Construction Project Participants Flashcards
Who will pay and own?
OWNER
- make decisions to build facility, define the need, provide the financing, manage construction process
Public Owners
- state, municipal, or federal government
- large projects
- well-defined procedures (even bureaucratic)
- careful project financing (political accountability)
Private Owners
- ranging from real estate developers to one-time projects
- smaller projects (occasionally larger )
- more informal procedures (less bureaucratic)
- more innovation, cost-efficiency, flexibility
Owner’s interest:
- quality and value product
- delivery schedule
- site safety
Who will design?
ARCHITECT/ENGINEER
- selected based on demonstrated ability to design the project in time frame available at acceptable cost to owner
- prepare construction documents (plans, blueprints, specifications, contracts) for owner
- ARCHITECT usually lead designers for buildings
- ENGINEER normally lead designers for infrastructures
A/E interests:
- aesthetics
- relationships
- quality
- recognition
Who will lead construction?
GENERAL CONTRACTOR
- most contracts awarded to GC who managers project and subcontracts portions of work
- manage the job, keep it on schedule, control costs, ensure work is well coordinated and performed in safer manner, coordinated w owner on all matters
GC’s interest:
- profit
- construction time
- relationship
- reputation
Who will construct?
SUBCONTRACTORS
- largest portion of construction industry (Hinze 2001)
- GCs (mainly for building): 24%
- GCs (mainly for infrastructure): 12%
- Subcontractors (specialty contractor) : 64%
- do the work
Who will manage?
CONSTRUCTION MANAGEMENT (CM) FIRMS
As a purley CM firm (only providing service to owner):
- represents owner on construction project
- no direct relationship (ie no contract) to A/E and gen/sub contractors
- prefer to be involved in both design and construction as owner’s representative
- oversees entire construction project on behalf of owner:
- owner relations
- schedule
- productivity, quality, safety
- change orders&claims
- cost&budget issues
- multiple contracts coordination
As GC
- same but usually subcontract 100% of work
- GCs make contract w CM firm as owner for better management
Where do workers come from?
TRADE UNIONS
- normally formed around crafts and trades
- operated bu members, have constitutions, made up of locals
- locals serve as contract-negotiating body for their members in their local area
- provide training, pensions, hiring calls
Unions in Canada (examples)
- (National) Canada’s Building Trade Unions (60 trades, 500000 members)
- (BC & Northern province of Yukon) Construction & Specialized WOrers’ Union (mainly for hydro & mine, 6000 members)
- (Alberta) Building Trades in Alberta
- (Saskatchewan) Saskatchewan Provincial Buildin Construction Trades Council
Materials?
SUPPLIERS
- assist designers in material and equipment selection then assist contactors in preparing their bids, shop drawing (typically required for prefabricated components eg, elevators, trusses, windows), and fabricating items specifically for individual projects
- designers rely on standard specifications & standards such as those published by Standard Council of Canada (SCC) & AMerican SOciety and Testing and Materials (ASTM)
Insurance?
INSURANCE (AND SURETY) COMPANIES
- provide the liability and property insurances
- surety companies provide bid, performance, and payment bonds
Out of Budget?
BANKS
For contractor: provide working capital to contractors so contractor can pay for materials, labours, equipment, overhead expenses until contractor is paid by owner
- contractors earn their progress payments (usually monthly), and no up-front payments are made by owner
For owner: Provide short & long term financing to project owners
Permissions and Approvals?
PERMITTING AGENICIES AND BUILDING AUTHORITIES
- represent interest public safety
- administer publicly funded construction projects
- ensure private construction projects comply w zoning laws & building codes
