Professional Practice Architecture Practice Test

If the Owner continuously makes changes, what compensation method is suggested for the Architect?

1. Cost Method

2. Lump Sum

3. Percentage of Construction Cost

4. Hourly Rate

The correct answer is: Percentage of Construction Cost

When the Owner continuously makes changes to a project, using a compensation method based on a percentage of the construction cost is advisable. This approach allows for flexibility to accommodate modifications that may alter the scope and complexity of the work. By basing compensation on a percentage, the Architect can account for changes in workload and resources that arise from the Owner's ongoing revisions. This method aligns the Architect's interests with the project's success, as it directly ties their compensation to the overall cost of the construction. If the cost increases due to changes, the Architect's compensation also increases, reflecting the additional value they provide in managing and adapting to those changes. Adopting this method can foster a collaborative relationship between the Owner and the Architect, as it encourages continuous engagement and responsiveness to the evolving project needs. This is particularly effective in dynamic environments where project specifications and requirements are not static. Ensuring that the Architect is fairly compensated for the additional effort involved in managing changes helps maintain project momentum and quality.