.B Open Tenders Project Manager to collect Tenders as soon as possible after

tender period closes.

Tenders to be opened in accordance with existing UTAS policy.

If the tenders are within budget, the Principal Consultant willconfirm the price with the preferred tenderer.

If the tenders exceed Tender Price the options are to negotiate a

reduction in cost or scope with the lowest tenderer. If these are

not acceptable / possible the Project Sponsor should be advisedthat options are to ask the Finance Committee to increase the

budget, or recommend that the University defer/cancel the

project.

C Prepare contract documentation and Purchase Order In accordance with existing policy.


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7 Construction Stage

The goal is to safely deliver the project in accordance with the approved documentation and within budget. The PUGand PWPs will have little, if any input, during the construction but will be invited to participate in Practical Completion

and Project Handover activities. The time taken to complete the project will depend on the size and complexity.

Output New or refurbished space Assets FormsDefects List As Constructed documentation.

Building Act Compliance Manuals for equipment

Certificate of Occupancy Training for staff

Practical Completion Certificate Financial SummaryBuilding Operations Group

Approval Local AuthorityTasmanian Fire Service

Other Statutory Bodies if required, for example AQIS or OGTR


A Contractor to be inducted and site to be handed over

for work to commence.

Contractor to obtain all necessary Building and Plumbing permits

Project Manager to issue internal Start Work Notice to affected

building occupants..Project Manager, Principal Consultant and Contractor to establish

Site Meeting schedule and individual responsibilities for minuting

meetings, dealing with variation, progress payments and other

project correspondence.

Variations approved by the Project Manager prior to the issuing of

notices to the contractor. Variations will be reviewed withreference to the Risk Register.

Progress claims to be Certified by the Cost Consultant prior tosubmission to the University for payment.

B Contractor to proceed with work to end of

construction.

C Towards end of contract, contractor to undertake

testing and commissioning of plant and equipment.

Relevant University staff, including user representatives if

appropriate, to be provided with the opportunity to attend

commissioning and all relevant staff to be provided with trainingprior to the issuing of Practical Completion.

D Provision of As Constructed and Compliance

documentation.

All equipment, switches and controls are to be labelled in

accordance with the UTAS Design Guidelines.

All Certificates of Compliance and certifications and requirementsunder the BCA to be provided/confirmed with AMS.

As Constructed documentation, including Operation and

Maintenance Manuals, to be provided in accordance with AMSrequirements.

E Preliminary Defects List compiled and dealt with bycontractor.

AMS staff and appropriate users to be involved in the inspection(s)and compilation of the list(s)

F Certificate of Occupancy to be provided. Issued by the Local Authority.

G Practical Completion Meeting to be held Attended by Project Manager, AMS staff, user representatives.

Any remaining Defects to be listed.Keys to be handed over to AMS.

Certificate of Practical Completion to be issued.

H Establish Building Operations Group To be made up of relevant building users able to resolve any

operating problems/issues that might arise.

H Cost Consultant to provide financial report/ summary

within three months.

University financial reporting guidelines to be followed.


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POST CONSTRUCTION PHASE

During this phase the building will be occupied and any defects will be resolved. During the period there should be a

Post Occupancy Evaluation (possibly at six months) to review the project delivery. There should also be an

Engineering Services Review to establish if the building is operating as planned. The Defects Liability period (DLP) willbe established in accordance with the project value and complexity. For major projects the DLP is usually 12 months

but could be shorter for less complex projects.

Output Post Occupancy Evaluation.

Engineering Services Review.

ESD Review

Final certificate


A Contractor to attend to any/all defects identified at

Practical Completion.

Within 10 working days.

B Users to advise and contractor to attend to defects

that arise during DLP

The PM to establish a process for the users to report any defects

that arise or are discovered.

C Final Inspections One month prior to end of DLP inspect work. Contractor toprovide programme on issues to be attended.

Final inspection to include staff from AMS, the Consultants andContractor and user representatives.

At inspection certify that seasonal adjustments have beenundertaken to ensure proper operation of engineering systems.

Receive final certificates

Receive any updated operations and Maintenance Manuals or

updated As Installed drawings.

D Post Occupancy Evaluation Conduct within 6-12 months of occupancy. Review of projectprocedures and how well building meets needs of occupants.

E Engineering Services Review Conduct at the before the end of first 12 months to establish how

the engineering systems have performed compared with designcriteria.

F Finalise and close University Project account In accordance with existing reporting procedures.


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Standard Capital Work Project Cost Definitions

1 Order of Cost:This is an indication of the likely cost of a project given sketchy information.

2 Indicative Cost Estimate:Initial estimate of cost for a project at the pre-feasibility stage. Generally this is at the ProjectIdentification and Assessment stage where there is only an idea of what is required.

Used to determine if funds are likely to be available and whether to proceed to the next stage.

Order of accuracy 30%.

Also called ball-park estimate.

3 Brief Stage Cost:This is an estimate prepared using the initial brief that has been used for the selection of the Principal

Consultant. It is derived from the anticipated functional areas, using known building costs from similar

projects with external costs indicated separately.

4 Budget Estimate or Outline Proposal Cost:This is the estimate of cost for the project at the end of the feasibility study.

This has identified in more detail the scope of the works and generally produced some option plans that

can be measured to provide a more accurate cost.

Used to include in high-level budgets to determine if funds are going to be available and whether the

project should proceed or how it can be funded.


5 Estimate or Sketch Design Cost:This is the figure that is produced during the design development or Schematic Design phase of the

project. It is based on drawings of the various options that are worked through to decide on the most

suitable plan to prepare in detail.


6 Tender Estimate or Tender Document Cost Plan:An estimate based on the tender documentation, required before the project is issued for tender.

7 Total Project BudgetAn estimate including the Tender Document Cost Plan plus any other expenses to be bourn by the project,

such as decanting and removal costs, storage, temporary accommodation etc.

8 Quote / Quotation:The price received from contractors for a small jobs based on limited scopes of works and specifications.

9 Tender Price:This is the price received from the tenderers and is the actual cost that the market has determined isapplicable at the time of calling tenders. Generally prepared from detailed plans, drawings and

specifications. Received, opened and evaluated under strict conditions in accordance with University

Policy.