Building Bridges: How Owners and General Contractors Can Communicate for Success

From the very earliest stage of a construction project, the quality of communication between the client and the general contractor appointed to deliver the work is the cornerstone of a successful outcome. While the two parties are often portrayed as being at opposite sides of the negotiating table, both a client and a contractor want the same thing – a project delivered on time, within budget and to an excellent standard of quality.

The practical nature of construction, combined with the potential implications of poor performance, make clarity absolutely essential. At the start of a project, discussions around client needs and expectations, scope, timelines, financials and roles and responsibilities need to give everyone certainty of what is expected from them.

Miscommunication, grey areas or incompleteness of communication around any of these fundamentals can at best result in delays, rework or additional costs, and at worst, can lay the groundwork for costly litigation down the track.

Here are some of the fundamentals of effective, coherent and efficient communications and how they can contribute to mutually beneficial project relationships and outcomes.

1. Set clear and realistic expectations.

From project inception, it is essential that the client, the design team and the contractor clearly explain expectations around project parameters including timeframes and budgets. While this might seem like something that can be taken for granted, if all the information around those matters is coming just from the client, the risks associated with the project may be greater.

Communication always involves more than one party; it is a dialogue between the giver and the receiver. In construction it is also vital there be clear and honest feedback where major project decisions are being made.

Timeframes, especially, need to be discussed in a practical and mutually respectful manner. If a client is pushing for a timeframe the contractor knows from experience is going to be too tight, this needs to be communicated by explaining why it is in the client’s best interests the works are not rushed.

Rushed works often mean mistakes, and whether that involves rework or defects or potential workplace health and safety incidents, if a client wants a quality outcome, they need to agree to reasonable and practical terms. The contractor can support their communications on this with evidence from previous projects, or from industry data such as the reports on defects issued by the NSW Building Commission.

2. Foster transparency to manage risk.

Construction involves navigating multiple levels of risk, including financial, reputational and physical risks. For the head contractor, the design stage is an opportunity to reduce some of the risks through considering buildability with the design team.

If the architects or engineers are proposing solutions that are inherently high risk due to the configuration of the proposed building element, or potential challenges around procurement of preferred materials or potential cost increases, the contractor needs to communicate these risks to the client. The builder also needs to be clear with the design team around risk, to determine if there is a design-based solution that does not alter the project scope and deliverables already approved by either the client or consent authorities.

These are conversations that can have legal implications, so it is vital all communications around design changes, buildability and risk are put in writing.

3. Document, document, document.

There’s an old saying, “if it’s not in writing, it didn’t happen”. That holds true both for positive matters such as progress reporting and compliance signoffs, and for more challenging matters such as variations, delays and safety and environmental controls that were in place prior to incidents.

One of the most important things to communicate to a client is any potential or definite delay or variation. These need to be communicated in writing as soon as the contractor becomes aware there is an issue.

On the other hand, regularly updating the client and their team with progress reports and progress photos can also be used as an asset by the project marketing team. This may also be true for commercial projects, where the leasing agent or other stakeholders are eager to update future tenants on the progress of the building.

4. Establish a system.

At the outset of a project, when the contractor and client are setting out the mutual expectations and responsibilities, both should agree on the frequency, method and goals of reporting and updates.

Methods may include email, shared digital information management systems, cloud-hosted progress meetings, and face-to-face or onsite meetings at specific intervals. The substance of reporting and communications during the project is likely to include as a minimum:

• Progress against agreed program
• Financials and budget tracking
• Variations and the reason for variations
• Safety reporting including any near-miss incidents or incidents
• The completion of Inspection Test Plans
• Any relevant information from stakeholders such as consent authorities

Arrangements for communications between client and contractor on the means, methods and scope should also include agreements on timely responses to various matters, in particular to requests for information (RFI), design documentation signoff, progress inspections, and variation approvals. The timeframe for response will of course depend on the risks associated with the matter, and the financial implications of delays in response.

To keep track of communications requirements and the data and information behind them, such as project workflows, invoicing and inspection signoffs, using a construction management system such as Procore can help streamline the integration between project data and outbound communications.

Clear communication is key to project success.

Strong, consistent communication between owners and general contractors is the foundation of a successful construction project. By setting clear expectations, fostering transparency, documenting decisions, and establishing structured communication systems, both parties can work together more effectively to reduce risk, avoid costly disputes, and keep projects on track. When communication is prioritised, projects are more likely to be delivered on time, within budget, and to a high standard of quality—ultimately benefiting all stakeholders involved.

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