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Architectural Exam Prep ARE 5.0 > 1 - PcM > Flashcards

1 - PcM Flashcards

1
Q

what are some staffing benefits of a firm working on similar project types?

A
  • staffing plans are easy, as the staff is all familiar w/ the project type
  • determining fees is easy, as a review of the accounting system & actual hours spent will be similar to what is needed for the project type
  • tracking how much time was spent or needed will be easier
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2
Q

how should a staffing plan be approached for a new project type?

A
  • hire new staff experienced in that type of building design
  • consult w/ colleagues or peers for assistance
  • set an hourly fee instead of a fixed fee
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3
Q

when is an hourly fee more beneficial than a fixed fee?

A

when the project is of an unfamiliar type

when there are challenges to the project that the staff may not have worked through before

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4
Q

what characteristics should a project team have?

A
  • excellent communication skills
  • ability to stay focused & on track
  • talent for overcoming challenges & obstacles as they arise
  • experience in the project type
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5
Q

how is a project manager different from a staff member on a given project?

A
  • staff member might not have every skill necessary to get the job done
  • a great project manager mentors & inspires team to do their best work
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6
Q

why wouldn’t a project manager have every staff member working on the same project at once?

A
  • project fee might not be able to afford all of staff working at once
  • might sacrifice profit, but would increase quality
  • unnecessary burden to project manager, should be focused on providing quality service
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7
Q

what is billing back to the client?

A

hours billed directly to the client

this billing rate is usually 3x higher than an employee’s hourly rate

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8
Q

what is a typical multiplier used when determining the billing rate of a staff person?

A

x3 for small firms

x5 for large firms

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9
Q

why is a staff person’s hourly rate different from a billable rate?

A

the billable rate accounts for office overhead expenses including equipment & insurance, as well as covering the billable rate of the employee

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10
Q

employee’s utilization rate

A

an employee’s billable hours divided by the total hours they worked (x100 for %)

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11
Q

who would have the highest utilization rate in an office?

A

junior staff

as higher level staff are expected to spend unbillable time handling firm operations

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12
Q

what are some factors to consider when comparing a project’s design budget to the staff’s salaries?

A
  • cost of consultants needed for the project
  • multiplier for the billing rate
  • how much time the principal will spend on this project (rate is usually highest)
  • what the staff utilization ratio for the project should be
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13
Q

what role does HR play in a small firm?

A

typically HR performed by the managing principal or an outside recruiter

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14
Q

onboarding

A

process of integrating a new employee into the firm, sometimes using an employee manual

  • at a small firm, managing principal or office manager takes this on
  • medium firm, individual manager takes on through more formal process
  • large firm, HR or department manager handles it
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15
Q

other than salary, firms might offer what to attract talented employees?

A
  • culture
  • flexibility
  • design reputation
  • responsibility/management
  • benefits
  • titles
  • ownership track
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16
Q

what are options for companies when work slows down w/ economic cycles?

A
  • take on work at a different location, sometimes out of the country
  • diversify project type
  • loan out staff
  • rent out some of office space
  • establish partnerships
  • partner w/ the architect of record on a project in another city
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17
Q

compensation types

A
  • amount of pay
  • overtime policy
  • PTO
  • retirement
  • firm ownership
  • health insurance
  • membership & dues
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18
Q

intangible benefits a firm might have…?

A
  • firm’s reputation
  • firm’s philosophy &focus
  • office location
  • office w/ flexible hours
  • office culture
  • well-designed office
  • work-life balance
  • recognition among peers
  • office policies
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19
Q

why would a firm offer a rate that is above market rate?

A

a small firm might do this if they don’t offer other benefits such as nicer healthcare plan or fancy office

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20
Q

what should firms maintain to keep their staff motivated & productive?

A
  • exciting projects
  • quality work
  • work recognition
  • firm reputation
  • relationships w/ the people we work with
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21
Q

what is the role of the project manager?

A

they are in charge of organizing the project team

  • must multitask while communicating & setting clear expectations w/ the owner
  • can convey good & bad news to owner & team
  • work to find solutions to problems that arise
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22
Q

large firms are often organized as vertical, horizontal, or _____ system

A

matrix system (a combination of vertical & horizontal)

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23
Q

large form using a vertical organization system

A

the staff on a project follow the project through all the design phases through to construction observation

staff must have a diverse array of skills to make sure they can complete the project; usually enjoyed by staff as they are exposed to several challenges

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24
Q

large firm using a horizontal organization system

A

more like an assembly line, where project is pushed through several departments through the different design phases

  • advantage is for each department to work on their expertise on the project
  • disadvantage is design direction may be lost along the way
  • staff may feel burnout after repeating same tasks over & over; may not feel they are given the opportunity to be challenged
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25
Q

large firm using a matrix system

A

uses a core team that works on the project through all design phases, but also uses departments that will jump in when needed to help with certain tasks

e.g. use of 3d modeler to start work during DD phase to create renderings

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26
Q

mid-size firm

A

20-100 employees & less corporate feeling

dedicated HR & marketing staff

works on small & large projects

runs using “matrix” system as used in large firm, where project manager leads a core team through a project & pulls in expert staff as needed

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27
Q

mid-size office structure A

A
  • senior principals & principals act as consultants amongst each other
  • together, they manage the PMs, who manage the PAs, who oversee the designers
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28
Q

mid-size office structure B

A

senior principals manage the managing principal & PMs, who manage the PAs, who oversee the designers

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29
Q

mid-size office structure C

A

the design principal works on 4-7 projects per day, managing principal works one hour per project per day, design principal works under PM

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30
Q

small firm

A
  • 20 or fewer employees, have flexible organization & take on the personality of its principals
  • use vertical or matrix model system, staff takes on various office tasks incl. marketing or admin work
  • staff may have decision making responsibility, good for interns wishing to learn
  • usually several small projects at once, one staff needs to be ready to jump onto another project if needed
  • should not just have one big project in case it is paused, or principal would be too busy to find next project
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31
Q

small office structure A

A
  • principal has an office & everyone else shares one room
  • usually an office project manager or architect that oversees the designers
  • principal may collaborate w/ an outside interior designer on bigger projects
  • everyone performs a specific administrative task
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32
Q

small office structure B

A
  • open office plan where staff & principals work at same table
  • on large projects, the design principals coordinate w/ an office project manager or architect to manage the designers & jur. designers
  • on small projects, the design principals manage the designers directly, who then oversee the jr. designers
  • everyone performs a specific administrative task
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33
Q

small office structure C

A
  • senior principal works w/ a junior principal or consultant to manage the project w/ the staff
  • open office plan where staff & principals work at same table
  • 5 people maximum on a project
  • everyone performs a specific administrative task
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34
Q

typical project team members include…

A

PM: coordinates team & consultants, works closely w/ principals & clients

Job Captain: coordinates drawing set & supervises drafters while reporting to PM

Draftsman: producing drawings from redlines, works closely w/ job captain, completes specific drawing tasks

Interior Designer: selecting materials, finishes, provide sketches as required

Specification Writer: compiling spec manual, obtaining spec information from manufacturers

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35
Q

professional liability insurance is required by the owner/architect agreement & is also known as _____

A

errors & omissions

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36
Q

what types of insurance must the architect carry when agreeing to an owner/architect contract?

A
  • professional liability (errors & omissions)
  • worker’s compensation
  • general liability
  • automobile liability
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37
Q

laws that regulate employees

A
  • equal employment opportunity commission
  • immigration reform & control act
  • fair credit reporting act
  • drug-free workplace act
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38
Q

law that sets the requirement for minimum wage & overtime

A

fair labor standards act

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39
Q

law that regulates special local prevailing wage that is usually higher than minimum wage

A

davis-bacon act

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40
Q

which entity publishes specific regulations on workplace hazards & construction site safety in reference to OSHA (occupational safety & health act)?

A

the department of labor

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41
Q

what does the consolidated omnibus budget reconciliation act of 1986 (COBRA) allow?

A

allows terminated employees to extend their health benefits until they find a replacement insurance plan

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42
Q

sole proprietor business structure

A

easiest & least expensive way to set up a business, no distinction between owner & business, so if the firm is sued, the principal is sued

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43
Q

partnership business structure

A

one or more partners agree & share duties, it does not have to be equal shares

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44
Q

corporation business structure

A

a method to reduce liability, firm incorporates into a business entitiy

3 types:

  • S-corporation (run through an individual)
  • C-corporation (individuals are paid as employees & shields partners from liability)
  • LLC (least complex structure w/ tax advantages but corporation level liability protection)
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45
Q

joint venture

A

a business agreement where 2 or more firms partner together for a specific project

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46
Q

professional liability (E&O) insurance

A

protects against claims caused by the architect’s negligent acts, errors, or omissions that may cause damage to the owner, contractor, or 3rd party

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47
Q

general liability insurance

A

protects the architect against damages from the architect’s office or operations or non-professional activities at the job site. the contractor & owner should carry this type of insurance as well.

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48
Q

workers compensation insurance

A

provides protection for injuries that occur at work, this is required if you have employees

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49
Q

property insurance

A

protects the office’s contents against fire, theft, & other loss of equipment

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50
Q

name the 4 obligations listed in the AIA code of ethics

A

obligations to:

  • public
  • client
  • profession
  • colleagues
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51
Q

standard of care

A

the architect must do what a reasonably prudent architect would do in the same community and time frame given the same or similar circumstances

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52
Q

what are the 4 requirements that define negligence?

A

duty: architect owned a legal duty & refrained from doing it
breach: the architect failed to perform the duty or did something that should not have been done
cause: the architect’s breach of duty is the source of injury or harm to the person making the claim
damage: actual harm or damage that has a monetary loss as a result of the breach

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53
Q

what are the instruments of service?

A

the drawings: they are a part of the construction documents

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54
Q

the construction sequencing is whose responsibility?

A

the contractors

the architect’s design does contribute to sequencing efficiencies, but it’s up to the contractor to control the various trades’ performance on the work

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55
Q

standard order of construction drawings (same as construction sequence)

A
  • civil
  • site
  • architectural
  • structural
  • plumbing
  • mechanical
  • electrical
  • other consultants
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56
Q

statute of limitations

A

this is a state law, and will vary by state

generally, it will fall between 3-10 years of time, beginning when the building is at substantial completion

length of time also varies by state depending on whether patent or latent defects

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57
Q

statute of repose

A

similar to statute of limitations, but start time is when the issue is discovered

there is still a cutoff time so that the architect is not liable for the lifetime of the building

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58
Q

betterment

A

concept applies to issues around negligence by architects

typically, an architect would be responsible for any costs arising from their errors, but under the concept of betterment, they’re only responsible for a fraction of the cost

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59
Q

amount of days to notify the discovery of unknown conditions

A

must be notified to the owner & architect no later than 21 days after the first observance according to AIA A201 general conditions

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60
Q

how is a latent defect different from a patent defect?

A 
latent = hidden defect
patent = visible defect
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61
Q

what are usually the 2 largest business expenses as a business?

A
  • office rent

- employee payroll

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62
Q

what is an issue that can create cash flow issues?

A
  • not getting invoices out in time, or client is late on payment
  • staff is late on filing timesheets
  • contract requires payment in a lump sum at the end of the project, or contract is fixed fee & time spent on project was underestimated
  • client puts project on hold
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63
Q

amount in a line of credit that a firm should have handy to cover expenses

A

a month’s worth of expenses

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64
Q

the most important document in tracking the health of a business is what?

A

balance sheet

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65
Q

who/what generates the P&L (profit & loss) statement?

A

accountant or accounting software; calculates how much money came in (revenue) & how much money went out (expenses)

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66
Q

to ensure next month’s expenses are covered, a business owner should ensure the staff is producing enough _____ to provide the necessary revenue

A

billable hours

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67
Q

what is the reason for using a multiplier for determining a staff’s billable rate?

A

ensures you have enough money to pay staff & cover overhead, and produce a profit

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68
Q

what is the typical fee structure for a project?

A

set maximum price per each stage of work that is billed hourly up to a maximum amount, or billed by % complete

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69
Q

what is a fee structure that is rarely used for a project?

A

a project billed hourly w/ no maximum

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70
Q

what is an example of a reimbursable expense?

A
  • plotting, photocopying, or faxes
  • long distance phone calls
  • car travel, billed by mile, to project site
  • travel expenses for project, incl. airfare or hotel
  • courier, shipping, postage
  • meals, parking, rental cars related to trips for the project
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71
Q

who is responsible to pay the reimbursable expenses?

A

as spelled out in the owner-architect agreement, the owner must pay these and the architect can charge overhead on them as well

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72
Q

how do you determine the “gross profit” on a P&L statement?

A

subtract expenses from income; a healthy profit margin should be around 20%

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73
Q

with a maintained healthy profit margin, what could a financially strong firm take on after a few years of consistent workload?

A
  • hire new staff
  • build out a new office
  • experiment w/ reduced fee on a new type of project
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74
Q

a profit & loss statement helps to track what?

A
  • utilization rates by employee
  • overhead rate
  • break-even rate
  • net multiplier
  • profit margin
  • net revenue per employee
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75
Q

how is a balance statement different from a profit & loss statement?

A

P&L statement = compares income to expenses

balance statement = tells story behind those numbers

  • defines assets, liabilities, & capital at a particular point in time
  • defines difference between current liabilities (due this year) and long term liabilities
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76
Q

assets

A

any valuable property that is owned by the firm, such as real estate or a vehicle

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77
Q

liabilities

A

any debt or financial obligation related to the business that needs to be paid back over time

credit cards, business loans, car leases, future stock options offered to staff

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78
Q

capital

A

financial assets needed to run the company operations

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79
Q

cash-on-hand

A

the total amount of any accessible cash, also referred to as liquidity, this includes things that can be sold quickly like stocks

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80
Q

accounts receivable

A

the money that is owed to a company by its clients, whether they have been invoiced yet or not

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81
Q

accounts payable

A

the money that a company owes to its creditors, such as rent, leases, loans, or credit cards

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82
Q

equity

A

the ownership interests of a firm, including the % of ownership of each principal of the firm

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83
Q

firms need to keep a close eye on what 2 business items, even if they are too busy?

A
  • sending out invoices in a timely manner

- watching amount of expenses spent

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84
Q

why is it important to educate employees on a firm’s values & goals?

A

knowledge of an organization’s culture has been linked to increased satisfaction & commitment by the employees as well as a decreased turnover rate

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85
Q

collaborative/clan culture organization

A

extended family of employees that are hard to replace; strong sense of loyalty & tradition w/ focus on teamwork, participation, & consensus

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86
Q

creative culture firm organization

A

dynamic, entrepreneurial, & creative group, known for taking risks & innovation

individual initiative & freedom are encouraged

the environment can be competitive

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87
Q

control or hierarchical culture

A

highly structured & formal feeling

management aims for security & predictability

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88
Q

market culture

A

result-driven organization focused on job competition; employees are competitive & goal-oriented

emphasis on winning unifies the organization

success to this type of firm culture is market share & penetration

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89
Q

professional liability insurance

A

insurance coverage that provides protection against damages by claims caused by negligence by the architect, including errors & omissions in the drawings that might cause damage to the owner, contractor, or other party

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90
Q

general liability insurance

A

this insurance provides protection against damages from an architect’s office operations & non-professional activities at a job site

owner & G.C. should carry this as well

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91
Q

worker’s compensation

A

insurance for employees in case of illness, injury, or disability stemming from their employment; only required when architects have empoyees

by law, all employers should have this type of protection

the contractor includes the cost for this insurance in their overhead costs as part of their bid

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92
Q

property (builder’s risk) insurance

A

this insurance is held by the owners, it covers damage, loss of work on-site or off-site en route to the site

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93
Q

loss of use insurance

A

held by the owner & covers any loss suffered by the owner due to delays in construction, damage, accidents, fire, explosions, or any hazards that might prevent the project from completing on time

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94
Q

product & completed operations insurance

A

held by the contractor; liability for damages caused by installed goods after the completion of construction & transfer of title

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95
Q

contractural indemnification

A

the liability is assumed by the contract and the contractor agrees to hold the owner & architect harmless for any damages that are a result of specific events

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96
Q

subrogation

A

the insurance company has the right to “step into the shoes” of the policy holder to make a claim for damages caused by others & can sue the responsible party on behalf of the owner

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97
Q

waiver of subrogation

A

A201 general conditions contains a clause for a waiver of subrogation in order to minimize lawsuits & claims against the parties

this places the risk of loss on the insurance company, but prevents the insurance company from suing parties that might not be at fault

waiving subrogation works well if all parties agree to it, as everyone is exposed to the same level of risk

98
Q

how can a practice avoid being exposed to claims?

A

practice conflict dispute resolution techniques to avoid or contain potential disputes

99
Q

risk management strategies

A
  • avoid risk
  • transfer risk
  • assume risk
  • control risk
100
Q

what should the architect keep aware of to avoid risks?

A

changes in government regulations or new building materials, systems, codes, standards, or technologies

adoption of new rating systems, such as LEED

awareness of what other design professionals are doing, how they are rendering their services, and what services they are providing

101
Q

indemnification

A

is insurance terminology for the “hold harmless” clause

102
Q

common claims against architects

A
  • negligence (by duty, breach, cause, or damage)
  • breach of contract
  • vicarious liability
  • alternative project relationships
  • third party actions: architects can be held liable for negligence by parties the architect had no contractual relationship with
103
Q

what are some good forms of documentation that architects can take?

A
  • daily notebook or site observation reports
  • write in ink, use bound or spiral notebooks, number pages, add dates
  • photographs & videos
  • status letters & issue letters
  • meeting minutes & memos of phone conversations
  • progress payment logs
  • equipment use records
104
Q

reasons architects should consider the purchase of professional liability insurance

A
  • business survival
  • continuing operations
  • contract requirements
  • social responsibility
105
Q

number of years for statute of limitations for patent defects from the date of substantial completion

A

4 years, varies state to state

106
Q

number of years for statute of limitations for latent defects from the date of substantial completion

A

10 years, varies state to state

107
Q

methods to limit liability

A
  • carry necessary types & appropriate amounts of insurance
  • select projects carefully by working within the firm’s capacity, ability, & expertise
  • utilize a written contract (in many states, it’s illegal for an architect to work without a contract)
  • efficient in-house organization & communication w/ project team, owner, & contractor
  • document key decisions & approvals
  • provide contract administration services
108
Q

who is responsible for the means, methods, techniques, sequences, and safety of a project during construction?

A

the contractor

109
Q

the architect is NOT responsible for what during construction?

A
  • exhaustive on-site visits
  • continuous on-site inspections
  • means, methods, techniques, sequences, & safety
110
Q

who can stop the work of a project under construction?

A
  • the owner
  • the contractor (if unpaid)
  • local building official

(not the architect)

111
Q

what is the architect’s role in the observation of a project while it is under construction?

A

to observe the progress & quality of work in order to determine if it conforms to the drawings & contract documents; any findings should be reported to the owner

112
Q

an architect cannot negotiate the terms of any settlement without the _____’s permission

A

insurer

113
Q

client dispute resolution includes what type of practices?

A
  • engaging the client
  • communicate w/ the client
  • secure closure for any issues that may have occurred
  • provide documentation
114
Q

arbitration

A

the preferred method of dispute resolution

the arbitrator is more knowledgeable in the industry, while a judge or jury may not be

disputes can be solved quickly, in weeks or months, rather than years in litigation

115
Q

arbitration process

A

one party files a demand for arbitration. the other party can then:

  1. file answer in response to the allegations
  2. file a counterclaim
  3. do nothing and the demand will be considered to have been denied

then, the arbitrator will be selected and agreed upon by both parties

after a hearing is held, the arbitrator will render a decision within 30 days

116
Q

mediation

A

a mediator assists the parties in settling a dispute

117
Q

litigation

A

involves court system, is an expensive, long process involving attorneys

118
Q

methods that lead to better agreements

A
  • establish standard in-house practices
  • get professional support
  • use standard agreement forms
119
Q

construction means & methods…

A

are the responsibility of the contractor

120
Q

customized agreements to have on hand

A
  • full services agreements of the types most frequently used
  • small or limited scope agreements
  • notice to proceed
  • consultant agreements
  • common exhibits
121
Q

design professional liens

A

used if construction has NOT yet started, but a building permit or other government approval has been obtained; requirements vary by state

122
Q

for a design professional lien: the number of days the professional must give the landowner a written demand letter for payment specifying the amount owed

A

10 days

123
Q

mechanics lien

A

used if construction has started on the project, filed against owner for services or materials owed that have not been paid

not allowed on public projects

124
Q

mechanics lien: number of days noticed for preliminary notice

A

20 days for subcontractors/vendors

the architect & contractor do not have to send the 20 day notice, as they are in direct contact with the owner; may vary by state

125
Q

what is a notice of cessation?

A

a notice that the work has formally stopped, filed by the owner

the owner wants to file this to reduce the time in which claimants can file a lien

126
Q

stop notice

A

a lien against funds, similar to a mechanics lien, but it can be used on private or public projects

127
Q

notice of non-responsibility

A

when a tenant of a space is performing work on a building & the owner of the building wants to protect themselves from any liens that stem from that work

128
Q

how to protect the owner from liens

A
  • require the owner to purchase a performance bond & payment bond
  • receive signed lien releases from the subcontractors at the time of payment
  • collect & hold retainage
  • collect contractor’s affidavit of the release of liens
129
Q

what are some terms that are open to negotiation in the contract?

A
  • scope of services or additional services
  • project schedule
  • owner’s responsibilities or coordination responsibilities
  • project insurance & limitations of liability
  • ownership & reuse of documents
  • reimbursable expenses
  • hourly rates
130
Q

what items fall under copyright protection?

A

intangible assets associated w/ inventions and design, such as digital data, design methodologies, & software

131
Q

owners use of the instruments of service

A

the owner must retain the architect for their instruments of service (drawings)

if they don’t and they decide to use another architect using the same instruments of service, the owner & the new architect take responsibility for any errors or omissions

132
Q

common limitations that the architect should consider securing

A
  • disclaiming the architect’s responsibility for the contractor’s means & methods of construction, and for job site safety
  • limiting the architect’s liability for the accuracy of cost estimates to redesigning at the architect’s expense
  • disclaiming liability for results of interpretations & decisions made in good faith
  • disclaiming 3rd party beneficiary status to a 3rd party
  • waiving subrogation for damages caused by property insurance
  • disclaiming responsibility for a decision made by the owner without the architect’s approval
  • disclaiming responsibility for hazardous materials
133
Q

using checklists would be an example of…

A

quality assurance / quality control (QA/QC)

134
Q

what kind of projects can benefit from a constructability review?

A
  • complex or large projects w/ staging concerns
  • projects w/ tight schedules
  • projects using new construction methods
  • innovative projects
135
Q

give 3 reasons when an RFI can be written to the architect from the contractor

A
  1. an unforeseen condition or circumstance
  2. an omission
  3. a conflict or discrepancy
136
Q

name the 4 project delivery methods

A
  • traditional design-bid-build
  • construction manager
    (or CM@R, CM at risk)
  • design-build
  • integrated project delivery (IPD)
137
Q

how should conflicts between agencies be addressed?

A
  1. schedule meeting w/ agencies that are responsible for enforcing the area of conflict & request they issue you written direction on which one to follow
  2. bring the owner to the meeting
138
Q

which compensation option is the most flexible & preferably used when no exact scope of services can be defined?

A

hourly billing rates & fee multipliers

139
Q

what are 2 types of fee multipliers?

A
  1. multiple of direct salary expense (DSE)

2. multiple of direct personnel expense (DPE)

140
Q

name 2 disadvantages of using % of construction cost?

A
  1. client may think the architect will intentionally drive up construction costs to increase fees
  2. conflict in the relationship between owner & architect
141
Q

which AIA series would you find a contract agreement between architect & owner?

A

B-series

owner + architect agreements

142
Q

what is included in the architect’s & consultant’s instruments of service?

A
  1. drawings
  2. specifications
  3. construction documents
143
Q

who retains copyrights of the instruments of service?

A
  1. architect

2. architect’s consultants

144
Q

which AIA series would you use if you wanted an agreement for a joint venture?

A

C-series

architect + consultant agreements (including joint ventures)

145
Q

should the contractor fail to fulfill their contractual obligations to the owner, this amount is stipulated in the contract known as…

A

liquidated damages

146
Q

the responsibility of providing geotechnical engineering data & land surveying is by…

A

owner

147
Q

responsibilities of the architect & their basic services are found in what AIA contract form?

A

B101

standard form of agreement between owner & architect

148
Q

responsibilities of the architect and their basic services are found in what AIA contract form?

A

A101

standard form of agreement between owner & contractor

149
Q

liquidated damages

A

an amount of money stipulated in the contract to be charged to the contractor as a reimbursement for damages suffered by the owner because of the contractor’s failure to fulfill contractual obligations

150
Q

why is it important to regularly send out invoices to clients?

A

to maintain the cash flow coming into the business and pay staff & bills on time

151
Q

retainage

A

the process by which the owner withholds money from the contractor as a protection in case the contractor fails to complete the work according to the contract document

152
Q

what is the contract sum?

A

the total amount payable to the contractor for performance of the Work under the contract documents

153
Q

what 3 contracts can be paired with the B102?

A

B201 design & construction contract administration

B202 programming

B203 site evaluation & planning

each of these contracts are titled standard form of architect’s services: programming (for example)

154
Q

boiler plate

A

refers to general paragraphs in a contract that would apply to anyone, and be reused over & over again without needing to be modified

e.g. the clause “perform the services with professional skill & care” would apply to almost any contract

155
Q

self awareness for the firm

A

internal analysis

helps assess the firm’s capabilities when considering new work

156
Q

what does RFI stand for?

A

request for information

an RFI is a document used by the general contractor & the construction team when they discover any of the following:

  • unforeseen condition or circumstance
  • an omission
  • a conflict of discrepancy

when the architect receives an RFI, the architect shall review & respond in a timely manner

157
Q

an architect can tie their compensation to revenue, cost, or profitability results achieved by this type of compensation option

A

outcome-based value pricing

158
Q

what are 3 types of project types used in outcome-based value pricing?

A
  1. sales in retail facilites
  2. leasing success in housing
  3. commercial office development
159
Q

this compensation method that ties the architect’s compensation to the budgeted or actual construction cost of a project, which is rarely used, is known as…

A

% of construction cost

160
Q

this is work that is done without an expectation of payment (no fees)

A

pro-bono work

161
Q

why do the AIA contracts reflect the best contractual advice from practicing professionals including contractors, consultants, & insurance companies?

A

they balance the interests of all parties involved

no one, including the architect, is unfairly represented; they are timed, tested, and widely used throughout the industry

162
Q

what is a fiduciary?

A

a person who holds a legal or ethical relationship of trust with one or more other parties

163
Q

financial resources

A

money to operate the business on a day to day basis, including payroll & paying bills

164
Q

intangible resources

A

reputation of the firm & talents of the staff

165
Q

which project delivery method is suitable for fast track?

A
  • design-bid-build
  • design-build
  • CM@R
  • integrated project delivery

the determination depends on the needs of the owner & the strength of the project team

166
Q

IPD

A

integrated project delivery

IPD is a new approach to project delivery where the entire project team works together on the project to increase coordination & collaboration

the contractual relationships in an IPD method are shared among the owner, architect, consultants, & contractor who jointly share in the success or failure of the project

167
Q

what is the benefit of integrated project delivery?

A

allows for higher level of communication & coordination, works well on complex projects or projects trying to achieve a high standard, such as deep sustainability or energy targets

168
Q

what are the 5 basic scopes of services according to the B101?

A
  • schematic design
  • design development
  • construction documents
  • bidding or negotiation
  • contract administration
169
Q

is reviewing the owner’s program an additional service when utilizing the B101?

A

it’s part of the basic scope of services under schematic design of the B101

the architect shall prepare a preliminary evaluation of the owner’s program, schedule, & budget

170
Q

is the architect required to provide an estimate of the cost of work as part of the B101?

A

yes, at the end of each of the design phases

171
Q

what are the owner benefits of design-bid-build project delivery?

A
  • owner participates in the design of the project

- construction costs are prepared from relatively complete documents

172
Q

in the design-build approach to project delivery, how many contracts are there for the owner?

A

single entity

the owner contracts with a single entity (a designer-builder) for both design & construction

173
Q

in which project delivery method is the contractor selected at the start?

A

design-build

174
Q

what are the 5 ways to calculate invoices?

A
  • % complete
  • hourly
  • regular fee schedule
  • milestones
  • work when paid
175
Q

in construction manager at risk, the CM typically has substantial expertise in these 4 areas…

A
  1. construction technology
  2. constructability issues
  3. construction scheduling
  4. construction costs
176
Q

in design-bid-build, who are the 2 contracts between?

A
  1. owner-architect

2. owner-contractor

177
Q

in design-build-build, contractor selection is based on what?

A

final selection based on lowest responsible bid, or total contract price

178
Q

what is the construction manager at risk approach?

A

involves a construction manager who takes on the risk of building a project, guaranteeing the owner it will be completed on an agreed-to schedule & set budget

179
Q

under construction manager at risk, who hires the architect?

A

the architect is hired by the owner under a separate contract

180
Q

under construction manager at risk, the CM may offer these 5 services to reduce their risk

A
  1. pre-construction services during the design phase
  2. project scheduling
  3. value engineering
  4. timely purchasing of critical materials or materials w/ long lead times
  5. coordination of subcontractors
181
Q

what does GMP stand for?

A

guaranteed maximum price

182
Q

in CM at risk, who are the 2 contracts between?

A
  1. owner-architect

2. owner-CM@R

183
Q

what are some benefits for CM at risk approach?

A
  • overlapping phases: design & build occur at the same time (fast track)
  • CM hired early, during the design phase, to provide advice
  • pre-construction services offered by the constructor (such as constructability review & bid management)
  • specific contractual arrangement determines the roles of the players
  • clear quality controls from the use of prescriptive specifications in the contract
184
Q

what does an internal analysis include that will help grow your firm & expand your skills?

A
  1. resources: tangible (product or service), intangible (reputation)
  2. capabilities: qualifications of staff, ability to meet demands of a project
  3. core competencies: major value-creating skills & capabilities of the firm
185
Q

what are some resources that a firm may utilize in carrying out the delivery of a project?

A
  1. human resources: staff, administrators, principles
  2. financial resources: money to operate the business on a day to day basis
  3. intangible resources: the reputation of the firm, talents of the staff
  4. organizational: the makeup of the firm, how it is organized & how the different divisions relate to each other
  5. physical assets: office space, equipment, & property
186
Q

what are some questions to be considered during an internal analysis?

A
  1. what are the firm’s strengths?
  2. what are the firm’s weaknesses?
  3. how do these strengths & weaknesses compare to other similar firms?
187
Q

what are some considerations when taking on new work?

A
  1. does the firm have experience in this project type?
  2. does the firm have the resources (people & finances) to complete the project?
  3. does the firm have adequate staff available to work on the project?
188
Q

what does project delivery refer to?

A

the method for assigning responsibility to an organization or an individual for providing design & construction services

189
Q

what does project management refer to?

A

the means for coordinating the process of design & construction including planning, staffing, organizing, budgeting, scheduling, & monitoring

190
Q

what are the key factors affecting project delivery choice?

A
  • construction cost
  • schedule
  • building quality
  • project scope
  • client capabilities
191
Q

who are the key players in project deliveries?

A
  • owner
  • architect
  • contractor
192
Q

which 2 AIA documents, when used together, essentially represent the B101?

A

B102: owner & architect agreement without predefined scope of architect’s services

B201: standard form of architect’s services: design & construction contract administration

193
Q

for sole practitioners, what is the least expensive & most common firm structure?

A

sole proprietor

a business owned & run by one individual with no legal distinction btw. owner & business; the least expensive type of setup & most common for sole practitioners

194
Q

what are the 2 types of corporations an architect can form?

A

S-corporations

C-corporations

195
Q

what is a joint venture?

A

a business agreement in which parties agree to work together for a finite time

196
Q

name 2 ways to terminate a proprietorship?

A
  • death of a proprietor

- retirement of a proprietor

197
Q

what are the 4 components of evidence-based design?

A
  1. gather qualitative & quantitative intelligence
  2. map strategic, cultural, & research goals
  3. hypothesize outcomes, innovate, & implement translational design
  4. measure & share outcomes
198
Q

what are the differences between the 2 main types of corporations available as a business structure for architects?

A

S-corp allows income & expenses to still flow through the individual business owner

C-corp separates the individual from the corporation

199
Q

which type of firm structure is the most complicated to establish, maintain, & has its own federal tax number?

A

corporation, which is a separate taxable entity

200
Q

what are the characteristics of an S-corp?

A
  • most common structure for architects
  • corporation is owned by private shareholders, who are actively engaged in running the practice
  • some of the shareholders also serve as directors or officers, who handle the legal filing requirements for the corporation
  • profits are passed onto the shareholders, who have to file & pay taxes on that money
  • the personal assets of shareholders cannot be used to satisfy business debts, but the architect can still remain professionally liable
201
Q

what are the characteristics of an LLC?

A
  • provides the liability protections of a corporation with the tax advantages of a partnership
  • members own the LLC
  • managers are elected by the members
  • some states prevent architects from forming an LLC
  • classified as a corporate partnership for federal tax purposes
202
Q

what is evidence-based design?

A

the process of basing decisions about the built environment on credible research to achieve the best possible outcomes

203
Q

studies in evidence-based design in hospitals show what advantages?

A

can lower the incidence of nosocomial infections, medical errors, patient falls, & staff injuries

reduce the stress of facility users, improve safety & productivity, reduce resource waste, enhance sustainability

204
Q

project documents consist of…

A
  • project manual

- project drawings

205
Q

the responsibility of construction means, methods, techniques, sequences, procedures, & site safety is the responsibility of the…

A

contractor

206
Q

what are 4 specialty business enterprises?

A

MBE: minority-owned business enterprise, where at least 51% of the firm is owned by a minority

WBE: woman-owned business enterprise, where at least 51% of the firm is owned by a female

DBE: disadvantaged business enterprise, where at least 51% of the firm is owned by a veteran, disabled veteran, or other disadvantaged groups

SBE: small business enterprise, where the size of the company meets the requirements set by the small business administration (SBA)

207
Q

in school design, what are ways to improve teaching & learning, as well as the productivity of the space & client satisfaction?

A
  • daylight

- operable windows

208
Q

6 considerations when choosing a legal structure for your firm

A
  • firm size (employees)
  • number of partners
  • state licensing board requirements
  • amount of potential liability
  • number of offices
  • best way to reduce taxes
209
Q

LLP

A

limited liability partnership

210
Q

LLC

A

limited liability company

211
Q

RFP

A

request for proposal

212
Q

when the architect is being asked to provide a written narrative, what are they responding to?

A

RFP

request for proposal

213
Q

in a partnership, who has potential full liability for professional errors & omissions?

A

each partner has potential full liability

214
Q

in a partnership, does it pay federal income tax on profits?

A

no, a partnership files a separate federal tax return (called an information return), but does not pay federal income tax on profits

215
Q

name the different types of firm structures

A
  1. sole proprietor
  2. partnership
  3. corporation
  4. joint venture
  5. limited liability companies
216
Q

this type of firm structure is the simplest form of practice

A

sole proprietor

217
Q

what is a partnership structure?

A

partners agree to share in job duties & profits/losses of a business

218
Q

in sole proprietor firm structure, are they required to file state documents & federal tax forms?

A

no, they are not required to file state documents & federal tax forms to conduct the practice, this is included in the individual’s tax return

219
Q

most states have enacted this act, which establishes certain legal requirements for partners

A

uniform partnership act

220
Q

when can a general business corporation be formed?

A

may be formed for any legal purpose and are subject to state requirements

221
Q

why are professional corporations established?

A

established specifically to provide professional services & subject to restrictions in the professional corporation statute

222
Q

what is the usual method for compensating departing shareholders in a corporation?

A

buy/sell agreement

223
Q

in a subchapter ‘S’ corporation, shareholders are taxed on what?

A

taxed on their pro rata share of the corporation’s income

224
Q

owners in an LLC are called this, and have limited personal liability

A

members

225
Q

why are LLC’s classified as partnerships

A

for federal tax purposes

226
Q

students who are fortunate enough to be in a school classroom w/ large windows & skylights perform better on tests than those in rooms with very little natural light by this %…

A

between 7-18% better

227
Q

evidence based design accreditation & certification (EDAC) program was introduced in 2009 by the center for health design to provide_____

A

internationally recognized accreditation and promote the use of EBD in healthcare building projects, making EBD an accepted & credible approach to improving healthcare outcomes

228
Q

the evidence based design accreditation and certification identifies what?

A

EDAC identifies those experienced in EBD, and teaches about the research process:

  • identifying
  • hypothesizing
  • implementing
  • gathering
  • reporting
229
Q

evidence-based design was popularized by…

A

the seminal study by roger ulrich (1984) that showed the impact of a window view on patient recovery

230
Q

a white paper from the center for health design identifies 10 strategies to aid EBD decision-making. how many years for a lifecycle perspective?

A

30-50 years

use from planning to product, exploring lifecycle return on investment of design strategies for safety & workforce outcomes

231
Q

a white paper from the center for health design identifies 10 strategies to aid EBD decision-making. the use of strategic partnerships is to create…

A

new products w/ hospital staff expertise & influence

232
Q

prevention costs

A

the cost to train & educate staff on the right way to do things

233
Q

appraisal costs

A

the cost of properly reviewing & checking drawings before releasing them to the building department, contractor, or owner

234
Q

the architect should assist (not responsible for legal advice) the owner in the development & preparation of…

A
  • bidding & procurement information
  • form of agreement between owner & contractor
  • conditions of the contract for construction
235
Q

the owner is responsible to furnish…

A

necessary legal, accounting, & insurance services to accomplish the project

236
Q

what are account codes used for?

A

to keep track of time, reimbursable expenses, phone, fax

237
Q

routine communications should use…

A

transmittals that include contact information on all correspondence, date everything, take notes, standard cover letters

238
Q

internal failure costs

A

the costs associated with project or process failures, such as incomplete or uncoordinated consultant drawings

239
Q

for proper communication, meetings should always include this:

A

an agenda

240
Q

external failure costs

A

the costs that could come from a failure after delivery of the drawings or services to the owner

Architectural Exam Prep ARE 5.0 (6 decks)

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