Construction projects, whether big or small, can be complicated to manage. They involve a number of different parties and tasks, all of which must come together smoothly for the project to succeed. To make things more difficult, construction projects have unique challenges that aren’t present in other types of business endeavors. A commercial construction project can be a long and complex process, especially if it’s your first time managing one. There are many steps involved, each with their own challenges and risks. If you’re thinking about taking on your first commercial construction project, or you simply want to better manage your next one, read on for some helpful advice.

Know the Basics of Running a Construction Project

Before getting into detailed information about commercial construction projects, it’s helpful to know some general construction project statistics. - Construction is one of the biggest industries in the world. According to the International Federation of Surveyors and Construction Engineers, it’s worth US$13 trillion and employs an estimated 100 million people. - Most projects are commercial in nature, with residential construction accounting for just 35%. - More than 3 billion square meters of commercial space are built every year. - The construction industry is cyclical, with highs and lows occurring approximately every 9 years. - In terms of construction costs, 16% goes toward labor and salaries, 12% is spent on materials, and 32% is for contractor overhead, insurance, and profit. - The average construction project takes 11 months from start to finish. - The average project comes in 50% over budget.

Define Your Project’s Objectives

Before jumping into the nitty-gritty of managing your construction project, you should first define what your overall goals are. For example, are you trying to complete a new construction project on time and on budget? Or, do you want to refurbish an existing structure to increase its value? By clearly defining your project’s objectives, you’ll have a better idea of what to focus on during the construction process. It’ll also make it easier to identify potential issues and solve them before they become serious problems.

Estimate Time and Cost

No matter how thorough your planning and scheduling processes are, there’s always a chance that something could go wrong. If you don’t have contingency funds set aside to account for these potential issues, your project could quickly become unprofitable. For example, let’s say that you budget $5,000 to purchase the materials needed to complete a certain task. If the supplier sends you the wrong products, or they arrive late, you might need to compensate the supplier for their mistake. That could cost you extra money, putting your initial budget at risk. By estimating both the time and cost needed to complete your project, you’ll have greater insight into your overall budget. You’ll also have a better idea of where potential issues might arise and how you can correct them before they become serious problems.

Communicate With All Stakeholders

Construction projects are complex, and the people involved number in the dozens. To make things even more difficult, most construction projects require several different stakeholders, including contractors, subcontractors, designers, suppliers, and more. Additionally, different parties in a construction project have varying degrees of authority. For example, the general contractor might handle all client communication, but the subcontractors might report to the GC’s project management team. Even though you’ll be in charge of managing the construction project, it’s important to communicate with everyone involved. Doing so will help you better understand your project’s issues and challenges, while also giving you insight into what other parties are doing. By regularly communicating with all stakeholders, you’ll be able to keep everyone in the loop. You’ll also be able to correct potential issues before they grow into serious problems that threaten your project’s completion.

Checklist

- Know the basics of running a construction project. - Define your project’s objectives. - Estimate time and cost. - Communicate with all stakeholders. - Use a checklist to stay organized. That’s it! You now know how to run a successful commercial construction project. We hope this article has been helpful in understanding the process. Remember, construction projects can be very exciting. But, they can also be stressful and challenging. By following the advice in this article, you can make sure that your project goes as smoothly as possible.