Unless you’re planning a major home remodel, building an addition or other construction project on your own, you’ll probably need a General Contractor (GC).
GCs are responsible for coordinating the overall process and completion of a construction project. They use precise cost estimation tools and construction project management software to ensure compliance with local building codes and safety standards. Contact General Contractors Lexington KY now!
Construction project managers oversee daily operations at the site and ensure all tasks are completed in accordance with the specifications, design plans and schedule. They are responsible for identifying and responding to on-site issues as they arise, and they also verify that the work is being performed correctly by checking daily construction logs. The construction manager also helps with securing necessary permits, maintaining site safety, disposing of and recycling construction waste and managing budgets for the project.
General contractors typically hire subcontractors to perform specific types of work on the project like plumbing, electrical or concrete. These subcontractors report to the GC and are typically experts in their fields, but they also need to be able to coordinate with other trades to perform their scope of work. This means the GC needs to communicate well and ensure everyone is aware of their roles and responsibilities on the job.
Often, the first step in the process of constructing a home is creating a building plan and getting blueprints and materials take-offs. Then, a contractor will submit a bid for the construction project. A contract may be open bid, meaning anyone can submit a proposal or it may be closed, which means only general contractors are allowed to apply for the contract. The GC then evaluates bids and chooses one to work on the project, depending on their experience, pricing and qualifications.
Project management software is an essential tool for construction project managers to help them keep track of schedules, costs and milestones throughout the construction process. For example, Gantt charts map out major deadlines and highlight which task or construction phase is dependent on others. Additionally, construction project management software enables users to create custom, shareable dashboards and reports.
A GC’s main goal on the job is to make sure the project is finished on time and within budget. They can do this by ensuring their subcontractors are working efficiently and checking daily construction logs for issues that need to be addressed. The GC can also use punch lists to make sure all the necessary finishing touches are complete at project closure.
Scheduling
One of the most important duties a general contractor carries out is scheduling. A construction project can have a lot of moving parts, from delivery of equipment and materials to the arrival of specialized tradesmen. A GC makes sure all the people needed for any given task are on-site when they need to be, which saves time and money.
GCs also plan and coordinate a construction site’s preparation, such as land clearing and utility setup. They make sure a building’s foundation is ready and that any necessary permits are in place before actual construction begins. They then oversee the day-to-day activities of the jobsite, such as the erection of walls, floors, and roofs and the installation of windows, doors, appliances, and fixtures.
Lastly, a GC will ensure that the work done on a project is completed correctly, in a timely manner, and to the client’s specifications. They will review and verify all the work, and they will make sure that payments are issued in a timely manner to subcontractors and suppliers.
While a GC may have their own employees who can perform some of the work, they generally use specialty subcontractors to complete 80-90% of construction projects. Those subcontractors can include plumbers, electricians, roofers, carpenters, and drywall installers. A GC will manage the team of these subcontractors to ensure that each step of the work is completed properly and in a timely manner.
A GC will also prepare budget estimates for clients. They will take into consideration the cost of labor; materials; tools and equipment; permitting; inspections; taxes; and other expenses to come up with an estimate. This helps clients better understand a project’s scope, allowing them to make more informed decisions about the scope of their renovation or build.
Finally, a GC will ensure that the construction process is following proper safety practices and standards. They will make sure that workers are using proper procedures to avoid any injuries or accidents and that they are adhering to all applicable laws. They will also ensure that any specialized work is done by professionals who have the necessary experience and skills to do it right.
Contract Negotiation
General contractors oversee the entire project, so they must be able to negotiate effectively with the client and design team. This includes negotiating the contract price for labor and materials, working out any discrepancies in the scope of work, resolving disputes between the parties, and more. A successful negotiation involves keeping both sides happy, and this is best accomplished by treating the other party as a partner rather than an adversary.
GCs also handle the permit application process and make sure that all the necessary approvals are in place before beginning construction. They vet and select experienced specialists, such as electricians and plumbers, for each job and then supervise their work to ensure that it aligns with project standards and timelines.
When a project starts, GCs are responsible for reviewing the drawings and specifications, determining what will be needed from each subcontractor to complete the scope of work, and then creating a budget that includes allowances and contingencies that account for unknown risks that may arise during construction. They also work out a mark-up on top of the cost of the materials to cover overhead and profit.
Some GCs take on Design Build projects, where they are involved in the planning and design phase alongside a client, but for the most part they will come in after a client hires a designer to oversee the physical construction of a building or renovation. They will then oversee each phase of the construction, including managing different types of construction subcontractors and sourcing high-quality materials at competitive prices.
It’s important for GCs to be familiar with the construction industry as a whole and have experience with the different trades, such as masonry, carpentry, framing, plumbing, etc. GCs should also have business skills to be able to manage their own firm, so they’ll need to understand the ins and outs of construction finance, accounting, payroll, taxes, insurance and more.
Contract negotiations can get contentious, so it’s critical that GCs and their clients have a clear understanding of the goals and expectations of the project before beginning discussions. This will help them avoid misunderstandings, miscommunications and disagreements that can lead to costly delays.
Subcontractor Management
GCs depend on subcontractors to execute specialized scopes of work, and the quality of subcontractor partner performance ripples through project schedules, costs and overall outcomes. During the pre-award phase, GCs curate lists of subcontractors for bid, evaluate specialty contractors and select them with a focus on their experience, safety ratings and references. Once a project is underway, GCs continuously monitor the work of each subcontractor to ensure it aligns with the overall goals and vision of the project.
Effective communication with subcontractors is essential to maintain a productive, collaborative working relationship. As a result, GCs foster open channels of communication with subcontractors to address challenges and concerns promptly. Moreover, open communications foster a mutual understanding of expectations that support the delivery of excellent projects.
While a subcontractor’s qualifications and experience are key to their selection, their commitment to health and safety practices is equally important. GCs regularly evaluate subcontractors for their compliance with a jobsite’s hazard mitigation plan and safety standards. They also review and analyze subcontractors’ insurance coverage, safety practices, procedures and record of accidents. Moreover, they may consider a subcontractor’s commitment to maintaining a safe worksite by providing training for their employees and ensuring that workers wear the proper safety gear and follow all required procedures.
Contract Drafting and Negotiation
Legal counsel helps GCs draft comprehensive subcontract agreements that meticulously stipulate job specifics, work expectations and payment timelines. This process assures clarity, enforceability and legal compliance with local and federal contract law requirements. It also allows GCs to implement risk allocation strategies, such as requiring indemnity provisions and insurance coverage, and establish clear escalation protocols for resolving disputes. Furthermore, GCs negotiate contracts with subcontractors to achieve the best pricing for both parties. They aim to save costs while ensuring subcontractors can cover their operating expenses and maintain profitability.
