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15 Cards in this Set
- Front
- Back
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Sketch the NZTA Delivery Selection Model |
Scale vs Complexity etc |
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Summaries 4 delivery methods |
Negotiated Design Bid Build Design Build Project Manager Agent Alternative method (PPP, Alliances, ECI) |
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Design Bid Build Method (Refer to diagram) |
3 linear phases (D-B-B) 3 primary players (Owner, A/E, GC) 2 contracts ( Owner to AE, Owner to GC) |
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D B B Advantages |
For the owner - Historically accepted, price fixed before construction, owner involvement low, contractor takes risk for construction For the contractor - contractor sets the price, owner involvement is low, innovation = opportunity. |
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D B B Disadvantage |
For the owner - Long deliver time, no constructability advicde deuring design, can be adversarial, leads to cahnge orders. Low bid does not always equal lowest final cost. For the contractor - Low margins, high risk for unforseen conditions. |
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Project Manager Agent (refer to diagram) |
3 linear phases (D B B) 4 primary players (Owner, PM, AE, GC) 3 contracts (O PM, O AE, O GC) |
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PMA Advantages |
Increased representation Independent evaluation Increased constructability Increased value engineering |
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PMA Disadvantages |
PM assumes no risk as owner holds contracts PM agency does not guarantee cost PM licensing is not available (i.e. PENG) High owner/PM involvement |
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Design Build (Refer to diagram) |
2 continuous phases ( D B ) 2 primary player (Owner and DB) 1 contract (Owner DB) |
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DB Advantages |
For the owner, sole source or responsibility, reduction of project duration, high constructability, claims reduction. For the DB, recieve both design and construction fees, non-adversarial A/E GC relationsip React rapidly to scope changes |
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DB Disadvantages |
For the owner, fewer checks and balances, reduced owner involvement, difficulty of selection. For the DB, large staff, additional risk, scope changes are difficult to track. |
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List some alternative Project Delivery methods. |
Risk Shedding New Tech Privatization Strategic Alliances |
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Comparisons... |
Cost - DB < CMR < DBB Speed - DB > CMR > DBB Quality - DB >= CMR,DBB |
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What is an alliance ? |
Where parties can benefit from lowest cost project. Major contractor and cons. become stakeholders. Participants for a group to generate and environment of innovation and co-operation. They for a committee to manage the project. All matters resolved here. Costing is open book. Achieves cost reduction. Good work environment. Higher initial cost and overhead but better value. |
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PPP Project Characteristics |
Large, long duration, very complex. Outputs are clearly definable by specification and delivery standards. Private sector expertise required. Non-core activity. Deliver asset not activity. Can be costed based on lifecycle. High maintenance requirements Risk transfer easily moved to private sector Oportunity for innovation Value for money |
