Central Queensland University Contract and Procurement Presentation

This presentation analyzes contract and procurement management strategies for the expansion of the Central Queensland University (CQU) Melbourne campus. It explores various procurement methods, including traditional, design and build, management contractor, and construction management, evaluating their advantages and disadvantages. The presentation recommends the management contractor procurement method, highlighting its suitability for the project's quality, time, and cost factors. It discusses the benefits of design flexibility, competitive tendering, and the selection of a fixed price or lump sum contract type. The presentation emphasizes the role of the management contractor in coordinating pre-construction and construction activities, managing risks, and ensuring the project's successful execution. References from various academic sources support the analysis and recommendations.

BY
NAME
INSTITUTIONAL AFFILIATION
PRESENTATION ON CONTRACT AND
PROCUREMENT MANAGEMENT

OUTLINE OF PRESENTATION
 INTRODUCTION
 METHODS
 DISCUSSION
 ADVANTAGES/DISADVANTAGES
 CONTRACT TYPE
 CONCLUSION
 REFERENCES

INTRODUCTION
 As the Construction manager of PPMP20011 Contract and
Procurement , there is need of providing in-depth and good advices
in terms of:
 Cost
 Quality
 Time
 This method will be involved during the expansion construction of
Central Queensland University campus to meet the increasing
number of students and also provide a suitable university lie within
the Melbourne campus

METHODS
Procurement Routes
Some of the procurement method that can be used by the CQU to ensure
quality, cost, and time in their project include:
 Traditional Procurement Route
 Design and Build Procurement Route
 Management Contractor Procurement Route
 Construction Management Method

Traditional Procurement Route
Advantages
 Easy to value and arrange
 Well-known procedures
 Price certainty
 Competitively fair
Disadvantages
 Reduced cost and time
 No input of contractor
 Longer duration

Design and Build Procurement Route
Advantages
 Reduced duration
 Design flexibility
 Potential cost saving
 Quality and time
Disadvantages
 Fixed cost
 Not good for inexperienced clients
 Lack of specialist

Management Contractor Procurement Route
Advantages
 Reduced duration
 Price certainty
 Quality
 Reduced cost
 Design flexibility
 Design flexibility Disadvantages
 Fixed cost
 Lack of available specialist

Construction Management Route
Advantages
 Reduced duration
 Price certainty
 Quality
 Reduced cost
 Design flexibility
 Design flexibility
Disadvantages
 Fixed cost
 Lack of available specialist

DISCUSSION
Selected Route: Management Contractor Procurement Method
 The traditional procurement method could have been an option in the Central Queensland
University (CQU) project.
 This procurement method is only good for quality project, flexibility in design, specialist
contractors.
 This management contractor method enables some work contracts to be tendered earlier than others,
and sometimes, even before the completion of design.
 The competitive tendering of each construction element by the management contractor on behalf of
the client.
 This will ensure that the company attain the best prices across the board for all the tenders hence
reducing the construction cost of the project.

 Management contractor procurement method has been preferred as the most
suitable procurement method for the construction of Central Queensland
University (CQU) project since the method satisfies:
 The quality factor
 The time factor
 The cost factor
 This method gives the provision of design flexibility which allows changes in
the design to improve quality of the project.
 The enables some work contracts to be tendered earlier than others, and
sometimes, even before the completion of design.

ADVANTAGES
 This method also gives the provision of design flexibility which allows
changes in the design to improve quality of the project.
 The contractor only selects the best design specifications that meets the
required client demand
 The management contractor will be acting as a principal such that no
contractor can make direct claim to the client in case the management
contractor becomes insolvent.

 The management contractor has powers to terminate the contract made by
suppliers of construction elements although there are potential implications on
the construction cost especially when contractors fail to deliver materials or
services.
 The management contractor covers both the construction and pre-construction
activities.
 This includes all the contracts and risks which will all be moved by the
employer to the management contractor.
 The management contractor is appointed by the employer previously in the
process of design due to their experience and management skills which can be
applied in the improvement of the buildability.