The Role of The Project Manager

Key Takeaways

• The Project Manager (PM) is the central administrator and supervisor of a building contract, and by definition, must be a registered Architect, Quantity Surveyor, or Engineer.
• The PM maintains strict oversight over site operations, including the approval of subcontracting, the replacement of key personnel, and the removal of staff from the site.
• Ensuring quality and adherence to schedules is paramount; the PM oversees work programs, site inspections, defect corrections, and extensions of time.
• Financial control and critical event management fall under the PM’s jurisdiction, encompassing 14-day payment certifications, price adjustments based on J.B.C. rates, compensation events, and termination procedures.

Contract Administration and Personnel Oversight

The Project Manager acts as the primary representative for the Employer when deciding contractual matters between the Employer and the Contractor. Immediately following contract execution, the PM is responsible for document management, which requires furnishing both the Employer and the Contractor with two copies of all Contract documents. Furthermore, the PM provides any necessary additional drawings, details, or descriptive schedules to amplify the original designs. They also provide instructions to clarify any queries regarding the Conditions of Contract. The PM holds the authority to delegate duties, provided the Contractor receives prior notification.

In addition to contract interpretation, the PM maintains firm control over the personnel executing the work. The Contractor must secure the PM’s approval before subcontracting any portion of the works. If key personnel need replacement, the PM must approve the change, ensuring the new staff holds qualifications equal to or better than the original team. The PM also has the authority to mandate the removal of any staff member or workforce personnel from the site, provided they state the reasons for the dismissal.

Program Management and Time Control

The PM is deeply embedded in the daily progress and technical methodologies utilized on-site. The Contractor is required to submit a detailed work program for the PM’s approval, outlining the specific timing and order of all activities. The PM also reviews and approves updated programs submitted at required intervals; failure by the Contractor to provide these updates allows the PM to withhold payment certificates. Before any temporary works are erected, the Contractor must submit their designs and specifications for the PM’s approval. Additionally, the PM (and their authorized personnel) must be granted unrestricted access to the Site and any preparation areas. Should items of historical interest or value be discovered on-site, the PM is responsible for providing instructions on how to handle them.

Time management is another critical function. The PM serves as the arbiter of the project schedule, holding the authority to decide whether—and by how much—to extend the Intended Completion Date in the face of variations or compensation events. The PM also drives monthly contract management meetings, records the minutes, and distributes them to all attendees and the Employer. To mitigate risks, the PM utilizes an early warning system to track events that could impact price, time, or quality, and may require the Contractor to supply time and cost estimates for these potential issues.

Quality Control and Defect Management

Ensuring the executed Works meet the designated specifications is a primary responsibility of the Project Manager. The PM conducts regular site inspections and formally notifies the Contractor of any defects discovered. If a defect is suspected, the PM has the authority to instruct the Contractor to uncover and test the work in question.

When defects are identified, the PM issues formal notices for correction and dictates the timeline for these repairs. If the Contractor fails to rectify the defect within the allotted time, the PM assesses the cost of hiring a third party to complete the correction and deducts this amount directly from the Contract Price. Once all defects have been satisfactorily addressed, the PM issues the final Defects Liability Certificate.

Financial Management, Valuation, and Project Conclusion

The PM strictly controls the flow of capital and the valuation of the Works. Every month, the PM reviews payment applications and must certify the payable amount within 14 days. This valuation includes executed work, materials currently on site, and approved variations. For Dayworks, the PM provides advance written instructions and must verify and sign the corresponding work records within two days of execution. Furthermore, the PM adjusts the Contract Price to account for changes in taxes, duties, exchange rates, and fluctuations in labor and material costs, strictly basing these adjustments on rates published by the Joint Building Council of Kenya (J.B.C.). Before the Defects Liability Period concludes, the PM reviews the Contractor’s final account and certifies the final payment.

In critical scenarios, the PM’s evaluative role expands. They are tasked with determining if an issue—such as unforeseen ground conditions or delayed site access—qualifies as a Compensation Event, and subsequently assessing its impact on both the completion date and Contract Price. In the event of a breach, the PM decides if it constitutes a fundamental breach leading to termination. If termination occurs, the PM convenes a meeting to record the status of materials and works, subsequently issuing certificates for the value completed and costs incurred up to that moment. Finally, if the contract is frustrated (for instance, due to war), the PM certifies this frustration, enabling the project to be safely halted.