CVLE466-Construction Project
Management
Chp:2
Project Delivery methods
A. History of Constructed Projects:
B. The need for an Organizational Structure:
C. Project Delivery Methods
• A construction project delivery method is a system used by agency or
owner for organizing the design , construction, operation, or maintenance
of a project by entering into legal agreements with one or more entities or
parties.
Design-
Bid-Build
Project
CM at risk Delivery Design-Build
methods
CM at Fee
D. Design Bid-Build Delivery method
Dr.Nour Wehbi (
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Video: don’t forget to take notes
Design –Bid- Build
• Most traditional method and common used method in US
• Owner contracts with separate entities for the design and
construction of a project
• General Contractor is selected through aggressive and open
competition
• Project’s scope and cost are fully defined before construction
starts.
• May have multiple contractors
Advantages of Design –Bid- Build
• The design team is impartial and looks for the interest of the
owner.
• Simple contractual relationships—architect and contractor each
have their own contract with the owner
• Assists the owner in establishing reasonable prices of the
project by seeing several offers.
• Can result in the lowest total construction cost due to the
widest-open field of bidding competition.
• Uses competition in the selection of both the
architecture/designer and the contractor to improve the
efficiency and quality of the project.
Drawbacks of Design –Bid- Build
• Longest delivery method
• DBB with separate prime contracts generally lacks project
leadership and coordination
• For a public client, it may be difficult to choose anyone but the
low bidder (who may not be the most qualified or desirable)
• Construction cost is not known (other than architect’s estimate)
until bids are received
Dr.Nour Wehbi (
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Lect 3
E. Design- Build Project Delivery method:
• Design-build is a construction project delivery method where the designer
and builder work together under a single contract from the beginning of the
project in order to ensure unity and collaboration throughout the process
Dr.Nour Wehbi (
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Dr.Nour Wehbi (
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Shorter timeline
Design and execution phases run in parallel
Modifications solved immediately
Advantages of Design - Build
• Requires minimal time commitment from the owner throughout the
process.
• Minimizes owner's involvement in any conflicts between contractor
and design team
• Instant Communications: Efficient communications speeds up the
construction process and thus improves the project timeline.
• Teamwork: the design-build team work together with the owner to
achieve a successful project that meets the expectations of the
owner. enhanced efficiency
• Construction schedule is planned more effectively because the
contractor knows the skill level of his construction professionals.
Advantages of Design - Build
• The design-build team has strong incentive to reduce the
number of design changes through the project the owner
saves money!.
• Industries that require highly customized structures are better
using the design-build method; the owner and the design and
construction teams work closely to build customized structures.
• Conflict resolution is the responsibility of the design-build
entity.
Drawbacks of Design - Build
• Higher Prices: With no bidding process, the owner does not
have the ability to select their own price. As a result, the prices
tend to be higher.
• Creativity: Many design-build companies have stock designs
that they use and then tweak to fit the project owner’s
requests. While this is not true of all design-builders, the
likelihood of not getting a personalized design is much higher
when considering integrated project delivery.
• Less Involvement: the project owner will be less involved with
the project than they would be with traditional project delivery.
Dr.Nour Wehbi (
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F. Construction Management - Agency:
F. Construction Management - Agency:
• The owner hires both the designer and the construction
manager based on qualifications, experience, and not
only cost.
• The owner works with the designer & CM during design
phase to:
1. put plan for the project together
2. produce budget estimates
Less change of orders during the road
• The owner then hires the sub contractors for excution
while the CM acts as consultant.
• The owner controls: budget, subcontractors, and
schedule owner also hold the risk!
G. Construction management at risk:
• Similarities to CMA:
1. CM and designer are chosen by the owner based on
qualifications.
2. Collaborative team approach between the owner, designer, and
CM during design/ preconstruction phase.
• Differences compared to CMA:
1. The CM holds the subcontractors less work of owner and better
quality control and schedule.
2. Before the design phase is complete, the CM estimates the
construction cost and provides a Guaranteed Maximum Price (GMP)
to the owner. If the project exceeds the GMP, the CM’s company will
be financially responsible, putting the CM “at risk.”
Dr.Nour Wehbi (
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Dr.Nour Wehbi (
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