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Construction Methods & Management
By
Damian Trevor
Damian Trevor
Construction Methods & Management
Construction Managers must be
both…
…business and technically oriented
Damian Trevor
Construction Education Options
Education Format
• Traditional
• CEM
• BC
• CM
Damian Trevor
Construction Education Options
• Engineering (civil or architectural)
• Specialization/area of concentration
• Curriculum Elective
Damian Trevor
Construction-Focused
Education
CEM CM BCM
Civil
Engineering
Applied Technology
or
Professional Studies
Architecture
School of Construction
Damian Trevor
Construction Management Education
• National CEM Programs
• Stanford University
• University of Michigan
• Virginia Tech
• Purdue University
• University of Illinois-UC
• Oregon State University
• University of Colorado
• NC State
Damian Trevor
Construction Management Education
• National BCM Programs
• Georgia Tech
• University of Florida
• Purdue University
• Virginia Tech
• Auburn University
• Georgia Southern University
• University of North Florida
Damian Trevor
Construction Education Options
• National CM Programs
• Arizona State University
• Florida International University
• Colorado State
• Clemson
• University of Washington
• Michigan State University
• Brigham Young
• Wentworth Institute of Technology
Damian Trevor
Construction Education Options
• Graduate Construction Programs
• Stanford University
• University of Colorado
• University of Michigan
• Virginia Tech
• University of Southern California
• Arizona State University
• Florida International University
• Texas A&M
Damian Trevor
Construction Education Options
Construction Management
• Interdisciplinary Education
• Practice rather than theory based
• Foundation of Business and Science Courses
• Architectural & Engineering Coursework
• Core of Construction Management Courses
Damian Trevor
Construction Methods & Management
B.S.C.M. Coursework
Engineering subjects
• Strength of Materials
• Statics and Structures
• Soil Mechanics
• Steel and Concrete Design
• Surveying
Damian Trevor
Construction Methods & Management
B.S.C.M. Coursework
Business Management
• Accounting
• Economics
• Statistics
• Financial Mgt.
• Contract Law
Damian Trevor
Construction Methods & Management
B.S.C.M. Curriculum Course Distribution
Engineering
(incl math &
science)
34%
Construction
Mgt.
30%
Liberal Arts
13%
Business
15%
Architecture
8%
Damian Trevor
Construction Methods & Management
Licensing/Certifications
• Professional Engineer’s License issued by state or local governing
board.
• Certified Constructor issued by the American Institute of
Constructors (AIC).
• Certified Construction Manager issued by Construction
Management Association of America (CMAA)
• Project Management Professional (PMP) by the Project
Management Institute (PMI)
Damian Trevor
Construction Methods & Management
Basic Skills needed by Construction Managers
• Estimating
• Computer
• Leadership/supervisory
• Communication = writing and oral skills
• Negotiating
• Team Building
Damian Trevor
Construction Methods & Management
Construction Management Functions
• Coordination
• Planning & Scheduling
• Purchasing & Expediting
• Supervision
• Cost Control
• Documentation and Reporting
Damian Trevor
Construction Methods & Management
Construction Management Functions
• Quality Control/Quality Assurance
• Estimating
• Safety and Risk Management
• Contract Administration
• Claims Analysis/Avoidance
Damian Trevor
Construction Methods & Management
Additional Skills & Knowledge needed by
Construction Engineers
• Surveying (GPS, GIS, Hydrographic)
• Structural Design
• CADD/Drafting
• Specialization in Mechanical, Electrical,
Chemical, or Environmental disciplines
Damian Trevor
Construction Methods & Management
Construction Engineering Functions
• Preparation and Review of Shop Drawings
• Constructibility & Sequencing Studies
• Value Engineering
• Erection Diagrams and Procedures
• Survey & Layout
Damian Trevor
Construction Methods & Management
Executive Functions
• Corporate Management
• Strategic Planning
• Marketing & Business Development
• Public Relations
• Labor Relations
Damian Trevor
Construction Methods & Management
Executive Functions
• Ultimately responsible for quality, safety,
production, and general financial health.
Damian Trevor
Construction Methods & Management
Construction training can be valuable
to design professionals……
• To enable them to produce practical and efficient
designs
• Develop needed management skills
• Learn scheduling techniques that can be applied to
the preconstruction process
Damian Trevor
Construction Methods & Management
Project Life Cycle
Damian Trevor
Construction Methods & Management
Life Cycle of a Constructed Facility
1. Concept and Feasibility
2. Engineering and Design
3. Procurement
4. Construction
5. Startup and Implementation
6. Operation or Utilization
Damian Trevor
Construction Methods & Management
What is Construction?
 Application of art and science
 Inherently dangerous
 Organized chaos
 Mankind using creativity, knowledge, strength,
determination, and persistence to control his
environment
Damian Trevor
Construction Methods & Management
Construction differs from manufacturing in that:
• Not performed in controlled conditions, therefore
highly impacted by weather and other
environmental conditions
• Seasonality
• Each project is unique
• Remotes sites with various access problems
Damian Trevor
Construction Methods & Management
Construction differs from manufacturing in that:
• Process is not as predictable
• Difficulty in applying automation
• High potential for encountering unforeseen
conditions
• Costs can vary according to conditions
Damian Trevor
Construction differs from manufacturing in that:
• Difficult to manage and supply utilities and other
resources.
• Technical innovations are adopted slower.
• Success is dependent upon the quality of its people.
• Very custom-oriented
• Product can be of mind-boggling size, cost, and
complexity
Damian Trevor
Problems Facing Construction Industry:
• Highly traditional and fragmented; slow to embrace new
technology
• Restrictive/outdated building codes
• Labor agreements and craft jurisdictional issues
• Liability and legal considerations
• Lack of profit motive or other incentive
Damian Trevor
Problems Facing the Construction
Industry:
• Government regulation
• Environmental constraints
• NIMBY syndrome
• Global competition
Damian Trevor
Construction Methods & Management
“The Blame Game”
Damian Trevor
Overview of the Construction Industry
• 10% of GNP
• Employs over 10,000,000 workers
• Annual Volume exceeds $800 billion
• Vital to the Nation’s economic health and quality of
life
Damian Trevor
Construction Methods & Management
Industry Divisions
1. Residential Construction
2. (Institutional & Commercial) Building
Construction
3. Heavy Construction
4. Industrial Construction
Damian Trevor
Overview of the Construction Industry
Industry Divisions
1. Residential Construction
2. (Institutional & Commercial) Building Construction
3. Heavy Construction
4. Industrial Construction
Damian Trevor
Overview of the Construction Industry
Residential
• Types
• Single family houses
• Multi family dwellings
• High-rise apartments & condominiums
• 30-35 % of the industry
• Low capital and technology
requirements
Damian Trevor
Overview of the Construction Industry
Residential (continued)
• Largely private
• Often speculative
• Developers = surrogate owners
• Designed by architects, builders/developers
Damian Trevor
Overview of the Construction Industry
Building Construction
• Institutional and
Commercial Construction
• Schools and universities
• Medical clinics and
hospitals
• Recreational facilities
and sports stadiums
Damian Trevor
Overview of the Construction Industry
Building Construction
• Retail stores and shopping
centers
• Warehouses and light
manufacturing
• Office buildings (single
story to sky scrappers)
• Hotels, convention
centers, and theaters
Damian Trevor
Overview of the Construction Industry
Building Construction
• Institutional and Commercial
Construction
• Churches and Synagogues
• Prisons
• Courthouses and other
government buildings
Damian Trevor
Overview of the Construction Industry
Building Construction
• 35-40 % of construction market
• Larger and more complex than residential
• Various owners (mostly private)
• Designed by architects and engineers
Damian Trevor
Overview of the Construction Industry
Heavy Construction
• Horizontal Construction
• 20-25% of the
construction industry
• Mostly public financing
or large consortium
Damian Trevor
Overview of the Construction Industry
Heavy Construction
• Highway & Bridges
• Railroads & Urban Transit
Systems
• Tunnels and Dams
• Airports
• Canals
• Port & harbor structures
Damian Trevor
Overview of the Construction Industry
Heavy Construction
• Pipelines
• Sewer Systems
• Water treatment & distribution
systems
• Power & communication networks
• Landfills
Damian Trevor
Overview of the Construction Industry
Heavy Construction
• Mass quantities of basic
materials: earth, rock, steel,
timber, and concrete
• Constructors need knowledge
of engineering and geology
• Engineers and builders are
often specialized
Damian Trevor
Overview of the Construction Industry
Heavy Construction
• Greatest impact on land
and water
• High degree of
mechanization
• Contracts awarded
through competitive
bidding
Damian Trevor
Overview of the Construction Industry
Industrial Construction
• Very large scale projects
• High degree of technological complexity
• Designed and built by the largest firms with the
highest level of technical sophistication
• Represent 5-10% of the market
Damian Trevor
Overview of the Construction Industry
Industrial Construction
• Petroleum refineries
• Steel mills & aluminum plants
• Chemical processing plants
Damian Trevor
Overview of the Construction Industry
Industrial Construction
• Fossil fuel & nuclear power
plants
• Other heavy manufacturing
facilities
Damian Trevor
Overview of the Construction Industry
Industrial Construction
• Complex mechanical systems, process piping, and
instrumentation
• Civil, but also mechanical, chemical, and electrical
engineering disciplines involved
• Mostly private ownership (in western countries)
Damian Trevor
Overview of the Construction Industry
Industrial Construction
• Negotiated contracts are typical
• “Turnkey” contract arrangements are common
• Design-constructor must be intimately familiar with the
technology and operations of the facility
Damian Trevor
Overview of the Construction Industry
Construction Industry is further subdivided
into sectors or segments by:
• Public vs. private ownership/funding
• Union labor vs. open shop
• Organization and method of project delivery
• Type of work: new vs. rehab/retrofit/restoration
• Contract type
Damian Trevor
Construction Methods & Management
Participants in the Construction Process
1. Owner
• Private or public
• Conceives the construction project
• Increasing level of sophistication
Damian Trevor
Construction Methods & Management
Participants in the Construction Process
2. Designer
• Architects
• Size of firms ranging form single practitioner to large integrated firms
• Mostly building and residential construction
• Engineers
• Civil, mechanical, structural, electrical,chemical, environmental,
geotechechnical, and multidiscipline
Damian Trevor
Construction Methods & Management
Participants in the Construction Process
3. General Contractor
• General contractor also called “Prime” contractor
• Specialty contractors working as subcontractors
• Organization ranges from small, one-person company to
large, integrated A/E/C firms
• Part of a design-build team
Damian Trevor
Construction Methods & Management
Participants in the Construction Process
4. Construction Manager
 Two principle divisions of CM
• CM for Fee (management services only)
• CM At Risk
– Operates similarly to a GC or DB with no labor or capital equipment
• Can encompass the management of the design process as well as construction
• CM services including inspection and overall project or program management
Damian Trevor
Construction Methods & Management
Participants in the Construction Process
5. Suppliers
 Manufactures, distributors, research, promotions
 Materials and equipment sales
 Equipment Rental
6. Fabricators
 Structural steel, pre-castors, wood products
7. Labor/Trade Unions
Damian Trevor
Construction Methods & Management
Participants in the Construction Process
8. Government
 Federal, State, local, and quasi-government
 Owner/client
 GSA, DOT’s, School Districts, USACOE
 Non-ownership functions
 Taxation and regulation
 Federal: IRS, OSHA, USACOE, DOL, NLRB, HUD (FHA), FHWA, FAA, EPA,
and several others
 State: DOL, DEP/DNREC, historic preservation (SHPO)
 Local: County/City/Township Building Officials, Planning Boards, and Zoning
Commissions
 Quasi-government agencies: development authorities, bridge and turnpike
commissions
Damian Trevor
Construction Methods & Management
Participants in the Construction Process
9. Utility Companies
 Electric, communications, water, gas,sanitary sewer
 Private petroleum pipelines
 Owner or service provider
 Integral part of the process
 Existing facilities in conflict with new construction
 Interruption of service can be very costly
Damian Trevor
Construction Methods & Management
Participants in the Construction Process
10. Industry Associations
 Organizations of construction contractors
 Organizations of the design and management professions
 Construction material and equipment suppliers and product research
 Construction labor organizations
 Coordination and arbitration
 Inspection, specifications, and costs
Damian Trevor
Construction Methods & Management
10. Industry Associations
 Functions and services
• Industry information and communication
• Development and maintenance of standards
• Interindustry coordination
• Collective bargaining
• Statistics (market & industry)
• Meetings and conventions
Damian Trevor
Construction Methods & Management
10. Industry Associations
 Functions and services
• Public relations
• Joint industry promotions
• Management education
• Market development
• Apprenticeship training
• Legislative
• Government relations
• Product research
Damian Trevor
Construction Methods & Management
Participants in the Construction Process
11. Professional Services
 Business/management consultants
 Legal council
 CPA firms
 Surety Companies
 Financial Institutions/Lenders
 Insurance agents
Damian Trevor
Construction Methods & Management
Participants in the Construction Process
12. Adjacent Owners and the Public At-Large
 Existing businesses, institutions, and
residences adjacent to the constructed facility
 Civic organizations and community groups
 Railroads and public lands
Damian Trevor
Construction Methods & Management
Project Delivery Organization
• Construction by owners forces
• Owner-managed construction
• Construction by general contractor
• Design-build team
• CM Contract
Damian Trevor
Construction Methods & Management
 Construction employing owner forces
• Usually small in-house construction or renovations
• Industrial projects or institutional (such as hospitals or schools
 Owner-managed construction
• Residential/commercial building developers
• Industrial or institutional
Damian Trevor
Construction Methods & Management
 Construction by General Contractor
• Also referred to as “Prime Contractor”
• Most common method of delivery
• Contractor bears substantial risks and financial
responsibility
• Facility designed by in-house architect/engineer or by
design consultants
• Often requires specialty subcontractors
Damian Trevor
Specialty Contractors might include those
specializing in one of the following:
• Excavation
• Steel erection
• Concrete
• Cast-in-place
• Prestressed/Precast
• Masonry
• Timber/wood framing
• Piping/plumbing
• Clearing and grubbing
• Blasting/demolition
• Electrical
• Painting
• HVAC
• Environmental remediation
• Many, many others
Damian Trevor
Construction Methods & Management
 Design-Build (Turnkey)
• Single firm or team responsible for design and construction
minimizes coordination problems
• More efficient designs with the interjection of constructibility
and innovation
• Often employs fast-track construction
• Benefits include reduced overall delivery time and “one-stop
shopping” for the owner
• Disadvantages include complexity of evaluating proposals
Damian Trevor
Construction Methods & Management
 CM Contract -- Fee (management services only) also
referred to as “Agency”
• Specialized construction skills through all project stages
including preconstruction
• Provides close coordination between design and construction
• Eliminates impact of conflicts of interest
• Independent and objective evaluation of costs, schedules, and
performance
• Potential saving in time and cost
• Disadvantages include no risks associated with costs increase
Damian Trevor
Construction Methods & Management
 CM Contract – “At-Risk”
• CM assumes financial risks similar to a GC
• CM manages all phases of the work without performing any
actual work tasks
• CM’s only resources are management personnel
• Contractors/subcontractors have a direct contract privity
with CM
• Contract form is often a negotiated guaranteed maximum
price arrangement
• Disadvantages includes lack of impartiality
Damian Trevor
Construction Methods & Management
Damian Trevor
Construction Methods & Management
THANK YOU
Damian Trevor

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Damian Trevor - Introduction of Construction

  • 1. Construction Methods & Management By Damian Trevor Damian Trevor
  • 2. Construction Methods & Management Construction Managers must be both… …business and technically oriented Damian Trevor
  • 3. Construction Education Options Education Format • Traditional • CEM • BC • CM Damian Trevor
  • 4. Construction Education Options • Engineering (civil or architectural) • Specialization/area of concentration • Curriculum Elective Damian Trevor
  • 5. Construction-Focused Education CEM CM BCM Civil Engineering Applied Technology or Professional Studies Architecture School of Construction Damian Trevor
  • 6. Construction Management Education • National CEM Programs • Stanford University • University of Michigan • Virginia Tech • Purdue University • University of Illinois-UC • Oregon State University • University of Colorado • NC State Damian Trevor
  • 7. Construction Management Education • National BCM Programs • Georgia Tech • University of Florida • Purdue University • Virginia Tech • Auburn University • Georgia Southern University • University of North Florida Damian Trevor
  • 8. Construction Education Options • National CM Programs • Arizona State University • Florida International University • Colorado State • Clemson • University of Washington • Michigan State University • Brigham Young • Wentworth Institute of Technology Damian Trevor
  • 9. Construction Education Options • Graduate Construction Programs • Stanford University • University of Colorado • University of Michigan • Virginia Tech • University of Southern California • Arizona State University • Florida International University • Texas A&M Damian Trevor
  • 10. Construction Education Options Construction Management • Interdisciplinary Education • Practice rather than theory based • Foundation of Business and Science Courses • Architectural & Engineering Coursework • Core of Construction Management Courses Damian Trevor
  • 11. Construction Methods & Management B.S.C.M. Coursework Engineering subjects • Strength of Materials • Statics and Structures • Soil Mechanics • Steel and Concrete Design • Surveying Damian Trevor
  • 12. Construction Methods & Management B.S.C.M. Coursework Business Management • Accounting • Economics • Statistics • Financial Mgt. • Contract Law Damian Trevor
  • 13. Construction Methods & Management B.S.C.M. Curriculum Course Distribution Engineering (incl math & science) 34% Construction Mgt. 30% Liberal Arts 13% Business 15% Architecture 8% Damian Trevor
  • 14. Construction Methods & Management Licensing/Certifications • Professional Engineer’s License issued by state or local governing board. • Certified Constructor issued by the American Institute of Constructors (AIC). • Certified Construction Manager issued by Construction Management Association of America (CMAA) • Project Management Professional (PMP) by the Project Management Institute (PMI) Damian Trevor
  • 15. Construction Methods & Management Basic Skills needed by Construction Managers • Estimating • Computer • Leadership/supervisory • Communication = writing and oral skills • Negotiating • Team Building Damian Trevor
  • 16. Construction Methods & Management Construction Management Functions • Coordination • Planning & Scheduling • Purchasing & Expediting • Supervision • Cost Control • Documentation and Reporting Damian Trevor
  • 17. Construction Methods & Management Construction Management Functions • Quality Control/Quality Assurance • Estimating • Safety and Risk Management • Contract Administration • Claims Analysis/Avoidance Damian Trevor
  • 18. Construction Methods & Management Additional Skills & Knowledge needed by Construction Engineers • Surveying (GPS, GIS, Hydrographic) • Structural Design • CADD/Drafting • Specialization in Mechanical, Electrical, Chemical, or Environmental disciplines Damian Trevor
  • 19. Construction Methods & Management Construction Engineering Functions • Preparation and Review of Shop Drawings • Constructibility & Sequencing Studies • Value Engineering • Erection Diagrams and Procedures • Survey & Layout Damian Trevor
  • 20. Construction Methods & Management Executive Functions • Corporate Management • Strategic Planning • Marketing & Business Development • Public Relations • Labor Relations Damian Trevor
  • 21. Construction Methods & Management Executive Functions • Ultimately responsible for quality, safety, production, and general financial health. Damian Trevor
  • 22. Construction Methods & Management Construction training can be valuable to design professionals…… • To enable them to produce practical and efficient designs • Develop needed management skills • Learn scheduling techniques that can be applied to the preconstruction process Damian Trevor
  • 23. Construction Methods & Management Project Life Cycle Damian Trevor
  • 24. Construction Methods & Management Life Cycle of a Constructed Facility 1. Concept and Feasibility 2. Engineering and Design 3. Procurement 4. Construction 5. Startup and Implementation 6. Operation or Utilization Damian Trevor
  • 25. Construction Methods & Management What is Construction?  Application of art and science  Inherently dangerous  Organized chaos  Mankind using creativity, knowledge, strength, determination, and persistence to control his environment Damian Trevor
  • 26. Construction Methods & Management Construction differs from manufacturing in that: • Not performed in controlled conditions, therefore highly impacted by weather and other environmental conditions • Seasonality • Each project is unique • Remotes sites with various access problems Damian Trevor
  • 27. Construction Methods & Management Construction differs from manufacturing in that: • Process is not as predictable • Difficulty in applying automation • High potential for encountering unforeseen conditions • Costs can vary according to conditions Damian Trevor
  • 28. Construction differs from manufacturing in that: • Difficult to manage and supply utilities and other resources. • Technical innovations are adopted slower. • Success is dependent upon the quality of its people. • Very custom-oriented • Product can be of mind-boggling size, cost, and complexity Damian Trevor
  • 29. Problems Facing Construction Industry: • Highly traditional and fragmented; slow to embrace new technology • Restrictive/outdated building codes • Labor agreements and craft jurisdictional issues • Liability and legal considerations • Lack of profit motive or other incentive Damian Trevor
  • 30. Problems Facing the Construction Industry: • Government regulation • Environmental constraints • NIMBY syndrome • Global competition Damian Trevor
  • 31. Construction Methods & Management “The Blame Game” Damian Trevor
  • 32. Overview of the Construction Industry • 10% of GNP • Employs over 10,000,000 workers • Annual Volume exceeds $800 billion • Vital to the Nation’s economic health and quality of life Damian Trevor
  • 33. Construction Methods & Management Industry Divisions 1. Residential Construction 2. (Institutional & Commercial) Building Construction 3. Heavy Construction 4. Industrial Construction Damian Trevor
  • 34. Overview of the Construction Industry Industry Divisions 1. Residential Construction 2. (Institutional & Commercial) Building Construction 3. Heavy Construction 4. Industrial Construction Damian Trevor
  • 35. Overview of the Construction Industry Residential • Types • Single family houses • Multi family dwellings • High-rise apartments & condominiums • 30-35 % of the industry • Low capital and technology requirements Damian Trevor
  • 36. Overview of the Construction Industry Residential (continued) • Largely private • Often speculative • Developers = surrogate owners • Designed by architects, builders/developers Damian Trevor
  • 37. Overview of the Construction Industry Building Construction • Institutional and Commercial Construction • Schools and universities • Medical clinics and hospitals • Recreational facilities and sports stadiums Damian Trevor
  • 38. Overview of the Construction Industry Building Construction • Retail stores and shopping centers • Warehouses and light manufacturing • Office buildings (single story to sky scrappers) • Hotels, convention centers, and theaters Damian Trevor
  • 39. Overview of the Construction Industry Building Construction • Institutional and Commercial Construction • Churches and Synagogues • Prisons • Courthouses and other government buildings Damian Trevor
  • 40. Overview of the Construction Industry Building Construction • 35-40 % of construction market • Larger and more complex than residential • Various owners (mostly private) • Designed by architects and engineers Damian Trevor
  • 41. Overview of the Construction Industry Heavy Construction • Horizontal Construction • 20-25% of the construction industry • Mostly public financing or large consortium Damian Trevor
  • 42. Overview of the Construction Industry Heavy Construction • Highway & Bridges • Railroads & Urban Transit Systems • Tunnels and Dams • Airports • Canals • Port & harbor structures Damian Trevor
  • 43. Overview of the Construction Industry Heavy Construction • Pipelines • Sewer Systems • Water treatment & distribution systems • Power & communication networks • Landfills Damian Trevor
  • 44. Overview of the Construction Industry Heavy Construction • Mass quantities of basic materials: earth, rock, steel, timber, and concrete • Constructors need knowledge of engineering and geology • Engineers and builders are often specialized Damian Trevor
  • 45. Overview of the Construction Industry Heavy Construction • Greatest impact on land and water • High degree of mechanization • Contracts awarded through competitive bidding Damian Trevor
  • 46. Overview of the Construction Industry Industrial Construction • Very large scale projects • High degree of technological complexity • Designed and built by the largest firms with the highest level of technical sophistication • Represent 5-10% of the market Damian Trevor
  • 47. Overview of the Construction Industry Industrial Construction • Petroleum refineries • Steel mills & aluminum plants • Chemical processing plants Damian Trevor
  • 48. Overview of the Construction Industry Industrial Construction • Fossil fuel & nuclear power plants • Other heavy manufacturing facilities Damian Trevor
  • 49. Overview of the Construction Industry Industrial Construction • Complex mechanical systems, process piping, and instrumentation • Civil, but also mechanical, chemical, and electrical engineering disciplines involved • Mostly private ownership (in western countries) Damian Trevor
  • 50. Overview of the Construction Industry Industrial Construction • Negotiated contracts are typical • “Turnkey” contract arrangements are common • Design-constructor must be intimately familiar with the technology and operations of the facility Damian Trevor
  • 51. Overview of the Construction Industry Construction Industry is further subdivided into sectors or segments by: • Public vs. private ownership/funding • Union labor vs. open shop • Organization and method of project delivery • Type of work: new vs. rehab/retrofit/restoration • Contract type Damian Trevor
  • 52. Construction Methods & Management Participants in the Construction Process 1. Owner • Private or public • Conceives the construction project • Increasing level of sophistication Damian Trevor
  • 53. Construction Methods & Management Participants in the Construction Process 2. Designer • Architects • Size of firms ranging form single practitioner to large integrated firms • Mostly building and residential construction • Engineers • Civil, mechanical, structural, electrical,chemical, environmental, geotechechnical, and multidiscipline Damian Trevor
  • 54. Construction Methods & Management Participants in the Construction Process 3. General Contractor • General contractor also called “Prime” contractor • Specialty contractors working as subcontractors • Organization ranges from small, one-person company to large, integrated A/E/C firms • Part of a design-build team Damian Trevor
  • 55. Construction Methods & Management Participants in the Construction Process 4. Construction Manager  Two principle divisions of CM • CM for Fee (management services only) • CM At Risk – Operates similarly to a GC or DB with no labor or capital equipment • Can encompass the management of the design process as well as construction • CM services including inspection and overall project or program management Damian Trevor
  • 56. Construction Methods & Management Participants in the Construction Process 5. Suppliers  Manufactures, distributors, research, promotions  Materials and equipment sales  Equipment Rental 6. Fabricators  Structural steel, pre-castors, wood products 7. Labor/Trade Unions Damian Trevor
  • 57. Construction Methods & Management Participants in the Construction Process 8. Government  Federal, State, local, and quasi-government  Owner/client  GSA, DOT’s, School Districts, USACOE  Non-ownership functions  Taxation and regulation  Federal: IRS, OSHA, USACOE, DOL, NLRB, HUD (FHA), FHWA, FAA, EPA, and several others  State: DOL, DEP/DNREC, historic preservation (SHPO)  Local: County/City/Township Building Officials, Planning Boards, and Zoning Commissions  Quasi-government agencies: development authorities, bridge and turnpike commissions Damian Trevor
  • 58. Construction Methods & Management Participants in the Construction Process 9. Utility Companies  Electric, communications, water, gas,sanitary sewer  Private petroleum pipelines  Owner or service provider  Integral part of the process  Existing facilities in conflict with new construction  Interruption of service can be very costly Damian Trevor
  • 59. Construction Methods & Management Participants in the Construction Process 10. Industry Associations  Organizations of construction contractors  Organizations of the design and management professions  Construction material and equipment suppliers and product research  Construction labor organizations  Coordination and arbitration  Inspection, specifications, and costs Damian Trevor
  • 60. Construction Methods & Management 10. Industry Associations  Functions and services • Industry information and communication • Development and maintenance of standards • Interindustry coordination • Collective bargaining • Statistics (market & industry) • Meetings and conventions Damian Trevor
  • 61. Construction Methods & Management 10. Industry Associations  Functions and services • Public relations • Joint industry promotions • Management education • Market development • Apprenticeship training • Legislative • Government relations • Product research Damian Trevor
  • 62. Construction Methods & Management Participants in the Construction Process 11. Professional Services  Business/management consultants  Legal council  CPA firms  Surety Companies  Financial Institutions/Lenders  Insurance agents Damian Trevor
  • 63. Construction Methods & Management Participants in the Construction Process 12. Adjacent Owners and the Public At-Large  Existing businesses, institutions, and residences adjacent to the constructed facility  Civic organizations and community groups  Railroads and public lands Damian Trevor
  • 64. Construction Methods & Management Project Delivery Organization • Construction by owners forces • Owner-managed construction • Construction by general contractor • Design-build team • CM Contract Damian Trevor
  • 65. Construction Methods & Management  Construction employing owner forces • Usually small in-house construction or renovations • Industrial projects or institutional (such as hospitals or schools  Owner-managed construction • Residential/commercial building developers • Industrial or institutional Damian Trevor
  • 66. Construction Methods & Management  Construction by General Contractor • Also referred to as “Prime Contractor” • Most common method of delivery • Contractor bears substantial risks and financial responsibility • Facility designed by in-house architect/engineer or by design consultants • Often requires specialty subcontractors Damian Trevor
  • 67. Specialty Contractors might include those specializing in one of the following: • Excavation • Steel erection • Concrete • Cast-in-place • Prestressed/Precast • Masonry • Timber/wood framing • Piping/plumbing • Clearing and grubbing • Blasting/demolition • Electrical • Painting • HVAC • Environmental remediation • Many, many others Damian Trevor
  • 68. Construction Methods & Management  Design-Build (Turnkey) • Single firm or team responsible for design and construction minimizes coordination problems • More efficient designs with the interjection of constructibility and innovation • Often employs fast-track construction • Benefits include reduced overall delivery time and “one-stop shopping” for the owner • Disadvantages include complexity of evaluating proposals Damian Trevor
  • 69. Construction Methods & Management  CM Contract -- Fee (management services only) also referred to as “Agency” • Specialized construction skills through all project stages including preconstruction • Provides close coordination between design and construction • Eliminates impact of conflicts of interest • Independent and objective evaluation of costs, schedules, and performance • Potential saving in time and cost • Disadvantages include no risks associated with costs increase Damian Trevor
  • 70. Construction Methods & Management  CM Contract – “At-Risk” • CM assumes financial risks similar to a GC • CM manages all phases of the work without performing any actual work tasks • CM’s only resources are management personnel • Contractors/subcontractors have a direct contract privity with CM • Contract form is often a negotiated guaranteed maximum price arrangement • Disadvantages includes lack of impartiality Damian Trevor
  • 71. Construction Methods & Management Damian Trevor
  • 72. Construction Methods & Management THANK YOU Damian Trevor