The general contractor is commonly an engineer specialized in construction supervision engaged by the project manager to coordinate the overall property development process. The general contractor is generally responsible for the day-to-day oversight of the construction site, coordination of the construction schedule through the sequencing of construction, management of vendors, contracting and supervising the subcontractors, and communication with all involved parties throughout the course of the project. If different from the project manager, the general contractor is assigned to a construction project either while the design is still in progress or once the design has been completed.
An independent contractor – individual or company – is hired and paid by the general contractor to perform a specific task as part of the overall property development project is a subcontractor. They include architects, engineers, consultants, legal advisors, electricians, plumbers and other construction professionals and service providers.
Subcontractors are typically engaged to reduce costs or to mitigate project risks, where the subcontractor is typically liable for damages if the project is delayed due to the subcontractor’s failure to complete work on time or perform as contracted. The general contractor normally obtains subcontractors for a project using low-bid selection, best-value selection or qualifications-based selection.