Construction Management Case Study

Task 4(c) Construction management (CM) has been out of favour in recent years with only a select group of commercial clients continuing to adopt the route. With the Fraser enquiry into the Scottish Parliament delays and high-profile court cases highlighting the risks of CM, it is not surprising that use of this form of procurement has fallen. However, as the continuing Wembley Stadium saga illustrates, no procurement route, even with as low a client risk-profile as design-and-build, can guarantee a successful outcome. CM’s reputation has shifted from its high point in the 1980s, when it was almost exclusively associated with well-managed and well-resourced commercial projects such as Broadgate and Canary Wharf. Since then it has been adopted,

Furthermore, the consequences of ineffective management by the construction manager will also directly affect the client, should delay or claims for additional payments to trade contractors occur as a result. Accordingly, the client must be sufficiently disciplined and resourced to provide its inputs into the project as required by the agreed information release schedules. They must also ensure that they appoint a construction manager with the appropriate resources and experience and a positive approach – a task that is challenging for many clients, whether experienced or not.

Advantages and disadvantages of CM Construction management stands at the top end of the scale with respect to a client’s risk exposure but potentially offers substantial advantages. However, most of these benefits, set out in the table (below), are only secured by direct client engagement and action, and therefore may not be secured by all clients following a CM strategy. As a result, careful consideration of these advantages and disadvantages must be undertaken on a project and client-specific basis, to ensure that they are relevant to a client’s decision making.

Integration of design and construction skills

• Full control over design including incorporation of design by specialist contractors

• Early appointment of construction advisers and specialist trade contractors

• Ability of client to influence the selection of trade contractors.

• One-to-one contractual relationships

• Management focus on programme, sequencing and buildability

• Client ownership of tendering and contractual arrangements

• Opportunity to package the work to suit the capability of the trade contractors and to manage on-site