Construction Project Management – Theory & Practice 2nd Edition

Project Management Research Institute highly recommend this book “Construction Project Management – Theory & Practice” by Prof Kumar Neeraj Jha as one of the reference books for mastering Construction Project Management This is one of the best books available about Construction Project Management with relevance to the Indian Construction industry.


  • Introduction
  • Project organization
  • Construction economics
  • Clients estimation of project cost
  • Construction contract
  • Construction planning
  • Project scheduling & resource levelling
  • Contractors estimation of cost & bidding strategy
  • Construction equipment management
  • Construction accounts management
  • Construction material management
  • Project cost and value management
  • Construction quality management
  • Risk and insurance in construction
  • Construction safety management
  • Project monitoring & control system
  • Construction claims, disputes and project closure
  • Computer applications in scheduling, resource levelling, monitoring & reporting
  • Factors behind the success of a construction project
  • Linear programming in construction management
  • Transportation, trans-shipment and Assignment problems

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Construction extension to the Project Management Body Of Knowledge

The Project Management Body Of Knowledge (PMBOK) comprises of the globally accepted project management best practices applicable to most of the projects, most of the time. The Construction Extension to the Project Management Body of Knowledge provides best practices relevant for construction projects. PMBOK construction extension is updated whenever a new version of the PMBOK is released. As you might already know, the new PMBOK is principle based and covers predictive, agile and hybrid project management. Construction extension (latest) is fully aligned to these approaches and at the same time have additional knowledge areas relevant for construction projects.

Comparison of Knowledge Areas

PMBOK (General) PMBOK (Construction)
Integration Management Integration Management
Scope Management Scope Management
Schedule Management Schedule Management
Cost Management Cost Management
Quality Management Quality Management
Resource Management Resource Management
Communications management Communications Management
Risk ManagementRisk Management
Procurement ManagementProcurement Management
Stakeholder Management Stakeholder Management
Project Health, Safety, Security & Environment (HSSE) Management
Project financial management

Though there is one to one mapping, the content within each knowledge area is more specific to construction projects in the construction extension to PMBOK Guide.

Rules of Credit


Defining rules of credit during the contracting / planning stages is one of the most important steps for effective monitoring and controlling based on ‘S’ curves and Earned Value Management. Without proper definition of rules of credit measuring planned value of work and earned value of work is not possible.

Rules of credit are used to measure the progress of work completed against the planned work. The most commonly used rules of credit are;

  • 0/100 – Work is considered as earned (completed) when it is 100% completed.
  • 50/50 – 50% of the work is considered as earned as soon as the work starts. The remaining 50% will be considered as earned only when the remaining 50% is fully completed.
  • 25/75 – 25% of the work is considered as earned as soon as the work starts. The remaining 75% is considered as completed only when 100% of the work is completed.
  • 20/80 – 20% of the work is considered as earned as soon as the work starts. The remaining 80% is considered as completed only when 100% of the work is completed.
  • When none is defined, we apply % completed based on actual measurement or expert judgment.

Rules of Credit – Examples

Let us see how the progress is reported based on the various rules of credits discussed above. The orange arrow indicates the review point.

ActivityEarned Value
ActivityEarned Value


Defining rules of credit at the activity level during project planning is key to progress monitoring and control. This helps to roll up the project progress information in the activity, work package, milestone, project sequence. The commonly used rules of credit are 0/100, 50/50, 25/75, 20/80 and percentage completion based on actual progress made.

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