Successful risk management strategy should start in early planning.
Identifying Risks and Exposures on Construction Projects
Construction can be precarious. Budget-busting design omissions, unforeseen conditions and everything in between can affect a project’s bottom line; for this reason, construction project risk management is one of the most vital functions of cost estimation. Risk [...] read more
Top 10 Benefits of Professional Construction Management
Thе bеnеfitѕ of professional соnѕtruсtiоn mаnаgеment include highly skilled рrосеѕѕes that fасilitаtе рlаnning, сооrdinаtiоn аnd соntrоl оf а рrоjесt frоm inсерtiоn tо соmрlеtiоn. A professional construction manager will bаlаnсе thе соmреting nееdѕ оf соѕt, ѕсоре аnd [...] read more
Why Builders Risk Insurance is Important for Project Owners
Insurance coverage is very important for all businesses, including construction companies and building owners. Business general liability insurance covers most of the liabilities a business will have, but it doesn’t cover construction work that is in [...] read more
Unforeseen Conditions: Hazards That Can Derail a Renovation Project
Renovation projects are an exciting opportunity to breathe new life into a building.Lamentably, they're also prone to shocking cost overruns and time delays that stem from defects hiding in a building's walls or structure. Apart from [...] read more
The Benefits of Skillful Contract Administration
How to Optimize your Construction ProjectIf you're planning a construction project, you may feel overwhelmed by all of the clauses of the construction contract. Yes, they are complicated. But you don't have to manage them alone. [...] read more
Why RFIs are a Vital Communication Tool in Construction
To those working in construction, it's no secret that Requests for Information (RFIs) are an integral part of the construction administration process for large projects. They're also unavoidable. Contract documents will always raise questions and concerns. [...] read more
A successful risk management strategy should start in the early planning phase and continue through every aspect of a construction project. Risk management focuses on anything that can wrong on a project and is based upon balancing cost and perceived risk. Risk differs according to the project, the owner, the team and project delivery method, among a myriad of other variables. Risk assessment planning requires a high level of skill and experience best performed by an experienced construction professional to protect the owner from liability and establish the strategic framework for the project.
Every decision made in a project carries cost and schedule implications that must be identified and analyzed to assess potential risk exposures. A professional construction manager will assess each potential team member. He will review the developing design for potential conflicts. He will continually evaluate and shape the project plan in order to ensure work remains consistent with the original intentions and budget. He will consider the owner’s experience and capabilities. He will make recommendations on project insurance that provides comprehensive coverage with policy terms and limits reasonably sufficient to cover potential losses. A professional construction manager will ensure quality and safety, reduce change orders and cost overruns and limit liability.