The negotiated contract method for RFPs is a rapidly growing trend in construction. Traditionally, RFPs have gone through a competitive bid method – meaning that 100% of the design work is done without the input of contractors and with very little real cost information. With the negotiated contract method, only about 10% of the design work is done before a contractor is brought to the table, which means less paperwork and lower up-front costs. There are several advantages to the negotiated contract method: •Because only a small part of the design work is done up-front (before a contractor is brought on board), no extensive re-design work has to be done when budget/schedule issues with the design become a factor. •A complete team – architect/designer and contractor – is assembled earlier, making for a much more efficient process and outcome. •The RFP process becomes a collaborative effort, rather than a competitive one. There is no other book on the shelf that either focuses specifically on RFPs in the construction industry, or features a step-by-step method for implementing the negotiated contract method. This is a step-by-step guide for managing the RFP process in a way that saves time, money, enhances team collaboration, and assures quality in construction. Focusing on the negotiated contract method (as opposed to the competitive bid method), the book takes readers from articulating the needs/wish list for a construction project, to the analysis of responses and interviews, through negotiations and finalization of the deal. This is a roadmap for: •Preparing, understanding, and assessing the quality of information in an RFP. •Gathering critical, project-specific information from free and up-to-date local databases. •Adding value to the process by assisting consultants in marketing and project management capabilities. •Selecting and working with a team early in the process to stay on-schedule and on-budget. •Improving the materials selection process and the end-result overall quality of construction. •Example and template forms make it easy to create a successful RFP process.
Author(s): Richard Fria
Edition: 1
Publisher: McGraw-Hill Professional
Year: 2005
Language: English
Pages: 192
Terms of Use......Page 5
Want to learn more?......Page 6
Contents......Page 9
Preface: The View from Here......Page 11
Acknowledgments......Page 15
Introduction......Page 17
One: Why Negotiated?......Page 21
Quality and Cost Control......Page 28
Beneficial Relationships......Page 29
Final Costs/Best Value......Page 30
Summary......Page 31
Two: The Cost......Page 33
Managing the RFP Process......Page 34
RFP-related Design Costs......Page 35
Contractor Costs......Page 38
Construction Costs......Page 39
The Cost of Adversity......Page 40
Three: The Search......Page 43
Four: The Request for Proposal......Page 47
Section A: Overview......Page 48
Section B: Response Format and Definitions......Page 54
Section D: Pricing Package and Documents......Page 78
Summary......Page 80
Five: The Analysis......Page 83
Estimate-based Plan (Preferred Method)......Page 84
Fee-based Plan......Page 85
General Requirements Analysis......Page 90
Follow-up......Page 91
Response Content Analysis......Page 102
Selecting Finalists......Page 103
Six: The Interview......Page 107
Seven: The Negotiation......Page 117
Exceptions/Agreement on Construction Contract......Page 123
Agreement on Other Financial Elements......Page 124
List of Committed Personnel......Page 125
Nine: What's Next?......Page 127
Project Definition......Page 128
Project Schedule......Page 129
Construction Cost Review......Page 130
Summary......Page 133
Appendix: Sample Request for Proposal......Page 135
Table of Contents......Page 137
Section A: Overview......Page 138
Section B: Response Format and Definitions......Page 143
Section C: Construction Contract......Page 148
Section D: Pricing Package......Page 150
Project Narratives......Page 151
Index......Page 185
About the Author......Page 191
