- Project plans
- Project activities
- Legislation and standards
- Industry context
- Specialist wikis
Last edited 30 Sep 2020
Management in the construction industry
In general terms, the word 'management' refers to a set of organisational principles and practices relating to the running and planning of a business, project or programme. It involves establishing and following an organisational strategy and coordinating stakeholders, employees and resources to achieve a series of intended objectives.
Management involves the exercise of formal authority within a structured organisational setting directed towards the efforts of other people using systems and procedures.
Management has many applications in construction and the built environment, some of the more common examples of which are set out below.
 Construction management
Construction management is a procurement route in which the construction works are constructed by a number of different trade contractors. These trade contractors are contracted to the client but managed by a construction manager.
For more information see: Construction manager.
 Management contracting
Management contracting is a procurement route in which the works are constructed by a number of different works contractors who are contracted to a management contractor. The management contractor is generally appointed by the client early in the design process so that their experience can be used to improve the cost and buildability of proposals as they develop.
For more information see: Management contractor.
 Commercial management
Commercial management generally refers to the process of overseeing and managing a project's finances. It can also refer to the long-term management of business opportunities that will enable an organisation to develop and grow.
Commercial managers maximise business potential in terms of growth and profitability, while monitoring and controlling internal processes as well as managing external relationships with subcontractors, clients, and so on.
For more information see: Commercial manager.
 Project management
A project manager is a specialist advisor that represents the client and is responsible for the day-to-day management of a project. They seldom participate directly in activities that produce the end result but rather strive to maintain the progress and mutual interaction of the project team in such a way that reduces the risk of failure, maximises benefits and controls cost.
For more information see: Project manager.
 Supply chain management
Supply chain management requires a holistic perspective and a view of organisations as parts of a process. It requires the ability to look beyond organisational boundaries, and a recognition of the interdependence of organisations.
Managing the supply chain involves understanding the breakdown and traceability of products and services, organisations, logistics, people, activities, information and resources that transform raw materials into a finished product that is fit for its purpose.
For more information see: Supply chain management.
 Design management
Design management (DM) is the process of managing design through the project lifecycle, in order that project budgets can be satisfied, programmes achieved, and designs properly co-ordinated and communicated.
For more information see: Design management.
 Risk management
Risk management aims to recognise potential problems as early as possible so that the opportunity for taking effective action is maximised. By looking ahead at potential events that may impact on the project and by putting actions in place to address them, project teams can pro-actively manage risks and increase the chances of successfully delivering a project.
For more information see: Risk management.
 Time management
Time management is the process of organising and implementing a strategy related to the time required for work activities on a project. Effective time management is essential to successfully and efficiently meet budget and programme targets, as well as achieving profitability.
 Change management
Change management refers to the preparation and support that is required in the process of organisational change. It provides a structured approach to helping individuals, teams and entire organisations change their approach, attitude, position and responsibilities within an organisation.
For more information see: Change management
 Contract management
Contract management is the process of managing contracts that are made as part of the delivery of a built asset. It involves the creation, analysis and execution of contracts by the parties to those contracts to ensure operational and financial performance is maximised, and risks are minimised.
For more information see: Contract management.
 Resource management
Resource management is the process of planning the resources necessary to meet the objectives of a project. Without proper resource management, projects can fall behind schedule, or can become unprofitable. The objective is to ensure the adequate and timely supply of resources, whilst at the same time maximising the utilisation of resources between projects.
For more information see: Resource management.
 Human resource management
Human resource management (HRM) is the process of managing people within an organisation. In construction, HRM is primarily concerned with ensuring that a project has sufficient human resources, with the correct skill-sets and experience, for the project to be successfully completed.
For more information see: Human resource management.
 Waste management
Waste management concerns how materials will be managed efficiently and disposed of legally during the construction of the works, and how the re-use and recycling of materials will be maximised.
For more information see: Waste management and Site waste management plan.
Designing Buildings Wiki has a wide range of other articles relating to management, including:
- A new theory for managing large complex projects.
- Code of practice for project management.
- Code of practice for programme management.
- Construction environmental management plan.
- Construction inventory management.
- Guide to managing construction projects.
- How to become a construction manager.
- How to manage construction plant.
- Leadership on design and construction projects.
- Leadership styles.
- Logistics management in construction.
- Management structure for construction clients.
- Managing the procurement process.
- Performance management plan.
- Practice management.
- Relationship management.
- Safety management.
- Total quality management in construction.
- Value management.
Featured articles and news
What to do with troublesome statues?
A tricky political issue.
Designing Buildings content from and for its users
Discover more on how simple and quick it is to publish an article.
Recent users articles; Timber and retrofit
Which products, for what reasons.
Recent users articles; Digitally Built Britain
ISO 19650, BIM and data management.
Recent users articles; Interim valuations and payments
Applications, notices ad points to remember.
Recent users articles; What is H-Scaffolding?
Elements, features and areas of use.
Recent users articles; what are NZEBs ?
How do they contribute to Sustainable Development.
The most viewed articles in 2022 on Designing Buildings
Written in the past 6 months, one year and beyond.
Second stairs for new tower blocks
Government launches a 12-week consultation
Happy Festive Holidays to all our users from here at DB
On the first day of Christmas DB for the Industry...
The psychological power of the built environment.
IHBC signpost update from Lords Committee on climate
Government must support behaviour change to meet targets.
Reflecting on 2022 into 2023 with the APM WiPM SIG
Women in Project Management conference 2022.
Types, colours and processing of hydrogen on DB
Grey, green, purple, blue, yellow, turquoise, brown and black.
The Kyoto Protocol a brief reminder on DB
Adopted in 1997, ratified in 2005..
Europe moves to phase out electrical SF6 gas
Sulphur hexafluoride the world’s most potent GHG.
Biomass boiler market on the rise in Europe
Proving to be a driver for decarbonisation targets.