A contractor, or also commonly referred to as a builder, is someone responsible for overseeing all aspects of the construction process. Their scope of work includes planning, design, material procurement, land surveying, and completing the construction. Therefore, a contractor typically masters various aspects of project management.
Contractors’ work methods can be categorized into several types, turnkey systems, partial turnkey systems, and cost-and-fee systems. A contractor must have a thorough understanding of building structure and related aspects. For more details, check out the complete article below.
Understanding Building Contractor Services
Before understanding how a contractor works, it is important to know what the building contractor profession entails. A building contractor service plays a crucial role in construction, whether for small-scale projects such as houses or large-scale projects, such as multi-story buildings or public infrastructure.
You may be wondering about how a contractor works. A building contractor is responsible for planning, designing, procurement, project management, and complete project execution. The service of a building contractor offers several areas depending on the type of project undertaken. Here are the main fields of a building contractor service.
- Architecture.
- Civil engineering.
- Environmental engineering.
- Electric.
- Mechanic.
How a Building Contractor Works
A building contractor works with a specific system based on the initial agreement. It is commonly divided into three different systems: turnkey, partial, and the cost and fee system. Here are explanations of the three main systems:
1. Turnkey System
In this system, a contractor is responsible for whole tasks, from design, construction planning, procurement of materials, and project management, to project completion. The project owner will provide funds according to their initial agreement. In this way, a contractor has full control over the project.
This system will provide many advantages, such as time efficiency and clear responsibility. The project owner does not need to worry about technical matters or search for material suppliers themselves, as everything is managed by the contractor. However, it is important to ensure that the chosen contractor is experienced, so the final result meets expectations.
2. Partial Turnkey System
The second working system of contractors is the partial turnkey system. This system provides flexibility for the project owner to divide the work according to needs. For example, the main contractor focuses on structural work, while subcontractors handle other aspects such as interior designs, sanitation, or ventilation.
However, this division of tasks requires more complex coordination among the main contractor, sub-contractor, and the project owner. If not managed properly, delays may occur, especially if one party fails to complete their work on time. Therefore, this system demands strict supervision.
Read also: Get to Know the Role of Subcontractors in Construction
3. Cost and Fee System
In this system, a contractor works based on the initial cost during the project, along with service fees as their profit. This system offers greater flexibility, especially for projects with changing requirements. This flexibility is expected to lead to faster project completion.
This system requires a high level of transparency between the contractor and the project owner. Every expense must be recorded and reported clearly to avoid misunderstanding. The project owner must also be prepared for potential cost increases if there are changes in requirements or unforeseen project conditions.
Read also: How to Calculate Wages for Pieceworkers in Construction
Scope of Work for Building Contractors
As stated previously, a contractor has several responsibilities. Their tasks may not only include physical construction, but also other services that support the construction process. Below are the main areas for building contractors:
1. Construction Design
Building contractor services include design assistance to ensure the building meets both needs and budget. Contractors typically collaborate with architects and engineers to create the optimal design, ensuring the project is well-planned.
Furthermore, the construction design will impact the technical execution of the project. The design must be accurate and precise to ensure that all tasks within the project are completed effectively. Therefore, the contractor collaborates with experienced architects and civil engineers.
2. Procurement Services for Goods and Building Materials
A contractor is also responsible for procurement of the material needed for the project. The quality of all materials must be verified to ensure they meet the required specifications and standards. The process of this quality control makes the contractor’s role crucial, especially if the project is for public infrastructure that will be used by many people.
This task requires a contractor that has information on building materials currently available in the market. With the rapid advancement of building material technology, a contractor should follow the trend so the building will be completed more effectively and efficiently by using the innovation of the latest building materials.
3. Renovation and Construction Services
Another task of a contractor is to lead building renovation and construction projects. They typically offer house renovations, including interior or exterior designs. A contractor will lead the procurement of building materials and manage the execution of the project until completion.
Read also: House Renovation Budget: Example & How to Create One
4. Land Surveying Services
The last duty of a contractor is to offer land surveying services. Before starting a project, the contractor surveys the land to assess the soil conditions, accessibility, and other factors that may affect construction. Land surveying is crucial if the construction site is in an area prone to natural disasters.
So, that is the explanation of how a building contractor works, their fields, and their scope of duties. A contractor is responsible for all construction tasks according to their initial agreement. Therefore, a contractor must also be efficient in managing finances and time.
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