Chapter 2

The ConstructionBusiness Environment

Key Terms

• Addenda

• Agency CM

• Agreement

• American Institute of Architects (AIA)

Key Terms

• Approved Set

• As-builts (record set)

• Associated General Contractors (AGC)

• Best value

Key Terms

• Bid set

• Building codes

• CM at Risk

• Commercial building construction

Key Terms

• Construction Specifications Institute (CSI)

• Contract set

• Delivery system

• Design-bid build

Key Terms

• Design-build

• Design development

• Engineering construction

• Engineers’ Joint Contract Documents Committee (EJCDC)

Key Terms

• General conditions

• Industrial construction

• Integrated services delivery

• MasterFormat

Key Terms

• Owner-builder

• Planning codes

• Preconstruction services agreement

• Project delivery system

Objectives

• Extent construction industry affects national economy

• How construction projects originate and evolve

• Fundamental project delivery systems and explain

Objectives

• Principal components of a contract for construction/role each plays

• Challenges a builder faces when using construction drawing

I. Types of Construction

A. Residential

B. Commercial Building

C. Engineering

D. Industrial

II. Government Influences

A. ICBOB. BOCAC. SBCCID. IBCE. AccessibilityF. Energy Use

III. Delivery Systems – Best Value

A. Qualifications-Based SelectionB. Design-bid-buildC. CM at RiskD. Design-buildE. Owner-BuilderF. Agency CMG. Program Management

V. The Construction Contract

A. AgreementB. General and Supplementary

ConditionsC. DrawingsD. SpecificationsE. Miscellaneous Documents

VI. Causes of Errors and Omissions in Drawings and Specifications

A. Project complexityB. The design professional’s

project workloadC. Inadequate staffD. Inadequate coordination of

designerE. Severe time constraints

F. Designers lack of experienceG. Inadequate compensation of

designerH. Owner changesI. Understanding how changes

affect entire projectJ. Poor quality control systems

VII. Current Concerns in Design Field

A. Lack of construction knowledgeB. Lack of knowledge of past

standardsC. EducationD. Poorly produced documentsE. Lack of will to correct problems

VIII. Drawing Issues

A. Duplications

B. Omissions

C. Discrepancies

IX. Contractors Responsibilities

A. Estimating

B. Operations and Administration

C. Interpreting Drawings and Specifications