The Benefits and Dis-Benefits for Constructing a Personal House - Essay Example

The paper mainly looks at the activities that may be involved when one has decided to build his or her own house. The paper outlines the benefits as well as dis-benfits for constructing a personal house. The paper outlines the steps that can be taken when constructing a house. It also analyses the impediments that are likely to be encountered when undertaking this particular type of work. Measures that can be implemented in case of unprecedented risks are also outlined in the paper. Table of contents Introduction 3 Business case: Financial and other considerations 3 Planning assumptions and external constraints 3 Options considered 4 Benefits of building own house 4 Disbenefits of building own house 4 Project team and stakeholders 5 Schedule of work and deliverables 5 Estimates of costs and other resources 8 Risks 9 Controls 10 Conclusion 10 References 12 Precedence network diagram for constructing a house 7 Table 1: Schedule of work for the house Introduction This paper outlines the activities that can be involved when building a new house. This initiative has been underscored after realizing that it is wise to build a personal house than rely on rented accommodation. There are various factors such as financial issues that are involved in this work. It is also important for the individual involved to procure the place to build a house first before undertaking any construction work. The paper is divided into different categories that outline the different phases that can be involved in building a house. Business case: Financial and other considerations The business case involves building a house and the set budget for completing this project is ?25 000. However, a supplementary budget of ?5 000 has been set aside for this particular project. In order to complete this project there are different considerations that ought to be taken into account. There is need to procure raw materials that can be used in carrying out this project. There is also need to hire contractors who can execute this particular task. Planning assumptions and external constraints As is often the case when a project needs to be completed, proactive steps such as research, planning, communication, and review are often seen as basic tenets of project success (Josler & Burger, 2005). Basically, the term project is used to describe a set of activities that are linked and they are directed towards the attainment of a certain goal (Hellriegel 2001). A project can also be described as a onetime activity with a definite start and finish. As such, through utilization of project management methodology, a project can be completed within the expected time frame, on budget as well meeting the expected standards that satisfy all the stakeholders who may be involved. In this case, the baseline of the project is to carry out a feasibility study to establish if the project can be manageable. This is followed by outlining the cost and benefit analysis of the project where the objectives are also set. When planning a project, the steps needed to obtain the goals of a project need to be outlined since this gives the team members direction to follow. A risk assessment ought to be carried out. In this case where a project involving the construction of a house is being undertaken, there are external constraints that can be encountered. As discussed in detail below, it can be noted that some of the external constraints may include the unprecedented changes in the price of raw materials used for building the house. Fluctuating labour costs can also affect the project hence the need to put contingency plans in place in order to deal with such a scenario. Options considered There are various external constraints that are likely to be encountered when carrying out a project. However, certain measures ought to be implemented in such a scenario. The last part of the paper outlines some of the contingent measures that can be implemented in case of challenges that can derail the progress being encountered. Benefits of building own house There are many benefits of building a personal house. Rentals for houses constantly increase in different locations hence there will be no hassles for this unprecedented scenario since one will be living in his own house where the only expense likely to be incurred is related to electricity as well as water bills and rates. Money used to pay for rent can be saved for other purposes in life. The other advantage of building a personal house is that property appreciates in value as time goes on. This house can be sold at a higher price should the need arise and this can enable the owner to purchase other property in low cost areas. The other section of the house can be rented to other tenants and this can be a noble way of generating income while relaxed at home. Dis-benefits of building own house Constructing a new structure can be a costly exercise at times. There are various logistics involved in building a structure. For instance, the price of building materials can increase without notice and this can negatively impact on the projected budget for the project. Failure to adhere to the planned schedule can cause an increase in labour costs which can affect progress of the work. As such, unprecedented risks associated with building a house can lead to project failure if proper planning is not given precedence. Project team and stakeholders A project team is comprised of actual people who will be responsible for executing different tasks in the project (Burke, 2007). In this case, the contractor and his or her members constitute the project team. Members involved in this case include the project manager, builders, assistants, plumbers, electricians, painters among other members responsible for executing different tasks in this particular project. Each team has its own leader and these teams report to the supervisor or the project manager. On the other hand, it can be observed that a stakeholder is an individual or a group of people who have a considerable interest in a particular project (Orr, 2007). In this case, the owner of the house is the major stakeholder. The contractors responsible for carrying out the actual work are also stakeholders who are actively involved in the work. The suppliers of different building materials also constitute the stakeholders. The municipal authorities are also stakeholders since they have a duty to inspect the work to make sure that it conforms to expected standards as promulgated by the council by-laws in a specific area. Schedule of work and deliverables Constructing a building is a process that goes stage by stage and this process should never be fast tracked since this may result in a poor structure. This would be a great loss to the owner of the house hence a careful approach has to be taken when carrying out this kind of work. Having obtained the ground, it is important to carry feasibility studies to make sure that the place is suitable for a particular type of house. This can be done by engineers or architectures and this mainly depends with the type of structure to be constructed. The ground is then cleared in preparation for commencement of the work. When the ground has been cleared, the foundation is dug and this is followed by putting the footing of the house. The foundation wall is then erected after the footing stage which is followed by a concrete slab. The walls are then erected when the slab is dry. When the wall is complete, the roof is put on the building and other activities such as fitting windows and doors can follow. However, of notable concern is that fact that activities such as plumbing, tubing the house, plastering as well as putting floors can be carried out concurrently as long as they do not interfere with the progress being made. The stages explained above ought to be observed since they determine the outlook of the final structure which by law is expected to be inspected by qualified inspectors from the housing department from the local municipality. The precedence diagram below illustrates the stages which the house is expected to go through. Precedence diagram for the construction of a house Source: . Depending on the availability of resources, this project is expected to be completed in about 24 weeks which is approximately six months. Construction starts at a relatively slow pace given that that stages such as foundation as well as concrete slab need time to set before any structure is erected on top of them. It is assumed that all work would be carried out during working days so as to allow the contractors to have some time to rest during the weekends. Of notable concern as well is the fact that some stages in the construction of the house may be carried out concurrently as long as they do not negatively impact on the progress being made in building the house. The chart below shows the schedule for construction of the house. The days are rounded to weeks Table 1: Schedule for construction of a house Activity Duration Start, feasibility studies 1 week Set up site 1 week Clear ground 1week Dig foundation 1 week Footing 3 weeks Foundation wall 1 week Concrete slab 3 weeks Erect walls, doors, windows 3 weeks Drainage and water system 1 week Plastering Flooring 2 weeks 1 week Roofing Tiling 1 week 1 week Painting 1 week Tubing 1 week Internal fitting 1 week Landscaping and garden 1 week Estimates of costs and other resources It is assumed that the cost of raw materials such as bricks and cement will remain constant during the course of building this house. All in all, a total budget of ?25 000 has been set aside for this whole project and it excludes the price of the ground which is expected to be around ?2 000. Whilst actual prices of the building materials going to be used cannot be ascertained at the moment since they are subject to change, rough estimates would be used throughout the construction process and a supplementary budget is set aside for this work. From the figure budgeted for this project, ?25 000 will be split into different categories. Labour alone is expected to gobble about ?10 000 of the total budget since there are quite a number of people who are going to be hired to perform different tasks. One main contractor will be hired and he may also hire subcontractors to perform other tasks. In this project, ?15 000 has been set aside for different types of raw materials that would be used in the construction of the hose. Cement and bricks are expected to cost roughly about ?5 000 while roofing material is expected to cost about ?4 500. These are the most expensive activities in as far as construction of a house is concerned. Doors and windows are expected to cost ?1000 and ?2 400 respectively. On the other hand, it is considered that internal fitment will cost ?700 while tubing will cost about ?500. The tiles will cost ?300 and the water system will cost about ?600. Risks According to Yeates & Cadle (1996), risk in a project is unavoidable and it is characterised by uncertainties that can derail progress when carrying out a particular project. Lupton (1999) concurs with this assertion when he states that certain scenarios unavoidable due to uncertainties that may be encountered during the course of the project. It is assumed that market prices for the materials going to be used may change at any given time depending on the current market forces obtaining during the period of building this house. The aspect of budget deficit cannot be ruled out in such a scenario. This is likely to impact negatively on the construction work should such a situation happen. The labour costs are also subject to change and this ought to be taken into consideration when construction work has commenced. Work can also be affected by natural factors such as bad weather. For instance, rain can lead to work stoppage and this may affect progress on work being done. In such a situation, extra money will be required to cover up the lost time due to bad weather conditions. It is also anticipated that work can be delayed if certain phases of the building do not pass the requirements of the municipality. Controls In case of financial constraints being experienced as a result of fluctuating prices of the raw material used for building the house, there are certain contingent measures that have been put in place. A supplementary budget of ?5 000 has been set aside so as to cater for these unprecedented challenges that can be encountered during the construction process of the house. Chapman (2007), states that a supplementary budget is very effective in project management since it helps to cushion the negative impacts of financial shortages. Extra care is going to be taken in order to ensure that quality work is produced at every stage of the construction process. Measures are also going to be put in place so as to ensure that all work go according to schedule in order to avoid extra costs when work is delayed. In cases of natural weather conditions, efforts will be made to ensure that lost time is covered when the situation improves. Progress tracking is an effective measure that can lead to project success (Josler & Burger, 2005). Above all, competent contractors will be contracted for this work in order to avoid poor work that can compromise the quality of the structure to be erected. Conclusion Over and above, it can be seen that constructing a house is a process which requires proper planning before any work has commenced. There are various external factors that can affect progress of the work and these need to be seriously taken into account. All the phases of the project ought to go according to plan so as to be in a position to achieve the desired goals. In this case, it is anticipated that all work will be completed in about six months on the presumption that there are no difficult challenges that are going to be encountered along the way. Contingent measures discussed above have also been put in place in order to make sure that the project is a success. References Burke, R 2007, Introduction to project management, Burke Publishing, CT. Chapman, R 2007, Simple Tools and Techniques for Enterprise Risk Management., Wiley & Sons Ltd, Chichester. Constructing a Network Diagram from a Work Breakdown Schedule, ND, Viewed 06 April, 2013, from: . Hellriegel, G et al 2001, Management, Oxford, CT. Josler, C & Burger, J 2005, ‘Project Management Methodology in Human Resource Management,’ Journal, Vol 56, No 2. Lupton, D 1999, Risk, Routledge, London. Orr, DA 2007, Advanced Project Management: A complete guide to the key processes, models and techniques, Kogan Page, NJ. Yeates, D & Cadle, J 1996, Project management for information systems, Pitman Publishing, London. Read More