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THE INTERIOR DESIGN REFERENCE + SPECIFICATION BOOK
Chapter 2: Project Management
The designer and client must reach a common understanding of the contracts,
fees, and design process for a project to succeed. For large projects, a project
manager will assume responsibility for coordinating these business aspects of
the job. For smaller projects, the designer has both to design and to manage the
project. Typically, management issues weigh heavily at the beginning of a project,
but they must be attended to throughout to ensure that the fees, schedules, and
agreements are all being met.
CONTRACTS
The first step in embarking on a project is for the designer and client to sign a contract. The
contract defines the scope, qualifications, assumptions, exclusions, duration, and terms of the
project. Ideally, it is set up in a manner that separates the scope into specific design tasks,
determining, for example, the number of meetings to be held or the number of renderings or
sample boards to be provided. In addition to detailing the scope, the contract should include
a list of qualifications, which are limitations placed on the scope. A typical qualification might
be “the project fee is based on 20,000 square feet” or “the project fee is based on a six-month
design period.” Including a list of assumptions will avoid miscommunication; for example, “as-
built AutoCAD drawings will be provided by owner” or “the project will be phased into two con-
struction projects.” It is equally important to list exclusions to the contract, such as “an interior
survey is not in contract” or “furniture selections are not part of contract.” This will help to
identify issues or consultants for which the designer is not responsible. The contract must
also provide a written description or a graphic schedule that outlines the project timeline.
DESIGN FEES
When negotiating a fee, it is up to the designer and the client to agree on the fee structure.
For most design disciplines,
vices, due to the vastly different nature of individual projects
can range from a modest renovation to a new custom-tailored design, and the fee may be best
structured on an
it would be reasonable to assume a fee
said, most designers choose among several methods for structuring fees, either alone or in
combination, and adjust them to suit a client’s particular needs.
SCOPE QUALIFICATIONS ASSUMPTIONS EXCLUSIONS DURATION TERMS
Terms of Agreement to Include in Every Contract
Limitations of liability
Payment terms
Code interpretations and ADA compliance
Ownership of documents
No consequential damages
Termination or suspension
Insurance and indemnification
Common Mistakes to Avoid When Establishing a Contract
Not defining a detailed scope of work
Starting before the contract is signed
Not defining a method of compensation
Not red-flagging additional services as they arise
Not listing reimbursable items
Not halting work when payments are overdue
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defines the scope, qualifications, assumptions, exclusions, duration, and terms of the
sample boards to be provided. In addition to detailing the scope, the contract should include
a list of qualifications, which are limitations placed on the scope. A typical qualification might
square feet” or “the project fee is based on a six-month
design period.” Including a list of assumptions will avoid miscommunication; for example, “as-
built AutoCAD drawings will be provided by owner” or “the project will be phased into two con-
, such as “an interior
DESIGN FEES
When negotiating a fee, it is up to the designer and the client to agree on the fee structure.
For most design disciplines, there is no such thing as “typical” or “standard” fees for design ser-
vices, due to the vastly different nature of individual projects. A residential project, for instance,
can range from a modest renovation to a new custom-tailored design, and the fee may be best
structured on an hourly basis. At the other end of the spectrum, for a large commercial project,
it would be reasonable to assume a fee based on the number of square feet (or meters). That
said, most designers choose among several methods for structuring fees, either alone or in
combination, and adjust them to suit a client’s particular needs.
Terms of Agreement to Include in Every Contract
Limitations of liability
Payment terms
Code interpretations and ADA compliance
Ownership of documents
No consequential damages
Termination or suspension
Insurance and indemnification
Common Mistakes to Avoid When Establishing a Contract
Not defining a detailed scope of work
Starting before the contract is signed
Not defining a method of compensation
Not red-flagging additional services as they arise
Not listing reimbursable items
Not halting work when payments are overdue
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THE INTERIOR DESIGN REFERENCE + SPECIFICATION BOOK
Until recently, cost plus was the most widely used fee structure for residential designers. Now,
however, it is becoming more common for designers to charge an hourly rate for design ser-
vices and cost plus for products.
In general, a designer will request a retainer upfront. A retainer is money paid by the client to
initiate the design process. It is usually due when the contract is signed and is deducted from
the project’s final invoice.
ENGAGING CONSULTANTS
No set standards exist for engaging consultants for an interior project. Hiring a consultant will
depend on the size, type, and scope of the project. For example, however important light-
ing is to a kitchen renovation, it may not be necessary to enlist a lighting designer, but their
expertise is indispensable for an art gallery project. It is the designer’s responsibility to make
suggestions to the owner for hiring consultants. The chart on the opposite page lists the con-
sultants an interior designer may recommend for a project.
ID = Interior Designer
A = Architect
FEE STRUCTURES
Fixed Fee (or Flat Fee) Specific sum that is based on human resources, hourly
rates, and duration of phases for all services. Reimburs-
able expenses are eliminated from the xed fee.
Hourly Fee (or Time and
Material)
Compensation for every hour spent by the designer on a
project, based on a predetermined hourly rate. In addition
to the hourly fee, materials (e.g., color copies, printing,
samples) are also billed.
Hourly Fee to a Maximum Fee Compensation for every hour spent by the designer up to
a maximum set fee based on the agreed scope.
Cost Plus Fee based on the designer purchasing materials, furnish-
ings, and services (e.g., carpentry, drapery workrooms,
picture framing) and reselling them to the client at the
designer’s cost, plus an additional specified percentage
to compensate the designer for time and effort.
Percentage of Construction
Costs
Fee structured on the overall cost of construction.
Calculated Area Fee Fee determined by multiplying the project area, generally
in square feet (but in square meters for federal commis-
sions), by an agreed-upon cost per square foot or meter.
Typically, the larger the project becomes, the lower the
cost per square foot (or meter).
TYPES OF CONSULTANTS
Consultant ID A Responsibilities
Acoustic Engineer
Art Consultant
Color Specialist
Fire Protection Engineer
Furniture Consultant
Kitchen Consultant
Landscape Architect
Lighting Consultant
Mechanical, Electrical, and
Plumbing Engineers
Media Consultant
Signage/Waynding Consultant
Sustainability Consultant
Structural Engineer
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Project Management
Until recently, cost plus was the most widely used fee structure for residential designers. Now,
upfront. A retainer is money paid by the client to
initiate the design process. It is usually due when the contract is signed and is deducted from
No set standards exist for engaging consultants for an interior project. Hiring a consultant will
expertise is indispensable for an art gallery project. It is the designer’s responsibility to make
suggestions to the owner for hiring consultants. The chart on the opposite page lists the con-
ID = Interior Designer
A = Architect
TYPES OF CONSULTANTS
Consultant ID A Responsibilities
Acoustic Engineer
× ×
Design, detail, and specify construction
methods for acoustic criteria.
Art Consultant
×
Recommend and install artworks.
Color Specialist
× ×
Recommend and specify paint scheme.
Fire Protection Engineer
× ×
Design fire sprinkler system and provide
calculations for building officials.
Furniture Consultant
× ×
Recommend, select, and specify furniture,
fixtures, and equipment.
Kitchen Consultant
×
Design and detail a custom kitchen.
Landscape Architect
×
Design ground plane and landscape
components.
Lighting Consultant
× ×
Design and specify lighting and lighting
controls.
Mechanical, Electrical, and
Plumbing Engineers
× ×
Design and specify mechanical, electrical,
and plumbing systems.
Media Consultant
×
Design and install audio-visual systems.
Signage/Waynding Consultant
× ×
Design and specify building signage.
Sustainability Consultant
× ×
Provide recommendations for integrating sus-
tainable solutions.
Structural Engineer
× ×
Design and specify structural components of
the project.
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THE INTERIOR DESIGN REFERENCE + SPECIFICATION BOOK
concept that will be further developed as the
project progresses, and to agree on a direction
for the character and aesthetic intent of the
project.
Design Development: Most design-intensive
phase of a project, in which all design ele-
ments are developed, including the partition
a n d f u r n i t u r e l a yo u t ; w a l l , w i n d o w , o o r , a n d
c e i l i n g t r e a t m e n t s ; f u r n i s h i n g s , xt u r e s , a n d
DESIGN PHASES
Al l p r a c t i t i o n e r s m u s t a d d r e s s t h e s t a n d a r d p h a s e s o f t h e d e s i g n p r o c e s s . Th e t a b l e b e l o w
i d e n t i e s t h e d u r a t i o n a n d g o a l s f o r e a c h p h a s e o f a s m a l l - t o - m e d i u m - s i ze d i n t e r i o r d e s i g n
p r o j e c t . De p e n d i n g o n t h e c i r c u m s t a n c e s o f a p a r t i c u l a r p r o j e c t , t h e t i m e l i n e c a n v a r y g r e a t l y;
h o w e v e r , t h e p r o j e c t g o a l s s h o u l d b e a d h e r e d t o f o r e a c h d e s i g n p h a s e .
m i l l w o r k; c o l o r , n i s h e s , a n d h a r d w a r e ; a n d
l i g h t i n g , e l e c t r i c a l , a n d c o m m u n i c a t i o n s ys -
t e m s . Th e g o a l i s t o d e n e a n d g a i n a p p r o v a l
o f a l l o f t h e d e s i g n r e c o m m e n d a t i o n s .
Construction Documents:
w o r ki n g d r a w i n g s a n d s p e c i c a t i o n s t h a t
d e n e t h e a p p r o v e d r e c o m m e n d a t i o n s
f o r n o n - l o a d - b e a r i n g i n t e r i o r c o n s t r u c t i o n ,
m a t e r i a l s , n i s h e s , f u r n i s h i n g s , xt u r e s ,
Programming: Id e n t i c a t i o n , a n a l ys i s , a n d
d o c u m e n t a t i o n o f t h e c l i e n t ’s n e e d s a n d
g o a l s i n a w r i t t e n d o c u m e n t . Th i s b e c o m e s
t h e b a s i s f o r e v a l u a t i n g d e s i g n s o l u t i o n s i n
t h e s u b s e qu e n t p h a s e s .
Conceptual Design: Br a i n s t o r m i n g p h a s e o f
t h e d e s i g n p r o c e s s , w h e r e m a n y o p t i o n s
a r e c o n s i d e r e d a n d e v a l u a t e d . Th e g o a l i s
t o g a i n c l i e n t a p p r o v a l f o r a s i n g l e d e s i g n
PROJECT PHASES DEFINED
Programming Conceptual Design Design Development
2 Weeks
3 Weeks
6 Weeks
•egotiatea
c o n t r a c t .
•Developaproect
s c h e d u l e .
•Surveyand
d o c u m e n t e xi s t i n g
c o n d i t i o n s .
•Determine
d e s i g n o b j e c t i v e s
a n d s p a t i a l
r e qu i r e m e n t s .
•Documentproect
g o a l s .
•Identifyadditional
c o n s u l t a n t s t h a t
m a y b e r e qu i r e d .
• reparegraphicma terials
t o d e s c r i b e e a c h d e s i g n
c o n c e p t .
•Reviewdesignconcepts
w i t h c l i e n t .
•Identifylifesafetyan d
b u i l d i n g c o d e i s s u e s .
•valuateandselecta
d e s i g n c o n c e p t t o b e
d e v e l o p e d .
•Developtheapproveddesign
c o n c e p t .
•reparedrawingsincludingplans
r e f l e c t e d c e i l i n g p l a n s , i n t e r i o r
e l e v a t i o n s . a n d d e t a i l s .
•Developartaccessoryandgraphic
s i g n a g e p r o g r a m s .
•reparealistofmaterialsand
e qu i p m e n t f o r s p e c i f i c a t i o n .
•ngageacontractororestimatorfor
p r e l i m i n a r y p r i c i n g o f d e s i g n .
•ainapprovalofscopebasedonpricing
•reparedocuments forconstruction.
•Identifyandinterviewualifiedcontractors.
•Assistclientwithawardingcontracts.
•reparespecifications.
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