Construction project management: what to know

What the job involves, what changes the price, and what to ask a pro.

What construction project management is

A construction project manager coordinates the budget, the schedule, the contractors, the materials and the permits for a build or renovation. They track progress, solve problems as they come up and keep the owner informed from start to finish. Owners hire one when a project has many moving parts, or when they want an advocate who is not the contractor.

Signs you need it

  • Your project has several contractors, and the trades keep waiting on each other or on materials
  • You have a budget that keeps moving, and no one is tracking the change orders against it
  • You do not have time to chase bids, schedules, deliveries and inspection dates every week
  • Your contractor is also the one checking their own work, and you want an independent check on quality and cost
  • You are managing a build from out of town or while working full time, and you need a single point of contact on site

What the pro does

  • The manager reviews the plans, the budget and the schedule, and sets out the scope and the milestones
  • They prepare or review bid packages, compare bids on the same scope and recommend the contractors
  • They build a schedule with the trades in order, the material lead times and the inspection dates marked
  • They track the budget line by line, log every change order and report the cost effect to the owner
  • They visit the site on a regular cycle, check the work against the plans and the quality standards, and record the findings
  • They manage the closeout, including punch lists, warranties, lien waivers and the final documents for the owner

What changes the price

Every job is different, so we do not publish prices. These are the things that move the quote up or down.

  • Project size and the number of contractors and trades the manager must coordinate
  • Length of the project and the number of site visits needed each week
  • Complexity of the design and how many decisions the owner must make during the build
  • Whether the manager handles bidding and contract negotiation, or only runs the job after contracts are signed
  • Number of permits and inspections and the time they add to the schedule
  • Whether the manager tracks the budget in detail, with reports and draw reviews
  • Remote management, which adds coordination time and site photos and reports

What a written quote should spell out

  • Scope of services by phase, such as bidding, scheduling, site visits and closeout
  • Number of site visits per week or per month, and who attends them
  • Budget tracking method and the frequency of cost reports to the owner
  • Change order process, including who approves each change and how it is priced
  • Permit and inspection coordination, and who submits each one
  • Closeout tasks included, such as punch lists, warranties and lien waivers

Questions to ask before you hire

  • Are you working for me alone, or do you also take a fee or a rebate from the contractors?
  • How often will you be on site, and who will I hear from when I am not?
  • How do you compare bids, and will you show me the comparison side by side?
  • How do you track the budget, and how do you report change orders and their effect on the schedule?
  • Who handles the permit submittals and the inspection bookings?
  • What happens if a contractor falls behind the schedule, and what can I expect you to do about it?
  • What do you need from me each week to keep the decisions moving?

Red flags

  • They are paid by the contractors and do not say so before they recommend one
  • They cannot show a budget or a schedule from a past project
  • They are on site rarely and do not keep written logs of the visits
  • They approve change orders without showing the owner the price and the schedule effect

What you can do yourself

You can keep your own budget spreadsheet, collect the bids and the contracts, and make the decisions on finishes and layout in a timely way. Do not run the project's schedule, the inspections or the contractor coordination yourself while the work is active unless you have the time to check it weekly. Use a project manager when you need someone accountable for the whole job.

Licenses and permits

Construction project managers are often not licensed on their own, but they may need a contractor license or registration if they sign contracts for construction work. Some tasks, like permit submittals, may need a licensed professional. Check with your state or local licensing agency and your local building department for the rules that apply to the role you will play.

Construction project management questions

Is a project manager the same as a general contractor?

No. A general contractor builds the project and holds the construction contract. A project manager works for the owner, coordinating the contractors, the budget and the schedule. Some general contractors offer both roles, so ask which one you are hiring.

How much control does the owner keep?

The owner keeps the final decisions on scope, design and spending. The project manager recommends and runs the process. Agree in writing which decisions need your approval before the work starts.

What should I expect in a weekly report?

Expect a short update on progress against the schedule, the budget and the change orders, the open decisions and the inspection dates. Ask for photos and a list of issues with the person responsible for each one.

About this guide

This national guide is written and checked by infinibell. Rules and conditions differ by place, so local pros are credited on guides for the cities they serve, not on national ones.

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