Construction Manager at Risk Vs. Design-Build: What’s the Best Method for Your Next Project?

Construction Manager at Risk Vs. Design-Build

In construction, the first step in any project is determining a project delivery method that ensures the best outcome. Two popular methods that we offer at Miles-McClellan Construction are design-build and construction management at risk (CMR), which while similar in some respects, also have distinct differences that can be the defining factor in executing a project that is well-planned, goes smoothly and leaves all involved feeling satisfied with the results.

Keep reading to learn more about these delivery methods and when they are best utilized.

An Overview of CMR and Design-Build Project Delivery

First, it’s important to understand how these methods are different on a base level. With CMR, one of our skilled project managers commits to delivering a construction project within a guaranteed maximum price (GMP). That construction manager will be your consultant throughout the project, doing whatever it takes to ensure that all aspects of the projects are being handled properly and that there is a smooth transition from one phase of a project to the next.

With design-build project delivery, the design-build contractor teams with the chosen architect to complete construction based on your project needs and wants. Because of this partnership between contractor and architect, an established guaranteed cost is provided early in the process, allowing you to secure funding faster.

Advantages of CMR

Every strategy has its unique strengths. Let’s explore those in a CMR collaboration. 

  • If you have an architect who has worked well for you throughout the years, CMR allows you to continue working with the architect who understands your business and vision, while the contractor keeps that vision within budget.
  • Because the construction manager is involved early in the project, they can provide valuable input during the design phase, which can lead to more accurate cost estimates.
  • When a GMP is established from the very beginning, overrunning the budget is less likely.
  • CMR fosters a sense of collaboration with everyone involved in a project, including, owner, designer, architect, stakeholders, etc., which leads to better communication and problem-solving.
  • With CMR, the owner sets and leads the design while being financially responsible, giving the owner more control.
  • We recommend CMR as the form of project method delivery for more hands-on owners.

Advantages of Design-Build

Now let’s explore the benefits of design-build project delivery.

  • If your construction project contains multiples of the same type of building (for example, maintenance complexes, a tradition K-12 school, banks, and public institutions such as fire stations, police station, post offices, etc.) design-build is a very effective choice.
  • The design-build contractor holds all of the risk for the owner by contracting with both the architect and subcontractors.
  • With design-build, the design-build contractor and architect are partners, creating a situation that requires less checks and balances.
  • Design-build can significantly reduce the overall project timeline, as both the construction and design phases of a project take place at the same time.
  • We recommend design-build for owners who want to focus on their business instead of taking on the responsibilities of the construction on a heavily funded project.

Still Have Questions? Let Us Put You on the Right Track!

Overall, there is a give and take to both delivery methods that should be taken into account when considering your next project. If you still have questions and would like insight from construction experts with decades of experience, contact us today and let’s build excellence while finding your ideal construction solution!