ARE 5.0: PcM case studies
ARE 5.0: PcM · Put your knowledge to work in context.
Practice Management (PcM) is one of the six divisions of the Architect Registration Examination, the ARE 5.0, which NCARB administers as part of the path to architectural licensure. The other divisions follow a project through management, programming and analysis, planning and design, development and documentation, and construction and evaluation. PcM instead looks at the practice that takes on the project: how a firm organizes itself, finds and wins work, prices and contracts for services, controls its finances and its exposure to risk, and keeps its client and regulatory relationships sound. Candidates usually meet this material on the job long before they meet it on an exam, which is why it rewards structured study. The ARE 5.0: PcM case studies are 5 cases and about 2,805 words.
1The Seal Across State Lines
Your nine-person firm is based in State A and has been asked by a national retail client to design a 40,000 sf tenant fit-out in State B. The fee is $310,000 and the schedule is 14 weeks.
576 words, about 3 min2The Break-Even Multiplier
Your firm has net fee revenue of 1,800,000. Direct labor is 720,000; indirect labor is 360,000; non-labor overhead is 270,000.
557 words, about 3 min3The 120-Hour Proposal
Your 12-person firm has 1.6 million in net revenue and spends 64,000 a year on business development. A university issues an RFQ for a 450,000 fee library renovation.
556 words, about 3 min4Fast-Track and the Skipped Review
Your 18-person firm has a 1.35 million fee for a 28 million mixed-use project delivered fast-track. Construction documents are issued in six packages.
578 words, about 3 min5The Indemnity Clause and the Condo
Your firm is negotiating a 385,000 fee for a 14-month, 4.5 million condominium renovation. The client’s 60-page agreement requires the firm to indemnify the owner and its lender for “any and all claims arising from or relating to the project,” name both as additional insureds on the firm’s general liability and professional liability policies, waive subrogation, and accept liquidated damages of 2,500 per day for late delivery of drawings.
538 words, about 3 min