Definition EPCm or EPC
Definition EPCm or EPC
(OP)
Hi All,
Can someone please explain the differences between Engineering Procurement Construction (EPC) and Engineering Procurement Construction Management (EPCm).
I’m under the impression, or told, that the main contractor hires in another company, say a project management company to help with the EPC side of things…. Therefore can that they can cal themselves a EPCm company… But then again would that company just be a sub-contractor to the main contractor…
Mu understanding is EPC is the Engineering, Procurement and Construction, direct hire purposes.. No subcontract… EPCm is management of subcontractors…
Any better explanations will be grateful
Thanks in advance …
Can someone please explain the differences between Engineering Procurement Construction (EPC) and Engineering Procurement Construction Management (EPCm).
I’m under the impression, or told, that the main contractor hires in another company, say a project management company to help with the EPC side of things…. Therefore can that they can cal themselves a EPCm company… But then again would that company just be a sub-contractor to the main contractor…
Mu understanding is EPC is the Engineering, Procurement and Construction, direct hire purposes.. No subcontract… EPCm is management of subcontractors…
Any better explanations will be grateful
Thanks in advance …





RE: Definition EPCm or EPC
They all act as the main contractor, sub-contractor - often at the same time, on different projects in-house, and to/with each other.
It's one of those industry jargon acronyms that people throw around, and most don't really know its exact definition/meaning, and now, it doesn't have an exact definition/meaning.
RE: Definition EPCm or EPC
EPC means the company is contracted to provide engineering, procurement and construction services. Think Design & Construct style contracts, where the project is largely Contractor managed and the cost risk and control are weighted towards the Contractor and away from the Owner.
EPCM means the company is contracted to provide engineering, procurement and construction management services. Other companies are contracted by the Owner to provide construction services and they are usually managed by the EPCM contractor on the Owner's behalf. Think professional services contracts, where the project is largely Owner managed and the cost risk and control is weighted towards the Owner.
RE: Definition EPCm or EPC
EPC tends more to lump sum turn key projects as where the engineering contractor is also fully responcible for the construction of the project until mechanical completion (even this is often a point of discussion). This means that the engineering company has direct contracts with the construction contractors.
EPCm is less stingent and the engineering contractor only offers constrcution managemant services, say acting on behalf of the owner. Here the owner has the contracts with his construction companies.
So far I always understood EPC and EPCm
Kind regards,
Chris
Kind Regard,
Chris
RE: Definition EPCm or EPC
Generally, though, the company involved with the basics; Engineering & procurement they have all the background so wouldn’t it make sense for them also to perform the Construction Management also?.
I suppose depending on the clients wishes of course… ….
RE: Definition EPCm or EPC
So would EPCM be equivalent to PMS?
Regards
Claudio
RE: Definition EPCm or EPC
RE: Definition EPCm or EPC
If so, the answer is not necessarily. It depends on the contractual relationships between the Owner, consultants and construction contractors.
In an EPCM contract, the consultant is typically contacted to provide project management, engineering, procurement and construction management services. They will usually manage and administer, on the Owner's behalf, the Owner's contracts with construction contractors.
In a PMS contract, the consultant is contacted to provide project management services. They will usually manage and administer, on the Owner's behalf, the Owner's contracts with the engineering consultants and construction contractors.
So they are similar but different.
RE: Definition EPCm or EPC
RE: Definition EPCm or EPC
Thanks all.