Project Delivery Strategies€¦ · • Simplest to administer • Allows for negotiations with...
Transcript of Project Delivery Strategies€¦ · • Simplest to administer • Allows for negotiations with...
TAHFM
Sid Sanders,
Sr. Vice President
Project Delivery Strategies April 8th 2013
Project Delivery Methods
• Design-Bid-Build
o Hard Bid
o Competitive Sealed Proposals CSP
• Construction Manager at Risk CMR
o Design Assist CMR-DA
• Construction Manager as Agent CMA
• Design/Build DB
o Design/ Build Bridging
Project Delivery Methods
Competitive Sealed Proposals
Owner
General
Contractor
Project
Manager
Subcontractor Subcontractor Subcontractor
A/E
• Allows selection to be
qualifications influenced
• Establishes clear market
price
• Simplest to administer
• Allows for negotiations with
best-value contractor
• No ability to fast track
• Limited ability to establish early
construction cost
• Limited ability for to perform
constructability and value engineer
• Potential for adversarial relationship
Project Delivery Methods
Construction Manager at Risk
Project
Manager
Construction
Manager A/E
Subcontractor Subcontractor Subcontractor
Owner
• Complex buy-out process
• Requires significant fiduciary
oversight
• Risk of early start must be
mitigated with contingency in
GMP
• Allows for fast tracking and early
delivery
• Allows delayed decision making on
program elements
• Allows for Guarantee Max Price
(GMP)
• Allows for collaboration and
constructability
Project Delivery Methods
Construction Manager as Agent
Project
Manager
Construction
Manager
Subcontractor Subcontractor
Subcontractor
OWNER
Subcontractor
A/E
• Gives Owner considerable flexibility
and professional expertise
• Best used in large projects with clear
divisions of subcontractor responsibility
either by phase or scope
• Owner does not have a GMP with the CMA
• Lack of budgetary accountability can be disastrous on projects
requiring high level of subcontractor coordination
Project
Manager
Design/Build
Team
Owner
Subcontractor Subcontractor Subcontractor
Project Delivery Methods
Design/Build
Bridging Architect
• Single source of all project delivery
• Allows for extreme fast tracking
• Industry has developed a number of
product type specialists
• Allows for high degree of
collaboration
• No independent contract with
design team
• Requires rapid decisions by
owner — “Collapsed Decision
Making”
• Early starts can result in unclear
quality/scope expectations
Selecting a Delivery Method
COMPLEXITY OF OWNER/DECISION MAKING
CMR
CSP
DB
Low Level
• Simple Decision
• Few User Inputs
High Level
• Multiple Decisions
Thru Life of Project
• Many Different User
Inputs
Selecting a Delivery Method
COMPLEXITY OF PROJECT
CMR
CSP
DB
Low Level
• Simple Bldg Technology
High Level
• Complex Bldg Systems
• Complex Functionality
• Large Scale
• Complex Phasing
Selecting a Delivery Method
SPEED OF PROJECT
CMR
CSP
DB
Slowest Fastest
Project
Manager
Design/Build
Team
Owner
Subcontractor Subcontractor Subcontractor
Design/Build - Bridging
Bridging Architect
• 13,000 SF, Four OR, Ambulatory Surgery
Center
• $6.5 M TPC
• SD Bridging package began December 2011
• Bridging package issued January 2012
• D-B team selected February 2012
• Construction began May 2012
• Substantial Completion February 2012
DB-Bridging Example
Surgery Center
Surgery Center
Surgery Center
Surgery Center
• 1250 cars
• Connecting bridge
• Miscellaneous site improvements
• $12.6M TPC
• Bridging package began December 2011
• D-B team selected February 2012
• Construction began March 2012
• Opened February 2013
DB-Bridging Example
West Houston Garage
Competitive Sealed Proposals
Owner
General
Contractor
Project
Manager
Subcontractor Subcontractor Subcontractor
A/E
• 166,000 SF, Medical Office Building
• Connecting bridge
• Miscellaneous site improvements
• $20M TPC
• Proposals taken October 2012
• Construction began February 2013
• Substantial Completion anticipated February
2013
CSP Example
West Houston MOB 2
CMR w/ Design Assist Subcontractors
Project
Management
Team
Construction
Manager A/E
Subcontractor Subcontractor Subcontractor
Methodist
Project Life Cycle
PROGRAM
PRELIM. DESIGN
CONCEPT
PROJECT LIFE CYCLE
PR
OJ
EC
T
EX
PE
ND
ITU
RE
S
FINAL DESIGN
BUY-OUT
CONSTRUCTION
FURN./
COMM.
LE
VE
L
of
INF
LU
EN
CE
Selection of Delivery Model
Cost
Curve
Influence
Curve
Project Delivery Selection
Problems with typical CM at Risk integration
More information is needed earlier in project conceptualization
Critical technical knowledge, cost and creativity exist in the Sub-contractor and Manufacturing firms
The procurement “below” the CM-R tends to become design-bid-build (slowest & least innovative procurement)
Key parts of project are redrawn in shop drawing process by selected Sub-contractor & Manufactures
Traditional Flows of Project Information
•Construction
Documents
•Technical
Bulletins
•RFIs
•Submittals
Project Life Cycle
PROGRAM
PRELIM. DESIGN
PROJECT LIFE CYCLE
PR
OJ
EC
T
EX
PE
ND
ITU
RE
S
FINAL DESIGN
BUY-OUT
CONSTRUCTION
FURN./
COMM.
LE
VE
L
of
INF
LU
EN
CE
Selection of
Construction Manager
Cost
Curve
Influence
Curve
Desired Point of Project Integration
CMR w/ Design Assist Subcontractors
Project
Management
Team
Construction
Manager A/E
Subcontractor Subcontractor Subcontractor
Methodist
Goal: Move up key
subcontractors in
process as Design-
Assist agents
Project Delivery Method
CMR-DA Example
West Houston Hospital
• Green field site
• 193 bed, 465,000SF Hospital
• 20,000 SF Central Thermal Plant
• 160,000 Medical Office Building
• $325M TPC
• Master planned to double capacity over time
• Design team selected October 2007
• First Patient admitted December 2010
West Houston Hospital
OWNER
ARCH
ENG
SUB
SUB
CM
Collaborative team selection
Design-Assist Agents
HVAC
Plumbing
Electrical
Glazing/curtain-wall
Elevator
Medical Equipment
Fire Protection
Kitchen Equipment
Specialty
Management teams
Meets weekly to coordinate design
and documents
Team does clash detection
Design Assist Team Field Coordination Team
Meets weekly to plan and coordinate
work to be installed
Focus is on short term: 2 to 4 weeks
CM AE
Owner
PM
Global
Push scheduling
Granular
Pull scheduling
Design Assist Team
• Weekly work sessions with CMR, architect, engineers
and design assist subcontractors starting at Design
Development
• 3D modeling with collision detection managed by the
HVAC subcontractor incorporated structural frame and
all above ceiling items
• Design team developed documents to Issue For Permit
(IFP) status and handed off to Design Assist Sub
• Design Assist subcontractor then completed detailed
design for Final Design documents
• Final Design documents were modeled to resolve
conflicts, reviewed by design team and then sent to
procurement or fabrication.
Field Coordination Team
• Weekly work sessions with CMR, architect, engineers
and subcontractors starting at beginning of construction
• Focus on procurement and construction sequencing led
by the CMR
• Purpose was to insure resolution of systems in order to
maintain construction schedule
• Typically concentrated on items that would be required
for efficient sequencing of work
• Also focused on items needed for buy-out packaging
and for building permitting in a Just-in-Time manner
Design Assist Building Information Modeling
One-line duct layout
3D Modeling
Off-site Duct Fabrication from 3D Model
Prefabricated plumbing fixtures from 3D Model
Prefabricated Window Assemblies from 3D Model
CMR-DA Example
Build-out Sugar Land Hospital
• Build-out of a cold-shell bed floor
• Two nursing units of 28 beds each; total of 56
beds
• $9.8M TPC
• 39,500 SF
Design Assist Headwall
Design Assist Headwall
Design Assist Headwall
Risk transfer
Complete risk transfer
No collaboration No risk
No accountability
Risk transfer
Pro
ject
Perf
orm
an
ce
Shared and allocated
risks and rewards
Challenges of Design Assist Process
How to keep early selection Sub-contractor competitive
in final pricing
Design team and construction team naturally revert to
traditional roles
Reluctance to step out of traditional roles due to
unknown risk issues
Many Subcontractors do not have design assist
capability
Many CMRs and Subcontractors are reluctant to commit
to GMPs until construction documents are well
developed
How to define the appropriate Design Assist hand-off
point
Program Management 2.0 is available
from the CMAA bookstore at
www.cmaanet.org/cmaa-bookstore