Construction management

Construction Management Overview and Roles
– Aims to control the quality of a project’s scope, time, and cost
– Uses project management techniques and software
– Oversees planning, design, construction, and closeout
– Practitioners are called construction managers
– Hired for large-scale, high budget undertakings called capital projects
– The Role of the Contractor
– Contractors are assigned during design or after completion
– Selected through low-bid, best-value, or qualifications-based selection methods
– Responsible for means and methods, communications, time management, and cost controls
– Involved in project management planning, cost management, and safety management
– Define responsibilities, implement project controls, and identify potential disputes and claims

Project Acquisition and Selection
– Bids inform the owner of the expected cost
– Open bid allows any contractor to submit a bid for public projects
– Closed bid invites selected contractors for private projects
– Low-bid selection focuses on the price
– Best-value selection considers price and qualifications
– Qualifications-based selection relies on contractor qualifications
– Used when hiring early during the design process
– Request for proposal (RFP) or request for qualifications (RFQ) are used
– Payment Contracts
– Lump sum contract agrees on an overall cost
– Cost plus fee contract covers total cost and a fixed fee or percentage
– Guaranteed maximum price contract sets a maximum cost
– Unit price contract is used when cost cannot be determined ahead of time

Project Stages and Processes
– Feasibility and Design
– Feasibility and design involve programming, schematic design, design development, and contract documents
– Design team ensures compliance with building codes and regulations
– Programming and feasibility determine needs and goals
– Schematic design identifies spaces, shapes, and patterns
– Design development refines drawings and evaluates materials and equipment.
– Pre-construction
– Notice to proceed given by owner to contractor
– Project team includes project manager, contract administrator, superintendent, and field engineer
– Project manager in charge of project team
– Contract administrator assists project manager and superintendent
– Superintendent ensures schedule, materials, and on-site activities are on track
– Procurement
– Labor, materials, and equipment purchased
– General contractor or subcontractors obtain resources
– Subcontractors specialize in specific construction work
– Purchase orders used to ensure product specifications and price agreement
– Procurement stage includes purchasing process
– Construction
– Pre-construction meeting to make decisions on work hours, storage, quality control, and site access
– Construction site set up after pre-construction meeting
– Contractor progress payment schedule determines payment milestones
– Progress payments made to contractors, subcontractors, and suppliers as construction progresses
– Proper payment processing helps contractor complete project financially
– Owner occupancy
– Warranty period begins when owner moves into building
– Warranty period ensures materials, equipment, and quality meet owner’s expectations
– Warranty period specified in contract
– Issues resulting from construction
– Dust and mud created during construction
– Water truck used to control dust by spraying water on dry dirt
– Mud from water truck may lead to dirty roads
– Storm water pollution can occur due to soil displacement during construction
– Endangered species found on site may lead to temporary shutdown and accommodations

Education and Software in Construction Management
– Study and practice
– Construction Management education comes in various formats: formal degree programs, on-the-job training, and continuing education.
– Degree programs are available from accredited organizations such as ABET, ACCE, AAPM, CMAA, and ASC.
– Construction Management programs cover topics ranging from general management skills to technical knowledge of construction methods.
– Many schools offer Construction Management programs, including those offering a masters degree.
– Software
– Capital project management software (CPMS) helps control and manage information in construction projects.
– CPMS goes by different names such as construction management software and project management information systems.
– CPMS is particularly useful for managing portfolios of projects.
– Construction management is a subset of CPMS, which encompasses more than just the construction phase.
– Required knowledge
– Construction and building
– Technology
– Public safety
– Customer service
– Mathematics

Project Delivery Methods and Challenges
– Project Delivery Methods
– Design, bid, build contracts
– Design-build contracts
– Turnkey contracts
– Construction Management as PDM
– Agency CM
– Design-build contracts
– Design-build contracts involve the construction team taking responsibility for the owners’ concept and completing a detailed design.
– Virtual design and construction technology can be used to maintain a tight construction schedule.
– Advantages of design-build contracts include practical design development, concurrent design and construction activities, and cost control.
– The conflict of interest in design-build contracts is an inherent challenge.
– Incentive clauses are written into the contract to mitigate conflicts and ensure quality.
– Challenges and Disputes in Construction Management
– Project design and construction quality enhancement
– Flexibility in contracting and procurement
– Efficient cash-flow management
– Comprehensive management of every stage of the project
– Application of construction collaboration technology
– CM at-risk (CMaR)
– Delivery method with a Guaranteed Maximum Price (GMP)
– Construction manager acts as a consultant and general contractor
– Eliminates low-bid construction projects
– Budget management through estimating costs and adjusting design
– Site management and efficient time/cost management
– Advantages of CM at-risk
– CM works at risk and acts in the owner’s interest
– Ability to handle changes in design or scope
– Incentive to efficiently manage construction costs
– Provides cost overrun liability for the CM
– Allows for mistake-related contingency
– Drawbacks of CM at-risk
– Cost overruns can be costly for the CM
– Possibility of reducing scope to fit the GMP
– Difficulty for owners to determine the best bid
– GMP settled before design begins
– CM compensation for reducing scope
– Accelerated Construction Techniques
– Massachusetts Department of Transportation’s Accelerated Bridge Program
– Contracts Source:  https://en.wikipedia.org/wiki/Construction_management