SlideShare a Scribd company logo
Traditional Procurement Method
This is a common method that has been usually used in construction industry. Traditional
method is a procurement method that the design work will separate from construction. The
developer or client would appoint an architect to complete the design and produce
specifications of the building. The consultant team is appointed to take control of design
and cost. Upon the completion of the design, client will appoint a main contractor to carry
out the works through bidding. The contractor prepares the tender documents base on the
specifications and drawings or the bill. The lowest tenderer usually will be awarded the
contract. The contractor need to take responsibility to all the workmanship and materials
which including all works by the sub-contractors.
Based on the chart that had been shown above, the client has contractual relationship with
all parties. In this way, the client would have the closer control of the works. However, this
may bring risks in control of works of the project since the client need to deal with many
points of responsibility.
Firstly, client will appoint a consultant team which included architect, quantity surveyor and
engineers to come out with the drawings and specifications of the building. The quantity
surveyor in the consultant team will come out with the bills of quantity base on the
drawings that have been provided by the architect and engineer.
The employer appoints the contractor team to be in charge of the construction works only.
Therefore, the contractor team does not need to take responsibility for the design works.
Then, the contractor may appoint other subcontractor to undertake specialize works.
Advantages of Traditional Method
Traditional method usually come out with high quality works since the client has the closer
control to the works. For example, the consultant team must provide a design which meet
the requirements of the client. Besides, due to the advices and construction expertise that
provide by the consultant and contractor, client may compare and consider which design
and budget is more suitable for the project.
In traditional method, all tenderers produce a tender base on the same information.
Therefore, client may obtain the best or lowest price through competitive tendering.
Besides, the construction cost will be more accurate since the tender is bases on the
complete design and specifications.
If compare with other procurement method, traditional method will be easier to be
adopted. It is because this method had been commonly used for a long time, so, both
contractor and consultant team are familiar to solve or face the risks during the
procurement state of a construction progress.
Disadvantages of Traditional Method
For traditional method, client may hard to manage the project since he need to
communicate with few parties at the same time. For example, the consultant and contractor
do not have contractual relationship, hence, if they need to communicate with each other,
they must communicate with the client first, which is very inconvenience. There may be
miscommunication since the client need to communicate with so many organization too.
Traditional method requires longer period to complete the project. It is because the tender
will be provided after the design is fully completed. Furthermore, if problems occur,
consultant and contractor may shirk the responsibility to each other. The argument and
problems may need a long time to be settled.
Clear Example
The purpose of our project is to build a 20 storey condominium, assume that there is a
problem from the drawing of the design and the contractor wants to communicate and get
information from consultant team.
For traditional method, the contractor will only be appointed after the design is done,
therefore, contractor is unable to plan for the project and input his design. So, the
contractor need to communicate with the client first, then only the client will communicate
with the consultant, since, there is no contractual relationship between the consultant team
and contractor team. Besides, the changes of the design need to be approved by the client
first.
References
 C.M., Y.S., n.d. Procurement models: improving on the traditional method ... [WWW
Document]. MinterEllison. URL
http://www.minterellison.com/Pub/NL/201112_CLAa/ (accessed 12.15.11).
 @ukessays, n.d. What Is The Procurement Method Construction Essay [WWW
Document]. UKEssays. URL https://www.ukessays.com/essays/construction/what-is-
the-procurement-method-construction-essay.php (accessed 3.23.15).
 D.P., n.d. Building Procurement Methods - Construction Innovation [WWW
Document]. URL http://www.construction-
innovation.info/images/pdfs/Research_library/ResearchLibraryC/2006-034-
C/reports/Report_-_Building_Procurement_Methods.pdf (accessed 6.8).

More Related Content

What's hot

Tender
TenderTender
Construction Project Management
Construction Project Management Construction Project Management
Construction Project Management
Rajat Nainwal
 
50451783 taking-off-quantity
50451783 taking-off-quantity50451783 taking-off-quantity
50451783 taking-off-quantity
hlksd
 
Professional Practice 1 Group Assignment
Professional Practice 1 Group AssignmentProfessional Practice 1 Group Assignment
Professional Practice 1 Group Assignment
Haziq1511
 
Standard bill of quantities
Standard bill of quantitiesStandard bill of quantities
Standard bill of quantitiesBt Lee
 
Provisional sum prime cost sum
Provisional sum  prime cost sumProvisional sum  prime cost sum
Provisional sum prime cost sum
Est
 
Tender Process | A Complete Procurement Guide
Tender Process | A Complete Procurement GuideTender Process | A Complete Procurement Guide
Tender Process | A Complete Procurement Guide
Tender Process
 
Value Management Assignment (Report)
Value Management Assignment (Report)Value Management Assignment (Report)
Value Management Assignment (Report)
Pang Khai Shuen
 
Construction process
Construction processConstruction process
Construction processMazen Al-Qadi
 
Estimation and Costing - Contracts
Estimation and Costing - ContractsEstimation and Costing - Contracts
Estimation and Costing - Contracts
srinivas2036
 
Lecture 1 introduction to construction procurement process.
Lecture 1   introduction to construction procurement process.Lecture 1   introduction to construction procurement process.
Lecture 1 introduction to construction procurement process.Aszahari Aie
 
Contracts and-tenders
Contracts and-tendersContracts and-tenders
Contracts and-tenders
Archistudent Portal
 
Types of contract
Types of contractTypes of contract
Types of contract
HarshalNarkhede7
 
Professional practice 2
Professional practice 2Professional practice 2
Professional practice 2
ahmong4
 
Smm2 second edition
Smm2 second editionSmm2 second edition
Smm2 second editionBt Lee
 
Defects in construction
Defects in constructionDefects in construction
Defects in construction
Shivangi Saini
 
SITE REPORT (PAD FOOTING)
SITE REPORT (PAD FOOTING)SITE REPORT (PAD FOOTING)
SITE REPORT (PAD FOOTING)
I'mMiss Lily
 

What's hot (20)

TENDER DOCUMENT
TENDER DOCUMENTTENDER DOCUMENT
TENDER DOCUMENT
 
Tender
TenderTender
Tender
 
Construction Project Management
Construction Project Management Construction Project Management
Construction Project Management
 
50451783 taking-off-quantity
50451783 taking-off-quantity50451783 taking-off-quantity
50451783 taking-off-quantity
 
Refurbishment
RefurbishmentRefurbishment
Refurbishment
 
Professional Practice 1 Group Assignment
Professional Practice 1 Group AssignmentProfessional Practice 1 Group Assignment
Professional Practice 1 Group Assignment
 
Standard bill of quantities
Standard bill of quantitiesStandard bill of quantities
Standard bill of quantities
 
Provisional sum prime cost sum
Provisional sum  prime cost sumProvisional sum  prime cost sum
Provisional sum prime cost sum
 
Tender Process | A Complete Procurement Guide
Tender Process | A Complete Procurement GuideTender Process | A Complete Procurement Guide
Tender Process | A Complete Procurement Guide
 
Value Management Assignment (Report)
Value Management Assignment (Report)Value Management Assignment (Report)
Value Management Assignment (Report)
 
Construction process
Construction processConstruction process
Construction process
 
Estimation and Costing - Contracts
Estimation and Costing - ContractsEstimation and Costing - Contracts
Estimation and Costing - Contracts
 
Lecture 1 introduction to construction procurement process.
Lecture 1   introduction to construction procurement process.Lecture 1   introduction to construction procurement process.
Lecture 1 introduction to construction procurement process.
 
Contracts and-tenders
Contracts and-tendersContracts and-tenders
Contracts and-tenders
 
Types of contract
Types of contractTypes of contract
Types of contract
 
Site visit report
Site visit reportSite visit report
Site visit report
 
Professional practice 2
Professional practice 2Professional practice 2
Professional practice 2
 
Smm2 second edition
Smm2 second editionSmm2 second edition
Smm2 second edition
 
Defects in construction
Defects in constructionDefects in construction
Defects in construction
 
SITE REPORT (PAD FOOTING)
SITE REPORT (PAD FOOTING)SITE REPORT (PAD FOOTING)
SITE REPORT (PAD FOOTING)
 

Viewers also liked

Miros Design Build Approach 3.20.02
Miros Design Build Approach 3.20.02Miros Design Build Approach 3.20.02
Miros Design Build Approach 3.20.02
guest2aa104
 
Design build risks and rewards for public owner
Design build risks and rewards for public ownerDesign build risks and rewards for public owner
Design build risks and rewards for public owner
Jon Straw
 
Design-Build: The Owner’s Role in Successful Outcomes
Design-Build: The Owner’s Role in Successful OutcomesDesign-Build: The Owner’s Role in Successful Outcomes
Design-Build: The Owner’s Role in Successful Outcomes
McCarthy Holdings, Inc.
 
Developing Procurement Documents for Progressive Design-Build Projects
Developing Procurement Documents for Progressive Design-Build ProjectsDeveloping Procurement Documents for Progressive Design-Build Projects
Developing Procurement Documents for Progressive Design-Build Projects
Water Design-Build Council
 
Tendering documentation
Tendering documentationTendering documentation
Tendering documentation
nipuna_bopage
 

Viewers also liked (6)

TRADITIONAL DESIGN METHOD
TRADITIONAL DESIGN METHODTRADITIONAL DESIGN METHOD
TRADITIONAL DESIGN METHOD
 
Miros Design Build Approach 3.20.02
Miros Design Build Approach 3.20.02Miros Design Build Approach 3.20.02
Miros Design Build Approach 3.20.02
 
Design build risks and rewards for public owner
Design build risks and rewards for public ownerDesign build risks and rewards for public owner
Design build risks and rewards for public owner
 
Design-Build: The Owner’s Role in Successful Outcomes
Design-Build: The Owner’s Role in Successful OutcomesDesign-Build: The Owner’s Role in Successful Outcomes
Design-Build: The Owner’s Role in Successful Outcomes
 
Developing Procurement Documents for Progressive Design-Build Projects
Developing Procurement Documents for Progressive Design-Build ProjectsDeveloping Procurement Documents for Progressive Design-Build Projects
Developing Procurement Documents for Progressive Design-Build Projects
 
Tendering documentation
Tendering documentationTendering documentation
Tendering documentation
 

Similar to Traditional procurement method

Professional Practice 1
Professional Practice 1Professional Practice 1
Professional Practice 1
Lee Pei Gie
 
Professional practice 1 (QS)
Professional practice 1 (QS)Professional practice 1 (QS)
Professional practice 1 (QS)
Hasif Alias
 
Procurement Methods and their Application.
Procurement Methods and their Application.Procurement Methods and their Application.
Procurement Methods and their Application.Lilian Nwachukwu
 
Pp1 report
Pp1 reportPp1 report
Pp1 report
ahmong4
 
Professional Practice I Assignment
Professional Practice I AssignmentProfessional Practice I Assignment
Professional Practice I Assignment
ashleyyeap
 
Pp1 assignment group 8
Pp1 assignment group 8Pp1 assignment group 8
Pp1 assignment group 8
lohwenjun
 
Professional practice 1 (1)
Professional practice 1 (1)Professional practice 1 (1)
Professional practice 1 (1)
tfkc1212
 
Professional Practice
Professional PracticeProfessional Practice
Professional Practice
seenyeeyong
 
Pp 1-report-complete
Pp 1-report-completePp 1-report-complete
Pp 1-report-complete
Yong Sy
 
Pp group assignment
Pp group assignmentPp group assignment
Pp group assignment
wendyteosy
 
Pp1 final
Pp1 finalPp1 final
Pp1 final
Timun Loh
 
Yam yih hwan pp1 assignment aug 14
Yam yih hwan   pp1 assignment aug 14Yam yih hwan   pp1 assignment aug 14
Yam yih hwan pp1 assignment aug 14마 이환
 
Professional Practice 1 Assignment
Professional Practice 1 AssignmentProfessional Practice 1 Assignment
Professional Practice 1 Assignment
Melvin Lim
 
Pp1 assignment
Pp1 assignmentPp1 assignment
Pp1 assignment
Lwj Welson
 
Pp1 assignment
Pp1 assignmentPp1 assignment
Pp1 assignment
Lwj Welson
 
Professional Practice 1 Proposal Report
Professional Practice 1 Proposal ReportProfessional Practice 1 Proposal Report
Professional Practice 1 Proposal Report
Arissa Loh
 
Estimating and Tendering methods for Construction Work
Estimating and Tendering methods for Construction WorkEstimating and Tendering methods for Construction Work
Estimating and Tendering methods for Construction Work
Daniel Ross
 
Pp1 group assignment
Pp1 group assignmentPp1 group assignment
Pp1 group assignment
Pui Chun Shian
 

Similar to Traditional procurement method (20)

Purpose
PurposePurpose
Purpose
 
Professional Practice 1
Professional Practice 1Professional Practice 1
Professional Practice 1
 
Professional practice 1 (QS)
Professional practice 1 (QS)Professional practice 1 (QS)
Professional practice 1 (QS)
 
Procurement Methods and their Application.
Procurement Methods and their Application.Procurement Methods and their Application.
Procurement Methods and their Application.
 
Pp1 report
Pp1 reportPp1 report
Pp1 report
 
Professional Practice I Assignment
Professional Practice I AssignmentProfessional Practice I Assignment
Professional Practice I Assignment
 
Pp1 assignment group 8
Pp1 assignment group 8Pp1 assignment group 8
Pp1 assignment group 8
 
Professional practice 1 (1)
Professional practice 1 (1)Professional practice 1 (1)
Professional practice 1 (1)
 
Professional Practice
Professional PracticeProfessional Practice
Professional Practice
 
Pp 1-report-complete
Pp 1-report-completePp 1-report-complete
Pp 1-report-complete
 
Pp group assignment
Pp group assignmentPp group assignment
Pp group assignment
 
Pp1 final
Pp1 finalPp1 final
Pp1 final
 
Yam yih hwan pp1 assignment aug 14
Yam yih hwan   pp1 assignment aug 14Yam yih hwan   pp1 assignment aug 14
Yam yih hwan pp1 assignment aug 14
 
Professional Practice 1 Assignment
Professional Practice 1 AssignmentProfessional Practice 1 Assignment
Professional Practice 1 Assignment
 
Pp report
Pp reportPp report
Pp report
 
Pp1 assignment
Pp1 assignmentPp1 assignment
Pp1 assignment
 
Pp1 assignment
Pp1 assignmentPp1 assignment
Pp1 assignment
 
Professional Practice 1 Proposal Report
Professional Practice 1 Proposal ReportProfessional Practice 1 Proposal Report
Professional Practice 1 Proposal Report
 
Estimating and Tendering methods for Construction Work
Estimating and Tendering methods for Construction WorkEstimating and Tendering methods for Construction Work
Estimating and Tendering methods for Construction Work
 
Pp1 group assignment
Pp1 group assignmentPp1 group assignment
Pp1 group assignment
 

Recently uploaded

Synthetic Fiber Construction in lab .pptx
Synthetic Fiber Construction in lab .pptxSynthetic Fiber Construction in lab .pptx
Synthetic Fiber Construction in lab .pptx
Pavel ( NSTU)
 
How to Split Bills in the Odoo 17 POS Module
How to Split Bills in the Odoo 17 POS ModuleHow to Split Bills in the Odoo 17 POS Module
How to Split Bills in the Odoo 17 POS Module
Celine George
 
The Challenger.pdf DNHS Official Publication
The Challenger.pdf DNHS Official PublicationThe Challenger.pdf DNHS Official Publication
The Challenger.pdf DNHS Official Publication
Delapenabediema
 
special B.ed 2nd year old paper_20240531.pdf
special B.ed 2nd year old paper_20240531.pdfspecial B.ed 2nd year old paper_20240531.pdf
special B.ed 2nd year old paper_20240531.pdf
Special education needs
 
2024.06.01 Introducing a competency framework for languag learning materials ...
2024.06.01 Introducing a competency framework for languag learning materials ...2024.06.01 Introducing a competency framework for languag learning materials ...
2024.06.01 Introducing a competency framework for languag learning materials ...
Sandy Millin
 
How to Make a Field invisible in Odoo 17
How to Make a Field invisible in Odoo 17How to Make a Field invisible in Odoo 17
How to Make a Field invisible in Odoo 17
Celine George
 
Language Across the Curriculm LAC B.Ed.
Language Across the  Curriculm LAC B.Ed.Language Across the  Curriculm LAC B.Ed.
Language Across the Curriculm LAC B.Ed.
Atul Kumar Singh
 
1.4 modern child centered education - mahatma gandhi-2.pptx
1.4 modern child centered education - mahatma gandhi-2.pptx1.4 modern child centered education - mahatma gandhi-2.pptx
1.4 modern child centered education - mahatma gandhi-2.pptx
JosvitaDsouza2
 
Model Attribute Check Company Auto Property
Model Attribute  Check Company Auto PropertyModel Attribute  Check Company Auto Property
Model Attribute Check Company Auto Property
Celine George
 
Students, digital devices and success - Andreas Schleicher - 27 May 2024..pptx
Students, digital devices and success - Andreas Schleicher - 27 May 2024..pptxStudents, digital devices and success - Andreas Schleicher - 27 May 2024..pptx
Students, digital devices and success - Andreas Schleicher - 27 May 2024..pptx
EduSkills OECD
 
TESDA TM1 REVIEWER FOR NATIONAL ASSESSMENT WRITTEN AND ORAL QUESTIONS WITH A...
TESDA TM1 REVIEWER  FOR NATIONAL ASSESSMENT WRITTEN AND ORAL QUESTIONS WITH A...TESDA TM1 REVIEWER  FOR NATIONAL ASSESSMENT WRITTEN AND ORAL QUESTIONS WITH A...
TESDA TM1 REVIEWER FOR NATIONAL ASSESSMENT WRITTEN AND ORAL QUESTIONS WITH A...
EugeneSaldivar
 
Instructions for Submissions thorugh G- Classroom.pptx
Instructions for Submissions thorugh G- Classroom.pptxInstructions for Submissions thorugh G- Classroom.pptx
Instructions for Submissions thorugh G- Classroom.pptx
Jheel Barad
 
Mule 4.6 & Java 17 Upgrade | MuleSoft Mysore Meetup #46
Mule 4.6 & Java 17 Upgrade | MuleSoft Mysore Meetup #46Mule 4.6 & Java 17 Upgrade | MuleSoft Mysore Meetup #46
Mule 4.6 & Java 17 Upgrade | MuleSoft Mysore Meetup #46
MysoreMuleSoftMeetup
 
Home assignment II on Spectroscopy 2024 Answers.pdf
Home assignment II on Spectroscopy 2024 Answers.pdfHome assignment II on Spectroscopy 2024 Answers.pdf
Home assignment II on Spectroscopy 2024 Answers.pdf
Tamralipta Mahavidyalaya
 
Digital Tools and AI for Teaching Learning and Research
Digital Tools and AI for Teaching Learning and ResearchDigital Tools and AI for Teaching Learning and Research
Digital Tools and AI for Teaching Learning and Research
Vikramjit Singh
 
Introduction to Quality Improvement Essentials
Introduction to Quality Improvement EssentialsIntroduction to Quality Improvement Essentials
Introduction to Quality Improvement Essentials
Excellence Foundation for South Sudan
 
The Roman Empire A Historical Colossus.pdf
The Roman Empire A Historical Colossus.pdfThe Roman Empire A Historical Colossus.pdf
The Roman Empire A Historical Colossus.pdf
kaushalkr1407
 
Welcome to TechSoup New Member Orientation and Q&A (May 2024).pdf
Welcome to TechSoup   New Member Orientation and Q&A (May 2024).pdfWelcome to TechSoup   New Member Orientation and Q&A (May 2024).pdf
Welcome to TechSoup New Member Orientation and Q&A (May 2024).pdf
TechSoup
 
Basic phrases for greeting and assisting costumers
Basic phrases for greeting and assisting costumersBasic phrases for greeting and assisting costumers
Basic phrases for greeting and assisting costumers
PedroFerreira53928
 
Polish students' mobility in the Czech Republic
Polish students' mobility in the Czech RepublicPolish students' mobility in the Czech Republic
Polish students' mobility in the Czech Republic
Anna Sz.
 

Recently uploaded (20)

Synthetic Fiber Construction in lab .pptx
Synthetic Fiber Construction in lab .pptxSynthetic Fiber Construction in lab .pptx
Synthetic Fiber Construction in lab .pptx
 
How to Split Bills in the Odoo 17 POS Module
How to Split Bills in the Odoo 17 POS ModuleHow to Split Bills in the Odoo 17 POS Module
How to Split Bills in the Odoo 17 POS Module
 
The Challenger.pdf DNHS Official Publication
The Challenger.pdf DNHS Official PublicationThe Challenger.pdf DNHS Official Publication
The Challenger.pdf DNHS Official Publication
 
special B.ed 2nd year old paper_20240531.pdf
special B.ed 2nd year old paper_20240531.pdfspecial B.ed 2nd year old paper_20240531.pdf
special B.ed 2nd year old paper_20240531.pdf
 
2024.06.01 Introducing a competency framework for languag learning materials ...
2024.06.01 Introducing a competency framework for languag learning materials ...2024.06.01 Introducing a competency framework for languag learning materials ...
2024.06.01 Introducing a competency framework for languag learning materials ...
 
How to Make a Field invisible in Odoo 17
How to Make a Field invisible in Odoo 17How to Make a Field invisible in Odoo 17
How to Make a Field invisible in Odoo 17
 
Language Across the Curriculm LAC B.Ed.
Language Across the  Curriculm LAC B.Ed.Language Across the  Curriculm LAC B.Ed.
Language Across the Curriculm LAC B.Ed.
 
1.4 modern child centered education - mahatma gandhi-2.pptx
1.4 modern child centered education - mahatma gandhi-2.pptx1.4 modern child centered education - mahatma gandhi-2.pptx
1.4 modern child centered education - mahatma gandhi-2.pptx
 
Model Attribute Check Company Auto Property
Model Attribute  Check Company Auto PropertyModel Attribute  Check Company Auto Property
Model Attribute Check Company Auto Property
 
Students, digital devices and success - Andreas Schleicher - 27 May 2024..pptx
Students, digital devices and success - Andreas Schleicher - 27 May 2024..pptxStudents, digital devices and success - Andreas Schleicher - 27 May 2024..pptx
Students, digital devices and success - Andreas Schleicher - 27 May 2024..pptx
 
TESDA TM1 REVIEWER FOR NATIONAL ASSESSMENT WRITTEN AND ORAL QUESTIONS WITH A...
TESDA TM1 REVIEWER  FOR NATIONAL ASSESSMENT WRITTEN AND ORAL QUESTIONS WITH A...TESDA TM1 REVIEWER  FOR NATIONAL ASSESSMENT WRITTEN AND ORAL QUESTIONS WITH A...
TESDA TM1 REVIEWER FOR NATIONAL ASSESSMENT WRITTEN AND ORAL QUESTIONS WITH A...
 
Instructions for Submissions thorugh G- Classroom.pptx
Instructions for Submissions thorugh G- Classroom.pptxInstructions for Submissions thorugh G- Classroom.pptx
Instructions for Submissions thorugh G- Classroom.pptx
 
Mule 4.6 & Java 17 Upgrade | MuleSoft Mysore Meetup #46
Mule 4.6 & Java 17 Upgrade | MuleSoft Mysore Meetup #46Mule 4.6 & Java 17 Upgrade | MuleSoft Mysore Meetup #46
Mule 4.6 & Java 17 Upgrade | MuleSoft Mysore Meetup #46
 
Home assignment II on Spectroscopy 2024 Answers.pdf
Home assignment II on Spectroscopy 2024 Answers.pdfHome assignment II on Spectroscopy 2024 Answers.pdf
Home assignment II on Spectroscopy 2024 Answers.pdf
 
Digital Tools and AI for Teaching Learning and Research
Digital Tools and AI for Teaching Learning and ResearchDigital Tools and AI for Teaching Learning and Research
Digital Tools and AI for Teaching Learning and Research
 
Introduction to Quality Improvement Essentials
Introduction to Quality Improvement EssentialsIntroduction to Quality Improvement Essentials
Introduction to Quality Improvement Essentials
 
The Roman Empire A Historical Colossus.pdf
The Roman Empire A Historical Colossus.pdfThe Roman Empire A Historical Colossus.pdf
The Roman Empire A Historical Colossus.pdf
 
Welcome to TechSoup New Member Orientation and Q&A (May 2024).pdf
Welcome to TechSoup   New Member Orientation and Q&A (May 2024).pdfWelcome to TechSoup   New Member Orientation and Q&A (May 2024).pdf
Welcome to TechSoup New Member Orientation and Q&A (May 2024).pdf
 
Basic phrases for greeting and assisting costumers
Basic phrases for greeting and assisting costumersBasic phrases for greeting and assisting costumers
Basic phrases for greeting and assisting costumers
 
Polish students' mobility in the Czech Republic
Polish students' mobility in the Czech RepublicPolish students' mobility in the Czech Republic
Polish students' mobility in the Czech Republic
 

Traditional procurement method

  • 1. Traditional Procurement Method This is a common method that has been usually used in construction industry. Traditional method is a procurement method that the design work will separate from construction. The developer or client would appoint an architect to complete the design and produce specifications of the building. The consultant team is appointed to take control of design and cost. Upon the completion of the design, client will appoint a main contractor to carry out the works through bidding. The contractor prepares the tender documents base on the specifications and drawings or the bill. The lowest tenderer usually will be awarded the contract. The contractor need to take responsibility to all the workmanship and materials which including all works by the sub-contractors. Based on the chart that had been shown above, the client has contractual relationship with all parties. In this way, the client would have the closer control of the works. However, this may bring risks in control of works of the project since the client need to deal with many points of responsibility. Firstly, client will appoint a consultant team which included architect, quantity surveyor and engineers to come out with the drawings and specifications of the building. The quantity surveyor in the consultant team will come out with the bills of quantity base on the drawings that have been provided by the architect and engineer. The employer appoints the contractor team to be in charge of the construction works only. Therefore, the contractor team does not need to take responsibility for the design works. Then, the contractor may appoint other subcontractor to undertake specialize works.
  • 2. Advantages of Traditional Method Traditional method usually come out with high quality works since the client has the closer control to the works. For example, the consultant team must provide a design which meet the requirements of the client. Besides, due to the advices and construction expertise that provide by the consultant and contractor, client may compare and consider which design and budget is more suitable for the project. In traditional method, all tenderers produce a tender base on the same information. Therefore, client may obtain the best or lowest price through competitive tendering. Besides, the construction cost will be more accurate since the tender is bases on the complete design and specifications. If compare with other procurement method, traditional method will be easier to be adopted. It is because this method had been commonly used for a long time, so, both contractor and consultant team are familiar to solve or face the risks during the procurement state of a construction progress. Disadvantages of Traditional Method For traditional method, client may hard to manage the project since he need to communicate with few parties at the same time. For example, the consultant and contractor do not have contractual relationship, hence, if they need to communicate with each other, they must communicate with the client first, which is very inconvenience. There may be miscommunication since the client need to communicate with so many organization too. Traditional method requires longer period to complete the project. It is because the tender will be provided after the design is fully completed. Furthermore, if problems occur, consultant and contractor may shirk the responsibility to each other. The argument and problems may need a long time to be settled. Clear Example The purpose of our project is to build a 20 storey condominium, assume that there is a problem from the drawing of the design and the contractor wants to communicate and get information from consultant team. For traditional method, the contractor will only be appointed after the design is done, therefore, contractor is unable to plan for the project and input his design. So, the contractor need to communicate with the client first, then only the client will communicate with the consultant, since, there is no contractual relationship between the consultant team and contractor team. Besides, the changes of the design need to be approved by the client first.
  • 3. References  C.M., Y.S., n.d. Procurement models: improving on the traditional method ... [WWW Document]. MinterEllison. URL http://www.minterellison.com/Pub/NL/201112_CLAa/ (accessed 12.15.11).  @ukessays, n.d. What Is The Procurement Method Construction Essay [WWW Document]. UKEssays. URL https://www.ukessays.com/essays/construction/what-is- the-procurement-method-construction-essay.php (accessed 3.23.15).  D.P., n.d. Building Procurement Methods - Construction Innovation [WWW Document]. URL http://www.construction- innovation.info/images/pdfs/Research_library/ResearchLibraryC/2006-034- C/reports/Report_-_Building_Procurement_Methods.pdf (accessed 6.8).