View

What is Construction Management at Risk (CMAR)?

Construction Management at Risk (CMAR): Enhancing Project Collaboration and Efficiency

Construction Management at Risk (CMAR) is a project delivery method widely used in the construction industry to improve collaboration, efficiency, and risk management during the construction process. CMAR involves the early involvement of a construction manager during the project's design phase, which fosters a collaborative environment and allows for better planning and problem-solving. This approach enables project owners, architects, and contractors to work together seamlessly, leading to successful project outcomes and higher client satisfaction.

Understanding Construction Management at Risk

CMAR is a hybrid project delivery method that combines elements of both the traditional Design-Bid-Build approach and Construction Management (CM) method. It involves two distinct phases:

  1. Pre-Construction Phase: During this phase, the project owner hires a construction manager (CM) or a CM firm based on their qualifications and experience. The CM becomes an integral part of the project team, collaborating with the owner, architects, engineers, and other stakeholders during the project's design and planning stages.
  2. Construction Phase: Once the design phase is complete and the construction documents are finalized, the CM shifts into the construction phase. The CM is responsible for overseeing the construction process, managing subcontractors, ensuring quality, and adhering to the project schedule and budget.

The CMAR Process

The CMAR process involves several key steps that foster collaboration and ensure project success:

  1. Early Involvement: The CM is engaged during the project's early stages, allowing them to contribute their expertise to the design development and offer value engineering suggestions. This early involvement helps identify potential challenges and develop effective strategies for construction.
  2. Cost Estimation and Budgeting: The CM provides cost estimation services, offering valuable insights into the project's budget during the design phase. This ensures that the project aligns with the owner's financial goals and avoids costly design changes during construction.
  3. Subcontractor Prequalification: The CM helps prequalify subcontractors, ensuring they have the necessary qualifications, experience, and financial stability to perform their tasks effectively.
  4. Constructability Review: The CM conducts constructability reviews, identifying potential design conflicts or issues that could impact construction efficiency. This early identification helps avoid costly changes during construction.
  5. Risk Management: The CM assesses and manages project risks, identifying potential issues and developing contingency plans to address them effectively.
  6. Collaborative Decision-Making: Throughout the project, the CM fosters a collaborative environment, facilitating communication and decision-making among all project stakeholders.
  7. Value Engineering: The CM explores cost-saving alternatives and value engineering solutions to optimize the project's value without compromising quality.
  8. Construction Oversight: During the construction phase, the CM closely monitors the project's progress, quality, and safety, ensuring it adheres to the established standards and contractual requirements.
  9. Project Completion: The CM works closely with the project team to ensure a smooth handover of the completed project to the owner and facilitates the resolution of any outstanding issues.

Benefits of Construction Management at Risk

CMAR offers various advantages over traditional project delivery methods:

  • Collaborative Approach: CMAR promotes collaboration among all project stakeholders, including the owner, design professionals, and contractors. This collaboration leads to better decision-making, improved problem-solving, and reduced conflicts during construction.
  • Early Cost Certainty: By involving the CM in the pre-construction phase, project owners gain early cost estimation and budgeting insights, providing them with cost certainty before construction commences.
  • Efficient Project Delivery: CMAR's early involvement helps identify and address constructability issues and design conflicts before construction, leading to smoother project delivery and reduced change orders.
  • Risk Mitigation: The CM's involvement in risk management helps identify and mitigate potential project risks, reducing the likelihood of delays, cost overruns, and other construction-related issues.
  • Quality Assurance: The CM's oversight throughout the construction phase ensures that the project adheres to the highest quality standards and meets the owner's expectations.
  • Timely Problem-Solving: Early collaboration and communication enable timely problem-solving and the resolution of potential issues before they escalate into costly challenges.
  • Enhanced Project Control: CMAR provides project owners with greater control over the construction process, as they have a partner who is equally invested in project success.

Considerations for CMAR Implementation

While CMAR offers numerous benefits, successful implementation requires careful consideration of several factors:

  • Selection of the Construction Manager: Choosing an experienced and qualified construction manager is crucial for the success of the CMAR process. Their expertise, reputation, and collaborative approach are essential considerations.
  • Clear Communication: Effective communication and coordination among all project stakeholders are vital for successful CMAR implementation.
  • Early Involvement: For optimal results, the CM should be engaged early in the design phase to maximize their contributions to the project's planning and development.
  • Transparent Contractual Arrangements: The contractual agreements between the owner and the CM should be transparent, clearly defining roles, responsibilities, and expectations.
  • Experience and Expertise: The CM should have experience working on similar projects and possess the necessary expertise to navigate construction complexities.

Conclusion

Construction Management at Risk (CMAR) is an innovative project delivery method that enhances collaboration, efficiency, and risk management in construction projects. By involving the construction manager early in the design phase, CMAR allows for informed decision-making, cost estimation, and risk mitigation, ultimately leading to successful project outcomes. The CMAR approach brings together project owners, designers, and contractors as a cohesive team, driving construction industry excellence and client satisfaction.

Suffering from credit card
receipt chaos?

Give your accounting team an easier way to collect accounts payable data from project managers and field teams.
expense management

Connect any credit card

Connect any credit card to our platform and collect receipts via our modern mobile app, sync with your ERP instantly and close your books faster.
ERP integrations

Industry ERP integrations

Integrates seamlessly with Viewpoint Spectrum, Viewpoint Vista, Foundation Software, Sage, Acumatica, Quickbooks, CMIC and many more.
Automation

Automate project coding

Create custom AI-Powered automation rules to put your project accounting on auto-pilot.  
controls

Eliminate coding errors

Create custom enterprise-grade controls to eliminate data entry errors from the field.
Approvals

Approvals by project

Setup robust approval workflows by project manager, team manager or value amounts.
ai-Powered

AI-Powered automations

Auto-match receipts directly to credit card transactions for complete automation.
Mobile receipt scanning for receipts
Case Studies

Customer Stories

All Case Studies
All Case Studies

"Month-end expense management time cut from 7–10 days to under 2 days."

Antony Martignetti

VP of Finance
Pacific Tech

"What was previously a full-time reconciliation role now takes about an hour per day."

Taylor Ricard

Controller
Moss Utilities

"Reduced time spent on Invoice entry by over 50%."

Roger Helwig

CFO & Owner
Victory Woodworks
CTA Succes Clicker
Get Started

Goodbye project accounting chaos

Book Demo
Book Demo