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CHANGING PROJECT DELIVERY SYSTEMS CHANGING PROJECT DELIVERY SYSTEMS DR. Nabil Dmaidi DELIVERY SYSTEMS DELIVERY SYSTEMS by Nabil Dmaidi Civil Engineering Department An-Najah National university

Transcript of by Nabil Dmaidi Civil Engineering Department · Nabil Dmaidi Total Project Cost $ 825,000 General...

Page 1: by Nabil Dmaidi Civil Engineering Department · Nabil Dmaidi Total Project Cost $ 825,000 General Contractor 2 $ 845,000 General Contractor 1 $ 840,000 Saves $15,000 Bid Pkg 4 $ 320,000

CHANGING PROJECTDELIVERY SYSTEMSCHANGING PROJECTDELIVERY SYSTEMS

DR. Nabil Dmaidi

DELIVERY SYSTEMSDELIVERY SYSTEMS

by

Nabil Dmaidi

Civil Engineering Department

An-Najah National university

Page 2: by Nabil Dmaidi Civil Engineering Department · Nabil Dmaidi Total Project Cost $ 825,000 General Contractor 2 $ 845,000 General Contractor 1 $ 840,000 Saves $15,000 Bid Pkg 4 $ 320,000

Traditional Method (Design_then _Build)Traditional Method (Design_then _Build)

Also known as Design_Bid_Build or hard money or Competitive bid contract.

Has three sequential phases

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Design - Bid - Construction

Design Phase Bid/Award Construction Phase

Architect-Engineer hired

Single Construction Contract

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Traditional Organization of Construction

FeasibilityEngineering and design Contract

Industry participation

bidding

Contractor

Use of facility

Specialistand

consultants

A/E general supervision

A/E design consultant

Build the project on paper

Owner user

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Project

approval

and selection

of A/E

Call

for bidsBid

acceptance

and notice to

proceed

Project

completion

and acceptance

Feasibility and design Contract bidding

documents Planning, engineering, and management

Construction Use of facility

In-house and

consulting services

Contract design and supervision

Single bid package

Contract construction

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Traditional OrganizationTraditional Organization

Owner

A/E

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A/E

General Contractor

SubContractor

SubContractor

SubContractor

SubContractor

SubContractor

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Estimating Needs for Design-Bid-BuildEstimating Needs for Design-Bid-Build

Complete set of drawings

Specification

Other contract documents

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Other contract documents

– General conditions

– Special conditions

– Addenda

Others (soil report)

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Hierarchy of Contract Document

Addenda

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Specification

Drawing

General Conditions

Special Conditions

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Single Source DeliverySingle Source Delivery1. Design Build

2.Space Engineer/Procure/Construct (EPC)

– EPC model#1 (Pure CM, Construction

Management)

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Management)

– EPC model#2 (General Contractor

acting as construction manager)

– EPC model#3 (A/E acting as CM)

– EPC model #4 (CM acting as Contractor)

3.Others

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Fast Track or Phased Construction MethodFast Track or Phased Construction Method

Concepts Working Drawing

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Design Phase

Construction PhaseCM and A/EorDB hired

Variable separate construction contracts

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Level of InfluenceLevel of InfluenceIn

flue

nce

Pro

ject

Cos

t

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Infl

uenc

e

Pro

ject

Cos

t

Time

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1. Design Build1. Design BuildOwner

EngineerContractor

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Design

Sub-Contractor

Contractor

GeneralContractor

OwnForce Work

Single firm responsible for both design and construction.

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Form of Design_Build OrganizationForm of Design_Build Organization

Owner Owner Owner Owner

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Design-Builder(Architect/Engineer)

Contractor

Design-Builder(Contractor)

Architect/Engineer

Design-Builder(Joint Venture)

Design-Builder(DB Firm)

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Advantages of Design & Build for OwnersAdvantages of Design & Build for Owners Owner only has to communicate with one entity for the entire

project

Total project duration can be reduced because phased construction is easier to implement.(Fast tracking)

Integration of construction planning and design phases

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Integration of construction planning and design phases

Claims reduction (reduction of adversary relationships)

Innovation in design and construction can be encouraged

Risk assigned to party best able to manage that risk

Reduce change orders

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Disadvantages of DB for OwnersDisadvantages of DB for Owners Fewer checks and balances, owner must

rely on integrity of the design-build firm

Reduced owner involvement in the design

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Reduced owner involvement in the design process may result in less than expected results

All your eggs in one basket

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Advantages to a design-build organizationAdvantages to a design-build organization

Improved constructibility through design/construction integration

A specialized organization can be developed that has a specific expertise which will be attractive to specific market areas

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market areas

Reduction of negligence claims between the Architect/Engineer and the construction contractor since they are under one umbrella firm

Ability to react rapidly to change in scope

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Disadvantages for the design-build firmDisadvantages for the design-build firm

Acceptance of additional project risk

Possible premature release of bid packages (when using fast track) which can lead to increased errors

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using fast track) which can lead to increased errors in the plans and extras

Scope of work changes can be difficult to identify under DB/ fast track construction

Heavy overhead due to large multi-disciplined staff requirements

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2. Engineer/Procure/Construct (EPC)2. Engineer/Procure/Construct (EPC)

Owner

CMIn-House Design

Pure CM

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Specialty Contractorsand Vendor

CMIn-House Designor Eng.. Firm

Specialty Contractorsand Vendor

Specialty Contractorsand Vendor

Specialty Contractorsand Vendor

EPC Model #1

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Cost Saving due to Competitive Bidding

Bid Pkg1

$ 95,000

Bid Pkg2

$ 195,000

Bid Pkg3

$ 220,000

BestBidsReceived

BestBidsReceived

100,000100,000

120,000105,000

95,000

195,000

215,000

200,000

210,000202,000

225,000

230,000

220,000

235,000

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Total ProjectCost

$ 825,000

GeneralContractor 2$ 845,000

GeneralContractor 1$ 840,000 Saves

$15,000

$ 220,000

Bid Pkg4

$ 320,000

BidsReceived

BidsReceived

95,0

00

325,

000

220,

000

200,

000

325,

00 0

90,0

0020

0,00

023

0,00

0

230,000235,000240,000

325,000360,000325,000

350,000

320,000

By soliciting more bids and by passing the savings directly to the owner, the owner saves $15,000 compared to the best general contractor price. This example illustrates four bid packages. Typical commercial building projects may have thirty or more bid packages.

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2. Engineer/Procure/Construct (EPC) (cont.)2. Engineer/Procure/Construct (EPC) (cont.)

Owner

General Contractor acting as CM

Engineer/Procure

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Specialty Contractorsand Vendor

Specialty Contractorsand Vendor

Specialty Contractorsand Vendor

Specialty Contractorsand Vendor

EPC Model #2

Engineer/ProcureConstruct

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Other Models ofSingle Source Delivery SystemsOther Models ofSingle Source Delivery Systems

A/E acting as CM

Owner

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A/E andCM

Prime Contractor

EPC Model #3

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CM acting as Contractor

Owner

Other Models ofSingle Source Delivery Systems (cont.)Other Models ofSingle Source Delivery Systems (cont.)

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A/E CM

ContractorPrime Contractors

EPC Model #4

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OthersOthers

DesignDepartment

Owner

ConstructionDepartment

CM Owner

A/E

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Department

Contractors

Department

Optional OwnForce Work

Owner Builder

Prime Contractors

Subs

Owner C.M.

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Estimating Needs for Single Source DeliveryEstimating Needs for Single Source Delivery

Conceptual Design

Assemblies cost data

Update your estimate as the design develops

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Update your estimate as the design develops

Value engineering studies

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Design-Build IssuesDesign-Build Issues

1.Prequalification

– The reduction of the number of possible bidders to a small group of serious, qualified bidders

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to a small group of serious, qualified bidders improves the effectiveness of the selection process.

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Design-Build Issues (cont.)Design-Build Issues (cont.)

2. Proposal Evaluation

– Cost only

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– Cost and time

– Multiparameter (quality, safety…etc.)

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Innovative Contracting MethodsInnovative Contracting Methods

Multiparameter Bidding (A+B+C)

Multiparameter bidding is a bidding system within the competitive bidding concept where a

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successful bidder is selected based on the combined cost, time and quality.

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Example of Multi-parameter BiddingExample of Multi-parameter Bidding

"A" "B"

ContractorTraditional Bid Price

Bid Contract

Time (Days)

Facility User Cost @ $ 4000 per Contract

Day

"A+B" Cumulative

Bid

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Contractor Bid Price (Days) Day Bid(1) (2) (3) (4) (5)1 $3,262,724 170 $680,000 $3,942,7242 $3,015,868 140 $560,000 $3,611,8683 $3,231,006 95 $380,000 $3,611,006

Lowest Cumulative Bid Cost

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Design-Build Issues (cont.)Design-Build Issues (cont.)

3.Legal

a. Insurance and Bonding The contractor should have the proper insurance to

cover design deficiencies or cover construction

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cover design deficiencies or cover construction errors.

b.Conflict of InterestDesign-build eliminates the checks and balances of

the traditional methods.

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Innovative Contracting Methods (cont.)Innovative Contracting Methods (cont.)

Construction Warranties (DBW)

A warranty is a guarantee of the integrity of a project and of the maker responsibility for the replacement or repair of deficiencies for a period

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replacement or repair of deficiencies for a period longer than the traditional 1-year warranty.

– It is different than project maintenance warranties that provide routine maintenance


Book Nabil

Book Nabil

DR. Nabil Dmaidi E STIMATING E ARTHWORK. DR. Nabil Dmaidi Estimating Earthwork Earthwork includes: n 1.Excavation n 2.Grading: Moving earth to change.

DR. Nabil Dmaidi E STIMATING E ARTHWORK. DR. Nabil Dmaidi Estimating Earthwork Earthwork includes: n 1.Excavation n 2.Grading: Moving earth to change.

NABIL MORSI CO.

NABIL MORSI CO.

Experiencia Teatral Nabil

Experiencia Teatral Nabil

Nabil Ummer Portfolio

Nabil Ummer Portfolio

AD - nabil gholam

AD - nabil gholam

Nabil kimia

Nabil kimia

Prof. Dr / Nabil Lymon

Prof. Dr / Nabil Lymon

Tsc hindi nabil

Tsc hindi nabil

Nabil Saimi

Nabil Saimi

Nabil Project Final

Nabil Project Final

Alaa Nabil

Alaa Nabil

Nabil bank

Nabil bank

Nabil Mohamed2

Nabil Mohamed2

Internship at Nabil

Internship at Nabil

Professor: Nabil Elmjati IB100 Introduction to computer Sciences Professor: Nabil Elmjati.

Professor: Nabil Elmjati IB100 Introduction to computer Sciences Professor: Nabil Elmjati.

BENSALEM NABIL

BENSALEM NABIL

QATAR 2030 NABIL NAZRI 8E. QATAR 2030 NABIL NAZRI 8E.

QATAR 2030 NABIL NAZRI 8E. QATAR 2030 NABIL NAZRI 8E.

Nabil harman 52250211224

Nabil harman 52250211224

Tugas Akhir Nabil

Tugas Akhir Nabil