Procurement Strategy
Following planning approval the level of design work that we provide to contractors for tender will depend on the chosen form of construction contract. We can explain and help you with the selection with options to consider including: Traditional, Design & Build, and Negotiated.
Traditional contracts are often associated with simple projects or where the priorities are for the quality of construction, detail, and finish. For a Traditional contract we will complete the design and produce a detailed design and specification package for issue to selected contractors for tendering. This form of contract provides us with control of the design throughout construction, but it does mean that the financial risk of any unforeseen changes required during the build remains with you, the client.
Design and Build contracts are often associated with larger, more complex projects or where the priorities are for financial certainty with the added possibility to complete a project in less time. For Design and Build we will provide the contractors with a set of Performance Requirements to define what is to be constructed. We will tailor this information to describe in detail critical design elements and functionality, leaving the contractors to propose their own solutions for the less crucial elements. The contractors can then leverage their construction know-how and supply chain expertise for practical build solutions and potential cost savings. The selected contractor will then take responsibility for the remaining design information and for any residual financial risks through the construction phase.
A Negotiated contract can achieve high levels of quality with cost certainty. However, ultimately the success of construction has a greater reliance on high levels of trust between you and the contractor. For a Negotiated contract the basis on which the construction costs and the contractor’s profit will be calculated are negotiated in advance. This allows us to select the contractor at the same time the project develops so that they can engage in the design process. They can then provide construction expertise and “real world” pricing as the project evolves, reducing project risks and maximising the design within the available budget.