Discuss the various procurement systems available to a proposed building project and illustrate with organization chart on the relationship between the parties involved.
ANSWER:
There are several types of procurement system, which included traditional system, design and build system, and construction management system.
Traditional Procurement System
• The traditional procurement system remains by far the most popular method, followed by design and build.
• Client appoints the project consultant team comprising Architect, Engineers, and QS.
• Architect and Engineers carry out design and CQS prepare cost estimates, cost advice and tender document.
• Tender evaluation report by CQS follow by tender interviews and with letter oa award issue by the client; contract documentation by CQS.
• Contractors, subcontractor, suppliers and specialist subcontractor carry out work on site.
• Architect and Engineers are carry out routine supervision, CQS prepares valuation certificates for works done and Architect issue Architect’s progress payment certificates and client make payment to contractor, NSCs and NSs and specialist subcontractor.
• On completion of project the CQS prepares final account.
The Traditional Procurement Method showing the contractual arrangements is shown below:[pic]
Design and Build Procurement System
• A design and build contract is a contractual arrangement whereby the contractor offers to design and build a construction project for a contract sum which is inclusive of both the design and construction costs.
• Is more suitable for unique and specialized.
• Contractor is fully responsible for the design and construction of the project; so the contractor needs to have a full team of design consultant with expert knowledge is that area.
• The contractors participated in a D&B tender need to submit their respective feasibility study to the client.