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The role of procurement in measurably improving construction productivity is clear. Procurement must be part of a collaborative and integrated team that involves owner planning and project delivery staff members. The role of procurement in measurably improving construction productivity is critical to achieving best value outcomes.
Early planning, design, and procurement stages influence cost, timing, quality, and overall repair, renovation, maintenance and new builds, and are critical to achieving optimal outcomes. The latter are fundamental to verifying contractor quotes and creating internal government estimates (IGEs).
Procurement Focus DoD contracting processes have traditionally prioritized procurement tools over integrated cost management frameworks. However, unless the DoD transitions from a procurement-centric approach to one that prioritizes integrated project delivery and cost transparency, reliance on outdated methods will continue.
Leveraging JOC as a SYSTEM not simply a Procurement Tool provides significantly greater benefits while also reducing costs. Many, if not most, current Job Order Contracting Programs simply use JOC to speed the procurement of repair, renovation, maintenance, or new construction activities.
For Directors of Construction, engaging the right general contractor (GC) who can work seamlessly with commercial architects is essential to mitigate risks and achieve project goals. Successful commercial construction projects hinge on more than just technical expertise; they require a strategic and collaborative approach.
Collaborative Construction Procurement Planning and Project Delivery is a robust process for consistently achieving long-term best value for all participants and stakeholders. Tools and services should be procured to support owner requirements. Collaborative Construction Procurement Planning Drives Best Value Outcomes.
A Guide to Construction Services Procurement would be incomplete without a discussion of collaborative LEAN construction planning and management methodology. The primary mistake that organizations make in procuring construction services in support of their facilities management needs is that they do not manage their providers.
Combining a single source of truth with a robust and integrated Planning, Procurement, and Project Delivery Framework can reduced costs by 30%-40% as well as reduce risk for design builders. Having a verifiable and granular source of labor, material, equipment, and productivity data greatly improves timely and cost effective decision-making.
No longer rely on historical data, national average cost data, contractor lump sum quotes, location factors, or economic factors Improve cost estimates and visibility 30%-40%+ Itemize quantities, labor requirements, materials, equipment.
Collaborative LEAN Construction Planning Procurement Project Delivery Solution. The post Announcing an Innovative LEAN Construction Planning Procurement Project Delivery Solution Solution appeared first on 4BT. Remove the traditional silos and no longer depend upon inefficient and antagonistic construction delivery methods.
Public Sector Construction Procurement is BROKEN. Each and every day the procurement of facilities repair, renovation, maintenance, and new construction services occurs without any current, objective, verifiable cost information. This activity is in direct violation of the fiducicary responsibility of public sector organizations.
Owners, design-builders and oversight groups no longer have to rely soley on national average cost data, location factoring, contractor quotes, or historical information.
Adaptive Lean Construction Planning, Procurement, and Project Delivery tools and services are readily available to assure the consistent delivery of quality repair, renovation, maintenance, and new construction projects on-time and on-budget. Recognition and leverage of the expertise of those actually doing the work is the norm.
LEAN construction planning, procurement, and project delivery can consistently drive significant improvement over traditional methods. The combination technology can also support program, project, bid/proposal, estimate, work order, client, contractor, subcontractor, asset, building, asset, and task management.
Collaborative LEAN Construction Planning Procurement Project Delivery Solution. The post Announcing an Innovative LEAN Construction Planning Procurement Project Delivery Solution appeared first on 4BT. Remove the traditional silos and no longer depend upon inefficient and antagonistic construction delivery methods. Learn more?
Technical planning and professional procurement team collaboration and adherence to robust best management practices are needed to mitigate financial and environmental waste. Consideration should also be given to the geographical location and site (Government versus contractor facility) in which the work will be performed.
According to industry data, the average bid win percentage for a commercial contractor is 25%, meaning for every 10 bids submitted, they would win 2-3 projects. Importance of tracking win rate: It’s crucial for contractors to actively monitor their bid win rate to identify areas for improvement and strategize for better bid submissions.
JOC is both a procurement mechanism and a project delivery method. When designed and managed properly, JOC integrates planning, procurement, and project delivery processes and teams under a consistent programmatic workflow. Do I need to procure a set of technical specifications from a JOC products and services provider?
It is the foundation of any repair, renovation, maintenance, or new build activity throughout associated planning, procurement, and project delivery. Reliable cost data is critical to efficient lifecycle total cost of ownership management for any built structure. What is reliable cost data?
JOC Construction RFP Planning and Procurement – Program Contract Organization, Documents/Bid Packages/Forms/Checklists/Approvals, Roles in Construction Projects, and Contractor Selection. Contractor/Subcontractor Management. Program Portfolio Management. Contract Management. Multiple-Project Delivery Environment.
They have been set up to simply procure construction/maintenance services faster, and in manner cases without traditional or proper oversight. How to integrate internal and external planning, procurement, and project delivery teams. How to create an RFP for JOC contractors. How to evaluate JOC contractors.
4BT OpenJOC / 4BT OpenBUILD – The integrated LEAN construction planning, procurement, and project delivery solution deployed as a cloud SaaS platform, and complete with full support services. management. Complete with locally detailed line-item unit price construction cost data BIM integration.
4BT exclusively offers this information for any location, with all line-items organized using expanded CSI MasterFormat, enabling clear communication, collaboration, and alignment with all technical domains and participants throughout the planning, procurement, and project delivery lifecycle. Learn Why 4BTs Data Structure Excels.
Experience working with Contractors of all sizes – Four BT, LLC (4BT) is a certified veteran-owned small business (Veterans Administration), and fully understands the needs of smaller contractors when working with government organizations for the first time and on an ongoing basis. Selecting a Job Order Contracting Solution.
Ensure contractors do not inflate or negotiate price proposals to account for bidding adjustment factors too low. Ensure contractors appropriately use non-pre-priced items and do NOT bundle multiple items into a single line time without full cost visibility of labor, materials, and equipment. JOC Contractor outreach marketing.
Job Order Contracting (JOC) has been distorted into a way to simply speed the procurement of repair, renovation, and new build construction, bypassing procurement rigors and doing little to assure mutually beneficial benefit to owners and design-builder or overall efficiency. Have you selected JOC contractors based upon BEST VALUE?
Job Order Contract Best Management Practices involve a focus upon LEAN collaborative construction planning, procurement, and project delivery processes and the associated integration of people, process, information, and people. Not all Job Order Contracts (JOC) and JOC Programs are the same. JOC Program Best Management Practices.
Internal and independent audits have found that many Job Order Contracting deployments have unfortunately degraded into a simple means of speeding procurement and also carry excessive administration costs tied to a percentage of construction costs. Integrated Project Planning, Procurement, and Delivery. Fully Compliant. Edwards Deming.
Many cooperatives are managed by private corporations and charge excessive fees to contractors and/or owners. 4bt.us – LEAN, integrated construction planning, procurement, and project delivery solutions. Best management practice would be to use JOC Cooperative Programs that charge 2% of less of construction value.
BEST VALUE Public Sector Construction Planning, Procurement, and Project Delivery requires the LEAN integration of People, Process, Information, and Technology. Learn more… The post BEST VALUE Public Sector Construction Planning, Procurement, and Project Delivery appeared first on 4BT.
Procurement Workflows A detailed scope of work and an associated detailed line-item estimate is required before any procurement evaluation and award. From start to finish, bidding and procurement workflows are dependent upon robust process and current, granular local market labor, material, and equipment construction task data.
BEST VALUE & COMPLIANT Construction Planning, Procurement, And Project Delivery can be deployed and managed today using a robust suite LEAN tools and services. The post BEST VALUE & COMPLIANT Construction Planning, Procurement, And Project Delivery appeared first on 4BT. the OpenJOC(TM) Solution). the OpenJOC(TM) Solution).
Owner establishes a LEAN Job Order Program and selects vendors via a full and open best value procurement process: Minimum and maximum quantities or dollar values for annual construction and individual projects. During planning, procurement, and facilities professionals should work together to develop a clear. statement of work (SOW).
Integrated planning, procurement, and project delivery phases. Early and ongoing involvement of owners / designers / contractors /. Effective and open communication across inter and interorganizational teams. Mandatory initial and ongoing training/continuous improvement workshops. subcontractors.
Although today’s construction processes are more specialized and fragmented than in ancient times, the underlying goal of integrating planning, design, procurement and project delivery/construction remains, aimed at improving efficiency, reducing conflicts, and enhancing project outcomes.
JOC Program FAILURE POINTS Eliminating JOC Program FAILURE POINTS is key to maximizing benefits for both owners and awarded JOC contractors. Owner using JOC to simply speed procurement. Most JOC Programs are improperly implemented and therefore never achieve their many potential benefits. Owner “bid shopping” JOC project.
Low bid is an acceptable form of procuring repair, renovation, maintenance, or new construction services. Planning, procurement, and project delivery can be accomplished by disparate teams that lack integration through their respective life cycles.
Sustainable Facilities Management Alliance Contract – specific means of project planning, procurement, and delivery wherein the owner/principal and service provider (design-builder) work collaboratively to deliver the defined, mutually beneficial outcomes of a project. Owner support, capacity, commitment, and accountability, 2.
JOC contractor coefficients/adjustment factors should always exceed 1.0 JOC Planning, Procurement, and Project Delivery Teams must be integrated and observe robust LEAN philosophies and practices. . Using JOC to simply speed procurement can lead to major issues with both compliance and project delivery cost/efficiency.
There also may be “hidden fees” being charged to the awarded JOC Contractors that nonetheless end up being owner costs. Does the JOC Cooperative Program REQUIRE that a compliance audit be done for EVERY contractor estimate prior to award by an owner? Beware of the costs associated with using a JOC Cooperative.
The benefits of collaborative teams working within an integrated Planning, Procurement, and Project Delivery Environment are well documented. The key is to set up a programmatic approach, within with all projects are planned, procured, and executed. Training and support for your teams and all awarded contractors.
Better contractor alignment Estimates match how local subcontractors and suppliers bid , reducing disputes. This results in 30%-40% pricing errors in many cases because actual local conditions (supply chain disruptions, contractor demand, labor shortages, inflation) do not align with outdated national data plus an economic multiplier.
The application of works flows, that integrate planning, procurement, and project delivery methods. Of course, but rarely practices by real property owners. Integrating People, Process, Information, and Technology is also another aspect of LEAN Asset Management. The post Lean Asset Management appeared first on 4BT.
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