10. Project Planning, Design and Implementation (AALL10)

10.1 Engineering Drawings and Its Concepts

Engineering drawings are the universal language of engineers, conveying design intent, specifications, and manufacturing details. They are crucial for communication throughout a project's lifecycle.

Fundamentals of Standard Drawing Sheets

Standard drawing sheets ensure uniformity and ease of use. The International Organization for Standardization (ISO) and American National Standards Institute (ANSI) define common paper sizes:

• ISO A-series:
  • A0: 841 x 1189 mm
  • A1: 594 x 841 mm
  • A2: 420 x 594 mm
  • A3: 297 x 420 mm
  • A4: 210 x 297 mm
• ANSI B-series (e.g., ANSI A, B, C, D, E): Commonly used in North America, with sizes like A (Letter): 8.5 x 11 inches, B (Ledger/Tabloid): 11 x 17 inches, etc.

A standard drawing sheet includes:

• Title Block: Located at the bottom right, containing essential information like project name, drawing title, drawing number, scale, date, drawn by, checked by, approval, and sheet number.
• Border: A frame around the drawing area, providing a neat boundary and sometimes serving as a margin for binding.

Dimensions

Dimensions specify the size and location of features on a drawing.

• Linear Dimensions: Measure length, width, and height.
• Angular Dimensions: Measure angles in degrees.
• Diameter (ø): Indicates the diameter of circles.
• Radius (R): Indicates the radius of arcs.

Dimensioning Rules:

1. Dimensions should be placed clearly, avoiding ambiguity.
2. Avoid redundant dimensions.
3. Place dimensions outside the object whenever possible.
4. Use consistent units (e.g., mm).
5. Dimensions should be readable from the bottom or right side of the drawing.

Chain Dimensioning: Dimensions are placed end-to-end, forming a chain. While easy to apply, accumulated tolerances can lead to inaccuracies.

Scale

Scale defines the ratio of the drawing size to the actual size of the object.

• Full Scale (1:1): Drawing represents the object's actual size.
• Reduced Scale (1:2, 1:5, 1:100): Used for large objects (e.g., buildings, maps) where the drawing is smaller than the actual object. A 1:2 scale means 1 unit on the drawing equals 2 units in reality.
• Enlarged Scale (2:1, 5:1, 10:1): Used for small objects (e.g., watch parts) where the drawing is larger than the actual object. A 2:1 scale means 2 units on the drawing equal 1 unit in reality.
• Representative Fraction (RF): Expressed as a fraction (e.g., 1/100000 for a map), where the numerator is the map distance and the denominator is the ground distance in the same units.

Line Diagram

Different line types convey specific information:

• Visible Thick Line: Represents visible edges and outlines of an object.
• Hidden Dashed Line: Represents hidden edges or contours of an object.
• Center Dot-Dash Line: Indicates center lines of symmetrical parts, axes of circles, and paths of motion.
• Section Line (Hatching): Used in sectional views to indicate the material that has been cut.
• Phantom Line: Represents alternate positions of moving parts, adjacent parts, or repetitive details.

Orthographic Projection

Orthographic projection creates 2D views of a 3D object by projecting its features onto mutually perpendicular planes. The most common views are front, top, and right-side.

• First Angle Projection: The object is assumed to be in the first quadrant. The view is projected onto the plane behind it. The top view is below the front view, and the right-side view is to the left of the front view. Primarily used in Europe and Asia (including Nepal). Symbol: A truncated cone with the smaller end facing the viewer in the front view, and a circle representing the larger end in the side view.
• Third Angle Projection: The object is assumed to be in the third quadrant. The view is projected onto the plane between the observer and the object. The top view is above the front view, and the right-side view is to the right of the front view. Primarily used in North America. Symbol: A truncated cone with the smaller end facing away from the viewer in the front view, and a circle representing the larger end in the side view.
• Six Views: Front, Top, Right-side, Left-side, Bottom, Rear. Typically, three principal views (Front, Top, Right-side) are sufficient to describe most objects.

Isometric Projection/View

Isometric projection is a type of axonometric projection that shows a 3D object in a single view, making it appear as a 3D drawing. All three axes (width, depth, height) are equally foreshortened.

• Isometric Axes at 30 Degrees: The three main axes are drawn 120 degrees apart, with the horizontal axis typically at 30 degrees to the horizontal plane.
• Isometric Scale: True lengths along the isometric axes are foreshortened by a factor of 0.816 (or √2/√3). However, in practical "isometric drawings," this foreshortening is often ignored, and true lengths are used along the isometric axes for simplicity, resulting in a slightly larger drawing.
• Isometric Drawing: Constructed by drawing the object's dimensions parallel to the isometric axes. Non-isometric lines are drawn by locating their endpoints.

Pictorial Views

Pictorial views offer a single, realistic-looking image of an object, making it easier to visualize.

• Oblique Projection: One face of the object is parallel to the projection plane, showing its true shape. The depth axis recedes at an angle (e.g., 30, 45, or 60 degrees) to the horizontal.
  • Cavalier Projection: The receding lines are drawn at their true length, making the object appear deeper than it is.
  • Cabinet Projection: The receding lines are drawn at half their true length, providing a more realistic appearance.

Sectional Drawing

Sectional drawings reveal internal features of an object that would otherwise be hidden in orthographic views. A cutting plane is imagined to slice through the object, and the portion in front of the plane is removed.

• Full Section: The cutting plane passes entirely through the object, removing half of it.
• Half Section: Used for symmetrical objects, where the cutting plane passes through only one-quarter of the object. Half of the view is a sectional view, and the other half is an exterior view.
• Offset Section: The cutting plane is stepped or offset to pass through various internal features that are not in a straight line.
• Revolved Section: The cross-section of a feature (like a spoke or rib) is rotated into the plane of the drawing to show its true shape.

10.2 Engineering Economics

Engineering economics involves the application of economic principles to engineering projects, enabling decision-making for optimal resource allocation and financial viability.

Project Cash Flow

Cash flow refers to the movement of money into and out of a project over its life cycle.

• Cash Inflow: Money coming into the project (e.g., revenues, sales, salvage value of assets, grants).
• Cash Outflow: Money going out of the project (e.g., initial investment, operating costs, maintenance, taxes, salaries).
• Net Cash Flow: The difference between cash inflow and cash outflow for a specific period.
  Net Cash Flow = Cash Inflow - Cash Outflow
• Cash Flow Diagrams: Graphical representations showing cash flows over time, with upward arrows for inflows and downward arrows for outflows.

Discount Rate and Interest

Interest is the cost of borrowing money or the return on invested money.

• Simple Interest: Calculated only on the principal amount.
  A = P(1 + rt)
  Where:
  • A = Total amount after time t
  • P = Principal amount
  • r = Annual interest rate (as a decimal)
  • t = Time in years
• Compound Interest: Calculated on the principal amount and also on the accumulated interest from previous periods.
  A = P(1 + r)^n
  Where:
  • A = Total amount after n periods
  • P = Principal amount
  • r = Interest rate per compounding period (as a decimal)
  • n = Number of compounding periods
• Effective Rate: The actual annual rate of interest paid or earned, considering the effect of compounding more frequently than once a year.

Time Value of Money

The concept that money available at the present time is worth more than the identical sum in the future due to its potential earning capacity.

• Present Value (PV): The current worth of a future sum of money or stream of cash flows, given a specified rate of return.
  PV = FV / (1 + i)^n
  Where:
  • PV = Present Value
  • FV = Future Value
  • i = Discount rate or interest rate per period
  • n = Number of periods
• Future Value (FV): The value of a current asset at a future date based on an assumed growth rate.
  FV = PV * (1 + i)^n
  Where variables are as defined above.

Discounted Payback Period

The time it takes for a project's cumulative discounted cash inflows to equal its initial investment. It accounts for the time value of money, unlike simple payback period.

Process: Calculate the present value of each year's cash flow, then sum them cumulatively until the initial investment is recovered.

Net Present Value (NPV)

NPV is a capital budgeting technique that calculates the present value of all future cash flows (both inflows and outflows) associated with a project, discounted at a specific rate, and subtracts the initial investment.

NPV = Σ(CFt / (1 + i)^t) - Initial Investment
Where:

• CFt = Net cash flow at time t
• i = Discount rate (MARR)
• t = Time period
• Initial Investment = Cash outflow at time 0

Decision Rule: Accept projects with NPV > 0, reject projects with NPV < 0. If NPV = 0, the project is marginally acceptable.

Internal Rate of Return (IRR)

The IRR is the discount rate at which the Net Present Value (NPV) of all cash flows from a particular project equals zero. It represents the effective rate of return a project is expected to generate.

• Definition: The discount rate i for which NPV = 0.
• Calculation: Often involves trial and error or numerical methods.
  0 = Σ(CFt / (1 + IRR)^t) - Initial Investment
• Interpolation: If two discount rates (i1 and i2) result in NPVs (NPV1 and NPV2) with opposite signs, IRR can be approximated using linear interpolation:
  IRR ≈ i1 + (NPV1 / (NPV1 - NPV2)) * (i2 - i1)

Minimum Attractive Rate of Return (MARR)

The MARR is the minimum rate of return that an investor or company expects to earn on an investment project. It is often set by management and reflects the cost of capital plus a risk premium.

Comparison of Alternatives

Several methods are used to compare mutually exclusive projects:

• Present Worth Method: Calculate the NPV of each alternative. The project with the highest NPV is preferred.
• Annual Worth Method: Convert all project cash flows into an equivalent uniform annual series (EUAW). The project with the highest EUAW is preferred.
• Rate of Return Analysis: Calculate the IRR for each alternative or incremental IRR for comparing two alternatives. Choose the project whose IRR exceeds the MARR (and the highest IRR for mutually exclusive projects if all exceed MARR).

Depreciation System

Depreciation is the accounting process of allocating the cost of a tangible asset over its useful life.

• Straight Line Depreciation: Distributes the cost of an asset evenly over its useful life.
  d = (P - S) / n
  Where:
  • d = Annual depreciation expense
  • P = Original cost of the asset
  • S = Salvage value (estimated residual value at the end of its useful life)
  • n = Useful life of the asset (in years)
• Declining Balance Depreciation: An accelerated depreciation method that applies a constant depreciation rate to the asset's book value each year, resulting in higher depreciation in earlier years.
• Sum of Years Digits Depreciation: Another accelerated method that applies a decreasing fraction to the depreciable cost of the asset each year.

Taxation System in Nepal

Nepal's taxation system is governed by the Income Tax Act, 2058 (2002) and subsequent amendments.

• Income Tax Rates:
  • Individuals: Nepal employs a progressive tax slab system, with different rates for various income brackets (e.g., 1%, 10%, 20%, 30%, 36%). There are also different slabs for single individuals and married couples.
  • Corporations: Generally, a flat rate of 25% for most industries, with specific sectors (e.g., banks, insurance, petroleum) having higher rates.
• Tax Deduction at Source (TDS): A mechanism where tax is deducted by the payer at the time of making payments (e.g., salaries, rent, professional services) and remitted to the government.

10.3 Project Planning and Scheduling

Project planning and scheduling are critical for organizing, coordinating, and managing resources to achieve project objectives within defined constraints.

Project Classifications

Projects can be classified based on their nature and industry:

• Construction Projects: Building infrastructure, residential, commercial, industrial facilities.
• IT Projects: Software development, system implementation, network upgrades.
• Manufacturing Projects: Developing new products, optimizing production lines, factory expansion.
• Infrastructure Projects: Roads, bridges, dams, power plants, telecommunication networks.

Project Life Cycle Phases

Projects typically progress through distinct phases:

1. Initiation: Define project objectives, scope, feasibility, and secure authorization.
2. Planning: Develop a detailed project plan, including WBS, schedule, budget, resource plan, and risk management plan.
3. Execution: Carry out the planned activities, manage resources, and produce deliverables.
4. Monitoring & Controlling: Track progress, manage changes, identify and resolve issues, and ensure adherence to the plan.
5. Closure: Formal completion of the project, including handing over deliverables, releasing resources, documenting lessons learned, and administrative closure.

Project Planning Process

Effective planning lays the groundwork for project success.

• Work Breakdown Structure (WBS): A hierarchical decomposition of the total scope of work into manageable work packages. It defines all the work required to complete the project.
• Scope Statement: A detailed description of the project's objectives, deliverables, boundaries, and acceptance criteria.
• Schedule: A timeline that identifies activities, their durations, dependencies, and milestones.
• Cost Estimate: A quantitative assessment of the likely costs of resources required to complete project activities.
• Quality Plan: Defines how quality policies will be implemented and managed throughout the project.

Project Scheduling: Bar Chart/Gantt Chart

A Gantt chart is a visual tool that illustrates a project schedule. It lists tasks on the vertical axis and time on the horizontal axis, with horizontal bars representing task durations.

• Advantages: Easy to understand, visually appealing, good for showing overall project timeline and task overlap.
• Limitations: Does not clearly show task dependencies, critical path, or resource allocation; difficult to update for complex projects.

CPM (Critical Path Method)

CPM is a project scheduling technique used to determine the longest path of planned activities to the end of the project, and the earliest and latest that each activity can start and finish without delaying the project.

• Forward Pass: Calculates the earliest start (ES) and earliest finish (EF) times for each activity.
  • ES = Max (EF of all preceding activities)
  • EF = ES + Activity Duration
• Backward Pass: Calculates the latest start (LS) and latest finish (LF) times for each activity without delaying the project.
  • LF = Min (LS of all succeeding activities)
  • LS = LF - Activity Duration
• Slack/Float: The amount of time an activity can be delayed without delaying the project.
  • Total Float (TF): TF = LS - ES or TF = LF - EF. The total amount of time an activity can be delayed without delaying the project completion date.
  • Free Float (FF): The amount of time an activity can be delayed without delaying the early start of any successor activity.
• Critical Path Identification: The sequence of activities that have zero total float. Any delay on a critical path activity will delay the entire project.

PERT (Program Evaluation and Review Technique)

PERT is a project management tool used to analyze and represent the tasks involved in completing a given project, especially useful where activity durations are uncertain.

• Optimistic Time (to): The shortest possible time to complete an activity (if everything goes perfectly).
• Most Likely Time (tm): The most probable time to complete an activity.
• Pessimistic Time (tp): The longest possible time to complete an activity (if everything goes wrong).
• Expected Time (te): A weighted average of the three estimates.
  te = (to + 4tm + tp) / 6
• Variance (σ²): Measures the uncertainty of an activity's duration.
  σ² = ((tp - to) / 6)²

Resources Levelling and Smoothing

• Resource Levelling: A technique used to adjust the project schedule to optimize the allocation of resources, often to avoid over-allocation, even if it means extending the project duration.
• Resource Smoothing: A technique that adjusts the activities of a schedule model such that the requirement for resources does not exceed predefined resource limits. The project completion date is not delayed.

Monitoring/Evaluation/Controlling

These processes ensure the project stays on track and meets its objectives.

• Earned Value Analysis (EVA): A project management technique for measuring project performance and progress in an objective manner. It integrates scope, cost, and schedule.
  • Planned Value (PV): The authorized budget assigned to scheduled work.
  • Earned Value (EV): The value of the work performed (physical progress) expressed in terms of the approved budget assigned to that work.
  • Actual Cost (AC): The total cost incurred in accomplishing the work that the EV measured.
  • Cost Performance Index (CPI): Measures the cost efficiency of the project.
    CPI = EV / AC (CPI > 1 is good, < 1 is bad)
  • Schedule Performance Index (SPI): Measures the schedule efficiency of the project.
    SPI = EV / PV (SPI > 1 is good, < 1 is bad)
  • Estimate At Completion (EAC): The expected total cost of completing all work.
    EAC = BAC / CPI (assuming current CPI will continue)
    Where BAC (Budget At Completion) is the total planned budget for the project.

10.4 Project Management

Project management encompasses the application of knowledge, skills, tools, and techniques to project activities to meet project requirements.

Information System

Information systems are vital for effective project management.

• Management Information System (MIS) for Project Management: Provides project managers with organized data and reports to support decision-making, tracking, and control.
• Dashboards: Visual displays of key performance indicators (KPIs) and project metrics, offering a quick overview of project status.
• Reporting: Regular generation of reports (e.g., progress reports, financial reports, risk reports) to keep stakeholders informed.

Project Risk Analysis and Management

Risk management involves identifying, assessing, and responding to project risks to minimize negative impacts and maximize opportunities.

• Risk Identification: Brainstorming, expert interviews, SWOT analysis to identify potential risks.
• Qualitative Assessment: Prioritizing risks based on their probability of occurrence and impact (e.g., high, medium, low).
• Quantitative Assessment: Numerically analyzing the effect of risks on project objectives (e.g., Monte Carlo simulation, Expected Monetary Value (EMV)).
• Risk Response Strategies:
  • Avoid: Eliminate the threat by changing the project plan.
  • Mitigate: Reduce the probability or impact of the risk.
  • Transfer: Shift the responsibility for the risk to a third party (e.g., insurance, outsourcing).
  • Accept: Acknowledge the risk and do nothing, or develop a contingency plan.

Project Financing

Securing adequate funds for a project is crucial.

• Equity Financing: Raising funds by selling ownership shares (equity) in the project or company.
• Debt Financing: Borrowing money that must be repaid with interest (e.g., bank loans, bonds).
• Mixed Financing: A combination of both equity and debt financing.
• Public-Private Partnership (PPP): A long-term contract between a public sector entity and a private sector company for the provision of public assets and/or services, often involving private financing.

Tender and Its Process

Tendering is a process of inviting bids for large projects or for the supply of goods and services.

• Types of Tenders:
  • Open Tender: Advertised publicly, allowing any qualified bidder to participate.
  • Selective Tender: Invitations extended only to a pre-selected list of qualified contractors/suppliers.
  • Negotiated Tender: Direct negotiation with a single contractor, usually for specialized or urgent projects.
• Tender Documents: Include Invitation for Bids (IFB), Instructions to Bidders, Conditions of Contract, Bill of Quantities (BOQ), Technical Specifications, and Drawings.
• Bid Evaluation: Assessment of submitted bids based on technical compliance, financial viability, experience, and other criteria.
• Letter of Acceptance (LOA): A formal letter from the client to the successful bidder, confirming the award of the contract.

Contract Management

Contract management involves the administration of contracts from inception to close-out, ensuring compliance and performance.

• Types of Contracts:
  • Lump Sum (Fixed Price) Contract: A single fixed price for the entire scope of work. High risk for contractor if scope is unclear.
  • Cost Plus Contract: The contractor is reimbursed for actual costs incurred plus a fee (e.g., a percentage of cost or a fixed fee). High risk for client.
  • Unit Price Contract: Payment based on a fixed rate per unit of work completed (e.g., per cubic meter of excavation). Suitable for projects where quantities are uncertain.
  • Turnkey Contract: The contractor is responsible for the entire project from design to completion, delivering a "ready-to-use" facility.
• Contract Clauses: Specific provisions within a contract covering aspects like scope, payment terms, schedule, change orders, liquidated damages, force majeure, and dispute resolution.
• Claims: Formal requests for additional compensation or time due to unforeseen circumstances or changes in scope.
• Dispute Resolution: Methods for resolving disagreements between contracting parties (e.g., negotiation, mediation, arbitration, litigation).

10.5 Engineering Professional Practice

Professional practice in engineering encompasses ethical conduct, societal responsibility, and adherence to regulatory frameworks.

Environment and Society

Engineers have a crucial role in ensuring that projects contribute positively to the environment and society.

• Environmental Impact Assessment (EIA): A process to identify, predict, evaluate, and mitigate the biophysical, social, and other relevant effects of development proposals prior to major decisions being taken and commitments made.
• Sustainable Development: Development that meets the needs of the present without compromising the ability of future generations to meet their own needs.
• Sustainable Development Goals (SDGs): A collection of 17 global goals set by the United Nations General Assembly in 2015 for the year 2030, covering social, economic, and environmental issues.

Professional Ethics

Ethical conduct is fundamental to the engineering profession.

• Codes of Ethics: Formal statements of principles and rules that guide the professional conduct of engineers (e.g., IEEE Code of Ethics, ACM Code of Ethics, Nepal Engineering Code of Conduct).
• Integrity: Upholding honesty, trustworthiness, and strong moral principles in all professional dealings.
• Honesty: Being truthful and transparent in reporting data, results, and professional opinions.

Regulatory Environment

Engineers must operate within the legal and regulatory framework of the country.

• Environmental Laws in Nepal: Laws like the Environment Protection Act and Regulations aim to conserve natural resources and control pollution.
• Building Codes in Nepal: Regulations (e.g., National Building Code) that specify minimum standards for design, construction, and materials to ensure structural safety, fire safety, and public health.
• Labor Laws in Nepal: Laws governing employment conditions, wages, working hours, safety, and social security for workers.

Contemporary Issues/Problems in Engineering

The engineering profession faces evolving challenges.

• Digital Divide: The gap in access to and use of information and communication technologies between different groups.
• Climate Change: Addressing the impacts of global warming through sustainable design, renewable energy, and resilient infrastructure.
• Urbanization: Designing and managing sustainable urban growth, including infrastructure, housing, and public services.
• Infrastructure Deficit: The challenge of providing adequate and modern infrastructure (transport, energy, water) to meet growing demands.

Occupational Health and Safety

Ensuring a safe working environment for all project personnel.

• Risk Assessment: Identifying potential hazards, evaluating their risks, and determining appropriate control measures.
• Safety Protocols: Established procedures and guidelines to prevent accidents and ensure safe operations.
• Personal Protective Equipment (PPE): Equipment worn to minimize exposure to hazards (e.g., hard hats, safety glasses, gloves, safety shoes).
• Workplace Safety Standards: Regulations and best practices aimed at creating a safe working environment.

Roles/Responsibilities of Nepal Engineers Association (NEA)

The NEA is a professional body for engineers in Nepal.

• Advocacy: Representing the interests of engineers and the engineering profession to the government and public.
• Standards Setting: Promoting and upholding professional standards and ethical conduct.
• Professional Development: Organizing training, workshops, and seminars for continuous learning and skill enhancement.
• Licensing: While NEC handles formal licensing, NEA often plays a role in preparing engineers for professional practice and advocating for fair licensing practices.

10.6 Engineering Regulatory Body

Regulatory bodies ensure the quality, competence, and ethical conduct of engineers to protect public safety and welfare.

Nepal Engineering Council (NEC) - Establishment, Purpose, Legal Authority

• Establishment: Established under the Nepal Engineering Council Act, 2055 (1999).
• Purpose: To regulate and control the engineering profession in Nepal, ensuring that only qualified and competent individuals practice engineering.
• Legal Authority: Derives its authority from the NEC Act, which empowers it to register engineers, specify qualifications, and enforce a code of conduct.

NEC Act and Regulations

The NEC Act and its associated regulations outline the framework for engineering practice.

• Licensing Requirements: Specifies the academic qualifications (e.g., Bachelor's degree in engineering), practical experience, and examinations required for obtaining an engineering license.
• Professional Registration: Procedures for registering as a professional engineer, including submission of documents and payment of fees.
• Annual Renewal: Requirements for annual renewal of the engineering license to maintain active professional status.

Code of Conduct for Engineers in Nepal

The NEC prescribes a code of conduct to guide the ethical behavior and professional responsibilities of engineers.

• Professional Responsibility: Engineers are expected to hold paramount the safety, health, and welfare of the public.
• Accountability: Being responsible for their professional decisions and actions, and maintaining competence in their areas of practice.

Engineering Discipline Classifications and Their Scope

The NEC categorizes engineering disciplines to regulate specialized practices.

• Civil Engineering: Design, construction, and maintenance of infrastructure projects such as roads, bridges, buildings, water supply systems, and environmental systems.
• Electrical Engineering: Design, development, and maintenance of electrical systems, power generation, transmission, distribution, and control systems.
• Mechanical Engineering: Design, analysis, manufacturing, and maintenance of mechanical systems, machinery, and thermal systems.
• Electronics Engineering: Design and development of electronic circuits, devices, communication systems, and embedded systems.
• Computer Engineering: Design of computer hardware and software, networks, and integrated systems.
• Architecture: Design and planning of buildings and other physical structures, focusing on aesthetics, functionality, and safety.