L1 - Class Intro

8/14/2019 L1 - Class Intro

1/28

Lecture 1: Class Introduction

Spring 2009

Dr. Ivan Damnjanovic

CVEN 640:CVEN 640:Project Development:Project Development:

Methods and ModelsMethods and Models


2/28

TeachingTeaching

Tuesday / Thursday 14:30 to 15:35, CE 217

Instructor: Dr. Ivan Damnjanovic Office: 705-C CE/TTI Building

Office Hours: Tuesday / Thursday 4:00pm to

5:00pm or by appointment.

Phone: (979) 862-6616 Email: [email protected]

Web: http://ceprofs.tamu.edu/idamnjanovic/


3/28

Required TextbookRequired Textbook

Real Options: Managerial Flexibility and

Strategy in Resource Allocation by Lenos

Trigeorgis The MIT Press


4/28

PrerequisitesPrerequisites

STAT 211 or STAT 601

Background knowledge in: Probability and statistics

Engineering economics

Optimization


5/28

Assignments and ExamsAssignments and Exams

Approximately 6 assignments: Submitted in the form of Technical Memoranda Graded based on the content and the clarity of

presented information Make sure you explain the notation If you need to type in formula, you MUST use MS

Equation Editor or Mathtype

Exam Tentatively scheduled for March 24, 2008 In-class


6/28

AssignmentsAssignments

Due on specified day before class starts.

Late submissions w/in 24 hours get credit.

Submit hard copy only unless otherwisespecified.

Work individually unless otherwise specified.

Graded assignments can be picked up in classor in my office.

Special Group Assignment 2 - YouTube


7/28

Group Term PaperGroup Term Paper(groups of 2 -3)(groups of 2 -3)

Steps in developing Term Paper: One-page term paper proposal

Literature review summary Proposed methodological framework Case study and discussion Draft paper using ASCE paper format:

http://www.pubs.asce.org/authors/AuthorGuideJournals.pdf

Present paper
http://www.pubs.asce.org/authors/AuthorGuideJournals.pdfhttp://www.pubs.asce.org/authors/AuthorGuideJournals.pdf


8/28

Group Term PaperGroup Term Paper(groups of 2 -3)(groups of 2 -3)

Term paper grade will be based on: Validity of the methodological approach

Confirmation to the set guidelines Clarity of the expressions in written report Understanding of the covered concepts Ability to present the paper in an effective

mannerMore information and timeline will be

provided later


9/28

Aggie Honor CodeAggie Honor Code

Must be adhered to

Violators will handled in accordance with the

Aggie Honor System Process


10/28

Grading ScaleGrading Scale

A: 90% - 100%

B: 80% - 89%

C: 70% - 79%

D: 60% - 69%

F: below 60%


11/28

Grading BreakdownGrading Breakdown

%

Class Participation 5

Assignments 40

Exam 15

Term Paper 40

TOTAL 100


12/28

Questions?


13/28

Introduction of StudentsIntroduction of Students

Name

Area of InterestBrief Background

Class Expectations


14/28

Class ObjectivesClass Objectives

Describe components of commercialproject development

Identify and analyze commercialopportunities

Explain project development process

Develop preliminary business and financialplans Identify project performance measures


15/28

Class ObjectivesClass Objectives

Identify, quantify and manage project risksEvaluate project real options

Develop exist strategiesDevelop life-cycle revenue and cost

management strategiesAnalyze project cash-flow and financing

methodsDevelop skills for conducting research


16/28

What is a project?What is a project?

A project is a temporary endeavor

undertaken to create a unique product or

service.

An undertaking that encompasses a set of

tasks or activities having a definablestarting point and well defined objectives.


17/28

What is a project?What is a project?

A planned undertaking of related activities

to reach an objective that has a beginning

and an end.

A unique venture with a beginning and an

end, undertaken by people to meetestablished goals within defined constraints

of time, resources, and quality.


18/28

Common Characteristics of a ProjectCommon Characteristics of a Project

It is unique

It is temporary; it has a beginning and an

end It has a clear goal and objectives

It involves a series of activities

It needs resources It is a joint or combined venture


19/28

and we have different type of projectsand we have different type of projects


20/28

Apollo ProjectApollo Project

OBJECTIVE: LAND ON THE MOON

MISSION ACCOMPLISHED!


21/28

More Civil Engineering ProjectsMore Civil Engineering Projects


22/28

now more revenue-generating projectsnow more revenue-generating projects


23/28

Panama ChannelPanama Channel


24/28

Millau BridgeMillau Bridge


25/28

Revenue-generating ProjectsRevenue-generating Projects

What are revenue-generating projects?

Projects that can create revenue!

Objective: Make Profit The concern of this class are the projects

where the major revenue-generating assetsare civil engineering structures.

What are the common types of suchprojects?


26/28

ExamplesExamples

Toll Roads, Toll Bridges

Pipelines

Real estate projects (housing, office space)Power plants

Transmission lines

Oil platforms

Others


27/28

Key PlayersKey Players

Contractors

Investment Banks

Large Institutional InvestorsPublic Agencies

Material and Equipment Providers

Insurance

Credit Rating Agencies


28/28

Role of EngineersRole of Engineers

Didnt change; plan, design, construct, and

maintain civil engineering structures

However, those decisions need to be

coordinated to maximize the project

objectives: MAKE PROFIT!

L1 - Class Intro

Documents

Transcript of L1 - Class Intro