Contract Types and Risk Impacts

■ Fixed—Places major risk responsibility on good cost estimates and assumes contractor produces

■ Cost plus fixed fee—Covers eligible costs; contractor can charge risk mitigation costs

■ Unit—Pays on unit basis, incentive to contractor to cut corners and perhaps take unwarranted risks

■ Target—Negotiated price but provides relief for contractor if risks are costly

■ Time and material—Combines cost and fixed types

Project Management Made Easy

Project Management Made Easy

What you need to know about… Project Management Made Easy! Project management consists of more than just a large building project and can encompass small projects as well. No matter what the size of your project, you need to have some sort of project management. How you manage your project has everything to do with its outcome.

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