An Analysis On The Principal-Agent Of Project Manager In The Building Construction Enterprises

The profits of the building construction enterprises come from the engineering project they undertake. The principal part of the construction project management is the Projiect Administrative Department in which the project manager is the core, therefore, how to choose a qualified project manager becomes an extremely important issue in project management. This essay introduces and analyze the related theories on Managements, Project Management and Information Economics etc. Then it makes a thorough analysis on construction project management and its key issue—engaging project manager, in particular using moral hazard and adverse selection of the theory of principal—agent, and puts forward concerning strategy.Finally, proffesional managements' human hypothesis and needing status are under analysis and come the essay's viewpoint: Establish an incentive and binding system based on the market competitive mechanism within the enterprise (i. e. the system of the internal enterprise project management) ;employ qualified project managers in the enterprise according to the bidding; fully practise the system of project managers' resposibility for the project and enforce their power; establish enterprise internal management mechanism and hence the management and the administration system based on the management of construction project ;establish and better modern enterprise system to adjust to market rules to improve enterprise management level constantly, strengthen market competitivenes and improve enterprise economic and sosial benefit.