Whats the difference between PM and GC?

Question

Newbie here so take it all with a grain or two of salt. What is the difference on a flip between the General Contractor and the Project Manager(a residential flip that is, not any big development) Second question, are these two positions combined on a smaller budget flip? Thanks in advance BP Community.

Will Barnard · Answer

On a simple rehab job, you are the PM as there is likely not enough money in the deal to hire a GC and a PM. A project manager typically makes sure the GC and their subs show up, do the work on time, perform quality control aspects of the job, recommend value engineering items, perhaps assist in design selections like cabinetry, paint colors, etc, and make sure the day to day operations run smoothly. The GC is the licensed party responsible for the job and the subs they hire. You can act as your own GC, hire the subs directly and hire a PM or you can be the PM and hire the GC who will in turn hire the subs.

Selection of the GC and dPM is a whole other ballgame and discussion.

Ivan Vargas · Answer

The GC has the license and the PM does not... The project manager is the one that gets the job done while the GC "supervises" multiple projects/project managers and collects the checks.

Ryan Muzzillo · Answer

@Bryan Cavellier A GC is the broad term given to a contractor that can build and manage a project.  Larger companies will have Project Managers, Project Engineers, Quality Control, Superintendents, etc on their staff.  Smaller companies will have people that wear multiple hats - for example, the project manager and superintendent are the same person.

A simple way to think about Project Managers is that they look at the overall scope of the project and handle everything outside the construction fence (ie schedule, pay apps, permitting, owners, architects, etc).  Their job is to make sure everything is running smoothly and that the onsite superintendent (who controls everything within that same fence) has everything they need.

On a smaller project, especially a house flip like you're talking about, I'm not sure you really need a Project Manager.  If the company you want to hire has one, it's certainly advantageous because then you won't be bothered by the day to day questions that will come up.  However, that all depends on your budget and your level of comfort with the GC.

John Warren · Answer

@Bryan Cavellier I think the distinction can be blurry with smaller outfits, but the GC is typically more involved in managing subs whereas the project manager might be interfacing with the architect, monitoring the GC and his subs, etc. I have used a project manager recently on a large gut renovation job in Berwyn and the I really learned the value that a project manager brings on a larger project. The project manager helps you have a very streamlined, smooth experience as you don't hear about all the little day to day minutia of construction (there is a lot!).

Steven Lowe · Answer

I'm a GC for outside clients and on my own projects.  A GC manages and pays all of the subcontractors and suppliers, works with the architect/engineer, coordinates permitting and inspections with local building departments, does accounting and billing, and works with the client to make sure the project meets their expectations.

A project manager reports to me and will make site visits, check on the progress of the work, run errands, and handle issues as they arise at each job site.

Some clients have their own project managers that report to them and I typically work with that person to make sure things go smoothly.

Brian Garrett · Answer

GC's have crews and are licensed/insured so they can pull permits etc.

Project managers oversee the GC to make sure things remain on schedule.