You’re ready to start your next construction project, but you’re not sure which company to contact at what point in the process. Or maybe you’ve been through a few major projects and you’re looking for a better way — a better method.
Through the years, we’ve found that a lot of our clients, even well-seasoned clients from the commercial and industrial sectors, aren’t quite sure what their contracting and building options are. They’ve heard the term “construction management” or they hate the bidding process, but they don’t know where to go from there.
We want to help you make sense of it all. To cast some light on the inner workings of a construction project, let’s talk about “Project Delivery Methods.” This refers to the method you choose to design, bid out, and construct a facility.
Most people think construction is a headache, and that you must hire an architect, then get the lowest bid from contractors, while hoping for no change orders and a fast construction schedule. They’re thinking of the design-bid-build method, and they would be surprised to learn there are other ways to build.
Let’s talk about the 3 Construction Project Delivery Methods:
- Design→Bid→Build (Traditional) Construction
- Construction Management
- Design↔Build
Design-Bid-Build or Traditional Construction
If you want to be hands-on in the process and have the time and attention to devote to your project from beginning to end, this method is for you.
With Design-Bid-Build, responsibility rests mostly with the client or owner. From the choice of the architect to taking bids on the project, you’ll handle the project organization and enter separate contracts with each individual or company. Some owners enjoy the added level of personal quality control since you’ll decide who works on your project.
You can also possibly find cheaper services with the bidding process. You have to perform an analysis to see if the cost savings is worth the increased risk with certain bids. You’ll also have to research each particular subcontractor’s ability to properly perform the work and decide which bid to accept.
With this delivery method, clients like the clear designation of duties on the project. The architect or building designer will work to plan a functional and beautiful design, then your chosen builder and subcontractors work to complete their parts. You’ll know exactly who did what.
This tends to be the slowest method of construction due to the bidding process. You also won’t have a budget until late in the project and change orders that have to go all the way back to the designer are slow and expensive. So, budgets and timelines are less reliable, and it takes longer to complete a project.
Adding insult to injury, change orders also tend to occur more often on these projects because you’re not bringing in construction expertise until after the bid is awarded. Because the contractor’s bid was based solely on the bid package (documents provided to bidders lining out expectations and deliverables), which doesn’t encourage collaboration, the owner and builder are now at odds. The owner wants the best project, and the contractor is obligated to deliver no more and no less than what they bid.
While this is the method most people are familiar with, there are other delivery methods that we find most clients prefer.
General Contractor Construction Services or Construction Management (CM)
Choosing a general contractor helps you streamline the construction process. With this method, you’ll only have two contracts: one with your architect or designer and one with a construction manager.
Your CM will manage everything the architect doesn’t. CMs, which are usually general contractors, also typically have a network of trusted, dependable subcontractors and suppliers. They know who does good work and how much it should cost, and they use their knowledge to make sure you get the best value for your investment.
If you have a particular architect or your chosen construction company doesn’t have a design department you might choose a CM. Or you may enjoy design-bid-build construction but don’t have time to negotiate all those different contracts.
If you have a particular architect or your chosen construction company doesn’t have a design department you might choose a CM. Or you may enjoy design-bid-build construction but don’t have time to negotiate all those different contracts.
Bringing you an early budget and reliable timeframe, your CM will handle all the bidding and subcontractor details and usually do it significantly faster than with the traditional bid method.
The efficiency of using a CM for construction lets clients feel highly involved in the process, but without all the headaches and stress. Only having two points of responsibility greatly speeds up or mitigates change orders and project management is clearly laid out by the CM.
There is still room for miscommunication between parties though. Your designer and CM may not see eye to eye on how to solve issues and change orders may get complicated.
his leaves you still wanting a less problematic approach to construction. You’re wondering, “Is there an easier way to build?”
Yes. Yes, there is. We’d like to introduce you to design-build construction.
Design-Build Construction
One contract. One team to call. One highly organized and experienced company overseeing design through completion.
Also, the most streamlined delivery method, design-build construction brings the client in as a pivotal member of the team. Your chosen design-build firm handleseverything else. We find out what you need, and we build it — with your budget, timeline, and business needs guiding the project.
This also makes construction extremely efficient. Commerce Construction’s design-build philosophy coordinates the design team and construction team under one contract. We work with architects and suppliers we know and give you the benefit of relationships decades in the making. The benefit of CCS outsourcing, but coordinating the architectural portion, lies in our Open Book Policy and not hiding fees from either architectural or construction which can mislead a client.
With design-build, your team works together to value engineer your project every step of the way. They use their expertise to help identify potential problems early and brainstorm the best way to solve them
The bidding is condensed and analyzed for you. We compile everything neatly for you to review and consult with you on the best choices. You’re always part of the team, but your level of involvement is entirely at your discretion.
We find that business managers, busy owners, and most of our commercial and industrial clients prefer a design-build project because you can have as much or as little input as you want or can handle. On-the-go people often can’t anticipate when they’ll be able to review bids, approve work, or contact the architect because something needs to be changed.
With design-build, you let your team manage all the details you can’t, or simply don’t want to. They’ll fast-track your building to success, all while maintaining your agreed-upon budget and timeline.
At the end of a design-build project, you get the facility you need without having been through the wringer to get there.
Concept to Closeout
Walking into a construction meeting for the first time can be anxiety-inducing. Not knowing what to expect or how to get it can be worse.
Design-bid-build may be the “conventional” construction method but it’s easy to see why that trend is changing. Design-build construction and CM services offer companies and owners amazingly versatile options.