LINTON UNIVERSITY COLLEGE SCHOOL OF CIVIL ENGINEERING LINTON UNIVERSITY COLLEGE SCHOOL OF CIVIL ENGINEERING.

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Presentation transcript:

LINTON UNIVERSITY COLLEGE SCHOOL OF CIVIL ENGINEERING LINTON UNIVERSITY COLLEGE SCHOOL OF CIVIL ENGINEERING

PROJECT MANAGEMENT VS CONSTRUCTION MANAGEMENT Project Management is the application of knowledge, tools and techniques. Initiating, planning, executing, monitoring and controlling, and closing. Construction Management deals with the process of Executing. LINTON UNIVERSITY COLLEGE SCHOOL OF CIVIL ENGINEERING

LINTON UNIVERSITY COLLEGE SCHOOL OF CIVIL ENGINEERING LINTON UNIVERSITY COLLEGE SCHOOL OF CIVIL ENGINEERING Project Management Advantages Owner retains control over all aspects/quality of the project Owner maintains flexibility in decisionmaking Owner makes final decision Owner realizes benefits of competitive bidding

LINTON UNIVERSITY COLLEGE SCHOOL OF CIVIL ENGINEERING LINTON UNIVERSITY COLLEGE SCHOOL OF CIVIL ENGINEERING Disadvantages Owner can become overwhelmed with the minute details of the project. Owner's accounts payable has to deal with multiple companies.

LINTON UNIVERSITY COLLEGE SCHOOL OF CIVIL ENGINEERING LINTON UNIVERSITY COLLEGE SCHOOL OF CIVIL ENGINEERING Construction Management Advantages Owner not bothered with having to make every decision Owner's accounts payable deals with only one company Owner could realize time reduction in completion of job Increased quality control responsibility with the Consultant

Disadvantages Owner loses a level of interface with all companies except Construction Manager Owner could invest more money than with conventional process (benefit and need weighted per project) LINTON UNIVERSITY COLLEGE SCHOOL OF CIVIL ENGINEERING

PROJECT MANAGEMENT CONSULTANTOWNER CONTRACTOR LINTON UNIVERSITY COLLEGE SCHOOL OF CIVIL ENGINEERING

CONSTRUCTION MANAGEMENT OWNER CONSTRUCTION MANAGER CONTRACTOR LINTON UNIVERSITY COLLEGE SCHOOL OF CIVIL ENGINEERING

Project Management is the conventional method of construction administration. This process allows the Owner more flexibility in decisionmaking. In Project Management Owner has direct, contractual relationships with both the Consultant and the Contractor and ultimately makes all decisions. Construction Management is a progressive, more "convenient" method of construction project administration. In Construction Management Owner has direct, contractual relationship with the Consultant. Owner has only third party relationship with the Contractor. LINTON UNIVERSITY COLLEGE SCHOOL OF CIVIL ENGINEERING

Similarities: They both involve the same three parties: the Owner, the Consultant, and the Contractor. The Consultant represents the Owner under both contracts. All communication between the Owner and the Contractor flows through the Consultant. The Consultant will still be responsible for developing and interpreting the Construction Documents, observing the work, performing inspections, and reviewing submittals. LINTON UNIVERSITY COLLEGE SCHOOL OF CIVIL ENGINEERING

Differences: 1. 1.In Project Management,the Consultant and the Contractor have no formal contract between them. They do have a third party relationship which stipulates how they are to work together. They rely on each other to perform certain duties which affect each other's work, but their contracts are only with the Owner. In Construction Management, the Contractor has a direct contract with the Consultant and does not have any direct agreement with the Owner. The Contractor now has a third party relationship with the Owner and is paid by the Consultant, not directly by the Owner. LINTON UNIVERSITY COLLEGE SCHOOL OF CIVIL ENGINEERING

2. 2.Under a Project Management agreement, the Owner selects the Contractor.The Consultant can advise, but has no direct responsibility for this decision. Under a Construction Management agreement, the Consultant has greater responsibility for selecting the Contractor. 3.Under Project Management, the Consultant has liability only for the design. The Contractor has liability for the actual work and its conformance to the construction documents. Under this agreement,for any decision which the Owner makes without the Consultant's approval, the Owner assumes responsibility and liability. LINTON UNIVERSITY COLLEGE SCHOOL OF CIVIL ENGINEERING

Under Construction Management, the Consultant assumes responsibility for the design and also for the work.If an issue were to arise, the Owner only has one entity with whom to deal.The Consultant is responsible to the Owner for any part of their Contract which is not met. The Contractor is responsible to the Consultant for their work.The final liability will be shared by the Consultant and the Contractor if the Contractor fails to perform. LINTON UNIVERSITY COLLEGE SCHOOL OF CIVIL ENGINEERING

LINTON UNIVERSITY COLLEGE SCHOOL OF CIVIL ENGINEERING LINTON UNIVERSITY COLLEGE SCHOOL OF CIVIL ENGINEERING