What Is the Difference between Management Contracting and Construction Management

What is the Difference Between Management Contracting and Construction Management?

When it comes to construction projects, there are several different types of project management options available. Two of the most common are management contracting and construction management. While these terms may appear similar at first glance, they actually refer to distinct approaches to managing construction projects. Let`s take a closer look at each of these management styles and explore the differences between them.

Management Contracting

Management contracting, also sometimes known as construction management contracting, is a type of project management in which the client hires a project manager to act as their representative throughout the construction process. The project manager oversees the construction project on behalf of the client, managing the work of contractors, subcontractors, and other stakeholders. The project manager typically provides advice to the client on matters such as project scope, cost, and timeline, and works to ensure that the project is delivered on time and within budget.

One key feature of management contracting is that the project manager is typically brought on board at an early stage of the project. This allows them to provide valuable input and advice during the planning stage, helping to identify potential issues and suggesting ways to mitigate them. The project manager also typically works closely with the client to identify their specific needs and goals for the project, and to develop a project plan that meets those needs.

Construction Management

Construction management, on the other hand, is a project management style in which the client hires a construction management firm to oversee the entire construction project. The construction manager works to coordinate the work of all the different contractors involved in the project, including general contractors, subcontractors, and suppliers. They are responsible for ensuring that the project is delivered on time, within budget, and to the desired quality standards.

Like management contracting, construction management involves working closely with the client to identify their needs and goals for the project. However, construction management typically involves more hands-on involvement in the actual construction process. The construction manager may provide input on building design, materials selection, and other aspects of the construction process. They also typically oversee the work of contractors and subcontractors on the job site, managing the construction process on a day-to-day basis.

Key Differences

So, what are the key differences between management contracting and construction management? While both approaches involve project management by a third party, management contracting typically involves more advisory input and less hands-on involvement in the construction process. In contrast, construction management involves more direct involvement in the construction process, with the construction manager taking a more active role in overseeing the work of contractors and subcontractors.

Another key difference is the timing of when the project manager or construction manager is brought on board. Management contracting typically involves bringing on the project manager early on in the planning process, whereas construction management may involve hiring the construction manager later in the process, after the design and planning phases have been completed.

Ultimately, the choice between management contracting and construction management will depend on the specific needs and goals of the construction project in question. Whether you opt for management contracting or construction management, you can rest assured that an experienced project manager will help ensure that your construction project is completed on time, within budget, and to the desired quality standards.