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Construction Management Procurement for Better Outcomes
Better outcomes for clients using Construction Management procurement
As lead consultant, Architects very often give advice to clients on the best way of procuring a project. Giving this advice to clients can be onerous and, if not carefully assessed and considered, can result in unsuccessful projects.
Under the RIBA Plan of Works 2013, procurement is flexible to allow for a number of forms of procurement. However, it is generally expected to occur during Stages 2 to 4. It is also suggested that the procurement route is determined in Stage 1.
Despite the various methods of procurement available the most commonly employed are Traditional and Design & Build. According to a RIBA members’ survey carried out in 2012, only 18% of projects used a management approach. Whilst there are some disadvantages to adopting a management approach, download for more details, these do not explain why it is not used more frequently.
An alternative method of Procurement
The two main variants in the United Kingdom are Management Contracting (MC) and Construction Management (CM) procurement.
The clear distinction between MC and CM is that the former directly places contracts with Work Contractors, whereas CM manages Trade Contractors, which are contracted by the Client.
Construction Management procurement appoints a qualified Construction Manager, early in the design process, who acts as a consultant to the client. This means that their experience can be utilised to improve the cost and buildability of proposals as they develop. The Construction Manager also advises on the programme, trade packages, selection of potential tenderers, design and construction interfaces and risk.
Why Construction Management is gaining popularity
In construction and property markets, main contractors don’t have the appetite to accept riskier projects by conventional procurement routes, such as single stage design and build lump sum all-risk contracts.
Clients are also realising that lump sum contracts do not always provide the best value for money. The need to secure better value, openness, transparency and a collaborative approach is driving Clients, and those advising on procurement, to look at alternative solutions. Architects especially appreciate having direct access to specialist contractors to develop design solutions that ultimately benefit the Client.
With experience in Construction Management Evolution5 is ideally placed to help you help your client.