THE DIFFERENCE BETWEEN A GENERAL CONTRACTOR AND A CONSTRUCTION MANAGEMENT COMPANY

Dana on September 16, 2020

THE DIFFERENCE BETWEEN A GENERAL CONTRACTOR AND A CONSTRUCTION MANAGEMENT COMPANY

the differences between a general contractor and a construction management company
 

The difference between a general contractor and construction management company may not be as apparent to individuals not in the construction industry.  Both can play an important role in construction projects, but their differences may be the decision maker when it comes to each individual project.  

SIMILARITIES

There are two similarities that come to mind when we speak about general contractors and construction management teams.  Both general contractors and construction managers are responsible for coordinating – be it employees or subcontractors, to complete the job at hand.

Secondly, both manage the expectations of the asset owner and ensure that the project is completed on time and within the scope of work set forth.  

DIFFERENCES

There are many differences between the two, some easy to identify and others that are more apparent once pointed out.

The construction management team is more of a liaison between the owner of the project and the engineers, architects, and subcontractors.  They assist in creating the budget, timelines, and once onsite, provide supervision of the subcontractors.  The responsibility is high-level coordination whereas the general contractor’s is both the high-level coordination and the physical construction.

A general contractor not only is a collaborative partner with the owner, they also work alongside the engineers, architects as well as manage and coordinate their staff to complete each step of the construction process.  They are in charge of the day-to-day onsite operations of the project at hand.  

Construction management companies customarily charge a flat fee for their services, whereas a general contractor, such as Adivo Construction, offers a cost per unit pricing structure.  

the differences between a general contractor and a construction management companyAdivo Construction, a national general contractor, provides all of the services of a construction management team and general contractor in one package.  The in-house executive, accounting and legal team work hand-in-hand with the field, asset owner’s lender, and designers.  

We have our own team of Adivo employees that work on our job sites.  Each team member possesses a particular skill, whether it is plumbing or electrical, roofing or painting.  A jobsite supervisor lives onsite to manage the team, ensuring everything is running smoothly.  This allows for peace of mind for the asset owner, especially if they do not live in the vicinity of the project.  The supervisor completes all permitting and inspection scheduling and walks as well as weekly walks with the owner or management team onhand.  Weekly reporting is distributed to all parties to ensure everyone is updated, along with projections for completion dates.

Adivo prides themselves on being a “one stop shop” and exemplifying the proven successful ability to both manage and complete the job.   

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