Learning Center

June 03, 2019

How Many Contractors Do I Need for Modular Construction?

Innovative modular construction firms can serve as the sole contractor required to complete a project, but may also allow for additional parties, if preferred.

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As awareness about modular construction's ability to remedy for the mounting inefficiencies associated with traditional construction increases, more and more property owners and developers are exploring its benefits. Many are curious about the number of contractors required to complete such projects.

One of the most common barriers to productivity in traditional construction is the involvement of multiple third parties, responsible for different portions of the build. With so many parties involved, each with their own goals, effective communication becomes difficult, if not impossible. When complications arise, contractors tend to blame one another and refuse accountability. Given such frustrations, it’s only natural that owners and developers would want to limit the amount of contractors.

When it comes to modular construction, there are distinct phases: the manufacturing of the modular units, the preparation of the foundation, and the installation of the modules to form the finished building.

Some developers who are considering "going modular" worry that because of these stages, they'd need to hire two separate contracting firms, which creates the potential for miscommunication.

This, however, is not the case.

It’s true that some modular firms view their role as just manufacturing and supplying modular units, requiring the developer to hire a second contractor to undertake the on-site work. That is no longer the only option, though. In fact, many of the more innovative modular manufacturers, are able to undertake projects on a completely turnkey basis, providing not only the modular units, but also handling the entire construction process, including all on-site construction work.

That means the entire project can be completed with only one contractor. No confusion about responsibilities, no miscommunication between teams, and no shirking of accountability.

That said, every building project is unique and some owners prefer to hire multiple contractors. Various needs, commitments, pre-existing relationships, and other factors, all contribute to an owner's decision to split responsibilities. The best modular firms will understand this possibility and offer flexible contract options, enabling clients to select the solution that works best for them.

Whichever path is chosen, the key to avoiding disputes is to decide in the project's early stages how many contractors you plan to hire, and to have a very clear understanding of the responsibilities and scope of work of everyone involved.

Deluxe Modular provides a comprehensive Scope of Work matrix outlining, describing and clarifying, in meticulous detail, the many particulars of every component of the project, including the responsibilities of the on-site contractor, and/or off-site contractor.

Whether you choose a single contractor on a full, turnkey basis, or elect to have one contractor build the modular units and another handle the on-site work, is up to you. As long as scope and responsibilities are well-defined and properly managed, the benefits of modular construction will always surpass those of other methods.

Deluxe Modular offers six different contract types accommodating every level of need, to ensure that our clients’ projects are completed exactly how they envisioned. Explore our Solutions to discover the perfect option for you.

Topics: Modular Construction

Read Next: The Ultimate Guide to Modular Construction

This guide is intended to help you sort through the confusion, give you an in-depth understanding of the modular construction process, its benefits and challenges, and help you determine if modular construction is right for you.

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