Short answer
A construction manager runs a project on the owner's behalf: budget, schedule, trade procurement, site coordination and safety, and closeout. Unlike a general contractor selling one fixed price, the CM is paid an agreed fee and passes trade costs through at the prices the owner sees.
Before construction
- Budget pricing from concept drawings, updated as the design develops.
- Constructability input — flagging details that are expensive, slow or hard to maintain while they're still lines on a drawing.
- A master schedule covering design, permits, procurement and site work.
- Trade packages — writing scopes, inviting bidders, levelling bids and recommending awards for the owner to approve.
- Long-lead items — identifying equipment that needs ordering early and getting it moving.
During construction
- Coordinating trades on site — sequence, access, inspections and quality.
- Health and safety. In Ontario, the party that undertakes the project for the owner is the "constructor" under the Occupational Health and Safety Act, with duties for the whole site. Settle who that is in the contract — if an owner hires trades directly without a constructor, the owner can take on those duties.
- Notice of Project. Projects expected to cost more than $50,000 in labour and materials need a Notice of Project filed with the Ministry of Labour before work starts.
- Cost reporting against the budget, with change orders priced before they proceed.
- Payment administration — certifying trade invoices and tracking the 10% holdback required under Ontario's Construction Act.
At closeout
Deficiency lists, warranty documentation, operating manuals, as-built drawings and handover. When the CM also maintains the building — as MARLICON does — the person answering a warranty call already knows how it was built.
Two ways to set it up
- CM for services (CCDC 5A) — the CM advises and manages; trades contract directly with the owner.
- CM for services and construction (CCDC 5B) — trades contract through the CM, which simplifies the owner's paperwork and site safety responsibilities.
When construction management makes sense
- You want to see and approve every trade price.
- The design will keep developing after work needs to start.
- The project is complex, phased, or in an occupied building.
- You have your own designer and want a builder working alongside them for you.
If you need one fixed number before you commit, a general contract on complete drawings is usually the better fit. Compare all three in design-build vs CM vs general contracting.
How is a construction manager paid?
Through a fee agreed before work starts, shown separately from trade costs. Trade costs are passed through at the prices the owner sees.
Is a construction manager the same as a general contractor?
No. A general contractor sells a fixed price and carries the cost risk for the drawn scope. A construction manager works as the owner's agent, with open-book trade pricing.
Does a construction manager handle site safety?
Usually, yes — when the CM is the constructor under Ontario's Occupational Health and Safety Act. The contract should say so clearly.
References
- Occupational Health and Safety Act, R.S.O. 1990, c. O.1 — definition of "constructor".
- O. Reg. 213/91, Construction Projects — Notice of Project requirements.
- Construction Act, R.S.O. 1990, c. C.30 — holdback provisions.
- Canadian Construction Documents Committee — CCDC 5A and CCDC 5B.
General information, not legal advice.