Page 337 - TCDB combined Book

316 The Complete DESIGN BUILDER

Design-Build vs Design/Bid/Build:

The objective of true design-build is to successfully complete projects that satisfy the
needs of the owner/user through one-source responsibility for all project requirements.
Typically, the design-builder will obtain the project requirements from the owner/user, submit a
proposal or tender, secure a contract and be solely responsible to the owner/user for completing
the design and construction for a fixed price.
The key difference from the traditional design/bid/build method is the design professionals
are retained by the design-builder not the owner/user. Should problems or disputes arise between
the builder and the designer they can be settled without direct involvement of the owner/user.
The traditional design/bid/build method is based on submitting a low bid from a set of
project tender documents and a subsequent contract award, controlled by the owner's
designer/agent. The builder is obligated to complete the project for a fixed price and comply with
all the project requirements, while constantly attempting to maximize his gross margin. When
problems or disputes arise between the designer and builder they become adversaries, usually
requiring the owners’ involvement in reaching a solution.
Besides the advantage of one-source responsibility and elimination of the adversarial
system, an owner can also consider the following benefits when using design-build:

Project budget and feasibility can be accurately determined prior to incurring final
design costs and other associated expenditures, eliminating over budget projects and
redundant design work.

Fast-tracking possibilities are available due to the design-builders intimate project
knowledge, resulting in completion's on-time and within budget.

Convincing owners and designers to use the Design-Build method while planning for a solid
future in the Design-Build industry will require a list of satisfied owners, associated design
professionals and adherence to some basic rules including the following:

True Design-Build is Design-Builders that build using design professionals that design.
Avoid design only situations.

Include the owner in all significant scope of work, quality and early design decisions
and ensure that the project end use is fully understood and agreed to by all parties.

Obtain agreement with the owner on all-significant changes and modifications to the
original scope or quality of work contracted for.