{"id":202,"date":"2010-01-28T20:37:55","date_gmt":"2010-01-29T03:37:55","guid":{"rendered":"http:\/\/www.constructonomics.com\/blog\/?p=202"},"modified":"2012-04-30T16:36:48","modified_gmt":"2012-04-30T23:36:48","slug":"hard-bidding-is-for-the-birds-ipd-could-be-the-way-to-go","status":"publish","type":"post","link":"https:\/\/constructonomics.com\/blog\/2010\/01\/28\/hard-bidding-is-for-the-birds-ipd-could-be-the-way-to-go\/","title":{"rendered":"Hard Bidding is for the Birds – IPD Could Be the Way to Go"},"content":{"rendered":"

In the economic climate that we find ourselves at the moment, it seems that the only projects out there are public jobs where bids \"ipd\"are solicited and any warm-blooded creature with a pulse and a remote ability to read plans can submit a price on the job.\u00a0 The municipalities are required by law to accept the lowest responsible bid.\u00a0 Of course words like responsible can be interpreted in many ways, so the public entity reserves the right to exclude bids from companies that they feel are not capable of performing the work.\u00a0 However, when tax dollars are in the mix, I would think that it is difficult to justify not taking the low bid especially if they can provide the bonding and insurance requirements.<\/p>\n

I’ve been doing a lot of hard bidding lately with only very limited success.\u00a0 Last week I bid a $4 million animal sanctuary where there were at least ten other bidders.\u00a0 Of course I didn’t get the job, and not only was I frustrated at wasting nearly a week putting this bid together, I was also frustrated by wasting the time of 50 or so subcontractors that delivered bids to me.\u00a0 If we think about all the time wasted on this bidding process from all ten bidders and potentially hundreds of subs, the man hours begin to hit the stratosphere.\u00a0 Sometime I think that there has go to be a better way.<\/p>\n

Well, there probably is, and it is call Integrated Project Delivery (IPD).\u00a0 IPD is a negotiated form of project delivery where risk and reward are shared among the owner, architect, prime contractor, and sometimes even subcontractors.\u00a0 IPD emphasizes early involvement of contractors and collaboration of team members throughout the project.\u00a0 Interestingly, trade contractors are considered the most crucial element of early project collaboration because their input will have significant impact on design and project cost.<\/p>\n

Jonathan<\/span> Cohen with Integrated Project Resources<\/a> recently published six case studies<\/a> of IPD projects through the American Institute of Architects.\u00a0 Cohen defines IPD by projects having the following characteristics:<\/span><\/p>\n

\u2022 Early Involvement of Key Participants
\n\u2022 Shared Risk and Reward
\n\u2022 Multi-Party Contract
\n\u2022 Collaborative Decision Making and Control
\n\u2022 Liability Waivers Among Key Participants
\n\u2022 Jointly Developed and Validated Project Goals<\/strong><\/p>\n


\n<\/strong><\/p>\n

Cohen goes into analysis about each individual project but sums up the study by writing:<\/span><\/p>\n

In every case these projects met or exceeded the owner\u2019s expectations with respect to budget, schedule, design quality, and sustainability and also met the financial expectations of designers and builders. \u00a0 Every participant interviewed was enthusiastic about IPD and eager to try it again.<\/em><\/p>\n

\n<\/blockquote>\n

I think IPD is certainly the method of project delivery that makes the most sense, but will certainly involve more upfront investment of time and money in a project.\u00a0 Will owners be able to stomach this release of monies early in the construction project in hopes of delivering a better product?\u00a0 Evidently they have and will hopefully continue to do so.<\/p>\n

It will at least cut down on the hours of wasted bidding time.<\/p>\n","protected":false},"excerpt":{"rendered":"

In the economic climate that we find ourselves at the moment, it seems that the only projects out there are public jobs where bids are solicited and any warm-blooded creature with a pulse and a remote ability to read plans can submit a price on the job.\u00a0 The municipalities are required by law to accept […]<\/p>\n","protected":false},"author":1,"featured_media":0,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[1],"tags":[3,4,42,5],"class_list":["post-202","post","type-post","status-publish","format-standard","hentry","category-uncategorized","tag-construction-blog","tag-construction-economics","tag-integrated-project-delivery","tag-john-poole"],"_links":{"self":[{"href":"https:\/\/constructonomics.com\/blog\/wp-json\/wp\/v2\/posts\/202","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/constructonomics.com\/blog\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/constructonomics.com\/blog\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/constructonomics.com\/blog\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/constructonomics.com\/blog\/wp-json\/wp\/v2\/comments?post=202"}],"version-history":[{"count":10,"href":"https:\/\/constructonomics.com\/blog\/wp-json\/wp\/v2\/posts\/202\/revisions"}],"predecessor-version":[{"id":206,"href":"https:\/\/constructonomics.com\/blog\/wp-json\/wp\/v2\/posts\/202\/revisions\/206"}],"wp:attachment":[{"href":"https:\/\/constructonomics.com\/blog\/wp-json\/wp\/v2\/media?parent=202"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/constructonomics.com\/blog\/wp-json\/wp\/v2\/categories?post=202"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/constructonomics.com\/blog\/wp-json\/wp\/v2\/tags?post=202"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}