Construction Management Association of America 2002

Construction management is a professional service that applies effective management techniques to the planning, design, and construction of a project from inception to completion for the purpose of controlling time, cost, and quality.

Construction management is a discipline and management system specifically created to promote the successful execution of capital projects for owners. These projects can be highly complex. Few owners maintain the staff resources necessary to pay close, continuing attention to every detail—yet these details can "make or break" a project.

A professional construction manager can augment the owner's staff with pre-planning, design, construction, engineering, and management expertise that can assure the best possible project outcome no matter what type of project delivery method used.

Graduates from construction management programs are highly sought after by the construction industry and its suppliers. New graduates can expect high starting salaries with almost 100% placement.

The types of construction projects you can work on during your career can vary from commercial office buildings, hospitals, industrial facilities, and roads to residential buildings, stadiums, airports, etc.

Some typical starting position titles are: assistant project manager, superintendent, scheduler, cost engineer, field engineer, office engineer, estimator, and project engineer.

The Largest Industry

Associated General Contractors of America 2002

How large is the worldwide construction market?

According to Engineering News-Record Magazine, the world spent about $3.22 trillion on construction in 1998. Given estimates by such groups as the International Monetary Fund that the total gross domestic products of nations around the world is in the neighborhood of $32 trillion, that means that construction accounts for 10% of the world's economy.

What is the total dollar volume of construction in the United States?

The Department of Commerce estimates that in 1999 $695.7 billion will be spent in the United States on construction projects. Construction accounts for 12% of the gross national product and 9% of the gross domestic product.

How many companies make up the construction industry?

According to the U.S. Census Bureau, there are approximately 1.9 million construction companies in the U.S. 1.5 million are not incorporated (partnerships or proprietorships). 166,000, 9.1%, are owned by minorities or women.

How many workers are employed in construction?

Of the 116 million workers in the U.S., just over 6 million, or 5.1%, are employed in the construction industry. 1.6 million are self-employed workers. The construction industry is the second largest employer in the nation only to the U.S. Government, which includes the Armed Forces.

Is the demand growing?

Over the next ten years the demand for construction services will be astronomical! The United States will need to replace 375,000 bridges as part of $360 billion spent on roadwork. Mass transit will need $72 billion worth of construction. The nation's infrastructure will use $3.3 trillion in construction and related services. We will need to repair or renovate one out of three schools at a cost of $60 billion.

State of the Construction Industry 2002 - 2012

According to U.S. Department of Labor – Bureau of Labor Statistics

• Construction is the only goods-producing sector in which employment is projected to grow.
• Construction employs approximately 6.9 million individuals annually.
• 80% of construction firms have fewer than 10 employees, only 1% employ 100 or more and 0.1% of construction firms employ over 500 individuals.
• The value of construction put in place in 2003 totaled $916 billion representing 8% of the nation’s gross domestic product (GDP).
• From June 2003 to June 2004 construction added 193,000 employees – nearly one out of seven new non-farming jobs.

Additional Information

• Interview (PDF): Erin Reidy and Stephen Schuette, Construction Managers from the Chicago 2001 Career Day for Construction Management
• Construction Industry Related Occupational Positions and Descriptions (PDF)
• Information on Construction and Careers for Students, Teachers, and Parents