Strategic decisions

The form of contract will directly affect the project and the project team you select. You will need to think about and prioritise these three factors:

• Quality
• Involvement
• Flexibility

The quality of the final project, in terms of finishes, performance and aesthetics is directly affected by the contact you choose. Some are most suitable when time is not important, but only the best finishes and quality will be acceptable. Others are very fast, but quality may suffer. The level of involvement you wish to have with the project will be a matter for you to decide. The process is complex and can be time-consuming. You can leave it all to others with some forms of contract, or be totally involved with every decision in others. Flexibility is the other key factor. If you know exactly what you want from the outset, you can choose a contract that is relatively inflexible. If, on the other hand, you cannot be sure what you will need at the beginning, a form that has some inherent flexibility is available. There are four main procurement routes you can follow:

• Traditional
• Design & Build
• Management
• Construction Management

All have particular features (with advantages and disadvantages) that make each more appropriate than another for certain applications. You need to decide now which route is best for your circumstances. All feature different levels of involvement from you and all have differing levels of involvement and flexibility attached to them. Take time to study all four routes and decide which is best for you. Traditional Contract Here the designer or architect takes responsibility for the design work and acts as your representative with regard to quality of the fit-out. You will enter into separate contracts with all the required professionals, for example, an architect or designer, a quantity surveyor and with a fitting-out contractor. The design process will be followed by a tender period for fitting-out contractors. Cost control may be handled by the designer or architect or by a separately appointed quantity surveyor. The design team will then oversee the construction of the project. The building contract will normally be chosen from one of the JCT (Joint Contracts Tribunal) standard forms. 

Design and build (or D&B) This is where, ideally, one company contracts to carry out the whole project as a “one stop shop”. Two types of company can provide design & build services: design & fitting-out specialists, who have all the necessary expertise in-house; or fitting-out contractors, who will bring in the required design disciplines from outside. In both cases, they have total responsibility for design, budget and construction. Although you will be dealing with one company, you will meet a range of specialists throughout the life of the project. 

The ultimate Design & build contract is the turnkey or package