Project Delivery
How the project will be designed and constructed, or the project delivery method, is an important decision made by every owner embarking on a construction project. With a variety of delivery methods in use today, it is possible to tailor a delivery method that best meets the unique needs of each owner and each project. Some of the most common project delivery methods are the following options.
Design-Bid-Build
Design-Bid-Build is characterized by its three phases:
1. The owner engages the architect to design and prepare construction documents.
2. The documents are used for construction bidding.
3. The owner hires the contractor to build the project.
This is the conventional method, and it is common to all types of undertakings, particularly those initiated by public clients who are required to select the low-bidding contractor.
Construction Manager as Advisor
A construction manager who acts as an advisor to the owner is added to the team, with the architect and contractor generally maintaining their conventional roles. The CM is added either at the outset or once design is complete. When hired in the initial phase, the CM-advisor will oversee design in terms of its implications for cost, schedule, and constructability. Construction documents are used for construction bidding a contractor is selected with advice of the construction manager. the construction manager stays on as advisor through the completion of construction. Since this method adds a consultants and the associated fee, it is more appropriate to large, complex projects.
Construction Manager as Constructor
The Construction manager is hired to act as the project coordinator and the general contractor. This method is contractually similar to design-bid-build, has the advisory benefits of CM-advisor, and involves the early cost commitment characteristic of design/build. The CM-constructor may be hired to deliver the building for a guaranteed maximum price or to handle the process of multiple bid packages to manage costs. In either case, the construction manager assumes all the liability and responsibility of the general contractor which is why the method is also known as Construction Manager at Risk. Typically, scope of work documents are prepared when the architect has the design about 65% complete, and the project is bid in order to select the CM-Constructor. When Construction Documents are complete, the CM-constructor will generally rebid all of the construction to other contractors. This method is common among owners for whom cost, schedule, or construction is expected to be complicated to manage, as when a project will be fast-tracked.