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org
Seminar
On
Construction
Management
Construction Management is a
professional service that applies
effective management techniques to
the planning, design and
construction of a project from
inception to completion for the
purpose of controlling time, cost
and quality.
4
Services of Construction
Management
5
Project Preplanning/Programming Phase Services
Project Design Phase Services
Project Procurement Phase Services
Project Construction Phase Services Commissioning
Services
Testing Services
Construction Management
Values
Construction
Management is a
discipline and
management system
specifically created to
promote the
successful execution
of capital projects for
owners.
These projects can
be highly complex.
Few owners maintain
the staff resources
necessary to pay
close, continuing
attention to every
detail; yet these
details can “make or
break” a project.
6
The Client & Construction
Management
A professional CM
firm can augment the
owner’s existing
resources with pre-
planning, design,
construction,
engineering and
management
expertise that can
assure the best
possible project
outcome no matter
what type of project
delivery method is
used.
7
Types of Construction Management
Agricultural
Residential
Commercial
Institutional
Industrial
Heavy civil
Environmental
Professional CM pays off in:
9
CONSTRUCTION MANAGER
Safety
Time Cost
Quality
Tendered Projects
A Prime Contractors
15
lump sum contract has a
16
14
profit and risk equation
12
built in
10 The market can sustain
8 Prime Contractor
Const. Manager
up to 15% mark-up on
6
labour and materials
4
2
Internal disciplines such
0
0
as office administration,
Trades
construction
management and trades
are marked up too
11
Bonding & Project
Performance
Client stipulated
surety bonding
typically costs up to
1.6 1.5
1.5%
1.4
1.2
Often developers
1 projects fail
0.8 Prime Contractor
Const. Manager financially as well
as, contractors fail
0.6 0.5
0.4
0.2 to perform or go
0
Bonding
broke
CM’s recommend
using risk analysis to
pinpoint where
bonding is sensible
12
Cost Savings
The fact is … 16
15 15
dollars run away 14
without 12
Construction 10
Management
8 Prime Contractor
Const. Manager
6
Trades
4
Materials
2 1.5
Bonding
0 0 0 0.05
Owner Profits Trades Material Bonding
13
Magnum Project Management Ethics
14
Client
Professional
Service Representation Development
of
Conflicts of Qualifications
Interest
Fair
Fair
Public Compensation
Competition
Welfare
Standards of
Practice Integrity
Release of
Information
Owners need…
15
Thanks