Selecting the proper construction procurement method is vital to the success of your project. It is the first step in setting yourself up to receive your project on budget and on time, without sacrificing quality.
In the past, most owners opted for a Competitive Sealed Proposal (CSP). Using this method, the owner contracts with an architect/engineer (A/E) and a contractor. The project’s design is viewed and bid only after construction documents are completed by the A/E firm. This extremely limits a contractor’s time to scope key trades, resulting in an unfilled scope gap.
Additionally, the CSP method forces a contractor to use the lowest subcontractor bids, which may or may not come from a subcontractor who is qualified or capable of doing the work successfully. While CSP’s competitive bidding process can result in a lower initial Owner cost, the method poses a higher risk of bid overrun, quality issues, and scheduling slowdown.
Considering these drawbacks, our clients typically utilize other construction procurement methods – Construction Manager at Risk, Design-Build, and Job Order Contract.
Keep reading to learn how they differ, and which might work best for your project.
Construction Manager at Risk
When you want a consultant to represent you from the early stages of a project through warranty services, look to the Construction Management-at-Risk (CMAR) delivery method.
Under this type of procurement, our team manages your project throughout every phase by leading communication between all parties, establishing and assuming risk for the Guaranteed Maximum Price, hiring subcontractors, and ensuring the project stays on budget and schedule.
CMAR Benefits:
- Select a partner based on qualifications
- Receive highly accurate job cost estimates
- Strengthen coordination and collaboration
- Increase communication and transparency
- Experience more effective schedule management
- Identify cost saving opportunities
- Early material procurement
- Detailed subcontractor vetting
Design-Build
When your private-sector project needs help aligning design, schedule, and financial goals, look to design-build services.
In this construction delivery method, our team partners with an architect from the beginning to act as a single point of contact and bridge the gap between the design and construction phases. This provides a streamlined, collaborative, unified process.
Design-Build Benefits:
- Minimize Owner risk
- Fast-track projects
- Create cost savings
- Early material procurement
- Foster collaboration and innovation
- Streamline communication
- Detailed subcontractor vetting
Job Order Contracting
When you need a variety of small to medium construction projects completed over a period of time, look to Job Order Contracting (JOC).
Working under a JOC, our team can perform repairs, minor renovations and maintenance work at any point needed. Each project begins with our two teams working together to set the scope and price
JOC Benefits:
- Reduce procurement time
- Maximize Owner resources
- Improve facility lifespan and operation
Regardless of the construction procurement method you choose, you can expect quality work and client satisfaction from start to finish when working with American Constructors.
Our team has the background and training to complete your project – large or small – on time and within budget.
Plus: with 40 years of industry knowledge, our team understands local conditions and has long-standing relationships to build and facilitate successful projects in our community.
Ready to talk about which procurement method is best for your next project? Let's chat.