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A Complete Guide to Construction Project Management

The eight stages of construction project management, from inception to post-completion, and what to look for in a good project manager.

Kisiel Group

Construction project management

23 December 2020

8 basic steps in construction project management

You probably don’t realise how much an inexperienced project management team could cost you.

Understanding the basics of construction project management helps you avoid those costs and choose the right contractor to manage your next development. Here are 8 steps that give an insight into the phases of a project life cycle.

What is construction project management?

Simply put, it is the planning, coordination and building of a project within set time, cost and quality parameters. The Chartered Institute of Building’s Code of Practice for Project Management for Construction and Development defines it as:

“the overall planning, coordination and control of a project from conception to completion aimed at meeting a client’s requirements in order to produce a functionally viable and sustainable project that will be completed safely, on time, within authorised cost and to the required quality standard.”

This places the client at the centre of the process and aims to deliver the project within the three components of cost, time and quality.

Balancing quality, cost and time

Don’t leave it to chance. You need the right balance between all three for a successful outcome.

The stages of construction project management

  1. Inception
  2. Feasibility
  3. Strategy
  4. Pre-construction
  5. Construction
  6. Testing and commissioning
  7. Completion and handover
  8. Post-completion

Step 1: Inception

A Project Mandate, sometimes called a Project Initiation Document (PID), sets out the requirements and constraints of the project and what the final building should deliver, including function, quality and the agreed budget. A PID usually includes:

This is the developer’s opportunity to set out requirements clearly from the start. Not everything can be identified yet, but answering these questions forms a good basis:

When the Project Mandate is complete, the client approves moving to the feasibility stage.

Step 2: Feasibility

Project feasibility

Feasibility is a critical point. It is the opportunity to appraise different options and identify the best way to achieve the aims set in step 1. Once financial viability is established, you can firm up the project brief.

Next, finalise the business case so you can approach funders. It usually includes:

The decision is whether to proceed. If the study shows a profitable scheme with the right return and the funding is secured, you move on.

Step 3: Strategy

Success lies in the detail and planning done before physical construction starts. This step establishes how the project will be delivered and managed to meet the objectives set at inception.

The developer will have an Employer’s Requirements document, typically including an overview, survey reports, contract terms, a detailed scope of works, health and safety compliance, and schedules and specifications. Other documents include:

Processes and procedures are set up and the project team selected.

Step 4: Pre-construction

The last step before building works start. Design information should be complete, and it helps to establish a ‘design freeze’ so drawings and specifications can be finalised. Changes are still possible later, but are better avoided.

The tender is prepared and run, the health and safety plan is updated, and all statutory and legal consents are obtained. Contractors are appointed and site logistics put in place. Then you can confirm readiness to start on site.

Pre-construction

Step 5: Construction

Costs now rise substantially as the full team is engaged and materials arrive on site. The project manager co-ordinates all activity through the team, using:

Step 6: Testing and commissioning

Installation and testing of all systems must pass inspection. A commissioning strategy and schedule set up at the start of the project controls this. Testing is done in three stages:

Results are recorded and witnessed, certificates and warranties issued, and everything is captured in the operation and maintenance (O&M) manuals. Training is given on the use of all equipment.

Step 7: Completion and handover

All contract works must be completed, building regulations signed off, planning conditions complied with in full, and a Certificate of Practical Completion issued so the building can be transferred to the new owner. Outstanding works and snagging are finished, and insurances transferred. Handover needs great attention to detail.

Step 8: Post-completion

A post-completion review evaluates the whole process and checks the building was delivered in line with the Project Mandate. Post-occupancy evaluation is an essential stage. Final accounts are agreed and settled, and the project documentation archived.

The role of the project manager

The project manager keeps the project on programme, on budget and to the required quality. As well as sound knowledge of how buildings are constructed, they need excellent communication and problem-solving skills.

Role of the project manager

Communication

The skill is communicating effectively with everyone involved in a development, adapting style to each:

Communication only works when everyone understands and takes the agreed actions.

Solving problems

In many ways, problem solving is the job:

Common causes of escalating costs

What makes a good project manager

With an understanding of these basics you can monitor how a project is being managed and avoid unnecessary costs. Getting the right project management team is essential to bring a development to a successful completion.

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