MANAGEMENT OF SMALL/MEDIUM FIRM Paweł Bilski Piotr Mazur Paulina Wawryca

THE SMALL FIRM Number of employee: 1-49 In the European Union are construction firms with 91% employing less than 10 people. Management between the man on the top and the workers. Functionally organised. 60% of the work is obtained by negotiation and the rest from competitive tenders. The policy of the company is to use mixture of labour-only and directly employed subcontractors.

ORGANISATION STRUCTURE Responsible for: -Contact with clients/ architects etc. -Preparation of tenders/ obtaining work -Submission and adjudication PRINCIPAL OWNER decisions -Pre-contract arrangements -Letting of subcontracts -Planning -Payment to subcontractors/ suppliers -Establishing policy -All decision making

PROJECT ORGANISATION PRINCIPAL Construction site manager Subcontractors Level 1 Level 2 Levels of management

THE MEDIUM-SIZED FIRM Number of employee: A team approach to the management of the company has to be established by the appointment of directors for contracts, surveying, estimating, office organisation and financial aspects of the business. Policy decisions must be communicated throughout the organisation. Development of teamwork is necessary at all levels of management. Delegation of responsibility at all levels of management must be established. Control and reporting procedures must be established for reporting on contract performance during the progress of construction projects. The staff know the person they are responsible for reporting to.

ORGANISATION STRUCTURE CHAIRMAN MANAGING DIRECTOR Commercial manager director Estimating/ surveying director Senior estimator Buyer/ scheduler Senior surveyor Contract surveyor Contracts director Contracts manager Construction site managers Contracts manager Construction site manager Levels of management Level 1 Level 2 Level 3 Level 4

PROJECT ORGANISATION Contractor director Financial reports Contracts performance Client contact Contracts manager Responsible for the control and coordination of projects Reporting on progress/ financial performace Construction manager Organisation of subcontract resources on an individual project Short-term planning procedures Weekly reports Subcontractors engaged on project Head office input to projects

The Role of a leader

Definition of a leader „Leader is considered to be someone with vision and ability to articulate that vision to the team, so vividly and powerfully that it becomes their vision” “A leader is someone who brings to the situation a clear and compelling sense of the future as well as an understanding of the actions needed to get there successfully” „Leader is a person that holds a dominant or superior position within its field, and is able to exercise a high degree of control or influence over others”

Different roles of a leader The most fundamental role of a leader is to define the organizational goal, formulate plans and organize people to achieve the goals through the execution of plans.

Vi sion - It defines the purpose, or simply “What to do?” A vision includes determining the next product or feature, finding new markets for the product, adoption of new technology etc. Strategy - It articulates the plans, “How to achieve the vision?” Plans or strategies demonstrate the job knowledge or the skills of a leader. It includes restructuring organization, product management, strategic management etc. People - “Who should carry out the Strategy?” How to make people accomplish the strategy and hence the goal, and explaining the vision of the organization and the reason, why the organization exists. The people skills include providing inspiration & motivation, establishing relationship, intelligently using power and position of leadership etc.

Making decisions Representing the organization internally and externally Connecting the people in the organization Integrating the personal goals with organizational goals Solicits support

What makes a good leader? Ability to adapt swiftly and to deal with ideas and concept that have potential Ability to stimulate workers` creativity Knowledge Communication skills Ability to motivate team to work Responsible A friend, philosopher and guide

References Cooke B., Williams P., Construction planning, programming and control, Wiley-Blackwell, management.com/Leadership-Development/Role- of-an-Organizational-Leader.html a_leader.htm

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