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PRODUCTIVITY AT
COMPANY LEVEL
PRODUCTIVITY AT COMPANY LEVEL
The output at company level includes not only
quantitative measures such as turnover, profit, floor
area and market share, but also qualitative
measure.
To measure a company’s productivity, the overall
productivity level needs to be measured.
This means that productivity at company
(head office) and site level.
RESEARCH MODEL
(Process model productivity on site)
 Organisational Factors
 Contract management
 Finance
 Etc
PROJECT WORK ENVIRONMENT
Pre-construction
Activities (1)
D1. Client brief
D2. Project objectives
D3. Specification
D4. Design/build-ability
D5. Contractual
arrangement
D6. Planning
D7. Scheduling
D8. Estimating
Site/Project
Manager (2)
Characteristics
D9. Experience/capability
D10. Leadership style
D11. Authority/influence
D12. Goal commitment
D13. Involvement
Labour (6)
Characteristics
D39. Subcontracting
Labour
D40. Direct labour
Management (3)
Factors
D14. Clarity of tasks
D15. Team work
D16. The style of
management
D17. Safety management
Management (4)
System
D18. Planning
D19. Communication
D20. Controlling
D21. Co-ordinating
Resource (5)
Management
D22. Labour selection
D23. Labour control
D24. Material selection
D25. Material handling
D26. Plant
D27. D31. Waste on site
D32. D38. Delay and
Disruption on site
Motivating
Factors (7)
D41-D46
Hygiene
Factors
D47-D55
P
R
O
D
U
C
T
I
V
I
T
Y
Project
Performance
 Time
 Cost
 Quality
 Safety
Job
SatisfactionEffort Rewards
Ability and Skill of worker
PRODUCTIVITY AT COMPANY LEVEL
Which
includes: 1-Image
2-Reputation 3-Experience
PRODUCTIVITY AT CONSTRUCTION
COMPANY LEVEL
4-Safety record 5-Environment
PRODUCTIVITY AT COMPANY LEVEL
What does
effect
productivity?
1-Ineffective
planning &
constraints on a
worker’s
performance
2-Ineffective
management
3-Inadequate
equipment
PRODUCTIVITY AT COMPANY LEVEL
4-Inadequate
materials 5-Inadequate
tools
6-inadequate
methods of
communication
etc.
PRODUCTIVITY AT COMPANY LEVEL
Other factors
that affect
productivity are:
1-Difficulties
with material
procurement
PRODUCTIVITY AT COMPANY LEVEL
2-Lack of integration
of project
information
3-Lack of experience
and training under
direction of
employees
PRODUCTIVITY AT COMPANY LEVEL
4-Disruption
5-Exclusion of
site management
from contract
meetings
RODUCTIVITY AT COMPANY LEVEL
lack of inter-unit integration of project information;
ineffective project
planning
poor scheduling of
project activities
Low Productivity influential Factors can be summarized
as:
ineffective delegation of responsibilities
PRODUCTIVITY AT COMPANY LEVEL
PRODUCTIVITY
• Autocratic style of
management of superiors
PRODUCTIVITY
• Lack of clear direction for
employees
PRODUCTIVITY AT COMPANY LEVEL
PRODUCTIVITY
• Lack of shared beliefs between head
office and site personnel
• Exclusion of site management from
contract meetings
PRODUCTIVITY
• poor selection of project personnel;
• lack of consultation during decision-
making
PRODUCTIVITY AT COMPANY LEVEL
Resource
Management
difficulties with
the procurement
of materials;
discrepancies in
technical
information;
disruption of site
programme;
PRODUCTIVITY AT COMPANY LEVEL
use of
inappropriate
tools/equipment
for different tasks
lack of
knowledge of
project
technology
interference by
management
poor site layout.
PRODUCTIVITY AT COMPANY LEVEL
Motivation
lack of re-
appraisal of
employees for
promotion;
resentment
regarding
management
policies;
lack of incentives
for good
performance;
PRODUCTIVITY AT COMPANY LEVEL
 lack of opportunities to exercise
skills/knowledge;
 slow response in settling
employee’s grievances;
 uncertainties about career
prospects;
 constraints on a worker’s
performance.
PRODUCTIVITY AT COMPANY LEVEL
Education -
Training
lack of
experience
and training;
lack of contact
administration
skills;
poor
knowledge of
scientific skills;
PRODUCTIVITY AT COMPANY LEVEL
insufficient
knowledge of
new
technologies;
shortage of
multi-skilled
project
personnel.
PRODUCTIVITY MEASUREMENT-PERFORMANCE
ABILITY RATIO
(P.A.R)
 Performance is a ratio of
accomplishment to methods.
 the worth of performance is the value
of the accomplishment divided by the
cost of the methods.
PERFORMANCE ABILITY RATIO
(P.A.R)
 The measurement of worth of a
particular crew’s performance is more
than just calculating how it is worth
relative to cost.
 It therefore becomes essential that a
crew’s performance be compared
against a yardstick of acceptable
standard.
PERFORMANCE ABILITY RATIO
(P.A.R)
 Time study can help to establish standard
time, although it is expensive and time
consuming.
 Contractors establish estimated rates
based on past experiences, to form their
bases of estimation for new jobs.
 To overcome this problem exemplar
performance has been introduced to
management team.
PERFORMANCE ABILITY RATIO
(P.A.R)
 PAR= Exemplar Performance/Current
Performance
 There are a number of ways in which P.A.R can
be used.
 One such a way is the comparison between
current performance and exemplar.
 This will give a measurement of site worker’s
performance.
 PAR=1 It means current work is equal to exemplar
 It is hardly possible for any firm to maintain it.
PERFORMANCE ABILITY RATIO
(P.A.R)
 PAR>1 it means there is
potential for improving the
performance
of the crew on site.
 PAR<1 Is an indication that a
company’s performance is
above Average.
PERFORMANCE ABILITY RATIO
(P.A.R)
PAR also can be shown as:
 PAR= Exemplar Performance/Weekly
Average.
 The Exemplar Performance can be
measured from daily productivity rate
against weekly average productivity.
 Student to read about:
 Factor models-Project leadership model -
Action response model.
PERFORMANCE ABILITY
RATIO (P.A.R)
PAR also can be shown
as:
PAR= Exemplar
Performance/Weekly
Average

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018 company productivity

  • 2. PRODUCTIVITY AT COMPANY LEVEL The output at company level includes not only quantitative measures such as turnover, profit, floor area and market share, but also qualitative measure. To measure a company’s productivity, the overall productivity level needs to be measured. This means that productivity at company (head office) and site level.
  • 3. RESEARCH MODEL (Process model productivity on site)  Organisational Factors  Contract management  Finance  Etc PROJECT WORK ENVIRONMENT Pre-construction Activities (1) D1. Client brief D2. Project objectives D3. Specification D4. Design/build-ability D5. Contractual arrangement D6. Planning D7. Scheduling D8. Estimating Site/Project Manager (2) Characteristics D9. Experience/capability D10. Leadership style D11. Authority/influence D12. Goal commitment D13. Involvement Labour (6) Characteristics D39. Subcontracting Labour D40. Direct labour Management (3) Factors D14. Clarity of tasks D15. Team work D16. The style of management D17. Safety management Management (4) System D18. Planning D19. Communication D20. Controlling D21. Co-ordinating Resource (5) Management D22. Labour selection D23. Labour control D24. Material selection D25. Material handling D26. Plant D27. D31. Waste on site D32. D38. Delay and Disruption on site Motivating Factors (7) D41-D46 Hygiene Factors D47-D55 P R O D U C T I V I T Y Project Performance  Time  Cost  Quality  Safety Job SatisfactionEffort Rewards Ability and Skill of worker
  • 4. PRODUCTIVITY AT COMPANY LEVEL Which includes: 1-Image 2-Reputation 3-Experience
  • 5. PRODUCTIVITY AT CONSTRUCTION COMPANY LEVEL 4-Safety record 5-Environment
  • 6. PRODUCTIVITY AT COMPANY LEVEL What does effect productivity? 1-Ineffective planning & constraints on a worker’s performance 2-Ineffective management 3-Inadequate equipment
  • 7. PRODUCTIVITY AT COMPANY LEVEL 4-Inadequate materials 5-Inadequate tools 6-inadequate methods of communication etc.
  • 8. PRODUCTIVITY AT COMPANY LEVEL Other factors that affect productivity are: 1-Difficulties with material procurement
  • 9. PRODUCTIVITY AT COMPANY LEVEL 2-Lack of integration of project information 3-Lack of experience and training under direction of employees
  • 10. PRODUCTIVITY AT COMPANY LEVEL 4-Disruption 5-Exclusion of site management from contract meetings
  • 11. RODUCTIVITY AT COMPANY LEVEL lack of inter-unit integration of project information; ineffective project planning poor scheduling of project activities Low Productivity influential Factors can be summarized as: ineffective delegation of responsibilities
  • 12. PRODUCTIVITY AT COMPANY LEVEL PRODUCTIVITY • Autocratic style of management of superiors PRODUCTIVITY • Lack of clear direction for employees
  • 13. PRODUCTIVITY AT COMPANY LEVEL PRODUCTIVITY • Lack of shared beliefs between head office and site personnel • Exclusion of site management from contract meetings PRODUCTIVITY • poor selection of project personnel; • lack of consultation during decision- making
  • 14. PRODUCTIVITY AT COMPANY LEVEL Resource Management difficulties with the procurement of materials; discrepancies in technical information; disruption of site programme;
  • 15. PRODUCTIVITY AT COMPANY LEVEL use of inappropriate tools/equipment for different tasks lack of knowledge of project technology interference by management poor site layout.
  • 16. PRODUCTIVITY AT COMPANY LEVEL Motivation lack of re- appraisal of employees for promotion; resentment regarding management policies; lack of incentives for good performance;
  • 17. PRODUCTIVITY AT COMPANY LEVEL  lack of opportunities to exercise skills/knowledge;  slow response in settling employee’s grievances;  uncertainties about career prospects;  constraints on a worker’s performance.
  • 18. PRODUCTIVITY AT COMPANY LEVEL Education - Training lack of experience and training; lack of contact administration skills; poor knowledge of scientific skills;
  • 19. PRODUCTIVITY AT COMPANY LEVEL insufficient knowledge of new technologies; shortage of multi-skilled project personnel.
  • 20.
  • 21. PRODUCTIVITY MEASUREMENT-PERFORMANCE ABILITY RATIO (P.A.R)  Performance is a ratio of accomplishment to methods.  the worth of performance is the value of the accomplishment divided by the cost of the methods.
  • 22. PERFORMANCE ABILITY RATIO (P.A.R)  The measurement of worth of a particular crew’s performance is more than just calculating how it is worth relative to cost.  It therefore becomes essential that a crew’s performance be compared against a yardstick of acceptable standard.
  • 23. PERFORMANCE ABILITY RATIO (P.A.R)  Time study can help to establish standard time, although it is expensive and time consuming.  Contractors establish estimated rates based on past experiences, to form their bases of estimation for new jobs.  To overcome this problem exemplar performance has been introduced to management team.
  • 24. PERFORMANCE ABILITY RATIO (P.A.R)  PAR= Exemplar Performance/Current Performance  There are a number of ways in which P.A.R can be used.  One such a way is the comparison between current performance and exemplar.  This will give a measurement of site worker’s performance.  PAR=1 It means current work is equal to exemplar  It is hardly possible for any firm to maintain it.
  • 25. PERFORMANCE ABILITY RATIO (P.A.R)  PAR>1 it means there is potential for improving the performance of the crew on site.  PAR<1 Is an indication that a company’s performance is above Average.
  • 26. PERFORMANCE ABILITY RATIO (P.A.R) PAR also can be shown as:  PAR= Exemplar Performance/Weekly Average.  The Exemplar Performance can be measured from daily productivity rate against weekly average productivity.  Student to read about:  Factor models-Project leadership model - Action response model.
  • 27. PERFORMANCE ABILITY RATIO (P.A.R) PAR also can be shown as: PAR= Exemplar Performance/Weekly Average