Strategic construction project planning and programming all the activities carried out helps to shape the programming of its capital projects. This planning is mainly dependent on the demand that is obtained from the market and the constraints in the resources.
The programming process of a construction project initiates steps to fix those activities that are of higher priority. These also leads to fix to time-related to the same, to complete the overall objective and target of the organization within the time constraints.
When a construction project is started after this decision of strategic planning and programming, the timely completion of the project is possible. This ensures the market pressure early so that no later concerns arises.
The influence of market pressure, on the facility initiation, is a concern in many types of construction activities. This problem is an obvious concern for industrial construction. We need to realize the fact that, under certain situations, the product demand life is short.
To survive, the company have to strike the demand first, before anyone does. Otherwise, the demand turns to no demand for the same service, within a limited period of time. Now the industrial trend has changed to a shorter construction project life cycle. These are more prominent for those industries, which have intensive technologies.
Benefits of Strategic Construction Project PlanningSome of the owners take a planning and feasibility study about the objective and idea they have before actually explains the scope of construction projects. This helps to gain more time. An improper project scope always results in additional cost, which is regarded as a loss. This is because of change of scope when the construction starts. But if the owner gains profits, even after taking more time and investing more money in the facility, than what was planned, will be considered as a success. This possibility is rare to occur, and following the same won't always bring profit. Such a method has found to bring a lot of uncertainties in the construction projects. This does bring a final conclusion to the argument that, the decrease in construction cost and time, bring more profit. But certain nuclear power plant construction was abandoned before construction, which is a result of improper planning as well as poor feasibility studies.
The Role of Facility Owner in Strategic Construction Project Planning and ProgrammingThe facility owner or the owner has a greater influence on the cost tagged for the construction project. This is clear because the decision that is put forward at the initial stages are the ones that influence all those decisions that are put forward at the later stages of the project. This is explained in figure 1. The operating costs of the project are moved forward by the design and the decisions taken in the construction. This is why an owner really has to seek the expertise of the professionals, to ensure proper and best planning as well as a feasibility study for the project under consideration. Many owners do not have the ability to undergo construction management by their own or to have in-house engineering relating to their project. This is hence essential for them to meet a consultant or professional outside, to help them satisfy their needs and requests.
Fig.1: The Graph representing the ability of factors that influence the construction cost throughout the course of project timeThe graph above shows the influence that is present at the earlier stages of the feasibility study of the project. This is factors that affect the ultimate construction cost and the decrease of opportunity with the course of the project.