COST ESTABLISHMENT TIMELINE OF CONSTRUCTION DELIVERY METHODS |
CONSTRUCTION DELIVERY METHODS |
DESIGN-BUILD
Design and construction services are contracted between the Owner and a single entity.
BENEFITS:
- The Owner has a high level of trust with the Design-Builder
- Design-Builder serves as the single point of contact for project responsibilities to the Owner throughout design and construction
- Decreased project delivery timeline; “Fast-Track” delivery is an option
- Cost is established in the early development stages
- Cost feedback is provided throughout the entire design and construction process which allows for the best cost/benefit decisions to be made
- Collaboration between the Owner and Design-Builder begins on day 1, minimizing change orders
- The Owner and Design-Builder share project risk
- Controlled competitive subcontractor bid process, leading to improved quality
- Opportunity for cost savings sharing
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DESIGN-ASSIST/CMAR
Contractor is hired by the Owner early in the design phase to collaborate with the Architect and provide pre-construction services.
BENEFITS:
- Cost is established in the early development stages
- Cost feedback is provided throughout the entire design and construction process which allows for the best cost/benefit decisions to be made
- RFI’s are vetted during design phase leading to fewer change orders
- Shortened project delivery timeline; “Fast-Track” delivery is an option
- Opportunity for sharing of cost savings
- Competitive subcontractor bid process, leading to improved quality
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GENERAL CONTRACTOR (DESIGN-BID-BUILD)
General Contractor is employed by the Owner to perform construction work only. The Owner hires the design and pre-construction work through third parties separately.
BENEFITS:
- Increased competition on initial bid pricing
- May allow more construction firms to bid that don’t have Design-Build or Design-Assist /CMAR qualifications, capabilities or experience
- Traditional and familiar project delivery process with defined roles and responsibilities
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CONCERNS |
DESIGN-BUILD
- Owner to establish detailed Design-Builder criteria
- Third party checks and balances
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DESIGN-ASSIST/CMAR
- Design team may not incorporate input from the CM into design
- Greater potential for limited price competition
- The Owner becomes the resolution agent and becomes responsible for design documents and construction conflicts
- Selection of the CMAR needs to be involved early in design phase to be effective
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GENERAL CONTRACTOR (DESIGN-BID-BUILD)
- Longest project delivery timeline; no “Fast-Track” delivery option
- Project cost established late in the project development timeline
- Little or no builder collaboration or input during project design
- Creates “low bid” mentality which can impact quality
- RFI’s are vetted during construction which could lead to more change orders
- The Owner assumes the majority of project risk
- Low bidder may not understand the Owner’s project goals, objectives and criteria
- Cost savings sharing is not available
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CONSTRUCTION DELIVERY METHODS