Construction manager at-risk
Construction manager at-risk (CMAR) is a type of construction project delivery method that can offer an alternative to the traditional process.
The role of the construction manager in the CMAR process is to act as a consultant to the client during the pre-construction design development stages, and then as a construction manager (and sometimes as the contractor) during the construction stages. The construction manager commits to deliver the project within a guaranteed maximum price (GMP), and any costs that exceed the GMP which are not considered to be change orders are the liability of the construction manager. As a result, the construction manager will become very involved in every stage of the project, taking action to keep costs under control.
Before the completion of the design, the construction manager is involved with estimating the costs. This increases the flexibility and adaptability of the design and scope, since the project can be modified as cost, schedule and quality considerations are balanced. The client is also able to make adjustments before pricing is fully completed. This tends to make projects more collaborative, and design solutions tend to have better 'buildability'.
The CMAR delivery method is particularly suited to larger and more complex projects that are more difficult to define prior to construction beginning and have a high chance of changing in scope. It is also suitable for projects that are of a high technical complexity, contain multiple phases, or where the schedule requires that construction begins before the design is complete.
The drawbacks of the CMAR process is that the construction manager may lose out financially if cost over-runs occur. Also, they may compensate for the risk of financial exposure by changing the works to fit the GMP.
The client remains at risk for any exclusions or inconsistencies in the contract documents, as well as the risk that they may not receive the best possible bid from contractors if the GMP is established before the design phase begins.
[edit] Related articles on Designing Buildings
- Construction manager.
- Construction management contract.
- Construction management: outline work plan.
- Design and build contract.
- Guaranteed maximum price.
- How to become a construction manager.
- Integrated project delivery (IPD).
- Management contractor.
- Principal contractor.
- Procurement route.
- Types of contractor.
Featured articles and news
New apprentice pay rates coming into effect in the new year
Addressing the impact of recent national minimum wage changes.
EBSSA support for the new industry competence structure
The Engineering and Building Services Skills Authority, in working group 2.
Notes from BSRIA Sustainable Futures briefing
From carbon down to the all important customer: Redefining Retrofit for Net Zero Living.
Principal Designer: A New Opportunity for Architects
ACA has launches a Principal Designer Register for architects.
A new government plan for housing and nature recovery
Exploring a new housing and infrastructure nature recovery framework.
Leveraging technology to enhance prospects for students
A case study on the significance of the Autodesk Revit certification.
Fundamental Review of Building Regulations Guidance
Announced during commons debate on the Grenfell Inquiry Phase 2 report.
CIAT responds to the updated National Planning Policy Framework
With key changes in the revised NPPF outlined.
Councils and communities highlighted for delivery of common-sense housing in planning overhaul
As government follows up with mandatory housing targets.
CIOB photographic competition final images revealed
Art of Building produces stunning images for another year.
HSE prosecutes company for putting workers at risk
Roofing company fined and its director sentenced.
Strategic restructure to transform industry competence
EBSSA becomes part of a new industry competence structure.
Major overhaul of planning committees proposed by government
Planning decisions set to be fast-tracked to tackle the housing crisis.
Industry Competence Steering Group restructure
ICSG transitions to the Industry Competence Committee (ICC) under the Building Safety Regulator (BSR).
Principal Contractor Competency Certification Scheme
CIOB PCCCS competence framework for Principal Contractors.
The CIAT Principal Designer register
Issues explained via a series of FAQs.