Project Delivery Methods
Project Delivery Methods
delivery
methods
Introduction:
Project DELIVERY
METHODS
In contemporary construction, project delivery methods play a
crucial role in shaping the outcome of a project. Among the
prominent options are design-build (DB) and design-bid-build
(DBB). However, the spectrum expands to include innovative
models like construction manager at risk (CMAR),
construction manager multi-prime (CMMP), integrated
project delivery (IPD), and public-private partnership (PPP).
Each method brings distinctive project phases and contract
structures, offering a diverse toolkit for tailored project
success. Understanding these approaches is fundamental to
effective project management in the modern construction
industry.
Context: Background and
Justification
Project delivery methods stem from the inherent complexity of
construction projects. Historically, the traditional design-bid-
build (DBB) method prevailed, with a sequential approach of
design, bidding, and construction. However, as projects grew in
scale and intricacy, the need for more flexible and collaborative
models arose. Design-build (DB) emerged as an alternative,
integrating design and construction under a single entity to
streamline communication and enhance efficiency.
How it Works:
In the design-build model, the client enters into a single
contract with the design-build entity, which typically consists
of both design and construction professionals or firms. The
design-build team collaborates from the project's inception
through completion, fostering seamless communication and
coordination. This integrated approach allows for faster
project delivery and the ability to address design issues in
real-time during construction.
Stakeholders:
The key stakeholders in a design-build project include the
client, the design-build entity, and sometimes, specialized
subcontractors or consultants.
Approach to Design and Construction:
In the design-build approach, the design and construction
phases overlap, allowing for fast-tracking of the project. The
design-build team collaborates closely to optimize project
timelines and costs. Design decisions can be made in
conjunction with construction considerations, enhancing
efficiency. This approach encourages innovation, as the
design-build team can propose creative solutions during the
project's evolution.
Risks:
While design-build streamlines communication, it introduces
certain risks, such as potential conflicts of interest within the
design-build team. Quality control and accountability must be
carefully managed to avoid compromising the project's
integrity. Additionally, the client may have less direct control
over the selection of subcontractors or individual design
professionals.
EXAMPLE
dubai mall zabeel
expansion
Design : BSBG +studio
Contract : Design & Build
Location : Dubai, UAE
Client : Emaar
Sector : Retail
Role : Design, Lead Consultancy, Executive
Architecture, Interior Design, Structural
Engineering, Construction Supervision
Completion : 2019
Floors : G+9
GFA : 55,300 m²
2. design-bid-build (DBb):
Design-Bid-Build (DBB) is a traditional construction method with three key
phases: design, bid, and build. Owners collaborate with architects/engineers
to create project plans, then solicit competitive bids from contractors, and
finally, the chosen contractor executes construction according to the
approved design. This approach offers control over design and competitive
bidding but may prolong timelines and increase potential disputes.
How it Works:
In the Design-Bid-Build (DBB) process, the owner works with an
architect/engineer to develop detailed project plans and specifications. Once
the design is complete, the owner solicits bids from multiple contractors. After
reviewing the bids, the owner selects a contractor based on factors like cost,
qualifications, and proposed approach. Construction then begins, with the
contractor executing the project according to the approved design. While DBB
encourages competitive pricing, it can lead to longer timelines and
coordination issues between stakeholders.
Stakeholders:
In the Design-Bid-Build (DBB) process, stakeholders include the owner,
architect/engineer, contractor, subcontractors, suppliers, regulatory
authorities, and consultants. Collaboration among these parties is crucial for
project success.
Approach to Design and Construction:
In the Design-Bid-Build (DBB) approach, the design and
construction phases are separate. Initially, the owner
collaborates with an architect/engineer to develop project
plans and specifications. Once the design is finalized, the
owner solicits bids from contractors. After selecting a
contractor, construction begins based on the approved design.
This sequential method provides the owner control over design
and competitive bidding but may lead to longer project
timelines.
Risks:
In Design-Bid-Build (DBB), risks include incomplete designs,
bid uncertainties, change orders, quality control issues,
coordination challenges, imbalanced risk allocation, and
disputes. Effective communication and risk management are
crucial for mitigating these risks.
EXAMPLE
Louvre museum Abu
dhabi
Design : Jean Nouvel (Multiple architectural firms
collaborated)
Contract : Design - Bid - Build
Location : abu dhabi, UAE
Client : Government of Abu Dhabi
Sector : cultural (museum)
Role : Design, Architectural Consultancy, Construction,
Project Management, Interior Design, Structural
Engineering, Construction Supervision.
Completion : 2017
Floors : G FLOOR
GFA : 97,000 m²
3. Construction Manager
at risk (CMAR)
Construction Manager at Risk (CMAR) is a project management
method commonly used in construction, where a construction
manager is selected based on qualifications and experience
through a competitive bidding process. The CM is brought on
board early in the project, typically during the design phase, and
assumes responsibility for managing the construction process.
How it Works:
Construction Manager at Risk (CMAR) engages the construction
manager (CM) early during the design phase, allowing input on
constructability, cost, and scheduling. The CM manages
construction, assuming risk for overruns and delays via a
guaranteed maximum price (GMP) agreement, fostering
collaboration among the owner, designer, and CM for streamlined
decision-making and goal alignment.
Risk-Sharing Arrangement
The construction manager bears the risk for cost overruns and
schedule delays. This incentivizes the CM to manage the project
efficiently and effectively, ultimately leading to better project
outcomes.
Approach to Design and Construction:
CMAR involves early collaboration between the project owner,
designer, and construction manager (CM). The CM provides
input during the design phase on constructability, cost, and
scheduling, ensuring practical and feasible architectural
designs. This approach streamlines decision-making, identifies
challenges early, and emphasizes proactive problem-solving
throughout construction to deliver projects efficiently and
within budget.
Risks:
Risks may include uncertainties in project scope and design,
changes in project requirements, unforeseen site conditions,
potential conflicts among project stakeholders, and
fluctuations in material and labor costs. Additionally, there
may be challenges in accurately estimating project costs and
schedules, which can impact the CM's ability to deliver within
the agreed-upon parameters. Effective risk management
strategies, such as thorough planning, clear communication,
proactive problem-solving, and collaboration among project
stakeholders, are essential to mitigate these risks and ensure
successful project outcomes in CMAR projects.
EXAMPLE
How it Works:
The Construction Manager Multi-Prime (CMMP) method requires
employing a construction manager to oversee numerous prime
contractors. The CM manages activities, ensures that timelines,
budgets, and quality standards are met, and encourages
stakeholder communication. This strategy provides greater
expertise, but it necessitates effective collaboration for successful
project delivery.
Efficient Co-ordination
This technique emphasizes effective stakeholder collaboration to
ensure smooth project progress, budget alignment, quality
standards, and risk management.
Approach to Design and Construction:
The Construction Management (CM) strategy involves an
owner appointing a construction manager to oversee prime
contractors, providing guidance on constructability, budgeting,
and schedule. This early engagement helps identify obstacles
and improves the project's design and construction processes.
The CM fosters communication among stakeholders, ensuring
smooth project delivery. The CMM technique aims to speed up
project delivery, reduce risks, and meet owner goals by
utilizing specialized prime contractors' experience and
maintaining open communication channels.
Risks:
Despite its benefits, the CMMP process is not without risks.
These include coordination issues with many contractors,
contract management, quality control, cost overruns, and
scheduling risks. Prioritizing communication and collaboration
is critical for avoiding disagreements and schedule
interruptions. Quality control guarantees that standards are
consistent throughout business, however cost overruns may
arise owing to increasing administrative expenses. Effective
communication, risk distribution, and proactive risk
management measures are critical for a successful CMM
project implementation.
EXAMPLE
World Trade Center
Transportation Hub
Design Name: World Trade Center Transportation
Hub (Oculus)
Contract: Various prime contractors involved
Location: New York City, United States
Client: Port Authority of New York & New Jersey
Sector: Transportation and infrastructure
Role: Construction manager overseeing multiple
prime contractors
Completion: 2016
Site Area: 74,000 square meters
5. Integrated Project
Delivery (IPD)
Integrated Project Delivery (IPD) is a collaborative approach to
design and construction that seeks to align the interests of all
stakeholders involved in a project towards a common goal of
achieving higher building performance, increased value, and
cost savings.
How it Works:
the project management team (PMT) validates the project’s
objectives, including requirements, scope, quality, cost, and
schedule, and a determination of the project’s feasibility is made.
If the project appears unfeasible at this point, the owner may
decide to abandon the project. The project management team
coordinates the design activities and prepares for implementation
of the design during the design/procurement phase. The project
implementation team (PIT) is established to support the PMT. The
project’s final target cost is determined, as well as the amount of
the “risk pool.”
Efficient Co-ordination
IPD aligns all parties towards shared objectives, encouraging a
collaborative culture where everyone is motivated to enhance
performance to meet project goals.
Approach to Design and Construction:
IPD prioritizes lean construction methods to boost value for
both the owner and project team by streamlining processes
and reducing waste. Additionally, it stresses transparent
communication among parties within the contract, enhancing
coordination and minimizing misunderstandings. Moreover, IPD
improves the design's effectiveness and efficiency in terms of
constructability, ultimately decreasing rework for design and
construction tasks, resulting in cost savings and better project
outcomes.
Risks:
IPD demands higher levels of time and effort from all involved
parties compared to traditional delivery methods, posing a
risk if stakeholders are unprepared for such engagement.
Success hinges on active owner involvement throughout the
project, as lack thereof can impede collaboration and affect
outcomes. Furthermore, negotiation and balancing of interests
are critical, as non-collaborative attitudes or win-lose
approaches may spark conflicts and necessitate extra project
work.
EXAMPLE
ucsf medical center
How it Works:
In a Public-Private Partnership (PPP), there is a collaboration between a
government and a private sector group where a contract takes place to
develop and deliver a project. The private consortium assumes responsibilities
like design, construction, financing, and sometimes operation. Contracts outline
project scope, risks, financing, and performance criteria. The government
oversees the project, which can include transferring ownership back after
completion. Despite aiming for efficiency, PPPs can be complex and
contentious due to cost, risk, and accountability issues.
Stakeholders:
Stakeholders in a PPP include the government, private sector consortium,
financial institutions, end users, regulatory bodies, community groups, and
legal firms.
Approach to Design and Construction:
In a Public-Private Partnership (PPP), the public sector and
private firms collaborate to deliver projects. The government
outlines project objectives and requirements, while private
entities, such as developers and contractors, undertake the
design and construction phases. This collaboration allows the
public sector to leverage the expertise and efficiency of the
private sector while maintaining control over project outcomes
and public interests.
Risks:
PPP projects involve various risks, including cost overruns due
to financial burdens shifted to the private sector, higher
expenses associated with financing, and hidden costs from risk
transfer. They also entail limited control for building users and
owners over project quality and operations, communication
obstacles between architects and stakeholders, restrictions on
professional liability coverage, and difficulties for small
architectural firms in competing within the PPP market.
EXAMPLE
dubai metro
Design : AEDAS ARQUITECTOS
Contract : Public-Private Partnership (PPP)
Location : dubai, UAE
Client : Government of dubai
Sector : Transportation
Role : Design, Construction, Structural Engineering,
Construction Supervision, Financing, Operation,
Maintenance
Completion : 2009
Length : 22km Red Line - 52km Green Line
DESIGN BUILD Construction Manager Multi-
Prime (CMMP)
Integrated Approach: Single
contract for both design and Multiple Contracts: Similar to CMAR
construction, fostering collaboration but involves separate contracts with
between the design-build team. individual trade contractors,
providing more direct control over
subcontractors.
design-bid-build
Integrated Project Delivery
Sequential Process: Traditional (IPD)
model with separate design and
construction phases, executed
sequentially.
COMPARISON Collaborative Alliance: All key
stakeholders, including the owner,
architect, and contractor, work
collaboratively from project inception to
completion, sharing risks and rewards.