CASE STUDY : ELECTIVE : CONSTRUCTION MANAGEMENT

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ELECTIVE: CONSTRUCTION MANAGEMENT

CASE STUDY :

Q. Explore the organizational and personnel issues emerging from the relationships between the management contractors and trade contractors on one construction project in your location. The aim is to provide feedback about the effectiveness of the relationship between management contractors and trade contractors and to explore some of the factors that inhibit 'good' relationships and those that promote 'bad' relationships .

ANSWER: Management contracting is a procurement route in which the works are constructed by a number of different works contractors who are contracted to a management contractor. The management contractor is generally appointed by the client early in the design process so that their experience can be used to improve the cost and build ability of proposals as they develop, as well as to advise on packaging (and the risks of interfaces). It also enables some works contracts to be tendered earlier than others, and sometimes, even before the design is completed (for example piling might commence whilst the detailed design of above ground works continues). This can shorten the time taken to complete the project, but does mean that there will be price uncertainty until the design is complete and all contracts have been let.

Management contracting differs from construction management in that management contractors contract works contractors direct, whereas construction managers only manage the trade contracts, the contracts are placed by the client. In legal terms the management contractor is acting as a principal whereas the construction manager is acting as an agent. This means that on a management contract, the client only has one contract to administer (whereas …………………………………………………………………………………………………………………………………………………………………..

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