Monday, January 27, 2020

Strategic Management And Leadership Semco Case Study Business Essay

Strategic Management And Leadership Semco Case Study Business Essay Executive Summary: The purpose of this report is to identify the leadership and management styles adopted by Ricardo Semler and their impact on the strategic choices of Semco. This report will also explore various management and leadership theories and the resultant effect on organisational and leadership strategy. Introduction: The report intends to take a holistic view of the management and leadership styles and theories and their impacts on organizational leadership and strategy in the backdrop of Semco. Continuing further, the report will assess and evaluate the leadership requirements of Semco and formulate a suitable leadership development plan. A brief look into the evolution of Ricardo Semlers Semco is necessary to understand the organization. Semco, despite challenging the traditional style of corporate management, has continued to grow by leaps and bounds ever since the legendary Ricardo Semler took charge. The organization that was thought to have adopted a management style often termed as a recipe for disaster has been a champion of change with profits growing consistently. Semco had a manifold increase in profitability, growth and productivity, which is remarkable considering the many years of economic melt-down and the volatile political scenario it was operating in. Such an accomplishment requires full faith in employees and a commitment from the top management, but it was not always so. This progress was gradual and methodical as will be demonstrated in the following sections. 1: Leadership styles adopted by Mr. Semler and impact on strategy Ricardo Semmler The authoritarian: When Ricardo Semmler joined his fathers company in 1979, the company was involved in manufacturing equipment for the shipping industry. The revenues were shrinking and despite Semmlers insistence to diversify into other businesses, the management stuck to the same industry. When Mr. Semmler was made in charge in 1980, his first action was to fire 60% of the top management which opposed his radical ideas. An autocratic style of leadership, as theorized by Kurt Lewin, is evident from many actions taken by Semmler. This was combined with a traditional management style which involved following a strict policies and procedures framework for almost every task. Reports and manuals were a norm. The focus was on productivity and achievement of goals. The management performed the traditional roles, as described by Henry Fayol in his theory of 5 functions of management, namely; planning, organizing, commanding, coordinating and controlling the organization. This management style suited well to the fairly authoritarian style of leadership of Ricardo Semmler who held the power to decide for the organisation. Impact on strategy He changed the strategy of the organization, shifting the focus from shipping industry only to diversification into various industries. His vision was to reduce reliance on one industry only and expand into different businesses. This meant that the achievement of tasks were the focal point of the strategy while the employees felt stressed and de-motivated. Innovation seemed non-existent and steadily the staff turnover began to rise. Stress took its toll on Ricardo Semmler himself and his health condition became worse. This was the time for a change. The Change: Source: http://www.shkaminski.com/Classes/images/Managerial%20Grid.gif The management grid by Blake and Mouton perfectly describes the styles of management adopted by Semco. Initially, Semco was located in the bottom right section aiming for high production with low concern for people but gradually the shift towards Team management whereby the organization is divided into small teams operating fairly independently of others but in a coordinated way with high productivity while keeping employees motivated and satisfied. Ricardo Semmler The Democrat: This was when he turned the tables around, making the change by involving the employees in almost every decision made in the company. The change was not a drastic one, it was gradual yet steady. Ricardo Semmler had realized that employees involvement in the decisions related to the organization was essential. They must be well aware of what the organization wants to achieve. Employees should give in their 100% regardless of the skills set they possess. For these reasons, Semmler transformed himself and adopted a leadership style that was identical to Kurt Lewins participative style of leadership. Reforms such as removing the formal line of authority, discarding the organization chart, letting employees set their salaries, select work hours that suit them and even choose their managers and spiraling the organisition into one where there are no cabins and where employees are involved in all major decisions made by the organization are all evidences of the change in management style by Ricardo Semmler. Impact on strategy These actions have brought about a change in the overall strategy of the organization. The employees are aligned with the strategic objectives of the organization. The organization now operates with a strategy that promotes culture of overall openness sharing ideas and providing feedback. The strategy of Semco is now to involve employees in the organizations benefits through its unique profit-sharing scheme, motivating them to work for the growth of the company they can call their own. The organizations structure has been re-defined, moving from hierarchical to business unit approach with teams at the core. Teams mutually decide upon what needs to be done and who will be responsible for what tasks. For this to be achieved multi-tasking is pivotal and most employees are adept at majority of the tasks performed within the unit. This promotes ideas of self-governance and self-management and incorporates responsibility among employees into the overall strategy of the organization. The f ocus has shifted from being task oriented to more people oriented with high importance given to productivity. 2: Link between management and leadership theories 2.1 Leadership and Strategic Management: Leadership and management are two distinct systems that must co-exist in any organization. Managers tend to have a short-term orientation and usually solve problems as they appear. Leaders on the other hand are more forward looking and make decisions that suit the long term interests of the organization. Leadership and management both shape up the organization. While leaders decide on the direction of the organization, provide the resources and set the frame, managers ensure that the objectives are achieved within the allocated resources. Theoretically, managers and leaders are considered to be separate. However, managers will not be working alone and will be managing a team of individuals for achieving the targets set for them. This will require a degree of leadership skills too as this would call for influencing the actions and thoughts of other people. Henry Fayols 5 Functions of Management (1916) http://www.oppapers.com/essays/Leadership-Management/48673 Henry Fayol devised a theory which suggested that management is essentially a combination of stepped activities, namely; Planning: Plans are made, budgets are decided, limitations are taken into account and parameters of operations are established. This role is commonly shared by both the leader and the manager. A leader would usually be planning for the longer-term while the managers viewpoint is fairly shorter and focuses on immediate targets. Organizing: The second phase invariably includes the allocation of resources that would be consumed for achievement of objectives. Decisions about financial capital, human capital and the structure to be followed for attaining success are taken. Commanding: This ensues deriving the optimum out of the resources. Managers communicate clearly what is expected from the employees and lead by example. Coordinating: Teams will be striving for their individual targets and a balance needs to be maintained among all activities. Harmonization of activities is vital and so is management of conflicting interests. Leaders would take the driving seat. Controlling: Sizing up the benefits of activities is important. Controlling is measuring performance to be able to plan for the future. Leaders would again be looking at the long-term implications of the actions performed and decide on the future strategy. Managers on the other hand will be more concerned with what needs to be repeated and what is to be avoided. To sum it up, Henry Fayol proposed a management theory which describes the functions of management but in effect, it also categorizes the traditional role performed by the leaders as well. Peter Druckers 5 Management Processes (1954) http://www.oppapers.com/essays/Leadership-Management/48673 Peter Drucker, a renowned management theorist had a similar viewpoint of the process of management. According to him, management plays a predefined role in any context. These are: Objective Setting: Leaders provide the vision of the organization as a whole and managers, for their part, set the direction of their individual units. Motivation: Employees need to be motivated if managers want to extract their full potential. Leaders and managers have a variety of motivational tactics to use. Some could be financial incentives, while others are more humanistic in nature. Task Organisation: A manager needs to organize the task and organize the activities for the smooth operations leading to realization of objectives. Measurement: Performance needs to be measured in order to identify any divergences from the required performance and to find ways to fill any gaps in the desired and actual performance. Training and Coaching: Managers and leaders must develop their sub-ordinates. Managers and leaders have to train and coach their sub-ordinates in order for them to perform to the required level. Transactional Management and Transformational Leadership The transactional and transformational theories are another way of describing the inter-relationship and distinction between managers and leaders. According to this theory, managers are more involved with day to day activities of the organization while leaders are concerned with the strategic vision. Managers follow the set principles while leaders challenge the status quo. Leaders are more concerned with bringing about the change in the culture while managers implant that change in the organization. The primary role of a leader is to set the direction while managers ensure the organization is kept on track. Mckinseys 7S Framework http://www.mindtools.com/pages/article/newSTR_91.htm Source: http://www.mindtools.com/pages/article/newSTR_91.htm The model suggests that any organization has 7 building blocks. The blocks are categorized as: Soft Elements: Shared Values, Skills, Style Staff Hard Elements: Structure, Systems and Strategy The model places highest importance to the shared values placed in the middle. It re-iterates the fact that all other elements are derived from the vision for what the organization wants to achieve. The Hard elements are determined by the leadership style chosen while the soft elements are drawn from management. Leaders would; evaluate what set of skills are possessed by the employees and what should to be developed select the staff taking into consideration their abilities and the needs of the organization; and Decide upon The style in which the organization is taken forward. The style of leadership would depend on circumstances Managers on the other hand; Shape the structure of the organization using tools such as reporting lines, organization charts etc Develop a plan, allocate resources and decide the course of action. In short, devise a strategy Craft the policies and procedures and standards on how tasks are performed. Leadership style may have profound impact on the strategy of an organization. A transformational style of leadership may stir up the enterprise, motivate and spur action. Such a leader provides an insight into the future, takes the initiative, inspires followers, involves stakeholders, improvises, thoughtful about individuals and implements successfully. This form of leadership would lead to an overhaul of the way the organization operates. A transactional leader on the other hand would have a strategy of maintaining the status quo and keep the current operations. Add Emotional Intelligence 3: Utilize appropriate techniques to review Semco leadership requirements 3.1: Use appropriate methods to review current leadership requirements In order to completely understand the requirements of leadership, it is necessary to understand the environment Semco is operates in, the phase the Semco itself is going through, what pressures are exerted from an industry sector, what its structure is and what the strategic direction it has assumed by the corporate parent. Semco strives to develop a competitive advantage. This is achived by looking at four factors according to Porters Diamond. These are: Firm strategy, structure and rivalry: strategy is what the organization wants to achieve. Structure of the enterprise should be developed to support the strategy and rivalry serves as motivation. Demand Conditions: portrays the demand of products and services. Factor conditions would be developed according to these demand conditions Related and supporting industries: an industry cannot survive without its associated industries. Semmler saw this when the shipping industry was shaking and Semco was badly hit. Factor conditions: The resources of the nation are the factor conditions. Education, mineral resources, capital goods all account for here. What we already possess and what needs to be developed. STEEPLE: Semco is primarily involved in production of heavy industrial equipment and development of intelligent systems however, it also holds stakes in an investment company and energy sector.A STEEPLE analysis is used to understand the environment that Semco operates in. https://www.cia.gov/library/publications/the-world-factbook/geos/br.html Social factors: Semco has shown high concern for social factors. It pays its staff good salaries and keeps them motivated. Semcos policy is to maintain a work/life balance evidenced by initiatives such as Retire a little bit allowing employees to do what they want. Technlogical factors: Technoloical advancement is the need of time and organizations need to identify and discover new technologies to improve efficiency and effectiveness. Economic: Semco operates in the fastest growing South American economy. It is among the emerging economies that have shown revival signs. Growth is expected to be 5% in 2010 as per the Central Bank. GDP composition by sector is: Agriculture:Â  6.1% Industry:Â  25.4% Services:Â  68.5% (2009 est.) Environmental: Brazil is the 7th largest oil consumer in the world and 10th largest when it comes to electricity. This is largely because major part of economy is related to industry. This poses a threat to environment. http://www.semco.com.br/en/content.asp?content=2contentID=548 Political: Semco operates in a political environment where, in the past, the government has often changed monetary, fiscal, taxation and other policies to influence the course of Brazils economy. Such actions are beyond control and Semco cannot predict what measures or policies the Brazilian government may take to influence the economy. Legal: The legal structure in Brazil is one that welcomes foreign investment. There are no requirements for government approvals or minimum investments. http://www.lexmundi.com/images/lexmundi/PDF/guide_brazil.pdf Ethical: Ethics is a major issue of concern in Brazil. It ranked among the 15 most corrupt countries in the world. There have been cases of corruption in the public sector. http://www.brazzil.com/cvrmar97.htm STEEPLE provides an insight into the macro environment Semco operates in. It is also important to understand the phase that Semco is going through as an individual organization. The organization has taken a strategy of diversification by entering new markets and developing new products. This has been done by revolutionizing the current practices, regular reinvention and constant renewal. Semco operates in a complex environment although the environment provides plenty of opportunities that might match its strengths. Semco needs to adopt a strategy of global companionship and to partner with international, well-reputed organizations to achieve economies, compete effectively and lead the market. It has to build strong bonding between the sister concerns and develop strong networks within the group and with parties external to the group. It needs a leadership that promotes mergers, acquisitions and alliances in order to continue its long run of success. 3.2: Plan development of leadership according to future needs: Semco needs to develop leadership that has the ability to foresee the future requirements and have a strong sense of responsibility. Semco needs to make use of the corporate parent theory to productively apply the concept of diversification through mergers and acquisitions. Strong communication skills are an essential attribute that must be developed to avoid ambiguities. The leader must be able to network well with inter-related parties and command respect so that others may give to heed his ideas. The leader should have the strength to accept his mistakes and the humility to give credit where it is due. Semcos culture is the core competency that it has developed over the years. Its competitors have been unsuccessful at adopting the culture, either because of lack of resources or lack of conviction. 4: Produce a future leadership plan for Semco

Sunday, January 19, 2020

Building and Maintaining a Putting Green Essay -- turf glass, USGA gre

There are many steps involved in building and maintaining a putting green. The first step that the Superintendent and Golf Professional staff needs to understand is that research and studying their options is the most important part to building a successful golf course and putting green. Without research for the grass and soil, diseases would run rampant, courses would be using dated technology, the grass would not be as easy to maintain, and costumer satisfaction would decrease causing a decrease in revenue. The facility could even choose the wrong grass if they didn’t pay close attention to their soil quality, known local diseases, and temperature zone. The facility needs to research which method of green they would like to build and how much it is going to cost. For example a lower end municipal course might chose to make push-up green which doesn’t guarantee the longevity of the grasses survival, but it is within their budget and suits their needs just fine. A five star resort will want to build a USGA green that costs more, but certifies the survival of the greens. A facility will be aware of the amount of research needed to build a green from scratch but once they build the green, research will still need to be taking place in order to help the greens survive. Research needs to be continuously taking place in order to provide the cheapest, safest, and best quality playing surfaces. People pay for the visual and performance quality of the grass, the turf and golf staff need to be constantly ask how can we improve the conditions in order to provide the ideal image that the player is expecting. Research consists of the daily practices all the way to conducting a funded study on different cultivars or the watering needs of the f... ...cations to allow the other areas of the green to heal and to prevent too much wear and tear to one area of the green. Golf courses should consider everything from the location of the green, people traffic, soil, top gravel and draining areas before starting the construction process. Works Cited Gains, T. 1987. Putting Green Topoil Mixtures that Meet USGA Specifications. Carolinas Newsletter. Green Section Staff & Moore, James. Building the USGA Green: Tips For Success. United States Golf Association. 1-32. Moore, James. May 2004. Building and Maintaining the Truly Affordable Golf Course. United States Golf Association. Murphy, James. June 2007. Rootzone Amendments for Putting Green Construction. United States Golf Association. 1-7. United States Golf Association. 2004. Turf Management FAQs. United States Golf Association. 1-3.

Saturday, January 11, 2020

Mark Twain Case Essay

Mark Twain was an extremely productive author in his lifetime.   He wrote many famous books, articles and stories.   He was also a world traveler.   He visited five continents and crossed the Atlantic Ocean 29 times.   In general, he is notarized for his fiction works.   However, he also composed many successful non-fiction manuscripts as well. Many of Twain’s non-fiction works were written on his travels.   In his travels to the Old City, Twain took photographs to correspond with his written work.   He described the Old City, highlighting the methods and manners in which the Jewish people of the city worshipped and interacted with one another.   While doing this, he provided names to many of the places that he visited.   Many of these names have stuck, and have become the common names of landmarks (Journey to the Holy City, 2).   Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚   Most readers are already familiar with the broad brushstrokes of Mark Twain’s life.   Many interviews, however, were conducted in order to present a totally new facet of the Twain story, unfictionalized and in fascinating detail. These interviews appeared in a great diversity of American and international newspapers during the long course of his creative adult life (Nash).   The interviews provide information to the volumes and volumes of Twain’s imaginative and satirical capabilities.   Most famous of the non-fiction works written by Twain is his adult biography.   The biography tells the compelling story, from his own perspective, of life and the inspirations behind his works. Countless books have been written about Twain’s life.   One book, written by Ron Powers, has been hailed by critics as serving as a â€Å"biography but much more†¦Powers uses Twain’s life to tell us what America was like then and, tangentially, why we’re what we are today† (Spiegel, 2).   Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚   Twain’s world travels began in 1867, when a California newspaper sent him on a five-month trip to Europe and the Middle East.   There, he wrote many letters that were later put together to form the book The Innocents Abroad (Twain’s Travels, 1).   Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚   Mark Twain is considered to be one of the world’s greatest humorists.   His witty phrases and observations filled the pages of his non fiction works (WordPlay, 1).   Twain was also one of the first persons in his town in Hartford, Connecticut to have a telephone.   An example of his humorous use of satire to describe a situation occurred in 1880.  Ã‚   Twain was amused by his new device, as it enabled persons who enjoyed eavesdropping to hear only one side of a conversation.   As a result, he wrote an amusing description of listening to his wife talk on the telephone (Twain, 1).   Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚   Twain composed many of his non-fiction works under his pen name.   His legal name was Samuel Clemens.   While often engaged in travel, Twain spent over 17 years at his beloved Hartford home.   While living there, he published six books.   These include: The Adventures of Tom Sawyer, A Tramp Abroad, The Prince and the Pauper, Life on the Mississippi, Adventures of Huckleberry Finn, and A Connecticut Yankee in King Arthur’s Court (Allen).   Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚   Literature critics have paid significant attention to Twain’s twang in his nonfiction writings, stating that â€Å"he pours forth a flood of most graphic word painting. He talks slowly and extracts each of his vowels with a corkscrew twist that would make even the announcement of a funeral sound like a joke† (Mark’s Twang, 1). Critics have also spent significant amounts of time dissecting Twain’s life as well as books written about his life.   In an article by Middlekauff, the author describes Twain as an inspiration to biographers, historians and literary critics alike.   Middlekauff elaborates on this by concluding, â€Å"Mark Twain, in all of his fascination, will never exhaust the interest of his readers† (1).   It seems as though Middlekauff hit it right on. In the past decade, in particular, Twain’s name has been used publicly to highlight achievement.   Schools have been named after him.   Additionally, many literary awards have been named after the famous author.   For example, in 2006, playwright Neil Simon was presented with the Ninth Annual Mark Twain Prize for American Humor (Awards and Prizes, 1). Works Cited Allen, Daniel.   Mark Twain.   Yankee.   November 2006.   Vol 70(9).   1 pg. Awards and Prizes.   American Theatre.   September 2006.   Vol 23(7).   1 pg. Journey to the Holy City in the Footsteps of Mark Twain.   PSA Journal.   October 2006. Volume 72(10).   2 pg. Mark’s Twang.   Harper’s Magazine.   September 2006.   Vol 313(1876).   1 pg. Middlekauff, Robert.   Mark Twain: A Life.   Journal of American History.   September Vol 93(2). 1 pg. Nash, Charles.   Mark Twain: The Complete Interviews.   Library Journal.   October 1, Vol. 131(16). 2 pg. Spiegel, Pamela.   Leaders as Readers.   American Libraries.   May 2006.   Vol 37(5), 4 pg. Twain, Mark.   A Telephonic Conversation.   Atlantic.   September 2006.   Vol 298(2).   1 pg. Twain’s Travels: Letters from home; from France, Morocco, Egypt and Russia.   Read. November 3, 2006.   Vol 56(6).   2 pg. Wordplay.   Read.   November 3, 2006.   Vol 56(6).   1 pg.

Friday, January 3, 2020

Most Appropriate Procurement Method For University Of Salford - Free Essay Example

Sample details Pages: 12 Words: 3521 Downloads: 7 Date added: 2017/06/26 Category Statistics Essay Did you like this example? 1.0 Introduction The University of Salford is a leading UK university close to the city centre. They aim to become the very best UK universities and recognized internationally by 2017. A strategic plan has been developed. To response to achieve the strategic plan, the School of the build environment is to deliver its core course provision within a prestigious bespoke facility and expand its role to include architecture. A new state of the art development is proposed on the existing campus which will replace an older building which has become available. Don’t waste time! Our writers will create an original "Most Appropriate Procurement Method For University Of Salford" essay for you Create order I have been appointed as a main consultant to the client and required to advise the client on the most appropriate procurement method. The proposed site will require demolition of existing structures and the new facility will contain State of the art lectures theatres Meeting rooms Extensive classroom and studio facilities Office accommodation Laboratory accommodation Learning resources units External works In the University policy on sustainability, the client needs the building to be carbon neutral. In addition, the university facility should make a clear architectural statement and must be constructed to the highest aesthetic and qualities standard. The budget to cover the total development cost, inclusive of construction works, statutory and professional fees approximately  £20 million. The completion is critical, as the building requires handover by 1 august 2012 at the very latest, to accommodate the new academic year. 2.0 Procurement The process of the procurement is acquiring goods and services, covering both acquisition from third parties and form in-house providers. The process span the whole life cycle from the identification of needs, to the end of a services contract or the end of the useful life of an asset. If they didnà ¢Ã¢â€š ¬Ã¢â€ž ¢t have any recognize, they will be not allow to follow the next step. Once they have been recognized, it is important to succeed the information of what will lead to satisfaction. From there, it is a matter of determining what features are preferred, as well as determining an approximate amount of money that the consumer is willing to pay. If they can provide the following requirement, they can involve the evaluation of potential suppliers. The evaluation suppliers will involve knowing more about the seller who can supply goods or services which can meet their requirement. This may involve negotiating prices or accepting proposals. Once the final decision is made between the two remaining suppliers, they can involve the final process. The final procurement process involves taking control of the good or service, ensuring the item is in agreement with all the claims which prepared by the supplier. There has been change in procurement such as; Government intervention The PFI(Private Finance Initiative) projects have been increase and expand the PFI policy. Technology The client need responsibility The influence of developments in education and training from research studies into contracting methods 3.0 Procurement strategy Contract strategy The contract strategy is to promote effective procurement across the whole organization. In this method, it is necessary to match the need of the client with the most suitable, to enable this, the client objective and the operation and relative attributes of the available procurement and method of appointment, is required. Project Size The Small project is not suitable on detailed form of contractual arrangement. That means, some of the procedures will unlikely to be cost effective, Open tendering or design and build most will be suitable for small project. Client type Clients who carry out the construction work are much better to be informed on their development their own preference and will not require building occasionally. In this result, the quantity surveying need to give some advice to the client the adoption and appropriate methods. The client with experienced have a working strategy of the construction industry, so the client can contribute to the process throughout. The client without knowledge will need quantity surveyor advise and they canà ¢Ã¢â€š ¬Ã¢â€ž ¢t contribute in the construction process. 4.0 Client Procurement needs The three main factors that need to be considered in the most suitable procurement system is the cost, time and quality which reflects each in either way. 4.1 Time The time completion or the project duration is seen as a major criterion of project success by the clients, contractors and consultant, most client likely to have an early building completion or on time, and that concerted management effort will help to control the cost and quality. it also very important to decide the true need since attempt to meet the objective is expected to have consequences on other requirement.(Allan Ashworth Keith hogg,2007) 4.2 Cost Cost is the most important under client procurement need, Client have been increasingly concerned with the overall profitability and the accountability of project. the factors to be considered for the cost are the price negotiations, fixed price arrangements, price certainty, price forecasting, contract sum, payment and cash flows, life cycle cost, variations and final cost ,Client also need cost if the project get delays, they are some project with unusually short project period tend to incur some form of cost penalty. The introduction of conditions to the client, or the imposition of higher standard of workmanship than normal, will also push up costs. The cost are certainly is required prior to commitment to project completion or construction. (Allan Ashworth Keith hogg,2007) 4.3 Quality The quality for the client defined as one of the components that contributes to à ¢Ã¢â€š ¬Ã…“ value for moneyà ¢Ã¢â€š ¬?, the quality is influenced by several factors such as the briefing process; the suitability of materials and the quality control procedures that are in place during both design and construction. they have 3 way quality mananagement must be achieved, they are integration of the project team so they have a objective and a common culture, A customer focus for the team thereby facilating the provision of products and services and a process of improvement in the management of the construction project. If they can achieve the 3 successfully quality management, the project will begin to realize significant and improvement in the attainment of the clients à ¢Ã¢â€š ¬Ã‹Å"objectiveà ¢Ã¢â€š ¬Ã¢â€ž ¢ (allan ashworth keith hogg,2007) 5.0 Partnering Partnering define as à ¢Ã¢â€š ¬Ã…“a management approach used by 2 or more organizations to achieve specific business objective by maximize the effectiveness of each participants resources. The approve is based on mutual objectives, an agreed method of problem resolution and an active search for continuous measurable improvementà ¢Ã¢â€š ¬? They have three main components according to the definition above; they are mutual objectives, agreed method of problem resolution, active search for continuous and measurable improvement. Partnering is a form of collaborative working between the client and contractor, partnering is characterized by a greater degree of openness, teamwork, trust and sharing information. The aims of partnering arrangements are often expressed in terms of business outcomes rather than specific outputs or improvement; the partnering success will depend on the people and relationship aspects. (Allan Ashworth Keith hogg,2007) The process of partnering When the client and contractor agree to partnering each other, the procedures of partnering will involve a selection procedure, initial partnering workshop and a project review. The client and contractor can be partner is because they can trust each other and committed to the arrangement is fundamental to the process. The client and the contractor allow using traditional procurement in the initial selection stages. During this project implementation, the performance will be regularly reviewed. This will include all important project matters including quality finance, programmed, problem resolution and safely. (Allan Ashworth Keith hogg,2007) Project partnering Decision stage- The project team which involves in the partnering process is essential, once all of the parties have made the decision in the partnering process, they can go forward to the establishment of working stage. Establishment of working practices à ¢Ã¢â€š ¬Ã¢â‚¬Å" In this stage, all the project teams have to identify the mutual objective and have to solve the problem during the duration of the project. Later, all the project team have to involved in the partnering process when the decision has been made, they will determine how the project team will implement the project together and to improve relationship. The final task will consist of formulate a partnering chapter, a document with no legal standing, once all the parties have signed the document, it is exhibited in the office of all the participating organizations and they can go forward to the implementing partnering practices stage. Implementing partnering practices- the meeting will take place at intervals, during the meeting, they will solve the problem which they have during the implementation of the project and to ensure that the previously agreed continuous improvement have been made. Over the often lengthy implementation period, the project team enable to establish the relationship improvement, teamwork and the trust during meeting.(Masterman,2006) Strategic partnering Strategic partnering involves in the long term issues of partnering by two organizations to carry out more than one construction project. The benefits for strategic partnering is they can build a long term relationship which can include their establishing common facilities and systems, and understanding or known well for the partner longer term business. (Allan Ashworth Keith hogg,2007) Advantages of partnering disputes reduction time and expense in the settlement of disputes reduction cost reduction quality and safely will improved the design and construction times will improved the income will be more stable better working environment (Allan Ashworth Keith hogg,2007) Disadvantages of partnering initial costs complacency Single source employment- strategic partnering could result in both party becoming very dependent on one client and thus becoming very weak should this source of work be threatened. Lack of confidentiality of client or contractor processes and system à ¢Ã¢â€š ¬Ã¢â‚¬Å" disputes could occur in the event that information, which may be regarded as commercially confidential, were to be withheld from one or more of the partners. Lack of competition à ¢Ã¢â€š ¬Ã¢â‚¬Å" the accepted route to securing a à ¢Ã¢â€š ¬Ã‹Å"good valueà ¢Ã¢â€š ¬Ã¢â€ž ¢ price is through the competitive tendering process. Absent of partnering through the chain à ¢Ã¢â€š ¬Ã¢â‚¬Å" the benefits of partnering seem to be lacking from the contractor- subcontractor relationship. (Allan Ashworth Keith hogg,2007) 6.0 Procurement Option 6.1 Traditional Procurement Traditional procurement are the most common or popular in procurement, in this approach, the Client commission an architect to take a brief, produce designs and construction information, invite tenders during the construction period and the final account. The client will need some advice to appoint the consultant such as Quantity surveying, structural engineers and building services engineers. But, Quantity surveying is normally the client first choice. When the consultant have been prepare the design, tender document, the client will appoint the contractor to construct the works of the design according to the contract documents, Normally, Most of the works are done by sub-contractor to specialist firm which given by the main- contractor. The consultants also have to advise the client on progress and stage payment which must be paid by the client. This form of procurement is the separation of separation of design and construction. The main advantages of traditional procurement is The design can be fully developed and costed in detail after the buildings have been signed. Low tender price Procurement route most likely to give a client a much modified building. Accommodates design changes and aids the cost management process. The disadvantages of traditional procurement is Problem relating to design error, the risk relating to the design lies with the client. Lack of involvement of the construction in the design process. (Allan Ashworth Keith hogg,2007) 6.2 Design and build In Design and build, the client enters into the single contract with one entity who is responsible for both design and construction works of the project, which means, the client doesnà ¢Ã¢â€š ¬Ã¢â€ž ¢t need to employ consultant and architect, they can directly to employ the contractor to responsibility for both design and construction. The contractor also can appoint some consultant to do the design, most of the construction work will be carry out by sub- contractor. Design and brief is also one of the most frequently used procurement routes in construction, The contractor tenders against a client brief and will follow an initial concept design prepared by consultants appointed to advise the client.Normally, the contractor will develop the design and the works have to be completed. In a fixed price. Tendering is more expensive so it carries more risk for the contractor than the traditional approach. This is because the contractor has to develop an outline design and a detailed price. In the develop and construct method, the client have to prepared the conceptual design for the tender documents and ask the contractor to submit the proposal for the development and completion of the design. Construction novation is an approach whereby the client novates the design consultant to the contractors to aid the contractor in developing and completing the design. The main advantages in this design and build is Single point responsibility à ¢Ã¢â€š ¬Ã¢â‚¬Å" the contractor is responsible for the design and the construction, so the contractor cannot blame the consultant if they have a problem in work and will be motivated toward the reduction of design problem, this is more advantages compare to the traditional procurement when the client have separated the design and construction to the consultant and contractor respectively. Price Certainty à ¢Ã¢â€š ¬Ã¢â‚¬Å" offer there donà ¢Ã¢â€š ¬Ã¢â€ž ¢t have any client changes, a high level of price certainty exists, under JCT WCD(JCT 1998 Edition With Contractorà ¢Ã¢â€š ¬Ã¢â€ž ¢s Design), the contractor cannot claim money for loss and expense as a result of late receipt of instruction from the architect. Reduced project duration à ¢Ã¢â€š ¬Ã¢â‚¬Å" design and build work on site to start earlier when the design in process when they approve by the contractor. An improved degree of buildability à ¢Ã¢â€š ¬Ã¢â‚¬Å" the contractor has control the design and construction that means, the building is likely to be more buildable than other procurement methods. Claims- Claims are less likely to materialize when the contractor responsibility for the design and the construction(Allan Ashworth Keith hogg,2007) The disadvantages of traditional procurement is Design quality à ¢Ã¢â€š ¬Ã¢â‚¬Å" the design and build is not the appropriate procurement method where design quality is a high priority. Additional design fees- the client have to pay additional design fees if they wishes to take independent advice on design issues following the building contract being entered. Commitment prior to fully design à ¢Ã¢â€š ¬Ã¢â‚¬Å" the client bought a building which they havenà ¢Ã¢â€š ¬Ã¢â€ž ¢t fully design. (Allan Ashworth Keith hogg,2007) 6.3 Management Contracting Management contracting is to describe a method of organizing project team and the client appoints designers and a contractor separately and pays the contractor fees for managing the construction works. The contractor does not therefore participate in the profitability of the construction work itself. The management contractor will not carry out on construction work so they donà ¢Ã¢â€š ¬Ã¢â€ž ¢t need to employ the labour or plant, except they have to involve in the setting up of the site. There is less price certainty at the outset, because the construction will have to start ahead when many of the work have yet to be tendered. Management contracting will suitable for larger or more complex project, but parallel working can enable the process of procurement to take place faster than traditional procurement. The main advantage of this management contracting is Early involvement of the management contractor à ¢Ã¢â€š ¬Ã¢â‚¬Å" the contractor is employ on fees basis that means, the appointment can take place early during design stage. Reduced project duration à ¢Ã¢â€š ¬Ã¢â‚¬Å" construction can start early when the sufficient work has been designed. Accommodates later design decisions à ¢Ã¢â€š ¬Ã¢â‚¬Å" some design decision relating to work which successively at the end of the construction phase may be delayed due to the letting of work in packages (Allan Ashworth Keith hogg, 2007) The disadvantage of management contracting Commitment prior to full design à ¢Ã¢â€š ¬Ã¢â‚¬Å" when the design canà ¢Ã¢â€š ¬Ã¢â€ž ¢t complete at the time of commencement, it will affect the cost, quality and other when the client want to proceed. Increase in client risk à ¢Ã¢â€š ¬Ã¢â‚¬Å" the risks relating to additional costs arising, that means all of the works will be delays, defective work and claims. (Allan Ashworth Keith hogg,2007) 6.4 Construction management Construction management offer an alternative to management contracting in terms of the contract relation between the client and the contractor as in construction management, the client has a direct relation with the construction team unlike the management contracting. Means where the management service is provided by a fee-based consultant, a specialist construction manager or a contractor and where all construction contracts are directly agreed between the client and the trade contractors. There is no contractual relationship between the construction management and the trade contractors. Alike to the management contracting, the design and management can be overlapped, thus shortening the project time. Besides the overlapping process, the practice of having the construction management in the design stage should ensure that the design are more easily built due to the consequent avoidance of unnecessarily complicated work and reduction of overlapping between individual works contractorà ¢Ã¢â€š ¬Ã¢â€ž ¢s operations. Because of the direct contract is require, the additional client involvement have to be require, unfortunately, the adequate experience and the resources are not recommended. (Masterman, 2006) `The disadvantage of this system is in terms of the quality of work. But this problem could be overcome by the implementation of the correct quality control procedures during the construction stage to make sure that the performance of the contractor is strictly monitored and high-level quality can be achieved. 7.0 Procurement selection matrix 7.1 Analysis the procurement matrix According to the matrix system, the best procurement methods so far for this project are construction management. This procurement method will be based on the main factor for the selection of a procurement system which is time, quality and cost. Based on the time of completion of the project, the construction management could give the project shorter contract period compared to the traditional procurement system. (CIRIA, 2009 ) There is a slight difference in terms of the quality that the construction management based could produce. Construction manager is hired at the earliest stage of the project and it is found that the early involvement would have effect on the buildability of the building during the construction stage. Therefore with high buildability of the building with good supervision and the implementations of correct quality control procedures by the construction manager, the construction management system could achieve a à ¢Ã¢â€š ¬Ã‹Å"prestigeà ¢Ã¢â€š ¬Ã¢â€ž ¢ level of quality. Comparing the quality of work that a management contracting can produce, construction management could produce a good quality finish compared to the management contracting as the involvement of the management contractor is in a later stage than the construction manager. the management contractor will also need some advice from the design team on all aspects of the project. Last but not least, the construction management will have to give some advice to the client as the construction manager are involved in the earliest stage even before the design and brief is discussed. This means that the construction manager has more information of the project compared to the management contractor. 8.0 Proposal of the best procurement method According to my Procurement matrix, it is shows that the most suitable procurement method for the project is the construction management. This is supported by the highest score in the matrix compared to other procurement options, which means construction management meets most of the project needs such as the time of completion and the quality of the university facility. The reason why I choose construction management compare to other procurement is the quality, quality is very important for this project because of the reputation that the university aims to be ranked amongst the very best UK university and recognized by 2017 and the client requires the building to be carbon neutral and must be constructed to the highest aesthetic and qualities standard. Secondly is the timing requirement of this project. Construction management is the best choice for the time because the time of completion could give the project shorter contract period compared to the traditional procurement system and other procurement. The reason I allocate more importance on time is because the client need to finish the project as fast as possible and the handover by this project is 1st August 2012 at the very latest is to accommodate the new academic year. Besides that, as shown in a diagram in CIRIA (2009), construction management is suitable for an experienced client which would want to be involved more directly to the client. As the client have already appointed me to advise the client, I will advise the client to keep involved with the construction management and to have a direct relations with design and construction team so it is easier for them to communicate and allow better relationship. After all the argument above and in the previous section, it has been clear that the most suitable procurement system for this project is the Construction Management. 9.0 CONCLUSION As a conclusion to this report, for this project, the most suitable procurement system that could be used to procure the project is the construction management after comparing it with traditional, design and build and the management contracting procurement system. The reason for this is that construction management procurement system satisfies most of the clientà ¢Ã¢â€š ¬Ã¢â€ž ¢s needs compared to the other such as the high quality standard needed for this project and the early completion of time.