Traditional or Design-Bid-Build
Doubtless, one of the most universally used procurement system well fit for a large clientele, although the client is inexperienced and may be an occasional customer with more complex projects giving out a more predictable view in the cases where projects core functionality is a prime concern and targeted objective with time and cost predictability and certainty respectively.
Whereas, it is not appropriate and well recommended for immediate projects where the detailed instructions, brief and budget with a team of consultants appointed by the client for design processing with the help of giving out tender documents, is mentioned by the client as it’s the similar way adopted by the trust body in the case of constructing a concert hall. The client himself appoints the construction contractor for the whole thing to be designed, meeting the deliverables on the agreement accomplishment time decided upon a mutual pricing with maximized quality levels to be attained.
It is notified that all this work usually gets subcontracted to expert professionals of the industry but the accountability still falls on contractor’s shoulders. While the administration of the contractor is supervised by the consultants on clients’ behalf giving advice on the fields related to designing, progress reporting and
Need essay sample on "Traditional or Design-Bid-Build"? We will write a custom essay sample specifically for you for only $13.90/page
While in the case if the design phase is on quick and instant basis exposure to risk will be increased meeting the projects’ deliverables of timely implementation and execution of concert hall however, risk of exposure will be increased when difficult timely targets have to be achieved in the case of incomplete tender documents. If we suggest refinement to this method there would be an involvement of two stages tender where contractors do everything with the help of on a moderately developed consultant’s designed project phases (stage 1).
The service provider will then be further assisting in developing the finalized forms of the designs analyzed and several tender documents serving as the foundation of tenders’ preparation for the construction works (stage2). It will be all based on the first come and first serve basis with your negotiation power recognized at the most. This forward move has tend to show the growth in the risks of an increment in an overall pricing strategies with no certain and authentic accomplishment of deliverables on exact date but service provider’s participation is likely to improve the probability for rating both of these discussed options.
The contractor whatever contracts does it on the tenders basis following an initiated consultants formulated concept design for advising purposes while, the work needs to be completed for a fixed price. Also in the case of constructing a concert hall and looking from the contractor’s perspective tendering is bit more expensive and more risky rather than doing it in a traditional manner but tender lists especially in this case will be relatively much shorter than signing a long list of traditional contracts.
Here the involvement of the contractor in procuring goods and services involves a greater aspect of responsibility for designing as well as constructing procedures in process. Such that they must be suitable for all clients no matter although they are not highly experienced and need some proper justification for being notified as well known ones from the project. Not only this, these charges could vary and are certain and working conditions for speedy project completions also comes in that case.
While, in a real scenario it is not fit for a vague development of a customer brief with no specifications and making structure of complex buildings through that way. Design-Build Approach: This approach gives the point of having a single contact in between where the commitment needs to be done for the construction and the designing cost in very early timings of signing any agreement in between the two as compared to the traditional approach. While the contractor faces a more strong form of risk which could be tackled by having liability insurance of your designing whatever you have done.
In case of any changes done by the client during the designing process could be very expensive as affecting directly on the whole life of this approach and not only on just design team is facing it. Here we will be further dealing with the variations in this approach and first one is the ‘Develop and Construct’, where in the case of concert hall the trust body will by themselves be giving the stage design to contractor and who will be just doing some finishing work to the design and construction provided whereas he original designers from the trust may be re-employed to further work on the design.
Another one is the ‘Package Deal’ – which deals in a way such that the service provider will be providing a prototype of the building doing it in an off-the-shelf way by giving a modular building to the trust with a modular type outlook for dealing with case of adjustment if there is any. But this does not seem to be a very good strategy to be followed for procurement of construction or establishment of trust based concert hall because it contains several and several technicalities issues with complex structure outfit.
Management Contracting: This is the best suit for speedy projects, constructing intensely structure based projects of complex buildings while it is not appropriate for the customers who are not experienced for the risky factors like price charging and its fluctuations on an uncertain basis before starting down the line with construction steps on the project and customers who generally want to bypass the risky factors prevailing in the situations falling around and have to settled at the contractor’s end.
When the customer hires a contractor and a designer independently will definitely be charging a good amount of fees from them for their management services. The work may be let to done by other subcontractors and specialists getting good working packages. This seems that this working is based on just in time approach working with the design and tender packages those suitable for the construction program in action of establishing a concert hall which is relatively not an accurate strategy for this specific project because this reveals a one time complex project and not a continuous ongoing process.
Here the management contractor is preserved with self-determination and strengthens a consultancy advisory affiliation with the client pricing it all on the basis of the actual charges occurred to the project targeted objectives in addition the mutually decided payment as well. All of this accomplishment is solely dependent on how well groomed contractor’s team is but this usually not the case because whatever is analyzed is basically realized after the project completion on its successive factors.
However there must be some specifications and adjustments needed for keeping the cost aligned into budgeted cost of the work packages. Hence the entire design and construction process in this approach seems very short of life as compared to either of the above discussed approaches in the prevailing circumstances. Construction Management: It is the thought of formulating procurement strategies on the same conceptual grounds as of in the management contracting.
Here the contract agreement is signed directly with the client managed by the construction manager requiring a consultancy fees. Although it requires client’s involvement on constant pace so it’s the best recommended and suitable option for experienced clients. Greatest attention desirables: Moving ahead for the actual implementation and execution of the strategies designed here out of different set of options and procurement methods available relative to the procurement needed for the project completion of constructing a concert hall for our client, the trustee body.
No doubt whole of the performance is dependent on the workings of a project team, such that each of the team member selected is devoted and keen towards his or her work. It’s a fact that all team members hired for the significant concert hall construction will be the best ones being notified as per their reputation, tracking their record behavior, their working capabilities and assessment of how big project they could be assigned to.
There are no limitations if client feels to have a consultation advice ion selecting the team members who will be devoting their highest potential capabilities to the project while evaluating tender packages (CE: Construction Excellence 2004). After the selection of project team the progress is evaluated through project designing and crafting documents to illustrate the actual picture, analyzing the planning part and defined principles that are necessary for the accomplishment of assigned responsibilities.
While it should be ensured by the project director of the specified concert hall construction that all deliverables are meeting on accurate timings; whether the matter of land or preparing a strategic brief for following the instructions given on consistent pace, internal decision-making system for avoiding design delays is in its working and ultimately an authentic source of funding for payments is in place.
While in the end, post evaluation of assessment is the most necessary thing to get to know whether the stakeholders involved are actually benefiting from the strategies suggested and selected to get into action for getting the real picture of the concert hall ultimately. This would be analyzed from the learning experiences of the project team members seeing that the objectives are properly and accurately met or not. Conclusion: Doubtless evaluation is very necessary for the assessment of the mechanism we had developed initially to accomplish this project.
Evaluation factors should be such that relating particularly to aspects that will determine the value in terms of whole life cost and benefits. The approached mechanism of yours should be helping the procurement teams enriching them with decision making ability to suggest an appropriate procurement route and the way to reach the desired targeted objectives. That procurement route should be delivering the highest of the value but still there would be a need for an expert professional advice, to decide upon the available information, from a reputable consultant.
References: Anonymous, Construction Procurement strategies. Isurv, viewed on 25th March 2010, retrieved from www. isurvlive. co. uk/site/scripts/documents. aspx? categoryID=65. Anonymous, 2009, Global Construction Industry Outlook to 2010: Buyer Spend and Procurement Strategies and the Impact of Recession, pgs. 114. Global Markets Direct. Mossman, A. 2009, Why isn’t the UK construction industry going lean with gusto? , viewed on 25th March 2010, retrieved from www. leanconstruction. org/lcj/2009/LCJ_08_010. pdf CBP, 2002-03.
Construction Eye, Construction Best Practices, retrieved from www. constructingexcellence. eu/newsletters/constructioneye/winter_2002. pdf CCG, Questions and Answers Directory of Information, viewed on 25th March 2010, retrieved from www. constructingexcellence. org. uk/pdf/ccg_info_sheet_2v2. C. E. , 2004. Agreement Announced between Constructing Excellence and Construction Skills, Enews November 2004, retrieved from http://constructingexcellence. net/newsletters/enews/2004/11_2004. html. Chan A. P. C. , 2006. Partnering for construction excellence—A reality or myth?
. The Hong Kong Polytechnic University, 14th June 2005; retrieved from linkinghub. elsevier. com/retrieve/pii/S0360132305002593 Gravesham, 2001. Procurement Strategy, viewed on 25th March 2010, retrieved from www. gravesham. gov. uk/index. cfm? articleid=2763. OGC, AE6 – Procurement and contract strategies, viewed on 25th March 2010, retrieved from www. ogc. gov. uk/documents/CP0066AEGuide6. Walker, D. and Hampson, K. 2002, Procurement Strategies: A Relationship-based Approach, pgs320, December 2002. Wiley-Blackwell.