Different delivery models have existed for many years and Current Builders has participated in all of the delivery methods however the industry is moving away from the traditional Design-Bid-Build to a delivery process of more collaboration between stakeholders. We support this move.
- Traditional Design-Bid-Build
The traditional design-bid-build system remains the most popular delivery method by Owners for construction projects because the system offers the advantage of being widely applicable, well understood, and with well-established and clearly defined roles for the parties involved. However, many construction Owners have experienced a variety of frustrations using this system, leading to the development of other methods.
Among the chief disadvantages of the traditional system are:
- The process is time-consuming since all design work must be completed prior to solicitation of the construction contract.
- The designer may have limited ability to assess scheduling and cost ramifications as the design is developed.
- The Owner generally faces exposure to contractor claims over design and constructability issues.
- The traditional approach tends to promote more adversarial relationships.
- The contractor pursues a least-cost approach to completing the project, requiring increasedoversight and quality review by the Owner.
- The absence of a contractor's input into the project design will limit the effectiveness and constructability of the design and its final costs.
What the Owner should really be seeking is a best value contract, not necessarily the lowest initial cost. Through a careful negotiation or contractor evaluation, the Owner can maintain the maximum amount of control over the resulting construction portion of the project and maintain cost control. Two alternative methods include Design-Assist and At-Risk Construction Management.
- Design-Assist/ At-Risk Construction Management
Many of our clients prefer early contractor/subcontractor involvement through either a CM@Risk or Design-Assist, both with a Guaranteed Maximum Price (GMP). The advantages to these delivery methods include:
- The opportunity to begin construction prior to completion of the design with earlier GMP.
- Collaboration between the Owner and Contractor to select subcontractors on a best value basis.
- Minimize exposure to contractor claims over design and constructability issues.
- Early team building between stakeholders strengthens relationships.
- Allows early Building Information Modeling to take place enhancing the constructability of the project and advancing coordination issues, thus reducing cost and time.
