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There comes a time in the life of almost every company when it will engage in a major construction effort. Often the investment in the project will be among the largest ever made and can run into the tens or even hundreds of millions of dollars. Yet, because the management is expert in its own business and only periodically ' or even rarely ' engages in construction, the organization has little or no experience to call on in this new and important endeavor. The task is daunting because we all know of the horror stories associated with construction projects and their seemingly chronic tendency to finish late and cost more than expected or budgeted. Add to that the problem of having to face design professionals and contractors who make their living in the industry and the dizzying array of choices for how to buy the project, and a daunting task may seem insurmountable. What is an owner to do?
Here are 10 basic suggestions from a seasoned construction litigator, who has spent 20 years working on the back end of troubled projects, to help you on your way to a successful ' even though it may, at times, seem stressful ' project.
1) Have some perspective ' good construction professionals are here to help. On projects with a budget over $100 million (and perhaps some smaller ones), using a strong program management firm, along with a design team, will save money in the end by providing continuity and allowing integration of design and construction expertise.
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