Strategic Management Assignment : D&C Company
Added on 2021-05-27
18 Pages4180 Words45 Views
Professional DevelopmentPolitical Science
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Procurement 1STRATEGIC CONSTRUCTION PROCUREMENTStudent’s NameInstitutionCityDate
Procurement 21.Method of design and construction procurementKey CharacteristicsThe following non-exhaustive list contains a number of major concerns in the building industry employers often consider the use of D&C[ CITATION Are17 \l 1033 ];1.Cost firmness and certainty2.The reduced responsibility for legal issues3.Reducing time overruns and cost of the project4.Early beginning on site5.The business relationship that is continuous6.Contracts that are continuedImplementation processAfter the need for constructing is identified, the client adequately stipulates his requirements in form of physical design requirements and the intended purpose of the building. A number of chosen contractors of buildings are invited to present their proposal alongside their cost estimates[ CITATION Ash18 \l 1033 ]. The process invokes competition on design amongst contractors, a procedure that is not offered in other systems of procurement and allows optimization of production and design costs. The D&C is a suitable system for industrialized standard buildings which include warehouses and factories, residential complexes and flats, institutional buildings, office complexes and buildings and hotels. D&C companies may appoint a consultancy designer from a firm whereon complex and large projects and also special projects,wherein such instances the responsibility of the designer appointed is not the employer but to the
Procurement 3D&C Company. However, an agent is normally selected by the client to secure his interest in andmake sure that the proposal of the contractor gets planning approvals[ CITATION Bra09 \l 1033 ]. The D&C systems of procurement processes that are engaged are illustrated in the below figure[ CITATION Bra09 \l 1033 ]Advantages1.The responsibility of single point.It is such a special feature of D&C where the client enjoys the benefit of dealing with one organization that in all aspects related to the project are responsible. The contact between the contractor and the client that is direct is one among the advantages claimed and used in the arrangement of D&C where, the claim is supported by the fact that the obligation of construction, design and the needed performance of the structure entirely lies with a single party who is the contractor[ CITATION The18 \l 1033 ]. 2.Reduces the overall scale of time of the project which is important in the system of procurement
Procurement 4Discipline on the employer is imposed by the D&C to fully define the brief earlier which makes it possible for the design to overlap with construction hence causing the shorter duration of the project. Additionally, integration under D&C helped in the overlapping of design with communication that is improved between contractor and client and construction[ CITATION Bur11 \l 1033 ].3.Offers no claim rather little chance for possible delays caused by improper information.D&C was championed as one of the ideal ways of preventing delays and reduces ligation andon claims that are costly. Adopting build and design as an alternative procurement construction system to the Ghana traditional method because the builder and designer are part of the similar entity of D&C, employer especially is not the guarantor of the accuracy and completeness of the work of the engineer or architect, the employer can avoid disputes and conflicts between the main contractor and the engineer or architect which may arise. An analysis indicated that one of the D&C strengths is that the proposal of the contractor will always include solutions designed to the problems contained in the requirements of the employer. Following this, the contractor is not just competing in price as it is in most of the other systems of procurement but also an important criterion if any to the client. The method motivates the application of creativity and innovation if such approaches are implemented[ CITATION Bec17 \l 1033 ].DisadvantagesOne of the greatest disadvantages of D&C is that in regards to the requirements of the employer, the brief need not be ambiguous but must be clear at the very young stages. Briefs which are inadequate and hazy that cannot be precisely communicated to the contractor of the client of his
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