This project is being undertaken with the aim of establishing and opening a fine dining restaurant, which will be a free-standing, dining and resting place built on a one-acre plot located on the outskirts of Washington DC. It will be owned by John Stones. The dining restaurant project is set to begin on September 5, 2015 and its completion is scheduled for February 5, 2016.
The restaurant is being constructed to take advantage of the significant reduction of the cost of building materials, as well as to prepare for the expected high number of customers to be received by restaurants and hotels worldwide during the 2016 Easter holidays. Among the several specifics of the project is to employ emerging technology to minimize energy consumption through the project. The construction process will be overseen and managed by Jackson Construction Company, and this will be the prime contractor who may make a decision of subcontracting other employees to help throughout the construction process. As stated by Elbeltagi & Eng (2009), the labor to play a part in the construction process will be bonded, and all the materials that will be used in the construction process will have to meet the local building code guidelines, and through this the legality as well as the success of the project is assured.
The restaurant project is being undertaken with an aim of establishing and opening one of the finest dining restaurants in town. The completion of the new restaurant is scheduled for February 2016, and this will enable customers to familiarize with it in preparation for the Easter holidays at the end of March 2016. John Stones, the owner of the restaurant is retiring from the US military; hence, the project is set to be one of his major projects after retirement.
The restaurant must be completed by February 5, 2016, to influence its penetration into the local hospitality industry in time before the kick-off of the Easter holidays and other key celebrations in 2016.
The contract for this project is fixed-price based, and the contractor commitment is estimated to be US $685,0000. It is expected that upon completion, the fine dining restaurant will include the following specifics as in accordance with descriptions in the detailed specifications and blueprint, and as articulated by Revell and Blackburn (2007):
- Driveway (estimated 1600 feet, concrete with brick inlay)
- Main restaurant- 3000 square feet brick/stucco
- Entertainment Parlor
- Swimming pool- 1500 square feet
- Jacuzzi- 600 square feet
As mentioned in the previous sections of this scope statement, the project is scheduled for completion on Feb 5, 2016. In line with this, the milestones of progress associated with the restaurant project are as follows:
- Completion and approval of architectural drawings and designs, approval of construction permit by the state and federal governments, preparation and clearing of construction site, completion of the excavation of the foundation, setting footings, pouring foundation, completion of block construction, setting of foundation, restaurant, Jacuzzi, and swimming pool closed to weather, and the completion of driveway and landscape
- Completion of wiring of the interior, completion of wiring of the exterior, Heating, Ventilation, and Air Conditioning complete (HVAC), completion of plumbing of interior, and completion of plumbing of exterior.
- Completion of interior finish, completion of exterior finish, granting of a certificate of operation, approval of interior and exterior punch list, completion of exterior and interior punch list, and completion of acceptance review.
- Jackson Construction Company, the prime contractor for the project, will play an integral role in the maintenance of the project schedule as well as all the documents of relevance and significance to the project.
- According to Ireland (2004), the prime contractor will work with own bonded employees with the appropriate credentials that are prerequisites for the construction industry. Subcontracted employees must be verified by the prime contractor (Jackson Construction Company), and they must have the appropriate credentials that are mandatory for any person in the construction industry.
- Any person found at the construction site without the appropriate credential will be fined by the prime contractor.
- The management, oversight, and deliverables for all subcontracted employees will be a responsibility of the prime contractor, who has to agree to the terms and conditions and sign the fixed-price contract.
- During the construction process, the prime contractor will give weekly reports to John Stones, the owner of the project.
- The prime contractor will have to solve or address experienced during the project until the initial schedule is caught up.
- Jackson Construction Company, the prime contractor, will handle all the work and workmanship involved in the construction of the restaurant.
- There will be incentive approval for early delivery, as well as penalty approval for late delivery, and each of these will be 4% of the value of the contract.
- It is expected that from the onset of the project i.e. September 5, 2015, the temperatures will be at an optimum of 26 0C, and this will aid in the successful and smooth operation throughout the project.
It is expected that before the project is rolled out, the necessary and all funding will have been preapproved by Mr. John Stones and reserved in an account from which the prime contractor will have the right to withdraw funds to facilitate the completion of the project, and with this, the success of the project is assured (Chan & Chan, 2004) . The prime contractor will be allowed to withdraw quarterly payments of equal amounts from the start of the project. However, John Stones will have the right to withhold the first quarterly payments of the employees until the completion and approval of the project. Other miscellaneous and extra payments will be provided to the prime contractor by the project owner.
- All the project deliverables including all the heating, ventilation, and air conditioning, landscaping, the finishing from the exteriors and exterior furnishing, to storage facilities, to kitchen appliances to the completion of the counter to the purchase of dining tables and chairs to backsplash material to swimming pool and Jacuzzi finishing to flooring will be as per the contractors plans and upgrade options for the restaurant project.
- The project owner will examine the completed project and ascertain whether everything is as specified in the detailed schedule of the contractor.
- The contractor of the project has included a furnishing allowance of $5,000, and this is to cater for the expected extra expenses that will be spent on finishing the restaurant.
- As articulated by Sun & Meng (2009), the prime contractor for this project has the right to order for changes for any of the modifications of the stipulated designs of the project facilities. The prime contractor also has the right to change the schedule and scope of the project before the rolling out of the project.
As stated in the previous sections, the project is set to commence on September 5, 2015, and end on February 5, 2015 although the prime contractor reserves the right to provide a detailed schedule before the commencement of the project.
According to Raftery (2003), it is expected that several risks or issues will accompany the restaurant project, and an effective management of such issues will be crucial to the successful completion of the project. First, the tracking, prioritization, resolution, and communication of the risks related to the project by the Issue Management Protocol of the prime contractor will be essential.
In case of risks, they will be reported using a form known as an Issue Report Form. The description of risks related to the project will also be maintained in a standard format for easy resolution (Shenhar & Dvir, 2007) by both the prime contractor and the project owner.
The owner of the project, John Stones, will address the rising issues during the project and he will have the responsibility of communicating the issues or risk in the project weekly status report.
The prime contractor and the project owner will ensure that funds are set aside to address potential risks such as accidents, falls, and fires during the project. If such risks are addressed well, the completion of the project will be as per the scheduled period (Kim & Huynh, 2008).
Chan, A. P. & Chan, A. P. 2004. Key performance indicators for measuring construction success. Benchmarking: an international journal, 11(2), 203-221.
Elbeltagi, E. & Eng, P. 2009. Lecture notes on construction project management. Available online at: http://osp.mans.edu.eg/elbeltagi/CM%20CH1%20Introduction.pdf
Ireland, P. 2004. Managing appropriately in construction power regimes: understanding the impact of regularity in the project environment. Supply Chain Management: An International Journal, 9(5), 372-382.
Kim, S. Y. & Huynh, T. A. 2008. Improving project management performance of large contractors using benchmarking approach. International Journal of Project Management, 26(7), 758-769.
Raftery, J. 2003. Risk analysis in project management. Routledge.
Revell, A. & Blackburn, R. 2007. The business case for sustainability? An examination of small firms in the UK’s construction and restaurant sectors. Business strategy and the environment, 16(6), 404-420.
Shenhar, A. J. & Dvir, D. 2007. Reinventing project management: the diamond approach to successful growth and innovation. Harvard Business Review Press.
Sun, M. & Meng, X. 2009. Taxonomy for change causes and effects in construction projects. International Journal of Project Management, 27(6), 560-572.