ABSTRACT

The approach to construction procurement and the choice of the appropriate construction strategy will vary between clients (public or private sector) and project type (new or refurbishment). This chapter reviews some traditional procurement strategies plus design and build. There are a number of standard guides to construction procurement such as those published by the National Joint Consultative Committee for Building (NJCC). Construction involves various amounts of risk, and various procurement strategies and forms of contract have different mechanisms for the allocation of risk. From a client's perspective risk can manifest itself in cost risk; time risk; and design or quality risk. This was first used widely in the 1970s and is based on the traditional single-stage competitive tendering, i.e. bills of quantities and drawings being used to obtain a lump sum bid. During the past decade the use of design and build (D&B) variants in all sectors has increased from 11" in 1990 to approximately 40" in 2016.