What exactly is an Owner’s Representative?
An owner’s representative is hired by an owner of a project, program, or portfolio to represent them and to ensure that the owner’s needs are met. The owner’s rep establishes a PMO and oversees all activity and monitors the projects as the owner would do. Their job is to ensure that the project scopes are carried out on time and within budget. That means they oversee the engineering and design phases, manage procurement and construction, and close out projects.
An owner’s rep is ideally brought in at the beginning of a project and works alongside the owner to develop the project’s goals, scope, and budget, as well as to help assemble the project team. The owner’s representative basically steps in to act as the owner to alleviate them from the often frustrating tasks an owner must take on during a project. The owner’s rep also stays in constant contact with owners and other stakeholders regarding the project status and any issues that come up.
Why hire an Owner’s Representative?
The market has seen a growing need for third-party owner’s representatives in EPC projects due to increased complexity, project risk, and evolving delivery methods. Simply put, there is a lot going on during a project and while project team members must focus on successfully completing their part of the project, there is also a need for project advisory services that keep their eye on the big picture to make sure nothing goes off course.
This additional complexity and risk means more monitoring and controlling tasks for the project owner during each project phase. Many project owners lack either the time, resources, or experience to perform these tasks. They often end up placing undue stress and headache on the project owner and even completely distract them from their own jobs with an overwhelming stream of reported mistakes that could have been avoided, change orders, and just trying to keep the project on track. The owner’s rep takes on these tasks for the owner and acts to prevent many pitfalls thanks to their expertise in project management and project experience. Having an owner’s rep helps provide peace of mind for the owner and ensures that the scope of work is carried out just as envisioned.
What is the difference between an Owner’s Representative, Project Manager, and Construction Manager?
A project manager is in charge of the planning and execution of a particular project. They serve as the point of contact between the owner, stakeholders and team members during all the phases of a project and direct the project from start to finish. The owner’s rep assembles the project management team and directs the project manager based on the owner’s project vision and requirements and makes sure to catch all the issues that may otherwise slip through the cracks.
A construction manager typically only oversees the management of the construction phase of a project. They work to ensure cost and schedule control and supervise all onsite and offsite constructions to monitor compliance with building and safety regulations.
A construction manager is solely responsible for their portion of the project, while an owner’s rep is responsible for the entire project. The owner’s rep works for the best interest of the project and intervenes and advocates for the owner during the project life cycle. This also means that the owner’s rep must interact with a broader range of stakeholders, including government agencies, lawyers, occupants, engineers, contractors, etc.
Specific services provided by an Owner’s Representative
There is a wide spectrum of services that may be provided by an owner’s representative. Below is an outline of the core services that they typically render:
- Establishing a PMO and creating project management governances and procedures
- Providing consultation on design, engineering, scope, scheduling, cost estimating, procurement and contractor prequalification, and construction management
- Selecting, overseeing, and negotiating with designers and contractors
- Monitoring and controlling the project schedule and budget
- Auditing quality assurance and quality control procedures
- Facilitating issue resolution
- Representing the owner at key meetings and advocating for the owner
- Providing monthly project reporting
- Assisting in project evaluation
The owner’s rep is tasked with catching and mitigating mistakes before they materialize and cause additional costs and delays to the project. That is why the owner’s representative must be an expert in project management. Additionally, the owner’s rep advocates for the client during the project execution by managing the engineering, procurement, and construction phases, ensuring quality, managing project changes, reporting on the project status and forecasts, controlling cost and schedule, invoicing, and much more.
Conclusion
- Owner’s rep brings a lot to the table. Having an owner’s rep helps provide peace of mind for the owner and lets them focus on their job while the owner’s rep ensures the project goals and objectives are materialized. Their function is different from that of the PM and construction project manager and they are often required – in some instances legally – for the successful completion of projects.
- Avoid conflict of interest. The company acting as the owner’s rep should not be a performing organization (contractors), as they are tasked with managing them.
- Owner’s rep has many core functions. The owner’s rep provides important consultation services, collecting the project requirements and owner vision, overseeing the scope definition and cost estimation, and creating the procurement and construction engineering and design orders. They advocate for the owner, manage the contractors, act to avoid scope creep through proper development and adherence to schedules, and assist in project evaluation.
At Vista, we provide comprehensive services in project management to ensure your project’s scope is successfully completed on time and within budget. Contact us at hello@vista-pmc.com to learn more about our services as an owner’s representative.
