Assignment #3: Construction Management (At-Risk) CCDC 5B

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The key takeaways are about the role of a construction manager at risk and when it is appropriate to use the construction management at risk project delivery method.

A construction manager at risk acts as a consultant to the owner during pre-construction and as the general contractor during construction. The CM is responsible for delivering the project within a guaranteed maximum price.

The owner hires the prime consultant and CM, there is a design contract between owner and consultant, a contract for services between owner and CM, and the CM converts to a general contractor with multiple construction contracts.

ASSIGNMENT #3

Construction Management (at-risk)


CCDC 5B
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CSM 704 - Alternative Project Delivery Methods

NIZAM KHAN
Construction Management (at-Risk)
Contract for services and Construction
CCDC 5B

Construction manager at risk (CMAR) is a project delivery method which is alternative to the

traditional project deliver method. It involves the CM which acts as a consultant to the owner

during the pre-construction stage and as a General Contractor during the construction stage.

The CM is responsible to convey the task inside a Guaranteed Maximum Price (GMP), much of

the time. Any amount which exceeds the GMP which are not a part of the change orders are the

responsibility of the CM. The CM is a part of every stage of the project and is liable to keep the

cost under control.

Before plan of a venture is finished (a half year to 1½ long periods of coordination among

Designer and Owner), the CM is engaged with assessing the expense of developing an

undertaking dependent on the objectives of the Designer and Owner (plan idea) and the general

extent of the task. In adjusting the expenses, timetable, quality and extent of the venture, choices

can be made to change the plan idea as opposed to investing a lot of energy, exertion and cash re-

planning as well as adjusting finished development reports The Construction manager at risk

(CMAR) technique is an elective acquisition measure like long-standing private area

development contracting. CM at risk is a practical and time cognizant option in contrast to the

traditional method.

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In Construction Management (at-Risk) contract following steps are being followed:

➢ The owner or project manager hires the Prime Consultant (Architect/ Engineer) first and

selects the Construction Manager along with him or the CM and Prime consultant are

selected together.

➢ The contract between the owner and architect: Design contract. Furthermore, the Design

consultant has a subcontract with the subconsultants.

➢ The contract between the owner and construction manager: Contract for Services. It is

on a fee basis and CM is selected on the basis of qualifications and references.

➢ Previous to the construction starts the CMaR converts to a general contractor and works

on a fixed price project.

➢ The contract between the General contractor and multiple contractors: Multiple

Construction Contracts.

OWNER – CMaR – TRADERS AND SUPPLIERS


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WHEN IT IS APPROPRIATE TO USE CMaR:

➢ Larger Projects: The CMaR conveyance technique is especially fit to bigger and more

perplexing undertakings that are more hard to characterize before development starting

and have a high shot at changing in scope. It is likewise appropriate for projects that are

of a high specialized intricacy, contain different stages, or where the timetable

necessitates that development starts before the plan is finished.

➢ External Funding: In certain situations, project proprietors may be getting assets from

financing bunches who have unlimited oversight over the spending plan. The CMAR

technique works for this situation as it permits the task proprietor to introduce a

forthright, project cost (GMP) to the agents.

➢ Inadequate Construction experience: Owners/ client may not generally have the

experience/mastery of "plan science" to work viably with the designer and specialty of a

very much arranged development outline. In such cases, hiring a construction firm that

offers CMaR bonds well as they have a group of qualified general contractors who are

specialists at understanding development drawings, plan determinations, and their

certifiable translations.

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REFERENCES:

https://www.designingbuildings.co.uk/wiki/Construction_manager_at-risk

https://www.softwareadvice.com/resources/construction-manager-at-risk/

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