Advantages of Various Forms of Procurement in Construction Industry

Running head: English Essay
English Essay
Name of the Student
Name of the University
Author Note

1ENGLISH ESSAY
Essay Plan:
 Definition of the word Procurement
 The key criterion that comes first in various forms of procurement
 The Principal procurement routes used in construction
 Advantages of Traditional Procurement
 Advantages of Design and Build Procurement
 Advantages of Construction Management Contract
 Advantages of Management Contracting
 Advantages of Private Finance Initiative/ Public Private Partnership
 Conclusion

2ENGLISH ESSAY
INTRODUCTION:
Procurement refers to the process that entails finding and acquiring goods from
consultants and contractors often by a competitive process of bidding after agreeing to their
terms and conditions. The process of procurement is undertaken to ensure that a client receives
goods and services at the best possible price. The essay aims to address the relative merits of the
various forms of procurement currently used in the construction industry.
DISCUSSION:
The key criterion that comes first in various forms of procurement includes certainty of
completion date, cost certainty, functionality, and performance. The key criterion helps a client,
contractor and subcontractor in identifying the type of procurement. The principal procurement
routes used for construction include Traditional Procurement, Design and Build Procurement,
Construction Management Contract, Management Contracting and Private Finance
Initiative/Public Private Partnership.
The advantages of Traditional Procurement include the fact that it is easy to understand
and gives the client a greater control over their project, also gives the client cost control, offers
good design and flexibility to the client and it ensures that the rights, interests and
responsibilities of the parties concerned, are clear (Bakar et al.2016). It also offers competitive
fairness. The advantages of Design and Build Procurement include the fact that it reduces
coordination time, expenses and offers single point of responsibility for project owners. It is
conducive to controlling costs and conducive to controlling schedule, it offers flexibility in terms
of design and this process of procurement is quick to identify and rectify errors (Tran, Molenaar