Below are the top 20 most common terms used in CONSTRUCTION CONTRACT MANAGEMENT.
Which do you know? Which would you like to learn more about?
(click the links for definitions) <<—
1. project delivery
The process of taking a construction idea from inception to completion. It involves design, planning, execution, and handing over the project. Different methods, like design-bid-build, influence outcomes. For instance, design-build merges design and construction phases for faster delivery.
2. substantial completion
The point when a construction project is sufficiently finished to be used for its intended purpose, though minor tasks or corrections might remain. Once reached, a facility might be used even if some finishing touches remain, like painting or landscaping.
3. project manual
A comprehensive document detailing project requirements, including specifications, procedures, and other necessary information. While construction drawings graphically describe the project, the manual provides very detailed, specific requirements. It works as a companion to the drawings.
4. contract sum
The total agreed-upon amount to be paid to the contractor for performing the described work in the contract document. Adjustments, like change orders, can modify this amount. It encapsulates all project costs.
5. contract time
The duration, typically in days or months, allotted in the contract document for completing the project. Delays could result in penalties.
6. critical path
The sequence of essential tasks in a project that determines the shortest possible project duration. If a critical task is delayed, it can impact all future milestones and delay the project’s finish date.
7. change order
A formal modification to the original contract document, adjusting the contract sum, contract time, or scope of work. Unforeseen site conditions, like discovering unsuitable soil, might necessitate a change order, affecting contract sum (cost) or contract time (schedule).
8. bid form
A standardized document used by contractors to submit their proposal or price for a project, typically in competitive bidding. It’s a tool for consistent, easily compared contractor proposals.
9. unit price
A set cost for a specific portion or unit of work, like per square foot or cubic yard. Projects with variable quantities, like roadwork, benefit from this. It defines a set rate in case the scope is difficult to define.
10. competitive bidding <<– click to see a special Construction English course explaining project delivery.
A process where multiple contractors submit bids, usually using a bid form, to win a construction contract. It ensures a fair market price. Though the lowest bid often wins, other factors can influence the decision.
11. quality control
Processes to ensure that the construction work meets defined standards and requirements.
12. final payment
The last payment made to the contractor once the project achieves final completion and all requirements are met. It usually is processed after fulfilling all obligations and addressing all punch list items.
13. baseline schedule
A reference timetable, showing planned start and finish dates for project tasks. It’s the reference for progress. If tasks veer off schedule, impacts on subsequent tasks are analyzed.
14. quality assurance
Systems and actions ensuring the services and products meet quality standards, often working alongside quality control, and focuses on preventing defects. For instance, worker training is a proactive way to assure project quality.
15. punch list
A list of incomplete or defective work items that must be addressed before final payment, and is created as projects near completion. It details minor fixes or tasks that need fixing before project final payment, final completion, and certificate of occupancy.
16. purchase order
An official document authorizing a vendor to supply goods or services at a specified price, ensuring both buyer and seller agree on terms.
17. final completion
The stage when all construction tasks, including addressing the punch list, are finished, and the project is fully ready for use.
18. project budget
An estimated financial plan detailing all expected costs associated with the construction project.
19. contract document
A document, specification, or drawing that defines the scope of work, terms, contract sum, and other key details between parties.
20. defective work
Construction work that doesn’t meet the specified standards or requirements in the contract document or project manual. It could also be a safety concern, like a loose railing or a leaky roof, that the contractor must resolve before receiving final payment.
LANGUAGE DEEP DIVE
Contract Management Collocations in Construction English
Collocations are word combinations that native speakers use naturally. In construction English, learn which verbs go with specific nouns. This helps you sound professional in workplace situations.
How to Study: When you see a term like “project delivery,” notice which verbs appear with it. Does someone “manage” it? “Streamline” it? Learn these combinations together.
For a different view, study the construction management verbs that go with these nouns.
Common Verb Collocations
project delivery
manage project delivery
streamline project delivery
“Our firm manages project delivery for commercial developments.”
substantial completion
achieve substantial completion
certify substantial completion
“The contractor achieved substantial completion two weeks ahead of schedule.”
project manual
prepare the project manual
reference the project manual
“The team prepares the project manual during the design phase.”
contract sum
adjust the contract sum
increase the contract sum
“Change orders will adjust the contract sum.”
contract time
extend contract time
modify contract time
“Weather delays may extend contract time by 30 days.”
critical path
identify the critical path
analyze the critical path
“Project schedulers must identify the critical path during planning.”
change order
issue a change order
process a change order
“The architect issued a change order for the revised design.”
bid form
submit a bid form
complete the bid form
“All contractors must submit a bid form by the deadline.”
unit price
establish unit prices
apply unit prices
“The contract establishes unit prices for excavation work.”
competitive bidding
conduct competitive bidding
participate in competitive bidding
“Public projects conduct competitive bidding to ensure fair pricing.”
quality control
implement quality control
maintain quality control
“The contractor implements quality control procedures on all phases.”
See also: perform inspections.
final payment
release final payment
withhold final payment
“The owner will release final payment after completion is certified.”
baseline schedule
establish the baseline schedule
update the baseline schedule
“The team establishes the baseline schedule during planning.”
quality assurance
provide quality assurance
ensure quality assurance
“The engineering firm provides quality assurance throughout construction.”
punch list
create a punch list
address the punch list
“The architect and owner create a punch list during the final walkthrough.”
purchase order
issue a purchase order
approve a purchase order
“The procurement team issues purchase orders for all major equipment.”
final completion
reach final completion
certify final completion
“The project reached final completion six months after substantial completion.”
project budget
develop the project budget
track the project budget
“The owner and design team develop the project budget during early planning.”
contract document
prepare contract documents
review contract documents
“Legal teams prepare contract documents before bidding begins.”
For more, see materials and methods nouns.
defective work
identify defective work
correct defective work
“Quality inspectors identify defective work during site visits.”
Understanding “work” as a noun versus a verb helps clarify scope and activities.
Related Resources
These terms work with construction management verbs and construction action verbs.
