Construction Industry Breakout Jay Miller Director of Operations Baker Electric Solar (content assist from Wayne Holley) July 22, 2016 PMI SD San Business Diego Presentation Chapter www.pmi-sd.org 2015 8895 Towne Centre Drive, Suite 105-114, San Diego, CA 92122 1
PMI San Diego Chapter www.pmi-sd.org 8895 Towne Centre Drive, Suite 105-114, San Diego, CA 92122 Agenda History of Project Management Construction Industry Players Short List of Terminology Q&A PMI SD Business Presentation 2015 2
A BRIEF HISTORY OF PROJECT MANAGEMENT ~ By Duncan Haughey 3
A BRIEF HISTORY OF PROJECT MANAGEMENT ~ By Duncan Haughey 2570 BC: The Great Pyramid of Giza Completed 208 BC: Construction of the Great Wall of China 1930 AD: The Hoover Dam Project Completed 4
Giza Pyramid Complex 5
A BRIEF HISTORY OF PROJECT MANAGEMENT ~ By Duncan Haughey 1917: The Gantt chart Developed by Henry Gantt 6
1957: The Critical Path Method (CPM) Invented by the Dupont Corporation 1958: The Program Evaluation Review Technique (PERT) Invented for the U.S. Navy's Polaris Project 7
1962: United States Department of Defense Mandates the Work Breakdown Structure (WBS) Approach 8
A BRIEF HISTORY OF PROJECT MANAGEMENT ~ By Duncan Haughey 1969: Project Management Institute (PMI) Launched to Promote the Project Management Profession over4,500 years AFTER the Giza Pyramids!!!! 9
A BRIEF HISTORY OF PROJECT MANAGEMENT ~ By Duncan Haughey 1984: Theory of Constraints (TOC) Introduced by Dr. Eliyahu M. Goldratt in his Novel "The Goal" 1986 Scrum Named as a Project Management Style 1987: A Guide to the Project Management Body of Knowledge (PMBOK Guide) Published by PMI 1989: Earned Value Management (EVM) Leadership Elevated to Undersecretary of Defense for Acquisition 1998: PMBOK Becomes ANSI Standard 2001: The Agile Manifesto Written 2012: 5th Edition of PMBOK Guide Released 10
Typical Construction Industry Players Developer/Owner Architect/Engineer General Contractor Subcontractor Authority Having Jurisdiction (AHJ) Professional and Trade Associations Terminology 11
Developers/Owners Developers buy land, finance real estate deals, build or have builders build projects, create, imagine, control and orchestrate the process of development from the beginning to end. 12
Developers/Owners Developers usually take the greatest risk in the creation or renovation of real estate and receive the greatest rewards. Typically, developers purchase a tract of land, determine the marketing of the property, develop the building program and design, obtain the necessary public approval and financing, build the structures, and rent out, manage, and ultimately sell it. 13
Architects/Engineers Architects generally are the lead on the Design Team. Other Engineering disciplines usually report into the Architect. 14
Architects/Engineers Current trend in this area is BIM Building Information Modeling: Traditional building design was largely reliant upon two-dimensional technical drawings (plans, elevations, sections, etc.). Building information modeling extends this beyond 3D, augmenting the three primary spatial dimensions (width, height and depth) with time as the fourth dimension (4D) and cost as the fifth (5D) 15
General Contractors (GC s) A general contractor (main contractor, prime contractor) is responsible for the day-to-day oversight of a construction site, management of vendors and trades, and the communication of information to all involved parties throughout the course of a building project. Sometimes GC s will perform some of the subcontractor trades on a particular job as well..e.g. many GC s are also Framing/Concrete contractors. 16
Subcontractors Mechanical, Electrical, Plumbing (MEP) Pretty much every new construction project includes these trades. Some subcontractors will perform more than one trade. 17
Subcontractors Sometimes a traditional Subcontractor can act as the GC or Prime Contractor. Other Specialties Roofing, Glazier, Landscaping, Framing,. 18
Authority Having Jurisdiction (AHJ) 19
Authority Having Jurisdiction (AHJ) AHJ is the entity that has jurisdiction over the land that the project is being built on. Cities & Counties are the most common Federally owned property (Military bases, US Government buildings, etc.) act as their own AHJ regardless of where they are located. Tribal Lands are sovereign and also act as their own AHJ AHJ reviews plans, issues Permit and inspects the work to confirm Building and Safety standards are met. Some projects require additional entities (EPA, Coastal Commission, etc.) to approve before the AHJ will approve. 20
Authority Having Jurisdiction (AHJ) 21
Associations and Organizations American Institute of Architects (www.aia.org) 22
Associations and Organizations 23
Associations and Organizations Construction Specifications Institute (www.csinet.org) Standardized specifications for all aspects of building materials and methods Construction Management Association of America (www.cmaanet.org) Construction industry s equivalent of PMI. CMAA/CMCI administers the Certified Construction Manager (CCM) Certification. 24
Terminology Common Delivery Methods Design-Bid-Build(DBB) The traditional U.S. project delivery method, which customarily involves three sequential project phases: design, procurement, and construction. Construction Management At Risk (CMAR) A project delivery method in which the Construction Manager acts as a consultant to the owner in the development and design phases, but assumes the risk for construction performance as the equivalent of a general contractor holding all trade subcontracts during the construction phase. This delivery method is also known as CM/GC. Design-Build (DB) A project delivery method that combines architectural and engineering design services with construction performance under one contract Integrated Project Delivery (IPD) A project delivery method that contractually requires collaboration among the primary parties owner, designer, and builder so that the risk, responsibility and liability for project delivery are collectively managed and appropriately shared. 25
Terminology Some Common Terms RFP RFI Submittals CO s Liens and Releases Public Jobs/Prevailing Wage LD s 26
Q&A 27