Construction Management Functions CMGT 500/700

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Construction Management Functions CMT 500/700

Project Planning and Design Master Planning Planning Phase Designer Selection Design Phase Bid Phase Award Phase Construction Phase

Master Planning AKA Capital Budgeting Corporations, schools, universities, shopping malls, and cities are the examples that need a master plan There are a few questions they need to think about within their organization: Do they need a new facility? Where will the new facility be? Will it strengthen the organization? Do they need to hire new employees?

Master Planning (cont) Local zoning law permit the construction Tax advantage Site utility Infrastructure support (eg oads, highways etc) Who is paying for it? What kinds of facility will be build? Years of planning Example: ock Chalk Park on West 6 th Street

Master Planning (cont) Local zoning law permit the construction Tax advantage Site utility Infrastructure support (eg oads, highways etc) Who is paying for it? What kinds of facility will be build? Years of planning Nothing there at the moment Will generate $63 million in annual economic spending in the city Sales tax at about $36 million over a 22-year period South Lawrence Trafficway LMH, City, KU 2 to 3 years of planning

Planning Phase Select the designer (based on designers experience, location) Define project goals Ensure the availability of sufficient funds Obtain project site zoning changes if necessary Select and purchase the project site Perform environmental impact studies Determine construction procurement system (D-B- B, DB) and the form of construction to use

Planning Phase (cont) Select the designer (based on designers experience, location) Define project goals Ensure the availability of sufficient funds Obtain project site zoning changes if necessary Select and purchase the project site Perform environmental impact studies Determine construction procurement system (D-B-B, DB) and the form of construction to use City selected a designer (Paul Werner Architects, ould Evans) Fieldhouse (KU will use this) 8 full size basketball courts 16 half basketball courts 16 volleyball courts ecreation Center with a Wellness Center (Lawrence Memorial Hospital, the City of Lawrence) ymnasium Stadium with Tracks Tennis Courts Cost will be shared by the City of Lawrence ($25 millions), KU ($85 millions from KU Endowment)

Design Phase Owners to submit specifications along with an application for building permit A/E and Owner will have a lot of drawings review meetings Ensure it meets the owner s needs and expectations Concept drawings>prefinal drawings>final drawings The plans should meet the city code requirement

Design Phase (cont) Codes International Building Code (IBC 2006) 97% of the US cities, counties, and states adopt this With some minor modifications Fire Electrical Life Safety For Lawrence, KS http://wwwcilawrenceksus/city_code/

Design Phase (cont) ± Public Improvements - ock Chalk Park Miles 02 01 0 02 Parking Lot for ec Center (1400 Spaces) Sanitary Sewer Extension Internal oads and oundabout (1500') Baldwin Creek Shared-Use Path Around Site (5K) Stormwater Detention Ponds Stormwater Detention Ponds V U 10 Ú [ future park (undeveloped) East/West oad from eorge Williams Way to K-10 Frontage oad (2400') Three Forks Dr t Wa y Free m on Bridge Structure K-10 Hwy E 902 d E 900 d eorge Williams Way Extension to North Improvements (850') eorge Williams Way 66 3 Water Line Overla nd Dr " C K-10 am p N1 d East 902 Frontage oad Improvements from 6th Street North (5280') " C Signalize Intersection of 6th & eorge Williams Way t u 40 W 6th St

Design Phase (cont)

Bid Phase The owner is fully committed to the project at this point (funding + completed design) Contractors has to decide if they want to bid based on their bonding capacity, policy of management, and their previous experience If they have a large backlog of work from their current projects and the contractor is not financially stable, the bonding company (surety) may not be willing to provide additional payment and performance bond Bad history of a contractor will also affect the bonding company decision

Bid Phase (cont) Contractors will consider this before they decide if they bid the project: Location of the work (sub, mat, labor) Identity of the owner Availability of key company personnel Experience in the type of work solicited Whether or not there is financing for the project Size of the project

Bid Phase (cont) Bid Process: 1 The Owner advertises Call For Bids on paper 2 Collect quotations from subcontractors, materials suppliers, and estimate the costs of the portion of the work it will build itself Direct costs: Materials, Labor, Equipment, Subcontractors, Job Overhead Indirect costs: Corporate Overhead, Contingency, Profit 3 Number of Competitor bidders 4 Submit the bid ON TIME

Bid Phase Bid Site Work Concrete Pre-Engineered Building Misc Steel Systems Plumbing, HVAC, Electrical Subcontractors Performance Bond and Payment Bond Bid Call For Bids: Project description Contact Information Submittal instructions Prequalification information Eg http:// wwwcityofmobileorg/ announcement_files/ legal_ad_ntb_fee_copy3pdf

Award Phase Owner The submission of properly executed payment and performance bonds and evidence of worker s compensation insurance Purchase builder s risk insurance List of subcontractors (prevent bid shopping, and for screening) Detail project schedule Sign the contract Issue Notice to Proceed

Award Phase Owner The submission of properly executed payment and performance bonds and evidence of worker s compensation insurance Purchase builder s risk insurance List of subcontractors (prevent bid shopping, and for screening) Detail project schedule Sign the contract Issue Notice to Proceed Contractor Detailed preproject planning Construction procedures Type of equipment Job access Location of field office, storage area Supplier and subs Cash Flow analysis Schedule Sign the contract with the owner, and subs Notice to Proceed Access to the site Official start date

Construction Phase Owner and A/E side: A/E visit site regularly to make sure that the construction progress A/E report to the owner, and approve progress payment to the contractor If there s a problem in the construction, the contractor will ask for a change order Change orders are directives issued by the owner to change the contract by adding or subtracting features within the scope of work stated in the shop drawings If the contractor need more information about a task, they will issue a equests for Information FI will be response by Project Engineer

Construction Phase Contractor side: Proceed the work stated in the contract and shop drawings Shop drawings are drawings that supplement the contract drawings to identify fabrication details, makes and models, colors, and other details as required by the contract eceive the payment from owner and the Project manager pays their subcontractors Their foremen supervisor the labors in all the trades Superintendent is in charge of detailed management of the construction process

Construction Phase Foreman Project Engineer Supervisor of a specific trade group of workers rading Electrical Carpentry Concreting Entry-level contract management position at the site New college graduate that does not know anything Employed by Owner or A/E Prepare paper work (contract)

Construction Phase Project Manager Senior construction company manager at the site, in overall charge of the project Financial control Safety ate of progress Supervise superintendent Negotiate contract Select equipment needs Communication to the owner Superintendent Person in overall charge of the day-to-day detailed management of the construction process Supervises the foremen Know the status of critical shop drawings so they know when materials and subcontractors can be expected on site Inform Project Manager if a change order is required

Partnering Not a contracting method Management process based on trust and common goals All the members of the contractor, major subcontractors, owner, and designer management teams come together to meet each other off site for 1 to 2 days Establish a process for the solution of problems in the field Time Limits for reaching solutions (within 3 days) Elevate to the next level of management Agree to a system of scheduled periodic meeting s of the entire management team Usually used by government agencies (eg DOTs, US Army Corps of Engineers etc)