What is Construction Management? Construction Management Definition & Meaning.

GlossaryAugust 14, 2021

Construction management is a term that has progressively gained popularity in the construction industry. But what is construction management in the first place? In general terms, construction management is a service that oversees and manages construction projects from beginning to end (planning, design, and construction phases) by utilizing various project management methods and techniques.

Managing the three primary parameters of a project in question – quality, cost, and delivery time – is the primary goal of construction management as a process. Construction management as a whole is also compatible with several different preexisting project delivery systems, such as a design-build system.

Some of the more experienced construction managers are also hired to work at capital projects – massive and costly construction projects on an extraordinary scale, such as military infrastructure, commercial real estate, industrial facilities, transportational infrastructures, and more.

Features and functions of construction management

As the construction management definition suggests, the main cornerstone of it all is a person who holds a construction manager’s position. A construction manager’s list of responsibilities includes time management, quality management, cost management, decision making, public safety, human resources management, work drawings management, and more.

As for the process itself, it’s possible to figure out four primary functions of construction management as a whole, including:

  1. Increasing resource efficiency via effective materials, equipment, and labor procurement.
  2. Setting up various operations throughout the entire construction process and implementing them at various stages of a construction project – from pre-design to post-construction maintenance.
  3. Figuring out plans and objectives of a construction project in question, including a project’s scope, schedule, budget, and a list of participants.
  4. Resolving potential conflicts by developing various measures to prevent or circumvent any problems.

Construction types

There are seven main types of construction that can take advantage of construction management as a process: industrial, residential, commercial, institutional, agricultural, environmental, and heavy civil.

Industrial construction is represented by manufacturing plants, power plants, oil refineries, and other buildings and/or items used to produce or store products. Residential construction includes various houses, apartments, low-rise housing, small offices, and so on.

Trade, private commerce, and services are the main targets of commercial construction, represented by offices, shopping centers, casinos, banks, golf courses, and such. On the other hand, the institutional construction category represents the needs of various public organizations (including the government itself). It covers multiple building types, from police stations and museums to hospitals and governmental buildings.

Anything connected with agricultural purposes gos to the agricultural construction category, including storage silos, barns, animal sheds, specialized fencing, etc. Environmental and heavy civil categories have been treated as the same for a while. Still, they now are separate categories – with heavy civil construction represented by various transportational infrastructure (roads, tunnels, airports, etc.), and environmental construction covering water treatment plans, storm sewers, waste management facilities, and some other specific examples.

Construction project stages

While many different nuances might change this order, it’s possible to figure out four main stages of a regular construction project – design, pre-construction, procurement, and construction. The construction management department monitors each of these stages, which makes necessary adjustments and monitors the overall efficiency.

The design stage focuses mainly on ensuring that the project’s design meets all of the requirements and regulations. This stage also covers the bidding process. This is where contract documents are drafted, design development is performed, and designs, in general, are finalized before the next step begins.

The next step of the process is the pre-construction. Here the project team is created, outfitted with a project manager, a field engineer, a contract administrator, and other specialists. A thorough construction site investigation is also performed on this project stage.

Another important stage is procurement, which focuses on getting the necessary materials, equipment, and labor, via a general contractor or subcontractors. Subcontractors specialize in one specific type of construction material or work, including concrete, glass, etc.

Construction is the final part of this process, covering the actual construction process, the pre-construction meeting, the set-up before the process starts, and progress payments for the job. The most common use case is for payments to be made on a monthly basis.

Potential issues during and after a construction project

Dust and mud are two significant issues that construction projects have to compensate for. Dust is created by construction vehicles driving around the construction site and/or moving large amounts of earth. A lot of mud is created by attempting to reduce the amount of dust by using a water truck that sprays water over the site, producing an entirely different batch of problems. The problem of dirty roads can also be compensated for by using a street sweeper on the streets surrounding the construction site.

Other potential problems are mostly tied with environmental effects, such as:

  • Wetlands – Both erosion and water flow are not supposed to be affected by the construction process, meaning that any liquid spills in the process must be strictly monitored.
  • Vegetation – Some specific protected trees or other vegetation types can be found on the construction site, requiring a fence or a security tape to mark the importance of this vegetation assuring that no harm is done to it.
  • Water pollution – Large amounts of soil that are extracted from their original location might cause several varying environmental problems in the future; a good example of such a problem is runoff, which can potentially pollute lakes, rivers, and other water bodies with harmful pollutants.
  • Various artifacts – Both historical and cultural artifacts located during the construction process should result in the entire production shutting down until the artifact in question is examined and removed from the area in its entirety.
  • Endangered species – A construction site must be shut down for an unspecified amount of time if an endangered species has been found on that site; the shutdown lasts as long as it takes for local authorities to decide on the species in question.

Resolving disputes and documenting activity in a construction project

Regular project meetings have to be a part of the project’s schedule, mainly discussing the progress of the entire project and any potential problems with it. A construction manager is a necessary participant in each of these meetings. Each discussion, as well as any changes or decisions that have been made during discussions, have to be properly documented.

There are three types of documents used to keep track of the daily changes of a specific project – daily field reports, logs, and diaries.

Daily field reports are your traditional formal way of recording activities on the construction site. Some of the parameters included in daily field reports are deliveries, activities, weather conditions, equipment used, visitors, and more.

Logs are there to keep track of all the routine, regular activities, including delivery logs, RFI logs, phone logs, etc.

Project diaries are supposed to represent daily routine work in the words of a project team member. It is expected of each team member to keep and write in such a diary regularly. These diaries can act as the means of solving disputes, and handwritten diary entries can be used in court as evidence.

Speaking of disputes, there are three main ways that the disputes can be resolved – mediation, mini-trial, and arbitration.

As the name suggests, mediation relies on a third party – a mediator – to resolve various disputes. The main goal of a mediator is to help conflicting parties reach an agreement of sorts. This way is the least time-consuming out of the three and does not involve any attorneys in the process.

Mini-trial is exactly what it implies – a miniature trial that is organized for the sole purpose of resolving a specific agreement. A mini-trial, by nature, is somewhat more time- and money-consuming if compared to mediation. It involves an attorney or advisor (on a paid basis) and usually takes place in an informal setting.

The original purpose of a mini-trial is the same as with mediation – to help with reaching an agreement between disputing parties. Still, it is important to mention that any arrangement that is reached with a mini-trial is not legally binding and can be easily broken.

Arbitration is the most time and effort-consuming method of solving a dispute. The entire dispute is reviewed in a setting similar to an official court – with attorneys,  witnesses, arbitrators, and so on. Once all of the evidence is presented, the arbitrator is supposed to provide a binding final decision that cannot be broken by any of the disputing parties.


Construction management is a sophisticated process that deals with the entirety of the construction process, primarily focusing on effective management. The nature of construction management as a whole remains the same, even though there are many different types of construction, each with its list of nuances and shortcomings.

About the author

James Ocean

BIM/VDC Specialist. James Ocean is Head of BIMspiration at Revizto and keeps everything moving onwards and upwards. From supporting and teaching our internal team as well as our clients, James shows us the ins-and-outs and how to best leverage Revizto to maximize workflows, cut costs, and get all types of projects through the finish line.

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What is Construction Management? Construction Management Definition & Meaning. Construction management is a relatively common term in the construction industry, although the exact definition might not be apparent for everyone. In this article, we’re attempting to clear up the confusion about the purpose of construction management, as well as it’s nuances. 2021-08-14
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