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PARTICIPANTS IN THE CONSTRUCTION
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Classification of Clients Sector:
1. Public owners consist of national and local government
agencies or units tasked to implement construction
projects intended either for public use (roads, bridges,
ports, dams, parks, and similar works) or for public
service(government buildings and other facilities or
structures for the development of the national wealth).
2. Private owners, on the other hand, are non- governmental
entities requiring services for residential,
commercial, and/or industrial construction.
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PROJECT
1. Owner / Client
• Private or public
• Conceives the construction project
• Increasing level of sophistication
Participants in the Construction Process
2. Designer
• Architects
 Size of firms ranging form single
practitioner to large integrated firms
 Mostly building and residential
construction
• Engineers
 Civil, mechanical, structural,
electrical,chemical, environmental,
geotechechnical, and multidiscipline
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Participants in the Construction Process

Participants in the Construction Process
4. Construction Manager
 Two principle divisions of CM
3. General Contractor • CM for Fee (management services only)
• General contractor also called “Prime” contractor • CM At Risk
• Specialty contractors working as subcontractors – Operates similarly to a GC with no labor or
capital equipment
• Organization ranges from small, one-person
company to large, integrated A/E/C firms • Can encompass the management of the design
process as well as construction
• Part of a design-build team • CM services including inspection and overall
project or program management

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Participants in the Construction Process 8.0 Government

5. Suppliers Infrastructure Agencies - are those
 Manufactures, distributors, research, promotions whose primary function is to provide
 Materials and equipment sales (either by contract or by direct
Equipment Rental

administration) the necessary public
6. Fabricators
 Structural steel, pre-castors, wood products
works or facilities within their areas of
7. Labor/Trade Unions responsibility.

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The bulk of public construction projects are
implemented by three major infrastructure agencies:
1. Department of Public Works and
Highways (DPWH),
2. Department of Transportation and
Communication (DOTC), and
3. Department of Energy (DOE).
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Philippine National Railways (PNR), Light
Railways Transit Authority (LRTA).
National Housing Authority (NHA).
Most of these agencies have decentralized
organizational structures which allow for infrastructure
planning and delivery at the regional and district levels.
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Under these three agencies are several offices and
government corporations also classified as
infrastructure agencies. These include the:
National Power Corporation (NPC)
National Irrigation Administration(NIA)
National Electrification Administration (NEA)
Philippine Ports Authority (PPA)
Local Water and Utilities Administration (LWUA)
Bureau of Air Transportation (BAT),
Participants in the Construction Process
9. Utility Companies
 Electric, communications, water, gas,sanitary
sewer
 Private petroleum pipelines
 Owner or service provider
 Integral part of the process
 Existing facilities in conflict with new
construction
 Interruption of service can be very costly
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Participants in the Construction Process
10. Industry Associations
 Organizations of construction contractors
 Organizations of the design and management
professions
 Construction material and equipment
suppliers and product research
 Construction labor organizations
 Coordination and arbitration
 Inspection, specifications, and costs
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Project Delivery Organization
 Construction by owners forces
 Owner-managed construction
 Construction by general contractor
 Design-build team
 CM Contract
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10. Industry Associations
 Functions and services
• Industry information and communication
• Development and maintenance of standards
• Industry coordination
• Collective bargaining
• Statistics (market & industry)
• Meetings and conventions
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 Construction employing owner forces
 Usually small in-house construction or renovations
 Industrial projects or institutional (such as hospitals or
schools
 Owner-managed construction
 Residential/commercial building developers
 Industrial or institutional
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Specialty contractors might include those

specializing in one of the following:
 Construction by General Contractor  Excavation  Clearing and grubbing
 Also referred to as “Prime Contractor”  Steel erection  Blasting/demolition
 Most common method of delivery  Concrete  Electrical
 Contractor bears substantial risks and financial  Cast-in-place  Painting
responsibility
 Prestressed/Precast  HVAC
 Facility designed by in-house architect/engineer or by
design consultants  Masonry  Environmental
 Often requires specialty subcontractors  Timber/wood framing remediation
 Piping/plumbing  Many, many others

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 CM Contract -- Fee (management services only)

also referred to as “Agency”
 Design-Build (Turnkey)
 Single firm or team responsible for design and
construction minimizes coordination problems
 More efficient designs with the interjection of
constructibility and innovation
 Often employs fast-track construction
 Benefits include reduced overall delivery time and “one-
stop shopping” for the owner
 Disadvantages include complexity of evaluating proposals
 Specialized construction skills through all project stages
including preconstruction
 Provides close coordination between design and
construction
 Eliminates impact of conflicts of interest
 Independent and objective evaluation of costs, schedules,
and performance
 Potential saving in time and cost
 Disadvantages include no risks associated with costs
increase

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 CM Contract – “At-Risk”
 CM assumes financial risks similar to a GC
 CM manages all phases of the work without performing
any actual work tasks
 CM’s only resources are management personnel
 Contractors/subcontractors have a direct contract with
CM The End
 Contract form is often a negotiated guaranteed
maximum price arrangement
 Disadvantages includes lack of impartiality

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