Lecture 8 Flashcards
ECI contractor selection
non price attributes since price is negotiated once risks and such are discussed.
adv of ECI
work alongside agency best for project, descisions made innovation better risk assessment results in cheaper shorter greater cost certainty
what are the three sperable portions in ECI
first, inital research, non price tender, request for funding . then
1 secondary investigation and first design-
2 planning and specimen design.
for 1 and 2, design is peer reviewed and time cost is negotiated
3 construction
for 3 a parallel estimator is hired for costing of works
results. is ECI faster
no consensus, owner and contractors think faster but consultants think length cost negotiation and longer since involving contractor in design phase
results, is eci cheaper
cheaper for owner, not for consultant-dont like open book
is eci better quality
yes, clear objectives
ECI encourages work above expectations due to project
‘ownership’ but isnt better for environment bc resource consent legal stuff is the same depsite it
eci-staff involvement issues
- culture is biggest barrier,
- senior staff need to be there for key decisions
risk factor eci
contractors have greater risk bc they are involved with the design but they know all details so overall lower risk
ECI is hybrid of what
allience (design phase) and DB (construction)
when to use ECI
If there is a risk of not obtaining competitive tenders using other
procurement methods
so end adv and disadv of ECI
tendering process less costly early procurement of materials increased innovation fewer variations during construction disadvantages increased cost from optioneering increased cost for having to hire a cost estimator
PBMC
performance based management contract
adv PBMC
reduction in costs, risk transfer, economies of scale, enhanced asset management
disadv PBMC
costly tendering
long tender period
loss of flexibility
reduction in competition.
