Standard Forms Of Contract Case Study

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Standard form of contracts
As Simister (2009, p. 3a-16) pointed out, the construction industry has a wide selection of standard forms of contract. To protect the client needs and fully address the project requirements, ATCO and Siemens formed a CCDC 5A - 2010 (a form of contract for construction management and services).
The civil work of both the Newell and Heathfield site was given to Elis Don by Siemens based on a CCDC 18 – 2001 (a form of contract for civil works). Ellis Don as the main contractor has different types of contracts that will best suit their need to comply with Siemens goals. They contract suppliers, sub-contractors, and plant hires in order to implement the project aspects.
Siemens also needed a domestic consulting sub-contractor …show more content…

The procurement approach for this project was chosen based on the project management. The process of selecting the (construction) project management contractor (Siemens) as well as its team was significant as the key in producing an effective project with regards to quality and cost in this approach relies on the management team’s experience and knowledge in all aspects.
By choosing the (construction) project management approach, ATCO was responsible for all the overall risks associated with project. From ATCO’s prospective it was a disadvantage, however Siemens as the construction project manager had the advantage of not having the direct deal with the risks of …show more content…

Advantages:

• The client was working with only one firm, which assists them to improve coordination and collaboration between designers and constructors
• The overlap between design and construction activities resulted into saving time over the life span of the project
• The obligation for the integration of the design team with the construction team was accepted by the construction management contractor (Siemens) which helped to improve the quality.
• Work and trade packages were competitively purchased.
• Improved constructability through sub-contractor input into the design progress.
• Roles, risks and responsibilities were clear for all parties involved by accommodating this approach to project.
• Changes in design were more flexible due to having a single key contact between design and construction.
• The design was fully integrated in the construction

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