The term construction management, in its most common use, refers to the act of managing the construction process. The construction manager, who may be a contractor, project manager, superintendent, or one of their representatives, manages the basic resources of the construction project.
These resources include workers and subcontractors, construction equipment and facilities, materials, money, and time. Competent construction management results in completing a project on time and within budget. Poor construction management practices, on the other hand, often result in one or more of the following:
- Project delays that increase labor and equipment costs (and borrowed funds)
- High material costs as a consequence of inadequate purchasing methodologies, inefficient handling and/or loss
- A poor relationship between contractor and subcontractors and increased subcontractor cost
- High insurance costs caused by damage or loss of materials and equipment, or a poor safety record
- Low profit margin or loss of construction volume
These problematic management practices will inevitably lead to contractor failure. In addition to the primary objectives of completing the project on time and within budget, every construction manager has a number of other important duties. These include safety, worker solidarity, public and professional relations, productivity growth, innovation and improving technology.
How do you manage construction projects effectively?
Skillful construction management focuses on improving or resolving the problems of poor management practices. Here are ten construction management strategies that work together around the project lifecycle framework.
Before a project's designer or architect can be selected or before any planning activities can begin, the project owner must make two important decisions – deciding on the relationships between the various stakeholders and choosing the basis for payment on which the contractor will be awarded.
There are many traditional delivery systems, but comparative studies have revealed poor project performance criteria. Schedule delays and budget overruns of (1) traditional design-bid-build, (2) design-build, (3) build-own-operate-transfer, and (4) other traditional delivery systems are targeted by the integrated product contemporary delivery method (IPD). IPD is a more collaborative way of working that involves people, systems, business structures and practices in a process that mobilizes the skills and insights of all project participants to optimize project productivity and maximize efficiency. This collaborative delivery method brings all stakeholders together from the start and enables data-driven decision-making early in the project. This type of collaborative delivery system reduces a lot of waste in the design process and bridges the gap between design and construction through direct data sharing, which increases construction productivity.
The type of contract for construction services can be: (1) lump sum/fixed price, (2) unit price/measurement and value, (3) cost plus, (4) time and materials. Note that some types of contracts are better suited to specific types of project delivery systems. However, to promote the objectives of integrated project delivery, a multi-party agreement for single contracts is executed, specifying relevant roles, obligations and responsibilities.
By deciding on an integrated project delivery system before the construction project begins, you make it clear to all project members that you are focused on a team-based approach to create faster delivery times, lower costs, and a better process. pleasant collaborative. for the entire team.
2. Clearly define the different parts and their functions
By clearly defining the actual roles of construction project stakeholders and team members, you will reduce confusion and misinterpretation of the roles of some of the professionals in managing the construction project. Clear descriptions provide a better understanding of all stakeholders involved in project delivery and encourage achievement of stakeholder objectives, while eliminating any delay and incompetence that may result from confusion. When studying previous construction cases, the absence of clear role definitions resulted in wasted resources in the form of:
- Poor finishing
- Unnecessary rework
- Building collapses
- Inadequate specifications
- Superdesign
The construction team generally consists of the following professionals: (1) architects and some engineering professionals carry out the building designs, (2) builders carry out the construction process, (3) the project manager supervises the entire construction process construction and (4) other technical support professionals and specialists.
3. Select your contractor methodically
Because contractors influence the outcome of your project, choosing a contractor is a critical part of the construction management process. Selecting a qualified and competent contractor increases the chances of completing your construction project. While there are technical screening criteria for selecting your construction project contractor, here is a handy list of components in screening your project:
- Financial situation: Examine the prospective contractor's financial stability, profit, turnover and own financial funds.
- Technical capability: Look at the contractor's technical track record in terms of experience, facilities and equipment, and personnel.
- Management ability: Assess the contractor's past performance and quality, quality control policy, quality management system, project management system, technical personnel experience and management knowledge.
- Quality, safety, senior management, including experience, permanence in the company and division of responsibilities.
- Current projects/delays, including project details, size and location, percentage of capacity utilized, status and expected completion, previous failures on completed projects, number of years in construction, previous relationships with clients and subcontractors, and cooperation with contractors.
4. Prepare a program, plan and program based on data
Once the contract is in place and the mobilization phase of the project is underway, the contractor will develop and create a more detailed plan and schedule that fits the time dimensions of the projects. This project plan will be used to assist with staffing and equipment placement, purchasing materials and supplies, and planning cash flows. It will also lay the groundwork for monitoring and controlling project progress as the construction project progresses.
The terms program and schedule are typically used interchangeably. The overall document that represents the entire project schedule is called the master schedule or master schedule. Using available data to generate your construction plan and schedule provides better estimates and schedules, avoids costly errors, and impacts your overall efficiency. Having data-driven planning and scheduling processes allows for transparency and accountability.
5. Have a plan for purchasing and subcontracting materials
Material procurement and subcontracting are two distinct parts of the procurement process, which is the part of project mobilization where you begin acquiring the materials and equipment and organizing the subcontractors needed for the project. Whether you centralize your procurement process at the main office or carry it out on-site, you must standardize your processes.
The same applies to entering into subcontracts for parts of work that the contractor himself will not perform. You need to standardize which parts of the work will be handed over to specialists or subcontractors. Subcontracted materials and labor play important roles in project planning and control. Having a solid plan for purchasing and subcontracting materials minimizes purchasing and labor costs.
6. Monitor and control your project operations (QHSE)
Your master program represents the plan for scheduling your work, while the budget is the plan for the cost aspects. Likewise, your contractor will have management plans for your project's environmental, quality, and safety concerns. As you move forward with project operations, it is critical to compare actual construction performance to the plan in all of these areas, as well as the necessary actions to be taken to correct any indicated nonconformities or deficiencies.
This part of construction management is called monitoring and control – monitoring being the act of comparing actual performance with planned and control denoting the actions taken to remedy aspects of the project that do not conform to planned performance. Special attention must be given to control of construction quality, health and safety and environmental risks. Monitoring and controlling are crucial management functions that ensure project objectives are successfully achieved.
7. Manage your resources (materials, equipment, labor)
The four main resources to be managed are (1) labor, (2) machines, (3) materials, and (4) money.
Focusing on training your workforce equips your teams with the skills and knowledge needed to take on their tasks, with the ability to complete them quickly and successfully. Properly managing machines and materials also increases efficiency, while the ability to manage your money goes a long way toward solidifying your company's financial stability.
8. Have a functioning documentation and communication system
Adding construction software that supports cloud documentation and communication to your onsite processes encourages effective collaboration that facilitates efficiency and increases productivity. As construction projects become even more dynamic, having one tool to track everything in real time bridges the gaps in communication and collaboration.
9. Manage and prevent on-site issues
By using data and analyzing what's important in real time, you can track and predict problems before they even occur. Accurate forecasting helps you avoid delays and remedy them if they occur. Finding the right tool for your needs empowers you with preventive features that would save you time and money.
10. Have a rigorous and efficient project delivery process
Digitizing your transfer process allows you to share data and information simply but accurately. A digital transfer improves delivery efficiency, speed and security and saves a lot of time. To make a smooth transition, you will need to find the right digital tool that will support your transfer procedures.
