FAQs
Frequently Asked Questions
Questions
Welcome to our FAQ section! Here you will find answers to frequently asked questions about project management in construction and special projects.
Our goal is to provide you with a comprehensive insight into our working methods, services, and solutions. Whether you are a client, developer, or partner, you will find valuable information here to help you successfully implement your projects.
Project management, in the traditional sense, represents the assumption of delegable client tasks in a construction project. The project manager takes on the tasks that the client cannot perform themselves due to capacity or expertise limitations. Therefore, project management must necessarily be carried out under the direct mandate of the client.
Project management in construction is a central element of building management. Highly complex construction projects require the coordination of 25 to 30 different planners, experts, and other specialists. Clients typically lack the capacity for this and delegate the task to project management.
Complex construction projects pose a significant risk for the client, particularly regarding cost and schedule certainty. The only way to minimize this risk is to appoint an experienced and professional project management team that understands the necessary processes and procedures.
The coordinating tasks of a general planner are fundamentally different from those of a project manager. The general planner coordinates the parties involved in the planning, who are contractually their own subcontractors (planning coordination). Project manager takes over the coordination that the client is responsible for. The client also has a duty of oversight towards the general planner. If project manager is also commissioned by the general planner, independence is no longer guaranteed!
The project manager must begin well before the start of the conventional planning process. Particularly during the "project preparation" phase, they can make a significant contribution to the project's success. Most errors occur during this phase due to inexperience, and these later require considerably more effort and time to rectify.
The DVP defines project management as follows: Project management is the performance of client functions in the realization of construction and real estate projects from a technical, economic, and, in some cases, legal perspective. Project management can encompass both project control services (external support) and project management (client management).
The DVP defines project management as follows: "Project management involves the performance of client functions in the realization of construction and real estate projects in an advisory capacity (staff function)." It is essentially the right hand of the project manager and takes over all tasks that the latter cannot perform for reasons of capacity or expertise.
Project management and project control handle the client's project management. Typically, the project manager is an employee of the client who holds overall responsibility (including budget responsibility). In many cases, the project management team's capacity and expertise are insufficient. Large parts of the task are then delegated to external project control. These two disciplines are intrinsically linked.
Project managers oversee the entire construction process, coordinate planning and execution, manage resources, monitor progress, identify and solve problems, and communicate regularly with all project stakeholders.
Project control is part of project management. In theory, project management is divided into project leadership and project control.
If your company lacks experience with construction projects, if the project is particularly complex, or if you lack sufficient capacity, it may be advisable to hire a project manager.
The scope of services for project management is very comprehensive and was defined by the AHO expert commission, primarily in issues 9 and 19. Key areas include:
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Development of the organizational and procedural structures at the client's site (organizational chart, procedures for procuring planning and execution services, procedures for invoice verification, filing system, etc.).
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Moderation of the needs analysis in order to have reliable planner specifications at the start of conventional planning.
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Establishment of detailed project controlling, in order to be able to say at any time, for example, what the financial costs of the project will be.
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Management of the master schedule and the tender schedule
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Development of a reporting system for management, SteerCo and funding providers
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Staging and directing all processes that need to be integrated into the preparation, planning, and construction process.
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Selection of the team of planners & consultants
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Coordination and control of project participants
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Participate in contract matters
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Project preparation
planning
Execution preparation
execution
Diploma
The Fee Structure for Architects and Engineers (HOAI) is a German legal regulation that establishes binding fee frameworks for planning services in the construction industry. It serves to ensure quality, guarantees fair prices, and structures projects into nine service phases.
This fee schedule contains proposed remuneration for project management services. It was developed by the AHO expert committee.
Cost management refers to the process of estimating, allocating, and controlling the costs of a project. It enables a company to anticipate future expenses and reduce the likelihood of budget overruns. Expected costs are calculated during the planning phase of a project and must be approved before work begins. During the implementation of the project plan, expenses are documented and tracked to ensure they remain within the cost management plan. Upon project completion, expected costs are compared with actual costs to gain insights for future cost management plans and project budgets.
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Cost control refers to the monitoring and management of project expenses, as well as preparing for potential financial risks. The project manager is typically responsible for this. Cost control encompasses not only budget management but also planning and preparing for potential risks. Risks can lead to setbacks in projects and sometimes result in unexpected costs. However, by preparing for them, you can save your team time and, potentially, money.
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Stakeholder management is a specific service as defined in AHO Volume 19. A project always operates within a specific context and is shaped by the project participants. The context, the project participants, and external circumstances must be taken into account during project implementation. Large-scale projects, in particular, are often criticized for neglecting the influence of project stakeholders. Project stakeholders are groups or individuals who are affected by the project in some way.
Multi-project management is a specialized service as defined in AHO Volume 19. Multi-project management refers to the organizational and procedural framework for managing multiple individual projects within a defined organization. It encompasses planning, overall monitoring, and control.
Risk management is a specific service as defined in AHO Volume 19. The definition of the term “risk management” states that it refers to coordinated activities designed to guide and steer an organization with regard to risks. This definition is kept broad enough to apply to various industries, such as the insurance or construction sectors. In the context of the construction industry, however, this definition can be formulated more specifically: “Risk management refers to the systematic promotion of project success through the identification of risks and the influence of their probabilities of occurrence or impacts.” (DVP 2014, p. 53)
A Gantt chart is a table that clearly illustrates the progress of a project and all its associated elements. It was first invented in 1896 by Karol Adamiecki. Henry Gantt developed his own version in the first decade of the 20th century, which depicts a project schedule. Gantt charts are a useful tool for mapping the entire progress of one or more projects. They show which tasks depend on others and which milestones are upcoming.
DIN 276 is a DIN standard used in the construction industry to determine project costs and as a basis for calculating fees in accordance with the HOAI for architects and engineers and the AHO for project managers.
Essentially, DIN 276 defines the following five stages of cost determination and cost breakdown.
Cost framework
Cost estimate
Cost calculation
Cost estimate
Cost determination
Phase 0 is a legally protected term of the Vollack Group. It is comparable to Service Phase 0 under the HOAI and takes place during Project Phase 1 as defined by the AHO Expert Commission.
Generally speaking, the fee is 1.5–3% of the construction cost. However, this is only a very rough estimate. In principle, the fee can be agreed upon freely. The fee schedule of the AHO Expert Commission serves as a guideline.
A project manager should have a solid understanding of construction and real estate projects, possess excellent communication and leadership skills, have experience in project management, and ideally hold relevant training or certification.
Communication between the project team and the client is crucial. Project managers ensure that all relevant information is shared transparently, that regular meetings are held, and that all parties are kept up to date to ensure smooth collaboration. To this end, we work with the client and the specialist designers at the start of the project to determine which communication channels will be used.
Project objectives are established and clearly defined in close collaboration with the client. Project managers monitor progress using predefined milestones and KPIs to ensure that objectives are met, and adjust the strategy as needed.
Common challenges include budget overruns, delays, conflicts among project stakeholders, and unforeseen risks. Project managers identify potential problems early on, develop strategies to address them, and work closely with the team to overcome these challenges.
Technology can enhance project management through the use of project management software, BIM (Building Information Modeling), digital planning tools, and real-time communication platforms to improve efficiency, accuracy, and collaboration. The German construction industry is currently undergoing a transformation. More and more tools and opportunities are being developed to help digitize the industry.
Sustainability is playing an increasingly important role in project management, as there is a growing demand for environmentally friendly construction practices and green technologies. Project managers promote sustainable solutions and advise clients on the implementation of appropriate measures.
Quality assurance is ensured through clear specifications, regular inspections, review of work results, and compliance with relevant standards and regulations. Project managers oversee these processes and intervene as needed to ensure quality.
In project management, legal aspects such as contracts, permits, liability, and insurance must be carefully considered. Project managers work closely with legal and technical experts to ensure that all legal requirements are met. Because of the wide variety of projects they handle, project managers can draw on a wealth of experience and know what works in practice. However, they merely offer recommendations and in no way replace legal counsel.
Future trends in construction project management include the increased use of digital technologies, the adoption of AI and IoT, the integration of sustainability practices, and greater collaboration within the supply chain.
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