This is done by going through a bidding process with different contractors. The contractor is selected by using one of three common selection methods: Function[ edit ] The functions of construction management typically include the following: Specifying project objectives and plans including delineation of scope, budgeting, scheduling, setting performance requirements, and selecting project participants.
Maximizing the resource efficiency through procurement of labor, materials and equipment. Implementing various operations through proper coordination and control of planning, design, estimating, contracting and construction in the entire process.
Developing effective communications and mechanisms for resolving conflicts.: CM professional practice includes specific activities, such as defining the responsibilities and management structure of the project management team, organizing and leading by implementing project controls, defining roles and responsibilities, developing communication protocols, and identifying elements of project design and construction likely to give rise to disputes and claims.
Typically economical buildings, and other improvements, for agricultural purposes. Examples include barns, equipment and animal sheds, specialized fencing, storage silos and elevatorsand water supply and drains such as wells, tanks, and ditches. Residential construction includes houses, apartments, townhouses, and other smaller, low-rise housing, small office types.
This refers to construction for the needs of private commerce, trade, and services. Examples include office buildings, "big box" stores, shopping centers and malls, warehouses, banks, theaters, casinos, resorts, golf courses, and larger residential structures such as high-rise hotels and condominiums.
This category is for the needs of government and other public organizations. Examples include schools, fire and police stations, libraries, museums, dormitories, research buildings, hospitals, transportation terminals, some military facilities, and governmental buildings.
Buildings and other constructed items used for storage and product production, including chemical and power plants, steel mills, oil refineries and platforms, manufacturing plants, pipelines, and seaports.
The construction of transportation infrastructure such as roads, bridges, railroads, tunnels, airports, and fortified military facilities. Environmental construction was part of heavy civil, but is now separate, dealing with projects that improve the environment.
Some examples are water and wastewater treatment plants, sanitary and storm sewers, solid waste management, and air pollution control. A bid tells the owner how much money they should expect to pay the construction management company in order for them to complete the project.
An open bid is used for public projects.
Any and all contractors are allowed to submit their bid due to public advertising. A closed bid is used for private projects. A selection of contractors are sent an invitation for bid so only they can submit a bid for the specified project.
This selection focuses on the price of a project. Multiple construction management companies submit a bid to the owner that is the lowest amount they are willing to do the job for. Then the owner usually chooses the company with the lowest bid to complete the job for them.
This selection focuses on both the price and qualifications of the contractors submitting bids. This means that the owner chooses the contractor with the best price and the best qualifications.
This selection is used when the owner decides to choose the contractor only on the basis of their qualifications. The owner may also ask for safety records and individual credentials of their members.
Payment contracts[ edit ] Lump sum:3 1.
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