Abstract
Project management primarily consists on managing a contract between the owner and the entities charged with the higher-level portions of the project scope, namely: financing, design and development. To this end, this chapter illustrates some of the most used delivery systems and presents the tradeoffs involved in different contracting mechanisms, with focus on risk-sharing and incentive issues. The various contract architectures are depicted as decomposed into three main components: a delivery system, a payment mechanism, and an award method. At the end, the way that these elements can be put together to form a suitable contract for diverse situations is discussed.
This is a preview of subscription content, log in via an institution to check access.
Access this chapter
Tax calculation will be finalised at checkout
Purchases are for personal use only
Notes
- 1.
The Construction Manager is often termed as a “Management Contractor” in the UK.
References and Additional Resources About Contract Organization
American Management Association (1986) The contracts management deskbook, revised edn. New York, NY
Anderson S, Oyetunji A (2003) Selection procedure for project delivery and contract strategy. Construction Research 1–9
Bennet J (1991) International construction project management: general theory and practice. Heinemann, Butterworth, pp 351–353 and 356–377
Clough RH, Sears GA (1994) Cocvnstruction contracting, 6th edn. Wiley, New York, NY
De Marco A, Rafele C (2008) Aligning construction project participants on appropriate contract arrangement. Proceedings of 22nd IPMA World Congress, Rome, 9–11 November 2008, vol 1, pp 195–200
Dorsey RW (1997) Project delivery systems for building construction. Associated General Contractors of America, New York, NY
Fisk ER (2003) Construction project administration, 7th edn. Pearson Education, Upper Saddle River, NJ
Gordon CM (1991) Compatibility of construction contracting methods with projects and owners. MIT MS thesis, http://hdl.handle.net/1721.1/12955
Gordon CM (1994) Choosing appropriate construction contracting method. J Construc Engin 120(1):196–210
Hendrickson C (2008) Project management for construction, 2nd edn. Carnegie Mellon University, Pittsburgh, PA, http://www.ce.cmu.edu/pmbook/
Kavanagh TC, Muller F, O’Brien JJ (1978) Construction management a professional approach. McGraw-Hill, New York, NY
Macomber JD (1989) You can manage construction risk. Harv Bus Rev 67(2):155–161
Nicolas JM, Steyn H (2008) Project management for business, engineering, and technology, 3rd edn. Elsevier, Burlington, MA
Oyetunji A, Anderson S (2002) Project delivery and contract strategy. Research Report 165-12. Construction Industry Institute, Austin, TX
Thompson L (2004) Mind and heart of the negotiator. Pearson Academic, Upper Saddle River, NJ
Author information
Authors and Affiliations
Corresponding author
Rights and permissions
Copyright information
© 2011 Springer-Verlag Berlin Heidelberg
About this chapter
Cite this chapter
De Marco, A. (2011). Contract Organization. In: Project Management for Facility Constructions. Springer, Berlin, Heidelberg. https://doi.org/10.1007/978-3-642-17092-8_3
Download citation
DOI: https://doi.org/10.1007/978-3-642-17092-8_3
Published:
Publisher Name: Springer, Berlin, Heidelberg
Print ISBN: 978-3-642-17091-1
Online ISBN: 978-3-642-17092-8
eBook Packages: EngineeringEngineering (R0)