ARCT40090 Procurement & Contracts UCD Assignment Example
When it comes to architecture, procurement and contracts are two of the most important aspects of the job. Contracts ensure that both the architect and client agree with the terms of the project, while procurement ensures that the project is completed on time and within budget.
In this module, we’ll take a closer look at these two concepts, and explore some of the key considerations involved in each. This module will explore covers the subjects of building procurement, contract, contract administration, and associated professional services.
Assignment Activity 1: Demonstrate an ability to give professional advice to a client throughout all stages of a project from inception to completion.
As a professional, it is your responsibility to give sound advice and guidance to clients throughout all stages of their projects, from inception to completion. This includes providing input during the initial planning stages, working with clients to develop project scopes and budgets, and ensuring that all contractual obligations are met. It is also your responsibility to provide support and guidance to clients once the project is underway, and ensure that they are satisfied with the work that has been done.
There are many things to consider when providing professional advice to clients, but some of the key considerations include:
- Understanding the client’s needs and wants, and translating them into a workable design
- Developing a project scope that is realistic and achievable, while still meeting the client’s needs
- Working with clients to establish a budget that is appropriate for the project
- Ensuring that all contractual obligations are met and that the client is happy with the work that has been done
These are just a few of the things to keep in mind when providing professional advice to clients. As an architect, it is important to have a firm understanding of both procurement and contract law, as well as the principles of design, to provide the best possible advice and guidance to clients.
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Assignment Activity 2: Demonstrate a good understanding of building procurement, including standard/ non-standard forms of contracts, methods of procurement, and contract administration.
Building procurement is a process that involves the selection and acquisition of construction services and materials. There are many different methods of procurement, each with its own advantages and disadvantages. It is important to understand the different methods of procurement, as well as the various types of contracts that are available, to make the best decision for your project.
The most common methods of procurement are:
- Open tender – This is a process where all interested parties are invited to submit a proposal for the project. The advantage of this method is that it allows for competition and can result in lower prices. The disadvantage is that it can be time-consuming and can often lead to disputes between the contractor and client.
- Closed tender – This is a process where only pre-selected contractors are invited to submit a proposal. The advantage of this method is that it is faster and can lead to fewer disputes. The disadvantage is that it can be more expensive and may not result in the best possible price for the project.
- Negotiated tender – This is a process where the contractor and client negotiate a price for the project. The advantage of this method is that it can be more cost-effective than open or closed tender, and leads to fewer disputes. The disadvantage is that it can be time-consuming and may not result in the best possible price for the project.
- Design-bid-build: This is the most traditional method of procurement, and involves hiring a contractor to design and build the project. The contractor is responsible for both the design and construction of the project, and typically submits a single bid for the entire project.
- Design-build: This method of procurement is becoming increasingly popular, and involves hiring a contractor to both design and build the project. The contractor is responsible for both the design and construction of the project, and typically submits a single bid for the entire project.
- Construction management: In this method of procurement, the architect or engineer acts as the construction manager, overseeing the project and ensuring that it is completed on time and within budget. This method is often used when the project is complex or involves a high degree of coordination.
- Management contracting: In this method of procurement, the contractor is responsible for both design and construction, but does not own the project. The contractor is paid a fee for their services and is typically responsible for managing the project team.
- Prime contracting: In this method of procurement, the contractor is responsible for both design and construction, and also owns the project. The contractor is responsible for managing the project team, and typically submits separate bids for design and construction.
There are also a number of different contract types that are available, each with its own advantages and disadvantages. The most common contract types are:
- Fixed-price contract: In a fixed-price contract, the contractor agrees to complete the project for a set price. This type of contract is popular because it eliminates the risk of cost overruns.
- Cost-plus contract: In a cost-plus contract, the contractor is paid for their costs plus a percentage of the profits. This type of contract is popular because it allows the contractor to recover their costs and make a profit.
- time-and-materials contract: In a time-and-materials contract, the contractor is paid for the hours worked and the materials used. This type of contract is popular because it allows the contractor to recover their costs.
- Lump-sum contract: In a lump-sum contract, the contractor is paid a set amount for completing the project. This type of contract is popular because it eliminates the risk of cost overruns.
- Unit-price contract: In a unit-price contract, the contractor is paid for each unit of work that is completed. This type of contract is popular because it allows the contractor to bid on individual tasks.
The most common method of contract administration is through the use of a construction manager. The construction manager is responsible for overseeing the project and ensuring that it is completed on time and within budget. This method is often used when the project is complex or involves a high degree of coordination.
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Assignment Activity 3: Demonstrate an ability to critically appraise contractual issues, to formulate and implement solutions (in the context of administering a contract and providing professional advice).
When it comes to contractual issues, there are a number of things to consider. The most important thing is to make sure that all of the parties involved are aware of and agree to the terms of the contract.
Another important consideration is the type of contract that is being used. Each type of contract has its own advantages and disadvantages, so it is important to choose the right one for the project.
Another important consideration is the contract administration method. The most common method is through the use of a construction manager. The construction manager is responsible for overseeing the project and ensuring that it is completed on time and within budget. This method is often used when the project is complex or involves a high degree of coordination.
Finally, it is important to make sure that all of the paperwork is in order and that everyone involved has a copy of the contract. This will help to avoid any misunderstandings or disputes later on.
Assignment Activity 4: Demonstrate an ability to advise and implement effective project management, including programming and cost management.
To effectively manage a construction project, it is important to have a good plan in place. The first step is to develop a project program, which will outline the objectives and scope of the project. The program should also include a timeline and budget.
Once the program is in place, it is important to track the progress of the project and make sure that it is staying on track. This can be done by using a project management software program, which will help to keep track of the budget and schedule.
Finally, it is important to stay on top of the costs. This can be done by setting up a system for tracking costs and making sure that everyone involved is aware of the budget.
By following these tips, you can effectively manage a construction project and ensure that it is completed on time and within budget.
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Assignment Activity 5: Demonstrate an understanding of the principles of risk identification, risk management, and the requirements of construction insurance.
Principles of risk identification
The first step in risk identification is to identify the potential risks involved in the project. This can be done by reviewing the project program and identifying any potential problems.
Once the risks have been identified, it is important to assess them and determine the likelihood of them happening and the impact if they do happen. This will help to prioritize the risks and determine which ones need to be addressed.
Finally, it is important to develop a plan for dealing with the risks. This plan should include steps for identifying and mitigating the risks.
Principles of risk management
Once the risks have been identified and assessed, it is time to start managing them. This can be done by implementing the plan developed in the previous step.
In addition to managing the risks, it is also important to keep track of them. This can be done by creating a risk register, which will list all of the risks and their status.
Finally, it is important to communicate the risks to all of the stakeholders involved in the project. This will help them to understand the potential risks and how they can be mitigated.
Requirements for construction insurance
There are several different types of insurance that are commonly used in the construction industry. These include general liability insurance, builder’s risk insurance, and automobile insurance.
General liability insurance protects the contractor against any claims for bodily injury or property damage. This insurance is essential for any construction project.
Builder’s risk insurance protects the contractor against any losses suffered as a result of damage to the property. This insurance is especially important for projects that are being built outdoors or in a high-risk area.
Automobile insurance protects the contractor against any damages or injuries that occur as a result of an accident involving a vehicle. This insurance is important for any construction project that involves driving.
By understanding the principles of risk identification, risk management, and the requirements of construction insurances, you can ensure that your construction project is as safe as possible.
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Assignment Activity 6: Demonstrate an ability to initiate and manage good documentation and system of record-keeping.
Documentation and record-keeping are essential for any construction project. They help to ensure that everyone involved is aware of the project objectives, schedule, and budget.
In addition, good documentation can help to solve disputes and resolve problems. By having a system of record-keeping in place, you can ensure that all of the relevant information is stored in a single location.
There are several different types of documentation that are commonly used in the construction industry. These include project proposals, program reports, progress reports, meeting minutes, and change orders.
- Project proposals are used to outline the objectives and scope of the project. This document should be created early in the project and should be agreed to by all of the stakeholders.
- Program reports are used to track the progress of the project and ensure that it is on schedule. These reports should be prepared regularly and should include a summary of the work that has been completed, the work that is currently underway, and the work that is scheduled for the future.
- Progress reports are used to provide a detailed update on the progress of the project. This report should include a description of the work that has been completed, the work that is currently underway, and the work that is scheduled for the future.
- Meeting minutes are used to document the decisions made during meetings. This document should include a summary of the discussion, the decisions made, and the next steps that are required.
- Change orders are used to document any changes to the project schedule or budget. This document should include a description of the change, the reason for the change, and the impact that it will have on the project.
By understanding the different types of documentation and record-keeping, you can ensure that your construction project is well-organized and effectively managed.
Assignment Activity 7: Demonstrate an ability to communicate clearly and comprehensively.
Clear and concise communication is essential for any construction project. It ensures that everyone involved is aware of the project objectives, schedule, and budget.
In addition, clear communication can help to solve disputes and resolve problems. By communicating effectively, you can ensure that all of the relevant information is shared with everyone who needs it.
There are several different methods that can be used to communicate with project stakeholders. These include emails, memos, reports, and presentations.
- Emails are a quick and easy way to communicate with team members. They can be used to send messages, update schedules, and request feedback.
- Memos are used to provide information to a large number of people. This document should be concise and easy to read.
- Reports are used to provide a detailed update on the progress of the project. This report should include a description of the work that has been completed, the work that is currently underway, and the work that is scheduled for the future.
- Presentations are used to communicate information to a group of people. This document should be easy to understand and should include a summary of the project objectives, schedule, and budget.
By understanding the different methods of communication, you can ensure that your construction project is well-organized and effectively managed.
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