Beginner’s Guide to Construction Project Management

Construction project management (CPM) is the process of planning, coordinating, and executing a construction project from start to finish. It applies the skills and expertise of traditional project management — including planning, budgeting, scheduling, resource allocation, and risk management — to the construction industry.

Summary Overview

  • Construction project management phases are standard project management steps adjusted for a construction project, and the stages cover the physical progression of the build through completion and final handover and closeout.
  • The construction industry is shifting toward the use of digital tools such as building information modeling (BIM) and artificial intelligence (AI) to enhance efficiency, streamline operations, and improve communication across projects.
  • Construction management at risk (CMAR) is a delivery method that differs from traditional design-bid-build (DBB) and design-build (DB) methods. With CMAR, the construction manager performs the role of the contractor and is involved early, during the design phase. This leads to faster construction speed due to pre-construction efforts, and the construction manager assumes the risk for cost overruns.
  • Managing sustainable building projects is not a separate add-on but requires integrating sustainability goals and practices into every one of the five project management phases.

Construction project management requires a specialized knowledge of the building industry to manage teams, timelines, and budgets across various types of projects — whether agricultural, residential, commercial, institutional, industrial, civil, or environmental. Effective construction project managers must have strong communication skills and a deep understanding of the construction process and industry in order to navigate shifting project demands.

Construction project management is becoming increasingly digital, especially with technologies such as building information modeling (BIM) and artificial intelligence (AI). A McKinsey report from 2023 titled “From start-up to scale-up: Accelerating growth in construction technology” noted that though the construction industry has been historically slow to digitize, funding for construction technology between 2020 and 2022 increased by 85 percent compared to the previous three years, and the number of deals in the industry increased by 30 percent.

To dig deeper into the world of commercial construction projects specifically, check out our complete guide to commercial construction management, which includes advice for managers, certification tips, and an overview of the role compared to general contractors.

For more information on planning for commercial and residential construction projects, check out this complete overview of construction project planning, including expert tips, a step-by-step guide, and downloadable templates.

These construction project management templates in Smartsheet can help you connect every phase of your construction project, from design and bidding to budgeting, scheduling, and monitoring progress.

How to Get Into Construction Project Management

To become a construction project manager, start with a degree or certification in construction management or a related field. Next, gain hands-on experience in entry-level roles and build a professional network. Finally, demonstrate leadership and problem-solving abilities over time to move into management roles.

To learn more about the degrees, certifications, roles, responsibilities, and steps involved, check out our complete guide on becoming a construction project manager, and use these construction project management templates for Excel to help you get started.

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