|
Criterion
|
Traditional Design-Bid-Build
(Competitive Hard Bid)
|
|
| Design/Construction Delivering
Methods |
|
 |
| Construction Contracts Held
By: |
General Contractor.
Owner may hold some prime contracts. |
Selmer/Architect
Team |
| Who Provides GMP and When |
No guarantee
of maximum cost. Initial cost is in the form of a lump-sum
bid. |
Selmer TeamSM
Design-Build Entity typically provides Guaranteed Maximum
Price (GMP) during design phase. |
| Cost Management |
Lowest upfront
cost, but high potential for expensive change orders to
occur if bid documents are incomplete or inaccurate. |
Low overall
project cost. Provides opportunity to manage costs starting
early in design phase. |
| Savings to Contract Accrue
to |
100% to General
Contractor and Sub Contractors. |
100% to owner
or shared. |
| Potential for Cost Savings |
Based on
market conditions and accuracy of drawings. |
Greater due
to involvement during design (minimum 10% savings). |
| Management Report Systems |
Limited focus
on construction activities only. Lump sum cost accounting
methods utilized. |
Typically
open book process. |
| Communication Tools and
Capabilities |
Limited,
most contractors will not provide under lump sum approach. |
Systems should
be in place for communication with project team. Most
have the ability to develop Internet/web-based communication
systems. |
|
Risk Absorption
|
Owner is
exposed to highest risk of cost overruns and schedule
delays. |
Design/Build
entity is responsible for overall design, schedule and
cost. |
| Ability to Work Within Owner's
System |
High Owner
staff time involvement required. |
Least impact
on Owner's staff. Owner's systems can be incorporated
as needed and Owner has involvement throughout entire
process. |
| Project Schedule Management |
Owner has
responsibility with limited control of actual project
schedule. |
Provides
best opportunity to fast track project resulting in earlier
completion. |
| Team Work Potential |
Little teamwork
between architect, owner and contractor. |
Complete
team collaboration. |
| Value Engineering &
Constructability |
Contractor
has little or no input into design and engineering. Changes
are usually expensive to implement and will extend schedule. |
Value engineering
and constructability reviews are used during design phase
to reduce risk and costs. Changes are faster and easier
to implement. |
