Appendix I — Glossary
Construction runs on a vocabulary that nobody teaches you on purpose. You pick it up in meetings, half-wrong, and then use it confidently for three years until somebody with money on the line asks what you meant. This glossary defines the terms this book uses, in plain English, with the practical consequence attached — what it means for you, what people get wrong, and where the industry itself disagrees about the meaning. Where a term is used inconsistently across the industry, this glossary says so rather than picking a winner. That ambiguity is not a defect in the glossary; it is a real condition of the job, and knowing which words are contested is worth as much as knowing the definitions. Each entry points to the chapter where the term is actually taught, because a definition tells you what a word means and a chapter tells you what to do about it. If you want to find every place a concept appears rather than where it is defined, use the Index instead.
0–9
4D — A three-dimensional model linked to schedule activities, so the building can be watched assembling itself over time. Its real value is not the animation but the questions it forces: where does the crane sit in week 30, and what is in the way. See Chapter 35.
5D — A model linked to cost data, so quantities and prices update as the design changes. It works well for repetitive, model-native quantities and badly for anything the model does not represent, which is most of what an estimator worries about. See Chapter 35.
5S — A lean workplace-organization method (sort, set in order, shine, standardize, sustain). On a job site it mostly shows up as material staging and housekeeping discipline, which is the cheapest productivity program available to you. See Chapter 27.
A
A3 — A structured one-page problem-solving format from lean practice: condition, analysis, countermeasure, plan, follow-up, on a single sheet. The constraint is the point — one page forces you to decide what actually matters. See Chapter 27.
Acceleration — Adding resources, hours, shifts, or resequencing to finish sooner than current progress projects. It is never free, and its non-monetary costs — trade stacking, fatigue, rework, and near-misses — are systematically underpriced. Directed acceleration is ordered by the owner and usually compensable; constructive acceleration is when the owner refuses a time extension you were entitled to and you speed up anyway, and it is one of the hardest claims to prove. See Chapter 29 and Chapter 24.
Accrual — Recording a cost in the period the work happened rather than the period the invoice arrived. Without accruals your cost report will show a job making money in the month a subcontractor was slow to bill and losing money the month they catch up, and neither picture is real. See Chapter 28.
Activity — One unit of work in a schedule, with a duration, a defined start and finish, and logic connecting it to other activities. A good activity has one responsible party, one location, one trade, and a finish somebody can point at. See Chapter 14.
Actual cost (AC) — In earned value, the money actually spent on the work performed to date. It is the number your accounting system produces, and its usefulness depends entirely on whether costs were coded correctly and accrued honestly. See Chapter 30.
Addendum (plural addenda) — A formal change to the bidding documents issued before bids are due. Addenda become part of the contract whether or not you acknowledged them, which is why unacknowledged addenda are one of the most common bid-day disasters. See Chapter 15.
Additional insured — A party added to somebody else's liability policy so that the policy defends and indemnifies them for claims arising out of that party's work. The endorsement form and its wording decide what you actually got; a certificate of insurance saying "additional insured" proves almost nothing by itself. See Chapter 5.
Agreement — The signed document naming the parties, the price, the contract time, and the basis of payment. It is the smallest and least interesting part of the contract documents; the general conditions decide most disputes. See Chapter 4.
AHJ (authority having jurisdiction) — Whoever has legal authority to approve, inspect, and permit on your project: the building official, the fire marshal, the health department, the utility, and sometimes several at once. The AHJ does not work for you, does not enforce your contract, and does not care about your schedule. See Chapter 17.
Allowance — A stated dollar amount carried in the contract for scope known to exist but not yet defined, reconciled against actual cost at the end. A good allowance states a quantity, a unit price, and — this is the sentence people forget — whether it includes overhead, profit, and general conditions. See Chapter 4.
Alternate — A priced option the owner may accept or decline, usually at award. Add alternates increase the base scope, deduct alternates remove something; accepting alternates can change who the low bidder is, which is why public bid documents usually state the order in which they will be considered. See Chapter 15.
Application for payment (pay app) — The monthly request for payment, built on the schedule of values, showing work completed this period, work completed to date, retention, and the balance to finish. You sign a certification on it, which makes it a representation and not just a bill. See Chapter 32.
Apprentice — A craft worker in a structured program combining paid on-the-job hours with classroom instruction, progressing through wage steps toward journeyworker status. On prevailing-wage work, apprentices may be paid a percentage of the journeyworker rate only within stated ratios, and blowing the ratio is a common compliance failure. See Chapter 20.
Arbitration — Private, binding dispute resolution before one or more arbitrators chosen by the parties. Usually faster and more private than litigation, with limited appeal rights; the single most consequential decision in the process is who the arbitrator is. See Chapter 33.
As-built drawings — See record drawings. The two terms are used interchangeably in practice, though some specifications distinguish the contractor's field-marked set (as-builts) from the architect's final compiled set (record drawings). Read your Division 01 closeout section rather than assuming.
ASI (architect's supplemental instruction) — An instruction from the architect clarifying or making a minor change, asserted to carry no cost or time impact. That assertion is the architect's, not yours. If you disagree, you must say so promptly in writing, or you have accepted it. See Chapter 31.
As-planned versus as-built — The simplest delay-analysis method: lay the baseline beside what actually happened and identify differences. It shows that activities slipped, not why or whose fault, which is why it rarely carries a claim by itself. See Chapter 33.
Assembly estimating — Pricing by composite units that bundle several trades — a square foot of exterior wall including studs, sheathing, air barrier, insulation, and cladding — rather than by individual line items. It is faster than a detailed takeoff and less accurate, and it is the honest method at design development. See Chapter 11.
B
Backcharge — Charging a subcontractor for costs you incurred because of their failure: cleanup they did not do, damage they caused, work you had to supplement. Backcharges almost never survive a dispute unless you gave written notice before incurring the cost and documented it contemporaneously. See Chapter 19.
Backlog — The value of contracted work not yet performed. It is the number that runs a construction company: too little and you have no revenue coming, too much and you cannot staff it, and the composition matters more than the total. See Chapter 2.
Backward pass — The CPM calculation that works from the project finish backward to determine the late start and late finish of every activity. Combined with the forward pass, it produces float and therefore the critical path. See Chapter 14.
Ball-in-court — Whose desk a submittal, RFI, or open item is sitting on right now. A ball-in-court report collapses a two-hundred-row log into five numbers and is the single most useful log report you can send weekly. See Chapter 25.
BAC (budget at completion) — The total budget for the scope being measured in an earned value analysis. Everything else in the earned value family is measured against it. See Chapter 30.
Bank measure (BCY) — Soil volume as it sits undisturbed in the ground, in bank cubic yards. It is the normal convention for a mass-haul summary, and it is not what fits in a truck. See swell, loose measure, and Chapter 8.
Baseline schedule — The accepted plan against which progress and delay are measured. On most contracts it is a submittal with a review period, and once accepted it becomes a contract document that you argue from later — which is why an unrealistic baseline is a liability, not an advantage. See Chapter 14.
Basis of estimate — The written record of what an estimate assumed: quantities, productivity rates, wage rates, market conditions, exclusions, and the specific documents priced. Without it, an estimate is a number nobody can defend six months later. See Chapter 12.
Benchmark installation — The first production run of a repetitive assembly, inspected and accepted as the standard for everything that follows. Unlike a mockup, it stays in the building. The rule that makes it work: the crew that will do the production work must be present at the review. See Chapter 23.
BEP (BIM execution plan) — The document that says which model uses you are actually pursuing, who models what to what level of development, what the coordination workflow is, and what the deliverable at turnover is. Without it, BIM is expensive decoration. See Chapter 35.
Bid bond — A surety bond guaranteeing that if you are awarded the contract you will execute it and furnish the required payment and performance bonds. If you refuse the award, the owner recovers the difference between your bid and the next one, up to the bond amount. See Chapter 5.
Bid peddling — A subcontractor who was not low approaching a general contractor after bids to offer a price below the number the GC carried. The mirror image of bid shopping, initiated from the other side, and legal in most private contexts — which does not make it survivable as a business strategy. See Chapter 15.
Bid shopping — Taking one subcontractor's price to that subcontractor's competitors after bids are in and asking them to beat it, with no change in scope. It is the fastest way to teach good subcontractors not to bid your work, and it usually costs more than it saves. See Chapter 16.
Bid tabulation (bid tab) — The side-by-side comparison of subcontractor quotes for one scope, adjusted so that each bidder's number covers the same work. The comparison is worthless until it is leveled; the low number and the complete number are usually different bidders. See Chapter 13.
BIM (building information modeling) — A three-dimensional model carrying data about the objects in it, used for coordination, quantity extraction, sequencing, fabrication, and handover. The word is used loosely: "we're doing BIM" can mean anything from a design visualization to a fabrication-level coordinated model, and the difference is enormous. See Chapter 35.
Bonding capacity — The maximum amount of bonded work a surety will support, stated as an aggregate limit and a single-project limit. It is a hard governor on a contractor's growth, set by working capital, net worth, character, and track record. See Chapter 34.
Builder's risk insurance — Property insurance covering the work under construction against physical loss — fire, wind, water, theft, collapse. Who buys it, what it covers, whose deductible applies, and when coverage ends at substantial completion are all negotiated, and all four surprise somebody on every job. See Chapter 5.
Burdened labor rate — The full hourly cost of a worker: base wage plus payroll taxes, workers' compensation, general liability, fringe benefits, vacation accrual, and any small-tools or consumables loading. It is usually 1.4 to 1.8 times the base wage, and estimating from base wage is one of the most expensive beginner errors in this book. See Chapter 12.
Buyout — Converting the estimate into signed subcontracts and purchase orders. It is where the estimate's assumptions meet the market, where scope gaps are found or created, and where most of the job's profit is won or lost. See Chapter 16.
C
Calendar day (CD) — Every day, including weekends and holidays. Contract time and liquidated damages are almost always in calendar days; crew productivity is almost always in work days. Say which one you mean, every single time. See Chapter 14.
Cash flow — The timing of money in and money out. It is not profit, and the distinction kills contractors: a company can be profitable on every job and still fail because it pays craft weekly and gets paid in sixty days. See Chapter 34.
Caught-in / caught-between — One of OSHA's Focus Four hazard categories: trench collapse, being pinned between equipment and a fixed object, unguarded machinery. Trenching fatalities in particular are almost entirely preventable and almost entirely the result of skipping a protective system on a "quick" excavation. See Chapter 24.
Cavity budget (ceiling cavity budget) — The arithmetic of what will physically fit between the structure above and the ceiling below: available depth minus structure, ductwork, piping, conduit, sprinkler, hangers, and clearances. When the budget does not close, either the ceiling drops, the duct changes shape, or somebody discovers it in the field at ten times the cost. See Chapter 10.
CCD (construction change directive) — A written owner directive to proceed with changed work before the price and time are agreed. It exists so that the job does not stop while people negotiate, and your protection under it is the daily signed time-and-material ticket. See Chapter 31.
CCIP (contractor-controlled insurance program) — A wrap-up in which the general contractor buys liability and often workers' compensation centrally for all enrolled contractors on a site. Subcontractor bids must then be adjusted to remove the insurance they are no longer carrying. See Chapter 5.
Certificate of insurance (COI) — A one-page summary of somebody's insurance, issued by their broker. It is evidence that a policy existed on the day it was issued and nothing more; it does not amend the policy, does not guarantee additional-insured status, and does not survive cancellation. See Chapter 5.
Certificate of occupancy (CO) — The building official's legal permission to occupy the building. It is issued by the AHJ, not by the owner or the architect; it is not the same event as substantial completion, and confusing the two is the most common closeout error in the industry. See Chapter 40.
Certified payroll — The sworn weekly payroll report required on most prevailing-wage work, listing each worker, classification, hours, rate, and deductions. It is a compliance document with real penalties attached, and the classification — which depends on the work performed, not the job title — is where most violations happen. See Chapter 20.
Change order (CO) — A written, executed modification to the contract adjusting scope, price, and time. A change order is a settlement, not an invoice: once both parties sign, the price and time stated in it are generally the end of the conversation for that change. See Chapter 31.
Change order request (COR) — Your priced proposal for a change, submitted for the owner's review. It becomes a change order only when executed; until then it is exposure, and it belongs in the cost report as pending change exposure rather than as revenue. See Chapter 31.
Claim — A demand for additional money or time that the other party has not agreed to. It is the formal state a change enters when negotiation fails, and it requires three separate proofs — entitlement, causation, and damages — every one of which you must win. See Chapter 33.
Clash detection — Running the coordinated models against each other to find physical conflicts before they are built. The raw clash count is meaningless; what matters is how many are real, who owns each one, and whether they get resolved before the deck gets poured. See Chapter 35.
CM as agent (CMa) — A construction manager engaged as the owner's professional advisor, holding no trade contracts and taking no construction risk. Fees are lower and so is accountability; the owner still holds every trade contract and every gap between them. See Chapter 3.
CM at risk (CMAR) — A two-phase arrangement in which the construction manager advises during design and then converts to a construction contract, typically at a guaranteed maximum price, holding the trade contracts and the cost risk. It is Northgate's delivery method and the most common negotiated structure on institutional work. See Chapter 3.
Commissioning (Cx) — The process of verifying that installed systems actually perform as designed, through documented functional testing rather than visual inspection. It is a six-month process that routinely gets scheduled as a two-week activity, and the difference is where occupancy dates die. See Chapter 40.
Commissioning agent (CxA) — The party who plans and executes commissioning, usually engaged directly by the owner so that the verification is independent of the contractor. See Chapter 40.
Committed cost — Money you have contractually promised to spend — signed subcontracts and purchase orders — whether or not it has been invoiced. It is the most under-used column on a cost report, because it is the only one that tells you what the job will cost before the money leaves. See Chapter 28.
Compacted measure (CCY) — Soil volume after placement and compaction, in compacted cubic yards. Structural fill is bought in bank or loose measure and paid for in compacted measure, and the conversion is shrinkage. See Chapter 8.
Competent person — Someone who is capable of identifying existing and predictable hazards in the work and who has authorization to take prompt corrective measures. Both halves matter: knowledge without authority is not a competent person, and the designation is activity-specific — a competent person for excavations is not automatically one for scaffolds. See Chapter 24.
Concurrent delay — Two or more delays affecting the same period, one owned by each party. The general principle is that where an owner delay and a contractor delay are truly concurrent, the contractor gets time but not money — but the tests for what counts as concurrent vary by jurisdiction and by contract, and this is one of the most genuinely unsettled areas in construction law. See Chapter 33.
Conditional lien waiver — A waiver that becomes effective only when payment actually clears. Give conditional waivers when you are being paid and require them from your subcontractors; the unconditional version should follow only after the money is in the account. See Chapter 5.
Constraint — (1) In lean planning, anything that prevents work from being ready: missing information, material, prerequisite work, labor, equipment, permit, approval, or access. (2) In CPM software, a date imposed on an activity that overrides calculated logic. The two meanings are unrelated and both are important, so say which you mean. See Chapter 27 and Chapter 14.
Constructability review — Reading design documents the way somebody who has to build them would: looking for sequences that cannot happen, details that cannot be installed, tolerances that cannot be held, and access that does not exist. It is worth the most at design development and almost nothing after bid. See Chapter 11.
Construction contingency — See contingency. Specifically the reserve carried inside a GMP for identified risk within the defined scope — subcontractor default, buyout shortfall, minor field conditions. It is not for scope changes, and the owner who assumes it is has a difficult board meeting coming.
Contingency — A priced reserve for identified risk. Three different contingencies live on a typical job and confusing them is a career-limiting move: the contractor's contingency hidden inside a lump-sum price; the construction (GMP) contingency inside the guarantee, for risk within the defined scope; and the owner's contingency held outside the contract for scope changes, design errors, and everything the contract did not allocate to the contractor. See Chapter 6.
Contract documents — The full set that governs the work: agreement, general conditions, supplementary conditions, drawings, specifications, addenda, and post-execution modifications. They are read together, they always conflict somewhere, and the order of precedence decides which one wins. See Chapter 7.
Contract time — The duration allowed for the work, usually stated in calendar days from a defined start such as notice to proceed. It is a contract term with liquidated damages attached, not a target. See Chapter 4.
Correction period — The stated period, commonly one year from substantial completion, during which the contractor must return and correct defective work at its own cost. It is not the same as the warranty and not the same as the statute of repose — it is a contractual obligation to fix, while warranties are promises about performance and statutes set outer limits on liability. See Chapter 40.
Cost code — The account structure that costs are charged to, forming the skeleton of the cost report. Too coarse and it tells you nothing; too fine and nobody codes correctly, which is worse because it tells you something wrong. See Chapter 28.
Cost loading — Assigning budget dollars to schedule activities so the schedule can produce a cash-flow curve and support earned value. It is also how a schedule of values gets tied to a real plan instead of to a guess. See Chapter 14.
Cost of the work — On a cost-reimbursable contract, the defined set of costs the owner reimburses at actual: subcontracts, direct craft labor with an agreed burden, material and equipment incorporated, rentals, freight, permits attributable to the work. What is in and what is out is defined by a schedule in the contract, and if it is not written down you will argue about it monthly. See Chapter 4.
Cost-plus — The owner reimburses actual cost and pays a fee, with no cap. The fee structure decides whether the incentives are neutral (fixed fee), perverse (a percentage of cost), or aligned (incentive or shared savings). Treat cost-plus as a bridge to a GMP, not a destination. See Chapter 4.
Cost slope — The cost of shortening an activity by one day: the difference between crash cost and normal cost divided by the days gained. You crash the cheapest slope on the critical path first, and you re-run the network after every crash because the critical path moves. See Chapter 29 and Appendix A.
Cost to complete (CTC) — The forecast of what remains to be spent. It is the only number on a cost report that requires judgment, and it is the number that tells you whether you are making money. See Chapter 28.
Cost to date — What has been spent so far. Useful, backward-looking, and dangerous when used alone: a job 60% billed and 75% spent is already in trouble, and cost-to-date is what makes that look normal. See Chapter 28.
Cost variance (CV) — In earned value, EV − AC. Positive means the work performed cost less than
budgeted; negative means it cost more. It measures cost efficiency, not whether you are over budget in
absolute terms. See
Chapter 30.
CPI (cost performance index) — EV ÷ AC. Below 1.00 means you are getting less than a dollar of
budgeted work for every dollar spent. It is the single most-quoted earned value number and the one most
often computed on badly coded data. See
Chapter 30.
CPM (critical path method) — A scheduling technique that calculates the earliest and latest each activity can occur, and therefore the float on each and the longest path through the network. The key word is calculated: the critical path is an output of the logic and durations you entered, not a management opinion. See Chapter 14.
Crashing — Shortening the project by adding resources to critical activities, chosen by lowest cost slope. It buys days at an increasing price and only works on the critical path — money spent on a non-critical activity buys nothing at all. See Chapter 29.
Crew — A named, balanced group of workers and equipment that performs an activity: so many journeyworkers, so many apprentices, a foreman, and the machine they need. Productivity rates are crew-specific, and adding a person to an unbalanced crew can lower output per hour. See Chapter 20.
Critical path — The longest chain of dependent activities through the network; the sequence with the least float, where a day lost is a day lost on the project. There can be more than one, and it moves as the job progresses — which is precisely why a delay analysis has to follow the schedule over time. See Chapter 14.
Curtain wall — A non-load-bearing exterior wall system, typically aluminum and glass, hung from the structure. Unitized systems are shop-assembled and set as panels; stick systems are assembled in place. It is usually the longest procurement chain on a commercial building. See Chapter 9.
D
Daily report — The field record of who was on site, what work was performed where, weather, deliveries, equipment, visitors, inspections, and — the part that matters in a dispute — anything that impacted the work. It is the most valuable half-page on the job and it takes fifteen minutes. See Chapter 26.
DART rate — Cases involving Days Away, Restricted, or Transferred duty, per 200,000 hours worked. It is more useful than TRIR because it filters out minor recordables and tracks the injuries that actually took somebody off their job. See Chapter 24.
Data date — The cutoff date of a schedule update: everything before it is actual, everything after it is forecast. Every schedule statement is meaningless without one, and the most common schedule argument in the industry is two people comparing updates with different data dates. See Chapter 29.
Davis-Bacon Act — The federal statute requiring payment of locally prevailing wages and fringe benefits on federally funded construction. Most states have their own versions covering state and local work, with different thresholds and rules — verify which one applies to your project. See Chapter 20.
DBE (disadvantaged business enterprise) — A firm certified under a public program as owned and controlled by socially and economically disadvantaged individuals, used in participation goals on publicly funded work. Programs, definitions, certifications, and goals vary substantially by jurisdiction and funding source. See Chapter 16.
Deferred submittal — A design component the building official permits to be designed and submitted after the permit is issued — often sprinkler layout, curtain wall, or metal stud engineering. It carries a permit review of its own with its own queue, which people routinely forget to back-schedule. See Chapter 25.
Delegated design — Design responsibility assigned by the documents to a contractor's engineer rather than the design professional of record: excavation support, scaffolding, cold-formed framing, sprinkler layout, precast connections. It is a submittal with a stamp, a review cycle, and therefore a lead time. See Chapter 25.
Design-bid-build (DBB) — The sequential default: the owner hires a designer, the design is completed, contractors bid the finished documents, and the low responsive bidder builds it. The owner carries the design risk, and design errors arrive as change orders. See Chapter 3.
Design-build (DB) — One contract covering both design and construction, giving the owner a single point of responsibility. The owner trades away design control and the ability to compare finished prices, and gets exactly what the criteria documents asked for — which is why the criteria documents are the whole game. See Chapter 3.
Dewatering — Removing or controlling groundwater so excavation and foundation work can proceed: sumps, well points, deep wells, cutoffs. It carries permit obligations, discharge requirements, and a failure mode — the pump that stops overnight — that has ruined more than one foundation pour. See Chapter 22.
Differing site conditions (DSC) — Subsurface or concealed conditions that differ from what was represented or reasonably expected. Type I is materially different from what the contract documents indicated; Type II is unusual and not ordinarily encountered in work of that character. If the clause is present the owner generally pays; if it was deleted in the supplementary conditions, you priced it — or you should have. See Chapter 4.
Digital twin — A model connected to live operational data — building automation, sensors, work orders — so that it reflects the building as it is running, not as it was built. Most projects that say they are delivering one are actually delivering a well-organized as-built model with asset data, which is valuable and is not the same thing. See Chapter 35.
Direct cost — The cost of the work itself: labor, material, equipment, and subcontracts that become the building. Distinguished from indirect costs — general conditions, insurance, bonds, fee — that support the work without becoming it. See Chapter 13.
Dispute review board (DRB) — A standing panel of neutrals, appointed at the start of a project, that hears disputes as they arise rather than years later. Common on large civil work; its value is that it resolves problems while the memories and the leverage are still fresh. See Chapter 33.
Division 01 (General Requirements) — The administrative division of the specifications: submittal procedures, substitutions, quality requirements, temporary facilities, cleaning, closeout, warranties, and payment procedures. It is where the money is, it is the division nobody reads, and it routinely makes documentation tasks into conditions of substantial completion. See Chapter 7.
Drawings — The graphic contract documents. They govern quantity, location, dimension, and configuration — how many, where, how big, in what relationship. What they do not govern is quality and product, which belong to the specifications. See Chapter 7.
Dried-in — The state at which the building envelope keeps weather out well enough for interior work to start. It is achieved by area, not by building, and it is a decision somebody makes rather than a date that arrives. See Chapter 9.
Duration — How long an activity takes, derived from quantity ÷ (crew size × production rate), not guessed. Durations built without a crew and a rate cannot be defended, resource-loaded, or recovered. See Chapter 14.
E
EAC (estimate at completion) — The forecast total cost of the work. Several formulas exist —
AC + ETC, BAC ÷ CPI, and others — and they give different answers, so state which one you used.
See Chapter 30.
Early start / early finish (ES/EF) — The earliest an activity can start and finish given the logic and durations, produced by the forward pass. See Chapter 14.
Earned schedule — A technique that converts schedule variance from dollars into time by asking when the earned value achieved was supposed to have been achieved. It addresses earned value's worst weakness — that SV and SPI are stated in dollars and say nothing about the critical path. See Chapter 30.
Earned value (EV) — The budgeted value of the work actually performed. It is the hinge of the whole method, and it is only as honest as the percent-complete measurement behind it. See Chapter 30.
Electrocution — One of OSHA's Focus Four categories, covering contact with power lines, energized equipment, and unsafe temporary power. Lockout/tagout, assured grounding, and clearance from overhead lines are the controls that actually prevent it. See Chapter 24.
Embodied carbon — Greenhouse gas emissions associated with a material's extraction, manufacture, transport, installation, replacement, and disposal. It is spent before the building opens and cannot be recovered by good operation later, which is why it has moved from a consultant's report into specifications and public procurement rules. See Chapter 36.
EMR (experience modification rate) — A multiplier applied to a contractor's workers' compensation premium based on its loss history relative to peers, where 1.00 is average. Many owners will not let a contractor on site above a stated EMR, so it is simultaneously a safety metric, an insurance cost, and a market-access credential — and it lags by years, so it describes who you were, not who you are. See Chapter 24.
Entitlement — The first of the three proofs in a claim: does the contract or the law actually give you a right to recover for this? Being harmed is not entitlement; a clause, a statute, or a legal doctrine is. See Chapter 33.
EPD (environmental product declaration) — A standardized, third-party-verified report of a product's environmental impacts across a defined life-cycle scope. It is not a certification and not a performance claim — it reports impacts without saying they are good, and two products can both hold EPDs and differ enormously. See Chapter 36.
Escalation — The increase in cost between the date you priced work and the date you buy it. Escalation is priced on the commodity-exposed portion of the work, not on the whole contract, and it belongs as a visible allowance rather than buried inside unit rates where nobody can audit it. See Chapter 11.
ETC (estimate to complete) — The forecast cost of the remaining work; the forward-looking half of EAC. See Chapter 30.
Excusable delay — A delay for which the contractor is entitled to a time extension. Excusable and compensable means time and money (typically owner-caused); excusable and non-compensable means time only (typically abnormal weather or force majeure); non-excusable means neither, plus liquidated damages. Learn the three-way grid; every delay conversation runs on it. See Chapter 29.
Expected monetary value (EMV) — Probability × impact, summed across a set of risks, used to size contingency against a named register rather than a percentage guess. It is a planning tool, not a prediction: no single risk ever costs its expected value. See Chapter 6.
F
Fade — Deterioration in a job's forecast gross profit between reporting periods. A little fade is normal; a pattern of late fade — profit that holds until the last two reports and then collapses — is what sureties and lenders read as a management problem, and they are usually right. See Chapter 34.
Falls — The leading cause of construction fatalities by a wide margin, and the first of OSHA's Focus Four. Guardrails and floor-hole covers beat harnesses, because a control that works without a worker remembering to use it is a better control. See Chapter 24.
Fee — The contractor's compensation for home-office overhead and profit, expressed as a percentage or a fixed dollar amount. On a cost-reimbursable contract, the fee is what the owner does not reimburse separately: executive salaries, corporate rent, marketing, and profit. See Chapter 4.
Field order (minor change in the work) — The architect's direction to make a change asserted to carry no cost and no time impact. Used honestly it saves paperwork; used loosely it is where free work hides, and the fix is a same-day written response saying it is not a no-cost change. See Chapter 31.
FIDIC — The contract document family published by the International Federation of Consulting Engineers, dominant on international projects. Its engineer's role, claims machinery, and dispute adjudication differ substantially from U.S. forms. See Chapter 4.
Final completion — The point at which everything is done: punch closed, closeout documents delivered, warranties and O&M manuals in hand, final lien waivers collected, remaining retention released. It is not the end of warranty obligations, and nobody schedules it, which is why it drifts. See Chapter 40.
Finish-to-start (FS) — The default schedule relationship: the predecessor must finish before the successor starts. The others are start-to-start (SS), finish-to-finish (FF), and the rarely justified start-to-finish (SF). See Chapter 14.
Firestopping — Sealing penetrations through rated assemblies with tested, listed systems so the rating survives the hole somebody drilled through it. It is among the most commonly failed inspection items on a commercial job, because dozens of trades each make their own penetrations. See Chapter 9.
Float (slack) — The amount of time an activity can slip without delaying something. Total float is the slip available before the project finish moves; free float is the slip available before the next activity's early start moves. Float is a shared, consumable project asset, and your contract assigns it to somebody — read that clause. See Chapter 14.
Flow-down — Subcontract language that binds the subcontractor to the prime contract's terms as they apply to its work. It is your leverage: if you owe the owner seven-day notice, your subcontractors must owe you five, or you cannot pass a claim through. See Chapter 16.
Focus Four — OSHA's framing of the four hazard categories responsible for most construction fatalities: falls, struck-by, caught-in/caught-between, and electrocution. It is a prioritization device, not a complete hazard list. See Chapter 24.
Force majeure — Contract language excusing performance for events beyond a party's reasonable control. What counts is defined by the clause, not by the phrase, and the usual remedy is time without money. Read the list in your own contract; they vary enormously. See Chapter 4.
Forecast at completion — The projected final cost of a cost code, a division, or a job: cost-to-date plus cost-to-complete. It is the output of the cost report that anybody senior actually reads. See Chapter 28.
Formwork — The temporary structure that shapes and supports concrete until it can carry itself. It resists lateral pressure that depends on placement rate and temperature, and it is measured in SFCA — square feet of contact area — not in cubic yards of concrete. See Chapter 22.
Forward pass — The CPM calculation that works from the project start forward to determine the early start and early finish of every activity. See Chapter 14.
Fragnet — A small fragment of network logic representing a change or a delay event, inserted into an accepted schedule update to measure its effect on completion. It is the mechanism inside a time impact analysis. See Chapter 31.
Free float — See float.
Front-loading — Assigning inflated value to early schedule-of-values line items so billings run ahead of costs. The total is unchanged and every line is defensible in isolation; what you have built is an interest-free loan from the owner and a cash shortage in month fourteen when the finish trades need paying. See Chapter 32.
G
Gantt chart (bar chart) — A time-scaled bar diagram of activities. It is the output everyone reads and a terrible input: a bar chart with no logic underneath it cannot calculate a critical path, cannot be updated meaningfully, and cannot support a delay analysis. See Chapter 14.
General conditions (GC) — Used in two completely different senses, and the ambiguity causes real confusion. (1) The cost sense: the project-specific indirect costs of running the job — site staff, trailers, temporary utilities, hoisting, cleanup, safety program, small tools. (2) The contract sense: the standard clauses of the contract governing changes, claims, notice, indemnity, and disputes. Context usually tells you which; when it does not, ask. See Chapter 4 and Chapter 13.
General contractor (GC) — The party holding the prime construction contract with the owner and the trade subcontracts below it. Its three jobs are to assemble and price the work, to coordinate the trades, and to carry the risk between them — and it usually self-performs only a fraction of the work. See Chapter 19.
General requirements — The specification counterpart to general conditions costs: Division 01, which tells you what the project requires administratively and therefore what your general-conditions budget has to buy. People use "general conditions" and "general requirements" interchangeably; the precise usage is that Division 01 states the requirement and your GC budget prices it. See Chapter 13.
GMP (guaranteed maximum price) — Cost of the work plus a fee, capped, with the books open to the owner. The guarantee is on the contractor's exposure, not the owner's cost: scope changes, design errors, and covered site conditions still move the number. Say that out loud before anyone asks. See Chapter 4.
Grade beam — A reinforced concrete beam spanning between footings, piers, or piles, carrying wall loads down to the deep support below. Often partly earth-formed, which is why its formwork quantity is not what a beginner assumes. See Chapter 8.
H
Hierarchy of controls — The ranked order for controlling a hazard: eliminate, substitute, engineer, administer, then personal protective equipment. Higher controls work whether or not a worker remembers them, which is why "make sure he's tied off" is usually the fifth-best answer to a question. See Chapter 24.
Hold point — A point in an inspection and test plan where work may not proceed until the designated party has attended and released it. Mislabeling a hold point as a witness point is how a reinforcing inspection gets missed and a certificate of occupancy gets held. See Chapter 23.
Housekeeping — Site cleanliness and material order. It is treated as a courtesy and it is actually a productivity and safety program: debris is a slip hazard, a fire load, and thirty minutes a day of somebody's time looking for material. See Chapter 18.
I
ICRA (infection control risk assessment) — The regime governing dust, negative air pressure, barriers, and traffic when building in or next to an operating healthcare facility. It is a logistics problem with a medical consequence: construction dust genuinely kills immunocompromised patients, and the penalty for a propped-open anteroom door is not a backcharge. See Chapter 18.
Indemnity — A promise to defend and hold another party harmless against certain claims. Its practical limit is your insurance: if you promised more than your policy covers, you have an uninsured obligation. Anti-indemnity statutes in many states limit how far this can go, especially indemnity for the other party's own negligence, and they vary substantially. See Chapter 5.
Inspection — One quality-control activity: a person examining work against a stated criterion and recording the result. It is not quality assurance, and a program made entirely of inspections is a program that finds problems at the most expensive possible moment. See Chapter 23.
IPD (integrated project delivery) — A multi-party contract binding owner, designer, and builder into shared risk and shared reward, usually with a pooled contingency and waivers of claims among the parties. Widely admired, rarely attempted, and genuinely hard to do on a public procurement. See Chapter 3.
ITP (inspection and test plan) — The signature quality artifact: a table listing what gets inspected or tested, against what criterion, by what method, at what frequency, by whom, whether it is a hold or witness point, and what record it produces. If your quality plan is prose, you do not have one. See Chapter 23.
J
JHA (job hazard analysis) — A task broken into steps, with the hazard of each step named and a control assigned. Written before the work, by the people doing it, it is what makes a safety plan operational instead of decorative. Also called a JSA (job safety analysis) or an AHA (activity hazard analysis) — the same tool under three names. See Chapter 24.
Joint check — A check made payable jointly to your subcontractor and its supplier or lower tier, so that the money cannot stop at a party in trouble. It is a practical remedy when payment is slipping, and it has legal consequences worth understanding before you use it routinely. See Chapter 5.
Just-in-time (JIT) delivery — Bringing material to site as it is needed rather than stockpiling it. It reduces double handling, damage, and congestion, and it transfers risk to the supply chain — which is fine until a truck is late and there is no buffer. See Chapter 18.
L
Lag — A delay imposed on a schedule relationship: pour the slab, then wait seven days before loading. A lag is a modeled waiting period, and lags used to force a date rather than to model a real constraint are one of the classic ways a schedule quietly stops meaning anything. See Chapter 14.
Last Planner System — The lean production-control system built around making work ready: pull planning, a look-ahead that screens constraints, weekly commitments made by the people who will do the work, and PPC measurement with reason codes. The "last planner" is the foreman — the last person who can still decide what actually gets done. See Chapter 27.
Late start / late finish (LS/LF) — The latest an activity can start and finish without delaying the project, produced by the backward pass. See Chapter 14.
Lead — A negative lag: allowing a successor to start before its predecessor finishes. Leads model overlapping work honestly when used sparingly and hide broken logic when used to compress a schedule somebody did not want to re-plan. See Chapter 14.
Lean construction — A body of practice focused on flow, reliability, and the elimination of waste, adapted from manufacturing but not identical to it. Its central insight for a builder is that variability, not slowness, is the enemy — an unreliable four-day activity costs more than a reliable six-day one. See Chapter 27.
Lien waiver — A document giving up lien or bond-claim rights for work through a stated date. Four combinations exist: conditional progress, unconditional progress, conditional final, and unconditional final. Give conditional, collect unconditional after payment clears, and note that some states prescribe statutory forms and restrict advance waivers. See Chapter 5.
Life-cycle cost — Total cost of ownership over a defined study period: first cost plus energy, maintenance, replacement, and disposal, usually discounted to present value. It routinely justifies decisions that first-cost budgeting rejects, which is a structural incentive problem rather than an analytical one. See Chapter 11.
Line of balance (LOB) — A scheduling technique for repetitive work that plots unit or station against time, so each trade becomes a sloped line whose slope is its production rate. It answers the question CPM cannot: which trade's rate is lowest, and where will crews collide? See Chapter 37.
Liquidated damages (LDs) — A stated daily amount owed for each day of unexcused delay past substantial completion. They must be a reasonable pre-estimate of the owner's actual loss made at contract time — a provision that operates as a punishment is generally unenforceable, though the specific test varies by state. They usually stop at substantial completion and are usually the owner's exclusive delay remedy, which protects you. See Chapter 4.
Long-lead item — Anything whose procurement chain is long enough to drive the schedule: structural steel, curtain wall, switchgear, elevators, air handlers, generators. You back-schedule from the required on-site date through fabrication, approval, and submittal preparation to find the date the submittal must be issued — and that date is usually much earlier than anyone expects. See Chapter 16.
Look-ahead schedule — A short-window extract of the schedule, commonly six weeks, used to screen upcoming work for constraints and make it ready. It is not a shorter Gantt chart; its purpose is to find what would stop the work and remove it in advance. See Chapter 27.
Loose measure (LCY) — Soil volume after excavation, in loose cubic yards — what actually rides in the truck. Converting bank to loose is the swell calculation, and forgetting it is how truck counts come out twenty-five percent low. See Chapter 8.
Lump sum (stipulated sum) — One price for the whole defined scope, delivered whatever it costs. The owner buys certainty and pays a premium for it; the contractor's contingency is invisible, unaudited, and non-refundable. See Chapter 4.
M
MasterFormat — The Construction Specifications Institute's classification of construction work by trade and work result, organized into numbered divisions and six-digit sections. It structures the project manual, the estimate, and most cost accounting. See Chapter 7.
Means and methods — The construction techniques, sequences, procedures, and temporary works by which the contractor achieves the specified result. They belong to the contractor, and the design team's standard disclaimer of responsibility for them is both a protection for the architect and a definition of your job. See Chapter 19.
Measured mile — The most defensible way to prove lost productivity: compare the same crew doing the same work in an unimpacted period against an impacted period on the same project. It cancels out everything you would otherwise have to argue about — crew quality, estimate realism, detail difficulty — because both periods share them. See Chapter 31.
Mechanic's lien — A statutory claim against real property securing payment for labor or material furnished to improve it. Its power is that it clouds title, which converts a legal claim against a possibly broke company into commercial pressure on a solvent one. Every deadline and every requirement varies by state, and a lien deadline stated as if it were national is always wrong. See Chapter 5.
Mediation — Non-binding facilitated negotiation before a neutral third party. It is where most construction disputes actually settle, and it works best when both sides arrive with an honest assessment of their own weaknesses. See Chapter 33.
MEP — Mechanical, electrical, and plumbing — usually stretched to include fire protection, fire alarm, low voltage, and controls. MEP is typically the largest cost block on a commercial building and MEP coordination, not structure, sets the interior schedule. See Chapter 10.
Milestone — A zero-duration schedule event marking a state: notice to proceed, dried-in, substantial completion. Contract milestones can carry their own liquidated damages, so read whether yours are merely informational or enforceable. See Chapter 14.
Miller Act — The federal statute requiring payment and performance bonds on federal construction contracts above a statutory threshold, giving subcontractors and suppliers a bond claim in place of the lien they cannot file against public property. Every state has its own version — a "Little Miller Act" — with different thresholds, notice periods, and suit deadlines. Get the dates from the statute that governs your project, not from a book. See Chapter 5.
Mobilization — Getting the project physically started: fencing, trailers, temporary power and water, access, survey control, signage, and the first deliveries. It has its own schedule, it costs real money, and treating it as a single bar is how the first three weeks get lost. See Chapter 17.
Mockup — A sample assembly built and reviewed before production work starts, so that "acceptable" is agreed while it is still cheap. A field mockup establishes appearance and workmanship; a performance mockup is tested, often off site, against water penetration, air leakage, and structural criteria. See Chapter 9.
N
NCR (nonconformance report) — The written record that something was built or supplied not in accordance with the contract documents, and the vehicle for deciding what happens next. Four dispositions exist — rework, repair, use-as-is, and reject — and only some of them are yours to approve. See Chapter 23.
Near-critical path — A path with a small amount of float, close enough to critical that a modest slip makes it critical. Managing only the critical path and ignoring paths with three days of float is how a schedule gets away from a team. See Chapter 14.
Negative float — Float below zero, meaning an activity must finish earlier than logic allows for the project to hit a required date. It is not a failure of the software; it is the schedule telling you the current plan does not meet a constraint, and the fix is a re-plan, not a deleted constraint. See Chapter 14.
No-damage-for-delay — A clause providing that the contractor's sole remedy for delay — even owner-caused delay — is an extension of time, with no compensation. It is the single clause that changes your risk position the most. Courts in many jurisdictions recognize exceptions and several states limit it by statute, particularly on public work, but enforceability and exceptions vary significantly by state and change over time. Price it, negotiate it out, or walk. See Chapter 4.
Notice — Written notification of a condition, event, or claim within a period stated in the contract — often 7, 10, 14, or 21 days. It voids more valid claims than any other clause: real condition, clear entitlement, proven damages, and you lose because you noticed on day 22. Calendar every notice deadline on the day the contract is executed. See Chapter 33.
Notice to proceed (NTP) — The owner's written authorization to begin, which usually starts contract time. Know whether your contract time runs from NTP, from execution, or from a stated date, because those are three different clocks. See Chapter 17.
O
OAC meeting (owner–architect–contractor) — The recurring project meeting among the three principal parties. It is a decision meeting, not a status meeting: status is distributed in advance and read, and the agenda is organized around what has to be decided and by whom. See Chapter 26.
OCIP (owner-controlled insurance program) — A wrap-up in which the owner buys liability and often workers' compensation centrally for all enrolled contractors. It changes whose loss history absorbs a claim and requires bids to be adjusted for insurance no longer carried — it does not change who is responsible for the hazard. See Chapter 5.
Open shop (merit shop) — A labor model in which the contractor hires directly rather than through union referral, sets its own wage structure, and trains through its own or industry programs. Contrasted with the union model; each has genuine advantages, and many contractors run both depending on the market and the owner. See Chapter 20.
"Or equal" — Specification language naming products and permitting substitution of an equivalent. The operative word is approved: nothing is equal until somebody with authority says so in writing, and the substitution procedure in Division 01 sets the deadline after which the specification is effectively closed. See Chapter 7.
Order of precedence — The contractual rule deciding which document wins when the contract documents conflict. There is no universal order — some contracts say the documents are complementary with no hierarchy, some state an explicit ranking, and some say the most stringent requirement governs. Find your clause, copy it, and keep it where you can reach it at 6:40 in the morning. See Chapter 7.
OSHA — The U.S. Occupational Safety and Health Administration, whose construction standards are at 29 CFR Part 1926. Its General Duty Clause catches recognized serious hazards that no specific standard addresses, and its multi-employer worksite policy is why a general contractor can be cited for a hazard another company's crew created. Many states run their own approved plans with equal or stricter requirements. See Chapter 24.
Out-of-sequence progress — Work that started before its logical predecessor finished, showing up in a schedule update. It is not automatically wrong — the field often finds a better sequence — but it means the schedule no longer models reality, and how the software handles it (retained logic versus progress override) changes the calculated completion date. See Chapter 29.
Over-billing (billings in excess of costs and estimated earnings) — Billing ahead of the value of work performed. Some over-billing is normal and healthy cash management; a company whose over-billing is funding its operations is borrowing from its own future revenue, and the reversal arrives exactly when the jobs end. See Chapter 34.
Owner's contingency — See contingency. The owner's own reserve, held outside the construction contract, for scope changes, design errors, and decisions the owner has not made yet. An owner carrying none is the owner value-engineering the lobby in month fourteen.
Owner's representative — The person who acts for the owner day to day: reviewing pay applications, attending meetings, making or routing decisions, and protecting the owner's budget and schedule. Their authority is defined by the contract, and a verbal go-ahead from a well-meaning owner's rep is not a change order. See Chapter 26.
P
Pay-if-paid — Subcontract language making the owner's payment to the general contractor a condition precedent to the general contractor's obligation to pay the subcontractor. If the owner never pays, the subcontractor never gets paid — the subcontractor has financed the owner's credit risk. Enforceability varies significantly by state: some enforce it with clear language, some void it as against public policy, and some require specific words. Never assume. See Chapter 16.
Pay-when-paid — Subcontract language about timing: the general contractor pays the subcontractor a reasonable time after being paid, but the obligation to pay survives regardless. One word separates it from pay-if-paid and that word is the entire risk of owner insolvency. See Chapter 16.
Payment bond — A surety bond guaranteeing that subcontractors and suppliers will be paid. On public work it substitutes for the lien rights that cannot attach to public property, and bond claims carry their own notice and suit deadlines that are frequently different from lien deadlines. See Chapter 5.
Percent complete — The fraction of work finished, measured five different ways — units installed, cost-to-cost, milestones, level of effort, or somebody's judgment — that give five different answers. Pick the method before the work starts and write it down, or the number will migrate toward whatever is convenient. See Chapter 28.
Percentage of completion — The accounting method that recognizes revenue and gross profit as work progresses rather than at completion, usually measured cost-to-cost. It is why a contractor's income statement depends on project managers' cost-to-complete forecasts, and why an optimistic forecast is an accounting problem and not just a management one. See Chapter 34.
Performance bond — A surety bond guaranteeing completion of the contract if the contractor defaults. It covers the cost to complete, generally does not cover your own impact costs or the weeks lost while the surety investigates, and it is not insurance — see surety. See Chapter 5.
Planned value (PV) — In earned value, the budgeted value of the work scheduled to be complete by the data date. It is the yardstick both EV and AC are measured against. See Chapter 30.
PPC (percent plan complete) — Weekly commitments completed divided by commitments made, scored strictly: a task is complete or it is not, with no partial credit. Its purpose is not to measure production but to measure whether the plan can be relied on by the next trade — and ninety percent of a handoff is zero handoffs. Track commitments made alongside it, or a team will learn to promise less. See Chapter 27.
Preliminary notice — An early statutory notice a lien claimant must serve, often within days or weeks of first furnishing labor or material, to preserve later lien or bond-claim rights. It is not a threat and not an accusation; it is paperwork, and firms that treat it as an insult lose valid claims. Requirements, deadlines, and who must serve one vary by state. See Chapter 5.
Prequalification — Evaluating a contractor or subcontractor's financial capacity, safety record, experience, references, and current workload before allowing them to bid. It filters out failure modes price cannot see, and it does not tell you whether the specific crew that shows up will be any good. See Chapter 16.
Prevailing wage — The wage and fringe rate that must be paid by classification on covered public work, set by a government wage determination. The classification follows the work performed, not the job title, and misclassification is the most common violation. See Chapter 20.
Product data — A submittal type consisting of manufacturers' literature, catalog cuts, and performance data for a specified product. Distinguished from a shop drawing, which is prepared specifically for this project. See Chapter 25.
Production rate — Output per unit of labor input — square feet per man-hour, cubic yards per hour — and the basis of both estimating and scheduling. It comes from your own historical data first, a subcontractor's committed rate second, and a published table a distant third. See Chapter 12.
Progress override — A scheduling calculation setting in which out-of-sequence work is allowed to proceed without waiting for its predecessor, generally producing an earlier (and often optimistic) completion date. Compare retained logic. Know which setting your schedule uses, because it changes the answer. See Chapter 29.
Project manual — The bound volume containing the bidding requirements, contract forms, conditions of the contract, and the specifications. "Specifications" and "project manual" are used loosely as synonyms; strictly, the specifications are one part of the manual. See Chapter 7.
Proprietary specification — A specification naming particular manufacturers or products. Closed proprietary specifications name products with no substitution permitted; open ones add "or approved equal." Closed specifications remove your pricing options and are sometimes restricted on public work. See Chapter 7.
Punch list — The list of incomplete or defective items remaining at substantial completion. Three things do not belong on it: incomplete work (that is a completion issue, not a punch item), damage caused after installation (that is a protection and backcharge issue), and design changes. Continuous punching by area beats one heroic list at the end. See Chapter 40.
Purchase order (PO) — A contract for goods rather than services, governed in the United States by the Uniform Commercial Code rather than by common-law contract rules. The distinction matters for warranties, remedies, and what happens when delivery is late. See Chapter 16.
Q
Qualified person — Someone who, by degree, certificate, professional standing, or demonstrated knowledge and experience, can solve problems relating to particular work. Distinguished from a competent person, whose defining feature is hazard recognition plus the authority to stop work. Some tasks require both. See Chapter 24.
Qualifications and clarifications — The page of a bid stating what your number includes, excludes, and assumes. It is the most valuable page in any bid; a bid without one is a bid whose scope will be decided later by whoever argues better. See Chapter 15.
Quality assurance (QA) — The system that prevents defects: planning, procedures, installer qualification, mockups, pre-installation conferences, submittal review, and getting approved documents to the people doing the work. QA happens before the work. See Chapter 23.
Quality control (QC) — The activities that verify conformance: inspection, testing, measurement, checklists, punch walks. QC happens during and after the work and can only tell you what already happened. If your quality program is entirely QC, you have an inspection program. See Chapter 23.
Quantity takeoff — Measuring and listing the quantities of work from the drawings, in the units the work is bought and installed in. It is the foundation of every estimate, and the most common error is not arithmetic but units — square feet of concrete instead of cubic yards, wall area instead of contact area. See Chapter 12.
Quantum — The amount of a claim; the third of the three proofs, alongside entitlement and causation. British and international usage more than American, but you will meet it in FIDIC-world documents and in expert reports. See Chapter 33.
R
Reality capture — Recording existing conditions as measured data: laser scanning, photogrammetry, and 360-degree walkthrough capture. It is the clearest success story in construction technology, because it solves a problem everybody already has — knowing what is actually there before it gets covered. See Chapter 39.
Record drawings — The set showing what was actually built, including field changes, RFI answers, and routing that differs from the design. They are a daily habit, not a closeout task; a set reconstructed in the final month is a work of fiction that the owner will rely on for thirty years. See Chapter 25.
Reshoring — Shores installed after formwork is stripped, to redistribute load from newly placed floors above to floors below that have not reached full strength. It is not the same as leaving original shoring in place (backshoring), the difference matters structurally, and the reshoring layout is usually a delegated design. See Chapter 22.
Resource loading — Assigning crews, man-hours, or equipment to schedule activities so the plan shows what it will take to execute. Without it, a schedule is a set of dates nobody has checked against the number of people who can physically fit in the building. See Chapter 14.
Retainage (retention) — A percentage withheld from each progress payment until stated completion milestones. It is pure cash-flow cost, it flows down to your subcontractors, and retention limits, reduction thresholds, and release timing are set by statute in many states and vary widely. Check your jurisdiction before assuming. See Chapter 32.
Retained logic — A scheduling calculation setting in which out-of-sequence work must still respect its original predecessor relationships, generally producing a more conservative completion date. Compare progress override. See Chapter 29.
RFI (request for information) — A written question about the contract documents, asking for a clarification or interpretation. A good RFI states the question, cites the documents, proposes an answer, and names a required response date — and an RFI response is generally an interpretation, not an authorization to change the work. See Chapter 25.
Risk register — A table of named risks, each with a probability, an impact, an owner, a response, and a contingency amount. The discipline is the naming: a reserve without a named risk behind it is either fat or a lie. See Chapter 6.
Rough-in — The stage at which systems are installed but not finished or connected: piping, conduit, duct, and boxes in place before walls close and before fixtures and devices are set. It is the phase where above-ceiling coordination either pays off or does not. See Chapter 10.
S
Savings split — The agreed division of unspent GMP contingency and buyout savings between owner and contractor. It is the single most valuable feature an owner gets from an open-book GMP, and owners routinely trade it away for a slightly lower fee, which is usually a bad deal. See Chapter 4.
Scaffold — A temporary elevated work platform. The management facts that matter: it must be erected and modified under the supervision of a competent person, it must be inspected before each shift and after anything that could affect its integrity, and it must be tagged. The classic failure is a scaffold modified overnight by a trade that did not erect it. See Chapter 22.
Schedule of values (SOV) — The breakdown of the contract sum into line items used to measure progress and generate payment applications. An honest SOV reflects the actual value of each portion of work, including a disclosed allocation of general conditions; see front-loading for the dishonest version. See Chapter 32.
Scope gap — Work that no subcontract covers, sitting in the seam between two packages. Gaps are found in a scope sheet before award or discovered in the field at three times the price; they are the single largest avoidable loss in buyout. See Chapter 16.
Scope sheet — A written, trade-specific list of what a subcontract package includes and excludes, used to level bids and to write the subcontract. It is the most valuable document in buyout because it is where the seams get closed. See Chapter 16.
SectionFormat — CSI's standard internal structure for a specification section: Part 1 General, Part 2 Products, Part 3 Execution. Learn it once and you can read any section in any project manual without reorienting. See Chapter 7.
Self-perform — Work executed by the contractor's own craft workforce rather than subcontracted. It buys schedule control and cost visibility, and it puts productivity risk squarely on your own balance sheet. See Chapter 13.
SFCA (square feet of contact area) — The unit of formwork measurement: the area of form face touching concrete. It is not concrete area and not slab area — 380 cubic yards of grade beam can carry eight times the formwork of 380 cubic yards of slab, and pricing formwork off concrete volume is one of the most expensive beginner mistakes in estimating. See Chapter 12.
Shop drawing — A submittal prepared specifically for this project by a fabricator or subcontractor, showing how a component will actually be made and installed. Review confirms general conformance with design intent; it does not relieve the contractor of responsibility for dimensions, quantities, or coordination, and that limitation is written into the review stamp. See Chapter 25.
Shoring — Temporary support: of an excavation (soldier piles and lagging, sheeting, soil nails, braced or tied-back systems) or of a structure (posts and beams carrying load during construction or demolition). Usually a delegated design with a stamp, a review cycle, and therefore a lead time. See Chapter 22.
Shrinkage — The volume decrease from bank measure to compacted measure. Compacted volume = bank volume × (1 − shrinkage factor). Take your factors from the project's own geotechnical laboratory data rather than a published table. See Chapter 8.
Slab on grade — A concrete floor cast directly on prepared subgrade and base course, with a vapor retarder where required. Reinforcement controls crack width, it does not prevent cracking, and joint layout and sawcut timing decide how the floor looks for the next forty years. See Chapter 8.
Special inspection — Code-required inspection of specified work — high-strength bolting, welding, concrete, soils, sprayed fire-resistive materials — performed by an inspector engaged usually by the owner and reporting to the building official. The special inspector is not your quality control; special inspections cover a narrow code-defined list and nothing about whether your storefront matches the mockup. See Chapter 23.
Specifications — The written contract documents governing quality, product, procedure, and verification — how good, which one, how installed, how proven, what warranty. Drawings say how many and where; specifications say how good and which one. See Chapter 7.
SPI (schedule performance index) — EV ÷ PV. Below 1.00 means less work has been earned than
planned. It is not a schedule metric: it is measured in dollars and knows nothing about the critical
path, so a job can show SPI of 1.00 while the one activity that matters is four weeks late. See
Chapter 30.
Statute of repose — An outer limit on construction-defect liability measured from completion rather than from discovery of the defect. It differs from a statute of limitations, it is longer, and both vary substantially by jurisdiction in length and in what starts the clock. It is the reason construction record retention runs in years. See Chapter 40.
Struck-by — One of OSHA's Focus Four categories: being hit by vehicles, falling or swinging loads, flying debris, or collapsing material. Drop zones, exclusion zones, and traffic control plans are the controls that actually work; high-visibility vests are the last line, not the first. See Chapter 24.
Subcontractor — A firm under contract to the general contractor to perform a portion of the work. You do not manage the work of a subcontractor; you manage the contract, the schedule, and the coordination — which is a different job requiring different tools. See Chapter 19.
Submittal — Information the contractor provides for the design team's review to demonstrate that what will be furnished conforms to the documents: shop drawings, product data, samples, mockups, calculations, and certifications. Review is for general conformance with design intent, and it transfers far less responsibility than most people assume. See Chapter 25.
Substantial completion (SC) — The point at which the work is sufficiently complete that the owner can occupy or use it for its intended purpose. It is a functional test, not a zero-defect test, and it is a determination somebody makes against criteria — not a date on a bar chart. It triggers the start of warranties and the correction period, the transfer of care and custody, the stop of liquidated damages, and usually a retention reduction. See Chapter 40.
Supplementary conditions — The owner's edits to the published general conditions. Read these first: this is where a standard form gets bent, where a differing site conditions clause gets narrowed, and where a no-damage-for-delay clause quietly appears. See Chapter 4.
Surety — The party that issues bonds, guaranteeing the contractor's performance or payment to the owner. A surety is not an insurer: insurance is a pooled transfer of risk that expects losses, while a surety is a three-party credit instrument that expects zero losses and has a right of indemnity against the contractor — and typically against its owners personally. That is why a surety underwrites your balance sheet like a bank. See Chapter 5.
Swell — The volume increase from bank measure to loose measure when soil is excavated. Loose volume = bank volume × (1 + swell factor). Common earth swells roughly 20–30% and blasted rock far more, but take the project's factors from its own laboratory data. See Chapter 8.
SWPPP (stormwater pollution prevention plan) — The plan and permit obligation governing erosion and sediment control and stormwater discharge from a construction site. It carries inspection, recordkeeping, and maintenance duties with real penalties, and it is administered by states under delegated authority, so requirements vary. See Chapter 17.
T
TAB (testing, adjusting, and balancing) — Measuring and setting air and water flows in mechanical systems so each space gets what the design called for. It is a prerequisite to functional performance testing, it takes longer than anybody schedules, and it cannot start until the systems are actually complete. See Chapter 40.
Takt time — The fixed rhythm at which a train of trades moves through equal-sized zones: available time divided by total takts, where total takts = zones + trades − 1. Always round the takt down, never up; the leftover becomes buffer. See Chapter 27.
Target value design — Setting a target cost during design and then designing to it, rather than designing and then pricing. It works when owner, designer, and builder are in the room early, and it fails when the "target" is an owner's budget wearing a new name. See Chapter 11.
TCPI (to-complete performance index) — The cost efficiency the remaining work must achieve to hit a
stated target: (BAC − EV) ÷ (BAC − AC) to hit budget, or (BAC − EV) ÷ (EAC − AC) to hit a forecast.
Its value is that it converts a forecast into a testable claim — you can ask whether the job has ever
performed at that level. See
Chapter 30.
Temporary certificate of occupancy (TCO) — Conditional permission to occupy, usually with an attached condition list and an expiration date. Many jurisdictions do not issue them at all. Never build a schedule on a TCO you have not confirmed is obtainable. See Chapter 40.
Termination for cause — The owner's right to terminate for the contractor's default. Catastrophic: you may owe the cost to complete above the remaining contract balance, and your surety becomes involved. Notice-and-cure periods are your protection, so know how many days you have. See Chapter 4.
Termination for convenience — The owner's right to terminate without cause. You typically recover work performed plus demobilization and some closeout costs, and typically do not recover lost profit on the unbuilt work. See Chapter 4.
Thermal bridging — Heat taking a shortcut through a conductive element that penetrates the insulation: a steel stud, a shelf angle, a mullion, a balcony slab, a clip. Steel conducts on the order of hundreds of times better than the insulation beside it, so a stud is not a small defect in the assembly — it is a highway. See Chapter 36.
Time-and-material (T&M) ticket — The daily record of labor, equipment, and material expended on directed work whose price is not yet agreed, signed the same day by the owner's representative or inspector. A ticket signed a week later is an argument; a ticket signed that afternoon is evidence. See Chapter 31.
Time impact analysis (TIA) — Inserting a fragnet representing a change or delay into the accepted current schedule update — not the baseline — and measuring the movement of the completion date. Run contemporaneously it is evidence; run eight weeks later against a reconstructed schedule it is an opinion. See Chapter 31.
Toolbox talk — A short pre-shift safety discussion on one specific topic tied to the work about to happen. What makes one land is specificity and a story; what makes one noise is reading a laminated card about a hazard nobody on the crew will encounter today. See Chapter 24.
Total float — See float.
Trade stacking — Too many trades working in the same space at the same time, each interfering with the others. It is the usual hidden cost of acceleration: you buy days with overtime and second crews, and pay for them in productivity loss, rework, and incident rate. See Chapter 19.
Transmittal — The cover record accompanying a document, stating what was sent, to whom, when, and why. It is boring, it is thirty seconds, and it is the record that decides who had a submittal for how many days when somebody later argues about a review period. See Chapter 25.
TRIR (total recordable incident rate) — Recordable cases per 100 full-time-equivalent workers per year, computed as (recordables × 200,000) ÷ hours worked. It is a lagging indicator and, on small worker-hour bases, statistically noisy — one recordable can move it dramatically. See Chapter 24.
Turnover package — Everything the owner receives at the end: O&M manuals, warranties, record drawings, approved submittals, test and balance reports, commissioning records, spare parts, attic stock, keys, and training documentation. Assembled continuously it is a filing task; assembled at the end it is the reason final payment is six months late. See Chapter 40.
U
Unbalanced bid — A unit-price bid in which money is moved between line items away from actual cost, usually to exploit quantities the bidder believes are wrong. Materially unbalanced bids — those creating reasonable doubt that the agency will pay the lowest ultimate cost — may be rejected by most public agencies. There is a real line here: a defensible cost view is legitimate, deliberate distortion is not, and pricing on inside knowledge is fraud. See Chapter 4.
Under-billing (costs and estimated earnings in excess of billings) — Having performed more work than you have billed for. It is a cash problem and often a symptom: unapproved change orders sitting in cost, a schedule of values that does not match the work, or a project manager who has not been billing what they earned. See Chapter 34.
UniFormat — CSI's classification of a building by system and building element — substructure, shell, interiors, services, equipment, sitework — rather than by trade. It is the right structure for conceptual and parametric estimating, where MasterFormat is the right structure for detailed estimating and specifications. See Chapter 7.
Unit cost — Cost per unit of installed work: unit cost = (labor ÷ production rate) + material +
equipment, or more compactly, quantity × productivity × rate. Every published unit cost is somebody
else's crew in somebody else's market; adjust it or replace it with your own. See
Chapter 12.
Unit price — A contract structure paying a fixed price per measured unit of work, with the owner carrying quantity risk. Somebody has to measure, the contract has a variation clause allowing renegotiation when quantities swing beyond a stated percentage, and truck tickets, weight tickets, and survey records are literally your money. See Chapter 38.
Unit rate — Used two ways, and the difference matters. In estimating it usually means the same thing as unit cost — dollars per installed unit. In labor productivity it often means the inverse relationship, man-hours per unit. Say which you mean, especially in a forecast. See Chapter 28.
Utilization — The fraction of available time a piece of equipment is actually working. It is the number that decides own-versus-rent, and the honest version counts idle days on your job, not the machine's theoretical availability. See Chapter 21.
V
VAC (variance at completion) — BAC − EAC. The forecast overrun or underrun on the whole scope. See
Chapter 30.
Value engineering (VE) — Systematically finding lower-cost ways to deliver the same function. Genuine VE substitutes a means, not a function; what usually passes for it — deleting scope, reducing quality, deferring work to the owner's operating budget — is cost cutting with a nicer name, and it should be labeled honestly in the log. See Chapter 11.
Variation clause — In a unit-price contract, the provision allowing either party to request renegotiation of a unit price when the actual quantity of a major item varies from the estimate by more than a stated percentage — 15% and 25% are both common. Thresholds vary by agency; check yours. See Chapter 4.
VDC (virtual design and construction) — The broader practice of using models and digital processes to plan and execute construction: coordination, sequencing, layout, prefabrication, and reality capture. Used loosely as a synonym for BIM; the useful distinction is that BIM names the model and VDC names what you do with it. See Chapter 35.
W
Waiver of subrogation — An agreement that an insurer, having paid a loss, gives up its right to sue another project party to recover it. It keeps a fire loss from turning the project team into adversaries, and it must appear both in the contract and in the policies to work. See Chapter 5.
Warranty — A promise that work or a product will perform for a stated period. Three different pieces of paper commonly overlap on one roof: the contractor's workmanship warranty, the installer's warranty, and the manufacturer's material or system warranty — with different durations, different exclusions, and different parties to call. Know which one covers the leak. See Chapter 40.
Waste factor — The allowance added to a takeoff for material lost to cutting, breakage, over-order, and spillage. Two rules keep you out of trouble: apply it once (not in the takeoff and in the unit cost), and use a factor that matches the material — drywall and rebar do not waste alike. See Chapter 12.
Windows analysis — A delay-analysis method dividing the project into periods and, for each, using the schedule update in effect at the time to identify what was critical, what slipped, and who owned it. It is generally the most defensible method because it follows the project as it actually happened, including a critical path that moves — and it requires contemporaneous updates you either made or did not. See Chapter 33.
WIP schedule (work in progress) — The company-level report showing, for every job, contract value, cost to date, estimated cost to complete, percent complete, revenue earned, billings, and over- or under-billing. It is the document your surety, your bank, and your CFO actually read, and the row that matters is fade. See Chapter 34.
Witness point — A point in an inspection and test plan where you must notify a designated party a stated number of hours in advance; if they do not attend, work proceeds and you make the record. Your notification record is your protection. Compare hold point. See Chapter 23.
Work breakdown structure (WBS) — The hierarchical decomposition of the project into manageable pieces — by area, system, phase, or trade — that organizes the schedule, the budget, and the reporting. Get it right once and the schedule, cost codes, and pay application all speak the same language. See Chapter 14.
Work day (WD) — A day the crew actually works, excluding weekends and holidays. Crew productivity and durations run in work days; contract time and liquidated damages run in calendar days. Converting between them requires the project calendar, and mixing them up is the most common arithmetic error in scheduling. See Chapter 14.
Workers' compensation — The no-fault insurance system paying medical costs and lost wages for work-related injury. Its premium is driven by classification codes and by your EMR, which is why a safety record is simultaneously a moral matter and a line item on every bid you submit. See Chapter 5.
Working capital — Current assets minus current liabilities: the money available to fund operations before payment arrives. It is the binding constraint on a growing contractor and the reason growth kills more construction companies than recession does. See Chapter 34.
Wrap-up — See OCIP and CCIP.
A closing note on words that fight
Four pairs in this glossary account for a large share of the arguments you will have, and they are worth memorizing as pairs rather than as entries:
| Pair | The distinction that costs money |
|---|---|
| Substantial completion / certificate of occupancy | One is a contract determination, the other is a permit from an official who does not work for you. Different parties, different criteria, often different weeks. |
| Quality assurance / quality control | One prevents defects before the work; the other finds them after. A program made only of the second is an inspection program. |
| Pay-when-paid / pay-if-paid | One is about timing, the other is a condition precedent. The difference is the entire risk of owner insolvency. |
| Cost to date / cost to complete | One is history and the other is the only number that tells you whether you are making money. |
And the general rule this glossary keeps repeating, because the book does: when a term has two meanings in the industry, the right move is not to pick one silently. Say which one you mean, in writing, the first time it matters. That habit costs you eight words and saves arguments that run into six figures.
For the framework behind any of these, follow the chapter link. For the formula, see Appendix A. For the clause, see Appendix G. For where a term appears throughout the book rather than where it is defined, see the Index.