Subcontractor Procurement Flashcards
What does a construction manager/general contractor do ?
The construction manager/general contractor uses management techniques to oversee the planning and construction of a project
What is a subcontractor?
A subcontractor is a business that performs part or all of the obligations of another’s contract
What is the subcontractor responsible for?
- performing work of a specialized skill
- maintain the project schedule
- typically procures equipment and material for the project
What are some factors affecting the type of subcontractor you’ll need?
- the type of project
- required certifications
- scope of work
- design-assist
- delegated design
What are some unique project types?
- healthcare
- science and technology
- office
- government or private
- historic
- sports & entertainment
What are bid packages?
elements of a project that subcontractors can bid to work on a project
What is included in the bid package?
All elements of the eventual contract are clearly defined in the bid package to eliminate confusion and conflict and to maximize competitive pricing
How do contractors avoid scope gaps and scheduling issues in the subcontracter procurement?
To avoid scope gaps and scheduling issues, detailed descriptions and schedule requirements are included in the bid package
What are some contract requirements in subcontractor procurement?
- certifications
- design requirements: design-assist or delegated design
- liquidated damages
- multi-shift work
What are some pre-qualifications for subcontractor procurement?
- licensing
- certification
- management stability
- financial strength
- bonding capacity
- workload and capacity
- safety record
- relevant experience
- claims record
- project references
How is diversity and inclusion a part of subcontractor procurement?
- through outreach to women and minority owned subcontractors
- creating partnership opportunities
- customized bid packages
- mentorship and training
What are some scheduling considerations for subcontractor procurement?
- Labor availability - crew flow
- material/equipment lead time verification
- vendor (2nd tier) selections
- management capability
What are some financial considerations for subcontractor procurement?
- the subcontractors credit rating
- current contract commitments
- bonding capacity available
What are some safety considerations for subcontractor procurement?
- EMR rating
- project specific safety plan
- OSHA/VOSH Safety record
What is an EMR rating?
Experience Modification Rating: a calculation used by insurance firms to price the cost of workers compensation premiums. Rating of 1.0 is industry average. The EMR is an indicator of potential risk.