Contract Management and Project Delivery: A Detailed Report

This report examines contract management and project delivery, focusing on the Integrated Project Delivery (IPD) process and its impact on complex building projects. The report begins with an introduction highlighting the frequent failures of building projects to meet performance expectations and the emergence of IPD as a potential solution through supply chain integration. It then delves into the current project delivery systems, including design-build, design-bid-build, and construction management at risk, while also discussing the shortcomings of these systems due to a lack of integration. The report emphasizes the importance of coordination and the implementation of IPD for improved performance. The methodology involves simulation modeling and the use of the General Performance Model (GPM) to analyze the relationships between project processes, strategic decisions, and supply chain management. The report further explores organizational structures, contractual relationships, and supply chain dynamics, highlighting the significance of team communication and alignment of objectives. The findings indicate that IPD outperforms other delivery systems, especially when combined with effective contractual strategies, positively influencing supply chain relationships. The conclusion underscores the applicability of IPD in various construction sectors, emphasizing its potential to address fragmentation within the construction industry and improve overall project outcomes.

Running head: CONTRACT MANAGEMENT AND PROJECT DELIVERY
Contract Management and Project Delivery
Name of the Student
Name of the University
Author Note

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CONTRACT MANAGEMENT AND PROJECT DELIVERY
Table of Contents
Introduction......................................................................................................................................2
Body.................................................................................................................................................2
Conclusion.......................................................................................................................................4
References........................................................................................................................................5

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Introduction
The article which has been selected is “Exploring performance of the integrated project
delivery process on complex building projects”. As it is very commonly known that several
kinds of building projects fail massively in meeting various performance expectations of its
respective owners, the procedure of delivering projects needs to be highly focused on.
Additionally, IPD or integrated project management has also come up in the form of an advanced
and a new delivery system which possesses qualities of provide better levels of performance with
the inclusion of integration of supply chain.
Body
According to (Mesa, Molenaar and Alarcón, 2016), both the construction and design
industry its respective approach towards integrating teams of construction within the design
procedures. Three systems of successful delivery of project which are currently being utilized
comprises of design-build (DB), design-bid-build (DBB) along with construction management at
risk (CMR). These particular system of delivery are selected by the owners for the aim of
meeting their respective goals with respect to cost, quality performance along with time as well.
But in contradiction to this, failure of numerous building projects still exists.
The reason behind this could be the lack or absence of integration within these particular
systems of delivery which further leads towards the poor performance. It could be improved with
the inclusion of higher levels of coordination among the accountable participants and
introduction of integrated project delivery or IPD for achieving better performances. Filling of
the knowledge gap in the context of performance of IPD has also been focused along with the

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involvement of several kinds of methodologies like that of simulation and decision making as
well.
The delivery of the projects in accordance with supply chain relationship, contractual
relationship along with the strategy of the organization has also been focused on. The research
methodology which has been considered forms simulation modelling which could help in
providing an alternative approach for exploring the performances of project delivery. It could
also take the advantage of professional experiences where the aggregate data of any particular
building project is absent. Additionally, it would also turn helpful in providing a better
understanding of several kinds of variables which would help in boosting up the performances.
Additionally, advanced CIA or cross-impact analysis like General Performance Model
(GPM) has also been utilized as one of the methodologies which would help in boosting the
performances such that projects could get delivered in a successful manner and taking strategic
decisions. The GPM conceptual model has been discussed which mainly indicates that each and
every processes of the projects are the results of strategic decisions along with the management
of supply chain. It also indicates that four major variables like drivers, processes and strategies
are considered by this particular model. Strategies become factors which helps in describing the
system of project delivery.
The structure of project organization has also been focused where the higher levels of
participation of the designer, constructor and the owner through several phases of
communication, construction and design becomes essential. The owner becomes accountable for
describing the structure of the organization along with the contractual relationships for the aim of
project development. Several organizational structures have been mentioned with respect to the

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activities performed by the owner which involves signing of contracts. The contractual
relationship comprises of the procurement of the team of the project along allocation of risks and
compensation forms. It also involves the final selection of all the primary members of the team.
The supply chain relationship becomes accountable for driving the performance of the
system of project delivery. The sensitivity analysis was performed which helped in showcasing
that the outcomes of the project is relatively sensitive with the alignment of objectives and
interest, team work and communication. IPD system outperformed all the kinds of delivery
system of project as IPD along with the inclusion of the contractual strategy had positive impacts
over several drivers which in turn help in describing the relationships of supply chain.
Conclusion
The most interesting fact is that IPD additionally becomes applicable in the context of
several other sectors like that of industrial infrastructure or construction. There are several kinds
of construction areas where the system of IPD also becomes applicable. The integration of the
project team helps in successful delivery of the project as it possesses potential for mending the
fragmentation of the construction industry and the application of IPD system would also help in
the removal of team fragmentation.

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References
Mesa, H.A., Molenaar, K.R. and Alarcón, L.F., 2016. Exploring performance of the integrated
project delivery process on complex building projects. International Journal of Project
Management, 34(7), pp.1089-1101.