FACULTY OF CIVIL ENGINEERING

SKAA 4113
CONSTRUCTION AND PROJECT MANAGEMENT
SEMESTER 1 – 2017 / 2018

ASSIGNMENT 3

Analyse resource requirement for manpower, machinery,

material and money in construction project

LECTURER : MR. ABDUL RAHIM B. ABDUL HAMID

SEMESTER 1, SESSION 2016/2017

Q15. Resource levelling will generally:

A. Reduce the time needed to do the project.

B. Increase the total time necessary to do all the tasks.
C. Reduce the overutilization of resources.
D. Reduce resources to the lowest skill that is possible.

Reason: Resource levelling is a technique in which start and finish dates are
adjusted based on resource constraints with the goal of balancing demand
for resources with the available supply.

Q16. An output of the process Estimate activity resources is a document called "activity
resource requirements". It identifies the types and quantities of resources...

A. ...while the term resources is limited to equipment and materials.

B. ...required for each activity in a work package.
C. ...while the term resources is limited to human resources.
D. ...to be obtained solely from the performing organization.

Reason: Activity resource requirements determines the resources for each work
package and each work period.

Q17. Which of the followings are the appropriate actions to control wastage on site?

I. Double handling of materials

II. Employ skill workers
III. Use precast materials
IV. Subcontract the works

A. I, II and IV only
B. II and III only
C. II, III and IV only
D. All of the above

Reason: By employing skill workers and using precast materials, wastage on the
site can be controlled. On the other hand, double handling of materials
and subcontract the works cause the wastage occurred on site.
Q18. The problems related to the poor machineries and equipment output during construction
are attributed to the followings, except:

A. Under capacity
B. Unskilled operators.
C. Timely replacement of parts.
D. Lack of maintenance culture.

Reason: Poor machineries and equipment output are caused by the problem of
under capacity, unskilled operators and lack of maintenance culture.

Q19. You are the project manager responsible for building a new project. The project is
running late. To bring the project on schedule, you decide to add additional resources
to the critical path. This is an example of…

A. Fast-tracking
B. Resource planning
C. Crashing
D. Schedule Management

Reason: Crashing is a technique used to shorten the schedule duration for the least
increment cost by adding resources. Crashing works only for activities on
critical path where additional resources will shorten the activity’s
duration.

Question 20 to 22 will refer to the following table:

Table Q20-Q22

Activity Normal Time Crash Time Normal Cost Crash Cost

(week) (week) (RM) (RM)
1-2 5 2 21000 27000
1-3 3 1 5000 8000
2-4 2 1 10000 12000
2-5 4 1 7500 12000
3-4 5 2 24000 36000
4-5 7 2 8000 22000

Q20. Given indirect cost per day is RM300.00, Calculate Total Cost of this project: Assume
six (6) working days a week except Sunday.

A. RM 75,500
 B. RM 117,000
C. RM 102,250
D. RM 13,800

Reason: Critical Path is 1-3-4-5.

Thus, it takes (3+5+7) weeks  6 days/week = 90 days
Total Cost = RM (21000 + 5000 + 10000 + 7500 + 24000 + 8000) +
(90 days  RM 300 / day)
= RM 102,500

Q21. Which activity indicates the highest increment if time compression needs to be done?

A. Activity 1-2
B. Activity 1-3
C. Activity 3-4
D. Activity 4-5

Reason:

Normal
Crash Time Normal Cost Crash Cost Cost slope
Activity Time
(RM) (RM) (RM/day)
(week) (week)
1-2 5 2 21000 27000 333.33
1-3 3 1 5000 8000 250
2-4 2 1 10000 12000 333.33
2-5 4 1 7500 12000 250
3-4 5 2 24000 36000 666.67
4-5 7 2 8000 22000 466.67

Indirect Cost = 300 (RM/day)

Total Cost = 102500 (RM)

Crash Activity Direct Indirect Duration

Total (RM)
at Cost (RM) Cost (RM) (day)
Normal 75500 27000 102500 90
1-2 81500 27000 108500 90
1-3 78500 25200 103700 84
3-4 87500 25200 112700 84
4-5 89500 18000 107500 60

Activity 3-4 shows the highest increment if time compression needs to be done.
Q22. A decision has been made which activities 1-3 and 4-5 needed to be crashed 2 weeks
each due to financial reason. Calculate the new Total Cost of this project?

A. RM 117,700
B. RM 105,700
C. RM 102,500
D. RM 114,000

Reason:
Crash Direct Cost Indirect Total (RM) Duration
Activity (RM) Cost (RM) (day)
Normal 75500 27000 102500 90
1-3 78500 25200 103700 84
4-5 84100 21600 105700 72

Q23. The project manager is making sure that the product of the project has been completed
according to the project management plan. What part of the project management process
is he in?

A. Planning
B. Executing
C. Monitoring and controlling
D. Closing

Reason: Monitoring and Controlling are similar to check and act. After planning,
the implementation will take place. The implementation will have to be
closely monitor to see how much it varies from the planning. The deviation
from the original plan then have to be rectify.

Q24. A task was scheduled to employ two persons, full time, and take two weeks to complete.
Instead, the project manager was only able to assign one person to this task. At the end
of two weeks, the person assigned to the task was 75% complete. What is the cost
performance index?

A. 0.75
B. 1.50
C. 0.25
D. 1.15

Reason: In two weeks, let say two persons have

BCWS = 100;
BCWP = 100  75% = 75;
ACWP = 50
CPI = BCWP/ACWP = 75/50 = 1.50
Q25. Which of the following statement about project cost is true?

A. Direct cost is also known as overhead cost

B. Indirect cost include cost of hiring and purchasing plant and machinery
C. Total cost is the summation of direct cost, indirect cost and profit
D. Profit is also known as contractor’s mark up

Reason: Indirect cost is known as overhead cost.

Direct cost include cost of hiring and purchasing plant and machinery.
Total cost is the summation of direct cost and indirect cost only.
Questions Q26 – Q29 are referring to the Table Q26
Table Q26 shows the value of works and the program for the construction of a building. The
information of the project is as the followings:

I. The gross profit margin is 10 % of the value.

II. Retention money is 5 %.
III. Progress payment is on monthly basis and measurement will be made at the
end of each month and the contractor receives the payment one (1) month later
IV. The contractor is given advance payment of RM 700,000 at the start of the
project; the advance payment will be returned to the client through progress
payment deduction starting from the end of fourth month to the end tenth
month equally.
V. The retention money is repaid 3 (three) months after the practical completion.

To simplify the calculation, you may assume that all costs must be met at the instant they are
incurred. You may also assume that the monthly value and cost for each activity are equally
distributed.
Table Q26-Q29
Activity Duration Predecessor Total Value of
(month) Work
(RM  1000)
Start 0 -
A 2 Start 800
B 2 A (FS - 1) 1600
C 3 B 1200
D 4 C (FS - 3) 5200
E 2 C (FS - 1) 600
F 2 E 1200
G 1 B (FS+4), C 1800
(SS+3)
H 1 D, F, G 500
Finish 0 H

Based on the above information’s, answer the following questions.

Q26. What is the total cost of the project?

A. RM 11,160,000
B. RM 11,610,000
C. RM 12,400,000
D. RM 12,900,000

Reason: Total Value = RM 12,900,000

Total Cost = RM 12,900,000  0.90
= RM 11,610,000
Q27. Calculate the maximum cash required for this project.

A. RM 2,340,000
B. RM 2,550,000
C. RM 2,625,000
D. RM 2,910,000

Q28. At the end of which month, the maximum cash is required?

A. End of month 5
B. End of month 6
C. End of month 7
D. End of month 8

Q29. What is the expected monthly payment received of all works that are scheduled to be
completed in month 9 only?

A. RM 556,000
B. RM 470,000
C. RM 475,000
D. RM 2,180,000
Reason:
For Q27-29,

Month
Activity
1 2 3 4 5 6 7 8 9 10 11
A 400 400
B 800 800
C 400 400 400
D 1300 1300 1300 1300
E 300 300
F 600 600
G 1800
H 500
Monthly
Value 400 1200 800 1700 1700 2000 1600 2400 600 500
Cumulative
Monthly
Value 400 1600 2400 4100 5800 7800 9400 11800 12400 12900
Monthly
Cost 360 1080 720 1530 1530 1800 1440 2160 540 450
Cumulative
Monthly
Cost 360 1440 2160 3690 5220 7020 8460 10620 11160 11610
Payment 700 380 1140 660 1515 1515 1800 1420 2180 470 475
Cumulative
Payment 700 1080 2220 2880 4395 5910 7710 9130 11310 11780 12255
Required
Cash 740 1080 1470 2340 2625 2550 2910 2030 300

* RM  1000
SEMESTER 2, SESSION 2016/2017

Q15. Which of the following are the processes for machinery maintenance monitoring in
order to achieve the required productivity?

I. Acquire schedule of service for the engine

II. Inspection before running the machine every day
III. Use in accordance to drawing and specification advised by the manufacturer
IV. Reject usage of overage machine

A. I and II
B. III and IV
C. I, II and III
D. All the above

Reason: In order to achieve the required productivity, all the above processes
must be performed.

Q16. The selection of machineries for work execution is based on

A. Model of machine
B. Method of construction
C. Availability of a skilled operator
D. Popularity of machine

Reason: Machineries are selected based on method of construction. Different

method of construction will require different types of machinery.

Q17. The followings are the factors that influence the selection of a particular model of in
ownership of a machine:

I. Annual maintenance cost

II. Capital cost
III. Operator cost.
IV. Spare part availability

A. I and II
B. III and IV
C. I, II and III
D. All the above

Reason: The factors need to be considered is maintenance cost, capital cost,

operator cost, spare part availability, economic life span, market usage
and productivity.
Q18. In order to increase profitability of a project the following strategies with regard to
managing resources have to be carried out, except:

A. Reduce number of machineries

B. Optimized workers used for all activities
C. Minimized material wastage
D. Appropriate working capital for the project

Reason: Reduce number of machineries will delay the duration of project.

Subsequently, the cost of the project will increase.

Q19. Given a normal cost and time for a roof finishing work is RM95,400 and 10 days. The
contractor planned to shorten the work due to weather condition which affects the crash
cost increase to RM120,800 in 5 days. What is the expected cost slope of this activity?

A. RM12,080/day
B. RM19,080/day
C. RM24,160/day
D. RM5,080/day

𝐂𝐫𝐚𝐬𝐡 𝐂𝐨𝐬𝐭−𝐍𝐨𝐫𝐦𝐚𝐥 𝐂𝐨𝐬𝐭

Reason: Cost Slope = 𝐍𝐨𝐫𝐦𝐚𝐥 𝐃𝐮𝐫𝐚𝐭𝐢𝐨𝐧−𝐂𝐫𝐚𝐬𝐡 𝐃𝐮𝐫𝐚𝐭𝐢𝐨𝐧

𝟏𝟐𝟎𝟖𝟎𝟎−𝟗𝟓𝟒𝟎𝟎
= 𝟏𝟎−𝟓

= RM5080/day

Question 20 to 22 will refer to the following table:

Table Q20-22 shows the scheduling data for a small project. Using a priority listing of
activities based on early start-total float sort and late start-total float sort, prepare
resource loading diagrams.

Table Q20-Q22

Activity Duration Predecessor No. of Labour

A 2 - 2
B 4 A 4
C 3 B (FS+1) 3
D 3 B 3
E 1 A 1
F 3 C (SS+2), E 3
G 2 C, D, F 2

Q20. Based on the early start resource loading diagram, what is the labour resource allocation
for day 9 of the project?

A. 4
 B. 5
C. 6
D. 2

Reason:

5
Total Labour

0
1 2 3 4 5 6 7 8 9 10 11 12 13 14
Time (days)

Q21. Based on the late start resource loading diagram, what is the labour resource allocation
for day 11 of the project?

A. 3
B. 5
C. 6
D. 9

Reason:

10
9
8
7
Total Labour

6
5
4
3
2
1
0
1 2 3 4 5 6 7 8 9 10 11 12 13 14
Time (days)
Q22. If the labour resources for the entire project duration are limited to 6 units only, what is
the duration of this project?

A. 16
B. 18
C. 14
D. 10

Reason: In Early Start, the maximum number of resources is 6 units. Thus, the
project duration will not change.

Q23. Which of the following are the reasons for the contractor to shorten the project time and
conduct time-cost trade-off analysis?

I. Contractor needs to rationalise the unit rate of the activity.

II. To catch up with the lost time due to the delay of earlier activities.
III. To reduce the overhead cost of the project.
IV. Instruction by the client for the earlier hand over the project.
A. I, II and III
B. I, III and IV
C. II, III and IV
D. All the above

Reason: The reason for the contractor to shorten the project time and conduct
time-cost trade-off analysis is:

i. The client requested the project to be completed ahead of the

schedule.
ii. The delay incurred for the earlier activities.
iii. To reduce overhead cost of the project since the duration of project
decrease.
Q24. The performance report format that best shows the cumulative values over time for a
project is called.

A. Overview report
B. S-curves
C. Histograms
D. Milestone report

Reason: S-curve is a project management tool that display cumulative values in

terms of number of activities or costs over time.

Q25. Cash flow forecasting is an effort to ……………………………of the project.

A. determine the S-Curve.

B. forecast profit margin.
C. determine cash requirements.
D. forecast the resource requirements.

Reason: Cash flow forecasting is the projection of income and expenses during the
life of the project. It is an effort to ensure adequate cash is available.
Questions Q26 – Q29 are referring to the Table Q26
Table Q26 shows the value of works and the program for the construction of a building. The
information’s of the project are as the followings:

I. Activity A starts on 1 February 2017.

II. The gross profit margin is 10% of the value and retention money is 5 %.
III. Progress payment is on a monthly basis and measurement will be made at the
end of each month and the contractor receives the payment one (1) month later
IV. The contractor is given advance payment of RM 700,000 at the start of the
project; the advance payment will be returned to the client through progress
payment deduction starting from the end of May to the end November equally
V. The retention money is repaid in full 3 (three) months after the practical
completion.

To simplify the calculation, you may assume that all costs must be met at the instant they are
incurred. You may also assume that the monthly value and cost for each activity are equally
distributed.

Table Q26

Activity Duration Predecessor Total Value of

(Month) Work
(RM  1000)
Start 0 -
A 3 Start 1200
B 2 A (SS + 1) 1400
C 3 A, B(SS+1) 900
D 5 B (FS - 1) 5000
E 2 D (FS - 2) 800
F 2 E 1200
G 1 B (FS+4), 1800
C(SS+3)
H 1 D, F, G 500
Finish 0 H

Q26. What is the total cost of the project?

A. RM 11,520,000
B. RM 11,070,000
C. RM 12,800,000
D. RM 12,900,000

Reason: Total Value = RM 12,800,000

Total Cost = RM 12,800,000  0.90
= RM 11,520,000
Q27. Calculate the maximum cash required for this project.

A. RM 2,080,000
B. RM 2,035,000
C. RM 2,725,000
D. RM 2,910,000

Q28. At the end of which month, the maximum cash is required?

A. End of July
B. End of August
C. End of September
D. End of October

Q29. What is the expected monthly payment received of all works that are scheduled to be
completed in month August only?

A. RM 1,230,000
B. RM 1,515,000
C. RM 1,135,000
D. RM 2,180,000
Reason:

Month
Activity 2 3 4 5 6 7 8 9 10 11 12
A 400 400 400
B 700 700
C 300 300 300
D 1000 1000 1000 1000 1000
E 400 400
F 600 600
G 1800
H 500
Monthly
Value 400 1100 2100 1300 1300 1700 1400 2400 600 500 0
Cumulative
Monthly
Value 400 1500 3600 4900 6200 7900 9300 11700 12300 12800 12800
Monthly
Cost 360 990 1890 1170 1170 1530 1260 2160 540 450 0
Cumulative
Monthly
Cost 360 1350 3240 4410 5580 7110 8370 10530 11070 11520 11520
Payment 700 380 1045 1895 1135 1135 1515 1230 2180 470 475
Cumulative
Payment 700 1080 2125 4020 5155 6290 7805 9035 11215 11685 12160
Required
Cash 650 2160 2285 1560 1955 2080 2725 2035 305 -165