Project Management

for Condominium Associations

By James Haung, MPM

Condominium associations have projects that are large and small.  Obviously most do not require a specially trained project manager to run them, but there are principles from the discipline of project management that can help improve the efficiency, minimize disruption, reduce costs, and improve the results for all of an association’s projects.

 Program Management

Condominium associations do not just have one project. They have a lot of projects that require management.  Some projects are recurring, whereas others are only done once.  The best way to manage multiple projects is through – program management.  A Program Management Plan for a Condominium association might be for 5, 10, 20 or even 30 years.  

 It is understood that all things will not go according to plan, but some time spent thinking through likely possibilities is worthwhile.  Some of the general factors to consider in the Program Management Plan include:   

• Finance Requirements
• What areas will need renovation or upgrading?
• When will things need replacement?  Many things such as a roof, carpeting, etc. can be reasonably predicted.
• Scope of the work.
• Phases in which work is done – i.e. a major project may be done with different portions at different times.
• Economic Environment
• Recession or economic boom.  This could have an impact on available of funds, as well as availability of contractors to do the work in a cost effective manner.
• The timing of expenditures for projects.
• Homeowners’ considerations.
• What do homeowners expect?
• How much can they afford?
• Demographic factors that might affect the association.

 The Program Management Plan can be developed with the assistance of appropriate professionals such as architects, engineers, and contractors.  Some of this is frequently referred to as a “reserve study”, to help the board determine the amount of reserves needed by the Association based on the projected useful life of some of the mechanical systems, infrastructure, or other physical assets of the association.  While a lot of things can change from the time projections are first made, the time spent on the Program Management Plan will give the board a better understanding of the big picture, and may save the Association from making the kind of mistakes of doing things out of sequence or running out of money.

 Project Management

As the board tentatively approves a specific project, there are a number of preliminary considerations:

• Project Manager (or Program Manager)
• Estimator.
• Architects and engineers.
• Contractors and subcontractors (determined from bids).
• Service and utility providers, suppliers.
• Building code requirements.

 After firm plans and budgets are determined, the board can make the final approval to get the project underway. The Project Manager will focus on:

• Schedule control
• Plan, critical path
• Daily, weekly, monthly and phases
• Report, analysis, monitoring, implementation and documentation
• Cost control
• Procurement and delivery of material and equipment.
• Hours by contractors.
• Resident Issues
• Access and living.
• Safety for residents and visitors.
• Dust and noise control.
• Disruption of service or inconvenience to homeowners and visitors.
• Quality control
• Specs and standards
• Workmanship
• Test
• Handing over
• Liability
• Safety and security
• This is critical, especially for residents of condominiums
• Communications with residents and public relations.

 Following the above, the association enhances the likelihood that the project will be on time, on budget, and serve the needs of the residents of your condominium association.

James Haung, MPM, is a consultant to Enlan Condominium Management Company, a Chicago property management company serving condominium and townhome associations in and near downtown Chicago.  James has a Masters of Project Management degree from Northwestern University, as well as a master’s degree from Hohai University in civil/structural engineering.  James is the director of research and development department of Newtec Windows, and has worked as a project manager for a developer of luxury homes.

Enlan Condominium Management Company specializes in providing property management services for condominiums and townhomes.  http://www.enlan.com  

Newtec Windows is a Chicago manufacturer and distributor of quality windows.  http://www.newtecwindow.com

For further reading see:

Capital Improvement Planning for Condominium Associations

www.condominium-property-management.com