Review:
Construction Management Contracts
overall review score: 3.8
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score is between 0 and 5
Construction Management Contracts are a project delivery method in the construction industry where an owner hires a construction manager to oversee, coordinate, and manage the entire construction process. Unlike traditional design-bid-build contracts, this approach often involves the construction manager providing advisory roles during design and acting as a liaison during construction, aiming to enhance collaboration, flexibility, and efficiency throughout the project lifecycle.
Key Features
- Early involvement of the construction manager during the design phase
- Collaborative approach between owner, designers, and construction manager
- Multiple contracts for different trade packages or components
- Shared risk and responsibilities among stakeholders
- Flexibility to make changes during construction
- Cost estimating and value engineering provided by the construction manager
- Potential for faster project completion
Pros
- Promotes early collaboration among all project stakeholders
- Flexible to accommodate design changes during construction
- Potentially faster project delivery due to streamlined communication
- Better cost control through continuous estimation and value engineering
- Increased transparency and shared responsibilities
Cons
- Can be more complex to administer with multiple contracts
- Potential for conflicts of interest if the construction manager has a financial stake in trades
- Requires strong communication and coordination skills from all parties
- Possible higher initial management costs compared to traditional methods