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Design-Build Procedures 4 5 2 V T T P U B L I C A T I O N S VTT PUBLICATIONS 452 PUBLICATIONS VTT This book sheds light on the Design-Build practice as applied in building construction in the United States, where the popularity of this project deli- very method has increased dramatically and it seems to be the method of the future. Its key characteristics and likely benefits and pitfalls are also outlin- ed. Design-Build is not, however, just a rigid procedure for carrying a pro- ject through although that is too often the perception. There are many alter- Pertti Lahdenperä native operational modes, and the main contribution of this book is that it introduces and illustrates several possibilities to choose from. Advice is also given on the alternatives’ advantages and weaknesses and applicability to Design-Build Procedures. Introduction, illustration and comparison of U.S. modes U.S. of comparison and illustration Introduction, Procedures. Design-Build different project types and owner’s goals and resources. Design-Build Procedures In a departure from most works on Design-Build, which are either ge- neral or focus on a certain situation and its characteristics, this book at- tempts to serve as a comprehensive popular study of Design-Build in order Introduction, illustration and comparison of U.S. modes to communicate its many possibilities. Great emphasis has been placed on the introduction of the alternatives by employing a simple, illustrative and comparative format. Pertti Lahdenperä Pertti Tätä julkaisua myy Denna publikation säljs av This publication is available from VTT TIETOPALVELU VTT INFORMATIONSTJÄNST VTT INFORMATION SERVICE PL 2000 PB 2000 P.O.Box 2000 02044 VTT 02044 VTT FIN–02044 VTT, Finland Puh. (09) 456 4404 Tel. (09) 456 4404 Phone internat. + 358 9 456 4404 Faksi (09) 456 4374 Fax (09) 456 4374 Fax + 358 9 456 4374 ISBN 951–38–5879–0 ISSN 1235–0621 TECHNICAL RESEARCH CENTRE OF FINLAND ESPOO 2001 VTT PUBLICATIONS 452 Design-Build Procedures Introduction, illustration and comparison of U.S. modes Pertti Lahdenperä VTT Building and Transport TECHNICAL RESEARCH CENTRE OF FINLAND ESPOO 2001 ISBN 951–38–5879–0 (soft back ed.) ISSN 1235–0621 (soft back ed.) ISBN 951–38–6031–0 (URL: http://www.inf.vtt.fi/pdf/) ISSN 1455–0849 (URL: http://www.inf.vtt.fi/pdf/) Copyright © Valtion teknillinen tutkimuskeskus (VTT) 2001 JULKAISIJA – UTGIVARE – PUBLISHER Valtion teknillinen tutkimuskeskus (VTT), Vuorimiehentie 5, PL 2000, 02044 VTT puh. vaihde (09) 4561, faksi (09) 456 4374 Statens tekniska forskningscentral (VTT), Bergsmansvägen 5, PB 2000, 02044 VTT tel. växel (09) 4561, fax (09) 456 4374 Technical Research Centre of Finland (VTT), Vuorimiehentie 5, P.O.Box 2000, FIN–02044 VTT, Finland phone internat. + 358 9 4561, fax + 358 9 456 4374 VTT Rakennus- ja yhdyskuntatekniikka, Liiketoiminnat ja prosessit, Hermiankatu 8, PL 1802, 33101 TAMPERE puh. vaihde (03) 316 3111, faksi (03) 316 3497, (03) 316 3445 VTT Bygg och transport, Affärsverksamheter och processledning, Hermiankatu 8, PB 1802, 33101 TAMMERFORS tel. växel (03) 316 3111, fax (03) 316 3497, (03) 316 3445 VTT Building and Transport, Business and Process Management, Hermiankatu 8, P.O.Box 1802, FIN–33101 TAMPERE, Finland phone internat. + 358 3 316 3111, fax + 358 3 316 3497, 358 3 316 3445 Otamedia Oy, Espoo 2001 Lahdenperä, Pertti. Design-Build Procedures. Introduction, illustration and comparison of U.S. modes. Espoo 2001. Technical Research Centre of Finland, VTT Publications 452. 175 p. Keywords buildings, construction, design-build projects, United States, risk allocation, project control ABSTRACT Design-build is a project delivery system where one party, the design-builder, is responsible for both the design and construction of a project under a single agreement. This book sheds light on the design-build practice as applied in building construction in the United States, where the system's popularity has increased dramatically. The report divides into two parts. The first part provides a general introduction of design-build and outlines some of its key characteristics and related practical considerations. It also defines design-build in relation to other project delivery systems. Some comparative studies on project delivery methods are also summarized in order to illuminate the talked up superiority of design-build over the other methods. The second part constitutes the main portion of the book by presenting the various procedures that are part of design-build. It focuses on six different aspects of design- build: the design-builder selection process, the design practice and related division of labor, proposal evaluation and comparison methods, pricing and incentive systems, organization of the design-build entity, and distinction between the construction of shell and core and interior systems. Thus, the presented issues are mostly related to the interfaces between the owner and the design-builder. Design-build is not, however, just a rigid procedure for carrying a project through which is the key reason for writing this book. There are many alternative operational modes and procedures. Therefore, the book deals with these alternatives by examining design- build practices from one standpoint at a time. Each previously listed aspect is dealt with by introducing modes that are, at least to some extent, alternatives. Each presentation of an alternative emphasizes its mode, advantages and weaknesses, and applicability. For instance, the design-builder selection process is such a standpoint providing various options for operations. Similarly, design-builder selection can be based on qualifications or it may follow a two-stage process involving design proposals, etc. The applicability of various procedures, naturally, depends on the complexity, size and scale of the project as well as the objectives, experience and available resources of the owner, etc. These issues are also discussed in connection with each procedure. The same structure has been used for all alternative procedures independent of the aspect in order to maintain the illustrative and comparative format. In addition to alternative procedures proper, around forty thematic boxes have been included in order to inform the reader about some key issues and examples related to the design-build practice in general. These are called "nutshells" and "mini-cases", respectively. 3 FOREWORD This report presents the various procedures that are part of design-build in building construction in the United States. The aim has been to describe different procedures by an easily embraceable standard format in order to communicate the many possibilities of design-build. This has, after all, been a subject area that has not been properly covered. There are excellent detailed reviews of design-build as well as basic works – guides and manuals – which provide precise instructions and descriptions concerning procedures and nuances. Yet, these books are so detailed that they do not actually serve popular study of the principles of this project delivery method. On the other hand, design-build is treated in outline in works that deal with and compare different project delivery methods and, at best, arouse interest for design-build without explaining what the method means in practical terms. Thus, we are left with the problem of finding a concise book on the principles of design- build which nevertheless has more to give than works presenting a general outline of various project delivery methods. This report attempts to tackle that problem. The goal-setting behind this report may best be characterized by how it came to be written. The starting point of the work was to look at the procedures used in U.S. design-build projects through the eyes of an outsider and to determine what could be learned from them for use in other countries. This report is a summary of the first phase of the work where procedures were described to client companies in many different ways. In the second phase of the work, the need and possibilities of using the presented operational models in Finland were evaluated and reported separately.(* The study was launched and financed by Finnish enterprises: Rautaruukki, Seicon, Skanska Finland and YIT Construction. Substantial funding was also provided by the National Technology Agency (Tekes); this work is part of its ProBuild technology program. The work was done by yours truly representing VTT Building Technology, which is a branch of the Technical Research Centre of Finland (VTT). (* Lahdenperä, P. (1999) Ajatuksia ST-urakasta. Suomalaisen suunnittelu ja toteutus-menettelyn kehittäminen amerik- kalaisten oppien pohjalta. [Thoughts on DB. Development of Finnish Design-Build on the basis of U.S. experiences.] Espoo, FI: Technical Research Centre of Finland (VTT). VTT Research Notes 1988. 40 p. + app. 2 p. (in Finnish) 5 The study was launched in the autumn of 1997 followed by my stint of a good year as a Visiting Research Scholar at Pennsylvania State University, Department of Architectural Engineering. In addition to the literature, dozens of company visits also played a central role in the data acquisition required by the report. Moreover, the work involved numerous days spent at conferences and seminars – some of which were prepared particularly for our Finnish delegations. A large number of U.S. experts have thus participated in the effort through presentations, interviews, discussions and by supplying material. They include the persons listed below under Acknowledgements, with their employers at the time. I wish to express my thanks to all of them for their assistance and good cooperation as well as to all other above-mentioned parties whose contributions made my work possible. Tampere, October 2000 Pertti Lahdenperä After the conclusion of this work, the then VTT Building Technology and VTT Communities and Infrastructure merged into VTT Building and Transport from the beginning of 2001. 6 ACKNOWLEDGEMENTS David D. Balz, Division Director Gerald Enverso, Manager The Haskell Company, Jacksonville, Florida United States Postal Service, Arlington, Virginia Thomas J. Barnes, Chief Estimator Fernando España Tompkins Builders, Washington, District of N.L.
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