Global Engineering and Construction

The essential manual for managing global engineering and construction projects and working with multinational project teams The first book written for operations-level engineers, constructors, and students, Global Engineering and Construction is an essential manual for navigating the confusing world of engineering and construction in the global arena and for working on multinational teams. From project management to finance, global construction to alliances, international standards to competitiveness, this book contains country- and region-specific information on cultural issues, legal systems, bid estimates, scheduling, business practices, productivity improvement, and tips for successfully working on and managing global projects. This book also provides a useful glossary and numerous case studies illustrating practices in the real world. Global Engineering and Construction features the latest coverage on such topics as: Project management Engineering design Designing for terrorism Kidnapping protection Construction failures Preparing to work globally Safety Issues Legal Issues Technical and quality standards Environmental issues Productivity improvement Planning and engineering delays and mitigation strategies Concepts of culture and global issues Global competitiveness Global engineering and construction alliances Global financing techniques Country-specific information

Table of Contents:
Preface xv About the Author xix Acknowledgments xix Chapter 1: Introduction 1 1.1 Global Engineers and Constructors 2 1.2 Engineering and Construction Global Ambassadors 7 1.3 Global Risks to Engineers and Constructors 8 1.4 Organization of This Book 8 1.5 Summary 10 Chapter 2: The Concept of Culture and Global Issues Important to Engineers and Constructors 11 2.1 Introduction 11 2.2 Sources of Information 12 2.3 Language and Translation Considerations for Design 15 2.4 Design Criteria for Different Cultures 21 2.5 Cultural Issues That Affect Engineers and Constructors 27 2.6 Suggestions for Adapting to Foreign Cultures 29 2.7 Economics 33 2.8 Politics 34 2.9 Summary 34 Chapter 3: Managing Global Engineering and Construction Projects 36 3.1 Introduction 36 3.2 Management Functions and Project Objectives 37 3.3 Three-Dimensional Project-Objective Model (POM) 39 3.4 Hierarchy of Objectives 44 3.5 Determining Objectives 45 3.6 Managing Projects in Foreign Countries 48 3.7 Characteristics of Global Project Managers 49 3.8 Calendars and Time Considerations 52 3.9 Technology Considerations 54 3.10 Estimating 57 3.11 Scheduling 58 3.12 Permits and Codes 58 3.13 Construction Safety Issues 59 3.14 Construction Failures and Investigation Techniques 68 3.15 Case Study: Indonesia 73 3.16 Summary 73 Chapter 4: Global Competitiveness in the Engineering and Construction Industry 77 4.1 Introduction 77 4.2 Definition of Competitiveness 77 4.3 Competitiveness Issues 78 4.4 Competitive Forces in the 1980s 81 4.5 Changes in the E&C Industry Structure in the 1990s 83 4.6 Forces Driving Competition in the Twenty-First Century 85 4.7 Changes in the E&C Industry in the Twenty-First Century 89 4.8 The Changing Nature of E&C Industry Competition 93 4.9 Summary 99 Chapter 5: Global Engineering and Construction Alliances 103 5.1 Introduction 103 5.2 Multinational Contractors 103 5.3 The Global Dimension 106 5.4 Risks in Global Investment 108 5.5 Project Financing 110 5.6 Privatization 110 5.7 Build-Own-Transfer (BOT) 115 5.8 Joint Ventures and Partnerships 117 5.9 Summary 118 Chapter 6: Global Construction Financial Techniques 121 6.1 Introduction 121 6.2 Countertrade 122 6.3 Cofinancing with the World Bank 123 6.4 Project Financing 125 6.5 Global Payment Methods 129 6.6 Bills of Lading, Commercial Invoices, and Consular Invoices 132 6.7 The U.S. Export-Import Bank and Private Export Funding Agencies 132 6.8 Summary 133 Chapter 7: Global Legal Issues for Engineers and Constructors 136 7.1 Introduction 136 7.2 International Conventions 136 7.3 Regional Legal Issues 137 7.4 International Contracts 139 7.5 Claims and Change Orders 146 7.6 Dispute-Resolution Techniques 150 7.7 International Arbitration 152 7.8 Anticorruption Legislation 155 7.9 Kidnapping and Ransom Insurance 155 7.10 Changing Governments 156 7.11 Liability Issues 156 7.12 Summary 159 Chapter 8: International Engineering and Construction Standards 163 8.1 Introduction 163 8.2 Definition of Standards 163 8.3 Technical Standards 164 8.4 Consensus Standards 164 8.5 Government Standards 165 8.6 Nongovernment Standards 165 8.7 International Standards 165 8.8 International Organization for Standardization (ISO) 167 8.9 The Development Process for Standards 169 8.10 International Technical Standards 171 8.11 ISO 9000 Quality Management System Standards 172 8.12 ISO 14000 Environmental Management Series of Standards 174 8.13 ISO 4217 Global Currency Codes and Names 175 8.14 The ISO 9000 and 14000 Registration Process 175 8.15 Advantages and Disadvantages of International Standards 177 8.16 Summary 179 Chapter 9: Global Environmental Issues of Concern to Engineers and Constructors 181 9.1 Introduction 181 9.2 The United Nations Framework Convention on Climate Change (UNFCCC) 183 9.3 Effects of the Kyoto Protocol on the Engineering and Construction Industry 187 9.4 Global Environmental Management 189 9.5 Country-Specific Environmental Issues 190 9.6 Summary 194 Chapter 10: Global Productivity Issues on Construction Projects 197 10.1 Introduction 197 10.2 International Comparisons of Labor Productivity 199 10.3 Case Study: Worker Productivity in Nigeria and the United States 200 10.4 Labor Productivity Variations 202 10.5 Labor Productivity Factors 204 10.6 Factors that Affect Productivity on Global Projects 207 10.7 Summary 211 Chapter 11: Global Planning and Construction Delays 214 11.1 Introduction 214 11.2 Accounting for Global Variations in Construction 215 11.3 Bribery Policies 216 11.4 Categories of Global Nontechnical Delays 218 11.5 Global Engineering and Construction Delays 220 11.6 Indicators of Project Delays 226 11.7 Global Project Planning Delays 228 11.8 Summary 233 Chapter 12: Global Terrorism: Kidnapping and Design Considerations 236 12.1 Introduction 236 12.2 Definitions of Terrorism 238 12.3 Terrorist Behavior 239 12.4 Financial Support for Terrorism 240 12.5 Terrorist Strategies and Profiles 241 12.6 Kidnapping Issues 242 12.7 Preventing Terrorism 245 12.8 Building Protection 251 12.9 Web Sites with Additional Information on Terrorism 258 12.10 Summary 259 Chapter 13: Preparing Engineers and Constructors to Work Globally 263 13.1 Introduction 263 13.2 Definition of Culture 263 13.3 Cultural Differences 264 13.4 Language Differences 264 13.5 Technology Transfer 265 13.6 The Importance of Cross-Cultural Training Programs 265 13.7 Developing Cross-Cultural Training Programs 267 13.8 What to Know Before Working Overseas 268 13.9 Language Training 274 13.10 Educational Considerations 275 13.11 Entertainment Issues 275 13.12 Short- and Long-Term Housing 276 13.13 Food and Water Supplies 278 13.14 Transportation Issues 281 13.15 Foreign Work Environments 281 13.16 Prejudice 283 13.17 Culture Shock 284 13.18 Going Native 285 13.19 Avoiding Foreign Jails 285 13.20 Summary 286 Chapter 14: Country-Specific Information 288 14.1 Introduction 288 14.2 Africa 289 14.3 Asia 300 14.4 Eastern Europe 311 14.5 The Near and Middle East 318 14.6 North America 325 14.7 Oceana 330 14.8 South America 331 14.9 Southeast Asia 334 14.10 Western Europe 342 14.11 Summary 346 Appendix A Glossary 347 Appendix B Case Study: Managing Projects in Rural Developing Countries 351 References 361 Appendix C Definitions of Religions 362 Index 364

About the Author :
J. K. YATES, PhD, BSCE, is Professor and the Program Coordinator for the Construction Engineering Program in the Department of Civil Engineering at San Jose State University in San Jose, California, as well as having been the associate editor of the Project Management Institute's (PMI) Project Management Journal for ten years. Dr. Yates has extensive hands-on experience working globally for companies such as Bechtel, Williams Engineering, CH2M Hill Consulting Engineers, and Morrison-Knudsen. A member of the American Society of Civil Engineers, PMI, and the American Association of Cost Engineers International, Dr. Yates has published over forty-five refereed journal articles on construction engineering, project management, and international engineering and construction. The Associated General Contractors (AGC) selected Dr. Yates as the Outstanding Educator in Construction in America in 1997, and the Engineering News-Record selected Dr. Yates as One of Those Who Made Their Mark in Construction in 1991.