by Russell Boniface
Associate Editor

Summary: Jim Sawyer, AIA, speaks to AIArchitect Contributing Editor Michael J. Crosbie, AIA, about what an architecture firm needs for a successful financial project plan in the current economic climate.

In this podcast, “Project Finance for Principals and Project Managers,” presented by the AIA Practice Management Knowledge Community, Jim Sawyer talks about how to make a financial plan work. He says that every project plan needs to clearly define these five elements: a project description, including size, how it will be constructed, the floor area, and schematics; the services to be provided; the project team; the project schedule; and fees and cost.

The key to carrying out a successful project plan, he says, is defining and communicating these five elements, then monitoring the plan. The plan should follow seven business objectives: production, innovation, human resources, marketing, facilities objectives, public responsibility, and profit.

Financial management works when there is effective communication, Sawyer says. Look at the point of view of the client. All involved should be working in the same direction, working toward similar goals, and have a clear alignment as to everyone’s interest in the project. Strategies such as the AIA’s 2030 Challenge of carbon neutral buildings can still yield profits if built into a firm’s plan as an objective.