Traditionally, the primary if not sole benefit of IDIQ contracting and project delivery has been reducing the time from planning to construction. With the availability of LEAN integrated IDIQ procurement and project delivery solutions, benefits including the consistent completion of quality projects on-time and on-budget and in full compliance.
Indefinite Delivery/Indefinite Quantity (IDIQ) is a form of procurement. A type type of contract that enables the procurement of an indefinite quantity of supplies and/or services whose performance and delivery scheduling is determined by placing Work Orders. When associated with construction, one or more awarded construction contractors may be involved. Job Order Contracting (JOC) is one of several types of IDIQ contracting frameworks. Furthermore, JOC can be tailored to meet organizational and performance requirements, with LEAN JOC providing the most advantageous outcomes for all participants and stakeholders. Similarly there are alternative forms of LEAN IDIQ and LEAN integrated project delivery (IPD).
LEAN IDIQ and LEAN JOC can be used for repair, renovation, maintenance, and new construction. Used properly, both eliminate the need to complete a full traditional procurement cycle for each new project. That said, there are multiple phases and check and balances to assure best value, financially transparent and compliant outcomes.
The following characteristics and components are shared by LEAN IDIQ, LEAN JOC, and Integrated Project Delivery.
- Focus upon best value outcomes for all participants and stakeholders
- Mandatory early and ongoing collaboration
- Best value procurement
- Integrated planning, procurement, and project delivery environment
- Common data environment, including a locally researched detailed unit price book (UPB)
- Written operations manual or execution guide as part of the multi-party agreement defining roles, responsibilities, outcomes, work flows, etc.
- Mutual trust/respect
- Shared risk/reward
- Performance-based reward system
- Longer-term relationships
- Life-cycle cost goal versus first cost consideration only
- Enabling technology
Via Four BT, LLC (www.4bt.us) the AEC industry’s innovative integrated project delivery, construction cost data, and SAAS technology provider. providing powerful, proven solutions for efficient project planning, procurement, and execution.
We help guide organizations to achieve accelerated improvement of their facilities repair, renovation, and construction outcomes through the development of a culture and client-specific program centered upon delivering customer value, and driven by proven LEAN processes, actionable data, enabling cloud technology, and ongoing training.
Contact us to learn…
· What types of construction and maintenance projects are best suited for each of the different IDIQ award procedures?
· What are the time, cost, and risk implications associated with each of the IDIQ procedures?
· What are the advantages and disadvantages of each of the different IDIQ procedures?