Alternative Construction Delivery Methods provide significant benefits to traditional Design/Bid/Build, and are the first step toward change management and improved construction outcomes. Here is a quick look at the top five alternative construction delivery methods.
Top 5 Alternative Construction Delivery Methods
5. Construction Manager at Risk – CM@R
Construction Manager at Risk, CMAR/CM@R has its beginnnings in the early 1970’s.
CMAR inovlves contractors is in the design process, but without design liability intended. CMAR is priced in two phases, pre-construction service fees and guaranteed maximum price (GMP) execution.
Generally CMAR workflow includes design review, attendance at design meetings, periodic estimates of cost, periodic schedule for construction development, assistance with regulatory requirements and/or LEED requirements, and assistance with site logistics and planning.
4. Design Build -DB
The design-build, DB, construction delivery method, is structure to make a single entity, generally the construction contractor, responsible for design and construction. While some feel that DB enables faster project delivery, owners may feel left out of the design process. This may limit collaboration and flexibility in the ex and do not like the lack of flexibility in influencing the design as it progresses. Issue during the early phase of any project can lead to less than optimal outcomes.
3. Job Order Contracting – JOC
Job Order Contracting (JOC) is a collaborative LEAN consturction delivery method specifically for renovation, repair, and minor new construction. The contractor bids projects using a unit price book, UPB, that defined specific tasks. As ther is no definite number of projects or value of orders to be delivered and no definite quantity of work that will be done, Federal Acquisition Regulationsm refer to this type of delivery method a form of as IDIQ (Indefinite Delivery, Indefinite Quantity) contract.
2. Integrated Project Delivery – IPD
IPD, like JOC, is a LEAN collaborative construction delivery with a focus upon collaboration, transparency, and shared risk/reward among project participants. IPD, however, is generally used only for larger new construction projects due to the cost of initial set up.
1. Public Private Partnerships – PPP
PPPs generally uses one or more of the above construction delivery methods with some unique additional structures. The core benefit of PPP is a method for public entities to obtain some degree of construction financing from the private sector. Projects are typically very large in complexity and dollar value, such as bridges, highways, and energy sector.
Owner leadership and competency are requirements for the implementation of any of the above Alternative Construction Delivery Methods.
Alternative Construction Delivery Methods Glossary:
Minor Construction Project – A single undertaking at a building or other form of physical infrastructure that includes all construction necessary to renovate or repair an existing facility, or to construct a new structure of a specified type, size, and level of construction.
Alteration – Construction work required to adjust interior arrangements, or other physical characteristics of an existing building or physical structure that it will be make enable it to more effectively be used for a designated purpose.
Maintenance and Repair – Construction work that corrects failed or failing component of a physical structure.