Dispute Resolution Processes - Design-Build for Water and Wastewater Projects - page 296

APPROACHES TO MINIMIZE CONFLICT IN
DESIGN-BUILD PROJECTS
The strategy for managing conflicts on a DB project begins with identifying ways to mini-
mize the potential for conflicts at any stage of the process, including those that occur dur-
ing the procurement stage or during project execution (i.e., contract performance).
Minimizing Conflicts During Procurement
A competitive DB procurement can lead to a number of potential problems, most of
which do not manifest themselves until after the contract is awarded. Because the owner
controls the procurement process, the owner and its consultants have the primary respon-
sibility to think this issue through and develop a strategy to reduce the likelihood that the
procurement process will give rise to a conflict. The DB team also has some responsibility
for this as well, as teams are being formed preaward and there are potential conflicts that
can come between team members (Loulakis and Donohue 1998). Strategies for reducing
conflict during procurement are detailed in the following list.
• Ensure that the RFP clearly defines the owner's requirements
• Use a progressive DB approach when the owner's requirements are evolving and
the owner has the procurement authority to do so
• Create objective selection criteria and use a competent, impartial selection panel
• Provide a reasonable stipend to incentivize the DB teams to devote adequate
resources to evaluate and critique the owner's requirements during the proposal
process
• Use proprietary meetings with the short-listed proposers to create an environ-
ment where the proposer can confidentially identify ideas to the owner
• Allocate contractual risks in an equitable manner
• Have all key members of the DB team operate through a written teaming agree-
ment that addresses how disagreements related to the proposal will be resolved
Conflicts During Contract Performance
After the contract is awarded to a design-builder, the parties should identify the most
likely areas for dispute and develop procedures to prevent these disputes from occurring
during the project (WDBC 2010). Some approaches to be considered are stated in the fol-
lowing list.
• Liberally use “meet and confer” processes between the owner and DB team rela-
tive to design, schedule, and other submittals
• Clearly identify how the owner will fulfill its contractual responsibilities, particu-
larly with respect to turnaround times on submittals
• Assign party representatives with the skill and temperament to work through
problems collaboratively
• Ensure that key members of the DB team, particularly the designer, are regularly
involved at project meetings