Buyer/Customer, means a person who buys or agrees to buy goods, A buyer or procuring entity when decide
to take on a new business project he should instincts that the management will
be fairly in all purchase process. However, the ability to successfully management
of the project is a valuable skill that takes a great deal of knowledge and
experience so as to meet the requirements of the buyer. For example, economy
effective and efficiency as principles of value for money (VfM).
Ø
The practical steps a buyer should follow so that the project/work
can complete on time are as follows.
Scope of the project, A buyer must plan the scope of the
project by determining the final result you expect to attain, for example,
should match with quantity, cost and quality. it also accounts for the steps
you take along the way. While your ultimate goal may be the finished product
the house you are building this also may consider the procedure to get building
permits, pour the foundation, rough in the electrical and plumbing, erect the
frame, build the roof and so forth. The all step is of equal importance, and
many steps depend on the ones before them. Managing your project's scope is
about maximizing your budgeted time, money and resources to carry out the
necessary steps on the way to reaching your goal.
When considering the scope of your
project, keep the following questions in mind so as to get good results of your
project.
a)
Do
all involved parties/stakeholders agree on the scope of the project?
b)
Have
you hired or appointed a project manager?
c)
Have
you determined, in detail, the roles of suppliers and contractors?
d)
Have
you reviewed previous projects to determine areas of success and failure?
Preparation
of the schedule,
Creation and implementation of a
realistic, detailed and accurate schedule will go a long way toward achieving
your ultimate goal. The bigger the project, the greater the number of steps
involved, for the most part. It is important for you to accurately calculate
the length of time each step will take, and to determine which steps depend on
the completion of other steps. Not all steps begin at the same time. For
example, if you can't break ground on the house-building project before you've
obtained the necessary building permit, you need to account for that time. Your
schedule should account for every step and for their dependence on one another.
All the steps should be arranged in their proper order.
Preparation of schedule consider
these points.
- Have
you planned and allotted the proper resources for each step?
- Have
you communicated responsibilities to everyone involved in the project?
- Has
every person that will be involved in the project, such as your
contractors and suppliers, been consulted to ensure they will comply with
your schedule?
- Have
you established various checkpoints throughout the project to verify that
your schedule and budget are on track?
Determination of the budget/profit for the
project, Budgeting
finances for your project begins with the creation of a detailed and accurate
forecast of your total anticipated costs. You will want to take every aspect of
your project into consideration, consult with others who will be involved, and
calculate your figures down to the last penny. This forecast will act as your
budget.
Along with your budget, it is good
practice to create a contingency fund, to be used in emergency situations such
as work delays due to bad weather, underestimated resource costs and issues
with suppliers. Your budgetary goal is to complete the project at or below your
estimate, without accessing contingency funds.
Allocation of resources, Resources are the people, materials
and equipment that you require to complete your project. Planning properly so
that you have your resources where and when needed is an essential component of
managing projects. Creating and implementing detailed project schedules, as
well as making all involved parties aware of their roles, will also help you
keep your resources on time and on task.
A key to managing resources is
effective communication. Suppliers, contractors, laborers and managers every
person who plays a role in your project should be completely aware of their
respective roles: the what, where, when and how of their tasks. The more you
keep your project's players in the loop, the more likely they can bring the
project to a successful conclusion.
To assume risks, Risk is defined as uncertainty,
that is, as the deviation from an expected outcome. Any occurrence that is not part of
your scope, which has an effect on your project's budget, schedule or result,
constitutes risk. Here's an example in the house-building context: a
miscalculation causes your roofing supplier to provide you with the wrong price
for the cedar shingles you ordered for the roof. Recalculation results in your
cost being increased by a few thousand dollars. At the onset of planning your
project, it is very important to assess whether or not your stakeholders are
prepared to increase your budgeted time, money and/or resources in the event of
risk. Risk management identifies the risks your business may face and
learn to set up an effective risk management program to maximize your chances
of success.
Make
review of your plan, at
the completion of your project, it is a good idea to do a final, step-by-step
review. If you've documented each step throughout the project, you have made
your task of final review much easier. Examine what went well, and in what
areas you fell short of your expectations. The information you gather can be
very helpful when you begin to plan your next project.
Contractual management
plan, this is the
process of managing contract creation, execution and analysis to
maximize operational and financial performance to a buyers project at all means
while reducing financial risk. Organizations encounter an ever-increasing
amount of pressure to reduce costs and improve company performance. This is
very important consideration to a buyer’s project. For example, Auditing and reporting is
important where contract management does not simply
entail drafting a contract and then pushing it into the filing cabinet without
another thought. Contract audits are important in determining both
organizations’ compliance to the terms of the agreement and any possible
problems that might arise.
I
recommend the suppliers to make
sure that the foundation for a successful contract management relies on the
implementation of successful post-award and upstream activities. During the
pre-award stage, employees should focus on the reason for establishing the
contract and if the supplier can fulfill the terms of the agreement. Additional
consideration is needed to understand how the contract will work once awarded.
Avoiding unwanted surprises require careful research and clarity of purpose in
the actual contract.
References.
- Bryan M.(2005)International
Construction Contract Management,3rdEdition ,UK
- Barbara Jackson (2010).Construction Management Jumpstart,2nd
Edition.Indianapolis,Indiana Wiley
- R.Morek.(2006) The online construction Management: A Critical View
