Corporate and Project Management

Abstract

This chapter focuses on the recognition of and the link between corporate and project management within a principal contracting organisation. Almost all such organisations are medium to large, well developed, may have an extensive range of business and utilise a decentralised structure serving suborganisations and project sites which may be dispersed widely geographically. The prime objective of the corporate organisation is to develop company ethos, policies, aims and objectives which fuel and drive the business and allow the company to survive and prosper. The prime objective of the project organisation is to carry out efficiently and effectively those projects which the company undertakes, delivering its product on time, to budget and with high quality while making a profit. Both parts of the organisation need the support of each other, and together they must capitalise on their synergistic link to establish holistic success. Strong and robust structure and organisation are needed to provide effective management from executive level, through directive and operational levels to supervision and management on site. The encouragement of teamwork with integrated and holistic commitment is absolutely essential, as construction is and will always be a ‘people’ activity. Company policies, aims and objectives will emanate from executive level and these must be communicated throughout the management hierarchy. Moreover, they must be translated into actions throughout the management hierarchy, formalised and written down for clarity and direction of purpose. This will be achieved by establishing management systems — sets of procedures and working instructions — which guide and direct functional management activities throughout the organisation and work practices, together with their supervision and control at the project site. To successfully deliver any construction project, a principal contracting organisation would need to ensure that it has a sound corporate structure to provide effective organisation, carefully developed systems to provide effective planning and management mechanisms, and a robust project structure to provide effective working practices on the project site.