Anyone in the construction business knows that project delivery methods can make or break your project.
The project …
… are all affected by construction delivery methods.
Are you wondering which method is best for your next project?
This article compares the pros and cons of the most common construction project delivery methods so that you can choose the best one for your upcoming project.
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Wikipedia defines project delivery method as:
“A system used by an agency or owner for organizing and financing design, construction, operations, and maintenance services for a structure or facility by entering into legal agreements with one or more entities or parties.”
Construction project delivery methods come in a variety of types and the method needed will vary from project to project.
Each one of the project delivery methods comes with pros and cons, but there’s generally one delivery method that will most optimally suit your specific project.
By carefully determining the correct method, you will be able to:
The most commonly used construction project delivery methods include:
Also coined “hard bid,” the DBB is the most traditional of construction delivery methods and tends to result in the lowest construction price.
Design-Bid-Build provides considerable opportunity for owner input since the designer/architect and general contractor work directly for the owner under different contracts.
How does it work?
The design team and owner work together to develop contract documents, including:
When completed, the design is opened to bidding from general contractors.
It usually takes around 2 to 4 weeks for contractors and subcontractors to price a project.
Once all the proposals are in, the owner and design team collaborate to decide which contract to go with, and the project begins.
What are the pros and cons of the Design-Bid-Build project delivery method?
Used for roughly 40% of US-based construction projects, the Design-Build method has become increasingly popular in recent years.
Design-Build is very straightforward in that owners are contracted with just one firm.
Both the design and construction phases of the project are covered under one contract, with just one company.
In contrast to the DBB project delivery method, the DB project is handled from start to finish by either the architect or contractor.
Ideally, this means that the project is more efficient overall.
Design-Build projects may either be contractor-led or architect-led, depending on the project needs.
Contractor-led projects generally involve repeatable work, such as infrastructure or road projects, that don’t rely on a complex design.
Architect-led agreements are most commonly found on projects having a high level of difficulty of design, such as new buildings or remodeling projects.
The pros and cons of the DB project delivery method are as follows:
If an owner is needing a defined price and completion date, Construction Management at Risk may very well be the best choice of project delivery methods.
With the CMR method, a construction manager acts as the representative to the owner throughout the design and construction phases.
The construction manager is involved from the start, including during the design process where they act mainly as a cost controller.
They also oversee construction just as a general contractor would.
What are the pros and cons of the Contract Management at Risk project delivery method?
Another of the construction delivery methods is Construction Management Multi-Prime, also known as Multi-Prime.
In this method, the owner is the general contractor.
A Multi-Prime project is divided into three phases:
With this project delivery method, the owner has separate contracts with the professionals in each of the three phases.
MP is best suited for owners who have plenty of experience managing construction projects.
The pros and cons of this type of construction project delivery method include:
The final of the most common project delivery methods is the IPD or Integrated Project Delivery Method.
Newer to the scene, this delivery method contractually connects all project team members under one contract.
Team members are selected prior to the beginning of the design process, and each plays a role in the entire process, from start to finish.
What are the pros and cons of the IPD construction delivery method?
Each project delivery method offers a varying level of control and different contractual ties between parties.
Since there are pros and cons to each method, you’ll want to select the best method for the project on a case-by-case basis by taking into consideration:
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