Trends in construction project delivery: morphing methods, changing times.

AuthorGallion, Mari
PositionSPECIAL SECTION: Building Alaska

In economically challenging times, companies often need to modify the way they do business in order to stay in business--that is, they need to provide the services that the client wants, even if it's not the way it's always been done. In the commercial construction business, the go-to project delivery method has traditionally been design|bid|build.

Mike Prozeralik, principal architect and president of kpb architects says, "For the longest time the industry was: You meet with an architect, they design the building, as the client you go out into the competitive world and you bid it, and the owner may elect to select the lowest bid, or another bid that he thinks is more qualified." However, Prozeralik adds, when using the design|bid|build project delivery method, there's always the potential for changes due to change order and scope creep, which is where unknown factors and challenges in a project are discovered after the project has commenced.

Those changes, according to Jeff Koonce of kpb architects, can add up--and in today's economy, many clients feel that it is better to know for certain what something is going to cost rather than erroneously anticipating--and hoping--that the project will stay within budget.

Additionally, as time is money, finding and following the currently available opportunities can often equate to proving a track record of good stewardship of someone else's money--and time--in order to get their business.

According to Joe Jolley, a partner at Cornerstone General Contractors, "Commercial construction has always been expensive, but in today's economy controlling cost and the schedule is more important than ever."

When the difference between the estimated cost and the actual cost of a project can mean millions of dollars, companies are hoping for extra assurance that they won't be left high and dry or--at the very worst--left with a project that cannot be finished.

Cornerstone General Contractors

According to Jolley, the trend in project delivery methods in Alaska in recent years has leaned toward design assist or the construction manager]general contractor (CM|GC) method, also known as the construction manager at risk (CM@Risk) method.

"This approach is different from the outset because the relationship between the owner, design team, and general contractor are unique," Jolley says. "In CM|GC, both the lead designer (typically the architect) and the general contractor establish individual contracts with the owner. Structurally, this gives the owner greater control over the project...

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