Construction Project Management: Theory and Practices

Cover
Contents
Preface
Preface to the second  edition
Foreword
About the author
1. Introduction
	1.1 GENERAL
	1.2 A CONSTRUCTION PROJECT
		1.2.1 Phases of a Construction Project
	1.3 IMPORTANCE OF CONSTRUCTION AND CONSTRUCTION INDUSTRY
	1.4 INDIAN CONSTRUCTION INDUSTRY
	1.5 CONSTRUCTION PROJECT MANAGEMENT  AND ITS RELEVANCE
		1.5.1 Role of Project Management
		1.5.2 Why Construction Project Management?
	1.6 PARTICIPANTS/STAKEHOLDERS OF A CONSTRUCTION PROJECT
		1.6.1 Architect
		1.6.2 Client (Owner)
		1.6.3 Constructor
		1.6.4 Engineer (Consultant)
		1.6.5 Subcontractor/Supplier/Vendor
		1.6.6 Lawyer, Insurer, etc.
	1.7 ORGANIZATION OF THE BOOK
	REFERENCES
	REVIEW QUESTIONS
2. Project Organization
	2.1 INTRODUCTION
	2.2 CONSTRUCTION COMPANY
	2.3 FORMS OF BUSINESS ORGANIZATION
		2.3.1 Sole Proprietorship
		2.3.2 Partnership
		2.3.3 Corporation
		2.3.4 Limited Liability Company (LLC)
		2.3.5 Private Limited Company
		2.3.6 Public Limited Company
		2.3.7 Government Enterprises
		2.3.8 Joint Ventures
	2.4 STRUCTURE OF CONSTRUCTION ORGANIZATION
		2.4.1 Centralized Functional
		2.4.2 Decentralized Multidivisional
	2.5 ORGANIZING FOR PROJECT MANAGEMENT
		2.5.1 Classical (Functional)
		2.5.2 Pure Project or Product Management
		2.5.3 Matrix Organizations
	2.6 MANAGEMENT LEVELS
		2.6.1 Director Level
		2.6.2 President Level
		2.6.3 Construction Management Level
		2.6.4 Project Management Level
		2.6.5 Functional Management Level
	2.7 TRAITS OF A PROJECT MANAGER
		2.7.1 Strategies for Enhancing the Performance of a Project Manager
	2.8 IMPORTANT TRAITS OF A PROJECT COORDINATOR
		2.8.1 Team Building Skill
		2.8.2 Contract Implementation Skill
		2.8.3 Project Organization Skill
	2.9 ETHICAL CONDUCT FOR ENGINEERS
	2.10 FACTORS BEHIND THE SUCCESS OF A CONSTRUCTION ORGANIZATION
	REFERENCES
	REVIEW QUESTIONS
3. Construction Economics
	3.1 INTRODUCTION
	3.2 ECONOMIC DECISION-MAKING
		3.2.1 Out-of-Pocket Commitment
		3.2.2 Payback Period
		3.2.3 Average Annual Rate of Return
	3.3 TIME VALUE OF MONE
	3.4  CASH-FLOW DIAGRAMS
		3.4.1 Project Cash-flow and Company Cash-ἀow Diagrams
		3.4.2 Using Cash-flow Diagrams
	3.5 USING INTEREST TABLES
	3.6 EVALUATING ALTERNATIVES BY EQUIVALENCE
		3.6.1 Present Worth Comparison
		3.6.2 Future Worth Comparison
		3.6.3 Annual Cost and Worth Comparison
		3.6.4 Rate of Return Method
	3.7 EFFECT OF TAXATION ON COMPARISON  OF ALTERNATIVES
	3.8 EFFECT OF INFLATION ON CASH-FLOW
	3.9 EVALUATION OF PUBLIC PROJECTS: DISCUSSION ON BENEFIT–COST RATIO
		3.9.1 BeneḀt/Cost Criteria
	REFERENCES
	SOLVED EXAMPLES
	REVIEW QUESTIONS
4. Client’s Estimation of Project Cost
	4.1 INTRODUCTION
	4.2 APPROXIMATE METHODS OF ESTIMATION
		4.2.1 Preliminary Estimate for Buildings
		4.2.2 Preliminary Estimate for Industrial Structures
	4.3  TYPES OF ESTIMATES
		4.3.1 Rough Order of Magnitude Estimates
		4.3.2 Client’s Indicative Cost Estimate
		4.3.3 Client’s Preliminary Cost Estimate
		4.3.4  Client’s Detailed Estimate
		4.3.5 Client’s Deἀnitive Estimate
		4.3.6 Revised Estimate
		4.3.7 Supplementary Estimates
		4.3.8 Project Closure Cost
	4.4 METHODS OF STRUCTURING PROJECT COSTS
	4.5 IllUSTRATIvE CASES IN PREPARATION OF ESTIMATE
		4.5.1 Case1: Multi-level Car Parking Facility
		4.5.2 Case 2: Preliminary Estimate for Construction of Sewage Treatment Plant
	REFERENCES
	SOLVED EXAMPlES
	REVIEW QUESTIONS
5. Construction Contract
	5.1 CONSTRUCTION CONTRACT
	5.2 CONTRACT DOCUMENT
		5.2.1 The Contract Drawings
		5.2.2 The Specifications
		5.2.3 The General Conditions of Contract (GCC)
		5.2.4 The Special Conditions of Contract (SCC)
		5.2.5 The Bill of Quantities (BOQ)
	5.3 CLASSIFICATION OF ENGINEERING CONTRACTS
		5.3.1 Separated Contract
		5.3.2 Management Contract
		5.3.3 Integrated Contract
		5.3.4 Discretionary Contract
	5.4 BIDDING PROCESS
		5.4.1 Pre-qualiἀcation Process
		5.4.2 Notice Inviting Tender
		5.4.3 Submission of Bids
		5.4.4 Analysis of Submitted Tenders
		5.4.5 Basis for Evaluation and Acceptance
		5.4.6 Letter of Intent
		5.4.7 Work Order
		5.4.8 Agreement
	5.5 CPWD CONTRACT CONDITIONS
	5.6 FIDIC FORM OF CONTRACT AGREEMENT
		5.6.1 Need and Principles of FIDIC Contracts
		5.6.2 Salient Features of FIDIC Form of Contract
	5.7 SUBCONTRACTING
		5.7.1 Classiἀcation of Subcontractors
		5.7.2 Selection of Subcontractors
		5.7.3 Work Order
		5.7.4 Terms and Conditions
		5.7.5 Subcontractor Management—Some Guidelines
	REFERENCES
	REVIEW QUESTIONS
6. Construction Planning
	6.1 INTRODUCTION
	6.2 TYPES OF PROJECT PLANS
		6.2.1 Time Plan
		6.2.2 Manpower Plan
		6.2.3 Material Plan
		6.2.4 Construction Equipment Plan
		6.2.5 Finance Plan
	6.3 WORK-BREAKDOWN STRUCTURE
		6.3.1 Methodology of WBs
	6.4 PLANNING TECHNIQUES—TERMINOLOGIES USED
		6.4.1 Event and Activity
		6.4.2 Dummy Activity
		6.4.3 Network
		6.4.4 Precedence
		6.4.5 Network Logic
		6.4.6 Duration of an Activity
		6.4.7 Forward and Backward Pass
		6.4.8  Float or slack Time
		6.4.9 Path and Critical Path
	6.5 BAR CHARTS
	6.6 PREPARATION OF NETWORK DIAGRAM
	6.7 PROGRAMME EVALUATION AND REVIEW  TECHNIQUE (PERT)
	6.8 CRITICAL PATH METHOD (CPM)
	6.9 LADDER NETWORK
	6.10 PRECEDENCE NETWORK
	6.11 THE LINE-OF-BALANCE (LOB)
	6.12 NETWORK TECHNIQUEs ADVANTAGEs
	REFERENCES
	SOLVED EXAMPLES
	REVIEW QUEsTIONS
7. Project Scheduling  and Resource Levelling
	7.1 INTRODUCTION
	7.2 RESOURCE LEVELLING
	7.3 RESOURCE ALLOCATION
	7.4 IMPORTANCE OF PROJECT SCHEDULING
	7.5 OTHER SCHEDULES DERIVED FROM PROJECT SCHEDULES
		7.5.1 Preparing Invoice Schedule
		7.5.2 Schedule of Milestone Events
		7.5.3 Schedule of Plant and Equipment
		7.5.4 Schedule of Project Staff
		7.5.5 Schedule of Labour Requirement
		7.5.6 Schedule of Materials Requirement
		7.5.7 Schedule of Specialized Agencies
		7.5.8 Schedule of Direct Costs
		7.5.9 Schedule of Overheads
		7.5.10 Schedule of Cash Inflow
		7.5.11 Schedule of Cash Outflow
	7.6 NETWORK CRASHING AND COST-TIME TRADE-OFF
	REFERENCES
	REVIEW QUESTIONS
8. Contractor’s Estimation of Cost and Bidding Strategy
	8.1 CONTRACTOR’S ESTIMATION AND BIDDING PROCESS
		8.1.1 Get Involved in Pre-qualification Process
		8.1.2 Study the Tender Document, Drawings and Prepare Tender Summary
		8.1.3 Decisions to Take
		8.1.4 Arrange for Site Visit and Investigation
		8.1.5 Consultation, Queries and Meetings, and Other Associated Works
		8.1.6 Prepare Construction Schedule and Other Related Schedules
		8.1.7 Collect Information
		8.1.8 Determining Bid Price
		8.1.9 Analysis of Rates
		8.1.10 Fix Mark-up
		8.1.11 Computing Bid Price
		8.1.12 Submit Bid
		8.1.13 Post-submission Activities
	8.2  BIDDING MODELS
		8.2.1 Game Theory Models
		8.2.2 Statistical Bidding Strategy Models
		8.2.3 Cash Flow-Based Models
	8.3 DETERMINATION OF OPTIMUM MARK-UP LEVEL
	8.4 BIDDING AND ESTIMATION PRACTICES IN INDIAN CONSTRUCTION INDUSTRY
		8.4.1 Prevailing Estimation Practices
		8.4.2 Use of Statistical/Mathematical Tools in Estimation
		8.4.3 Breakup of Mark-up
		8.4.4 Labour Cost Estimation
		8.4.5 Plant and Equipment Cost Estimation
		8.4.6 Dealing with Uncertainties
		8.4.7 Average Range of Mark-up
		8.4.8 Mark-up Distribution
		8.4.9 Mark-up Range
		8.4.10 Summary and Conclusion from the Study
	REFERENCES
	SOLVED EXAMPLES
	REVIEW QUESTIONS
9. Construction Equipment Management
	9.1 INTRODUCTION
	9.2 CLASSIFICATION OF CONSTRUCTION EQUIPMENT
	9.3 FACTORS BEHIND THE SELECTION OF CONSTRUCTION EQUIPMENT
		9.3.1 Economic Considerations
		9.3.2 Company-specific
		9.3.3 Site-speciἀc
		9.3.4 Equipment-speciἀc
		9.3.5 Client- and project-specific
		9.3.6 manufacturer-specific
		9.3.7 Labour Consideration
	9.4 EARTH WORK EQUIPMENT
	9.5 CONCRETING EQUIPMENT
	9.6 HOISTING EQUIPMENT
		9.6.1 hoists
		9.6.2 Cranes
	9.7 PLANT AND EQUIPMENT ACQUISITION
	9.8 DEPRECIATION
	9.9 DEPRECIATION AND TAXATION
	9.10 MTHODS OF CALCULATING DEPRECIATION
		9.10.1 Straight-line method
		9.10.2 Sum of Years Digit method
		9.10.3 Declining balance method
		9.10.4 Sinking Fund method
		9.10.5 Accelerated Depreciation
	9.11 EXAMPLE OF DEPRECIATION CALCULATIONS FOR EQUIPMENT AT A SITE
	9.12 THE EFFECT OF DEPRECIATION AND TAX ON SELECTION OF ALTERNATIVES
	9.13 EVALUATING REPLACEMENT ALTERNATIVES
	9.14 ADVANCED CONCEPTS IN ECONOMIC ANALYSIS
		9.14.1 Sensitivity Analysis
		9.14.2 breakeven Analysis
		9.14.3 Incorporating probability in Cash Flows
		9.14.4 Determining Expected Values, Variance, Standard Deviation, and Coefἀcient of Variation
		9.14.5 Determining Expected Values and Variance in Aggregated  Cash Flows
		9.14.6 Selection of Alternatives based on Expected Value  and Variance of Returns
	SOLVED EXAMPLES
	REFERENCES
	REVIEW QUESTIONS
10. Construction Accounts Management
	10.1 GENERAL
	10.2 PRINCIPLES OF ACCOUNTING
	10.3 ACCOUNTING PROCESS
	10.4 CONSTRUCTION CONTRACT REVENUE RECOGNITION
		10.4.1 Cash Method of Revenue Recognition
		10.4.2 Straight Accrual Method of Revenue Recognition
		10.4.3 Completed Contract Method of Revenue Recognition
		10.4.4 Percentage of Completion Method of Revenue Recognition
	10.5 CONSTRUCTION CONTRACT STATUS REPORT
	10.6 LIMITATIONS OF ACCOUNTING
	10.7 BALANCE SHEET
		10.7.1 Liabilities
		10.7.2 Assets
	10.8 PROFIT AND LOSS ACCOUNT
	10.9 WORKING CAPITAL
		10.9.1 Need for Working Capital
		10.9.2 Operating Cycle
		10.9.3 Components of Working Capital
		10.9.4 Determination of Working Capital
		10.9.5 Financing Sources of Working Capital
	10.10 RATIO ANALYSIS
		10.10.1  Liquidity Ratios
		10.10.2 Capital Structure Ratios
		10.10.3 Proἀtability Ratios
		10.10.4 Activity Ratios
	10.11 FUNDS FLOW STATEMENT
		10.11.1 Changes in Working Capital or Funds
		10.11.2 Determining Funds Generated/Used by Business Operations
		10.11.3  Application of Funds Flow Statement
	REFERENCES
	REVIEW QUESTIONS
11. Construction Material Management
	11.1 INTRODUCTION
	11.2 MATERIAL PROCUREMENT PROCESS IN CONSTRUCTION ORGANIZATION
	11.3 MATERIALS MANAGEMENT FUNCTIONS
		11.3.1 Materials Planning
		11.3.2 Procurement
		11.3.3 Custody (Receiving, Warehousing and Issuing)
		11.3.4 Materials Accounting
		11.3.5 Transportation
		11.3.6 Inventory Monitoring and Control
		11.3.7 Materials Codiἀcation
		11.3.8 Computerization
		11.3.9 Source Development (Vendor Development)
		11.3.10  Disposal
	11.4 INVENTORY MANAGEMENT
		11.4.1 Inventory-Related Cost
		11.4.2 Functions of Inventory
		11.4.3 Inventory Policies
		11.4.4 Selective Inventory Control
		11.4.5 Inventory Models
	SOLVED EXAMPLES
	REFERENCES
	REVIEW QUESTIONS
12. Project Cost and Value Management
	12.1 PROJECT COST MANAGEMENT
		12.1.1 Resources Planning Schedules
		12.1.2 Cost Planning
		12.1.3 Cost Budgeting
		12.1.4 Cost Control
	12.2 COLLECTION Of COST-RELATED INFORMATION
		12.2.1 Labour Cost
		12.2.2 Material Cost
		12.2.3 Plant and Equipment Cost
		12.2.4 Subcontractor Cost
		12.2.5 Overhead Cost
	12.3 COST CODES
	12.4 COST STATEMENT
	12.5 VAlUE MANAGEMENT iN CONSTRUCTiON
	12.6 STEPS IN THE APPlICATION Of VAlUE ENGiNEERING
	12.7 DESCRiPTION Of THE CASE
	12.8  VAlUE-ENGINEERING APPlICATiON iN THE CASE PROJECT
		12.8.1 foundation design
		12.8.2 flooring System
		12.8.3 Precast vs in-situ Construction
		12.8.4  discussion of Results
	REFERENCES
	REVIEW QUESTiONS
13. Construction Quality Management
	13.1 INTRODUCTION
	13.2 CONSTRUCTION QUALITY
		13.2.1 Definition of Quality
		13.2.2 Evolution of Quality
	13.3 INSPECTION, QUALITY CONTROL AND QUALITY ASSURANCE IN PROJECTS
		13.3.1 Inspection
		13.3.2 Quality Control (QC)
		13.3.3 Quality Assurance (QA)
	13.4 TOTAL QUALITY MANAGEMENT
	13.5 QUALITY GURUS AND THEIR TEACHINGS
		13.5.1 Deming
		13.5.2 Juran
		13.5.3 Philip Crosby
	13.6 COST OF QUALITY
	13.7 ISO STANDARDS
		13.7.1 Benefits of ISO 9000
		13.7.2 Principles of Quality Management Systems
		13.7.3 ISO 9001–2000 Family of Standards
	13.8 CONQUAS—CONSTRUCTION QUALITY  ASSESSMENT SYSTEM
	13.9 AUDIT
	13.10 CONSTRUCTION PRODUCTIVITY
		13.10.1 Typical Causes of Low Labour Productivity
	REFERENCES
	REVIEW QUESTIONS
14. Risk and Insurance in Construction
	14.1 INTRODUCTION
	14.2 RISK
	14.3 RISK IDENTIFICATION PROCESS
		14.3.1 Preliminary Checklist
		14.3.2 Risk Events Consequences Scenario
		14.3.3 Risk Mapping
		14.3.4 Risk Classification
		14.3.5 Risk Category Summary Sheet
	14.4 RISK ANAlySIS AND EvAlUATION PROCESS
		14.4.1 Data Collection
		14.4.2 Modelling Uncertainty
		14.4.3 Evaluation of Potential Impact of Risk
	14.5 RESPONSE MANAGEMENT PROCESS  (RISK TREATMENT STRATEGIES)
		14.5.1 Risk Avoidance
		14.5.2 loss Reduction and Risk Prevention
		14.5.3 Risk Retention and Assumption
		14.5.4 Risk Transfer (Non-insurance or Contractual Transfer)
		14.5.5 Insurance
	14.6 INSURANCE IN CONSTRUCTION INDUSTRY
		14.6.1 Fundamental Principles of Insurance
		14.6.2 Insurance Policies for a Typical Construction Organization
		14.6.3 Project Insurance
		14.6.4 Marine-cum-Erection Insurance
		14.6.5 Contractor’s All-risk Insurance (CAR Insurance)
		14.6.6 Marine/Transit Insurance
		14.6.7 Fire Policy
		14.6.8 Plant and Machinery Insurance
		14.6.9 liquidity Damages Insurance
		14.6.10 Professional Indemnity Policy
	14.7 COMMON EXAMPLES OF BUSINESS AND PROJECT RISK
	14.8 RISKS FACED BY INDIAN CONSTRUCTION COMPANIES ASSESSING INTERNATIONAl PROJECTS
		14.8.1 Risks in International Construction
	REFERENCES
	REVIEW QUESTIONS
15. Construction Safety Management
	15.1 INTRODUCTION
	15.2 EVOLUTION OF SAFETY
	15.3 ACCIDENT CAUSATION THEORIES
	15.4 FOUNDATION OF A MAJOR INJURY
		15.4.1 Unsafe Conditions
		15.4.2 Unsafe Acts
	15.5 HEALTH AND SAFETY ACT AND REGULATIONS
		15.5.1 Building and Other Construction Workers (Regulation of Employment and Condition of Services) Act 1996
		15.5.2 Building and Other Construction Workers (Regulation of Employment and Conditions of Service) Central Rules, 1998
	15.6 COST OF ACCIDENTS
	15.7 ROLES OF SAFETY PERSONNEL
	15.8 CAUSES OF ACCIDENTS
	15.9 PRINCIPLES OF SAFETY
	15.10 SAFETY AND HEALTH MANAGEMENT SYSTEM
		15.10.1 Safety Policy and Organization
		15.10.2 Safety Budget
		15.10.3 Safety Organization
		15.10.4 Education and Training
		15.10.5 Safety Plan
		15.10.6 Safety Manual
		15.10.7 Safety Committee
		15.10.8 Incentive Programmes
		15.10.9 Accident Reporting, Investigation and Record Keeping
		15.10.10  Incident Investigation and Analysis
		15.10.11  Accident Statistics and Indices
		15.10.12  Safety Inspection
		15.10.13  Safety Audit
		15.10.14  Workers’ Health and First-aid Facilities
	15.11 RESEARCH RESULTS IN SAFETY MANAGEMENT
	REFERENCES
	REVIEW QUESTIONS
16. Project Monitoring and Control System
	16.1 INTRODUCTION
	16.2 UPDATING
		16.2.1 Updating Using Bar Chart
		16.2.2 Updating Using PERT/CPM
		16.2.3 Updating Using Precedence Network
	16.3 PROJECT CONTROL
	16.4 SCHEDULE/TIME/PROGRESS CONTROL
		16.4.1 Monthly Progress Report
		16.4.2 Measuring Progress at Site
		16.4.3 Typical Reports to Aid the Progress Review
	16.5 COST CONTROL
		16.5.1 Profit/loss at the Completion of Contract
		16.5.2 Stage-wise Completion of Cost
		16.5.3 Standard Costing
		16.5.4 S-Curve
		16.5.5 Unit Costing
	16.6 CONTROL OF SCHEDULE, COST AND TECHNICAL PERFORMANCE—EARNED VALUE METHOD
		16.6.1 Terminologies of Earned Value Method
	16.7 ILLUSTRATIONS OF COST CONTROL SYSTEM
	16.8 MANAGEMENT INFORMATION SYSTEM
	REFERENCES
	REVIEW QUESTIONS
17. Construction Claims, Disputes, and Project Closure
	17.1 CLAIM
		17.1.1 Sources of Claims
		17.1.2 Claim Management
		17.1.3 Some Guidelines to Prepare the Claims
	17.2 DISPUTE
		17.2.1 Causes of Disputes
		17.2.2 Dispute Avoidance Vs Dispute Resolution
		17.2.3 Mechanisms of Dispute Resolution
		17.2.4 Causes Leading to Arbitration
		17.2.5 Advantages of ADR over Legal Proceedings in a Court
		17.2.6 Some Do’s and Dont’s to Avoid Dispute
	17.3 CORRESPONDENCE
	17.4 PROJECT CLOSURE
		17.4.1 Construction Closure
		17.4.2 Financial Closure
		17.4.3 Contract Closure
		17.4.4 Project Manager’s Closure
		17.4.5 Lessons Learned from the Project
	REFERENCES
	REVIEW QUESTIONS
18. Computer Applications in Scheduling, Resource Levelling, Monitoring,  and Reporting
	18.1 INTRODUCTION
	18.2 POPULAR PROJECT MANAGEMENT SOFTWARE
		18.2.1 Primavera
		18.2.2 Milestone Professional
		18.2.3 ‘Candy’—Construction Project Modelling and Project Control
		18.2.4 AMS Realtime Projects
		18.2.5 Project KickStart
		18.2.6 MS Project
	18.3 FUNCTIONS OF PROJECT MANAGEMENT SOFTWARE
		18.3.1 Scheduling Function
		18.3.2 Resource Management Function
		18.3.3 Tracking or Monitoring Function
		18.3.4 Reporting Function
		18.3.5 Additional Functions
	18.4 ILLUSTRATION OF MS PROJECT
		18.4.1 Definitions of Some Terminologies
		18.4.2 Working with MS Project
	18.5 ILLUSTRATION OF PRIMAVERA
		18.5.1 Adding a New Project
		18.5.2 Preparing Schedule
		18.5.3 Resource Levelling
		18.5.4 Tracking the Project
		18.5.5 Reporting
		18.5.6 Some Additional Features
	REFERENCES
	REVIEW QUESTIONS
19. Factors Behind the Success of a Construction Project
	19.1 GENERAL
	19.2 PROJECT PERFORMANCE MEASUREMENT
	19.3 CRITERIA FOR PROJECT PERFORMANCE EVALUATION
	19.4 PROJECT PERFORMANCE ATTRIBUTES
		19.4.1 Success Attributes/Factors
		19.4.2 Failure Attributes
	19.5 EFFECT OF OTHER ELEMENTS ON PROJECT PERFORMANCE
	REFERENCES
	REVIEW QUESTIONS
20. Linear Programming in Construction Management
	20.1 INTRODUCTION
	20.2 LINEAR PROGRAMMING
	20.3 FORMULATION OF LINEAR PROGRAMMING PROBLEMS
	20.4 GRAPHICAL SOLUTION OF LINEAR PROGRAMMING PROBLEMS
	20.5 SIMPLEX METHOD
		20.5.1 Understanding Simplex Iterations
		20.5.2 Illustration of Simplex Method—A Maximization Problem
	20.6 PRIMAL DUAL
		20.6.1 Construction of the Dual from the Primal
		20.6.2 Rules for Constructing the Dual Problem
	20.7 BIG-M METHOD
	20.8 TWO-PHASE METHOD
	20.9 DUAL SIMPLEX METHOD
	20.10  SPECIAL CASES IN SIMPLEX
		20.10.1  Infeasibility
		20.10.2  Unboundedness
		20.10.3  Degeneracy
		20.10.4 Multiple or Alternative Optima
	20.11 ALTERNATIVE METHOD OF SIMPLEX TABLE COMPUTATIONS
	20.11 SENSITIVITY ANALYSIS
	20.12 SENSITIVITY ANALYSIS
		20.12.1 Changes in the Constraints
		20.12.2 Changes in the Objective Function Coefἀcients
	REFERENCES
	REVIEW QUESTIONS
21. Transportation, Transshipment, and Assignment Problems
	21.1 INTRODUCTION
	21.2 TRANSPORTATION PROBLEM
		21.2.1 Formulation as LP Problem
		21.2.2 The Transportation Algorithm
		21.2.3 Phase I Obtaining an Initial Feasible Solution
		21.2.4 Phase II—Moving Toward Optimality
	21.3 TRANSSHIPMENT PROBLEM
	21.4 ASSIGNMENT PROBLEM
	21.5 UNBALANCED PROBLEM AND RESTRICTIONS ON ASSIGNMENT
	21.6 SOME MORE APPLICATIONS
		21.6.1 Maximization Problem
		21.6.2 Crew Assignment Problem
		21.6.3 Travelling Salesman Problem
	REFERENCES
	REVIEW QUESTIONS
Answers to the Objective Questions
Appendices
Index