As the construction industry moves towards a more digitized approach to project management, understanding and successfully executing all facets of the process can become an exhaustive task.

This guide at Royal Estimation will provide an overview of construction project management processes from start to finish. Whether you’re brand new to the world of construction project management or simply need a refresher course on the basics, this post has everything you’ll need to be well-equipped for success.

Construction projects require careful management, planning, and organization to ensure the successful completion of the project. Having a clear vision and understanding of each stage in the process can help guarantee that deadlines are met, budgets remain on track and that quality is maintained. It entails allocating resources, developing schedules, managing workers, coordinating with subcontractors and vendors, and implementing safety protocols.

Construction Project Management Processes:

The construction project management process typically consists of five stages: initiation, planning, execution, monitoring and control, and closure.

1. Project Initiation:

The initiation stage marks the beginning of a construction project. It involves defining the scope of work, creating a budget and timeline estimates, identifying stakeholders, gathering resources needed to complete the project, including materials and equipment, as well as selecting a contractor or team members who will be responsible for carrying out the project. During this stage, it is important to identify potential risks so they can be addressed before any work begins.

2. Project Planning:

The planning stage involves creating an overall plan to guide the project. It entails dividing the work into smaller tasks, assigning team members to those tasks, and mapping out a timeline for when each task should be completed. This stage also requires obtaining necessary permits and contracts with subcontractors or suppliers who will be providing materials or services related to the project.

3. Project Execution:

Execution entails carrying out all planned activities necessary for completing the project according to specifications provided in earlier stages. During this phase, it’s important to track progress and communicate changes or issues with stakeholders.

4. Project Monitoring and Control:

Monitoring and control involve making sure the project is proceeding according to plan. This includes tracking milestones, conducting reviews, adjusting budgets or timelines when needed, as well as ensuring quality standards are met.

5. Closure:

Lastly comes the closure stage where final deliverables are submitted and all project documents are archived. The focus of this phase is on documentation and communication of the results so that lessons learned can be incorporated into future projects.

The Role of a Construction Project Manager:

A construction project manager plays a pivotal role in ensuring the success of any construction project. He or she is responsible for overseeing the design, budgeting, scheduling, and coordination of all aspects of the project.

1. A construction project manager oversees the full scope of a construction project from start to finish. This includes tracking any changes, coordinating personnel, ensuring safety and quality standards are met, and monitoring progress against the initial plan. 

2. Construction project managers must also manage various resources effectively in order to ensure that projects come in on time and within budget. 

3. They must create detailed plans for each stage of a project, including timelines for completion as well as resource requirements and other details needed to ensure the successful execution of the project. 

4. Construction project managers must also ensure that all applicable standards and regulations are met throughout a project’s duration, such as those related to safety and environmental protection. 

5. They are responsible for communicating regularly with all stakeholders involved in the project, including clients, contractors, and architects. This includes keeping everyone up-to-date on the status of the project and addressing any issues that arise along the way. 

6. Construction project managers must also be prepared to resolve any conflicts that arise between stakeholders or contractors during the course of the project.

Contract Types in Construction Project Management:

The different types of contracts used in Construction Project Management are typically based on the size, complexity, and duration of the project. 

1. Lump Sum Contracts:

Lump sum contracts are fixed-price agreements where contractors are paid a predetermined amount for completing an entire project following specific criteria set forth by the owner. This type of contract eliminates uncertainty related to labor costs, materials pricing, and other variables that may arise during construction. 

2. Cost-plus Contracts:

Cost-plus contracts are arrangements where contractors receive additional payments based on actual expenses incurred for completing certain phases of a project rather than a predetermined lump sum payment like in a lump sum contract. 

3. Unit Price Contracts:

Unit price contracts are generally used for large construction projects where a base price is established for each item or task in the scope of work, regardless of the quantities required for completion. The owner pays additional charges based on unit prices included in the contract whenever extra materials are needed during construction.

4. Guaranteed Maximum Price:

A guaranteed maximum price (GMP) is a contract type used in construction project management. Under this arrangement, the contractor and owner agree on an all-inclusive cost for completing the entire scope of work. 

The 4 Stages of Construction Project Management:

The four phases listed below might help you organize a successful construction project management project.

1. Design:

A construction project is divided into four stages. It is the project manager’s obligation to ensure that your design complies with all building codes and requirements.

The Concept:

What are the project’s requirements, aims, and objectives? You’ll make judgments based on the project’s size, the construction site, and the actual design of what you’re building. This includes a list for each room or location under consideration, as well as all relevant data.

The Schematic Design:

The schematic design is a sketch that identifies the different parts, materials, sizes, colors, textures, and so on. It covers the layout, elevations, and so on, as well as a site plan.

Design Development (DD):

Design development necessitates investigation. What materials should be used? What tools will be required? How much do the materials cost? What exactly is the material take-off?

Once you’ve created a design, you’ll need to develop a bill of quantities by combining information from construction drawings and documentation from the previous stage. 

2. Preconstruction:

The preconstruction phase starts once the general contractor bid is accepted, but before ground is broken. During that time, you’ll want to work on these three steps.

Assign a Project Manager:

If the project manager hasn’t already been determined, you’ll want to establish it now. Sometimes a project manager is on board early and participates in the first stages of a project, while other times they aren’t hired until the design is complete.

Determine the Rest of the Personnel:

Find a contract administrator or the person who helps the project manager. A superintendent is also needed to keep everything on schedule in terms of the materials, deliveries, and equipment. Superintendents are also on-site to deal with construction activities. 

Investigate the Job Site:

Conduct a site analysis to understand the social, climatic, and demographic variables that might affect your construction project. Finally, you’ll need a field engineer, who will be more of an entry-level position dealing with paperwork.

Examine the Job Site:

Conduct a site investigation to learn about the sociological, climatic, and demographic factors that may impact your construction project.

3. Procurement:

You’ve formed your crew and planned the construction and materials required to execute the project. You must now obtain the necessary materials and equipment. Procurement may be the job of the general contractor or subcontractors, depending on the organization.

At this point, you’ll be working with purchase orders, which serve as a contract between the buyer and seller.


Finally, you’re ready to start building! But first, schedule a preconstruction meeting to discuss work hours, material storage, quality control, and site access. Then, gather everyone and proceed to the construction site to set up as needed.

You’ll need to develop a payment schedule as well as a payment delivery mechanism. This information must be made public not simply to meet financial duties, but also to maintain a happy and productive workforce and environment. Make your job orders as specific as possible to avoid misunderstandings between you and your contractors.

The project concludes when the construction is completed and the tenants move into or take control of the place. To make that arrangement formal and enforceable, you must ensure that all of their needs have been completed, and you must usually provide a guarantee period.

With these few points and guidelines in mind, however, you can be sure to stay organized and on top of your construction project. Most importantly, seek assistance if ever needed as help is always available.

You Can Also Read:
What is the difference between remodeling and renovation?
ways to grow your construction company
Benefits of outsourcing quantity takeoffs

Harry Thomas
Harry Thomas

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