March 08, 2019

The Design-Build Trend That’s Defining Construction

The Design-Build Trend That’s Defining Construction

The design-build process, a construction project delivery method in which a single entity provides both design and construction services, is becoming a standard in large commercial and residential projects. The benefits? Cost and time savings for project owners plus reduced risk with one single point of contact       

One Coordinator and Communicator Saves Time  

By utilizing a design-build approach, the owner only has to correspond with one contractor for all project aspects, including changes. When dealing with multiple parties, if the original plans change, the new specs and terms must be agreed upon by the owner and all contractors through a change order, which can slow down the project. Having one contractor saves time in communicating the change orders, executing the modifications and minimizing the number of change orders.   

One Point of Contact Saves Costs  

At the start of a design-build project, all costs are identified early enough so that the contractor can work with the owner to maximize the budget. Any requirements coming in over budget at the initial pricing phase can be adjusted to keep costs within budget and eliminate unexpected work that can increase costs. With a traditional construction process, the owner doesn’t know the cost until the design is complete and has gone through the bidding process.  

Single Accountability Lowers Risk  

Large construction projects are complex, and the owner usually takes on the risk, especially if a project goes awry. With the design-build method, one entity is accountable not only to complete the project on time, at budget and according to standards, but also for managing issues, such as disputes between contractors or conditions that change the project scope.   

By choosing a design-build method, project owners can add value to their business in saving time, lowering costs and reducing risk. ProSight also adds value with unique products and solutions customized for builders risk exposures that go beyond traditional insurance coverage.   

Ian Karg, Program Underwriter for Builders Risk