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Standard Methods and Procedures in Managing Costs

For efficient and effective management of costs for the client’s project, any satellite office team ought to adopt a bureaucratic structure in its line of management and operations. This is because it is safe and realistic as it makes it possible for the organization to employ standard methods and procedures in managing costs. Furthermore, its use in the satellite office will create a high level of control from among the employees leading to a more standardized and synthesized performance. This kind of structure will definitely give a systematic arrangement and productive interrelationships among departments that are to be involved in the project, hence creating a favorable working environment where there are no overlapping of responsibilities and duplication of duties. In designing the structure, the manager and senior consultant in the project aims to capture some of the critical issues that define overall performance of the satellite office. These include authority hierarchy, structure; a relationships and interdependences - work breaking into activities, connection between different functions (Jacobides 2007, pg 34).


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To realize the goal for which the company has been contracted, it must seek to develop a clear work function and description for quantity surveyors and office administrators as follows:

Quantity Surveyors

- Employing different methods and strategies such as cost benefit analysis, valuation, life-cycle costing and effective tendering to manage overall construction costs.

- Ensuring that contract documents between the company and associated businesses are properly drafted and interpreted for proper settlement of issues and disputes that may arise in the course of the contract.

- Ensuring that the construction work rests on accurate measurements to avoid wastage (Jacobides 2007, pg 35).

Secretaries and Office Administrators

- Ensuring proper documentation and processing of satellite office correspondence

- Safe and productive planning of events that relates to overall project success.

- Handling of project purchases that give value for company money.

- Operating equipments such as computers that are critical in the success of the project in processing of documents.

-  Ensuring day to day supervision of staffs involved in the project.

- Keeping a firsthand management of office operations for overall administrative efficiency.

- Performing other office duties affecting the project (Jacobides 2007, pg 35).

Organization Communication

In order for the satellite office to successfully complete the job for which it is contracted, then effective communicated has to be considered carefully. Effective communication entails the passing or transfer of information or ideas from one department to the other through means that are either formal or informal in nature. Through these modes, the satellite group will be able to pass/disseminate information officially across departments, between employees such as the quantity surveyors and the manager.  Of concern to the manager is the customer and employee satisfaction, and to achieve them, communication from and to both fronts is taken as key (Hybels and Weaver 2001, pg 17).

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One of the fundamental issue recognized as useful in communication is the realization of active involvement and participation of all employees in the project. In line with this, the manager undertakes to determine innovative ways that satellite employees have and encourage them to bring them up on board; this will be achieved through giving of rewards to those employees who communicate useful ideas to the manager. On the other hand, the manager will have to keenly monitor actions that might create frustrations and harassment to the employees and to make it realistic; the Satellite office will encourage and give room for the employees to report any incident where they feel frustrated and harassed so that overall job satisfaction is achieved by correcting such anomalies. To make it more palatable, the manager will undertake the initiative of organizing regular company meetings which essentially will give the junior staff the opportunity to raise their concerns directly to the manager who in return will give direct responses (Hybels and Weaver 2001, pg 21).

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For effective integration of performance and communication, the satellite office top manager will adopt a method that allows continuous monitoring of how the work is done both by the company employees and the construction workers. Achieving such noble idea entails organizing half way meetings between all construction workers, satellite staff and the general manager. This is what the satellite office call; “walking around management” which presses on the need for the manger to go out to the construction site and observe for himself the progress being made, instead of just relying on written reports from his/her subordinates (Alex 1953, pg 13).  

To effectively achieve the goals of communication, the satellite office manager together with other employees shall adopt various communication levels; one of them being “the interpersonal or face to face communication”. To enhance this communication level, the company seeks to conduct a thorough recruitment process that identifies suitable employees with a high degree of spoken, written and presentation skills. The next communication level to be attentively employed in the satellite office is known as the ‘Group-level communications’ which is to be common in teams and units involved in the project. As a matter of fact, group level communication is considered by the satellite group as fundamental in solving complex issues that may arise in the life of the project; this it does by encouraging group discussions, coordination of project tasks, communal problem solving and building of group consensus.

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The last level of communication to be adopted is the “Organization-Level Communications”which will take place between the satellite office top management and the mother company. Through this design, macro-organizational issues like policy formulation, mission accomplishment, and company innovations are carefully digested and communicated to the relevant departments and employees. Organization-level communication is to be articulated through a hierarchical approach where top management decide on an issue of concern to the company and then make formal communication to the junior employees through available communication channels (Alex 1953, pg 15).

Human Resource Management

Human resource is the engine of the whole project work without which, there is absolutely no achievement that can be made. Having realized the importance of human resource, the satellite office management is to focus its attention to those aspects that brings motivational ingredient to the employees. The manager will tackle this by keenly looking at issues affecting employee self-esteem, group belonging, and even self actualization. At a glance, human resource management adopted for the satellite office ensures employee personal development, improved work competency and the overall process development at the project site (Stoner and Freeman1992, pg 39).

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Recruitment and training of personnel

Recruitment and training of personnel for the satellite office forms an integral component of human resource management. The manager recognizes that the job at the site requires heavy investment in employee technical skills and more so, their willingness to work under challenging conditions and still be able to deliver results. Therefore, to ensure that these demands are met, appropriate personnel selection methods and strategies are to be adopted that will effectively select qualified and motivated candidates. To do that, different kinds of recruitment channels such as news paper advertisements and search firms will be used to help source for the best candidates to occupy the vacant positions. Selection of personnel then starts with making advertisement in daily news papers, search engines and the company website so that information is relayed to a wide network of professionals who then submit their applications. Once this is completed, screening of applications follows and then come up with a list of shortlisted applicants. In general, personnel selection process to be adopted for the satellite office will follow a series of steps listed as follows: Job application; application screening; candidates testing; comprehensive candidates’ interview; candidate’s physical examination; job offer or confirmation (Stoner and Freeman1992, pg 331).

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To ensure complete success of the project, continuous training and development of satellite personnel stands crucial. Training personnel seeks to serve an important role of improving the quality of performance and maintain it, leaving no chance to deterioration; on the other hand, development of personnel is to focus on those programs that enhance personnel skills for future complex duties. Job analysis and performance appraisal are two key methods to be adopted by the office in drafting training needs for various employee; this is followed closely by organizing of training programs which is to be done in close consultation with the head office. The satellite office will at all time encourage training based experience and ensure that promotion and remuneration is based on both personal qualification and work experience gained while working for this company or others (Stoner and Freeman1992, pg 338).  

Management of rewards and incentives:

Management of rewards and incentives can not be overlooked in the case of satellite office. The satellite manager will develop economical reward system that is conducive to the employees and also realistic to the company taking its financial position into account. The manager in consultation with the Company human resource manager will sit down to develop a salary structure that is attractive to the applicants and which can seduce their loyalty making it possible for the company to retain them in the long-run. Also, the salary structure will be designed in a manner that rejuvenates motivation and provides equal opportunities for training and promotional growth to all the workers at the satellite office (Lynton and Pareek 1990, pg 11). 

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To match performance and reward, the manager and the Company human resource manager will rely on various methods and strategies so that no side is compromised. The first method involves allocating rewards proportional to superior performance, that is, the reward structure will seek to promote exceptional performance from employees as they are motivated by rewards for every genius step they make. To realize exceptional performance, a clear gauging meter of performance is to be developed which makes it possible for the manager carrying out performance appraisal. Due to the fact that the exercise will take place in a new field where essential and luxurious amenities might be absent, an attractive field allowances will have to be created if the employees are to be motivated (Lynton and Pareek 1990, pg 27).  

Organization Culture

Culture of the company is the life blood of every operation that is to be undertaken in the satellite office. For the temporary satellite office to remain relevant to the ideals and ideologies of the company, the new employees will be subjected to rigorous orientation, purposely meant to make them well acquainted with the background of the company. It is crucial to underscore the fact that, in order for the company to remain relevant in the face of tough economic times, then its long standing ideals, values and philosophy have to be replicated in employee performance. In event that the adherence to company values is overlooked by the personnel, then, the end product might be something unique and different, hence washing away the name and reputation of the company which has been built for several years (Harris 1994, pg 309).

There are various values that are in focus at the project site. The first value involves recognizing and apprehending safety at all times, that is, all employees at the site shall work tirelessly to ensure safety in the building; and crucial work in safety will be done by the Quantity Surveyor. The next value entails availing conducive working environment that is motivating to all employees; through this, all employees are assured of proper working environment where professional growth is not a dream but a reality. The third value focuses on maintaining respect for all people both from within and from outside the company. Respect is integral in all spheres of human life, and the satellite office will be in an environment where other human beings also exist, hence for it to operate harmoniously with the surrounding environment, it must dispense high level respect at all times. The next value under consideration defines the standard of work expected from both the employees to the company as well as the standard expected of the company by the customers. This means that, for the company to remain afloat in the competitive market, then a lot of precedence has to be given to quality work that meets the expectation of the customer, and this is what is expected at the satellite office (Barney 1986, pg 52).

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In summary, the core values which should be observed at the satellite office can be categorized into four: Upholding of high levels of moral, ethical and legal characteristics at all times; giving utmost respect for every human being regardless of family background, race, ethnicity among other prejudices; putting integrity and honesty at the fore front of every financial transaction conducted by every company employee; and being conservative in the way the company conducts it business. 



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