RLB_UK_Riders_Digest_2013

UK CONSTRUCTION INFORMATION
Procurement Options
Selecting the correct procurement route for a project is
fundamental to its success, and will affect its cost, programme,
quality and team relationships for the lifespan of the project.
Procurement Strategy should be considered fully at the earliest
opportunity, consideration should be given to the hierarchy
of client and project requirements. We can advise on an
appropriate route to best meet these requirements, and highlight
some of the main features of the more common routes available
on the following pages.
Traditional Lump Sum
Concerns / Considerations
Time required to complete
full design prior to tender
Full design not always
achievable - e.g. specialist
areas subject to contractor
design
Client takes time and cost
risk for changes in design
Client takes design risk
Contractual / adversarial
approach
Advantages
Competitive fairness – all
tenders like for like
Cost Certainty at outset of
contract
Established / tried and tested
Minor changes can be
implemented
Established method of
valuation
Capable of conversion to a
guaranteed maximum price
(GMP)
Contractor designed
elements can be
accommodated.
88
Client
Design Team
Client Rep
Main
Contractor
Suppliers
Subcontractors
Key
Contractual Line
Communication Line
Sequence
Brief Design Tender Construct
Key Features
for works as tendered.
accommodated as an alternative