Benefits of Partnering with a Construction Manager
For both owners and architects, the benefits of partnering with a Construction Manager are many including:
More options and greater freedom
- CM’s are selected on the basis of professional experience, reputation, technical expertise, and value added to the project. The CM fee is established early in the process and can be a fixed value or a value based on a percentage of the total constructed value of the project.
- The owner and architect participate with the CM in selection of contractors and subcontractors based on their qualifications, availability, scope of work and best value.
- HCM will take the hassle and stress out of the construction process by representing the owner’s interests in meetings and negotiations with other stakeholders including contractors, builders, architects, government entities, utility companies etc.
- The CM process will provide a lower total project cost over the life of the building.
- The CM provides valuable industry knowledge and experience without the expense of managing the project in-house.
- The CM provides accurate preliminary budgets and cost estimating services during the design phase, allowing stakeholders to evaluate the cost of various designs during conceptual development and continues to refine and update estimates to afford constant and strict cost controls.
- The CM will contain project costs through, value engineering, life-cycle cost analysis, and by evaluating the feasibility and constructability of construction designs.
- In working as a team, professional services fees including architectural and engineering fees, contractor fees, and legal fees can be more effectively managed and determined early in the process.
- By contracting directly with the trade contractors, the owner can save on fees and markup associated with a general contractor.
- CM assumes the GC’s responsibilities for administration and supervision of trade contractors eliminating an additional layer of management (and cost) to you.
- CM’s controlled purchasing approach provides an orderly approach to the bid process. Bid packages are carefully prepared to ensure there are no gaps or overlaps between work scopes.
- CM approach guarantees receipt of all the low bids for each package. Under lump sum GC approach, the GC with the lowest bid rarely has low bids for each bid package. Trade contractors may not bid to each GC or may favor one GC over another with pricing.
- Through a thorough analysis of subcontractor bids CM may find duplicity and can save the owner money through further negotiations and buyout.
- Owner may opt for the CM to provide a GMP prior to the start of construction which may aid owner’s in obtaining financing at more favorable rates.
- Professional services costs are minimized, thanks to the CM’s input on the effectiveness of the means, methods and techniques to be employed during construction.
- CM reviews work progress to verify the work has been completed satisfactorily before approving payment applications and advises owner of cost savings for prompt payments.
- CM approach protects owner against unreasonable change orders by having a construction expert on your side of the table analyzing and negotiating change orders for your best interests.
- CM does not add markup to change orders unless they are of such magnitude that they substantially impact staffing requirements.
- Phased construction can significantly reduce the impact of inflation on construction costs by expediting the work and allowing owner occupancy at the earliest possible date.
- Having a CM on board during the design process creates efficiencies throughout the process and a sense of teamwork across all stakeholders. It also permits phased construction, a proven technique for earlier completion and reduced costs. The CM can work with the A/E to develop a construction program in which the design and construction phases are overlapped. For example, while the A/E is still working on drawings for the interior finishes, the CM is preparing bid packages for the first construction portion (excavation, foundation, etc.) of the project. (IE: the CM does not need to know interior finishes in order to start excavation.)
- All team members (A/E, owner, and CM) participate in development of overall CPM project schedule including design phase activities as well as construction activities and agree on the project’s game plan ensuring a well-coordinated project.
- Approval drawings as well as building and owner occupancy permits can be expedited.
- A streamlined workflow and team work results in fewer headaches and less time spent resolving problems, conflicts and disputes for owners, architects and contractors.
- Scheduled dates are more realistic and less likely to be delayed keeping the project on schedule
- By monitoring the schedule the CM can ensure that major milestones are met.
- The CM can perform status verifications of fabrication of materials and equipment to ensure on time delivery.
Exceptional Quality Assurance
- The CM can verify that all contractors are properly licensed and insured.
- Because of early project involvement, a CM can introduce quality control as early as the conceptual stages of a building program thus establishing accurate project performance requirements not just in construction but in providing pre-construction services (estimating, value engineering, scheduling, safety, etc). Resulting in a level of quality control that cannot be provided by a lump sum general contractor.
- The CM can ensure that the scope, quality and performance of the work is performed in a professional and verifiable manner in accordance with the contract documents and to the owner’s requirements and standards. HCM will evaluate the quality of construction and promote appropriate improvements as needed to insure you get full value.
- HCM will require pre-installation conferences with trade contractors to reaffirm quality expectations and review how they will be achieved.
- The CM coordinates and oversees professional services contracts for the testing and inspection of contractor work as well as special inspections.
- Confirmation of installation of only approved and new materials.
- Performance and management of punch list process and its timely completion.
- Management of closeout documents including: warranties, as-built drawings, operations and maintenance manuals, owner training, material attic stock & warranty inspections.
Experience exceptional relationships
- CM approach is a healthy team oriented process between the owner, A/E and CM that provides continuity and improves project coordination throughout both the design and construction phases. The CM & A/E are each responsible for different critical aspects of the project. The A/E for design, aesthetics, quality and function, while the CM is responsible for quality, cost and schedule controls. Even though the A/E and CM are equal members of the team, there is a continuous “check and balance” system permitting critical design and construction decisions to be made on the basis of cost, quality and schedule implications as well as aesthetics and function. Along with the owner, their talents are blended to work toward a common goal – a building program completed on time, within budget and meeting the owner’s goals and objectives.
Always on your side, the CM is a loyal advocate for the owner
- Working as a member of the owner’s team, the CM’s interests are synonymous with the owner’s. By the very nature of the relationship, the CM has a special duty of loyalty to the owner and must act in good faith assuring the owner’s interests are best served and objectives are met.
- HCM will take a tough, pro-active approach to getting your project done as fast and as economical as possible avoiding delays, changes & disputes while keeping you fully informed of all issues and progress with no surprises.
- The CM ensures the owner receives the best design considerations, the best pricing and is the owner’s eyes and ears on the jobsite to ensure the best construction methods and materials are used and the highest quality is achieved consistent with the design intent.
- By developing conceptual estimates conflicts between the estimated cost and the owner’s budget can be identified before the owner has committed time and monies in design development.
- The CM will manage technical and financial risks, ensuring the functionality of the project and limiting the owner’s exposure to various commercial liabilities.
- By managing the project safety the CM will ensure the work complies with all legally mandated safety requirements.
- The CM will provide conflict and problem resolution whenever issues arise.