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Part 13 – Design and Construction

In previous columns, we looked at “Cost Plus” and “Fixed Price” contracts. A project is considered successful if the building is delivered on time at the appropriate price and quality level… and the client is satisfied. One of the main influences on these outcomes is the method of procurement. This article looks at Design and Construct, a popular option as the contract price is fixed at an early stage and the builder takes on some of the risk of any price increase. To balance this, the builder is also the designer so he can reduce some of the risk of a price increase by redesigning or re-specifying the building.

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