Construction Project Delivery 2022

Running head: CONSTRUCTION PROJECT DELIVERY
CONSTRUCTION PROJECT DELIVERY
Name of student
Name of university
Author’s note:

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CONSTRUCTION PROJECT DELIVERY
Table of Contents
Background of the case project..................................................................................................2
Analysis of the best project delivery method for the project.....................................................2
Design-Bid-Build (DBB).......................................................................................................2
Design-Build (DB).................................................................................................................3
Construction Manager at Risk (CM@R)...............................................................................4
Benefits and drawbacks of design-bid-build..........................................................................5
Benefits and drawbacks of design build method....................................................................6
Benefits and drawbacks of Construction Manager at Risk (CM@R)....................................6
Analysis of the best financial contract type for the project........................................................9
Lump sum contract.................................................................................................................9
Guaranteed Maximum Price Contract....................................................................................9
Cost-Plus Fixed Fee Contract.................................................................................................9
Analysis of the best procurement method for the project........................................................12
Competitive..........................................................................................................................12
Negotiated............................................................................................................................13
Best Value............................................................................................................................13
Analysis of the Risk Management Plan for the project............................................................15
Risk Register........................................................................................................................15
Risk Quadrant Analysis........................................................................................................16
Risk mitigation plan.............................................................................................................17

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CONSTRUCTION PROJECT DELIVERY
References:...............................................................................................................................18

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CONSTRUCTION PROJECT DELIVERY
Background of the case project
It is a home renovation project. Client has provided a fixed schedule and budget for the
project and this project has to be completed within this schedule and budget as well.
Renovation is not to be made for the entire home, only kitchen and bedroom has to be
renovated. Owner does not have much experience in terms of project execution and therefore,
want to make this project as simple as possible in term of selection of contracts, procurements
with major emphasis on cost and quality of this project as well.
Analysis of the best project delivery method for the project
Construction projects are often large in scale and complex in nature as there are various
aspects that need to be integrated into managing construction projects. Therefore in
construction project identification of proper project delivery method is of prime importance
(Abed et al. 2018). It helps to mitigate challenges in the project that are implemented
according to client requirements objective and scope. In this context, three project delivery
methods are compared to identify the best delivery method for the chosen project. Three
project delivery method that is considered in this report are the followings:
 Design-Bid-Build (DBB)
 Construction Manager at Risk (CM@R)
 Design-Build (DB)
Before identifying which project delivery method will be best for this project it is first
required to have a brief overview of each of these project delivery methods.

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Design-Bid-Build (DBB)
Design bid build is the most commonly used delivery method in the construction project and
often considered by organisations as well. In a construction project, various contracts need to
be produced and approved by clients. In this method to separate contracts are signed one is
the architecture and another one is with the general contractor. The design is produced by
architectural form and they provide permit document required by the project owner for
initiating the project (Dykstra 2018). In some cases, Architect is involved in obtaining bids
from contractors. These bids are required for implementing construction works. In this
delivery method, not only the contractor but the architect is also responsible for working in
close coordination with the contractor and any type of risk associated with the final product
of the project is to be managed by owner.
Design-Build (DB)
In design build method, project delivery might be ensured through two different formats. One
is design build that is led by construction and another one is design build that is led by
architect.
In order to identify which of these formats are to be chosen for this project, it is required to
identify scope of construction work (Chen et al. 2016). In The Contractor-Led-Design-Build
format, a contract is made involving the owner and also General Contractor (GC). While
working in Pre-construction phase, it is required for the contractor to manage responsibilities
of a construction manager and needs to collaborate with the architectural firm. However,
contractor also needs to assume the role of GC after negotiation for the price is completed.
After that, any additional work required in the project is subcontracted.
In The Architect-Led-Design Build format, one of the most important aspect is that the
Architect needs to manage each responsibility not only in terms of design, but construction

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related activities which is done according to a single contract. The owner works in
collaboration with architect and provide the scope required for the design phase. After this,
the GC needs to be involved in the construction process for ensuing that the project is
streamlined and is implemented according to time schedule considered for the project as well.
Construction Manager at Risk (CM@R)
In the Construction Manager at Risk (CMAR) method, a commitment is required from the
Construction Manager (CM) and this is done for ensuing that the project does not require any
extra investment and it is completed within a Guaranteed Maximum Price (GMP). In order to
set this price there are various requirements that need to be considered and these requirements
are identified in accordance with the construction related documents and various
specifications which are provided while choosing the GMP in addition with some inferred
items or some construction related tasks (Smith 2017). This method is often considered for
providing professional services and also helps in communicating with the project owner
while involving in the design development and in construction phases. Along with this,
interest of the owner needs to be identified by the CMAR and provide strategies for
managing and controlling construction related costs while considering the GMP. It is
important because according to contract any costs if it exceeds the GMP and if it is not
related with change orders, then this is considered as the financial liability that needs to be
managed by the CMAR. However for managing these costs negotiations are considered and
for this value-engineering is often considered.
Best delivery method for this project
In order to choose best project delivery method, it is not important to analyse benefits and
drawbacks of each of these methods.