CMAdvisor Advancing Professional Construction and Program Management Worldwide Professional CM: A Matter of Degrees…and Credentials 2011 Project Achievement Award Winners 12th Annual CMAA/FMI Owners Survey November/December 2011 Volume XXX, No. 6 Contents 6 November/December 2011 Volume XXX, No. 6 Professional CM: A Matter of Degrees… and Credentials Just what kind of education does a CM need, and what kind of professional credentials best reflect high competence in the field? These questions launch a lively and evolving debate. Introducing CMpat™ CMAA’s Practitioner Assessment Tool For the first time, the transition to ongoing operations ranks #1 among areas in which owners seek significant contributions from their CMs. That’s just one of the findings of the 12th CMAA/FMI Owners Survey. •Record and verify your experience for the CCM. •Convey your qualifications to employers and clients. •Plan your future professional development needs. COLUMNS 5 Chairman’s Report By Ron Price, CCM 31 President’s Report By Bruce D’Agostino, CAE, FCMAA This simple, powerful career management tool helps you gauge where you are today, where you want to be, and how to get there. DEPARTMENTS CMpat is available to CMAA members for just $75 annually. 18Professional Practice Corner 20 News 24 Foundation See how CMpat works and start using it today! 25 Certification Cover photo and above photos: Stephen F. and Camilla T. Brauer Hall at Washington University School of Engineering, St. Louis, MO, CMAA 2011 Project Achievement Award Winner. CM by Clayco. 26Roundup CMAdvisor November/December CMAdvisor November/December Two significant new owner endorsements of the CCM were highlights of the 2011 National Conference & Trade Show, which drew more than 1,000 people. Our report includes one pro’s reading of “the crystal ball.” IN THIS ISSUE OF NEWS: Latest CMAA/FMI Owners Survey Results CMAA’s new CMpat™—makes it easy to: 2 CMAA National Conference & Trade Show 3 10 CHAIRMAN’S REPORT A Strong Start on a Great Year Chairman of the Board Ron Price, CCM, Parsons Brinckerhoff President and Chief Executive Officer Bruce D’Agostino, CAE, FCMAA Editor John McKeon Contributing Writers Stephanie Cifuentes Martha Montague expertise, proven performance, Design TGD Communications, Inc. proven leadership. With a commitment that goes above and beyond expectations, MWH CMAA is a construction industry association of 8,000 firms and professionals who provide management services to owners who are planning, designing and constructing capital facilities and infrastructure projects. Constructors has received numerous awards and commendations for superior performance in project delivery, sustainability, partnering Our Mission is to Promote and Enhance Leadership, Professionalism and Excellence in Managing the Development and Construction of Projects and Programs. and safety. Our track record exemplifies our performance. SERVICES: CM-AT-RISK CONSTRUCTION MANAGEMENT DESIGN-BUILD TRACK.Record CMAdvisor, published bi­‑monthly by CMAA, reports on and follows the industry as a service to its members. Submission of articles, ideas and suggestions is appreciated and encouraged. 7926 Jones Branch Drive, Suite 800 McLean, Virginia 22102-3303 USA Phone: 703.356.2622 Fax: 703.356.6388 Email: info@cmaanet.org Web: www.cmaanet.org CMAA ©Copyright 2011, ISSN 1084-75327 Reproduction or redistribution in any form is forbidden without written permission of the publisher. mwhglobal.com CMAA members receive this newsletter as a member benefit. For advertising information, contact Tom Egly at tom.egly@tgdcom.com. The New Year will open with a powerful achievement for CMAA, with the release of a new book, Becoming a Construction Manager, from John Wiley & Sons. Wiley, one of America’s more successful academic and technical publishers, sought out CMAA as its partner in creating this book. They went looking for the organization that embodied Construction Management, and that meant CMAA. It is hard to imagine a stronger affirmation of CMAA’s role in the industry. How did we reach this position of respect and influence? I think the answer is one of those concepts that is easy to say but hard to define…and even harder to practice. Leadership. The construction industry is complex, decentralized, and subject to forces that often seem beyond anyone’s control. It has been that way since well before any of us was born. Owners face this difficult environment with limited resources of time, money, and staff. They are looking for someone to lead, to speak up and say, “There is a right way to do things. You can have an excellent result.” We back up that promise with professionalism, as reflected in our CM Standards of Practice, in strong educational programs arising from the SOPs, and in a certification program that reliably identifies the best in the business. All of these activities, in turn, benefit greatly from the participation of owners in CMAA’s programs, and in our governance. CMAA’s By-Laws have been amended to allow us to increase the number of owners on our Board. As many as half of our directors now can be owners. These are voices we need to hear, and our Board is where these voices should be heard. By the way, I am also happy to note we have just elected three women to the Board, bringing the total number of female directors to six. That’s a big change in a relatively short time, and I think it benefits us significantly. In 2009, we redefined our annual spring gathering as an Owners Forum, adopting a program that put owners front and center and encouraged as many owners as possible to attend. In 2012, we will refine it further by adding one word to the name of the event. The 2012 spring event will be an Owners Leadership Forum. It is our commitment to leadership that has earned us the attention and respect of our industry, both at home and abroad. We have come a long way. We owe a lot to our legions of committed volunteers. I am confident that by working together, and keeping our leadership mandate in mind, we can have another sensational year. CMAdvisor November/December MWH Constructors…proven STRATEGIC By Ron Price, CCM, Parsons Brinckerhoff 5 CMAdvisor Professional CM: A Matter of Degrees…and Credentials By John J. McKeon Should a CM be a manager first, with enough knowledge of construction specifics to understand processes…or an engineer first, augmenting technical expertise with enough management savvy to guide successful projects? The question underlies a broad ongoing conversation in the industry about just what kind of education a CM needs and what kind of professional credentials best reflect high competence in the field. The U.S. Army Corps of Engineers has tackled this question and “learned that we need a balance of both construction managers and engineers,” says Larry Smith, PE, CCM, of the Corps’ Sacramento District. “Both bring unique skill sets to our CM duties and responsibilities. Construction managers bring unique skills related to the business side of construction, while engineers bring unique skills related to design codes, temporary structures, and technical compliance of contractor plans to the contract requirements.” Michael Holland, CPC, AIC, executive vice president of the Accreditation Council for Construction Education (ACCE), notes universities are contributing to this difficulty. They generally require 120 semester hours for the bachelor’s degree, but “that’s capped at the top, and the universities continue to require general ed courses and the like, all of which are important but take away from the specialized courses that separate engineering from other disciplines. They aren’t giving us room to put enough content into the degree.” USACE’s Larry Smith believes “college and university curricula are under increasing pressure to graduate students in four years. Today’s students will graduate with fewer hours of classroom training than previous generations.” The diversity in educational paths to CM is also reflected in where a CM department is located within a university. At Georgia Southern University, for instance, the CM program will become part of the College of Business Administration at the end of the current academic year. It’s part of a broader reorganization that “created the opportunity for us to recognize the synergies created by placing a CM program in the midst of the departments that make up CoBA,” says Prof. Brian Moore, program chief. The Corps is one of a number of military and civilian agencies urging the U.S. Office of Personnel Management to create a new professional job series for CMs within the federal government. That effort has required a thorough evaluation of the educational requirements for CMs. 6 CMAdvisor November/December • Construction Engineering Technology • Construction Science • Civil Engineering • Mechanical Engineering • Electrical Engineering • Chemical Engineering • Architectural Engineering • Architecture Applicants can also cite additional professional experience to augment a degree in some other field and qualify for the CCM. But a number of influential groups, including the American Society of Civil Engineers, have asserted in recent years that the traditional four-year college or university degree is not enough to qualify a professional engineer. Instead, they are advocating a master’s degree following the bachelor’s or a combined five-year BS/MS program. “The Education of a CM” is the title of a chapter in the forthcoming book, Becoming a Construction Manager, being published in January by John Wiley & Sons. The text includes interviews with numerous academic authorities and industry leaders focusing on what it takes to be a CM and what the job is like on a day-to-day basis. The book is designed to inform prospective CMs, including university students, about careers in CM. It includes a foreword by CMAA President & CEO Bruce D’Agostino. Click here for more information about Becoming a Construction Manager. CMAdvisor November/December • Construction Management More on the Road to Professionalism… 7 The Construction Manager Certification Institute has gone through a similar analysis several times over the years, in an effort to be sure its CCM qualifications include appropriate college level degrees. Currently, CCM applicants must have a four-year college degree in one of these disciplines: Prof. Hank Koffman, PE of the University of Southern California believes today’s college and university curricula are 100 percent aligned with industry expectations, but only “maybe 50 percent” aligned with the CM Standards of Practice and “maybe 15 percent” aligned with the content and examination coverage of the CCM program. Moore believes the level of alignment is high overall, but also cites a significant diversity among programs and notes, “universities often will adapt to the particular needs of the markets they are closest to.” “Often industry is looking for training rather than education,” notes Holland. “That is, they are looking for people capable of being BIM operators. That’s not what a college education is all about. Even in community colleges that offer associates degrees, they are not training people. There’s a clear distinction between training and education.” There’s also a critical role for continuing education and professional credentials, both at home and abroad. “I am hearing of increasing interest in Asia and Europe in the CCM designation,” says Moore. “This interest I likely based on the fact that owners in the U.S. have acknowledged the value of CCM by requiring people on their projects to have this certification. The ANSI accreditation further validates an already very credible certification.” CMAdvisor November/December Thus, the CCM could indeed become an internationally recognized credential. 8 Certified Construction Managers™ deliver these values on every job, every day. CMAA is the home of professional Construction Management. Learn more at www.cmaanet.org/enr. ANSI—the American National Standards Institute—accredits the CCM program as conforming to the requirements of the International Organization for Standardization’s standard ISO 17024. “This should mean to the industry that it meets a very rigorous national and international standard,” says Roy Swift, PhD, ANSI’s Senior Program Director, Personnel Certifier Accreditation Program. “In addition, this accreditation can give confidence to industry that the individuals who are awarded this credential do have the knowledge and skills needed to perform their work.” Moreover, Swift says, ANSI is a member of the International Accreditation Forum, along with more than 60 other national accreditation bodies. IAF is working on an agreement that would provide recognition for ANSI accreditations by all of its members worldwide. “Even in community colleges that offer associates degrees, they are not training people. There’s a clear distinction between training and education.” Professional Construction Management based on CMAA’s Construction Management Standards of Practice will improve your project outcomes and build your business. The best CM/PM education in the business. In the meantime, attaining the certification vouches for another key quality of CCMs. Moore points out that credentials like CCM “come with the expectation that the professional will continue to pursue new knowledge, that is, a professional will commit to continuous learning.” Adds Virginia Tech’s de la Garza, “I believe that the CCM will grow to become equivalent to the PE.” CMAA is your partner for high value professional education for every member of your team at every level. John J. McKeon is vice president of CMAA. He can be reached at jmckeon@cmaanet.org. Deliver SOP-based training to your entire team for as little as $35 per hour of expert instruction with flexible licensing of our online SOP modules. Or select from a broad menu of events, interactive webinars, and other programs. For new hires, our Construction Manager In Training (CMIT) program supports the transition into the workplace. At the high end, the Certified Construction Manager (CCM®) credential identifies the best in the business. To learn more, visit www.cmaanet.org/pd-home. CMAdvisor November/December When it comes to matching education to industry needs, opinions vary. “This is a subject that is very much at the top of the agenda of CMAA’s Academic Council,” says Prof. Jesus de la Garza, FCMAA, of Virginia Tech. “There is an enormous amount of work that needs to be done to create this alignment. Three key issues are: 1) how best to integrate the SoP into the academic curriculum; 2) how best to actualize the CM Capstone book; and 3) how to develop an institutional process that efficiently fosters the CMIT certification.” STANDARDS CERTIFICATION LEADERSHIP One challenge can be differing expectations between academia and industry as to just what knowledge and skills entry level employees will bring to the job. 9 Among the advantages of this new affiliation? Moore notes, “Very often CM programs are found in Colleges of Architecture or Engineering. As a result, they may not have been given the level of support that is provided to programs that are the main focus of those colleges. CM is a young discipline and many universities tend to have difficulty determining where it fits best. CMAA NATIONAL CONFERENCE & TRADE SHOW Rising To The “Rising CM” Challenge The Rising CM Conference held in conjunction with CMAA’s 2011 National Conference & Trade show drew nearly 150 participants. Attendees heard from industry leaders as well as participated in a rotating career fair where 15 companies were represented. Darrell Fernandez, General Manager at Parsons gave the attendees the following advice with regards to starting your career off on the right foot, “When you start at your first company, look for a mentor. They will be your guide, advocate and the key to your success.” Fernandez said. The rotating career fair proved to be a great success. The CMITs and students had the opportunity to connect and network with a variety of both service providers and owner companies. “This was a tremendous, phenomenal conference. We overachieved on our plan,” said Tagir Nigamatzyanov, CMIT of Siegel Construction. “As a CMIT, I get to network with a lot of people that typically we are not around throughout the year, and get to know what’s happening in the industry.” 10 CMAdvisor November/December Kevin Donnelly, PE, deputy commissioner of the New York City Department of Environmental Protection, announced at the Conference that the Department intends to require that all construction managers working on its $14 billion-plus capital construction program be CCMs. “The core competencies that we are looking for in our construction managers are consistent with those of the program for the Certified Construction Manager,” Donnelly said. “We are raising the bar. Going forward, we have established key personnel qualifications. We do and will expect our construction managers in the future to be Certified Construction Managers. “Our resident engineers will continue to be PEs registered with the State of New York, but with the high desirability that they also will have the credential of the CCM.” Donnelly also commented that “in order for us to be successful, we recognize that we need to change our organization, both internally and externally.” Among other critical cultural changes, he went on, the agency will expect more leadership from CMs in such areas as safety, quality management, risk management, and timely resolution of issues. In addition to the agency’s in-house staff, Donnelly said, “we recognize the significant role of Agency Construction Managers in our success. We are actively recruiting high performing organizations.” Earlier in the day, Stephen Mulva, PhD, associate director of the Construction Industry Institute, relayed to CMAA attendees a new statement by CII’s Board of Advisors. “The CII BOA is supportive of endorsing the CMAA Certified Construction Manager program,” the message said. “CII members are globally deployed. Once they endorse the Certification Program, they will help CMAA go global.” CMAA President Bruce D’Agostino welcomed the CII endorsement as a major step by some of the world’s most active builders to recognize the value of the CCM. “CII’s membership includes many of the largest and most influential multinational corporations in such areas as energy, chemicals, and pharmaceuticals,” D’Agostino said. “As CMAA’s relationship with CII grows and expands, we are confident that more and more of these sophisticated and demanding owners will see the tangible benefits of working with Certified Construction Managers.” 2011 Persons of the Year: The CM/PM Community of New York City The entire team leading the renaissance of lower Manhattan on the site of the World Trade Center was honored as “Persons of the Year,” with top execs of more than a dozen CMAA member firms on hand. Steven Plate, Director, WTC Construction for the Port Authority of New York and New Jersey, accepted the award on behalf of the group. CMAdvisor November/December The National Conference & Trade Show brought two major new endorsements of the Certified Construction Manager program. 11 Major Owners Expand Support of CCM TRENDS AND INNOVATIONS: THE FUTURE OF OUR INDUSTRY 12 CMAdvisor November/December By Lisa C. Sachs, AIA, CCM, LEED GA, Managing Principal, Cumming Editor’s Note: Lisa Sachs attended the Tuesday session “Looking into the Crystal Ball: Predicting Trends and Innovations in the Construction Industry” featuring speakers Chris Anzidei, Esq.; Bob Fraga, AIA, FCMAA, MBP; Blake V. Peck, PE, CCM, FCMAA, MBP, and Chris Brasco, Watt, Tieder, Hoffar & Fitzgerald. She was inspired to write this report, in which she combines key points from that session with “other tidbits gleaned while attending the conferences, and a little twist of my own.” What does this mean for CMs? Expertise will be required in technology to implement BIM, which is here to stay, and other technologies that will develop beyond BIM. CMs will become the BIM or technology “gate keepers” to control project costs and schedules as the project progresses through its various phases. Specialty skills: Life cycle analytics and equipment expertise • How design firms operate today will change. There will be two types of design firms—the Black Cape design-led firm and the production firm with ties to off-site prefabrication manufacturers. What does this mean for CMs? There may be shrinking involvement of the CM in the construction phase with more involvement in the preconstruction and closeout phases or what I like to refer to as the “wrap around” phase. The CM will help the owner “right size” the paper and ribbon for the “project package” and then help to wrap it and add a bow on top ready for the grand opening. And then of course once the ribbon is cut the CM will be best positioned to understand how to recycle and improve the next package to be delivered. Specialty skills: BIM and technology • Continuing demise of Design Bid Build. New Positions: Asset Managers (AMs) Construction Phase There will be more opportunities to offer specialized services in the development phase of projects, especially in the areas of entitlement regulations and finance. We will need new and better ways to collaborate and integrate, facilitating cooperation with ever shrinking budgets. As leaders, CMs are already well positioned as the ones to clearly and understandably define roles & responsibilities of all team participants to ensure reliability and insurability and make folks work together better. • The role of designers and their influence will diminish as fabricators working with newer technologies start to drive the design solutions. New Positions: Chief Technology Officer (CTO) for the CM industry • Contractor quality control will increase since selection will be based on best value and performance. This could mean more collaboration with legal firms and/or adding lawyers to the Team to facilitate risk sharing, ownership of design and surety obligations to avoid “MOAD”—the Mother of All Disputes. Procurement and Closeout Phases What does this mean for CMs? CMs will be the ones to optimize maintenance services over the life of the asset by integrating BIM with Facilities Data Bases. With CMs as modelers they can ensure there are “hooks” to link facility work orders to the asset as an ongoing responsibility. As data is compiled during the project and validated at the end of a project, it is then reintegrated at the beginning as a continuous living and breathing database ready to be manipulated, managed and mined for information throughout the life of the asset. Specialty skills: Conceptual planning, budgeting and BIM integration • More resources will be required from owners to drive projects due to higher regulations and restrictions, and because there will be fewer dollars to implement programs, more creative financing and delivery options will become the norm. • More specialized services will be required with nontraditional offerings encouraging collaboration with more team participants who have a financial stake. • Changing roles will not be unusual since he who has the most expertise will be sought after for the knowledge that will drive more small business opportunities for individuals and/or new service lines for larger companies. What does this mean for CMs? Specialty skills: Communications, legal, finance, and entitlement expertise New Positions: Collaboration Team Facilitator (CTF) • Best Value may finally begin to trump Low Bid even in the public sector when factoring value over the life cycle of a building asset. • BIM model shared during bid walks reduces fear. • Improved visualization will ease decision making at all levels expediting the process, reducing pricing and minimizing changes during construction. • Contracts will need to cover longer warranty periods including deferred maintenance due to shortage in operational budgets and lack of skilled labor and expertise to operate technologically challenging and complex building systems. New Positions: Concept, construction and closeout managers AKA CM³ Lisa Sachs is a principal of Cumming and can be reached at lsachs@ccorpusa.com. CMAdvisor November/December Planning/Development Phase Design Phase 13 CMs are already a mixed group of specialists comprised of lawyers, engineers, architects and contractors, and in the future this group will expand even further to include financers, entitlement and technology specialists, facility managers and more. CMs will be the “go to” experts in project delivery. Why? Because globalization and technology are finally catching up with our industry, impacting the way we plan, deliver and maintain buildings, requiring more collaboration than ever before and in dire need of skilled leadership. PROJECT ACHIEVEMENT AWARDS 2011 WINNERS Buildings, New Construction Project with Constructed Value Less Than $10 Million NGA – New Campus East Project Lois S. Hornsby Middle School and J. Blaine Blayton Elementary School Construction Program White Tank Branch Library and Nature Center CM: MBP CM: Michael Baker Jr., Inc. CM: MBP Owner: Williamsburg-James City County Public Schools Owner: Maricopa County Library District Owner: U.S. Army Corps of Engineers, U.S. Customs and Border Protection www.mbpce.com/ www.mortenson.com/ and www.dwlarchitects.com/ www.mbakercorp.com/ Buildings, New Construction Project with Constructed Value Less Than $100 Million Buildings, New Construction Project with Constructed Value Less Than $30 Million Program/Program Phase Buildings Buildings, Renovation/Modernization Project with Constructed Value Greater Than $15 Million Stephen F. Camilla T. Brauer Hall at Washington University School of Engineering Wind Technology Testing Center, Charlestown, MA CM: Public Building Commission of Chicago CM: Turner Construction Company Owner: Chicago Public Schools Owner: Washington University in St. Louis Owner: Massachusetts Clean Energy Center/ Massachusetts Port Authority www.pbcchicago.com/ www.claycorp.com/ www.turnerconstruction.com/ www.mbpce.com/ CMAdvisor November/December United States Southwest Border Pedestrian & Vehicular Fence CM: Mortenson Construction/ DWL Archtiects + Planners, Inc. Owner: National Geospatial-Intelligence Agency 14 Program/ Program Phase Infrastructure CM: Clayco, Inc. Modern Schools Across Chicago, Phase One Muhlenberg College – Seegers Union Building Addition and Renovations CM: Alvin H. Butz Inc./ Bruner/Cott & Associates, Inc. Owner: Muhlenberg College www.butz.com/ and www.brunercott.com/ CMAdvisor November/December Buildings, New Construction Project with Constructed Value Less Than $50 Million 15 Buildings, New Construction Project with Constructed Value Greater Than $100 Million Buildings, Renovation/Modernization Project with Constructed Value Less Than $15 Million Infrastructure Project with Constructed Value Less Than $150 Million Infrastructure Project with Constructed Value Less Than $15 Million Trails of Africa Birmingham Zoo Birmingham, Alabama Rehabilitation of the West 96th Street Station Broadway 7th Ave. Line IRT Cal Park Tunnel Rehabilitation & Multi-Use Pathway Project CM: Urbahn Architects & HDR CM: Jacobs Associates CM: Overseas Buildings Operations with B.L. Harbert International, LLC Owner: MTA New York City Transit Owner: County of Marin Owner: United States Department of State www.urbahn.com/ and www.hdrinc.com/ www.jacobssf.com/ www.state.gov/obo/ and www.bharbert.com/ 16 CMAdvisor November/December www.hoarpm.com/ Infrastructure Project with Constructed Value Greater Than $150 Million Infrastructure Project with Constructed Value Less Than $50 Million US Hwy 82 Mississippi River Bridge Pump Station Upgrade Navajo Generating Station CM: HNTB Corporation CM: Hatch Mott MacDonald Owner: Mississippi Department of Transportation Owner: Salt River Project www.hntb.com/ www.hatchmott.com/ Gregory Nadeau, deputy administration, Federal Highway Administration, addresses a plenary session of the 2011 CMAA National Conference. More than 1,000 people turned out for the event, which included 40 breakout education sessions in addition to plenary sessions, a sold-out exhibit hall, and the annual Industry Recognition Banquet. CMAdvisor November/December Owner: Birmingham Zoo, Inc. United States Department of State New Embassy Compound Addis Ababa, Ethiopia 17 CM: Hoar Program Management International Project/Program/Program Phase PROFESSIONAL PRACTICE CORNER Nothing is more detrimental to our reputations as Construction Managers than a project over budget. The skills to manage projects are precisely the reason our clients depend on our expertise and, when we cannot deliver reasonably, it can reflect poorly upon our companies and our industry. 18 CMAdvisor November/December Team turmoil, lack of cohesion, and claims are just a few of the results that come out of such situations and, when hard feelings are factored in, lend heavily to the negative relationships that can arise among CMs, design professionals, and owners. The sad part for the owner is the realization that once this level of ill will has been reached, it is often too late. They discover that something went terribly wrong from the beginning and likely could have been prevented. This doesn’t have to be the case and competent CMs know how to address the confusion that can lead to these situations, as well as how to organize the team and guide projects to successful outcomes. Achieving successful project outcomes mandates that we set appropriate budgets from the outset as well as identifying and addressing issues that negatively affect our projects. Project budgets are developed utilizing many parameters and clients utilize the information for fiscal and public accountability. To provide reliable budgets, guides and protocols developed long ago guide our industry and, for 90 percent of all efforts, there is no issue with this approach. The issue arises when the paradigm doesn’t fit available categorization. In fact, many buildings erected based on this paradigm more than 40 years ago now illustrate the problem with this thinking. Inherently, modifying or changing existing facilities and infrastructure does not fit easily into any category as diverse building systems working together require different efforts to be modernized. The ability to accurately categorize projects and identify budgets that make sense is one of the most valuable skills CMs possess. Projects that don’t fit cost estimating paradigms, for the right reasons, should be openly discussed during the planning stages, not during construction. This is one of my favorite topics, specifically because of the havoc these projects can incite as well as the ability of CMs to manage them appropriately and efficiently for clients. In particular, projects involving retrofitting existing infrastructure, equipment installations in existing central plants (or mechanical yards), and projects with direct buried piping and associated equipment are typical examples of efforts that have a tendency to escalate beyond ‘typical or average’ construction costs. They often require elevated levels of attention to detail and coordination to implement necessary modernizations or upgrades. Why are existing facilities an important example? First, a large amount of existing infrastructure and utility buildings are the current focus of clients. As they were built 50 years ago, they require immediate attention. Secondly, and very important: Not every issue in construction can be resolved using due diligence. Budgets, project scope, and project teams are often assembled using the averages or our best information at the time. We utilize RS Means/Cost Works, McGraw-Hill, and our local contemporaries, doing our best to ensure our construction budgets and plans are achievable. For 90 percent of our projects, there is hardly any reason to change our protocols. It is important to note that strict requirements for project budgeting may contribute to the development of inherent issues built into the budgets and categorizations. Clients who must secure appropriate financing or funding may have legal parameters already outlined that mandate certain actions and checks/balances. For those projects dependent on public funding, any program manager will tell you that adjustments within the budget are difficult once the budgets are finalized. What happens when an inherent flaw is discovered? Here is a typical example to help clarify the point: let’s quickly review the general installation of a 300-ton chiller and a 150-ton chiller. Each project requires the same amount of equipment and materials including anchorage, piping, valves, thermometers, etc. The units have roughly the same lead time and delivery expectations to the site. What is the big difference for the two beyond performance/load? The 150-ton chiller is one-third of the cost. In order to design or install each of the units, the engineer or contractor, respectively, must provide the same level of effort to install piping and associated components. For one project, however, their fee will be substantially higher despite still representing 10 percent of the construction cost for each. The design effort, cost estimating, scheduling, construction admin, and commissioning efforts are essentially identical for each. This example is not meant to indicate or suggest a flat rate, and professionals should be able to adhere to contractual obligations. However, when possible, the differences should be noted and reviewed as part of overall effort to program the project, setting realistic budget expectations and building trust and confidence in the project team. “No matter what the industry averages may suggest, we have to use our best judgment and experiences to determine what the best delivery system and team dynamics will be to deliver the best, most efficient project for the client.” Similarly to the chiller example, it is important to note that many retrofit and modernization projects often encounter unforeseen site conditions, requiring increased attention from the designer. Field Engineering is often an overlooked commodity in the effort, causing many arguments and disagreements concerning compensation. For underground (direct buried) piping retrofits, it’s not unlikely or uncommon to encounter utilities that are unidentified. CMs work with clients to commission accurate utility surveys but, inevitably, things can be missed. After a designer has taken the time to layout the replacement piping, should their fee also cover any modifications required when encountering unforeseen utilities? CMs are adept at utilizing allowances and other creative solutions to address unforeseen site conditions and other related issues in addition to providing for site specific requirements ranging from noise mitigation to public awareness/safety. It is wise for owners to invest the necessary time to investigate such projects and learn their “personalities.” Will they fit within the conventional 8–10 percent design fee rule of thumb? Is there an economy of scale to consider for the type of work being performed? Are there advantages to providing fee structures that serve as a foundation only until the project parameters and scope can be dialed in? CMs excel at all of these considerations, providing demonstrated value to assist the owner in mitigating any potential issues or adverse situations. In Construction Management, companies face the challenges of developing and completing projects within a feasible budget. When the issues discussed herein occur in a project, it is imperative to clearly identify the issue, establish a reasonable budget, set reasonable project performance expectations with the clients, and ensure that the design professionals are able to perform adequately without any undue or unjust expectations. The bad news is that not all infrastructure projects can be done at 8–10 percent design fees. In parallel, the CM effort required to coordinate and manage these projects requires an elevated presence as well. No matter what the industry averages may suggest, we have to use our best judgment and experiences to determine what the best delivery system and team dynamics will be to deliver the best, most efficient project for the client. We should identify the unique aspects of projects and provide the necessary flexibility and adjustments to the budget and team member performance expectations to ensure a successful and predictable project. When we do, we only help increase the visibility and reliability of our profession. Donald Young is Vice President and Director of Construction Services for Salas O’Brien Engineers, Inc. He is based in San Jose, CA. He can be reached at dc@salasobrien.com. CMAdvisor November/December By Donald Young, CCM, Salas O’Brien Engineers What do we do when replacing equipment, based on RS Means or other local contemporary budgeting information and we find the estimate is incorrect due to site constraints or other phenomena? When we can’t overcome the difficulty of the project and it just doesn’t fit anything typical or standard (despite its categorization), this viral effect permeates the project. This is where the expertise of team members is most important and, when utilized correctly, adds value to the owner’s experience with CMs as part of their teams. 19 When Projects Exceed Budgets for the Right Reasons NEWS Joining the Conversation: New CMAA Twitter Account and CMIT group on LinkedIn 12th Annual CMAA/FMI Owners Survey Provide Insight into New Expectations and Needs CMAA has recently expanded its social media presence with the addition of a Twitter account (@CMAA_HQ) and a new LinkedIn group dedicated to Construction Managers-in-Training (CMIT). These two new ventures build on CMAA’s already strong presence on facebook.com and LinkedIn. The Twelfth Annual CMAA/FMI Owners Survey reveals how the construction owner community is managing the current operating environment climate that has changed along with the national economy. The survey results were presented at the 2011 CMAA National Conference & Trade Show in Washington, DC. 20 Adding to CMAA’s established LinkedIn group with nearly 1,300 members, the new CMIT group provides an open forum for CMITs to connect, network and discuss relevant topics or answer questions about the CMIT application process and more. With more than 700 CMIT applicants, candidates or CMITs eligible to join, the hopes are high that this new LinkedIn group will become an interactive environment where ideas and questions can be exchanged freely. Join the conversation, today! Follow us on Twitter @CMAA_HQ, on Facebook.com or join our groups on LinkedIn. • An evolving view on project execution and key CM functions • Current owner needs and expectations • The economy’s effect on procurement strategy The findings reveal how owner expectations continue to evolve and highlight persistent trends within our dynamic industry. Among the key findings, the long-observed trend among owners toward a more “holistic, life-cycle view” of their projects is firmly established. In 2009, the Tenth Annual Survey of Owners revealed that this shift would occur sometime between 2009 to 2014. Today, only two years later, the function of “Transitioning to ongoing operations and maintenance” for the first time ranked highest among 16 areas of support. In addition, “77 percent of owners expect their CM to have either expertise or thorough working knowledge of facility startup,” the survey report states. Other traditional CM functions such as document quality concerns and issues/disputes resolutions were the other top CM functions identified by the survey respondents. The CM’s increasingly important role as a leader of the startup process has been evident for some time. As in past years, this survey explored what owners expect from their Construction and Program Separately, the national economy continues to affect the procurement process. Owners were asked how the continuing global economic uncertainty has affected their solicitation and procurement policies. More than half of survey respondents reported that, “due to national economic conditions, we find many bids are priced well below the levels we expected”. While nearly half of respondents agreed or strongly agreed that they plan on taking advantage of these opportunities to contract work at the lowest price possible, among those owners with best-value procurement The Twelfth Annual CMAA/FMI Survey of Owners provides insight into the ever evolving construction industry through both emerging trends and those of long standing. The path to success for CMs remains in adapting quickly and appropriately to owners’ dynamic needs including a more complete range of services, a higher caliber of knowledge and competence across subject areas where owners expect the most significant contribution. www.mocasystems.com Improving Return on Investment Managing facilities and infrastructure systems and delivering design and construction projects in innovative, efficient and sustainable ways. CMAdvisor November/December CMAdvisor November/December @CMAA_HQ was up and running, tweeting 93 “tweets” or updates on conference events and education sessions to its nearly 60 followers. The hash-tag or indexing tool used for the conference, #CMAA2011NatCon, was also used more than 100 times, keeping the conversation running in real-time for conference attendees. Long-term, CMAA’s Twitter will provide followers with relevant news, events and commentary on issues directly related to the Construction community. Over-arching themes from the results include: policies the results are clear: nearly 61.4 percent disagreed or strongly disagreed with the statement, “in the interest of realizing these savings, we are departing, if necessary, from best-value strategy.” This shows that owners, while being presented with a unique opportunity to execute important projects at major cost savings, very few are willing to depart from best-value strategies just yet. 21 CMAA’s Twitter account arrived just in time for use at this year’s National Conference on November 6–8, 2011, in Washington, DC. Managers. The current results survey report states that owners are also looking to professional CMs for leadership and guidance when implementing Integrated Project Delivery (IPD). This trend of greater CM leadership with regards to IPD creates an opportunity for firms to deliver greater value to construction program owners. NEWS The memorandum includes an agreement to jointly promote the CCM program and the use of CM Standards of Practice. The two groups also intend to participate in conferences, training programs and exchanges of market information and research. New! E-Book Versions of Program Management 2.0 As its first venture into e-book publishing, CMAA has produced versions of Chuck Thomsen and Sid Sanders’ Program Management 2.0 for the iPad, Nook, Kindle and other popular reading devices. 22 CMAdvisor November/December Program Management 2.0 expands upon the milestone foundation that Thomsen’s Program Management: Concepts and Strategies for Managing Capital Building Programs first established in 2008. “The industry has continued to evolve,” the authors comment. “New information technology enables concepts that were theoretical just a few years ago. Cost control pressure has brought new demands for efficient practices, better controls and improved connectivity. Yet many of the old issues still remain.” As in 2008, the authors have assigned the copyright and all revenue from the new book to the CMAA Foundation to aid in promoting education, research and career promotion in Construction Management. Program Management 2.0 is available through CMAA’s online bookstore (www.cmaanet.org/cmaa-bookstore) at a price of $25 for members and $35 for non-members. The paper edition of the book is also available, priced at $45 for CMAA members and $60 for non-members. Academic pricing is available. For details, contact the Foundation. Dennis Doran, CMAA vice president, Professional Development, presented a seminar entitled “Meeting Professional Development Challenges with CM Certification” at the Construction Industry Institute’s (CII) Performance Improvement Workshops (PIW) in Houston, Texas. The PIW provides information on new resources, case studies of successful implementation programs, training in the development of applicable skills and the opportunity for Construction industry leaders to network with their colleagues. CMAA’s session gave an overview of CMAA and the value Certified Construction Managers (CCM) delivers for service providers and individuals. Cotter Consulting provides comprehensive services for planning and implementing projects in the built environment. University of Chicago Joe & Rika Mansueto Library “CCM is the means by which the [Construction] Profession defines its own content, standards of practice and values; identifies these best qualified to practice it; and offers an assurance of quality to those who employ CCMs.” Doran said. Separately, continued progress was made on the ongoing collaboration between CII and CMAA. Both organizations continue to pursue the integration of CII’s Best Practices into CMAA’s Standards of Practice (SOP). This central activity is critical in order to bring about the realization of the alliance’s overarching purpose of creating Best Practices and Best Practitioners. Cotter congratulates and supports Vice President Jan Turner as a new Director on the CMAA National Board. Town of Normal, Illinois Multimodal Transit Center Learn how Cotter can make your projects successful, visit us at www.cotterconsulting.com Charles H. Shaw Technology and Learning Center and Henry Ford Academy: Power House High Aviation Healthcare Transportation Commissioning Buildings Sustainability CMAdvisor November/December CMAA and the Construction Management Association of Korea formally signed a Memorandum of Understanding during the National Conference that aims to “establish a formal relationship of friendly cooperation to promote construction management and related construction industry activities.” CMAA Leadership Discuss Benefits of Using a CCM at CII Performance Improvement Workshop 23 CMAA Signs Agreement with Korean Association CERTIFICATION Foundation Nears Campaign Goal, Receives Major Gifts Congratulations to Our Newest CCMs! The CMAA Foundation’s five year capital campaign, “Construction Managers Building for the Future,” is within close range of its goal of raising an endowment of $500,000 to provide long-term financial strength for future education, research and career efforts. Robert Allen Freese & Nichols, Inc., Fort Worth, TX Bruce Gordon JMT Engineering, Sparks, MD Leo McKinley URS Corporation, Seattle, WA Foundation Board Chair Ed Bond, CCM, FCMAA of Bond Brothers, reported at the National Conference that the total raised to date has reached $440,000. The goal of raising the remaining $60,000 got several big boosts recently: Robert Baldwin University of Washington, Snoqualmie, WA Brian Green Federal Bureau of Investigation, Quantico, VA Douglas Omichinski Bechtel Systems and Infrastructure, Inc., Frederick, MD Richard Bethell Turner Construction Company, Los Angeles, CA Steven Hempel AECOM, Honolulu, HI Robert Ostermiller, Jr. RK&K, Baltimore, MD Garrett Johnson Project Control, Inc., Salem, UT John Parish CB Richard Ellis, Columbus, OH Steven Judd MOCA, Newton, MA Kevin Rollins H.R. Gray, Columbus, OH Daniel Khile AMEC Environment & Infrastructure, Kennesaw, GA Don Rondeau Barnhart Balfour Beatty, San Diego, CA Keville Enterprises donated an additional $10,000, over and above that firm’s previous significant support. Mike Potter, PE, CCM of RK&K, gave the Foundation a gift of $4,000 on site at the National Conference. These two gifts, totaling $14,000, actually represent $28,000 for the Foundation thanks to the matching grant. Moving forward, only $32,000 remains to reach the goal! Brian Bowers Bowers and Kubota Consulting, Waipahu, HI Nicholas Cabrera The George Sollitt Construction Company, Wood Dale, IL Ed Caillouette Parsons Corporation, San Antonio, TX 24 CMAdvisor November/December Dan Carter Project Control & Development, Inc., Riverside, CA Barbara Springer SGI Construction Management, Pasadena, CA Michael Langen HDR Engineering, Inc., Las Vegas, NV Christopher Vernon VDOT, Bassett, VA Thomas Lavelle Heery International, Inc., Atlanta, GA Darrell Westlake KBA, Inc., Bellevue, WA Bryan Lawson KCI Technologies, Inc., Tampa, FL Douglas Wrenn MPB, Fairfax, VA Joelle DuBois Bowers and Kubota Consulting, Waipahu, HI Jason MacDonald MBP, Richmond, VA Robert Gauld Turner Properties, Inc., Atlanta, GA Marquis Manson City of North Las Vegas, North Las Vegas, NV Gisso Yasreb ACS Architectural Construction Services, Inc., Costa Mesa, CA Christopher Coles Anchor Engineering, Inc., Oakland, CA Benjamin Crosby W.G. Yates Construction, Jackson, MS Mr. Soto has extensive experience overseeing all aspects of certification for associations. He will be charged with maintaining CMCI’s ANSI accreditation, working directly with CMAA’s Board of Governors and developing relationships with construction and industry certification peers on behalf of CMAA. Mr. Soto spent four years in a similar position at InfoComm International, administering that organization’s ANSI-accredited Certified Technology Specialist program. He has a rich background in project and account management with strong business acumen. Ricardo Santana Alpha Corporation, Miami, FL ClaytonKuzma The Covello Group, Inc., Walnut Creek, CA Jeff Cole Hill International, Inc., Washington, DC More than 200 people turned out for a special evening in the Great Hall of the Library of Congress, raising funds for the CMAA Foundation. Michael Kueny Hill International, Inc., Marlton, NJ Nicholas C. Soto has joined the Construction Manager Certification Institute (CMCI) as Certification Director. Ron Young Johnson Controls, Sacramento, CA 2012 North American Iron Workers / IMPACT Labor-Management Conference Paris Hotel, Las Vegas, NV JAN 29 to FEB 1, 2012 www.ironworkers.org General Politico way Charlie Cook James Con Don’t miss this year’s www.impact-net.org SPEAKERS 800-545-4921 SPECIAL IW/IMPACT HOTEL RATE $109/NIGHT CMAdvisor_advertisement.indd 1 CMAdvisor November/December An anonymous donor came forward and volunteered to match all further contributions up to a maximum of $30,000. Nicholas Soto joins CMAA as Certification Director 25 FOUNDATION 10/5/2011 11:39:22 AM ROUNDUP Hill International has received a contract from the County of Dallas, Tex. to provide professional construction project management and owner representation services in connection with the renovation of the North Tower Jail. 26 CMAdvisor November/December The project includes renovating approximately 140,000 square feet in the existing North Tower Jail to create a centralized medical and mental health infirmary, including medical clinic space, a full-service pharmacy and medical staff offices. The project will also provide updated space for law enforcement needs, site security and a central visitor screening building. Hill’s services under the two-year contract will include design review, construction cost review, construction project management, owner project representation and construction site review. “We look forward to making this a successful project for Dallas County,” said Robert A. Ferguson, LEED AP, CCPM, Vice President in charge of Hill’s project management operations in Texas. AECOM Wins US $17M Contract extension to complete Phase of Dallas Area Rapid Transit AECOM Technology Corporation has been awarded a US$17-million extension contract from Dallas Area Rapid Transit (DART) to complete the second phase of its light rail expansion program. Under the contract extension, AECOM will provide a variety of project control, system integration and staff support services as DART completes the 20-mile expansion of its Orange and Blue light rail lines. AECOM is honored by this opportunity to continue partnering closely with DART, a key client of ours for more than two decades,” said John M. Dionisio, AECOM chairman and chief executive officer. “We look forward to delivering innovative solutions to enhance Dallas’ mass transit systems.” During its most recent assignment on the DART light rail expansion, AECOM’s project control and support services played a critical role in enabling the client to successfully open the 28-mile, $1.8-billion Green Line on schedule and under budget during December 2010. AECOM’s work on the current light rail contract began during 2002 and has a value of US$82 million to date. Parsons Awarded U.S. Central Command Facilities Management Contract Parsons has been awarded a Facilities Management Contract by the United States Central Command (USCENTCOM). Under this contract, Parsons will provide facilities management, operations and maintenance, logistics, and engineering services for USCENTCOM’s headquarters facilities. “Parsons is proud to have been selected to support USCENTCOM personnel at both its rear and forward headquarters,” said Todd Wager, Parsons Group President. “We have been working in USCENTCOM’s area of responsibility for more than 60 years, and this effort will significantly enhance and further the command’s long-range operational support efforts.” Parsons will perform its services at MacDill Air Force Base in Tampa, FL, and at an air base in Southwest Asia, with additional support for forward operating locations. Parsons has more than 100 offices worldwide, including locations in Florida and Southwest Asia. MOCA Completes Alabama Tornado Disaster Recovery Effort Following April’s devastating tornado outbreak across much of the United States, MOCA Systems, Inc. deployed 53 construction management personnel 40 hours after its selection by The Federal Emergency Management Agency (FEMA) and the U.S. Army Corps of Engineers (USACE) to oversee the recovery process in Alabama. To support the Tornado Cleanup Operations in 23 counties MOCA provided Quality Assurance Monitors and a management team. MOCA established a temporary project headquarters in the Recovery Field Office (RFO) of the USACE Mobile District in Birmingham, and served as an extension of the USACE staff. “MOCA recognized the need to put ‘boots on the ground’ as quickly as possible to assist the citizens of Alabama in their recovery from these destructive storms,” said John Jones, MOCA vice president, services. “We were glad to be able to use MOCA’s specialized expertise to ensure a timely and successful clean up.” MOCA monitored debris removal and ensured the work was performed safely with minimal further property damage. In addition, MOCA verified the amount of debris removed by contractors to ensure accurate payment and control costs. The Miami-Dade Water and Sewer Department has awarded a contract to Parsons Brinckerhoff for construction management services for a major utility relocation project. The project involves relocating an existing 20-inch water main that crosses Fisherman’s Channel and a 54-inch force main that crosses Government Cut Channel. Parsons Brinckerhoff will provide services including project management, contract administration, quality assurance monitoring, public information, design coordination/review, schedule monitoring/review, field inspection for water main relocation, and field inspection for force main relocation. The project is scheduled for completion in December 2012. Fairfax County Selects MBP for CM Services MBP has been selected by the Fairfax County, Va. Department of Public Works and Environmental Services to provide project management and construction management support services. The contract will be for one year with two additional one-year renewal periods and will provide support to a program involving approximately $1 billion in construction as a part of Fairfax County’s Capital Improvement Program (CIP). “We are excited to once again be working with Fairfax County and we are looking forward to contributing to CIP projects as a part of the CM team,” says Christopher J. Payne, PE, CCM, Senior Vice President and Regional Manager. “As a business headquartered in Fairfax, MBP is also honored to be a part of a program dedicated to improving facilities in the community where we live and work.” Construction management services will include project scheduling, construc‑ tability review, cost estimating, quality control monitoring, claim analysis and commissioning. The CIP encompasses a variety of projects in the building, public works and transportation sectors and will include improvements to neighborhoods, courthouses, sewers, libraries, police stations, fire houses, parks, and other community facilities and systems. PA Turnpike Commission Bridge Project Makes Bold Statement for Immediate Infrastructure Investment Four new bridges crossing the Lehigh River and Pohopoco Creek recently opened to traffic, replacing two, deteriorating, 55-year-old original structures on the heavily traveled Northeast Extension (I-476) of the Pennsylvania Turnpike. The $102 million construction project has provided an economic boost to the region, and has shown dramatically the impor‑ tance of investment in infrastructure, says Urban Engineers, Inc., which has been leading the construction management effort for this project since it broke ground in January 2009. Urban’s President and CEO, Edward M. D’Alba, PE, stated, “The new bridges make a bold and significant case for infrastructure investment. The crumbling, original structures are a stark contrast to the four new bridges now providing safer transportation for 30,000 vehicles per day and enhancing the region’s economic competitiveness. No one would want to imagine the negative economic impact if the original structures were not replaced.” The bridges—two north bound and two south bound—were erected parallel to the west of the existing bridges and equal about a mile of new bridge super‑ structure. “This was a monumental task,” the project’s resident engineer, Urban’s Aaron Barnes, PE, stated. “Enormous beams, with some exceeding 160 feet in length, eight-feet high and weighing over 200,000 pounds, are among the longest and heaviest pre-stressed beams erected in the state. The bridge foundations utilized the installation of drilled shaft caisson construction, ranging from seven feet to 11 feet-six inches in diameter for the substructure, drilled 30 feet into bedrock—the largest that I have ever worked with.” Vanir Staff Donates Time for Construction Institute Student Days More than 50 college students from 13 California and Oregon Universities, volunteers from two California sections, and representatives from 11 sponsors, including Vanir Construction Management gathered in September for the Construction Institute’s Student Days Conference in Sacramento. Student Days provides students and industry professionals numerous opportunities to get to know each other while introducing students to the real-world opportunities open to them in their futures as practicing engineers. Aaron Schwartz, of Vanir Construction Management, was a volunteer to help give the attendees a dose of inspiration as well as recommendations and lessons from his own career to help guide the students in their career path beyond graduation. Erika Valle and Steve Whitehead, also with Vanir, participated in a job fair during the last day of the event. Part of the job fair included a “speed networking” session where groups of students were given a few minutes with each company representative to ask career and professional questions. Send Us Your Project Announcements CMAA would like to publish the latest project news from members. Please put jmckeon@cmaanet.org on the list to receive press releases. CMAdvisor November/December Hill International Selected as PM for Reno of North Tower Jail in Dallas County Parsons Brinckerhoff Named CM for Miami Utility Work 27 Member News RO LL OUT I NSU RANC E Colorado State University The student chapter of CMAA at Colorado State University (CSU) participated in CSUnity, a charity event through CSU that helps Colorado residents in need. The chapter’s members volunteered their time to landscape the yard of an elderly resident, in addition to other household tasks that would have otherwise not have been completed. These efforts produced more than fifty bags of yard waste and two large piles of branches, solidifying the CMAA CSU Student Chapter’s commitment to helping those who are most in need within their community. The student chapter of CMAA at San Diego State University, in conjunction with the student chapter of the Associated General Contractors of America (AGC) is now 50 members strong and more involved than ever before. With respect to industry interaction, the chapters worked in tandem to pour concrete in the world’s largest research Shake Table Project and teamed up with the United States Green Building Council (USGBC) Student Chapter in an effort to achieve LEED-certification of the Mission Bay Aquatic Center. In addition, a “Professional Development Day” was held in the fall which was such a success that a second installment is planned for the Spring. These professional development opportunities allow industry leaders to interact with the students. Volunteerism was strong for this active chapter. This past year has been active and full of community projects. Thirty students volunteered at the National Electrical Contractors Association (NECA) Convention and chapter members participated in the Habitat for Humanity’s Home Builders Blitz 2011 as well as volunteered for local beaches clean up. If your company is interested in setting up an information session with the CMAA student chapter; would like more information about the Spring PDD; have a construction project that is open for visitation; or would like to sponsor and/or become more involved with the SDSU CMAA & AGC Student Chapter, please email sdsu.agc.cmaa@gmail.com. San Diego State University 28 CMAdvisor November/December Members Tyler Vandervegt, Jordan Tranel, Eli Schutz, and Rob Wikoff Separately, twenty-four chapter members are preparing for the upcoming ASC Competition to compete in the divisions of Commercial, Heavy Civil, Multifamily, and Preconstruction Services. In addition, two students along with their chapter advisor attended the Rising CM Conference thanks to the gracious sponsorship by the CMAA San Diego Chapter. The chapter wishes to thank CMAA San Diego for its support. Professional Liability Insurance Specialists for Construction Managers (800) 597–2612 www.hallandcompany.com N EW B O OK NEW! PROGRAM MANAGEMENT 2.0 By Chuck Thomsen and Sid Sanders “…a must-read…” Jesus M. de la Garza, Virginia Tech “…a perfect fit for young minds…” James C. Smith, Texas A&M University “relevant, timely and fun to read…” G. Edward Gibson, Jr., Arizona State University Now available in print or e-book. Outstanding Chapters Honored in Washington CMAA honored its “chapters of the year” at the National Conference & Trade Show in Washington, DC, along with the chapters that distinguished themselves in six activity areas. Chapter members clean up at the beach at Mission Bay Proceeds benefit the CMAA Foundation. The winners are: Chapters of the Year Student Chapter of the Year – Colorado State University Population Division I – Indiana Chapter Excellence in Student Focus – Chicago Chapter Population Division II – Baltimore Chapter Advertise in ROLL OUT Excellence in CCM Involvement – National Capital Chapter Population Division III – New England Chapter Excellence in Owner Involvement – Mid-Atlantic Chapter Population Division IV – Northern California Chapter On a tight budget, but interested in reaching a targeted, highly qualified audience of professional Construction and Program Managers? Call today. Excellence in Membership Development – South Atlantic Chapter Population Division V – Metro New York/New Jersey Chapter Excellence in Professional Development – Southern California Chapter If you want to advertise in the special Roll Out Section contact Tom Egly at 703-548-0200 x117 or email him at tom.egly@tgdcom.com CMAdvisor November/December Chapter News Let us show you what our focused expertise can do for you. 29 ROUNDUP ROUNDUP PRESIDENT’S REPORT Professional Development Calendar Doing Something Right By Bruce D’Agostino, CAE, FCMAA December 8–9, 2011 Houston, TX I heard honoree Peter Shea of J.F. Shea Construction at the annual Moles dinner in New York complain about CMs interjecting themselves into projects, and recently I attended a dinner given by McGraw-Hill Construction in Washington, at which celebrity architect Frank Gehry also bemoaned the increasing involvement of CMs and insisted that architects didn’t need anyone’s help in maintaining a project’s budget. Standards of Practice Course Hosted by the Central Virginia Chapter December 6–8, 2011 Williamsburg, VA Becoming a CCM Online Webinar Tuesday, Dec. 6 I suspect he was referring to the design budget, not the construction budget! CMAA Owners Leadership Forum CMAA Owners Leadership Forum May 6–8, 2012 Hyatt Regency Hotel, Long Beach, CA Pricing Contractor Delay Costs CMAdvisor November/December Online Webinar Thursday, Dec. 8 30 Twice this year I have been in the audience when a speaker lambasted Construction Managers for meddling and making trouble. Visit www.cmaanet.org/courses-and-events for updates and additions to the 2012 webinar schedule. Generally, though, my reaction on both occasions (once I got past my initial annoyance) was to think, “CMs must be doing something right!” Every construction project or program involves multiple players, not all of whom come to the process with the most collaborative of attitudes. When I hear complaints like these, I conclude that CMs are out there actively representing owners and exercising leadership over complex projects and multi-party teams. In other words, doing what owners want them to do. Owners’ needs in this area have become steadily clearer. Our most recent joint Owners Survey, conducted with FMI and unveiled at the National Conference, confirms this trend yet again. We gave owners a list of 16 functions and asked them to identify areas in which they expected or needed a significant contribution from their CM, whether in-house or contracted. For the first time, the function, “Transitioning to ongoing operations and maintenance (startup)” ranked first. This function has been rising in importance for years. The 2009 Owners Survey, for instance, concluded that “owners are taking a more holistic view of their capital construction efforts and expect a broader set of services from pre-design to O&M functions.” Owners are relying on their CMs to deliver this broader range of services because only the CM is in a position to act as the owner’s trusted advisor in every phase of a project from pre-design to ongoing operations. It’s also illuminating to see what other functions owners regard as very important for CMs. For example, owners expect the CM to be the “go-to” person for resolving disputes and working out problems with documents, as well as to “explain our needs, policies and processes to the construction community.” “CMs are out there actively representing owners and exercising leadership over complex projects and multi-party teams. In other words, doing what owners want them to do.” We crafted the survey questionnaire to embrace in-house CMs as well as consultants acting in the owner’s interest. However, I think the findings of the survey were largely shaped by another key trend that we reported on last year, in our 11th Survey of Owners. Owners’ in-house professional resources are increasingly strained. Staffs have been reduced and may not be growing again in the near future. Construction, meanwhile, grows ever more complex and more specialized. Owners need effective teams that bring together a wide range of skills and viewpoints. That need isn’t going to change. But it creates a second imperative: Leadership. Leadership is what moves a project smoothly through multiple phases, keeping the owner’s goals in mind at all times. Leadership is what knits a group of independent professionals into a team. Leadership is what the CM brings to the owner’s table. CMAdvisor November/December National Meetings 31 CII Project Management Course: Front End Planning and PDRI