CM services manage the entire project on behalf of the Client through involvement in every stage of the construction process. In other words, under CM service contract, the service provider act as an agent or coordinator with the delegated authority by the Client.
Construction Manager, as a total solution provider, shall equipped with knowledge in the newest construction method, market analysis, cost management, schedule management and etc. and provide professional services throughout planning, design, construction/supervision and O&M stages of a project. Thus, unlike conventional method of managing a construction project, CM is more active and professional in terms of aiming for early completion, cost reduction and quality improvement.
Unlike any other form of contract, CM contract can be varied in types upon Client’s requirement and purpose. Generally, CM can be categorized in two types. One is Agency CM and the other is CM for fee but many variation forms exist according to Roles and Responsibility.
Agency CM
As an agent to the Client, controls and manages the construction project throughout planning, design, procurement, construction to operation & maintenance stage within budget, schedule and quality standard. Client can minimize its’ management unit by utilizing CM to its’ project.
CM for fee
Contrary to Agency CM, CM for fee type manages the construction project where Client is in contract with multiple specialty contractors on behalf of the Client. Thus, a team is formed composed of Client, Architect and Construction Manager.
In detail, Construction Manager reviews the design in order to save cost and schedule, provides procurement/bidding procedures and controls the overall process of construction project.
Turn-key Project CM
By introducing CM to the turn-key project, Client may expect to bring in transparent cost record, minimization of risk, and enhanced quality standard. Especially, in case of change order requested by the Client, CM can meet the Client’s needs by reviewing change order proposals to seek for cost efficient ways.