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STP Unit 5 Instructor Orientation

Hosted by: Warren Kiesel and Stephen C. VanderBloemen, CPA/CFF

Unit 5: Improving Productivity and Managing Project Costs

Supervisory Training Program 2015 EditionUnit 5 Subject Matter Expert Steve VanderBloemen is a Certified Public Accountant (CPA) and Certified in Financial Forensics (CFF) with more than 40 years of experience in public accounting, including more than 38 years of serving primarily construction contractors (general specialty and suppliers), credit grantors to contractors, and construction associations.

Welcome

Supervisory Training Program 2015 Edition• AGC of America has revised the Supervisory Training

Program (STP) updating the course materials and streamlining the curriculum content.

• Changes include compressing the program from ten units down to six units, reducing the number of classroom hours.

• These new course materials are available as both e-book and hard copy.

Introduction

• AGC has been working in consultation with industry subject matter experts and current STP instructors to make revisions to the course content

• Document development specialists created updated documents that can be used as e-books or traditional hard copy books.

• e-books enable AGC to reduce the cost associated with the production and delivery of course materials.

Overview

Revised program now includes the following units:• Unit 1: Leadership and Motivation – Available Now• Unit 2: Communication – Available Now• Unit 3: Planning and Scheduling – Available Now• Unit 4: Contract Documents – Available Now• Unit 5: Improving Productivity and Managing Project

Costs – Available April 27th• Unit 6: Risk Management and Problem Solving – PM

Available April 30th

Revised Supervisory Training Program (STP)

• April 30: Instructor Orientation Webinar for Unit 6 takes place from 2:00-3:00 PM (EDT)

Instructor Orientation Webinars

Unit 5 was created by combining:• Unit 6 Understanding and Managing Project Costs and

Unit 9 Improving Productivity• Content that was found in other units was not included

in this new unit.• Information was clarified where the team felt it was

needed• Updated the Glossary• Expanded PowerPoint to include summaries

The Creation of Unit 5

Unit 5 changes include:• The Sure Fresh Project is now referred to as

the Project (Project activities remain in Unit)• Blueprints are now available at AGC.org• Updated terms to current industry practices• Let’s review the 10 sessions that make up

Unit 5….

Content Changes in Unit 5

• Session 1: Introduction to Improving Productivity & Managing Project Costs – 120 Minutes

• Session 2: Construction Estimates, Planning and Scheduling –285 Minutes

• Session 3: Who Controls Project Costs? – 150 Minutes• Session 4: Reporting and Analyzing Actual Costs – 150

Minutes• Session 5: Planning for Cost Control and Record Keeping – 185

Minutes

Session Titles and Lengths

• Session 6: Cost Control Strategies – 165 Minutes• Session 7: Quantifying Lost Labor Productivity – 150

Minutes• Session 8: Equipment Management for Productivity

Improvement – 145 Minutes• Session 9: Working with Project Partners – 275 Minutes• Session 10: Post-Project Evaluations – 150 Minutes

Approximately 30 hours total

Session Titles and Lengths

Introduction to Improving Productivity & Managing Project Costs• Content comes from Unit 6 Session 1 and Unit 9 Session 1• Session 1: Learning Objectives

– Identify how contractors obtain work and the process that leads up to the physical construction process.

– Recognize the role of the contractor’s staff and the designers in the pre-construction phases of the project.

– Indicate how a project is obtained and how that process relates to the construction of the project.

Session 1

Construction Estimates, Planning and Scheduling• Content comes from Unit 6 Session 2 and Unit 9 Sessions 2

and 6• Session 2 Learning Objectives

– Identify and prepare a conceptual estimate.– Review quantity take-offs.– Perform take-offs.– Review the pricing of an estimate and compile an estimate.– Complete a subcontractor selection process and select– subcontractors for an estimate.

Session 2

Who Controls Project Costs?• Content originated from Unit 6 Session 3 • Analyze the relationship between the estimated costs and• those reported within the cost control system.• Define the relationship between cost and the degree of risk• inherent to the project.• Classify major risks innate to every construction project.• Define the individual responsibilities for project team

members relative to project cost control.

Session 3

Reporting and Analyzing Actual Costs• Content originated from Unit 6 Session 4 • Session 4: Learning Objectives

– Explain the reasons for implementing cost controls.– Review the methods for developing a cost control

system.– Analyze the cost control process.– Convert the estimate into cost control items.

Session 4

Planning for Cost Control• Content originated from Unit 6 Session 5• Session 5 Learning Objectives

– Explain planning as a primary tool in cost control.– Develop the bill of materials.– Prepare a bill of materials for a portion of the Project.– Plan labor crews and production to manage construction

cost.– Prepare a labor plan for the Project.– Describe how crew feedback during construction

activities can improve productivity.

Session 5

Cost Control Strategies• Content originated from Unit 6 Session 6• Session 6 Learning Objectives

– Identify strategies for obtaining cost data.– Describe how to use cost control data in minimizing costs.– Identify causes of additional costs.– Analyze a jobsite problem.– Describe methods for recovering compensation for additional costs.– Discuss the use of cost control information in identifying and

analyzing change orders and subcontractor back charges.– Isolate change order costs.

Session 6

Quantifying Lost Labor Productivity• Content originated from Unit 9 Session 8• Session 7 Learning Objectives

– Identify six different categories of factors that negatively impact labor productivity.

– Quantify lost productivity for working overtime.– Quantify lost productivity due to worker learning.– Quantify lost productivity due to unreasonable crew size.– Quantify lost productivity due to the number of crews.– Quantify lost labor productivity because of weather changes.– Quantify lost labor productivity due to changes in project logistics.– Quantify lost labor productivity due to change and change orders.

Session 7

Equipment Management for Productivity Improvement• Content originated from Unit 9 Session 5• Session 8 Learning Objectives

– Identify the differences between labor and equipment.– Describe a ten-step program of improving equipment

productivity.

Session 8

Working with Project Partners• Content originated from Unit 6 Session 9• Session 9 Learning Objectives

– Describe the costs and cost effects associated with project partners.– Explain how to examine scope statements and specifications to determine

project partners’ responsibilities and the scope of work on the jobsite.– Describe how to use the construction schedule to track subcontractor

progress.– Explain methods of providing information to project partners.– Describe control of changes and cost-plus subcontractor activities.– Explain back charging to receive compensation from subcontractors.– Explain the importance of documentation in working with project

partners.

Session 9

Post-Project Evaluations• Content originated from Unit 6 Session 10• Session 10 Learning Objectives

– Examine post-project data.– Analyze post-project cost comparison data.– Analyze problems that affected schedule and quality.– Describe ways to implement the lessons learned to manage future

projects.– Describe communication strategies for relaying information to

other project teams to improve productivity on future projects.– Analyze a case study and discuss the project’s analysis.– Review the entire STP unit and its impact.

Session 10

• Revised and updated existing content• Same content, i.e. activities and topics• Compressed and eliminated content

What stays the same?

Instructors duties include• email class rosters to curriculum@agc.org• Direct students to complete the STP

registration and evaluation in the back of the participant’s manual

• Mail class rosters to AGC if you preferThis ensures all students are documented as having completed the unit

Instructor Administration

Instructor Resources

Instructor Resources

Instructor Resources

Instructor Resources

Icon Key

A number of symbols are used throughout the course to indicate:

?

Activity

Animation on slide

Discussion

Learning objectives

Note

Questions to ask the class

Review from a previous course

Time allocated

!

• Unit 5 – 30 hours

New Unit Time Length Guidelines

Lets review:• Instructor Resource Document• PowerPoint Presentation• Blueprints

e-book Demonstration

STP 2015 Edition Units Are Now Available

Building Information Modeling Education Program

Traditional Books

• Books can be preordered at the AGC Bookstore

• Please contact store@agc.org to place your orders

• Manuals will be available for order May 15st

• Allow 3 to 5 business days for shipping

• Curriculum Advancement:– Curriculum: curriculum@agc.org

• Meredith Woods, Director, Education Advancement & Credentialing; woodsm@agc.org; (703) 837-5366

• Curriculum Development:• Warren Kiesel, Director, Curriculum Development;

warren.kiesel@agc.org; (703) 837-5389

• AGC Store and Sales:• Customer Service: 800-242-1767• Adam Brizendine, Marketing Manager;

adam.brizendine@agc.org; (703) 837-5436

Curriculum Contacts