Design bid build--as a project delivery method

Design,Bid,BuildWhyThisMethodofProjectDelivery?Group3MichaelCascioAngelaCavaliereShaoyingChenZhaoChenMichaelConsoliAgenda•Introduction•AdvantagesofDBB•DisadvantagesofDBB•TheChoosingofDeliveryMethodinAirportProject•TrendsandConclusionsWhatisit?•“TraditionalMethod”•OwnercontractswithseparateentitiesforboththedesignandconstructionofaprojectPhasesofDesign-Bid-Build•Designphase•BiddingPhase•ConstructionPhaseDesignPhase•Ownerselectsarchitectureorengineeringfirmtodesignandproducedocuments•Designfirmwillworkcloselywithowner–Identifyingownersneeds•Conceptualdesignisproduced•Engineerswillcompletedocuments–I.E.Mechanical,electrical,structuralengineersBidPhase•Twotypes–Open:Anyqualifiedbiddermayparticipate–Select:Pre-selectedcontractorsareinvitedtobid•Biddinggeneralcontractorsgaincopiesofcontractdocuments–G.C.sendsoutportionsofthedocumentstosubcontractorsforbidsonsub-components•I.E.Concretework,structuralsteelframe.BidPhase•G.C.thencompilesallbidsintoatenderpriceforsubmission.•Architectreviewsbids/seeksclarification•OwnerandArchitectdiscussessuitabilityofvariousbiddersandtheirproposals•OwnerisnotforcedtoselectlowestbidunlessprojectispublicConstructionPhase•Startsafterprojectisawarded•Approvals/permitsareobtained•Architectactsasownersagent–Reviewprogress–Changeorders–RequestsforinformationAdvantagestotheOwner•Earlycostcommitmentgivesownerprojectcostsecurity.–Contractorsbidcompetitively,basedoncompletedesigndocumentstomaximizethebuiltproductfortheprice.•Designchangeseasilyaccommodatedpriortostartofconstruction.•Designandconstructionrolesareclearlydefined,andresponsibilitiesandliabilitiesclear.•Improvesdecisionmakingbytheownerbyprovidingarangeofpotentialoptions.AdvantagestotheContractor•Ensuresfairnesstopotentialbidders•Designiscompletepriortoconstructionaward•Constructioncostisfixedatcontractaward•Relativeeaseofimplementation•ContractorcanimplementValueEngineeringAdvantagesDuringConstruction•Architectstillactsasagentprotectingowner’sinterestandarchitect’searlyinvolvementwithowneraddressesbuildingqualityandfunction.•Contractorcanreduceowner’sburden•DesignIntegrityDesign-Bid-BuildDisadvantages•Increasedtime•Lesscontroloverbudgetaryprocess•Notflexible–owneratriskofdesignerrorsDisadvantages(con’t)•Constructioncostunknownuntilcontractaward•Lowbidderdoesn’talwaysresultinlowestcost•Higherlevelofinspection/testingbytheagency•Constructabilitychallenges•LowerqualityDBBvs.OtherDeliveryMethodsRiskAnalysisDBBvs.OtherDeliveryMethodsScheduleComparisonDBBvs.OtherDeliveryMethodsDBBvs.OtherDeliveryMethodsDistinguishingCharacteristicsofAirportProjects•WideRangeinSize,Scope,andCost•Security•ConstructionDuringAirportOperation•ComplexityofAirportProjects•DifferentStakeholders•TypeofFunding•Revenue-GeneratingProjectsAnalyticalDeliveryDecisionApproach1.CreateProjectDescription2.DefineProjectGoals3.ReviewGo/No-GoDecisionPoints4.ReviewProjectDeliveryMethodAdvantagesandDisadvantages5.ChoosetheMostAppropriateProjectDeliveryMethod6.DocumentResultsIntegratedProjectDeliveryDefinitionIPDisaprojectdeliveryapproachthatintegratespeople,systems,businessstructuresandpracticesintoaprocessthatcollaborativelyharnessesthetalentsandinsightsofallparticipantstoOPTIMIZEprojectresults,increasevaluetotheowner,reducewasteandmaximizeefficiencythroughallphasesofdesign,fabricationandconstruction.IntegratedProjectDeliveryTheFundamentalsofIPD•Asharedrisk&sharedrewardcontracts•Amanagementcommittee•Anincentivepool•Ano-blameworkingenvironment•Technology•Collaborationsoftware•Leanconstruction•IntegratedleadershipConclusionsDBBisatraditionaldeliverymethodwhichisprevailingforsuchalongtime.ProsandConsexistconcurrentlyinDBB.Acompleteandcomprehensiveanalysisshouldbedonebeforeselectingadeliverymethod.Furthermore,therearesomeothermethodscanbetakenasdelivery.Thanks!Comments&Questions?