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The Construction Manager at Risk project delivery method (CM-at-Risk) can be a very comforting

way to manage the design and construction of a project as long as the Owner’s organization is

one that is in a position to rely upon relationships in the procurement of construction. It can also

be useful in projects for other types of Owners as long as procedures for retention of leverage are

provided for in the Owner-CM contract and an appropriate plan of management is followed.

In CM-at-Risk, the Owner will either select the Architect/Engineers first so they can be involved in the

selection of the CM or the CM and the Architect/Engineers will be selected at the same time. In some

cases the CM may be selected before the Architect/Engineers and may be involved in their selection.

If an external Program Manager (“PM”) is to be engaged by the Owner, the PM, acting as the Owner’s

representative should be selected first to assist the Owner in the preparation of the contracts for the

CM and the Architect/Engineers as well as assist the Owner in the selection process.

Glennlock would typically assist the Owner and the Architect/Engineers with input on costs, cost

effective construction materials, constructability, scheduling and sequencing issues throughout the

pre-construction design phases. Continuous consultation, estimating and providing input into the

design and construction schedule would be the norm. In many cases, at design milestones, Glennlock

would provide the Owner, Architect/Engineers and the PM with the most reliable possible estimate of

the final total cost. Sometimes, these cost statements would be issued in the form of a Guaranteed

Maximum Price (“GMP”), which is sometimes referred to as a “G-Max”.

Glennlock (The CM) assumes the role of the  contractor with technical and financial capabilities appropriate

to the project at hand or a professional CM organization with sufficient financial capabilities to accept

the responsibilities under the contract with the Owner for the CM-at-Risk method.

Existing relationships often provide the best and easiest way of purchasing design and construction

services. This arrangment of buying on relationships (“Relationship Buying”) of major procurements

(such as construction) implies that the seller (in this case the Contractor) is so certain of future

business opportunities from the buyer (the Owner), that the Owner can prudently be assured that it

is getting fair prices and good performance.