MODULE 1A Merged

AR 541
BUSINESS
MANAGEMENT
AND
APPLICATION
FOR
ARCHITECTURE 1
AR 541 qMODULE 1: FIRM MANAGEMENT
§ARCHITECTS AND THE LAW

BUSINESS
MANAGEMENT §PRIMARY TYPES OF OFFICE ORGANIZATION
§ENTREPRENEURIAL PRACTICE
AND
§STRATEGIC PLANNING FOR THE DESIGN FIRM
APPLICATION
§PRACTICING IN A GLOBAL MARKET
FOR
§OFFICE ADMINISTRATION
ARCHITECTURE
§KNOWLEDGE MANAGEMENT
1
qMODULE 1: qARCHITECTS AND THE LAW
FIRM MANAGEMENT
OVERVIEW
§ ARCHITECTS AND THE
LAW
§ PRIMARY TYPES OF § IMPORTANCE OF THE LAW IN THE ARCHITECTURAL
OFFICE ORGANIZATION PROFESSION
§ ENTREPRENEURIAL
PRACTICE § RECOMMENDED WAYS TO PROTECT ARCHITECTS
§ STRATEGIC PLANNING § LAWS AFFECTING THE PRACTICE OF ARCHITECTURE IN THE
FOR THE DESIGN FIRM PHILIPPINES
§ PRACTICING IN A GLOBAL
MARKET
§ OFFICE ADMINISTRATION
§ KNOWLEDGE
MANAGEMENT
qMODULE 1: qARCHITECTS AND THE LAW
FIRM MANAGEMENT
§ IMPORTANCE OF THE LAW IN THE ARCHITECTURAL
§ ARCHITECTS AND THE PROFESSION
LAW
§ It is well known that architects throughout the profession
§ PRIMARY TYPES OF
engage in a wide range of services including preparing
OFFICE ORGANIZATION drawings, designs, plans and models of buildings to
§ ENTREPRENEURIAL enable development approvals to be obtained for and
PRACTICE construction to occur.
§ STRATEGIC PLANNING
FOR THE DESIGN FIRM
§ However the legal risks that are faced are often
§ PRACTICING IN A GLOBAL overlooked and architects must be both aware and
MARKET mindful of the things that could possibly go wrong.
§ KNOWLEDGE
§ This will focus on the importance of the law in the
MANAGEMENT
architectural profession and the best ways to maximize
protection in an industry where protection can often be
ignored, disregarded and at times reputations tarnished.
qMODULE 1: § When entering into architect/client agreement
awareness on behalf of the architect is paramount, as
FIRM MANAGEMENT difficulties may at times arise for architects at various
stages of creating bespoke designs.
§ When creating such designs Intellectual property issues
LAW
associated with how to maintain worldwide control over
§ PRIMARY TYPES OF the design in question and where and how it can be
OFFICE ORGANIZATION used become an essential element to discuss in regards
§ ENTREPRENEURIAL to progression of an architects design.
PRACTICE
§ As a result a comprehensive understanding of the Laws
§ STRATEGIC PLANNING governing these issues including the Intellectual
FOR THE DESIGN FIRM Property Code Republic Act No. 8293 and moral rights
§ PRACTICING IN A GLOBAL under the Copyright Amendment (Moral Rights)
MARKET Act 2000 becomes essential.
§ KNOWLEDGE
§
MANAGEMENT
§ It is because of such laws as the Intellectual Property
qMODULE 1: Code Republic Act No. 8293 and the Copyright
FIRM MANAGEMENT Amendment (Moral Rights) Act 2000 which
automatically protect the interest of creators such as
§ ARCHITECTS AND THE architects, and as a result allows architects to be
LAW proactive in order to maximize protection over their
§ PRIMARY TYPES OF works.
OFFICE ORGANIZATION § Protection is very important for architects and these laws
§ ENTREPRENEURIAL that govern them allows architects to safeguard their
PRACTICE designs. Nevertheless they should be mindful that there
§ STRATEGIC PLANNING are potential issues surrounding the ownership of the
FOR THE DESIGN FIRM copyright of their works and should take practical steps
§ PRACTICING IN A GLOBAL to maximize protection over their works when entering
into an agreement with a client.
MARKET
§ KNOWLEDGE
MANAGEMENT
qMODULE 1: § Outlined below are the main reasons
FIRM MANAGEMENT architects need to safeguard their Intellectual
property:
LAW
§ PRIMARY TYPES OF ØClients might claim ownership of your work
OFFICE ORGANIZATION
§ ENTREPRENEURIAL
PRACTICE
ØDue to the fact that architecture is such a
collaborative discipline, identifying who did
FOR THE DESIGN FIRM
what can be complicated and difficult.
MARKET ØThe Courts tend to view architectural designs
§ OFFICE ADMINISTRATION as compilations or derivative works, the onus
§ KNOWLEDGE being on the architect to prove their original
MANAGEMENT creation.
qMODULE 1: RECOMMENDED WAYS TO PROTECT ARCHITECTS
FIRM MANAGEMENT
§ ARCHITECTS AND THE § To ensure architects maximise protection over their

LAW works, consideration should be given to the following
recommendations:
§ PRIMARY TYPES OF
OFFICE ORGANIZATION
§ ENTREPRENEURIAL ØA written agreement between the architect and the
PRACTICE client must at all times be entered into which clearly
§ STRATEGIC PLANNING outlines each party's obligations.
FOR THE DESIGN FIRM
§ PRACTICING IN A GLOBAL ØThe agreement should contain express terms that
MARKET deal with copyright and moral rights of the works to
§ OFFICE ADMINISTRATION overcome issues relating to implied licenses.
§ KNOWLEDGE
MANAGEMENT
qMODULE 1:
FIRM MANAGEMENT ØThe agreement should also state that no license is
granted or implied under the agreement, and that
any license granted by the architect may be
§ ARCHITECTS AND THE revoked in circumstances where the client has
LAW refused to pay or, in the event that there is a change
§ PRIMARY TYPES OF in the client's ownership or legal interest in the site.
OFFICE ORGANIZATION
§ ENTREPRENEURIAL ØChanges to the original agreement that arise after
PRACTICE the parties have entered into the agreement should
§ STRATEGIC PLANNING always be properly documented as a variation to
FOR THE DESIGN FIRM the agreement so as to minimize the risk of later
§ PRACTICING IN A GLOBAL disputes.
MARKET
§ OFFICE ADMINISTRATION ØIf an infringement of an architect's copyright or
§ KNOWLEDGE moral right has occurred, the architect must act
MANAGEMENT expeditiously to protect their rights.
§ In conclusion although Architects are engaged to provide
a wide range of services including the preparation,
CONCLUSION creation and design aspects of there works, they at times
are faced with many risks that may cause consequences
for the employers and designers alike.
§ It is therefore of fundamental importance to have a
comprehensive understanding of the laws relating to risk
and responsibility when negotiating contracts.
§ The designer will of course wish to limit as far as possible
the scope of its liability, whilst the employer will wish to
ensure that it has effective rights and remedies in the
event of defective design work.
Reference:
Importance of the Law in the § As always, it is likely to be in the interest of both parties to
Architectural profession deal with these issues as far as possible and agree upon
Saro Boghossian
the assignment of risk by express terms in the contract to
both make business run smoothly and at the same time
maximize protection and minimize risk.
END OF TOPIC
LAWS
AFFECTING THE
PRACTICE OF Ignorantia Legis Nun Excusat
ARCHITECTURE
IN THE
Ignorance of the laws exempts no one from
PHILIPPINES abiding thereto…
( Article 3 of the Civil Code of the Philippines )

LAW
Ø The body of rules of a society that are enforceable through a system of courts.
Ø Laws may be created by legislatures or, in common law jurisdictions, by the courts.
Ø They regulate relations between individuals (private law); between individuals and the
state (public law); and between different states (international law).
Ø The word law derives from the late Old English “lagu”, meaning something laid down or
fixed.
Ø Laws vary widely between different countries and even, in some cases, within countries.
Ø An area in which a particular set of laws holds is called a jurisdiction.

STATUTORY LAW
Ø Refers to the sources of law other than statutory law.
Ø Its authority rests not on legislation passed by Parliament and/or Administration and
eventually codified,
Ø But rather tradition, custom, and especially precedent.
Ø It is recognized by the Philippine Society as being essentially inviolable;
Ø However, as customs and traditions change and evolve, the common, non-statutory law
must change and evolve with them, and occasionally be amended by statute.
EXAMPLES OF STATUTORY LAWS

Ø Republic Acts Ø Executive Orders
Ø Presidential Decrees Ø Ordinances
Ø Batas Pambansa
REPUBLIC ACT NO. 8293 “Copyright (or Copyright Ownership)” shall refer to the
intellectual proprietary rights retained by an
Architect over any architectural documents/ work
that he/she prepares unless there is a written
stipulation to the contrary, copyright in a work of
architecture shall include the right to control the
AN ACT PRESCRIBING THE erection of any building which reproduces the
INTELLECTUAL PROPERTY
CODE AND ESTABLISHING whole or a substantial part of the work either in its
THE INTELLECTUAL original form or in any form recognizably derived
PROPERTY OFFICE, from the original; however, the copyright in any such
PROVIDING FOR ITS
POWERS AND FUNCTIONS,
work shall not include the right to control the
AND FOR OTHER reconstruction or rehabilitation in the same style as
PURPOSES the original of a building to which the copyright
relates.
I. ARCHITECTURE LAWS
Ø RA 9266- An act providing for a more responsive and comprehensive Regulation for
Registration , licensing and Practice of Architecture, Repealing for the purpose
Ø Republic act No. 545 as amended. Otherwise known as “An act to regulate thepractice of
Architecture in the Philippines,” and for other purposes (March 15,2004)
Ø RA 1581 – Architecture Law of 1956
Ø RA 545 – Architecture Law of 1950
II. REGULATORY AND ENFORCEMENT LAWS

Ø RA 8981- Professional Regulations Commission Modernization Act ( Dec. 5, 2000)
Ø PD 223- Creating the Professional Regulation Commission ( June 22,1973)
Ø RA 386- Civil Code of the Philippines ( June 18,1949)
Ø EO 546- Creating a Ministry of Public works and a Ministry of Transportations and
Communications ( July 23,1979)
Ø RA 7160- Local Government Code of the Philippines (1991)
Ø RA 876- The Philippine Arbitration Law ( June 19,1953)
III. DESIGN AND CONSTRUCTIONS LAWS
A. ON SAFETY AND PROTECTION
Ø PD 1096 - National building Code of The Philippines ( Feb. 19,1997 / IRR Latest Revision ( April 30,2005)
Ø RA 6541- National Building Code of 1972 ( Aug. 26,1972)
Ø RA 1185- Fire Code of the Philippines (1977)
Ø RA 9263- Bureau of Fire Protection and Bureau of Jail Management and Penology Professionalization
Act. ( March 10,2004)
Ø BP 344- Enhancing The Mobility of Disabled Persons ( Feb.25,1983 / IRR Latest Revision April 30,2005).
B. ON HOUSING AND FUNDING
Ø PD 957- Condominium and Subdivision Buyers protective Decree ( July 12,1976)RA 6552- Real Estate
Buyers Protective Act ( June 18,1966)
Ø RA 4726- The Condominium Act ( June 18, 1966)
Ø BP 220- Standards For Economic and Socialized Housing Projects (March 25,1982)
Ø RA 8763- Home Guarantee Corporation Act ( March 7, 2000)
Ø EO 538- Prescribing the Administration of the Home Development Mutual funds ( June 4,1979)
Ø EO 90 - Creating the Housing and Urban Development Coordinating Council( Dec. 17,1986)
Ø RA 3469- Allowing The Constructions of Multi-storey Tenement Housing Projects for the poor and
Homeless (June 16,1962)
C. ON WATER AND PLUMBING
Ø RA 1378- National Plumbing Code of The Philippines ( Jan. 28,1959) / Latest Rev.Dec. 21,1999.
Ø RA 6234- Creating Metropolitan Waterworks and Sewerage System ( June. 19,1971)
Ø RA 9286- Latest Amendment to PD 198 or Provincial Water utilities Act of 1973(April 2,2004)
Ø PD 1067- Water Code of The Philippines ( 1977)Professionalization Act. ( March 10,2004)
D. ON ENVIRONMENT PROTECTION
Ø RA 9003- Ecological waste management Program law ( Jan 26,2001)RA 3931- National Water and
Air Pollution Control Commission ( June 18,1964)
Ø PD 1586- Establishing Environmental Impact Statement System (1978)
Ø PD 1152- Philippine Environmental Code ( June 6,1977)
Ø PD 984- Pollution Control Decree ( 1976)
Ø PD 772- Penalizing Squatting and Other Similar Acts (1975)
E. GOVERNMENT SERVICE AND ETHICS LAWS
Ø RA 8293- Intellectual Property of The Philippines ( June. 22,1997) / Jan.1,1998

Ø RA 3019- Anti-Graft and Corrupt Practices Act ( 1961)
Ø RA 8974- Law on Acquisition of Right – of – way, site or Location for National Government
Infrastructure Projects ( Nov. 7,2000)
Ø RA 8439- Magna Carta For Scientists, Engineers, and researchers in the Government. ( Dec.
22,1977)
Ø RA 6713- Code of Ethical Conduct of a Public Official and Employees (1972)
Ø EO 525- Responsibility of the Public Estate Authority on Reclamation Projects( Feb. 14,1979)
IV. PROFESSIONAL REGULATORY LAWS
Ø RA 9266 Ø RA 1308
The New Architecture Law (Revising Environmental planning Law
RA 545 and RA 1581) Ø RA 1364
Ø RA 544 Sanitary Engineering Law
Civil Engineering Law Ø RA 4110
Ø RA 1378 Aircon-ditioning and refrigeration
Plumbing Law Engineering Law
Ø RA 4374 Ø RA 5734
Geodetic Engineering Law Electronics and Communications
Ø RA 7920 Engineering Law
Electrical Engineering and Ø RA 8495
Electrician Law Mechanical Engineering Law
Ø RA 8534
Interior Design Law
q PRIMARY TYPES OF OFFICE ORGANIZATION
qMODULE 1:
FIRM MANAGEMENT
OVERVIEW
§ ARCHITECTS AND THE § INTRODUCTION
LAW 1. EFFICIENCY BASED
§ PRIMARY TYPES OF 2. EXPERIENCED BASED
OFFICE ORGANIZATION
3. EXPERTISE BASED
§ ENTREPRENEURIAL
PRACTICE qWHICH BUSINESS STRUCTURE IS BEST FOR AN
§ STRATEGIC PLANNING ARCHITECTURE FIRM?
FOR THE DESIGN FIRM
§ PRACTICING IN A GLOBAL 1. SOLE PROPRIETOR
MARKET 2. PARTNERSHIP/JOINT VENTURE
§ OFFICE ADMINISTRATION 3. PARTNERSHIP/JOINT VENTURE
§ KNOWLEDGE
MANAGEMENT
q PRIMARY TYPES OF OFFICE ORGANIZATION
qMODULE 1:
§ What types of architecture firm exist to suit the best
FIRM MANAGEMENT business model that works with you? As you are
developing the business plan for your new architecture
§ ARCHITECTS AND THE firm, it is important to consider what your business model
LAW will be.
§ PRIMARY TYPES OF
OFFICE ORGANIZATION § This includes planning for your firm’s operations to
§ ENTREPRENEURIAL respond to the following questions:
PRACTICE Ø How will you acquire new clients?
Ø What types of projects do you want to design?
FOR THE DESIGN FIRM
§ PRACTICING IN A GLOBAL Ø Why should clients choose your firm over other
MARKET options?
§ OFFICE ADMINISTRATION Ø How will you deliver projects while being profitable?
§ KNOWLEDGE
MANAGEMENT Ø How will your staffing be organized to deliver your
services?
Ø These questions and others all relate back to your
business model.
Ø Understanding your options and potential challenges
qMODULE 1: when first forming your firm is important so you can
FIRM MANAGEMENT be intentional about how you set up your design
process and how you market your company.
LAW Ø For architecture firms there are three common
§ PRIMARY TYPES OF business models that differentiate firms and how they
OFFICE ORGANIZATION are run: Efficiency based, Experience based, and
§ ENTREPRENEURIAL Expertise based offices.
PRACTICE
§ STRATEGIC PLANNING Ø Depending on which you target for your company it
FOR THE DESIGN FIRM will help you direct how you should manage the
§ PRACTICING IN A GLOBAL company for marketing, staffing, and ultimately
MARKET profitability.
§ KNOWLEDGE Ø Take your time to think through why you are starting
MANAGEMENT your firm, what your goals are, what your previous
experience is, how you like to practice, and then
select the model that best fits your future goals.
Ø Be honest and intentional about your choice early
qMODULE 1: on, as it can be difficult and costly to transition to a
FIRM MANAGEMENT different model once you have some projects under
your belt and a reputation for your company.
LAW Ø It is also important to make hiring, management, and
§ PRIMARY TYPES OF staffing choices that support the mode of your
OFFICE ORGANIZATION architecture office.
§ ENTREPRENEURIAL
PRACTICE
FOR THE DESIGN FIRM
MARKET
§ KNOWLEDGE
MANAGEMENT
qMODULE 1: 1. EFFICIENCY BASED
FIRM MANAGEMENT
§ This model is for architecture offices that can deliver
§ ARCHITECTS AND THE projects faster or for less money than the firms you are
LAW competing with for work.
§ PRIMARY TYPES OF
§ Typically this means that you have developed a design
OFFICE ORGANIZATION and production process that is efficient and streamlined
§ ENTREPRENEURIAL and are constantly looking for ways to improve upon it
PRACTICE to make it more efficient.
§ You have also selected projects that are simple to
FOR THE DESIGN FIRM execute and allow for repetitive processes.
MARKET § To take advantage of your design process efficiencies,
§ OFFICE ADMINISTRATION efficiency based firms often do less complex projects, or
take on similar projects to those they have already
§ KNOWLEDGE completed. Further, these firms tend to offer a limited
MANAGEMENT range of services, or standard scope of work, that is
familiar and repeatable.
§ The advantage to limiting the type and complexity of
qMODULE 1: the work you take on is that you can reuse details,
notes, and other documentation to keep the work hours
FIRM MANAGEMENT to a minimum while still delivering quality documents.
§ This model is for architecture offices that can deliver
§ ARCHITECTS AND THE projects faster or for less money than the firms you are
competing with for work.
LAW
§ PRIMARY TYPES OF § Typically this means that you have developed a design
and production process that is efficient and streamlined
OFFICE ORGANIZATION and are constantly looking for ways to improve upon it
§ ENTREPRENEURIAL to make it more efficient.
PRACTICE § You have also selected projects that are simple to
§ STRATEGIC PLANNING execute and allow for repetitive processes.
FOR THE DESIGN FIRM § To take advantage of your design process efficiencies,
§ PRACTICING IN A GLOBAL efficiency based firms often do less complex projects, or
take on similar projects to those they have already
MARKET completed. Further, these firms tend to offer a limited
§ OFFICE ADMINISTRATION range of services, or standard scope of work, that is
familiar and repeatable.
§ KNOWLEDGE
MANAGEMENT § The advantage to limiting the type and complexity of
the work you take on is that you can reuse details,
notes, and other documentation to keep the work hours
to a minimum while still delivering quality documents.
qMODULE 1: § Another approach for this business model is taking
advantage of new technology or tools to improve upon
FIRM MANAGEMENT standard project delivery. There is potential to leverage
new technology to give your firm an advantage over
established architecture companies.
LAW § For instance, digital scanning, BIM, virtual reality
§ PRIMARY TYPES OF renderings or AI may be places to focus on that could
make the design and documentation process faster and
OFFICE ORGANIZATION more efficient.
§ ENTREPRENEURIAL
PRACTICE § This dedication to technology might make convincing
§ STRATEGIC PLANNING clients to go with a particular design faster. Practices
should constantly look for ways or new tools that can
FOR THE DESIGN FIRM help reduce the time it takes to deliver work and thus
§ PRACTICING IN A GLOBAL increase the profits for your firm.
MARKET
§ OFFICE ADMINISTRATION § Due to the repeatable design process, the relatively
simple project types, and/or the standardization of your
§ KNOWLEDGE deliverables, this model lends itself to having a large
MANAGEMENT production staff working under a smaller group of
experienced architects and partners.
§ This can include giving recent graduates or junior
qMODULE 1: architects jobs to help with production, thus keeping
your labor costs down and providing them with much-
FIRM MANAGEMENT needed work experience to help advance their careers.

§ This approach also allows companies to consider
LAW remote working or even outsourcing some of the
§ PRIMARY TYPES OF production work to further save on costs and expand
OFFICE ORGANIZATION the number of projects you can take on.
§ ENTREPRENEURIAL
PRACTICE § The goal with this staffing structure is to have the partners
§ STRATEGIC PLANNING focused on acquiring new projects and have the more
affordable staff leading the design and production of
FOR THE DESIGN FIRM those projects.
MARKET
§ You are really looking for a large quantity of projects
§ OFFICE ADMINISTRATION that you can deliver seamlessly.
§ KNOWLEDGE
MANAGEMENT
§ This isn’t the model that most architects dream about
when starting their firm. However, if you find an
inefficiency in the market, this business model could
lead to tremendous profits.
§ One of the most profitable firms I know fits into this
qMODULE 1: business model. What do they do?
FIRM MANAGEMENT
§ They work on chain restaurants across the country and
adapt a standard kit of parts to fit whatever new space
§ ARCHITECTS AND THE the restaurants are moving into.
LAW
§ PRIMARY TYPES OF
OFFICE ORGANIZATION § The work deploys standard materials and details on
every project that are simple and repetitive. By keeping
§ ENTREPRENEURIAL their process super efficient, improving upon it and
PRACTICE maintaining a large production staff of junior architects,
they’ve developed an incredibly profitable business
§ STRATEGIC PLANNING while providing a great work/life balance for the owners
FOR THE DESIGN FIRM and actually are able to pay their staff slightly above
the market rate for their experience level.
MARKET
§ OFFICE ADMINISTRATION § This is also a business model that is easier for new firms
§ KNOWLEDGE to market for, as they may not have the portfolio or
reputation to go after complex projects, but can
MANAGEMENT compete on price or market their experience with new
technology or a streamlined design-process - places
that younger architects may be more adept than older
practitioners.
§ This is probably the most common model that architects
qMODULE 1: pursue when setting out to start their own firms.
FIRM MANAGEMENT Experience-based practices aim to provide design
services to clients and solve unique and challenging
§ ARCHITECTS AND THE problems.
LAW
§ PRIMARY TYPES OF § By relying on their past experience and expertise, these
OFFICE ORGANIZATION firms can take on more complex project types and
§ ENTREPRENEURIAL market themselves as knowing what they are doing to
PRACTICE address the needs of their clients.
FOR THE DESIGN FIRM § Some of these firms still focus on particular markets. For
§ PRACTICING IN A GLOBAL example, I worked at a firm that I would put in this
MARKET category that specialized in higher education projects,
§ OFFICE ADMINISTRATION community centers, and performing arts centers.
§ KNOWLEDGE
MANAGEMENT § Within these project types they would design custom
solutions based on the specific needs of the client,
responding to site context and budget, and the technical
requirements of the building’s program.
2. EXPERIENCED BASED
qMODULE 1:
FIRM MANAGEMENT § They developed a strong reputation as being able to
successfully deliver significant, complex, and technically
§ ARCHITECTS AND THE challenging projects.
LAW
§ PRIMARY TYPES OF § At the same time, they utilized their reputation to expand
OFFICE ORGANIZATION into new markets and go after a variety of projects
§ ENTREPRENEURIAL beyond their core focus as the economy shifted.
PRACTICE
§ STRATEGIC PLANNING § To achieve this, they leveraged their past relationships
FOR THE DESIGN FIRM and their portfolio to acquire new work, often through the
§ PRACTICING IN A GLOBAL public RFP/Q process.
MARKET
§ OFFICE ADMINISTRATION § When you are starting a new firm and want to be an
§ KNOWLEDGE experience based architectural practice, you will have to
MANAGEMENT rely on the reputations and past portfolio of you and your
business partners.
qMODULE 1: § You will need to clearly demonstrate that the experience
FIRM MANAGEMENT you have gained before starting your own business will
translate to being able to deliver similar projects.
LAW § The challenge lies in convincing clients that although the
§ PRIMARY TYPES OF firm is new, the partners have a proven track record, the
OFFICE ORGANIZATION design staff is capable, and the firm contains all of the
§ ENTREPRENEURIAL design experience needed to solve complex design
PRACTICE challenges by managing the team needed to deliver
§ STRATEGIC PLANNING significant projects on time and on budget.
FOR THE DESIGN FIRM
§ PRACTICING IN A GLOBAL § This can be hard when first starting out, but after a few
MARKET projects under your belt the firm could grow quickly.
§ KNOWLEDGE § The structure for staffing these firms also differs from the
MANAGEMENT efficiency based firms.
§ Marketing to clients for projects that are more complex
qMODULE 1: and unique, you have to prove that your team has the
FIRM MANAGEMENT skills and experience to match the project’s needs.
§ ARCHITECTS AND THE § When just starting out this often means the first couple of
LAW hires should be more experienced architects that have
§ PRIMARY TYPES OF worked on projects in your target markets.
OFFICE ORGANIZATION
§ ENTREPRENEURIAL § This also means that as you grow you often need a larger
PRACTICE proportion of project managers or project architects that
§ STRATEGIC PLANNING can bring this level of experience to your office.
FOR THE DESIGN FIRM
§ PRACTICING IN A GLOBAL § These employees will of course cost more than less-
MARKET experienced production staff so balancing the right mix
§ OFFICE ADMINISTRATION of experience and production is a challenge that must be
§ KNOWLEDGE overcome to maintain profitability.
MANAGEMENT
qMODULE 1: § There is also the obstacle to avoid having the partners or
experienced staff getting too involved in the design
FIRM MANAGEMENT process and thus blowing through the fee too quickly,
when junior staff could handle the work and gain
§ ARCHITECTS AND THE valuable experience.
LAW
§ PRIMARY TYPES OF § Thus project management and staffing is vital for this
OFFICE ORGANIZATION business model to be successful and for the firm to remain
§ ENTREPRENEURIAL profitable.
PRACTICE
§ STRATEGIC PLANNING §This business model is for the architects who have a great
FOR THE DESIGN FIRM
depth of knowledge about a specific project type or topic,
§ PRACTICING IN A GLOBAL or for those who have demonstrated exceptional design
MARKET abilities.
§ KNOWLEDGE
MANAGEMENT §These firms are the “starchitects” who have built a
reputation based on their award-winning design abilities or
consultant firms of specific technically challenging
projects.
§ For instance, these could be firms that won the Pritzker
qMODULE 1: Prize, or specialize in the design of acoustically
FIRM MANAGEMENT challenging performing arts buildings, or maybe the
technically challenging research science laboratories,
or even code consultants.
LAW
§ Another example would be firms that are developing
§ PRIMARY TYPES OF and mastering new technology.
OFFICE ORGANIZATION
§ ENTREPRENEURIAL
PRACTICE § Frank Gehry’s office is an example of a firm that has
done a combination of these - he is sought after for his
§ STRATEGIC PLANNING eye-catching design aesthetics and his firm has
FOR THE DESIGN FIRM developed new software to allow his complex curving
forms to be designed and fabricated.
MARKET
§ KNOWLEDGE
MANAGEMENT
3. EXPERTISE BASED
qMODULE 1:
FIRM MANAGEMENT § He also takes on challenging cultural projects that
necessitate a certain level of expertise to execute.
LAW § Other firms might publish research about a particular
topic, or be a consultant that knows the latest
§ PRIMARY TYPES OF innovations in a particular building system or
OFFICE ORGANIZATION requirement.
§ ENTREPRENEURIAL
PRACTICE § Either way, these firms have some special knowledge or
talent that makes them sought after and allows them to
§ STRATEGIC PLANNING demand higher fees for their work.
FOR THE DESIGN FIRM
§ PRACTICING IN A GLOBAL § The financial model with these offices is that by
MARKET becoming an in-demand expert in your field you can
demand higher fees or hourly rates.
§ KNOWLEDGE
§ Although many starchitect offices grow into large
MANAGEMENT companies with many employees, this business model is
also potentially lucrative for sole practitioners or small
partnerships who offer a unique skillset or base of
knowledge.
§ In both of these cases, the staffing needs tend to be very
qMODULE 1: top heavy, where the principal or partners are in high-
demand and thus need to work directly on the billable
FIRM MANAGEMENT projects. There would be some support staff below them
to assist with the execution of the work, but the
principals are really engaged in the work itself, rather
§ ARCHITECTS AND THE than being focused on managing the firm or finding new
LAW clients.
§ PRIMARY TYPES OF
OFFICE ORGANIZATION § These firms also often look to partner with other
architectural offices to execute the full scope of
§ ENTREPRENEURIAL architectural work. They can either act as the design
PRACTICE architects - with an architect of record brought on to
help with production or they may be specialty
§ STRATEGIC PLANNING consultants themselves brought onto a project by
FOR THE DESIGN FIRM another firm to help navigate particularly challenging
§ PRACTICING IN A GLOBAL technical problems.
MARKET
§ Often these firms will look to bring on administrative staff
§ OFFICE ADMINISTRATION to support the principals earlier in the growth of the firm
§ KNOWLEDGE than the other business models, although if you are
MANAGEMENT keeping the firm small and acting as more of a specialty
consultant you may be able to avoid management
overhead altogether. This could be an ideal option for
sole practitioners who have a valuable base of
knowledge.
qMODULE 1: § Rather than rely on personal relationships and traditional
business development and marketing strategies, these
FIRM MANAGEMENT firms rely on their reputation and their innovations to
drive new businesses. Design awards, publications,
§ ARCHITECTS AND THE research, and their portfolio is what sells their services
LAW and attracts new clients. This also requires continual
§ PRIMARY TYPES OF education to maintain your expertise and reputation in
OFFICE ORGANIZATION the field.
§ ENTREPRENEURIAL
PRACTICE
FOR THE DESIGN FIRM
MARKET
§ KNOWLEDGE
MANAGEMENT
§ Each of the business models can lead to great success for
an architecture practice. However, it is important to be
CONCLUSION honest with yourself and intentional with your decision on
how to set up your practice.
§ Not everyone can or should start a business with the hope
of being a starchitect or get projects solely based on your
design talents.
§ Finding a better way to deliver projects, or taking
advantage of new technology to improve the design
process can lead to a great business that is extremely
Reference: rewarding and profitable even if it doesn’t fulfill your
Types of Architecture Firms and Their design ego.
Business Models
§ Other architects may have a passion for a specific
https://monograph.com › blog › project type and strive to be the expert in that niche.
types-of-architecture-firm
Regardless of which approach you take, it is important to
recognize where your firm fits, then appropriately
manage and market your firm to take advantage of the
opportunities, the challenges you will face as the
company grows.
§ As you are writing your overall business plan, create a
qMODULE 1: section specifically for your business model and describe
FIRM MANAGEMENT how you want to operate, the types of clients you want to
work for, take stock of your unique knowledge and
§ ARCHITECTS AND THE skillset, and develop a model that will take advantage of
LAW your strengths.
§ PRIMARY TYPES OF
OFFICE ORGANIZATION
§ ENTREPRENEURIAL
PRACTICE END OF TOPIC
FOR THE DESIGN FIRM
MARKET
§ KNOWLEDGE
MANAGEMENT
qMODULE 1:
qWHICH BUSINESS STRUCTURE IS BEST FOR AN
FIRM MANAGEMENT ARCHITECTURE FIRM?
When we decide to start our own firm, we need to make
§ ARCHITECTS AND THE several critical decisions. One of the most important
LAW decisions we’ll need to make is which business structure
§ PRIMARY TYPES OF best fits our new firm. The business structure we choose will
OFFICE ORGANIZATION have significant legal and tax implications.
§ ENTREPRENEURIAL
As architects, there are THREE basic business structures from
PRACTICE which to choose.
FOR THE DESIGN FIRM
§ PRACTICING IN A GLOBAL SOLE PROPRIETOR
MARKET
§ OFFICE ADMINISTRATION § A very popular choice for new firms is the simplest
§ KNOWLEDGE structure; sole proprietor. This is an unincorporated
business with no legal distinction between the owner and
MANAGEMENT
the business entity. You are entitled to all profits and are
liable for all debt, losses and liabilities.
§ With a sole proprietorship, there is no formal structure to
establish. If you are a sole owner doing business, then you
qMODULE 1: are automatically a sole proprietor. As with all businesses,
FIRM MANAGEMENT there may be licenses and permits required to do
businesses, so check your local and state authorities. If
you choose to name your business something other than
your own name, you may be required to file that name
LAW
with your local authority as a DBA (“doing business as”)
§ PRIMARY TYPES OF name.
OFFICE ORGANIZATION
§ ENTREPRENEURIAL § Although sole proprietorships are easy to form and
PRACTICE relatively easy to understand, a major disadvantage is
that you are personally liable for all business debt, loss
§ STRATEGIC PLANNING and liability. You have no personal protection from
FOR THE DESIGN FIRM actions against the business including any liabilities
§ PRACTICING IN A GLOBAL caused by an employee.
MARKET
§ OFFICE ADMINISTRATION Is architecture as a regulated practice a right or a privilege?
§ KNOWLEDGE The practice of architecture in the PH is only a professional
MANAGEMENT privilege that is granted to individuals and firms (natural and
juridical persons), duly registered and licensed in accordance with
PH law i.e. limited only to architects and registered architectural
firms (RAFs).
§ Taxes are filed using your standard Form, which identifies
qMODULE 1: the earnings from the business and transfers them to your
FIRM MANAGEMENT personal income.

LAW
§ PRIMARY TYPES OF
OFFICE ORGANIZATION
§ ENTREPRENEURIAL
PRACTICE BIR Form No. 1701 shall be filed by individuals who are
§ STRATEGIC PLANNING engaged in trade/business or the practice of profession
FOR THE DESIGN FIRM including those with mixed income (i.e.., those engaged in
§ PRACTICING IN A GLOBAL the trade/business or profession who are also earning
MARKET compensation income) in accordance with SEC.
§ KNOWLEDGE
MANAGEMENT
PARTNERSHIP/JOINT VENTURE
qMODULE 1:
FIRM MANAGEMENT § A partnership or joint venture is a single business owned
by two or more people. Unless defined in a partnership
agreement, all aspects of the business are divided
§ ARCHITECTS AND THE equally among each partner. Partnerships are formed
LAW by registering the business as a partnership with your
state.
§ PRIMARY TYPES OF
§ Typically, the legal name of the business is required to
OFFICE ORGANIZATION be the names of the individual partners. If an alternative
§ ENTREPRENEURIAL name is preferred, some states permit the use of a DBA
PRACTICE name. “doing business as”
§ STRATEGIC PLANNING § Taxes are filed by completing and submitting an
FOR THE DESIGN FIRM “annual information return”, which identifies the income,
deductions, gains and losses of the business. Similar to
§ PRACTICING IN A GLOBAL the sole proprietor, all earnings and loses “flow through”
MARKET to the partners’ personal tax returns.
§ OFFICE ADMINISTRATION § A disadvantage to a partnership is that all liabilities are
shared by the partners. Each partner is not only liable for
§ KNOWLEDGE his or her own actions, but the actions of all the
MANAGEMENT employees and partners within the business. Partners
personal assets are also at risk and can be used to
satisfy the partnership’s debt, whether or not the
individual partner was personally involved.
CORPORATION
qMODULE 1:
FIRM MANAGEMENT § A corporation is an independent legal entity
owned by shareholders. Shareholders are
§ ARCHITECTS AND THE protected from liabilities for all the actions and
LAW debts the business incurs. Corporations offer the
ability to sell ownership shares in the business
§ PRIMARY TYPES OF through stock offerings.
OFFICE ORGANIZATION
§ ENTREPRENEURIAL § A Professional Services Corporation, or P.C., has the
PRACTICE same advantages and protections as a
corporation, but is exclusive to professionals such
§ STRATEGIC PLANNING as architects, physicians and attorneys.
FOR THE DESIGN FIRM
§ PRACTICING IN A GLOBAL § Corporations receive a tax ID number and are
MARKET required to pay taxes separate from it’s
shareholders. Unlike sole proprietors and
§ OFFICE ADMINISTRATION partnerships, corporations pay income tax on its
§ KNOWLEDGE profits. The complex legal and tax requirements of
MANAGEMENT a corporation could make it more appropriate for
larger companies.
https://entrearchitect.com/2017/10/10/business-type-best-architecture-firm/
§ How do I become DTI registered?
Register Business Name in DTI. Get Barangay Clearance
qMODULE 1:
FIRM MANAGEMENT Register your business name in the Department of Trade
and Industry (DTI)
§ ARCHITECTS AND THE 1.Prepare your business name.
LAW 2.Confirm the availability of your business name.
§ PRIMARY TYPES OF 3.Fill up the online registration form.
OFFICE ORGANIZATION 4.Pay the registration fee.
§ ENTREPRENEURIAL 5.Download your certificate.
PRACTICE
§ STRATEGIC PLANNING § What are the Requirements to Register to SEC?
FOR THE DESIGN FIRM SEC Registration, Articles of Incorporation, and By-laws
MARKET Locational Clearance
§ OFFICE ADMINISTRATION •Location Map.
§ KNOWLEDGE •Barangay Clearance.
MANAGEMENT •Lease Contract.
•SEC Registration Documents.
•Occupancy Permit (Building/Unit)
•Business Permit Application Form.
qMODULE 1:
FIRM MANAGEMENT

LAW
§ PRIMARY TYPES OF
OFFICE ORGANIZATION
§ ENTREPRENEURIAL
PRACTICE
FOR THE DESIGN FIRM
MARKET
§ KNOWLEDGE
MANAGEMENT
END OF TOPIC
AR 541
BUSINESS
MANAGEMENT
AND
APPLICATION
FOR
ARCHITECTURE 1

BUSINESS
AND
APPLICATION
FOR
ARCHITECTURE
1
qMODULE 1: qENTREPRENEURIAL PRACTICE
FIRM MANAGEMENT
OVERVIEW
LAW
§ PRIMARY TYPES OF § ENTERPRENEURIAL ARCHITECTURE
OFFICE ORGANIZATION § CREATING A CULTURE OF ENTREPRENEURSHIP
§ ENTREPRENEURIAL
PRACTICE
FOR THE DESIGN FIRM
MARKET
§ KNOWLEDGE
MANAGEMENT
qENTREPRENEURIAL PRACTICE
qMODULE 1:
FIRM MANAGEMENT DRUCKER VIEW
LAW Business has only two basic functions:
§ PRIMARY TYPES OF
OFFICE ORGANIZATION Marketing and innovation. Marketing and
§ ENTREPRENEURIAL innovation produce results all the rest are costs.
PRACTICE
(Peter F. Dricker 1997)
FOR THE DESIGN FIRM
§ PRACTICING IN A GLOBAL WHAT IS ENTREPRENEURSHIP?
MARKET
§ OFFICE ADMINISTRATION § Individual action…..
§ KNOWLEDGE § Creating or recognizing an opportunity and pursuing it
MANAGEMENT regardless of the resources…..
§ Creating something out of nothing…..
qMODULE 1: ENTREPRENEURS
FIRM MANAGEMENT § Entrepreneurs use innovations to exploit or create change
and opportunity for the purpose of making profit.
§ ARCHITECTS AND THE § They do this by shifting economic resources from an area
LAW of lower to an area higher productivity, accepting a high
§ PRIMARY TYPES OF degree of risk and uncertainty in doing so.
OFFICE ORGANIZATION
§ ENTREPRENEURIAL SCHOOL OF THOUGHT
PRACTICE
§ STRATEGIC PLANNING Entrepreneurial transformation concerned with:
FOR THE DESIGN FIRM § The need for large firms to adapt to an ever changing
§ PRACTICING IN A GLOBAL environment
MARKET
§ Changes in systems, structure and culture than
§ OFFICE ADMINISTRATION encourage entrepreneurship
§ KNOWLEDGE
MANAGEMENT § Leadership and strategies that encourage
entrepreneurship
ENTERPRENEURS
Defined by their actions
qMODULE 1:
Not the size of the organization they work in
FIRM MANAGEMENT
Owner-Managers Managers in large
in small firms firms
ENTERPRENEURS
LAW
§ PRIMARY TYPES OF
Traditional Management Entrepreneurial Management
OFFICE ORGANIZATION § See change as a threat § Embrace change
§ ENTREPRENEURIAL § Avoid risk § Take risk
PRACTICE § Uniformity § Opportunity seeking
§ STRATEGIC PLANNING § Control § Innovation
§ Training § Rapid transfer of knowledge
FOR THE DESIGN FIRM § Effectiveness § Relationship
§ PRACTICING IN A GLOBAL § Conformity § Question status quo
MARKET § Long-term planning § Strategizing at all levels
§ OFFICE ADMINISTRATION § Functional management § Co-operation
§ Create certainty § Drive
§ KNOWLEDGE § Contracts § Tolerate uncertainty
MANAGEMENT § Efficiency § Not controlling
§ Discourage failure § Allow failure
§ Compartmentalized knowledge § Visions
§ Discipline § Learning
qMODULE 1: ENTREPRENEURIAL ARCHITECTURE
FIRM MANAGEMENT
Entrepreneurial management is about creating and
managing an entrepreneurial architecture – the network of
§ ARCHITECTS AND THE rational contracts within and around an organization – with
LAW customers, suppliers and staff.
§ PRIMARY TYPES OF
OFFICE ORGANIZATION Is is based on trust and underpinned by mutual self-interest.
§ ENTREPRENEURIAL
PRACTICE ENTREPRENEURIAL MANAGEMENT
FOR THE DESIGN FIRM Strategy
§ PRACTICING IN A GLOBAL Entrepreneurship Leadership
MARKET
§ OFFICE ADMINISTRATION Learning
Knowledge Entrepreneurial
§ KNOWLEDGE management organization
MANAGEMENT management
Innovation Culture
And creativity Marketing
DOMINANT LOGIC
qMODULE 1:
FIRM MANAGEMENT § Managers in an organization conceptualize the business
and make important resource allocation decisions.
§ Influences behavior, routines, strategies, structures,
LAW culture and systems.
§ PRIMARY TYPES OF
OFFICE ORGANIZATION § Take times to build-constantly be learned and unlearned.
§ ENTREPRENEURIAL § Entrepreneurship can be the basis for that dominant logic.
PRACTICE
§ STRATEGIC PLANNING ENTREPRENEURIAL INTENSITY
FOR THE DESIGN FIRM
§ PRACTICING IN A GLOBAL § One firm might produce a small number of
MARKET breakthrough developments (high on degree, low on
§ OFFICE ADMINISTRATION frequency) whilst another might produce many small
§ KNOWLEDGE development, none of which are breakthrough (low
MANAGEMENT degree, high on frequency). Morris & Kuratko (2002).
§ They agree that entrepreneurial intensity is a
combination of degree and frequency.
qMODULE 1: ARCHITECTURE
FIRM MANAGEMENT
Architecture is the rational contracts within and around an
§ ARCHITECTS AND THE organization –with customers, suppliers and staff. It is based
LAW on trust and underpinned by mutual self-interest.
§ PRIMARY TYPES OF John Kay (1993)
OFFICE ORGANIZATION
§ ENTREPRENEURIAL
PRACTICE § It replicates the entrepreneur’s ability to build
§ STRATEGIC PLANNING relationships
FOR THE DESIGN FIRM § It is informal
MARKET § It allows organization to act quickly
§ OFFICE ADMINISTRATION § It creates organizational learning and knowledge
§ KNOWLEDGE § It is difficult to copy
MANAGEMENT
§ It creates barriers to entry
qMODULE 1: BUILDING ARCHITECTURE
FIRM MANAGEMENT
CULTURE STRATEGIES
LAW
§ PRIMARY TYPES OF
OFFICE ORGANIZATION STRUCTURES
§ ENTREPRENEURIAL
PRACTICE
§ STRATEGIC PLANNING THE LEARNING ORGANIZATION
FOR THE DESIGN FIRM
§ PRACTICING IN A GLOBAL A learning organization is one that:
MARKET
‘facilitates the learning of all its members and continuously
transform itself…. adapting, changing, developing and
§ KNOWLEDGE transforming themselves in response to the needs, wishes
MANAGEMENT and aspirations of people, inside and outside.’
Pedler, Burboyno and Boydell
qMODULE 1: THE LEARNING ORGANIZATION
FIRM MANAGEMENT
Form
§ ARCHITECTS AND THE concepts
LAW
§ PRIMARY TYPES OF
OFFICE ORGANIZATION Test
§ ENTREPRENEURIAL Reflects concepts
PRACTICE
FOR THE DESIGN FIRM
§ PRACTICING IN A GLOBAL Experience
MARKET
§ KNOWLEDGE
MANAGEMENT
FIRM MANAGEMENT
Form
§ ARCHITECTS AND THE KNOW-HOW concepts
LAW
§ PRIMARY TYPES OF
PRACTICE
FOR THE DESIGN FIRM
§ PRACTICING IN A GLOBAL Experience KNOW-WHY
MARKET
§ KNOWLEDGE
MANAGEMENT
FIRM MANAGEMENT
Form
§ ARCHITECTS AND THE KNOW-HOW concepts
LAW
§ PRIMARY TYPES OF
PRACTICE
FOR THE DESIGN FIRM
§ PRACTICING IN A GLOBAL Experience KNOW-WHY
MARKET
§ OFFICE ADMINISTRATION Mental Models
§ KNOWLEDGE
MANAGEMENT § Assumptions
§ Theories about the world
MAJOR CONCEPTS OF THE LEARNING
qMODULE 1: ORGANIZATION
FIRM MANAGEMENT
§ True learning is by acquiring both know-how and know-
§ ARCHITECTS AND THE why through the wheel of learning and thereby
LAW understanding causality
§ PRIMARY TYPES OF
OFFICE ORGANIZATION § Mental models are shaped by and help shape
experience
§ ENTREPRENEURIAL
PRACTICE § Learning happens when you share, examine and
§ STRATEGIC PLANNING challenge mental models
FOR THE DESIGN FIRM § The most effective learning is social and active – not
§ PRACTICING IN A GLOBAL individual and passive
MARKET
§ OFFICE ADMINISTRATION § The most important things are to learn tacit things –
intuition, judgement and expertise
§ KNOWLEDGE
MANAGEMENT
qMODULE 1: ENTREPRENEURIAL LEADERS
FIRM MANAGEMENT
‘Entrepreneurs are patient leaders, capable of instilling
§ ARCHITECTS AND THE tangible visions and managing for the long haul. The
LAW entrepreneur is at once a learner and teacher, a doer and
§ PRIMARY TYPES OF visionary.’
OFFICE ORGANIZATION Jeffrey Timmons(1999)
§ ENTREPRENEURIAL
PRACTICE
FOR THE DESIGN FIRM The best way I know to establish
and maintain a healthy,
§ PRACTICING IN A GLOBAL competitive culture is to partner
MARKET with people-through shared
§ OFFICE ADMINISTRATION objectives and common
§ KNOWLEDGE strategies
MANAGEMENT
Michael Dell
Reference:
Corporate Entrepreneurship (Entrepreneurial Architecture) Paul Burns
qCREATING A CULTURE OF ENTREPRENEURSHIP
qMODULE 1:
FIRM MANAGEMENT IMPORTANCE OF INNOVATION
§ ARCHITECTS AND THE § Study shows 65% of CEO’s rated innovation as one of their
LAW top 3 priorities for the next ten years. Or “extremely or
§ PRIMARY TYPES OF highly” important.
OFFICE ORGANIZATION
§ ENTREPRENEURIAL “The inability to innovate results in decline and extinction.”
PRACTICE Peter Drucker
FOR THE DESIGN FIRM § …as the business world becomes increasingly complex
§ PRACTICING IN A GLOBAL and still more competitive, companies are turning to
MARKET innovation as one of the few durable sources of
§ OFFICE ADMINISTRATION competitive advantage…
§ KNOWLEDGE § …the necessity of innovation is now universally accepted,
MANAGEMENT but beyond their enthusiasm for bright ideas, most leaders
know that to be successful over the long term they have
to develop a strong innovation culture…
DRIVERS OF INNOVATION
qMODULE 1:
FIRM MANAGEMENT § EXTERNAL:
ØRespond to the customer demands
§ ARCHITECTS AND THE ØTechnology
LAW ØRate of change – product life cycles
§ PRIMARY TYPES OF ØCollaborations/alliances with customers
OFFICE ORGANIZATION ØGlobalization/Increased competition
§ ENTREPRENEURIAL
PRACTICE § INTERNAL:
ØRevenue/profit margins/market share
FOR THE DESIGN FIRM ØOperational efficiency
MARKET TYPES OF INNOVATION
§ Business Model or Strategy Innovation
§ KNOWLEDGE
MANAGEMENT § Process or Operational Efficiency Innovation
§ Product/Services/Markets Innovation
qMODULE 1: TYPES OF INNOVATIONS
FIRM MANAGEMENT § Business Model or Strategy Innovation
§ ARCHITECTS AND THE § Process or Operational Efficiency Innovation

LAW § Product/Services/Markets Innovation
§ PRIMARY TYPES OF
OFFICE ORGANIZATION TRAITS OF SUCCESSFUL INNOVATORS
§ ENTREPRENEURIAL
PRACTICE
FOR THE DESIGN FIRM
MARKET
§ KNOWLEDGE
MANAGEMENT
qMODULE 1: TRAITS OF SUCCESSFUL INNOVATORS
FIRM MANAGEMENT
§ Senior Management Buy-in and Support
§ ARCHITECTS AND THE § External and Customer Focus
LAW ØLead users
§ PRIMARY TYPES OF ØMarket research
OFFICE ORGANIZATION ØCustomization
§ ENTREPRENEURIAL
PRACTICE § Teamwork and Collaboration
ØDiversity
FOR THE DESIGN FIRM ØCross-functional
§ PRACTICING IN A GLOBAL ØLeader support
MARKET ØInternal and external
§ OFFICE ADMINISTRATION § Correct Resources
§ KNOWLEDGE ØTime-Money-Priority
MANAGEMENT ØThreshold of sufficiency
qMODULE 1: TRAITS OF SUCCESSFUL INNOVATORS
FIRM MANAGEMENT
§ Org. Communication and Sharing
ØAll direction
LAW ØWork-in-progress
§ PRIMARY TYPES OF ØLessons learned
OFFICE ORGANIZATION ØCollaboration tools
§ ENTREPRENEURIAL § Ability to Select Right Ideas
PRACTICE ØUnit manager responsibility
§ STRATEGIC PLANNING ØIndependent reviews
FOR THE DESIGN FIRM
§ PRACTICING IN A GLOBAL § Ability to Identify Creative People
MARKET ØRecruit/retain
§ OFFICE ADMINISTRATION ØTrain
§ KNOWLEDGE ØStimulating environment
MANAGEMENT ØTime and resources
§ Freedom to innovate – Smart Risk Taking
TRAITS OF SUCCESSFUL INNOVATORS
qMODULE 1: § Innovation Measurement and Scoreboard
FIRM MANAGEMENT ØInnovation index
ØCustomer metrics
§ ARCHITECTS AND THE ØEmployee metrics
LAW
§ Compensation
§ PRIMARY TYPES OF
OFFICE ORGANIZATION § Evaluation and reward models
§ ENTREPRENEURIAL
PRACTICE TRAITS OF SUCCESSFUL INNOVATORS
§ Unsupportive culture and climate
FOR THE DESIGN FIRM
§ PRACTICING IN A GLOBAL § Insufficient resuorces
MARKET § No formal strategy for innovation
§ KNOWLEDGE § Lack of clear goals/priorities
MANAGEMENT § Lack of leadership/management support
§ Short-term mindset
§ Structure not geared to innovation
qMODULE 1: WHAT IS STRATEGY?
FIRM MANAGEMENT
Strategy is the direction and scope of a business over the
long term in order to achieve competitive advantage
§ ARCHITECTS AND THE through its configuration of resources within a changing
LAW environment, meeting the needs of market and fulfilling
§ PRIMARY TYPES OF stakeholders expectation.
OFFICE ORGANIZATION
§ ENTREPRENEURIAL “SUCCESS”
PRACTICE
§ STRATEGIC PLANNING § Strategy must match environment
FOR THE DESIGN FIRM
§ PRACTICING IN A GLOBAL § Capabilities must match strategy
MARKET
§ KNOWLEDGE
MANAGEMENT Environment Strategy Capabilities
Environment Capabilities
qMODULE 1: § Macro Forces § Financial
FIRM MANAGEMENT ØSocial, political § Physical
ØEconomic, technology
§ ARCHITECTS AND THE § Technology
LAW § Competitive Forces § Systems
§ PRIMARY TYPES OF ØCustomers
§ Human
OFFICE ORGANIZATION ØSuppliers
ØCompetitors § Culture
§ ENTREPRENEURIAL
PRACTICE Sources of Innovative Ideas
FOR THE DESIGN FIRM
MARKET
§ KNOWLEDGE
MANAGEMENT
LESSONS
qMODULE 1:
FIRM MANAGEMENT § Example of the process of “Strategic Shift” – acquisition-
based, productivity driven strategy versus an innovation-
based organic growth strategy
LAW
§ PRIMARY TYPES OF § A company’s strategic intent needs to be matched by
OFFICE ORGANIZATION both organizational capability and managerial
competence…. an example of asset development
§ ENTREPRENEURIAL
PRACTICE
§ STRATEGIC PLANNING § Organizing Capability and its development as a source of
FOR THE DESIGN FIRM competitive advantage
MARKET § Translating broad strategic objectives into a program of
§ OFFICE ADMINISTRATION implementable action
§ KNOWLEDGE
MANAGEMENT § The role of managers at the front, senior and top levels in
shaping and implementing a growth strategy
Reference: www.emba.pitt.edu
END OF TOPIC
qMODULE 1: qSTRATEGIC PLANNING FOR THE DESIGN FIRM
FIRM MANAGEMENT § A key component for starting, running, and growing a firm is
setting up a strategy that provides clear direction, yet it’s a
§ ARCHITECTS AND THE component that’s often absent. Just think how unprepared a
LAW professional baseball team would be without a carefully
§ PRIMARY TYPES OF determined plan that addresses the starting pitcher rotation and
OFFICE ORGANIZATION batting order. Without a strategy, the team will win games, but
§ ENTREPRENEURIAL they won’t win a World Series.
PRACTICE
§ STRATEGIC PLANNING § Many interiors and architectural firms operate without the
FOR THE DESIGN FIRM guidance of a long-term business or strategic plan. The
§ PRACTICING IN A GLOBAL visualization of a goal is a powerful tool for achieving an
MARKET objective, and since designers are visual people, it becomes even
§ OFFICE ADMINISTRATION more potent. An effective plan does not need to be dozens of
§ KNOWLEDGE pages filled with graphs. Here are steps to help organize your
MANAGEMENT thinking:
FIRM MANAGEMENT
§ Decide what you and the firm want to be when you grow up.
§ ARCHITECTS AND THE Without a clear image of where the firm is going, you are
LAW unlikely to get there. Include detail. The image of the future
§ PRIMARY TYPES OF firm must be unambiguous, but the specific tasks to get there
OFFICE ORGANIZATION must be particularly well-defined and clear.
§ ENTREPRENEURIAL
PRACTICE § Create winnable tactics. There will be many components
§ STRATEGIC PLANNING needed to achieve the goals of the strategy, so make the
FOR THE DESIGN FIRM tasks manageable enough that they can be accomplished.
MARKET § Develop measurable milestones. Based on the strategic
§ OFFICE ADMINISTRATION objective and the tactics to get there, you must establish
§ KNOWLEDGE waypoints that can be used to measure success or failure.
MANAGEMENT Without objective measurement, you cannot truly affect
outcomes.
FIRM MANAGEMENT
§ Validate efforts against the schedule. Make regular status
§ ARCHITECTS AND THE reports to staff and share successes and failures. For
LAW example, report that you may have missed an important
§ PRIMARY TYPES OF deadline, but have come up with an alternative approach.
OFFICE ORGANIZATION Staff will recognize that you are including everyone in the
§ ENTREPRENEURIAL process and will be appreciative.
PRACTICE
§ STRATEGIC PLANNING § Deal with distractions. When you run into unforeseen
FOR THE DESIGN FIRM business exigencies and speed bumps, do your best to handle
§ PRACTICING IN A GLOBAL them in a way that will not significantly disrupt the practice.
MARKET
§ OFFICE ADMINISTRATION § The steps outlined above show a straightforward and concise
§ KNOWLEDGE process for strategic planning, but success or failure depends
MANAGEMENT upon honesty and communication. Let’s say that there are
two principals who have been working together for some
years but are not satisfied with revenue, profit, work/life
balance, type of projects, etc.
FIRM MANAGEMENT
§ One solution is to have an objective third party participate in
§ ARCHITECTS AND THE the early conversations to act as facilitator and foil. The
LAW facilitator meets with each principal separately, then both
§ PRIMARY TYPES OF together, to help develop clarity about the principals’ goals.
OFFICE ORGANIZATION
§ ENTREPRENEURIAL § The outside enabler might use a Socratic “listen, challenge,
PRACTICE champion” methodology to hear each partner’s goals,
§ STRATEGIC PLANNING question the stated objectives to be certain that any hidden
FOR THE DESIGN FIRM agendas have been revealed, and then act as an advocate to
§ PRACTICING IN A GLOBAL help the strategic planning process move to successful
MARKET completion. But remember: The plan is never really finished
§ OFFICE ADMINISTRATION and must be reviewed and updated periodically.
§ KNOWLEDGE
MANAGEMENT
Richard N. Pollack, FAIA, FIIDA

qMODULE 1: q PRACTICING IN A GLOBAL MARKET
FIRM MANAGEMENT

LAW
§ PRIMARY TYPES OF
OFFICE ORGANIZATION
§ ENTREPRENEURIAL
PRACTICE
FOR THE DESIGN FIRM
MARKET
§ OFFICE ADMINISTRATION § Globalization has been driving the standardization of spaces
§ KNOWLEDGE and architecture. It has been transforming cities, shifting
MANAGEMENT spatial patterns, and shaping the built form and environment.
This homogenization has been leading to similar built spaces
and has been disconnecting man from the built environment.
FIRM MANAGEMENT
§ Globalization refers to what Held has called “the speeding up in
§ ARCHITECTS AND THE world-wide connectedness in all aspects of social life.” What we
LAW see in cities – the urban landscape – is displaying increasingly
§ PRIMARY TYPES OF visually similar and homogenized architecture, particularly as a
OFFICE ORGANIZATION result of the similar ideologies and concepts leading to an effect
§ ENTREPRENEURIAL of globalization on the built and spatial environment.
PRACTICE
§ STRATEGIC PLANNING Hans Ibelings suggests it was the ‘big hotels‘ and ‘glass
FOR THE DESIGN FIRM box‘ office buildings of the l950s and 60s which sparked
MARKET
off the global ‘architectural homogenization‘ Ibelings
§ OFFICE ADMINISTRATION maintains that ‘uniformity and standardization‘ also
§ KNOWLEDGE manifests itself in ‘singular structures like conference
MANAGEMENT halls, theatres, exhibition complexes, churches, and
stadiums.’
FIRM MANAGEMENT
§ Globalization refers to what
§ ARCHITECTS AND THE Held has called “the speeding
LAW up in world-wide
§ PRIMARY TYPES OF connectedness in all aspects
OFFICE ORGANIZATION of social life.” What we see in
§ ENTREPRENEURIAL cities – the urban landscape –
PRACTICE is displaying increasingly
§ STRATEGIC PLANNING visually similar and
FOR THE DESIGN FIRM homogenized architecture,
§ PRACTICING IN A GLOBAL particularly as a result of the
MARKET similar ideologies and
§ OFFICE ADMINISTRATION concepts leading to an effect
§ KNOWLEDGE of globalization on the built
MANAGEMENT and spatial environment.
FIRM MANAGEMENT
§ Homogenization is an idea of some or all things becoming or being
made the same and that can be understood from various
viewpoints. To imitate or copy is a conscious act. It can be a form
LAW
of flattery or admiration. What is copied is deliberately distorted,
§ PRIMARY TYPES OF made fun of, or made ‘almost the same but not quite‘ (Bhabha,
OFFICE ORGANIZATION
1992). The point of mimicry is to recognize the presence of others
§ ENTREPRENEURIAL and yet simultaneously assert one’s presence and build an
PRACTICE
identity.
FOR THE DESIGN FIRM
§ The fact that similar types of buildings, used for the same purpose
and frequently bearing a similar name, appearance and spatial
MARKET
form and characteristic to it can be found in different places in the
world. People tend to follow the same type of buildings
§ KNOWLEDGE irrespective of the geographical locations and this has created
MANAGEMENT
monotony in architecture and loss of the rich identity of a place or
city through its architecture.
FIRM MANAGEMENT
§ Contextual architecture responds to its surroundings by respecting
what already exists- both tangible and intangible aspects. one
needs to understand his surroundings and create dialogue. The
LAW
building should not be isolated. It is also important that buildings
§ PRIMARY TYPES OF respond to the environment which can help to control the
OFFICE ORGANIZATION
temperature concerning the context. Lastly, one must understand
§ ENTREPRENEURIAL the culture of a place and translate it and preserve it in
PRACTICE
architecture.
FOR THE DESIGN FIRM
§ Architectural structures, as well as mere remembered
architectural images, serve as significant memory devices in three
MARKET
different ways: first, they materialize and preserve the course of
time and make it visible; second, they concretize remembrance by
§ KNOWLEDGE containing and projecting memories; and, third, they stimulate
MANAGEMENT
and inspire us to reminisce and imagine.
qMODULE 1: § ARCHITECTURAL PRACTICE – COMPETITIVENESS
FIRM MANAGEMENT
§ Human capital is a vital factor in the success of any substantial
development. One of the most significant assets of any society is its
lively and vibrant youth. While many developed societies are
LAW
concerned with aging populations, more than half of the
§ PRIMARY TYPES OF
developing societies' population is below the age of 25 years.
OFFICE ORGANIZATION
§ ENTREPRENEURIAL
§ It is important for developing countries to take advantage of this
PRACTICE
demographic dividend by harnessing youth’s energy and providing
FOR THE DESIGN FIRM them by the required skills.
§ In a world without borders, achieving desired rate of economic
MARKET
growth require an environment that attracts the necessary skills
and capabilities both from within the local society and beyond
§ KNOWLEDGE
national borders. This means building, attracting and retaining the
MANAGEMENT
finest local minds, and provide them with all they need.
§ Architecture record annual statistics of the top twenty firms in
qMODULE 1: the world showed that, 65% of the twenty top firms get more
FIRM MANAGEMENT than 45% of their revenue out of practicing architecture design
while 45% of them coming from architectural engineering
§ ARCHITECTS AND THE consultations.
LAW
§ PRIMARY TYPES OF § Three of these firms gets more than 40% of their revenue from
OFFICE ORGANIZATION international practicing. Results of the top twenty firms'
§ ENTREPRENEURIAL revenues distribution are presented in figures 5, 6 and 7.
PRACTICE (Architectural Record, 2016)
FOR THE DESIGN FIRM
MARKET
§ KNOWLEDGE
MANAGEMENT
Moreover, Job sites like LinkedIn statics shows that job postings for
qMODULE 1: architects are almost more than half of the engineering job postings
FIRM MANAGEMENT (shown on figure 1). It shows also that knowledge of computer
software like AutoCAD, Sketch UP, Revit and Photoshop are essential
skills specially for fresh graduates. Figure 2 shows the distribution of
LAW the key skills where architectural design comes first then computer
§ PRIMARY TYPES OF software. (LinkedIn, 2017)
OFFICE ORGANIZATION
§ ENTREPRENEURIAL
PRACTICE
FOR THE DESIGN FIRM
MARKET
§ KNOWLEDGE
MANAGEMENT
§ REQUIRED SKILLS AND KNOWLEDGE:
qMODULE 1:
FIRM MANAGEMENT Percent of Design Revenue from Architecture Firm Names:
§ ARCHITECTS AND THE Gensler AECOM Perkins + Will Jacobs

LAW ARCADIS/Callison
§ PRIMARY TYPES OF RTKL HOK HKS Inc.
OFFICE ORGANIZATION CH2M HDR Bechtel
§ ENTREPRENEURIAL Skidmore, Owings & Merrill…
PRACTICE Stantec Inc.
§ STRATEGIC PLANNING IBI Group
FOR THE DESIGN FIRM Perkins Eastman
§ PRACTICING IN A GLOBAL Kohn Pedersen Fox…
MARKET Woods Bagot
§ OFFICE ADMINISTRATION NBBJ
§ KNOWLEDGE ZGF Architects
MANAGEMENT LLP Cannon Design Populous
Reference:
Ahmed Mohamed Shehata, Ibraheem N. A. Al-Bukhari
Surveying Job postings of the top firms that gets their revenue
qMODULE 1:
from practicing architecture, shows that the required skills can
FIRM MANAGEMENT vary based on the job but in general key skills can be classified
into the following categories: (LinkedIn, 2017)
LAW CODES KNOWLEDGE: knowledge of codes and ability to interpret
§ PRIMARY TYPES OF them and ensure designs meet codes is an essential aspect of any
OFFICE ORGANIZATION architecture job. ( Vanessa,2017)
§ ENTREPRENEURIAL • Architectural Codes • Leadership in Energy &
PRACTICE Environmental Design (LEED)
§ STRATEGIC PLANNING • Building Codes • Zoning Codes
FOR THE DESIGN FIRM TECHNICAL DESIGN SKILLS
§ PRACTICING IN A GLOBAL Using computer programs and processes are the key skills for
MARKET architectural design:
§ OFFICE ADMINISTRATION • Technical Vision • AutoCAD • Revit
§ KNOWLEDGE • Drafting • Model Making • Design Concepts
MANAGEMENT • Design to Delivery • Plans • Industrial Design
• Sustainable Design • Specifications • Rendering
• Computer Aided Design (CAD) • Computer Processing
qMODULE 1: BUILDING AND CONSTRUCTION SKILLS
FIRM MANAGEMENT Awareness of requirement and process of different kind of buildings
and construction, their settings and its surroundings require the
§ ARCHITECTS AND THE following skills:
LAW • Building Construction • Building Systems • Construction
§ PRIMARY TYPES OF Administration • Construction Documents • Industrial Design •
OFFICE ORGANIZATION Installation • New Construction • Preservation • Retail •
§ ENTREPRENEURIAL Rehabilitation • Renovation • Residential
PRACTICE PROJECT MANAGEMENT SKILLS:
§ STRATEGIC PLANNING The following skills needs to be pursued and developed through
FOR THE DESIGN FIRM study and practice on real projects:
§ PRACTICING IN A GLOBAL • Analysis • Conceptualization • Budgeting
MARKET • Coordination • Client Relations • Collaboration
§ OFFICE ADMINISTRATION • Communication • Legal • Design to Delivery
§ KNOWLEDGE • Zoning Codes • Finance • Management • Problem Solving
MANAGEMENT • Project Management • Scheduling • Estimating
• Specifications • Building Codes • Architectural Codes
• Solving Complex Problems • Seeing Big Picture Results
• Leadership in Energy & Environmental Design (LEED)
qMODULE 1:
FIRM MANAGEMENT

LAW
§ PRIMARY TYPES OF
OFFICE ORGANIZATION
§ ENTREPRENEURIAL
PRACTICE OFFICE ADMINISTRATION
FOR THE DESIGN FIRM
MARKET
§ KNOWLEDGE
MANAGEMENT
qMODULE 1: qOFFICE ADMINISTRATION
FIRM MANAGEMENT
§ For an industry that often appears to be on the cutting edge
§ ARCHITECTS AND THE of design and technology, architectural firms are curiously
LAW backward when it comes to applying advanced
§ PRIMARY TYPES OF technologies and new approaches to solving problems within
OFFICE ORGANIZATION their own firms.
§ ENTREPRENEURIAL
PRACTICE
§ This has never been more evident than in Q2-2020. Suddenly,
FOR THE DESIGN FIRM
every firm around the globe was faced with the need to move
§ PRACTICING IN A GLOBAL all employees to a work-from-home environment. Firms that
MARKET had on-premise servers and were managing their office with
§ OFFICE ADMINISTRATION desktop software products like Quickbooks and Microsoft
§ KNOWLEDGE Excel suddenly discovered the enormous flaws in the
MANAGEMENT structure underlying their firm.
FIRM MANAGEMENT
§ The costs associated with moving to a remote workforce are
§ ARCHITECTS AND THE still piling up.
LAW
§ PRIMARY TYPES OF
Ø First, there were IT consultant fees in addition to
OFFICE ORGANIZATION
§ ENTREPRENEURIAL
hardware and software costs related to creating a Virtual
PRACTICE Private Network (VPN), installing software on home
§ STRATEGIC PLANNING computers, and getting everything to connect.
FOR THE DESIGN FIRM
§ PRACTICING IN A GLOBAL Ø Secondly, these costs were compounded by lost revenue
MARKET related to downtime and low or no productivity while
§ OFFICE ADMINISTRATION systems were being created to accommodate the remote
§ KNOWLEDGE workforce.
MANAGEMENT
FIRM MANAGEMENT § The good news is that studies show that firms can save
enormously by maintaining a remote workforce. These
savings include increases to productivity (i.e. no commuting),
LAW
§ PRIMARY TYPES OF
reductions related to office space (rent, utilities, insurance),
OFFICE ORGANIZATION reduction in absenteeism, and improved continuity of
§ ENTREPRENEURIAL operations. One such study shows almost billion/year saved
PRACTICE by having a remote or distributed workforce.
§ STRATEGIC PLANNING § Architects were fairly quick to implement Computer-Aided
FOR THE DESIGN FIRM
Design tools (CAD). It took about a decade for nearly every
MARKET firm to move from the traditional practice of hand drawing
§ OFFICE ADMINISTRATION projects to software. By the end of the 1990s, if your firm
§ KNOWLEDGE wasn’t using some type of CAD program, you are probably no
MANAGEMENT longer in business. CAD morphed into BIM and the adoption
rate actually decelerated. Unfortunately, it really takes a
major disruptive event to get architects to change their
behaviors.
FIRM MANAGEMENT PROBLEMS WITH THE OFFICE PARADIGM
§ ARCHITECTS AND THE § Since COVID-19, firms have been forced to recognize that the
LAW
old definition of the “workspace” has changed. Technology
§ PRIMARY TYPES OF
OFFICE ORGANIZATION platforms have risen to the challenge and proved that
§ ENTREPRENEURIAL business can (and will) continue in spite of physical
PRACTICE restrictions. We have before us a virtual golden fleece. We
§ STRATEGIC PLANNING have hit the inflection point, and all resistance is futile.
FOR THE DESIGN FIRM
§ PRACTICING IN A GLOBAL § For those of you who spend considerable money each month
MARKET on rent, you can’t help but wonder. Prior to COVID-19, the
§ OFFICE ADMINISTRATION main question you may have had was about the cost-per-
§ KNOWLEDGE square-foot. Today you’re wondering, “Do we need all (or any
MANAGEMENT
of) that space?”
FIRM MANAGEMENT PROBLEMS WITH THE OFFICE PARADIGM
§ ARCHITECTS AND THE § It’s already been made clear that you can produce effectively
LAW
with a remote workforce. To make matters worse (or
§ PRIMARY TYPES OF
OFFICE ORGANIZATION better), Global Workplace Analytics has shown that the
§ ENTREPRENEURIAL typical employer can save tens of thousandsyear
PRACTICE for each employee that works remotely half the
§ STRATEGIC PLANNING time! When looking at your bottom line, it’s not
FOR THE DESIGN FIRM easy to ignore the value of a remote workforce.
MARKET § Where the office was once a requirement for
§ OFFICE ADMINISTRATION accessing copiers, physical files, computers,
§ KNOWLEDGE printers, and the local area network (LAN); today,
MANAGEMENT cloud computing has removed many of our
assumptions about a physical office. We need to
rethink its purpose.
FIRM MANAGEMENT
§ It is clear that the office of the future no longer
needs to be anchored to a physical location.
LAW Physical, human interaction can’t be denied, but
§ PRIMARY TYPES OF there is no reason you have to invest so much
OFFICE ORGANIZATION money into a dedicated space when staff desire
§ ENTREPRENEURIAL increased flexibility about where they work.
PRACTICE Employees will most likely be demanding personal
§ STRATEGIC PLANNING choice, and employers will need to concede.
FOR THE DESIGN FIRM
§ PRACTICING IN A GLOBAL § Many firms have looked upon their office space as a
MARKET
marketing tool for both clients and prospective
employees. It’s a showroom, and as architects, what
§ KNOWLEDGE
MANAGEMENT could be more important than the built
environment? This is what our clients come to us
for and what future talent responds to. So how are
we to consider our future office?
FIRM MANAGEMENT § According to a recent article from the Harvard Business Review,
WeWork is clearly positioned to help businesses deal with this
§ ARCHITECTS AND THE paradigm shift. Regardless of your feelings about the long-term
LAW prognosis for WeWork, what is clear is that the shared work
§ PRIMARY TYPES OF environment has amazing opportunities that have yet to be
realized. The WeWork of the last decade is nothing like the
OFFICE ORGANIZATION
WeWork (and its competitors) of the coming decade. You’re
§ ENTREPRENEURIAL about to see fantastic changes in commercial real estate.
PRACTICE
FOR THE DESIGN FIRM HOW TO BECOME A FIRM OF THE FUTURE: START FROM FIRST
§ PRACTICING IN A GLOBAL PRINCIPLES
MARKET
§ OFFICE ADMINISTRATION § Take a moment to think about what you would do if you were
§ KNOWLEDGE about to start a new firm today. To begin the exercise, start
MANAGEMENT from first principles and avoid carrying a single assumption
that we’ve all become accustomed to after decades of business
evolution.
FIRM MANAGEMENT § We all know that startups are real threats. They take
advantage of the problems inherent in existing businesses,
§ ARCHITECTS AND THE which have sunk costs, internal processes, and cultures that
LAW are highly resistant to change. This is why industry leaders
§ PRIMARY TYPES OF rarely innovate. It takes a nimble startup to freely challenge
everything since they have nothing at risk.
OFFICE ORGANIZATION
§ ENTREPRENEURIAL
SOFTWARE
PRACTICE
FOR THE DESIGN FIRM § So many of the traditional, major capital expenses have
disappeared. Today, the best software packages are all cloud-
§ PRACTICING IN A GLOBAL based subscriptions. The benefits are extraordinary. Not only
MARKET do you pay small amounts (typically monthly), but you are
§ OFFICE ADMINISTRATION guaranteed to always have the most current version and never
§ KNOWLEDGE have to worry about spending money every year or two for
MANAGEMENT upgrades.
FIRM MANAGEMENT § We all know that startups are real threats. They take
advantage of the problems inherent in existing businesses,
§ ARCHITECTS AND THE which have sunk costs, internal processes, and cultures that
LAW are highly resistant to change. This is why industry leaders
§ PRIMARY TYPES OF rarely innovate. It takes a nimble startup to freely challenge
everything since they have nothing at risk.
OFFICE ORGANIZATION
§ ENTREPRENEURIAL
SOFTWARE
PRACTICE
FOR THE DESIGN FIRM § So many of the traditional, major capital expenses have
disappeared. Today, the best software packages are all cloud-
§ PRACTICING IN A GLOBAL based subscriptions. The benefits are extraordinary. Not only
MARKET do you pay small amounts (typically monthly), but you are
§ OFFICE ADMINISTRATION guaranteed to always have the most current version and never
§ KNOWLEDGE have to worry about spending money every year or two for
MANAGEMENT upgrades.
FIRM MANAGEMENT HIRING
§ Depending on where you live, hiring qualified employees can
be either impossible or expensive. Today, we are no longer
LAW limited to talent in our own backyard. Perhaps those big,
§ PRIMARY TYPES OF established firms are comfortable paying top-dollar, but you
OFFICE ORGANIZATION can find people similarly talented around the world who are a
§ ENTREPRENEURIAL delight to work with and very often cost a fraction of the
PRACTICE amount. With a distributed business model, you have this
§ STRATEGIC PLANNING luxury without conceding anything.
FOR THE DESIGN FIRM
§ PRACTICING IN A GLOBAL CLIENTS
MARKET § Today, so many firms simply have a website and no defined
§ OFFICE ADMINISTRATION location. Telling visitors that you are located in (for example)
§ KNOWLEDGE Cleveland is of no value and often works against you if the
MANAGEMENT potential client is in Madrid. Every business can be instantly
global. You can even have local phone numbers around the
world for a fraction of what your old-fashioned landline cost.
Who uses a phone anyway?
FIRM MANAGEMENT AN OFFICE ON-DEMAND
§ Let’s think of it like WeWork for architects and designers. You
can go to any city in the future and meet my client at a
LAW meeting facility in the “mart.” You can reserved room(s) will be
§ PRIMARY TYPES OF temporarily branded with your company—since everything is
OFFICE ORGANIZATION digital and branding is easy, free, and has no carbon footprint.
§ ENTREPRENEURIAL Have at the fingertips every material sample, electrical,
PRACTICE plumbing, and mechanical fixture available. These products
§ STRATEGIC PLANNING will always be current. Since you only need that room for four
FOR THE DESIGN FIRM hours, that’s all you pay for. No long-term commitment or
§ PRACTICING IN A GLOBAL expense needed. The facilities will have everything and more
MARKET than most firms could ever imagine having.
§ KNOWLEDGE AUTOMATED TIMECARDS
MANAGEMENT § In the future, I will never need to fill out a timecard. While it
will still be advantageous to know what people are doing
throughout the day, our technology is more than capable of
figuring this out.
FIRM MANAGEMENT AUTOMATIC INVOICING AND PAYMENTS
§ ARCHITECTS AND THE § Invoicing clients is one of those horrible processes every firm
LAW endures. Generally, it takes a ridiculous amount of time for
§ PRIMARY TYPES OF people to stop, gather information (often fictional), and
OFFICE ORGANIZATION fabricate an invoice for a client. Instant invoicing and
§ ENTREPRENEURIAL payments are in our future. While BQE CORE has automated
PRACTICE invoicing, the time will come where even that will be
§ STRATEGIC PLANNING unnecessary.
FOR THE DESIGN FIRM
§ The days of waiting 30 days for a check to arrive in the mail and
§ PRACTICING IN A GLOBAL then waiting three more days before the bank decides to
MARKET complete processing it are over—if you only decided to accept
§ OFFICE ADMINISTRATION that change.
§ KNOWLEDGE
MANAGEMENT
FIRM MANAGEMENT RESOURCE ALLOCATION
§ ARCHITECTS AND THE § Many firms use software tools like BQE CORE to schedule their
LAW projects and manage the workload of their staff. These tools
§ PRIMARY TYPES OF are great for understanding staff utilization, forecasting
OFFICE ORGANIZATION revenue, and seeing who might be available to work on
§ ENTREPRENEURIAL potential upcoming projects. However, there is no denying that
even the best of these tools requires a lot of human
PRACTICE
interaction.
FOR THE DESIGN FIRM § The future will automatically take care of fixing project
§ PRACTICING IN A GLOBAL schedules. How? Well, it can do it in the same way that airports
MARKET manage gates. How many times have you been walking to your
§ OFFICE ADMINISTRATION gate when you notice it was moved to a different gate. That’s
§ KNOWLEDGE where technology steps in and takes over processes that
MANAGEMENT humans are accustomed to doing.
FIRM MANAGEMENT
CHANGE IS HAPPENING
LAW § Technology is advancing at an exponential rate. Our inability to
§ PRIMARY TYPES OF keep pace with it is the problem.
OFFICE ORGANIZATION
§ ENTREPRENEURIAL § Over the last few months, we have seen scores of businesses
PRACTICE close permanently, file for bankruptcy, or undergo some other
§ STRATEGIC PLANNING form of reorganization due to the fallout of COVID-19.
FOR THE DESIGN FIRM
§ What’s exciting to think about is how those who pick up the
§ PRACTICING IN A GLOBAL remnants of these once formidable companies will be able to
MARKET reinvent them since they won’t have the weight of sunk costs
§ OFFICE ADMINISTRATION holding them back.
§ KNOWLEDGE
MANAGEMENT Reference:
The Future of Office Management for Architectural Firms / Jul 20, 2020
By Steven Burns, FAIA / Topics: Technology, Firm Operations
qMODULE 1:
FIRM MANAGEMENT

LAW
§ PRIMARY TYPES OF
OFFICE ORGANIZATION
§ ENTREPRENEURIAL
PRACTICE
KNOWLEDGE MANAGEMENT
FOR THE DESIGN FIRM
MARKET
§ KNOWLEDGE
MANAGEMENT
qMODULE 1: qKNOWLEDGE MANAGEMENT
FIRM MANAGEMENT KNOWLEDGE MANAGEMENT ARCHITECTURE
§ ARCHITECTS AND THE In this age of information, knowledge is the most important factor
LAW in the long-term success of both an individual and an
§ PRIMARY TYPES OF organization. In fact, Peter Senge believes that the only source of
OFFICE ORGANIZATION competitive advantage in the future will be the knowledge that an
§ ENTREPRENEURIAL organization contains and organization’s ability to learn faster
PRACTICE than the competition.
§ STRATEGIC PLANNING § With knowledge taking on increased importance, it makes
FOR THE DESIGN FIRM sense that there is an opportunity to create competitive
§ PRACTICING IN A GLOBAL advantage by effectively managing its storage and use. An
MARKET effective knowledge management (KM) architecture creates
§ OFFICE ADMINISTRATION competitive advantage by bringing appropriate knowledge to
§ KNOWLEDGE the point of action during the moment of need.
MANAGEMENT
§ Employee turnover is also reduced because a large portion of
the knowledge and expertise acquired by the employee is
captured in the knowledge base.
FIRM MANAGEMENT WHAT IS ANARCHITECTURE?
§ ARCHITECTS AND THE Ø architecture means offering or rendering professional

LAW services in connection with the design and construction
§ PRIMARY TYPES OF of buildings, or built environments.
OFFICE ORGANIZATION Ø Here, in the context of Knowledge Management
§ ENTREPRENEURIAL Architecture, “Architecture” conveys the mean of
PRACTICE “designing, planning and method of constructing
§ STRATEGIC PLANNING knowledge management procedure and process.
FOR THE DESIGN FIRM
§ PRACTICING IN A GLOBAL KNOWLEDGE MANAGEMENT ARCHITECTURE
MARKET
The knowledge management architecture consists of four
elements namely:
§ KNOWLEDGE
1. Knowledge Components,
MANAGEMENT
2. Knowledge Management process
3. Information Technology (IT), and
4. Organizational Aspects
qKNOWLEDGE MANAGEMENT
qMODULE 1: 1. KNOWLEDGE COMPONENT INCLUDES:
FIRM MANAGEMENT Ø Knowledge Definition
Ø Knowledge Categories Knowledge categories has often been
§ ARCHITECTS AND THE viewed differently by various researchers.
LAW 2. KNOWLEDGE MANAGEMENT PROCESS
§ PRIMARY TYPES OF On the other hand, contains Steps & Activities to deal with
OFFICE ORGANIZATION knowledge. These steps and activities are explained in the
§ ENTREPRENEURIAL following slides.
PRACTICE
§ STRATEGIC PLANNING 3. INFORMATION TECHNOLOGY CONSISTS OF:
FOR THE DESIGN FIRM ITs related support infrastructure such as communication lines,
§ PRACTICING IN A GLOBAL networks, database and many others.
MARKET 4. Lastly, Organizational Aspects comprise the
§ OFFICE ADMINISTRATION Ø Organizational Structure,
§ KNOWLEDGE Ø Corporate Culture, and
MANAGEMENT Ø Human Resource Management.
Among these four elements, knowledge and knowledge
management process are the key components of the knowledge
management concept.
FIRM MANAGEMENT § KNOWLEDGE COMPONENTS
(a)Definition
§ ARCHITECTS AND THE (b)Categories
LAW
§ PRIMARY TYPES OF § KM PROCESS
OFFICE ORGANIZATION (a)Steps
§ ENTREPRENEURIAL (b)Activities
PRACTICE
§ STRATEGIC PLANNING § ITs
FOR THE DESIGN FIRM (a)Communication Lines
§ PRACTICING IN A GLOBAL (b)Networks
MARKET (c) Databases etc
§ KNOWLEDGE § ORGANIZATIONAL ASPECTS
MANAGEMENT (a)Organizational Structure
(b)Corporate Culture
(c)Human Resource Management
FIRM MANAGEMENT KNOWLEDGE MANAGEMENT ARCHITECTURE
§ ARCHITECTS AND THE § KNOWLEDGE COMPONENTS
LAW A knowledge component is a description of a mental
§ PRIMARY TYPES OF structure or process that a learner uses, alone or in
OFFICE ORGANIZATION combination with other knowledge components, to
§ ENTREPRENEURIAL accomplish steps in a task or a problem.
PRACTICE
§ STRATEGIC PLANNING § KNOWLEDGE MANAGEMENT PROCESS
FOR THE DESIGN FIRM KM process, as already has been told that is includes Steps
§ PRACTICING IN A GLOBAL and Activities to deal with knowledge, these steps and
MARKET activities are:
§ OFFICE ADMINISTRATION a) Knowledge Discovery and Detection
§ KNOWLEDGE b) Knowledge Organization and Assessment
MANAGEMENT c) Knowledge Sharing
d) Knowledge Reuse
e) Knowledge Creation
f) Knowledge Acquisition
FIRM MANAGEMENT These all form the backbone of the KM process as they outline
all aspects involved in the actual management of knowledge.
LAW Characteristics of KM Architecture
§ PRIMARY TYPES OF A successful knowledge management architecture must be:
OFFICE ORGANIZATION Ø Available (if knowledge exists, it is available for retrieval)
§ ENTREPRENEURIAL Ø Accurate in retrieval (if available, knowledge is retrieved)
PRACTICE Ø Effective (knowledge retrieved is useful and correct)
§ STRATEGIC PLANNING Ø Accessible (knowledge is available during the time of need
FOR THE DESIGN FIRM
MARKET
§ KNOWLEDGE
MANAGEMENT Reference:
Adnan Sarwar MLISc Aligarh Muslim University, Aligarh
MODULE 1
DISCUSSION 1
IN ORDER, DISCUSS WHICH LAWS AND GUIDELINES (NBC, LGU
/DESIGN DEVELOPMENT GUIDELINES) WOULD PREVAIL ON
PRIVATE DEVELOPMENTS SUCH AS BGC (BONIFACIO GLOBAL
CITY) OR SIMILAR DEVELOPMENTS, AND WHEN EACH OF
THESE ARE APPLICABLE.

BUSINESS
AND
APPLICATION
FOR
ARCHITECTURE
1
MODULE 2 CONTENTS:
q Project Delivery Methods

§ Architects Role in Construction Manager-Contracto
Project Delivery Method
§ Overview on Integrated Project Delivery
§ Contractor-Led Design Build
PROJECT § Architect-Led Design Build; Architect Developer
§ Emerging Issues in Project Delivery
DELIVERY
METHODS
q PROJECT DELIVERY METHODS
MODULE 2
PROJECT DELIVERY § A project delivery method is a system used by an agency or owner
METHODS for organizing and financing design, construction, operations, and
§ ARCHITECTS ROLE IN maintenance services for a structure or facility by entering into
CONSTRUCTION MANAGER- legal agreements with one or more entities or parties.
CONTRACTOR PROJECT § All construction projects begin with an owner - whether an
DELIVERY METHOD individual, company, institution, or public entity - identifying the
§ OVERVIEW ON INTEGRATED need for a capital improvement. Developing a plan to design and
PROJECT DELIVERY execute a project that will meet the program needs, technical
§ CONTRACTOR-LED DESIGN requirements, and vision of the owner can seem daunting. The
BUILD first step - and a critical one that will determine the success of the
§ ARCHITECT-LED DESIGN project - is selecting a team for the project.
BUILD; ARCHITECT
DEVELOPER § The project team will be responsible for translating the owner's
§ EMERGING ISSUES IN vision into an executed design, maximizing the outcome and
PROJECT DELIVERY minimizing risk. This section has been developed to assist those
involved in capital design and construction programs in
understanding how project teams are selected, procured,
contracted, and coordinated for successful project delivery.
ASSEMBLING A PROJECT DELIVERY TEAM
MODULE 2
Delivery teams typically include those professionals involved in the
PROJECT DELIVERY programming, planning, design and construction of the project. The size and
METHODS composition of the project team will vary depending on the extent of the capital
§ ARCHITECTS ROLE IN design, the construction budget, and the various facets of the project.
CONSTRUCTION MANAGER- Construction projects are typically regulated at the state-level, through state-
CONTRACTOR PROJECT specific building codes. States often require plans and specifications for new
buildings, major additions to existing buildings, and remodeling projects to be
DELIVERY METHOD
prepared by a licensed architect or engineer. Therefore, delivery teams typically
§ OVERVIEW ON INTEGRATED are led by an architect or an engineer.
PROJECT DELIVERY
§ CONTRACTOR-LED DESIGN CORE PROJECT TEAM MEMBERS: ROLES AND
BUILD RESPONSIBILITIES
§ ARCHITECT-LED DESIGN § OWNER - Establishes the vision and goals for the project and chooses
BUILD; ARCHITECT the project team
DEVELOPER § ARCHITECT -Plans, designs, and oversees the construction of a building.
§ EMERGING ISSUES IN Some architects specialize within the design profession by building type
PROJECT DELIVERY or service area
§ ENGINEER -Plans, designs, and oversees the construction of structures
and systems. There are many different types of engineers: civil (site
infrastructure), structural, mechanical (heating and cooling
systems), electrical (power and lighting), and plumbing. Some firms
offer multiple engineering disciplines.
q ARCHITECTS ROLE IN CONSTRUCTION MANAGER-
MODULE 2 CONTRACTOR PROJECT DELIVERY METHOD
PROJECT DELIVERY
METHODS There are at least three different building project delivery systems in use
§ ARCHITECTS ROLE IN today. Construction Management method is the preferred approach for many
CONSTRUCTION MANAGER- projects. Construction Management is a building project delivery system that
CONTRACTOR PROJECT uses the services of a professional manager, who in essence becomes the
third member of the traditional Owner/Architect team. The Construction
DELIVERY METHOD
Manager works with the Owner and the Architect in coordinating the entire
§ OVERVIEW ON INTEGRATED project, utilizing specialized skills and knowledge to bring a project in on time
PROJECT DELIVERY and on budget, all while maintaining the highest quality. This happens by
§ CONTRACTOR-LED DESIGN adding construction expertise and by enhancing services in the pre-
BUILD construction phases of the project: budgeting, value engineering,
§ ARCHITECT-LED DESIGN constructability reviews, scheduling, and phasing.
BUILD; ARCHITECT
DEVELOPER This process will ensure that the project
§ EMERGING ISSUES IN § meets the approved schedule,
PROJECT DELIVERY § meets all construction deadlines, and
§ is feasible concerning phased occupancy.
ARCHITECTS ROLE IN CONSTRUCTION MANAGER-
MODULE 2 CONTRACTOR PROJECT DELIVERY METHOD
PROJECT DELIVERY
METHODS When it comes time to build, the Construction Manger is totally familiar with
§ ARCHITECTS ROLE IN the project and will manage the bidding, awarding and construction phases
CONSTRUCTION MANAGER- of the project. I have worked on more than ten (10) different projects that
CONTRACTOR PROJECT have used the Construction Management method and this can endorse this
approach. What are the three different building project delivery systems?
DELIVERY METHOD
§ OVERVIEW ON INTEGRATED
There are at least three different building project delivery systems in use
PROJECT DELIVERY today:
§ CONTRACTOR-LED DESIGN § the General Construction model,
BUILD § Design/Build model, and
§ ARCHITECT-LED DESIGN § the Construction Management model.
BUILD; ARCHITECT
DEVELOPER § GENERAL CONSTRUCTION (GC)
§ EMERGING ISSUES IN § ARCHITECT provides all pre-construction services alone.
PROJECT DELIVERY § Builder often determined by low bid.
§ Owner hires a Clerk or Construction Administrator to observe
construction.
§ Owner has little control over the builder.
MODULE 2 With the General Contractor approach, the Architect and the Contractor are
not working together; in fact, they are often working against each other. The
PROJECT DELIVERY Architect often has a difficult time telling the Contractor to put more money
METHODS into the project after the contract is awarded or during the construction. The
§ ARCHITECTS ROLE IN Architect dominates the design phases while the Contractor dominates the
CONSTRUCTION MANAGER- construction phase of this delivery method.
CONTRACTOR PROJECT
§ DESIGN/BUILD (DB)
DELIVERY METHOD
§ ARCHITECT works for the builder.
§ OVERVIEW ON INTEGRATED § Builder determined by price, qualifications, and concept.
PROJECT DELIVERY § Single source responsibility for design and construction work.
§ CONTRACTOR-LED DESIGN § Owner often hires a Clerk-of-the-Works to observe construction
BUILD work.
§ ARCHITECT-LED DESIGN
BUILD; ARCHITECT With the Design Build approach, the Architect and the Contractor are
DEVELOPER working together in a business relationship, but realistically, the Architect is
§ EMERGING ISSUES IN going to have a very hard time telling the Contractor to put more money
into the project. The Contractor dominates this delivery method.
PROJECT DELIVERY
§ CONSTRUCTION MANAGEMENT (CM)
MODULE 2 § ARCHITECT and Construction Manager provide pre-construction
PROJECT DELIVERY services, as a team.
§ Builder selected based on qualifications and fee if desired.
METHODS § No additional Owner on-site representation required.
§ ARCHITECTS ROLE IN § Choice and control of the sub-contractors.
CONSTRUCTION MANAGER-
With the Construction Management approach, the Architect and the
CONTRACTOR PROJECT
Contractor are working together as a true team. Moreover, neither the
DELIVERY METHOD
Architect nor the Construction Manager will dominate this delivery method,
§ OVERVIEW ON INTEGRATED as the Architect / Construction Manager team shares control and
PROJECT DELIVERY responsibility.
§ CONTRACTOR-LED DESIGN
§ WHAT EXACTLY IS CONSTRUCTION MANAGEMENT?
BUILD
§ ARCHITECT-LED DESIGN Construction Management is a building project delivery system that uses the
BUILD; ARCHITECT services of a professional construction expert as a manager. They become
DEVELOPER the third member of the traditional Owner/Architect team. The Construction
§ EMERGING ISSUES IN Manager works with the Owner and the Architect in coordinating the entire
PROJECT DELIVERY project, utilizing specialized skills and knowledge to bring a project in on
time, on budget, and with minimum claims, all while maintaining the
highest quality.
MODULE 2 This happens by adding construction expertise and by enhancing services in
the pre-construction phases of the project: budgeting, value engineering,
PROJECT DELIVERY constructability reviews, scheduling, and phasing are all addressed.
METHODS
§ ARCHITECTS ROLE IN This process will ensure that the project
CONSTRUCTION MANAGER- (1) meets the approved schedule,
CONTRACTOR PROJECT (2) meets all construction deadlines, and
(3) is feasible concerning phased occupancy.
DELIVERY METHOD
§ OVERVIEW ON INTEGRATED When it comes time to build, the Construction Manager will manage the
PROJECT DELIVERY bidding, awarding and construction phases of the project to ensure the
§ CONTRACTOR-LED DESIGN highest quality work, in a timely fashion, within the budget. This allows the
BUILD Architect to focus on what they do best, the programming and designing of
§ ARCHITECT-LED DESIGN the building.
BUILD; ARCHITECT
DEVELOPER
§ EMERGING ISSUES IN
PROJECT DELIVERY Reference:
The Construction Management Delivery System An Architect’s Point of View
Daniel Davis, AIA University of Hartford
qINTEGRATED PROJECT DELIVERY (IPD)
MODULE 2
Integrated Project Delivery (IPD) is a construction project delivery
PROJECT DELIVERY method that seeks efficiency and involvement of all participants (people,
METHODS systems, business structures and practices) through all phases of design,
§ ARCHITECTS ROLE IN fabrication, and construction. IPD combines ideas from integrated practice
and lean construction. The objectives of IPD are to increase productivity,
CONSTRUCTION MANAGER- reduce waste (waste being described as resources spent on activities that
CONTRACTOR PROJECT does not add value to the end product), avoid time overruns, enhance final
DELIVERY METHOD product quality, and reduce conflicts between owners, architects and
§ OVERVIEW ON INTEGRATED contractors during construction. IPD emphasizes the use of technology to
facilitate communication between these parties involved in a construction
PROJECT DELIVERY process.
• INTIGRATED PROJECT DELIVERY IN PRACTICE
BUILD
§ ARCHITECT-LED DESIGN In Practice, the IPD system is a process where all disciplines in a
BUILD; ARCHITECT construction project work as one firm. The primary team members include
the architect, key technical consultants as well as a general contractor and
DEVELOPER subcontractors. The growing use of building information modeling in the
§ EMERGING ISSUES IN construction industry is allowing for easier sharing of information between
PROJECT DELIVERY project participants using IPD and considered a tool to increase
productivity throughout the construction process.
Unlike the design–build project delivery method which typically places the
MODULE 2 contractor in the leading role on a building project, IPD represents a return
PROJECT DELIVERY to the "master builder" concept where the entire building team including
METHODS the owner, architect, general contractor, building engineers, fabricators,
§ ARCHITECTS ROLE IN and subcontractors work collaboratively throughout
CONSTRUCTION MANAGER- the construction process.
CONTRACTOR PROJECT
§ MULTI-PARTY AGREEMENTS
DELIVERY METHOD
One common way to further the goals of IPD is through a multi-party
§ OVERVIEW ON INTEGRATED agreement among key participants. In a multi-party agreement (MPA), the
PROJECT DELIVERY primary project participants execute a single contract specifying their
§ CONTRACTOR-LED DESIGN respective roles, rights, obligations, and liabilities. In effect, the multi-party
BUILD agreement creates a temporary virtual, and in some instances formal,
§ ARCHITECT-LED DESIGN organization to realize a specific project. Because a single agreement is used,
BUILD; ARCHITECT each party understands its role in relationship to the other participants.
DEVELOPER Compensation structures are often open-book, so each party's interests and
§ EMERGING ISSUES IN contributions are similarly transparent. Multi-party agreements require
trust, as compensation is tied to overall project success and individual
PROJECT DELIVERY
success depends on the contributions of all team members.
Common forms of multi-party agreements include
MODULE 2
§ project alliances, which create a project structure where the owner
PROJECT DELIVERY guaranteed the direct costs of non-owner parties, but payment of
METHODS profit, overhead and bonus depends on project outcome;
§ ARCHITECTS ROLE IN § a single-purpose entity, which is a temporary, but formal, legal
CONSTRUCTION MANAGER- structure created to realize a specific project;
§ and relational contracts, which are similar to Project Alliances in that
CONTRACTOR PROJECT
a virtual organization is created from individual entities, but it differs
DELIVERY METHOD in its approach to compensation, risk sharing and decision making.
PROJECT DELIVERY § THE ROLE OF TECHNOLOGY IN IPD
The adoption of IPD as a standard for collaborative good practice
BUILD
on construction projects presents its own problems. As most construction
§ ARCHITECT-LED DESIGN projects involve disparate stakeholders, traditional IT solutions are not
BUILD; ARCHITECT conducive to collaborative working. Sharing files behind IT firewalls, large
DEVELOPER email attachment sizes and the ability to view all manner of file types
§ EMERGING ISSUES IN without the native software all make IPD difficult.
PROJECT DELIVERY The need to overcome collaborative IT challenges has been one of the
drivers behind the growth of online construction collaboration technology.
Reference: From Wikipedia, the free encyclopedia
q THE DIFFERENCE BETWEEN ARCHITECT-LED &
MODULE 2 CONTRACTOR-LED DESIGN-BUILD
PROJECT DELIVERY
METHODS Architects and Contractors are becoming increasingly interested in providing
§ ARCHITECTS ROLE IN design-build services to their clients. The design-build process of project
CONSTRUCTION MANAGER- delivery differs significantly from the design, bid, build process previously
CONTRACTOR PROJECT used for many decades, and still commonly used today that has been used
for many decades. Before providing any design-build services, architects and
DELIVERY METHOD contractors should be familiar with the shift in contractual obligations, as
§ OVERVIEW ON INTEGRATED well as governing regulations specifically regulating design-build services.
PROJECT DELIVERY
§ CONTRACTOR-LED DESIGN There are two basic types of design-build services, one being led by the
BUILD architect, and the other being led by the contractor. The duties of the
§ ARCHITECT-LED DESIGN architect and contractor change depending on which of these two basic
BUILD; ARCHITECT approaches is utilized. The following briefly discusses some of the significant
DEVELOPER changes in roles of the architect and contractor.
PROJECT DELIVERY
Reference: https://www.dl-firm.com/the-difference-between-architect-led-contractor-led-design-build/ Jim Zahn, Of Counsel

PROJECT DELIVERY
METHODS § ARCHITECT-LED DESIGN-BUILD SERVICES
§ ARCHITECTS ROLE IN
CONSTRUCTION MANAGER- Architect is in responsible charge of construction means, methods,
CONTRACTOR PROJECT techniques, safety procedures and precautions of everyone working on
the project.
DELIVERY METHOD
§ OVERVIEW ON INTEGRATED The Architect must obtain proper licenses and contractor’s commercial
PROJECT DELIVERY general liability policies in order to perform construction services. The
§ CONTRACTOR-LED DESIGN Architect is responsible for the total cost of design and construction of
the project; for all timing issues such as dates of substantial and final
BUILD completion; for all costs of project delays if caused by any party for
§ ARCHITECT-LED DESIGN whom the architect is legally liable; for all safety procedures and
BUILD; ARCHITECT precautions; for all costs of mechanics liens incurred by the owner after
DEVELOPER the owner pays the architect for work performed, and the architect or
§ EMERGING ISSUES IN the architect’s subconsultants or subcontractors fail to pay their
PROJECT DELIVERY respective subconsultants or material suppliers. Basically, the architect
is responsible for all professional design services as well as all
construction services necessary in order to construct the project.
PROJECT DELIVERY
METHODS § CONTRACTOR-LED DESIGN-BUILD SERVICES
CONSTRUCTION MANAGER- The Contractor is in responsible charge of construction means, methods,
CONTRACTOR PROJECT techniques, safety procedures and precautions of everyone working on
the project.
DELIVERY METHOD
§ OVERVIEW ON INTEGRATED The Contractor must obtain proper licenses and professional liability
PROJECT DELIVERY insurance policies in order to offer and perform professional
§ CONTRACTOR-LED DESIGN architectural design services. The Contractor is responsible for the total
cost of design and construction of the project; for all timing issues such
BUILD as dates of substantial and final completion; for all costs of project
§ ARCHITECT-LED DESIGN delays if caused by any party for whom the contractor is legally liable;
BUILD; ARCHITECT for all safety procedures and precautions; for all costs of mechanics liens
DEVELOPER incurred by the owner after the owner pays the contractor for work
§ EMERGING ISSUES IN performed, and the contractor or the contractor’s subconsultants or
PROJECT DELIVERY subcontractors fail to pay their respective subconsultants or material
suppliers. Basically, the contractor is responsible for all professional
design services as well as all construction services necessary in order to
construct the project.
MODULE 2
CONTRACTOR-LED DESIGN-BUILD
PROJECT DELIVERY
METHODS § REGULATIONS GOVERNING DESIGN-BUILD SERVICES
§ ARCHITECTS ROLE IN All states govern the practice of architecture. It is incumbent that the
CONSTRUCTION MANAGER- architect or contractor engaging in a design-build situation, whether
CONTRACTOR PROJECT architect-led design-build or contractor-led design-build, be knowledgeable
DELIVERY METHOD of the current laws governing the practice of architecture in the state in
§ OVERVIEW ON INTEGRATED which the project it to be constructed by the design-build entity.
PROJECT DELIVERY
§ CONTRACTOR-LED DESIGN § RISKS VERSUS REWARDS
BUILD An architect can increase potential profits by offering architect-led design
§ ARCHITECT-LED DESIGN build services to clients interested in using the design-build process. That
BUILD; ARCHITECT said, be extremely cautious in evaluating your own construction
DEVELOPER experiences and knowledge of the construction process. The design-build
§ EMERGING ISSUES IN process is definitely not as easy as it may first appear to an uninformed
PROJECT DELIVERY architect or contractor. It is difficult and very expensive for an architect to
obtain a construction commercial general liability policy. It is also slightly
less difficult, but still very expensive for a contractor to obtain a
professional liability policy covering the design services being performed.
q EMERGING ISSUES IN PROJECT DELIVERY
MODULE 2
PROJECT DELIVERY 1. ARTIFICIAL INTELLIGENCE (AI) AND AUTOMATION
METHODS
Project Management Institute notes that 81% of professionals say that AI is
impacting their organizations. That number is likely to increase further in the
CONSTRUCTION MANAGER- coming years. Thilo Huellmann, Chief Technology Officer at Levity.ai, notes
CONTRACTOR PROJECT that automation holds immense promise. “By automating low-value-add
DELIVERY METHOD tasks, project managers may focus their efforts and energy on tasks that will
§ OVERVIEW ON INTEGRATED most dramatically benefit their businesses, allowing them to affect greater
PROJECT DELIVERY change, increasing the possibility of each project reaching its strategic goals.”
BUILD Recent years have seen AI adoption on a larger scale by organizations to
§ ARCHITECT-LED DESIGN ensure successful project completion in several ways such as:
§ Generating performance insights
BUILD; ARCHITECT
§ Supporting the decision-making processes
DEVELOPER § Making estimates and predictions
§ EMERGING ISSUES IN § Optimizing resource scheduling
PROJECT DELIVERY § Enabling data visualization
§ Performing risk analysis
MODULE 2
PROJECT DELIVERY 2. ADVANCED RESOURCE AND PROJECT MANAGEMENT SOFTWARE
METHODS
A 2020 report from Wellingtone notes that 54% of organizations lack access to
§ ARCHITECTS ROLE IN real-time KPIs for their projects and over a third of them spend over 1 day to
CONSTRUCTION MANAGER- collect data. This underlines how project management tools can no longer be
CONTRACTOR PROJECT ignored. Combined with AI-based automation capabilities, project
DELIVERY METHOD management software can bring about positive changes in the way
§ OVERVIEW ON INTEGRATED organizations go about managing their projects, no matter how complex they
PROJECT DELIVERY are.
§ CONTRACTOR-LED DESIGN Here are some ways that the right software can make a massive difference:
BUILD § Leverage historical project data to make better bids and plans for
future projects
§ View resource availability, skills, and other details to simplify allocation
BUILD; ARCHITECT § Automatically track all time spent on tasks and projects through AI
DEVELOPER § Quickly allocate and track budgets to stay on top of financials
§ EMERGING ISSUES IN § Capture all expenses with invoices for all projects in real time
PROJECT DELIVERY § Track all projects through customizable dashboards and make more
informed decisions on the fly
§ Keep all stakeholders and team members informed of project status,
progress and changes made in real time.
MODULE 2
PROJECT DELIVERY
3. RISE IN REMOTE WORKING
METHODS
§ ARCHITECTS ROLE IN § Remote working was already on the rise but recent years have seen its
CONSTRUCTION MANAGER- adoption boosted to unprecedented levels. While the global pandemic
CONTRACTOR PROJECT forced organizations to let employees telecommute due to safety concerns,
DELIVERY METHOD it is likely that remote working will continue for the foreseeable future.
§ OVERVIEW ON INTEGRATED This brings up some interesting challenges for project managers. According
PROJECT DELIVERY to Forbes, up to 97% of employees are not interested in going back to their
§ CONTRACTOR-LED DESIGN offices full-time.
BUILD § Cloud-based project management software can play a crucial role in these
§ ARCHITECT-LED DESIGN circumstances. These tools can be easily deployed globally for hybrid or
BUILD; ARCHITECT remote workforces, allowing them to stay on top of their tasks and
DEVELOPER projects seamlessly. The software can capture all the relevant data that
§ EMERGING ISSUES IN needs to be tracked, verified and used by project managers to make more
PROJECT DELIVERY informed decisions in real time, irrespective of shift timings and locations.
MODULE 2
PROJECT DELIVERY 4. DEMAND FOR EMOTIONALLY INTELLIGENT LEADERS
METHODS § While organizational and analytical skills are necessary for project managers,
§ ARCHITECTS ROLE IN there has been an increasing demand for emotional intelligence in recent
CONSTRUCTION MANAGER- years. The Future of Jobs report by the World Economic Forum supports the
CONTRACTOR PROJECT increasing demand by employers for emotional intelligence and other social
DELIVERY METHOD skills. This is relevant for project managers since, in essence, their work
involves having a deep understanding of people. To lead projects to success,
they must manage their people resources more effectively and to do so, they
PROJECT DELIVERY must understand those people first. The ability to connect and empathize
§ CONTRACTOR-LED DESIGN with others has become a lot more important due to one of the other project
BUILD management trends: the rise in remote working.
§ An excellent example of leveraging emotional intelligence for the greater
BUILD; ARCHITECT good comes from Dave Birdsall, senior manager at The Parker Avery Group.
DEVELOPER He has noticed the interesting project management trend of scheduling daily
§ EMERGING ISSUES IN touch point meetings for more than just work. “…the agendas for these daily
PROJECT DELIVERY stand-ups are no longer just about work. These meetings not only serve as
means to keep tabs on work items but also gives people an outlet to
socialize. I have found by doing this, I am able to stay on top of what people
are working on and ensure that their work-life balance is not suffering.”
MODULE 2
PROJECT DELIVERY
5. INCREASING FOCUS ON DATA ANALYTICS FOR DATA-DRIVEN
METHODS PROJECT MANAGEMENT
CONSTRUCTION MANAGER- § Organizations of all sizes generate copious amounts of data every day.
CONTRACTOR PROJECT Therefore, it is only intelligent to leverage that data to drive decisions. Data
DELIVERY METHOD analytics and reporting can help project managers identify early signs of
§ OVERVIEW ON INTEGRATED scope creep, measure project progress rates and more.
PROJECT DELIVERY
§ CONTRACTOR-LED DESIGN § AI-powered analytics provide a complete picture of the entire organization
and all projects. They deliver granular-level visibility into the activities and
BUILD
generate custom reports to help visualize the data in the exact way needed
§ ARCHITECT-LED DESIGN by the project managers. With these tools, project managers can make
BUILD; ARCHITECT informed decisions in real time instead of making gut-based decisions
DEVELOPER based on reports that are compiled manually.
PROJECT DELIVERY
MODULE 2
PROJECT DELIVERY 6. HYBRID PROJECT MANAGEMENT
METHODS
§ ARCHITECTS ROLE IN § In the post-pandemic era, there have been renewed efforts to find a more
CONSTRUCTION MANAGER- reliable and efficient methodology for project success. To that end,
organizations have begun to experiment with a hybrid approach in which
CONTRACTOR PROJECT
different elements from two or more methodologies are brought together.
DELIVERY METHOD It is no longer about agile, scrum or lean only but rather about bringing
§ OVERVIEW ON INTEGRATED specific attributes together for increased flexibility in driving project
PROJECT DELIVERY success. This has enabled organizations to find unique approaches to suit
§ CONTRACTOR-LED DESIGN specific industries and projects.
BUILD
§ ARCHITECT-LED DESIGN § The hybrid concept extends to the development of project team structures
BUILD; ARCHITECT as well. Olivia Montgomery, Project Management Expert at Capterra,
DEVELOPER recently wrote an article on the subject of hybrid project management. She
mentions how their survey “found that 37% of teams are cross functional
led by a dedicated PM. In addition to leveraging untapped skills from new
PROJECT DELIVERY team members, cross-functional teams can share their department’s best
practices for the project team to then decide whether or not they want to
incorporate into their own processes”.
MODULE 2
PROJECT DELIVERY 7. INCREASING EMPHASIS ON SOFT SKILLS
METHODS
§ ARCHITECTS ROLE IN § Traditionally, the value of project managers depended on their
CONSTRUCTION MANAGER- certifications and their skills in implementing different methodologies.
CONTRACTOR PROJECT However, more and more organizations are now shifting their focus to soft
DELIVERY METHOD skills. This project management trend is understandable as AI-powered
§ OVERVIEW ON INTEGRATED solutions have become capable enough to handle the trickier technical
PROJECT DELIVERY parts of project management. Managers are free to focus on other
responsibilities and that is where soft skills become necessary.
BUILD § Project managers now need to focus and strengthen their soft skills such as
§ ARCHITECT-LED DESIGN conflict resolution, stakeholder engagement, negotiation, mentoring and
BUILD; ARCHITECT training, decision-making, and team building. Developing these skills will
DEVELOPER help project managers deliver more value to their organization.
PROJECT DELIVERY
MODULE 2
PROJECT DELIVERY
8. PROJECTS AND ORGANIZATIONAL STRATEGY COMING TOGETHER
METHODS
§ ARCHITECTS ROLE IN § Projects and organizational strategy have traditionally been separate
CONSTRUCTION MANAGER- domains. Essentially, the role of a project manager was only to execute
CONTRACTOR PROJECT projects to successful conclusions. However, current trends in project
DELIVERY METHOD management show that this role is now being expanded upon. Project
§ OVERVIEW ON INTEGRATED managers are taking on a more hands-on role in executing the broader
PROJECT DELIVERY organizational strategy.
§ This is understandable since organizations have had a difficult time in
BUILD executing their strategy and acting upon them. That is why project
§ ARCHITECT-LED DESIGN managers are increasingly being asked to focus on understanding the
BUILD; ARCHITECT relationship that exists between program, portfolio and project
DEVELOPER management. This allows an organization to see how individual projects
§ EMERGING ISSUES IN are related to each other and how they connect with the overall strategic
PROJECT DELIVERY goals of an organization.
MODULE 2
PROJECT DELIVERY
9. CLOUD-FIRST APPROACH BECOMING THE STANDARD
METHODS
§ ARCHITECTS ROLE IN § The demand for cloud computing solutions is increasing rapidly with more
CONSTRUCTION MANAGER- and more organizations shifting to the cloud to keep up with the changes
CONTRACTOR PROJECT in how they operate. To increase their operations, organizations are
DELIVERY METHOD looking for cost-effective measures that do not sacrifice functionality or
§ OVERVIEW ON INTEGRATED performance. That makes cloud computing the ideal solution.
PROJECT DELIVERY
§ CONTRACTOR-LED DESIGN § The rise in hybrid and remote working environments have also increased
focus on cloud solutions as they enable resources to work from anywhere
BUILD without losing access to critical business applications. Cloud solutions,
§ ARCHITECT-LED DESIGN additionally, have become more accessible and flexible, making them
BUILD; ARCHITECT easier to adopt. With all these changes, it is quite likely that a cloud-first
DEVELOPER approach is going to become the new standard to manage projects
§ EMERGING ISSUES IN intelligently for organizations everywhere.
PROJECT DELIVERY
MODULE 2
PROJECT DELIVERY 10. GROWING ATTENTION TO MENTAL HEALTH
METHODS
§ There has been a growing focus on mental health in recent years. With
organizations beginning to reopen offices or shift to hybrid or remote
CONSTRUCTION MANAGER- working, there is bound to be elevated levels of stress among employees
CONTRACTOR PROJECT who have to acclimatize to these changes. To keep their employees
DELIVERY METHOD motivated and productive, organizations must seek ways to help them
§ OVERVIEW ON INTEGRATED manage stress and mental health effectively.
PROJECT DELIVERY § There are several steps that organizations can take to prioritize their
§ CONTRACTOR-LED DESIGN employees’ mental health. To start, organizations can implement flexible
BUILD hours to give their employees more freedom with “how” they work.
§ ARCHITECT-LED DESIGN Fitness programs also make for a good option. From a project management
BUILD; ARCHITECT perspective, managers should set clear expectations on project deadlines
DEVELOPER and goals while trying to offer more praise than criticism. These are just a
§ EMERGING ISSUES IN few steps that organizations can start implementing for improved mental
PROJECT DELIVERY health of their employees.
-END OF MODULE 2-
Reference: 10 Project Management Trends Emerging in 2022 / by Arpan Patra Published : March 28, 2022

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AR 541

§ARCHITECTS AND THE LAW

§ ARCHITECTS AND THE § To ensure architects maximise protection over their

( Article 3 of the Civil Code of the Philippines )

Ø An area in which a particular set of laws holds is called a jurisdiction.

Ø But rather tradition, custom, and especially precedent.

Ø It is recognized by the Philippine Society as being essentially inviolable;

EXAMPLES OF STATUTORY LAWS

Ø Presidential Decrees Ø Ordinances

II. REGULATORY AND ENFORCEMENT LAWS

Ø RA 8293- Intellectual Property of The Philippines ( June. 22,1997) / Jan.1,1998

§ ARCHITECTS AND THE

§ ARCHITECTS AND THE

§ ARCHITECTS AND THE

§ARCHITECTS AND THE LAW

§ ARCHITECTS AND THE § Process or Operational Efficiency Innovation

Richard N. Pollack, FAIA, FIIDA

§ ARCHITECTS AND THE

§ ARCHITECTS AND THE Gensler AECOM Perkins + Will Jacobs

§ ARCHITECTS AND THE

§ ARCHITECTS AND THE

§ ARCHITECTS AND THE Ø architecture means offering or rendering professional

§ARCHITECTS AND THE LAW

q Project Delivery Methods

Reference: https://www.dl-firm.com/the-difference-between-architect-led-contractor-led-design-build/ Jim Zahn, Of Counsel

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