Cost Effective Construction Requires Alternative Construction Delivery Methods – JOC, SABER, IPD…

Published on by pcholakis

Alternative Construction Delivery Methods (ACDM) is a term commonly applied to business processes beyond traditional design-bid-build – DBB.   They have evolved due to the need to reduce waste, litigation, and other negative aspects associated with design-bid-built.    Forms of alternative construction delivery methods include:

Integrated Project Delivery – IPD:  Typically reserved for major new construction

Job Order Contracting – JOC:  A type of integrated project delivery methods, sometimes referred to as “IPD-lite”, commonly used to more efficiently delivery the numerous repair, renovation, and maintenance projects facing facility Owners and Contractors.  (Job Order Contracting is also known as SABER in the United States Air Force.)

Construction Manager at Risk, and Design Build – Variants of design-bid-build that share risk and promote high levels of collaboration.  Typically reserved for major new construction.

In order to achieve cost effective construction, that is deliver more construction project on-time and on-budget to the satisfaction of participants and stakeholders, requires some or all of the following:

  1. Qualifications or Best Value Selection… NOT low bid!
  2. Some form of pricing transparency and standardized cost data (for example, for JOC, an RSMeans Unit Price Book – UPB).
  3. Early and ongoing collaboration between project participants and stakeholders.
  4. Some form of financial incentive to drive performance.
  5. Appropriate distribution of risk.
  6. Ongoing training.
  7. Supporting cost estimating and project management technology to reduce implementation costs, aid in consistent deployment of business processes and/or workflows, and to enable monitoring of key performance indicators (KPIs) or alternative metrics.

None of the above is either “new” or “rocket science”, however, many/most organizations fail to implement standardized
” best management practices ” when it comes to facility renovation, repair, construction.   IPD and JOC are robust, proven, and supporting technology is available for implement.  That said, the industry as a whole continues to rely upon spreadsheets, disparate forms of information, and archaic, antagonistic construction delivery methods.

Does anyone know why?

via – http://www.4Clicks.com – Premier Cost Estimating and Project Management Software for JOC, SABER, IDIQ…

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