What is Construction Project Management?
Construction project management is a professional service provided to clients who intend to embark on generally larger and more complex building projects, involving the input of various specialist professions and trades, and where the project manager heads up and runs a team whose members comprise the client himself and the contractors and sub-contractors who he engages on the project, plus any and all professional consultants such as architects, town planners, structural engineers, quantity surveyors, mechanical and electrical engineers, clerks of works, etc.
The project manager is usually brought on board from the very outset, or at least at an early stage in proceedings, and he either joins with the client in assembling the appropriate team, or he works with the professionals and contractors already engaged by the client. He is the fulcrum around which the project is programmed, costed and administered, and he is the principal liaison with the client in ensuring that key targets are met and that all appropriate issues are satisfactorily addressed.
Construction Project Manager Role and Responsibilities
The construction project manager is essentially an administrator acting for the client, with the detailed site input being provided by the other appointed professional consultants and the contractor and sub-contractors and consequently analysed. He will chair and minute the meetings of the project team both before and during the performance of the works, field and raise comments or queries from and to the team members, oversee and review the integrated programming and the ongoing cost of operations, and apply his knowledge, experience and expertise in forecasting potential issues arising in the short, medium and long term future of the project.
He will be a regular visitor to site, with his finger on the pulse of the project. It his responsibility to be proactive and to foresee potential issues arising and to cater for them or, in the event of unforeseeable issues arising, to be reactive with all due speed and efficiency, and to direct the team members accordingly. It is his particular responsibility to ensure that the client and other key members of the design team are kept appropriately informed at all relevant times.
What does Construction Project Management cost?
There is no set scale for the charging of professional fees for building project management. It is, however, common for fees (which are agreed at the outset) to be linked (often by a percentage) to the cost of the works. BBS will generally seek to charge fees varying from 2-5% of the project cost, depending size, value, complexity and scope of brief for a particular project.
This method of charges relating directly to the value of the works is useful for both the client and the consultant, as it will generally accommodate the value of any variations which may need to be instructed during the performance of a contract (up or down), without the need to be constantly revising and agreeing new fee charges. It is common that BBS will charge CPM fees on this basis in tranches on the completion of certain elements of the project, such as at design stage, then at pending contract procurement, and finally at the achievement of practical completion.
All fees charged by BBS are subject to the addition of VAT at the prevailing rate.