Whether undergoing a renovation to an existing building in a busy city or building a new facility in a rural area, it is important for clients to understand the best method for building a successful project. With the construction industry always changing, construction managers need to offer multiple ways for delivering projects on time and within budget based on the client’s needs. But how do clients know which method is best for them? It is important to consider the main factors of a project which include budget, schedule, design, client experience, and risk exposure. After considering these factors, the client can review the available delivery methods and determine which method best fits their parameters and needs.
When considering a particular delivery method, knowing the project’s goals is important because each method caters to different established goals better than others. For example, if the project requires a tight timeline, then the design-build method may be best. Or if a client is looking for a highly collaborative and quality-driven project, then construction manager-at-risk may be the best option. Other factors to consider are the level of collaboration the client wants between the design and construction teams, whether the required materials have long-lead times, or what type of control the owner wants over the project. The three most common delivery methods will be explored below; however, it is important to understand that there are many different delivery methods available such as a public-private partnership or design-build-operate.
Design-Bid-Build:
When considering delivery methods, clients may first think of design-bid-build, which is the most traditional method. This process starts with the client hiring an architect to create the design first and then sending out bids to contract a construction manager afterwards. It follows a linear timeline with no overlap between design and construction scopes. Because of this, there is no input from the construction manager during the design process, which can cause issues in communication and coordination as the project begins to take shape. This delivery focuses more on securing the lowest construction bid, but not necessarily the highest overall value, which can result in longer timelines or reduced quality. While this method typically has low construction costs, a straightforward process, and a clear project scope, these aspects can lead to more change orders and resubmission of bids. There can also be less room for innovation, and the design must be complete before construction starts.
Construction Manager at Risk:
The construction manager-at-risk delivery method starts with two separate contracts, one between the client and designer, and one between the client and the contractor. The contracts occur at similar times so that the designer and contractor can work together at the same time, compared to separate timelines with design-bid-build. Because of this, the general contractor can consult with the designer early in the process to fast-track the project and foster more communication and collaboration. Advantages of this method include better communication between design and construction, early cost estimates, a higher quality final project, and more transparency. This method also often produces lower costs and faster timelines than the traditional design-bid-build delivery method, and the construction team is picked based on qualifications instead of cost. Considerations with this method are that the pressure for a successful project falls on the construction manager and important levels of trust must be in place between the contractor and client. There also can be multiple pricing efforts required due to construction starting before designs are finalized.
Design-Build:
The design-build method is a fast-growing delivery method in which the client hires a design-builder who takes full responsibility for the entire project including the design and construction processes. This delivery method fosters increased collaboration and delivers the fastest option for a project due to the significant overlap of construction and design. According to the design-build Institute of America, the design-build delivery method holds 47% of the total share of US construction dollars and is 102% faster than design-bid-build. Advantages of this method are simplified decision-making, better collaboration, and overlap between the construction and design. These benefits reduce the number of change orders and increase the quality of the project. Another advantage is that the team is selected based on qualifications over cost.
Find what best suits your needs:
When deciding on a delivery method for a project, there are many paths to reach a successful project completion. No matter what the goals of the project are such as cost, speed of delivery, building performance, or level of client involvement, the right delivery method can produce an excellent project. Whether a client uses the traditional design-bid-build method that is a straightforward process, design-build which fast-tracks a project, or construction manager-at-risk, which is highly collaborative, all these delivery methods can be useful in their own way. Determining the right delivery method for a project may seem daunting, but understanding the project’s parameters and looking at the benefits and considerations of each delivery method can guide a client to the right decision.
