Project Administration
Project Delivery Methods
Learning Objectives:
- Recognize the significance of project delivery methods in civil engineering, including their impact on project outcomes, cost, schedule, and risk.
- Understand the traditional project delivery method, also known as the Design-Bid-Build (DBB) approach, where project phases are sequentially executed, starting with design, followed by bidding, and then construction.
- Learn about the Design-Build method, where a single entity, the design-builder, is responsible for both the design and construction phases, fostering collaboration and potentially accelerating project schedules.
- Explore the Construction Manager at Risk approach, where a construction manager is engaged during the design phase to provide input on constructability and cost, and later transitions to a construction role with a guaranteed maximum price (GMP).
- Understand the comprehensive DBOM method, which extends the scope of Design-Build to include operation and maintenance responsibilities, often used for infrastructure projects with long-term operation requirements.
- Familiarize yourself with the Public-Private Partnership model, where public and private entities collaborate to finance, design, construct, operate, and maintain infrastructure projects, sharing risks and benefits.
- earn about the Integrated Project Delivery method, which emphasizes collaboration and early involvement of all project stakeholders, including architects, engineers, contractors, and owners, to improve project efficiency and outcomes.
Project delivery methods refer to the processes and approaches used to plan, design, construct, and manage civil engineering projects. These methods play a crucial role in determining how projects are executed, the roles and responsibilities of project stakeholders, and the allocation of risks and responsibilities. Understanding project delivery methods is essential for civil engineers involved in project management and construction.
Design-Bid-Build (Traditional Building):
The Design-Bid-Build (DBB) project delivery method, also known as the traditional building method, is a linear and sequential approach to construction projects. It involves distinct phases: design, bidding, and construction, with separate contracts for each phase.
Phases in the Design-Bid-Build Process:- Design Phase: In this phase, the design team, including architects and engineers, develops the project's design, specifications, and construction documents. The design phase is completed before the project is put out for bidding.
- Bidding Phase: Once the design is finalized, the owner solicits bids from contractors based on the design documents. Contractors prepare and submit bids for the construction work.
- Contract Award: The owner reviews the bids and selects a contractor based on factors such as price, qualifications, and experience. A construction contract is awarded to the selected contractor.
- Construction Phase: The construction phase begins with the contractor mobilizing on-site and executing the construction work according to the design documents.
- Project Completion: The contractor completes the project and turns it over to the owner.
- Separation of Roles: Design and construction responsibilities are distinct, providing checks and balances in the project delivery process.
- Competitive Bidding: Competitive bidding can lead to cost savings for the owner.
- Design Flexibility: The owner can choose a design team and make design changes without bias.
- Standard Practice: The traditional approach is well-established and widely understood in the construction industry.
Design-Build (D-B):
The design-build project delivery method is an integrated approach to construction where the design and construction phases are combined into a single contract. In this approach, a single entity, typically a design-build firm or a general contractor, is responsible for both designing and constructing the project.The Design-Build Process:
- Request for Qualifications (RFQ): The owner issues an RFQ to solicit qualifications from design-build teams.
- Request for Proposals (RFP): Shortlisted teams receive the RFP, outlining project requirements and evaluation criteria.
- Proposal Submission: Design-build teams submit their proposals, which include preliminary designs and cost estimates.
- Contract Award: The owner selects the preferred design-builder and awards the contract.
- Design Phase: The design-builder proceeds with the detailed design and engineering work.
- Construction Phase: Once design is approved, construction activities commence.
- Project Completion: The design-builder delivers the completed project to the owner.
- Single Point of Responsibility: The design-builder is accountable for both design and construction, simplifying the project's management for the owner.
- Faster Project Delivery: The design-build method often leads to faster project completion due to concurrent design and construction activities.
- Cost Certainty: The design-builder can provide more accurate cost estimates earlier in the project, reducing budget risks.
- Innovation: Design-build encourages innovation and collaboration between the design and construction teams.
- Streamlined Communication: With a single entity in charge, communication is more efficient and streamlined.
Construction Manager at Risk (CMAR):
The Construction Manager at Risk (CMAR) project delivery method is a contractual arrangement in construction where the owner hires a construction management firm early in the project's development, and the CMAR assumes the risk for project cost and schedule.
The CMAR Process:- Selection of CMAR: The owner selects a CMAR through a competitive procurement process, typically based on qualifications, experience, and proposed approach.
- Pre-construction Phase: The CMAR is involved during the design phase, providing input, value engineering, and construction expertise.
- Guaranteed Maximum Price (GMP): The CMAR provides a GMP to the owner based on the completed design documents and specifications. This GMP is a firm price for the project.
- Construction Phase: Once the GMP is accepted, the CMAR proceeds with the construction phase, managing subcontractors and the construction process.
- Project Completion: The CMAR delivers the completed project to the owner.
Job Order Contracting (JOC):
Job Order Contracting (JOC) is a project delivery method used in construction and facility management. It allows for the efficient execution of a large number of small to medium-sized construction or renovation projects through a single, long-term contract.
The Job Order Contracting Process:- Contract Award: The owner selects a JOC contractor through a competitive procurement process. The contract typically has a fixed duration.
- Job Orders: The owner identifies a need for a specific project, defines the scope of work, and issues a job order to the JOC contractor.
- Pricing: JOC contracts use a unit price book that lists pre-negotiated prices for various construction tasks. The contractor applies these unit prices to the job order's scope to determine the cost.
- Project Execution: Once a job order is issued and accepted, the contractor performs the work as defined in the order.
- Closeout: Upon completing the work, the contractor provides the necessary documentation, and the owner reviews and approves the work.
- Payment: The owner pays the contractor for the completed work as per the unit prices in the contract.
- Efficiency: JOC streamlines the procurement and project delivery processes, allowing for rapid project initiation and completion.
- Cost Control: JOC contracts provide price transparency and consistency, making it easier to manage costs.
- Flexibility: Owners can quickly address various project needs without going through a time-consuming traditional bidding process.
- Relationship Building: JOC often involves long-term relationships between owners and contractors, fostering collaboration and trust.
- Quality Control: JOC contractors are motivated to deliver high-quality work, as their long-term success depends on owner satisfaction.
Multiple Award Task Order Contract (MATOC):
Multiple Award Task Order Contract (MATOC) is a project delivery method used in construction and procurement that allows government agencies or organizations to establish multiple indefinite-delivery, indefinite-quantity (IDIQ) contracts with pre-qualified contractors for a range of construction and renovation projects.
The MATOC Process:- Contract Establishment: The owner, typically a government agency, establishes MATOC contracts with multiple pre-qualified contractors through a competitive procurement process.
- Task Order Issuance: When the owner has a specific project, they issue a task order under the MATOC contract, defining the scope, schedule, and budget for that particular project.
- Task Order Competition: Contractors who are part of the MATOC compete for the task order by submitting proposals and pricing.
- Contract Award: The owner reviews the proposals and selects the winning contractor for the task order.
- Project Execution: The selected contractor performs the work as defined in the task order.
- Closeout: Upon project completion, the contractor provides the necessary documentation, and the owner reviews and approves the work.
- Payment: The owner pays the contractor for the completed work as per the pricing established in the task order.
- Government Projects: MATOC is frequently used by government agencies at the federal, state, and local levels for various construction and renovation projects.
- Military Construction: The U.S. Department of Defense often uses MATOC for military construction and facility maintenance projects.
- Infrastructure Projects: MATOC is suitable for civil engineering projects such as roads, bridges, and utilities.
Solved Example: 9061-01
What project delivery method is it when the designer, contractor and owner sign one multi party contract?
A. Design Bid Build
B. CM at Risk
C. Design Build
D. Integrated project delivery
Correct Answer: D
Solved Example: 9061-02
What is the typical reimbursement used with Design-Bid-Build?
A. Lump sum
B. GMP
C. Target price
D. None of the above
Correct Answer: A
Solved Example: 9061-03
Under agency CM, construction phase services typically begin once the __________.
A. The BID is submitted
B. The plan and specs are finished
C. The pre-construction phase is completed
D. None of the above
Correct Answer: C
Solved Example: 9061-04
In the design-bid-build method of project delivery, who assumes the risk of defects in the contract documents?
A. Owner
B. Architect
C. Contractor
D. Project Manager
Correct Answer: A
Documents
Learning Objectives:
- Explain the importance and purpose of project documents in the context of civil engineering projects, including legal and regulatory requirements.
- Identify and differentiate between various project documents such as drawings, specifications, contracts, permits, and reports.
Projects often require various permits and regulatory approvals, including environmental permits, zoning permits, and building permits.
Contract documents include the formal agreement, subcontracts, and change orders.
Project reports document project progress, issues, and final results.
Project documents include drawings, specifications, contracts, permits, reports, and various other documentation related to a construction project.
Specifications detail the quality and performance standards that materials and workmanship must meet.
Solved Example: 9493-01
The essential element of contract is:
A. Security deposit
B. Estimated cost
C. Tender notice
D. Offer and acceptance
Correct Answer: D
Solved Example: 9493-02
In which type of contract the contractors have to quote rate of each item of work without reference to any schedule of rates?
A. Item rate contract
B. Percentage rate contract
C. Schedule rate contract
D. Lump sum contract
Correct Answer: A
Solved Example: 9493-03
The person who takes lease is known as:
A. Lease
B. Lessor
C. Lesser
D. Lessee
Correct Answer: D
Management
Learning Objectives:
- Define the role and significance of construction management in civil engineering projects.
- Identify emerging technologies and innovations in construction management, including Building Information Modeling (BIM), drones, and project management software.
- Construction management is the planning, coordination, and control of a construction project from inception to completion.
- It involves managing resources, time, cost, quality, and safety to ensure project success.
- Responsibilities of project managers include project planning, scheduling, budgeting, and quality control.
- Pre-construction involves planning, design, and procurement. The construction phase is where physical work occurs, and post-construction includes closeout and occupancy.
Alphamu57, CC BY-SA 4.0, via Wikimedia Commons
Solved Example: 9060-01
Consider the following phases of project management:
- Identification
- Formulation
- Appraisal
- Implementation
Which of the above phases are relevant, sequentially?
A. 1, 2 and 3 only
B. 1, 2 and 4 only
C. 3 and 4 only
D. 1, 2, 3 and 4
Correct Answer: D
Solved Example: 9060-02
Project management audit consists of which of the following?
- Project work-breakdown structure verification and the relevance.
- Risk identification, cost, levels and security.
- Measurements of risk impacts.
Select the correct answer using the code given below:
A. 1 and 2 only
B. 2 and 3 only
C. 1, 2 and 3
D. 1 and 3 only
Correct Answer: C
Solved Example: 9060-03
What is an optimizing strategy?
A. Strategy of choosing the best possible solution considering all parameters
B. Strategy of choosing a compromise solution
C. Strategy of choosing the least cost solution
D. Strategy of choosing a solution on the basis of precedents
Correct Answer: A
Solved Example: 9060-04
Who is responsible for the following activities in a project?
- Achieving a unity of control over project activities
- Having an authority to control project matters and disburse funds form the budget
- Having no actual line of authority over workers
A. Project Expeditor
B. Project Coordinator
C. Matrix Manager
D. Project Manager
Correct Answer: B
Solved Example: 9060-05
Consider the following statements regarding project management:
1. It is the process of attaining project objectives in a stipulated time to -produce quantified and qualified deliverables
2. It is the art of bringing together the responsibilities, resources and people necessary to accomplish the business goals and objectives within the specified time limitations and within the financial grant
Which of the above statements is / are correct?
A. 1 only
B. 2 only
C. Both 1 and 2
D. Neither 1 nor 2
Correct Answer: C
Solved Example: 9060-06
Direction:
It consists of two statements, one labelled as Statement (I) and the others as Statement (II). You are to examine these two statements carefully and select the answer using the codes given below:
Statement (I): Project management is essentially the process to plan its implementation and to pre-determine the period-wise need of resources including funds and personnel, given the choice of total duration and quality standards.
Statement (II): Of the four dimensions (not denying that there can be some more) of a project; viz., scope, cost, time and quality, only any two can by pre-assigned; others have to abide by these two prescriptions.
A. Both Statement (I) and Statement (II) individually true and Statement (II) is the correct explanation of Statement (I)
B. Both statement (I) and Statement (II) are individually true, but Statement (II) is NOT the correct explanation of Statement (I)
C. Statement (I) is true, but Statement (II) is false
D. Statement (I) is false, but Statement (II) is true
Correct Answer: A
Solved Example: 9502-01
The first stage of a construction is:
A. Preparation of estimate
B. Survey of the site
C. Initiation of proposal
D. Preparation of tender
Correct Answer: C
Solved Example: 9502-02
The main function of the construction management is:
A. Planning
B. Organising
C. Directing
D. All of the given options
Correct Answer: D
Procurement
Learning Objectives:
- Define and explain the concept of construction procurement.
- Identify the primary goals and objectives of the procurement process in civil engineering projects.
- Differentiate between various procurement methods used in civil construction, including lump sum, cost-plus, design-bid-build, design-build, and construction management at risk.
Construction procurement is the process of obtaining goods, services, or construction work from external sources to meet project needs.
Common procurement methods in construction include:Open Tendering:
Open tendering, also known as competitive bidding, is a procurement method where any interested and qualified contractors can submit bids in response to a publicly advertised invitation. The process is transparent and aims to promote fair competition. Open tendering typically involves multiple bidders submitting sealed bids, and the contract is awarded to the lowest responsive and responsible bidder. This method is widely used for government projects and large-scale infrastructure developments to ensure transparency and cost-effectiveness.
Restricted Tendering:
Restricted tendering is a procurement method where only prequalified or shortlisted contractors are invited to submit bids for a specific project. Unlike open tendering, restricted tendering limits participation to a selected group of contractors based on their qualifications, experience, and financial capacity. This method is often used for complex projects where specialized expertise is required or for projects where the number of potential bidders needs to be limited to ensure efficiency and quality.
Request for Proposal:
Request for Proposal (RFP) is a procurement method that involves inviting contractors to submit proposals detailing their approach, methodology, and pricing for completing a project. RFPs are used for projects where the scope or requirements are not fully defined upfront, allowing bidders to propose innovative solutions. The evaluation criteria often include technical expertise, project approach, qualifications, and price. RFPs are commonly used for design-build projects and complex construction contracts.
Two-Stage Tendering:
Two-stage tendering is a procurement method that involves an initial prequalification stage followed by a competitive bidding stage. In the first stage, contractors are prequalified based on their experience, capabilities, and financial standing. Shortlisted contractors are then invited to participate in the second stage, where they submit technical proposals. After the evaluation of technical proposals, selected bidders proceed to the final stage, where they submit sealed price bids. Two-stage tendering allows clients to assess contractor qualifications before obtaining detailed proposals and bids.
Request for Quotations:
Request for Quotations (RFQ) is a procurement method used for small-scale or routine projects where standardized goods or services are required. RFQs invite suppliers or contractors to submit price quotations based on specific product specifications or project requirements. The selection is typically based on the lowest quoted price meeting the specified criteria. RFQs are commonly used for purchasing materials, equipment, or services with well-defined scope and requirements.
Single Source:
Single source procurement, also known as sole sourcing, occurs when a client selects a specific contractor or supplier without competitive bidding. This method is justified when there is only one qualified supplier available for a particular product or service, or when time constraints or unique project requirements justify selecting a specific contractor. Single source procurement requires transparency and justification to ensure fairness and accountability.
Solved Example: 935-01
A golden rule for the procurement of construction stones, suggests:
A. 100% at the site
B. 67% at the site and 33% under procurement
C. 50% at the site and 50% under procurement
D. 33% at the site and 67% under procurement
Correct Answer: B
Solved Example: 9443-01
What is the primary purpose of procurement in civil engineering projects?
A. To increase project duration
B. To reduce project scope
C. To acquire goods and services needed for the project
D. To enhance project aesthetics
Correct Answer: C
Solved Example: 9443-02
Which of the following is a common procurement method in civil engineering projects where the project owner selects a contractor based on qualifications and experience?
A. Design-Bid-Build
B. Design-Build
C. Construction Management at Risk
D. Qualifications-Based Selection (QBS)
Correct Answer: D
Solved Example: 9443-03
What does the term "Bid Opening" refer to in the context of project procurement?
A. The moment when contractors submit their bids
B. The review of contractor qualifications
C. The signing of the procurement contract
D. The finalization of project specifications
Correct Answer: A