CONSTRUCTION PROJECT DELIVERY METHODS
Holland provides construction services to our clients through one of four project delivery methods:
BIDDING GENERAL CONTRACTOR
The owner selects an architect/engineer to accurately and clearly describe the project and all requirements in plans, specifications and bid documents. Holland Construction is chosen by one of three methods—open bidding, selected contractor bidding, or negotiated.
In the design/build approach, the owner contracts with Holland Construction to provide both design and construction services. Design is completed by selected architectural & engineering team members who work directly for Holland. The selection method is typically selected contractor bidding or negotiated.
CONSTRUCTION MANAGER AS ADVISOR (CMa)
The owner selects an architect/engineer as the designer and contracts with Holland as the construction manager to provide guidance throughout the planning, design, and construction process. One or more prime contractors are chosen to build the project by open bidding or selected contractor bidding.
CONSTRUCTION MANAGER AS CONSTRUCTOR (CMc)
Similar to the Construction Manager as Advisor method, the owner selects an architect/engineer as the designer and contracts with Holland as the construction manager. Holland advises the owner during the planning and design phases and also guarantees maximum price (GMP), quality of work, and completion date. This method is also called construction manager at-risk.
THE ADVENT OF CONSTRUCTION MANAGEMENT
Holland Construction Services has been providing Construction Management services since 1996. Before Construction Management, owners had only one real choice for completing projects. They worked with an architect to prepare design and construction documents. The project was then competitively bid to the open general contractor market. The general contractors often had varying qualifications and experience yet, if they were the lowest bidder, they were likely to be awarded the project.
This traditional design/low-bid/build approach was considered to be the fairest way to complete a project. But when looking at only the lowest bottom line, quality and reliability were often sacrificed. In more recent years, many owners have taken another look at the best approach for construction projects and have taken advantage of the Construction Management project delivery method.
WHY SELECT A FULL SERVICE CM?
Using construction management, an owner selects a “team” that works together from the beginning to the end of the project. The construction management firm, the architect, and various engineers combine knowledge and resources to come up with the best design, budget, and construction process, heading off any potential problems early in the project.
Most owners choose a construction manager just as they would the other members of the team, based on the same criteria—past performance, qualifications, reputation and references. Full service construction management firms provide pre-construction services as well as construction services. Holland pre-construction staff members work with other members of the team in the pre-construction and design phases, providing detailed cost estimation and construction expertise, keeping a close eye on the owner’s budget.
When the design is completed within the budget, Holland solicits subcontractor and supplier bids. Under the CM as Advisor method, those selected contract directly with the owner for their particular portion of the project, though Holland manages the various subcontractors and suppliers with staff members who work on behalf of the owner. Under the CM as Constructor method, the selected subcontractors and suppliers contract with Holland for their portion of the project. To obtain the best value for the owner and to avoid any potential conflicts of interest, CM’s generally do not self-perform any of the work for the facility.
BENEFITS OF THE CM PROJECT DELIVERY METHOD
The owner benefits from the availability of construction expertise during the design process, lower pricing through subcontractor and supplier bidding, and professional project management from start to finish. The owner also gets the combined experience of Holland’s pre-construction and construction management staff as well as the entire design team right from the beginning, resulting in a more timely overall process, less unforeseen problems, higher quality, and better project coordination.