REGIONAL CONFERENCE DESIGN-BUILD START SOONER... FINISH FASTER 1 When to Select a Subcontractor in the Design Build Process Moderator:Ted Laszlo, GH Phipps Panel:Jim Dent, Weifield Electric Tal Clark, US Engineering Brian Patton, JR Butler Eric Moe, Puma Steel

REGIONAL CONFERENCE DESIGN-BUILD START SOONER... FINISH FASTER 1 Value Through Early Involvement

REGIONAL CONFERENCE DESIGN-BUILD START SOONER... FINISH FASTER 1 Design/Cost Relationship $ Range of Design Details of the Design Cost (and performance) is fixed Designing to the Budget

REGIONAL CONFERENCE DESIGN-BUILD START SOONER... FINISH FASTER Award Criteria During the Process Pre-Design -10%-5%0%5%10%15%20%25%30%35%40%45%50%55%60%65%70%75% Design Design/Draw-Build 35% Design or Greater Preliminary Design Design-Build 20% -35% Design Criteria Design-Build 5% - 20% Direct Sole-Source Selection -10% - 5% Qualifications Emphasis Technical & Price Emphasis Low Price Emphasis CRITERIA DOCUMENTS Describes End Result BRIDGING DOCUMENTS Prescribes How To Achieve End Result Schematic Design Development Construction Documents Programming

REGIONAL CONFERENCE DESIGN-BUILD START SOONER... FINISH FASTER 1 Managing the Process Key Owner Management Points:  Well defined program requirements  Understanding of contract  Clear direction  Timely decisions  Collaborative atmosphere  Timely Payment Key Attributes of a Successful Project  Leadership  Collaboration  TRUST

REGIONAL CONFERENCE DESIGN-BUILD START SOONER... FINISH FASTER 1 Questions How can early involvement save wasted time/expense on design? Compare DBB to DB with respect to arranging the design production schedule – “massive time savings” (Brian P) Are there performance differences between an “arranged marriage” and a designer you select yourself? Why is the sub-to-owner/architect relationship important? Give some examples of strategies you use to “design to the budget” Do incentives make a difference? Give an example of success when you were involved early (ex: Saved 13 months on AIP Ph2)

REGIONAL CONFERENCE DESIGN-BUILD START SOONER... FINISH FASTER 1 Provide an example of a project difficulty/Lesson Learned How important is Trust / Open Communication throughout the entire team? How do you handle the added risk at early involvement without making contingencies too high? Talk about only estimating the “alternate” – base scope doesn’t even get priced – Eric’s example – this was at 30% design What barriers do you see to early involvement? How can performance/quality be improved when you are involved from the beginning? Audience Questions Questions

REGIONAL CONFERENCE DESIGN-BUILD START SOONER... FINISH FASTER 1 Intro the panel Ted to intro. Story about Malaysia Plant, 14% over budget, but payback more than doubled from 3 yrs to 7 yrs due to 8 month delay. Schedule outweighs. 3 main reasons – 1 is unreliable contractors. VE what’s been designed for months – not saving the designers any money Arranged marriage? Designing to a target? Incentives? Eliminate double handling Compare DBB to DB, rearrange design production schedule – “massive time savings” Saved 13 months on AIP Ph2 Education of Owners/Architects Get to the decision maker Promote sub-to-owner/architect relationship Difficulties / Lessons Learned Trust / Open Communication How do you handle the added risk at early involvement without making contingencies too high? Who should carry the contingency? With DBB, picking at low price. The better the estimate, the lesser chance of success for the sub Talk about only estimating the “alternate” – base scope doesn’t even get priced – Eric’s example – this was at 30% design Barriers to early involvement? Audience Questions When you bring a sub on board late, you’ve already assumed that the cost, schedule, and design solution up to that point is correct, 100% correct. Anything less and re-design happens (VE). How can performance/quality be improved when you are involved from the beginning If a contractor is not a good contractor, that won’t change by changing the process – speaks to relationships/trust/etc.