By Christoph Marsh
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Additional resources for Building Services Procurement
Asbestos, radiation, underwater work? ▪ Is there a ready source of contractors capable of dealing with such a project? ▪ What effect will the eventuation of risks have on the stated cost, time and functionality of the project? 2 NATURE OF CONTRACTS Regardless of the conviviality that may exist between contracting parties, a formal contract that clearly sets down the obligations of each party is always required. The arrangements and responsibilities that are undertaken to deliver a fully working services installation are complex and some form of written agreement is required to clearly state the roles and responsibilities of each party required to achieve the end goal.
Used effectively it allows the end objective to be concentrated upon and realised. The subject is extremely complex and full justice to it cannot be done within a single short section. Qualitative methods are simple in both execution and technique. They are suitable for any stages of the project, either commercial or technical. Understanding their application would enhance any managerial decision. *** Case Study Water supply and storage has increasingly been an area where detailed risk assessments have been carried out.
Characterised by joint venture agreements, these normally occur when a retained risk is too large for a single company. For a share of the rewards partnerships are formed, but are equally responsible for joint and severally liable consequences of a risk eventuating. To properly allocate risk, the project must be precisely defined to allow for some arrangements. Traditional lump sum arrangements do not allow much flexibility for Contract strategy 31 change, but afford greater transfer of risk to the contractor.
Building Services Procurement by Christoph Marsh