| Construction Management evolved from the
government's attempts to introduce construction know-how throughout its multi-million
dollar projects, and to more effectively manage the highly fragmented series of discrete
decisions involved in the traditional building process. Although this approach has
several different variations, the essence of the concept centers around the introduction
of a construction manager as the owner's agent and manager of the entire building process.
Since the construction manager has overall management
responsibility, there is no prime or general contractor on the job. Each segment of
construction is contracted separately with the owner (not the construction manager) with
the advice of the construction manager. Once the contracts have been awarded, the
construction manager works to facilitate on-site communications and coordination.

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Prior to construction, the
construction manager performs services similar to those the contractor performs in the
pre-construction phases of the design/build procedure or the team method. But even though the construction manager prepares cost estimates,
he cannot guarantee costs. He does not assume the contractual responsibilities and
corresponding risks of the construction.
The risks of the construction execution all belong to the owner.
In situations where traditional bidding procedure is required by government regulation,
the construction management approach can ease many of the difficulties. |
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