Design-Build - Revision history

Linderoth at 09:41, 1 June 2021

2021-06-01T09:41:12Z

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	~~''Developed by: William Linderoth''~~

	Design-Build is a project delivery system, mainly used in the construction industry. The method utilizes single source responsibility which differs from the more traditional dual or triple source responsibility format used in Design-Bid-Build. The responsibility is defined by contracts, where the contract in the Design-Build project binds the architect and the contractor under one contract with the project owner. One of the key reasons for doing so is to create a shared responsibility between the architect and the contractor, and thereby involve the architect in the construction phase, and the contractor in the design phase.		Design-Build is a project delivery system, mainly used in the construction industry. The method utilizes single source responsibility which differs from the more traditional dual or triple source responsibility format used in Design-Bid-Build. The responsibility is defined by contracts, where the contract in the Design-Build project binds the architect and the contractor under one contract with the project owner. One of the key reasons for doing so is to create a shared responsibility between the architect and the contractor, and thereby involve the architect in the construction phase, and the contractor in the design phase.

Linderoth: /* Annotated Bibliography */

2021-02-28T14:06:13Z

Annotated Bibliography

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	== Annotated Bibliography ==		== Annotated Bibliography ==
	*'''Project Management Institute, Inc.. (2017). Guide to the Project Management Body of Knowledge (PMBOK® Guide) (6th Edition). Project Management Institute, Inc. (PMI), pp. 459-501''' Book providing best practices and standards for project management. The given pages refers to chapter 12 "Project Procurement Management" including the choice of project delivery system. This chapter is essential to ~~understanding~~ the impact of project delivery method choice on procurement management.		*'''Project Management Institute, Inc.. (2017). Guide to the Project Management Body of Knowledge (PMBOK® Guide) (6th Edition). Project Management Institute, Inc. (PMI), pp. 459-501''' Book providing best practices and standards for project management. The given pages refers to chapter 12 "Project Procurement Management" including the choice of project delivery system. This chapter is essential to understand the impact of project delivery method choice on procurement management.

Linderoth: /* Limitations */

2021-02-28T14:03:47Z

Limitations

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	== Limitations ==		== Limitations ==

	As mentioned throughout the article, Design-Build is not suited for all project types, and the owner does not automatically benefit from all the potential pros of the methodology if the project is not thoroughly assessed. The limitations and potential cons of the methodology will vary depending on the choices made throughout the implementation of the delivery method, especially choice of management structure and contractual relationship, as described in the Management Structure chapter. Below the reader is presented some potential cons of choosing Design-Build.		As mentioned throughout the article, Design-Build is not suited for all project types, and the owner does not automatically benefit from all the potential pros of the methodology if the project is not thoroughly assessed. The limitations and potential cons of the methodology will vary depending on the choices made throughout the implementation of the delivery method, especially the choice of management structure and contractual relationship, as described in the Management Structure chapter. Below the reader is presented to some potential cons of choosing Design-Build.

	=== Cons of Design-Build ===		=== Cons of Design-Build ===

	Some of the potential cons of Design-Build as described by Poché, C. (2019) ~~are mentioned below~~ <ref name ="level"/>.		Some of the potential cons of Design-Build as described by Poché, C. (2019)<ref name ="level"/>.

	'''Cons''':		'''Cons''':

	*'''Conflicts of interest:''' Depending on the contract, conflicts of interest might arise e.g. between the owner and the contractor. The owner might in interested in the highest possible quality, whereas the contractor wants to reduce the costs. This risk can be reduced by establishing a budget which is realistic in concern to the interest of the involved parties.		*'''Conflicts of interest:''' Depending on the contract, conflicts of interest might arise e.g. between the owner and the contractor. The owner might in interested in the highest possible quality, whereas the contractor wants to reduce the costs. This risk can be reduced by establishing a budget which is realistic in concern to the interest of the involved parties.
	*'''Less innovative design:''' By including contractors in the design phase, it must be expected that the contractor is more interested in working with methods and designs known to be the most efficient. This might influence the designers, as well as the ~~owners~~ who might aspire for the project to be innovative.		*'''Less innovative design:''' By including contractors in the design phase, it must be expected that the contractor is more interested in working with methods and designs known to be the most efficient. This might influence the designers, as well as the owner who might aspire for the project to be innovative.
	*'''Requires more engagement from the owner:''' The owner must be careful, and hold significantly more responsibility, when signing the Design-Build contract, and ensure that the entity has the skill and ability to deliver the project.		*'''Requires more engagement from the owner:''' The owner must be careful, and hold significantly more responsibility, when signing the Design-Build contract, and ensure that the entity has the skill and ability to deliver the project.
	*'''No bidding restricts access for subs:''' ~~Subcontractors~~ might have a harder time getting work since the bidding phase does not exist in Design-Build. The subcontractors are often chosen based on experience or different preselected parameter.		*'''No bidding restricts access for subs:''' Sub-contractors might have a harder time getting work since the bidding phase does not exist in Design-Build. The subcontractors are often chosen based on experience or different preselected parameter.
	*'''Increased liability:''' The contractor, depending on the contract, might be liable to more parts of the project than usual.		*'''Increased liability:''' The contractor og the architect, depending on the contract, might be liable to more parts of the project than usual.

	== Annotated Bibliography ==		== Annotated Bibliography ==

Linderoth: /* Contracting */

2021-02-28T13:59:01Z

Contracting

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	=== Contracting ===		=== Contracting ===

	When formulating the contracts for a Design-Build project, DBIA promotes fair, clear and balanced contracts promoting collaboration among the participants. This is of course applicable to most contracts, but collaboration should especially be highlighted in Design-Build contracts, since the project phases of design and build are intended to overlap and benefit from this. It is further more important that the owner not only addresses the nature of the contract between owner and Design-Builder~~. But~~ also the contracts between Design-Builder and other involved parties. DBIA defines implementation techniques in the mentioned guidelines<ref name="DBDR"/> and recommends:		When formulating the contracts for a Design-Build project, DBIA promotes fair, clear and balanced contracts promoting collaboration among the participants. This is of course applicable to most contracts, but collaboration should especially be highlighted in Design-Build contracts, since the project phases of design and build are intended to overlap and benefit from this. It is further more important that the owner not only addresses the nature of the contract between owner and Design-Builder, but also the contracts between Design-Builder and other involved parties. DBIA defines implementation techniques in the mentioned guidelines<ref name="DBDR"/> and recommends:

	# Contracts between owner and Design-Build entity should reflect Design-Build values		# Contracts between owner and Design-Build entity should reflect Design-Build values
	# Contracts between Design-Build entity and the team members, ~~subconsultants~~ and ~~subcontractors~~, should reflect Design-Build values		# Contracts between Design-Build entity and the team members, sub-consultants and sub-contractors, should reflect Design-Build values

	The Design-Build values as well as the reasons for choosing Design-Build as delivery method should be imbedded in procurement ~~strategy~~, and thus also into the contracts between all parties in order for the project to benefit from the methodology.		The Design-Build values as well as the reasons for choosing Design-Build as delivery method should be imbedded in the procurement management, and thus also into the contracts between all parties in order for the project to benefit from the methodology.

	Free examples of Design-Build contracts can be downloaded at consensusdocs.org <ref> ''Design Build Contract Agreements - ConsensusDocs. Retrieved 21 February 2021, from https://www.consensusdocs.org/contract_category/designbuild/'' </ref>.		Free examples of Design-Build contracts can be downloaded at consensusdocs.org <ref> ''Design Build Contract Agreements - ConsensusDocs. Retrieved 21 February 2021, from https://www.consensusdocs.org/contract_category/designbuild/'' </ref>.

Linderoth: /* Procurement */

2021-02-28T13:56:54Z

Procurement

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	# '''Request for Proposals (RFP):''' The owner now communicate the requirements for the project to the selected firms. This is sent in the format of an RPF which contains e.g. design criteria, contract requirements and other information needed in order for the Design-Build firms to reply with a proposal which fits the requirements.		# '''Request for Proposals (RFP):''' The owner now communicate the requirements for the project to the selected firms. This is sent in the format of an RPF which contains e.g. design criteria, contract requirements and other information needed in order for the Design-Build firms to reply with a proposal which fits the requirements.
	# '''Pre-Proposal Conference:''' Optional meeting where the chosen firms can ask further questions regarding the project, before submitting their proposal to the owner.		# '''Pre-Proposal Conference:''' Optional meeting where the chosen firms can ask further questions regarding the project, before submitting their proposal to the owner.
	# '''Proposal Submission and Evaluation:''' Evaluation of the submitted proposals. This is based of predetermined factors e.g. price or design, but usually a combination og several. This step is critical for the owner, since it will determine the ultimate outcome of the project.		# '''Proposal Submission and Evaluation:''' Evaluation of the submitted proposals. This is based on predetermined factors e.g. price or design, but usually a combination og several. This step is critical for the owner, since it will determine the ultimate outcome of the project.
	# '''Contract Award:''' Contracts between owner and the chosen Design-Build entity are formulated and signed.		# '''Contract Award:''' Contracts between owner and the chosen Design-Build entity are formulated and signed.
	# '''Documents/Construction:''' Design and construction phases are initiated and overlap as specified.		# '''Documents/Construction:''' Design and construction phases are initiated and overlap as specified.

Linderoth: /* Procurement */

2021-02-28T13:53:21Z

Procurement

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	# '''Strategic Facility Planning:''' Analysis of facility requirements to establish facility development plan.		# '''Strategic Facility Planning:''' Analysis of facility requirements to establish facility development plan.
	# '''Program Definition:''' Establishment of project requirements. This might include definitions of facility dimensions, performance requirements, standards that must be followed etc.		# '''Program Definition:''' Establishment of project requirements. This might include definitions of facility dimensions, performance requirements, standards that must be followed etc.
	# '''Request for Qualifications (RFQ):''' The defining of the qualifications needed by the Design-Build entity to execute the project. This can be anything ~~form~~ skill and experience to price and quality.		# '''Request for Qualifications (RFQ):''' The defining of the qualifications needed by the Design-Build entity to execute the project. This can be anything from skill and experience to price and quality.
	# '''Qualifications Statement:''' The advertising of the developed RQF to several Design-Build firms who then replies with qualification statements. The owner now chooses a few firms (normally three to five) who fulfill the RQF the best.		# '''Qualifications Statement:''' The advertising of the developed RQF to several Design-Build firms who then replies with qualification statements. The owner now chooses a few firms (normally three to five) who fulfill the RQF the best.
	# '''Request for Proposals (RFP):''' The owner now communicate the requirements for the project to the selected firms. This is sent in the format of an RPF which contains e.g. design criteria, contract requirements and other information needed in order for the Design-Build firms to reply with a proposal which fits the requirements.		# '''Request for Proposals (RFP):''' The owner now communicate the requirements for the project to the selected firms. This is sent in the format of an RPF which contains e.g. design criteria, contract requirements and other information needed in order for the Design-Build firms to reply with a proposal which fits the requirements.

Linderoth: /* Management Structures */

2021-02-28T13:49:05Z

Management Structures

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	When describing project delivery methods in the construction sector, a few roles reappear across the different methodologies. The Design-Build methodology, like many other delivery methods, consists of owner, architect and contractor, but furthermore defines the 'role' of the Design-Build entity. This entity always consists of an architect and/or engineer as the designer, and a contractor as the builder. However the management structure of the Design-Build entity may vary, and is usually defined in one of the following ways <ref name ="level"/>:		When describing project delivery methods in the construction sector, a few roles reappear across the different methodologies. The Design-Build methodology, like many other delivery methods, consists of owner, architect and contractor, but furthermore defines the 'role' of the Design-Build entity. This entity always consists of an architect and/or engineer as the designer, and a contractor as the builder. However the management structure of the Design-Build entity may vary, and is usually defined in one of the following ways <ref name ="level"/>:

	'''Architect-led Design-Build projects:''' The architect is the lead of the Design-Build entity. This is usually the case when the construction project concerns high-end residential construction, hospitals, museums and ~~building~~ alike, where aesthetics and architectural strengths are prioritized. This structure might furthermore present advantages such as the possibility to begin the design phase before delivery method is selected. However this structure might cause contractor licensing laws problem in some countries and especially in the USA<ref name="lorman"> "Possible Design-Build Team Structures \| Lorman Education Services. (2005). Retrieved 21 February 2021, from https://www.lorman.com/resources/possible-design-build-team-structures-15853" </ref>.		'''Architect-led Design-Build projects:''' The architect is the lead of the Design-Build entity. This is usually the case when the construction project concerns high-end residential construction, hospitals, museums and buildings alike, where aesthetics and architectural strengths are prioritized. This structure might furthermore present advantages such as the possibility to begin the design phase before delivery method is selected. However this structure might cause contractor licensing laws problem in some countries and especially in the USA<ref name="lorman"> "Possible Design-Build Team Structures \| Lorman Education Services. (2005). Retrieved 21 February 2021, from https://www.lorman.com/resources/possible-design-build-team-structures-15853" </ref>.

	'''Contractor-led Design-Build projects:''' The contractor is the lead of the Design-Build entity. This is most common when the project is functionality based, such as infrastructure and industrial factories. Here the strengths of the contractor are prioritized. An advantage to this structure is that contractors are usually more experienced in managing both construction and design compared to design companies. However, a disadvantage for the contractor is the added risk in being responsible for potential design errors<ref name="lorman"/>.		'''Contractor-led Design-Build projects:''' The contractor is the lead of the Design-Build entity. This is most common when the project is functionality based, such as infrastructure and industrial factories. Here the strengths of the contractor are prioritized. An advantage to this structure is that contractors are usually more experienced in managing both construction and design compared to design companies. However, a disadvantage for the contractor is the added risk in being responsible for potential design errors<ref name="lorman"/>.

Linderoth: /* Why Choose Design-Build */

2021-02-28T13:47:47Z

Why Choose Design-Build

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	*'''Efficiency:''' Also related to the single source responsibility, improving communication efficiency as there are fewer external parties involved in the project. Project time can also be reduced due to the overlapping of design and construction phase.		*'''Efficiency:''' Also related to the single source responsibility, improving communication efficiency as there are fewer external parties involved in the project. Project time can also be reduced due to the overlapping of design and construction phase.
	*'''Collaboration:''' Collaborative synergies across expertises are more likely to be harvested, improving efficiency and reducing conflicts.		*'''Collaboration:''' Collaborative synergies across expertises are more likely to be harvested, improving efficiency and reducing conflicts.
	*'''Project costs:''' Especially related to the reduced project time of initiating the building phase ~~befor~~ the design phase is finalized. This can potentially also reduce costs by including construction expertise in the design phase to discover and discuss elements that might affect the building phase.		*'''Project costs:''' Especially related to the reduced project time caused by initiating the building phase before the design phase is finalized. This can potentially also reduce costs by including construction expertise in the design phase to discover and discuss elements that might affect the building phase.
	*'''Direct payment:''' Since the Design-Build entity keeps all payments and requests and approvals under one roof, this should be expected to perform more consistently, create fewer conflicts, and increase efficiency.		*'''Direct payment:''' Since the Design-Build entity keeps all payments and requests and approvals under one roof, this should be expected to perform more consistently, create fewer conflicts, and increase efficiency.

Linderoth: /* Why Choose Design-Build */

2021-02-28T13:45:27Z

Why Choose Design-Build

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	Another important aspect which is argued by Moore, D (2000)<ref> ''Moore, D. (2000). Selecting the best project delivery system. Paper presented at Project Management Institute Annual Seminars & Symposium, Houston, TX. Newtown Square, PA: Project Management Institute. Retrieved 21 February 2021, from https://www.pmi.org/learning/library/selecting-best-project-delivery-system-8910'' </ref>, is that the owner should not expect that there is one perfect delivery method for all projects. Moore also argues that the available project delivery methods (such as the five most common mentioned above) are only primary methods, and sub-methods are only limited to the creativity of the project team. The owner should thus investigate which sub-method of Design-Build is the most fitting for the particular project.		Another important aspect which is argued by Moore, D (2000)<ref> ''Moore, D. (2000). Selecting the best project delivery system. Paper presented at Project Management Institute Annual Seminars & Symposium, Houston, TX. Newtown Square, PA: Project Management Institute. Retrieved 21 February 2021, from https://www.pmi.org/learning/library/selecting-best-project-delivery-system-8910'' </ref>, is that the owner should not expect that there is one perfect delivery method for all projects. Moore also argues that the available project delivery methods (such as the five most common mentioned above) are only primary methods, and sub-methods are only limited to the creativity of the project team. The owner should thus investigate which sub-method of Design-Build is the most fitting for the particular project.

	Some of the potential pros of Design-Build as described by Poché, C. (2019) are mentioned below<ref name ="level"> "Poché, C. (2019). Understanding Design-Build Construction \| Project Delivery Methods. Retrieved 21 February 2021, from https://www.levelset.com/blog/design-build/" </ref>. Cons of the method will be presented ~~and discussed~~ in the Limitations chapter.		Some of the potential pros of Design-Build as described by Poché, C. (2019) are mentioned below<ref name ="level"> "Poché, C. (2019). Understanding Design-Build Construction \| Project Delivery Methods. Retrieved 21 February 2021, from https://www.levelset.com/blog/design-build/" </ref>. Cons of the method will be presented in the Limitations chapter.

	'''Pros''':		'''Pros''':

Linderoth: /* Why Choose Design-Build */

2021-02-28T13:44:35Z

Why Choose Design-Build

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	'''Owner risk:''' The owner is not willing to risk change orders (or wants to minimize it) and the delays/costs associated with it. Furthermore, the owner must be willing and able to identify and fairly allocate risks between the involved parties.		'''Owner risk:''' The owner is not willing to risk change orders (or wants to minimize it) and the delays/costs associated with it. Furthermore, the owner must be willing and able to identify and fairly allocate risks between the involved parties.

	Another important aspect which is argued by Moore, D (2000)<ref> ''Moore, D. (2000). Selecting the best project delivery system. Paper presented at Project Management Institute Annual Seminars & Symposium, Houston, TX. Newtown Square, PA: Project Management Institute. Retrieved 21 February 2021, from https://www.pmi.org/learning/library/selecting-best-project-delivery-system-8910'' </ref>, is that the owner should not expect that there is one perfect delivery method for all projects. Moore also argues that the available project delivery methods (such as the ~~four~~ most common mentioned above) are only primary methods, and sub-methods are only limited to the creativity of the project team. The owner should thus investigate which sub-method of Design-Build is the most fitting for the particular project.		Another important aspect which is argued by Moore, D (2000)<ref> ''Moore, D. (2000). Selecting the best project delivery system. Paper presented at Project Management Institute Annual Seminars & Symposium, Houston, TX. Newtown Square, PA: Project Management Institute. Retrieved 21 February 2021, from https://www.pmi.org/learning/library/selecting-best-project-delivery-system-8910'' </ref>, is that the owner should not expect that there is one perfect delivery method for all projects. Moore also argues that the available project delivery methods (such as the five most common mentioned above) are only primary methods, and sub-methods are only limited to the creativity of the project team. The owner should thus investigate which sub-method of Design-Build is the most fitting for the particular project.

	Some of the potential pros of Design-Build as described by Poché, C. (2019) are mentioned below<ref name ="level"> "Poché, C. (2019). Understanding Design-Build Construction \| Project Delivery Methods. Retrieved 21 February 2021, from https://www.levelset.com/blog/design-build/" </ref>. Cons of the method will be presented and discussed in the Limitations chapter.		Some of the potential pros of Design-Build as described by Poché, C. (2019) are mentioned below<ref name ="level"> "Poché, C. (2019). Understanding Design-Build Construction \| Project Delivery Methods. Retrieved 21 February 2021, from https://www.levelset.com/blog/design-build/" </ref>. Cons of the method will be presented and discussed in the Limitations chapter.