Control And Management Of Onsite Constructions In The City Of Dubai
The main aim of carrying out the literature review is to gather information on the research topic. The main sources are from the journal articles, published works and reference books as well as seminar and conference articles. The study begins with a detailed literature review on strategic management skills in the construction industry, focusing firstly on the nature of the scope of the construction industry and the most common approaches to the construction sites in the city of Dubai. Subsequently, an overview of control and management is highlighted in order to point out the huge importance of these operations. A wide range of tasks is provided to improve organization and management in the construction sites. The focus would be on a considerable store of knowledge and a professional approach that may minimize the risks of the project, insure against breakdowns for completion, eliminate the risk of cost overruns, and coordinate the activities of all departments responsible for the implementation of the project. Finally, the study will identify how project management improves the management of construction time and costs.
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Strategic Management Skills
Studies reveal that the increasing degree of uncertainty and variability of the environment makes it necessary to master the skills of strategic management in order to assess and reduce the uncertainty as well as develop an appropriate alternative program for its actions (Lambeck & Eschemuller 2008, p. 124). Different scenarios to adapt to possible changes in the environment allow organizations to provide a flexible behavior and achieve their goals more effectively. To approach such decisions, it is necessary not only to possess the knowledge of the theory of strategic management, but also learn to apply this theory to the specific market situations. However, many experts believe that this is not simple because of the variety of market factors and their impact on the ambiguity of the participants of market relations (Ramos 2010, p. 103).
Proactive prompt actions do not allow finding the only solution of the problem or, at least, prepare a quick solution. In addition, advancing predictive control allows determining the performance indicators of the operational plan for the end of the current period due to the tighter plan for the remaining period of time. By monitoring resource flows, it is possible to predict the appearance of external disturbances, i.e. the emergence of problems at the entrance to the project. A number of researchers that are based on the available empirical evidence refer to the operational management of accounting, control and analysis that focus on the aspect of the processing and delivery of operational information (Forster 1989, p. 21).
To provide realistic management and control of onsite constructions in the city of Dubai, managers should have a set of work packages necessary to perform in a given time interval that is presented in the form of a technological model (Mubarak 2010, p. 14). The current development of the construction industry in Dubai combines a methodological unity of planning, problem solving, focusing on the use of industrial standards and models of network construction projects. Economic and organizational questions of the development of operational plans for construction, as well as the issues of calculation of technical and economic parameters of these plans, are subject to a special review of the relevant disciplines, which require specific management skills.
Experts suggest that the main components of operational management that define the terms of its tasks are accounting, control, analysis, and regulation. Lester (2013, p. 167) assumes that the organizational aspect of the process of operational management is disclosed on the basis of cooperation between the two levels of the UAE government. The lower level of management comprises a collection, preparation, and transmission of primary data. The upper level is processing the received data as well as performing the control and analysis of the results of the reporting period, training, decision-making, and transfer of these solutions to the underlying level. The success of all the above mentioned tasks is possible due to relevant construction project management.
Construction Project Management
A wide range of tasks is essential for the organization and management in construction. They require a considerable store of knowledge and a professional approach that may minimize the risks of the project, prevent hazards, eliminate the risk of cost overruns, and coordinate the activities of all departments responsible for the implementation of the project. According to various experts, construction project management in the city of Dubai aims at optimization of the sacrificial time for the given material and financial resources for all phases of the construction of any object, including proper planning (Mubarak 2010, p. 32). Successful implementation of the project requires complex knowledge from various administrative areas: general management, financial management, personnel management, and others. As a rule, the management of construction projects in the UAE is carried out by trained professionals who possess the necessary knowledge and sufficient practical experience (Elsheshtawy 2008, p. 54).
Ramos (2010, p.32) believes that management of the project includes the following groups of control processes: (a) initiation groups that set up goals and objectives, identifying the external environment and stakeholders of the project; (b) implementation units of the project that determine the coordination of specialists involved in the project, resources, and materials; (c) group management and project monitoring that allow managers to take corrective actions to reduce the impact of negative deviations; and (d) the final stage of the project that regulates the transfer of results to the customer and preparation of all necessary documents.
There are various options for the organization of the management of construction projects. The following are the most typical. Firstly, immediately after signing the contract, managers of the company together with the customer risk analysts identify the opportunities for cost savings. Next, the design department of the company is engaged in the development of the project documentation, which significantly saves the time required to search for the customer project team, thus allowing to start the work on the project without any delay. At the same time, the selection of contractors in the region is carried out to provide a building on the basis of the criteria established by the customer. The next stage of the project is the formation of the directorates of the customers and the general contractor on the construction site that would carry out technical supervision over the construction and coordinate the activities of all participants. This software construction project materials and equipment are engaged in a private service logistics at all stages of work (Cooke & Williams 2009, p. 167).
Regular reporting on the progress of the construction is carried out by the representatives of the customer, who are able to access a single information system of the company, which allows to track the degree of implementation of the project. There are various options to access the on-line mode by connecting to the system of surveillance. Finally, in accordance with the signed agreement and within the prescribed period, object delivery is made (Elsheshtawy 2008, p. 61).
The Modern Approach to Project Management
Currently, an increased attractiveness of the investment in construction by reducing the timing is one of the most important tasks of the management of construction projects in the United Arab Emirates. One way of improving the management of construction time and costs is the introduction of a modern approach to the management of construction projects called project management (Ramos 2010, p. 41). Its distinctive features are the concentration of responsibility for the implementation of the project in one instance, the parallel execution of design and construction itself, as well as the use of mathematical methods and information technologies for the analysis of options for the implementation and optimization of time and project costs (Elsheshtawy 2008, p. 64).
Today, a strong development of project management as a service is observed in Dubai (Cooke & Williams (2009, p. 188). In recent years, a considerable number of engineering companies and specialty contractors who work for more effective management of construction projects have appeared. In these circumstances, the development of tools for the analysis and evaluation of various options for construction projects by using a variety of approaches to construction management is urgent.
The city’s construction practice operates in accordance with the global one, which has already developed an effective mechanism – the institution of professional project management, within which management over the investment cycle occurs (Forster 1989, p. 42). Professional project management (represented by an individual manager or a design and construction company) is intended to provide a guarantee of economic interests of the customer through an optimal balance between quality, cost, and time of construction. It is focused on achieving a specific result, i.e. the introduction of the facility and obtaining its revenue. All this has determined the need for regular monitoring of the market of their products as well as the search for potential customers and investors. It also requires a constant improvement of technology and organization of the companies’ activities on the basis of scientific and technological achievements as well as the growth of professional skills of the administrative staff (Forster 1989, p. 21).
Management of the Project-Based Contracts
In advanced economies, a flexible and detailed system of contracts exists that governs the relationships between the customers, project sponsors, designers, subcontractors, equipment suppliers, site personnel and other stakeholders of the construction firms. This practice is utilized in the city of Dubai in onsite constructions. Cooke and Williams (2009, p. 198) assume that the choice of the form of the contract belongs to the owner of investment resources, which are determined by a number of internal and external factors. The most significant internal factors are the availability of adequate investment resources, the customer experience in the construction projects, and the availability to rich the specific purposes of the project. The external factors usually involve the total construction market conditions in a particular region. All onsite construction in the United Arab Emirates is determined by the compulsory compliance with all items.
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At the same time, in order to carry out the construction works, a contractor begins no sooner and no later than the scheduled dates and passes the object to the customer in the designated time and in accordance with pre-defined quality parameters. These are very important issues in the construction industry of Dubai, as they are included in the investment orders and proposals on a competitive basis. Contracting procedures are also implemented through tendering (bidding) or negotiations. By bidding, the contractors define the construction of facilities that are being built on government orders. Trades that have fair and competitive nature enable the customer to optimize the choice of the following three criteria: cost, time, and quality (Cooke & Williams 2009, p. 199).
The modern concept of project management is aimed at reducing all stages of the investment and construction cycle and optimizing outcomes. In contrast to the construction management system, project management covers the entire investment cycle and allows maintain its continuity (Forster 1989, p. 24). The main figure of this concept is the project manager. As a rule, he or she is a representative of a design or construction firm that is headed by a specially formed group of experts who the most fully represent the interests of the customer-investor, who gives them adequate powers and resources. A manager must be liable for the results, and, as a rule, he is coordinating all stages of the project.
Thus, the level of qualification of managers is crucial in creating new construction sites and the success of their implementation. According to Cooke and Williams, the principle of project management is especially effective for large and complex industrial facilities (2009, p. 201). However, in each case, the scope of activity of the manager as well as his rights and obligations are determined by a separate contract for project management, that is, a list of services and conditions of their payment. The construction market has already proven the method for effective and successful implementation of the project, and it suggests giving special attention to two factors: the timing and money. It can be best achieved through the involvement of independent consultants, professional project managers, and contractors enjoying a high reputation (Lester 2013, p. 95).
The Present Best Practices of Onsite Planning
The modern world is the era of transformation of cities and the competition for the main resource: the human. The city of Dubai aims at maintaining quality employment resources, quality of life, and the comfort of the urban environment, attracting investments to the city and the territory. The country has enormous prospects, friendly atmosphere, and endless possibilities for leisure and business in the midst of the barren desert. Emirates are open to everyone who has the right to try to build his happiness. Joint ventures are the most common for the UAE, which are based on a contractual basis or more complex partnership agreement (Elsheshtawy 2008, p. 67). After the adoption of the law under which land can be purchased by foreigners, a construction boom has been in the progress there (Forster 1989, p. 26). To invest money in real estate now tends anyone who once visited the country and forever fell in love with its sea, palm trees, and the sun that shines 360 days a year.
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A huge number of artificial islands, incredible skyscrapers, shopping malls, amusement parks and hotels have proved that fantasy is becoming a reality. Emirates seek not so much to build but rather to surprise, shock and make the world wonder, with each project being a new sensation. The approach of the Expo 2020 brings its positive adjustments, and the Dubai’s government intends to attract 20 million tourists (Sambidge 2010, p. 18). The development of infrastructure allocated $ 4 billion for the construction of roads and new transport interchanges (Kenley & Seppänen 2006, p. 95). There are plans to build an underground railway system, expand the subway, the new Etihad Rail, and provide modernization of infrastructure that would open previously less accessible locations for new businesses as well as commercial and residential purposes. Analysts predict that the demand for residential and hotel real estate will remain very high over the coming years (Kenley & Seppänen 2006, p. 96).
The government continues to create all necessary conditions to develop the construction industry in Dubai. The income of investors is not subject to taxation, and real estate purchase is associated only with the payment of one-time registration fee of 4 percent (Kenley & Seppänen 2006, p. 100). Purchased objects pass in full ownership of the buyer, and the owners can use them for their personal use or rent. The rental fee is of significant amount, and the demand for real estate rent is very high. All this has led to the fact that the construction industry of Dubai has taken the second place in the economy of Dubai (Sambidge 2010, p. 38).
The modern Arab Emirates are an ongoing building project, where 1300 projects worth over $ 418 billion and other 303 projects worth $ 143 billion are at the stages of development, planning, and evaluation (Elsheshtawy2008, p. 18). Analysts predict that the market will continue to grow by approximately 9.5 percent per year over the next few years (Elsheshtawy 2008, p. 29). A high profitability of the projects and the demand for all kinds of real estate attract investors from all over the world. Another positive feature of the construction industry in the UAE is the transparency of procedures for approval of the project and commissioning of the building. The land is purchased with the building permit, and the project can be submitted to the Department of Civil Engineering of Dubai in electronic form, where it is reviewed and approved as soon as possible (Lester 2013, p. 100).
The Scope of the State-of-the-Practice of Onsite Design Planning
In the 1960s, the construction of the first super active metropolis on the Persian Gulf coast began (Lester 2013, p. 154). Its current population is about 2.5 million, where four hundred thousand are indigenous people; another small part are the specialists from the Western countries, the rest are the workers from South Asia, mainly from such countries as India, Pakistan, Bangladesh, and others (Forster 1989, p. 28). The construction workers are frequently dissatisfied with their wages and conditions and make rare attempts to strike, but they are immediately suppressed by the authorities. Disgruntled, they go to their homes, and immediately, plenty of volunteers are recruited to replace them, who agree to do any work because of unemployment in their native lands. Some studies reveal that the quality of work that some workers perform is often low due to their low qualification or rather its complete absence (Cooke & Williams 2009, p. 13). Often, the question arises about the reconstruction of the newly constructed buildings and structures, because the dry climate will always degrade the quality of the buildings. Therefore, the question of control and management in the construction sites in the UAE is rather urgent.
The city of Dubai has always been famous for its architecture and popular resorts. It attracts people from all over the world to enjoy a relaxing holiday and stunning views. Today, the tallest building in the world, the stalagmite-shaped skyscraper “BurjKhalifa”, is in Dubai. The height of the object reaches 828 m, and as the number of floors reaches 163 (Acuto 2014, p. 1470). Designers originally planned to erect a building that would have the greatest height and number of floors, not only in Dubai but worldwide.
It might seem that the officials of Dubai aim to come up with something for the city that will be the next world record. Dubai is known as a city that boasts of the tallest buildings as well as buildings with incredibly complex structures. Recently, amendments were introduced because of the seismic characteristics of Dubai. Nowadays, the purpose of these policies is to ensure safety of the residents of buildings. Many factors should be taken into consideration during the construction in Dubai, such as heat and wind force. Structures must withstand a wind speed of 45 meters per second for three seconds, a gust of the wind, which is equivalent to 160 km / h (Rapp & Benhart 2015, p. 35). Based on the analysis of wind speeds recorded at Dubai International Airport from 1984 to 2008, the basic wind speed in Dubai was 30 meters per second, which is equivalent to 108 k /h (Rapp &Benhart 2015, p. 36).
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According to the Uniform Building Code, Abu Dhabi and Dubai are classified as a zone of zero for the seismic forces; however, Dubai Municipality takes precautions and uses the rules for Zone 2A that can withstand the force of 5.5 on the Richter scale (Rapp &Benhart 2015, p. 37). Architects who are working in the area should consider the impact of the wind on the structures at different levels of height, especially the changing directions of the wind flow. Special tests will be subjected to non-standard facilities, very tall buildings, buildings with sliding structures, and buildings that are susceptible to seismic change.
The Development of the Onsite Construction Utilization Plans in Dubai
To start a construction business in the city of Dubai, a company needs to be licensed and hire qualified personnel. The first step in obtaining a license is the original approval of the Dubai Department of Economic Development as well as the reservation of a company’s name (Sambidge 2010, p. 49). Next, the owner should receive approval in the building department of Dubai Municipality. This is probably one of the most difficult stages of licensing. Since the applicant is required to meet the stringent requirements of the municipality, he must formalize a partnership with a citizen of the United Arab Emirates. Furthermore, foreign companies must necessarily have a partner, a citizen of the United Arab Emirates who owns 51 percent of the company’s shares, while the partner must have specialized education, work experience, and must be entered in the register of engineers of the United Arab Emirates (Cooke & Williams 2009, p. 23).
The company’s owner needs to have specialized education and experience, and pass examinations for entry in the register. Plans involve the availability of qualified personnel, ranging from engineers to operational level. For low-rise building construction, the company must have at least two staff members who have a degree in this field and have been registered in the Association of Engineers of the UAE (Lester 2013, p. 103). Managing staff consists of at least of 30 workers, and to implement larger projects, the staff of qualified engineers, designers and managers should be extended more. If all requirements are met, the Dubai Municipality promptly considers the application and, after a positive decision, a person can receive a license. Dubai is a city of high technology, and many transactions are conducted online with ease.
The research that was carried out has shown that control and management of onsite constructions of the city of Dubai are determined by the quality plan, method statement, inspect, audit and analysis for monitoring the effective implementation of work performed. Hopefully, this work will make a modest contribution to the modern practice and would guide researchers in the future to expand on some of the aspects investigated in it. The importance of control and management in construction companies in the UAE is well established. There are some powerful incentives to strive for better planning and control within an organization in order to optimize the business process in onsite constructions. Indeed, the construction industry in the city of Dubai as well as in other cities in the United Arab Emirates is of the greatest importance for its national economy. Managers and construction professionals obtain specialized education and experience and pass examinations for entry in the register. In Dubai, constructions companies hire qualified personnel, ranging from engineers to operational level.
Architects working in in the city of Dubai consider the impact of different conditions on the buildings, such as the wind at multiple levels of height, especially the changes in the direction of wind flow. The construction of non-standard facilities, very tall buildings, buildings with sliding structures, and buildings that are susceptible to seismic change require special tests. A plurality of residential and commercial buildings, art objects, and other sites attract people from all over the world for tourism and business. It is appropriate to suggest that control and management may help optimize the construction industry and build more world-famous buildings. Finally, construction sites in Dubai are in progress now, and the local and international community hopes to see more beautiful buildings in the nearest future.