Construction project management through building contracts, a South African perspective

Abstract

This article reviews construction project management and building contracts in South Africa. It introduces general information and findings on the topic, forming part of a broader in-depth study, which proves difficult to encapsulate in one single article. The novice might perceive contract management, project management, and construction management to be the same concept. To clarify these concepts, the evolution of construction contracts and project management was studied to identify possible similarities between these concepts. This article commences with a brief history prior to a schematic analysis of the general characteristics of construction contracts and project management. It investigates the application of these concepts within South Africa and compares the general structure of the main contracts used within South Africa. This general investigation   clearly shows that the standard conditions of contracts used in South Africa have similar structures to the main construction project management knowledge areas recognised by the Project Management Institute (PMI). The article also reviews the four general conditions of contracts endorsed by the Construction Industry Development Board (CIDB) in South Africa and investigates the general clauses and themes of these contracts. The Construction Contract should consider all the Project Life-Cycle (PLC) stages. The Construction Contract should further be regarded as the Project Implementation Plan (PIP), on which the control procedures during construction are based. With the understanding of the evolution of the two streams (contracts and management), their relevance, goal, dependencies and responsibilities may be understood better. This may enhance the  professional manner in which the management of the entire Project Life-Cycle (PLC) is implemented and approached.

Keywords: Agreement, construction, contract(s), general conditions, project management, project life cycle