CM Peletz

CM Peletz Co., with offices in San Jose and San Francisco, is a General Contractor and Construction Manager specializing in very high-end residential and complex commercial projects. Since its inception, C.M. Peletz Co. has been highly regarded for our integrity, attention to detail and client-centric approach to the building process.

Wednesday, July 29, 2009

Managing Expectations through Project Managers

I am often asked, in conversation or when interviewing for a project, how our firm goes about the operation of constructing a project. After discussing the roles of project manager, superintendent, foreman, etc, I am invariably asked, as the manager of the construction business, what my role is in the operation of constructing individual projects.

With quite a few years now in the business playing just about every role along the way, I have come to the successful conclusion that my role is to play that of the client or client’s advocate.

When it comes to successfully building residential estates of the highest caliber it is imperative that job one is to manage the expectations of the client at all times. The construction business is fraught with endless chances for misunderstanding and monetary loss by the contractor, so the construction staff is trained to protect the business’s shareholders. This is necessary to the survival of the business. However, the vigilant protection of the company does not guaranty a happy client or design professional -- or even that their expectations are managed correctly.

This is where I come in.

As the operations manager or “manager of the project managers,” I look at every issue as if I am the homeowner or design professional. What would I think if I were being presented with this proposal or request for information? Is this something I should be paying for? How will this affect the schedule? Is this what I am expecting?

Don’t misunderstand, our project managers and superintendents are highly experienced, capable, and extremely sensitive to the wants and needs of our clients and design counterparts. However there are times when client expectations collide with that of the general contractor.

The tendency of the project manager is to strive to build extreme quality within budget and schedule. When there is a change causing extension of budget and schedule to provide for the extreme quality it is up to the operations manager to scrutinize these situations so that fairness to the client is maintained. At times this creates confrontation and then compromise within the office prior to releasing information to the client. Compromise might include eating some costs that might otherwise have been imposed improperly onto the client. It also might mean coming to the conclusion that due to certain documentation, our take on the situation is correct and the client must bare the brunt. In the latter case, some explanation from me directly with client could come in handy to explain the situation or reason for our course of action. There we go managing expectations again.

Performing the tasks required by the client in the process of constructing a building is every bit as important to the outcome as the performance of the project manager. In our market segment, that of the very high quality estate home, most clients act in this capacity few, if only one time. How can we expect them to make the right decisions or understand the point of view of the contractor without any experience? Having been a client myself, who has also acted as a professional client representative on large estate projects, I have a pretty good understanding of the contractor/client relationship. I believe having the ability to view the process from a client’s perspective and using it as a tool to manage client expectations sets our firm apart when it comes to client retention and referral.

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