Choosing Subcontractors in Construction Management by Artan Balaj

Choosing Subcontractors in Construction Management: Article by Artan Balaj, Purchasing

Choosing Subcontractors in Construction Management: Article by Artan Balaj, Purchasing

As a general contractor or construction manager, getting awarded a good contract requires hard work from the estimating team, good budget setting, background and resume of completed similar projects, and a stellar reputation.

What is Project Buyout? A buyout is the transitional time period between the preconstruction and the construction phases of a project when purchase orders and subcontracts are issued.

Upon being awarded, our team starts the buyout process for all relevant trades, i.e. Sitework, Concrete, Structural Steel, HVAC, Electric, Plumbing, Rough Carpentry, closing in the building, to further with all finishes. The goal of a buyout is to assemble the best team possible to deliver a building to the owner on time and within budget.

All Subcontractors must complete a series of documents in order for them to be considered for a project, and to work with March:

  1. Pre-qualification Form

    A yearly questionnaire, that will give background information of a subcontractors history, including three previous completed job and their cost values, three references, three suppliers, any accident and a brief explanation.

  2. Insurance Sample Certificates

    March requires all subcontractors to submit sample insurance forms, appropriate to each state, showing coverages and endorsements. This eliminates issues once the subcontractor is hired; they are ready to step onto the site, ready for work.

  3. Scope of Work

    All subcontractors must review the scope of work with the purchasing team, and the project manager of the specific job. The scope of work is a narrative of what the subcontractors owe on a particular project, including specifics, and general notes and safety. The contract drawings are discussed and reviewed along with the scope.

  4. Leveling Process

    Upon completion of all subcontractors to a specific trade, organized charts are created highlighting some key items owed from all of the subs, the budget, and the variance. The owners will review, and comment accordingly. Once approved by the owners, the negotiation stage is entered, and completed.

  5. Awarding

    The issuing of a subcontract and/or purchase order marks the end of the buyout process for each scope of work.

    The subcontractor is now ready to get started with shop drawings, submittals, and mobilize onsite to produce a fully scoped project.

When you work with March, you are choosing the best standard in project management & methodology. You work directly with our company principals—Lou March and Todd Laubach—who are a key part of each project March tackles. We provide better hands-on service and communication than larger construction companies can offer.

In addition, we have a passionate and hard-working management team. Learn more about what our experts have to say about their experience working in the construction industry by reading the March Pro Articles section of our Blog.


Consultation

Ready to take the first step? Give us a call at (973)-904-0213 to speak to someone now about how March can help with your commercial building project.

You can also drop by our office located in Wayne, NJ. We are open from 9AM-5PM Monday through Friday (March Construction 601 Hamburg Turnpike Wayne, NJ 07470)

Looking to contact us off-hours? Shoot us a quick email at marketing@marchassociates.com. We will get back to you within 1 business day.

Read: Your Construction Management Project - Top 3 Reasons to Choose March Construction