In quantity surveying, selecting the right procurement route is crucial for successful project delivery. This beginner’s guide aims to introduce the various procurement routes available, their characteristics, and their alignment with the New Rules of Measurement (NRM). We will explore three common procurement routes—traditional, design and build, and management contracting—to help beginners understand their differences, benefits, and applications within the UK construction market.
1. Traditional Procurement Route
The traditional procurement route, also known as the “traditional method” or “conventional method,” is a linear approach to construction procurement. In this route, the project owner or client appoints a design team, including architects and engineers, to develop the project’s design. Once the design is complete, the project is tendered to contractors, who provide separate bids for design and construction.
The traditional procurement route offers several benefits, including clarity in roles and responsibilities, greater control over design development, and competitive bidding. It allows the client to engage with the design team early on, ensuring their requirements are accurately reflected in the design. Additionally, separate design and construction tenders facilitate price transparency and enable the client to compare bids effectively.
2. Design and Build Procurement Route
The design and build procurement route is a streamlined approach where a single entity, usually a contractor or a design-build contractor, is responsible for both the design and construction of the project. In this route, the client provides their project requirements to the design and build contractor, who then manages the entire process, from design development to construction.
Design and build procurement offers several advantages, including faster project delivery, cost certainty, and single-point responsibility. By entrusting both design and construction to one entity, potential conflicts between designers and contractors are minimized. The design and build contractor takes on the risk of coordinating the project and ensures that design intent aligns with practical construction requirements.
3. Management Contracting Procurement Route
Management contracting is a collaborative procurement route where the client appoints a management contractor to oversee the project’s construction process. The management contractor works closely with the client and design team to manage multiple work packages or trade contracts. Each trade contract is directly awarded by the client, and the management contractor coordinates and supervises these contracts.
Management contracting offers benefits such as early project start, flexibility, and improved cost control. With early involvement, the management contractor can provide input during the design stage, contributing constructability expertise and value engineering suggestions. The management contractor’s role includes managing risks, optimizing construction sequencing, and coordinating trade contractors, leading to efficient project delivery.
4. Procurement Routes and the New Rules of Measurement
All procurement routes in quantity surveying align with the New Rules of Measurement (NRM) in the UK market. The NRM provides guidelines for measuring and managing construction costs consistently, ensuring transparency and accuracy.
Adhering to the NRM principles in different procurement routes allows quantity surveyors to accurately quantify and benchmark costs, facilitate effective cost control, and ensure compliance with industry standards. The NRM’s measurement rules and categorization enable fair and transparent procurement processes, promoting consistency in cost reporting and evaluation.
5. Conclusion
Selecting the right procurement route is a crucial decision in quantity surveying. Understanding the differences, benefits, and alignment with the New Rules of Measurement is essential for successful project outcomes. Whether it’s the traditional procurement route, design and build, or management contracting, each route offers distinct advantages depending on project requirements, time constraints, and risk appetite. By choosing the appropriate procurement route, quantity surveyors can help clients achieve their project goals effectively.
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