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Construction Management

Construction Management is a term covering a range of project delivery methods in which the Construction Manager (CM) joins the project team during the project formation or design phase and provides services related to:

  • Project Phasing & Scheduling
  • Awarding Architectural contracts
  • Budgeting, Estimating, Cost Control
  • Value Engineering, Constructability, Building Technologies
  • Material and Labor Resources
  • Scoping/Bidding/Negotiating & Award Subcontracts
  • Project Management & Field Supervision

Senecal Construction Services can be hired as the CM to assist with any phase of the project, from pre-design to the final building phase, but typically maximizes value when hired early in the project for the pre-construction phase. Senecal Construction Services will assist the architect/designer with constructability issues, value engineering and provide continuous budgeting. By comparison, the traditional Design/Bid/Build method does not allow for this level of teamwork and cooperation prior to building.

The CM can serve in different capacities, with varying degrees of authority, depending on the Owner’s needs and requirements. A fee is paid to the CM relative to the services performed, which range from advising during the pre-construction documents to administering the work after the drawings are complete, but serving as an Owner’s agent in all matters. Construction Management is appropriate for both private and public projects that are relatively complex where continuous monitoring of cost and schedule are critical. CM services are divided into three basic categories:

  • Construction Manager as Advisor
  • Construction Manager as Agent
  • Construction Manager as Constructor

The CM’s fee is proportional to the level of risk assumed, but is usually offset by the cost saving practices and value added during the pre-construction processby keeping the project on schedule, presenting estimates at key milestones (i.e., conceptual design, schematic design, design development, construction documents), identifying opportunities for cost savings, and controlling costs/changes during construction. Senecal Construction Services as CM can also fast track the project so that the work can occur simultaneously with the production of drawings, thus saving time and dollars.

CM as Advisor

The CM-Advisor is either hired from the onset of the project or when the design is essentially complete and is expected to provide continuous CM service. This form of service is limited to an advisory capacity for the Owner, therefore there are no financial and construction responsibilities for the CM. On large, complicated projects, the Owner often hires a CM as the Advisor if the Owner does not have sufficient in-house management or facilities staff, the project site is not conveniently located to the Owner’s home base of operations or the Owner seeks the perspective of a seasoned team of professionals.

CM as Agent

This method allows the Owner to step back from the project. The CM-Agent has full decision making authority and financial responsibility. This role relieves the Owner from the day-to-day project management tasks and assures control of the costs during design and construction. Typically, the CM as Agent has the broad financial responsibilities that the Advisor lacks, but does not have construction responsibility of the CM as Constructor. Many public projects are handled via CM-Agent.

CM as Constructor

When the CM serves as constructor, the role of General Contractor is added to the CM’s standard list of tasks. It still offers the direct contractual relationship between Owner and Architect, as in the traditional method, plus the advisory benefits of the CM-Advisor and eliminates the Owner’s administrative burden of managing and paying all the subcontractors and suppliers. The CM-Constructor is hired early in the design process to deliver pre-construction estimating, and manages the phasing, schedule, cost, construction and building technology issues. The Owner benefits from the simplicity of a single contract for construction with Senecal Construction Services. In projects where fast tracking is utilized, this project method can provide the security of a fixed lump sum price, or a GMP (guaranteed maximum price), at an appropriate early stage to satisfy lending institution or similar financial requirements.

In each of the three CM services’ scenarios, the CM develops bid packages with scopes of work delineated and solicits competitive bids from a pre-qualified subcontractor list. The Owner is an active participant in the bid opening and awarding process thereby has final say in the selection of subcontractors working on the project.

Senecal Construction Services brings added value to its role as CM in two important areas that differentiate us from other CM firms.

First, Senecal Construction is a general contractor who often performs a great deal of its own work. We bring a strong knowledge base of construction production rates.

In addition, estimating many projects each year provides us with a deep historical database of up-to-date costs.

Second, Senecal Construction Services will take on and manage Risk for the Owner, often in the form of a GMP (Guaranteed Maximum Price), well before the design is completely finished. Taking on Responsibility and Risk for the Owner is a benefit that Senecal Construction has provided for over 20 years.

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