Top Ten Strategies for Owners to Achieve a Successful Design-Build Project - Design-Build for Water and Wastewater Projects - page 336

them while defining the project, the risk allocation, the procurement process, and the
project implementation procedures, those objectives are more likely to be achieved.
ESTABLISH A FAIR, CLEARLY DEFINED, EFFICIENT,
AND TRANSPARENT PROCUREMENT PROCESS
Examples exist of failed DB procurements. These failed procurements have many of the
same characteristics: (1) unclear processes that were time-consuming and expensive for
the proposers and the owner; (2) changing requirements; and (3) a poor risk allocation.
These failed procurements produce disappointing results for owners. A few tactics to con-
sider in providing an efficient and focused procurement process are as follows:
• Clearly announce and define the procurement schedule and process.
• Clearly define the administrative and procedural provisions, and strictly follow
those provisions.
• Define selection criteria in detail, and describe how these criteria will be mea-
sured and utilized during selection.
• Provide all relevant project information and data that are available to competi-
tors. Do not retain or attempt to hide previous studies, reports, or data.
• Establish contract terms and conditions that allocate risk to the party most able
to control that risk. Do not make risk a competitive issue, because it can turn the
procurement process into a risk allocation auction, which increases the potential
for future disputes and project failures.
• Give potential bidders sufficient time to produce the best technical and price
proposals. Remember that the design-builder will often need to produce designs
and perform value engineering before involving subcontractors and suppliers to
obtain competitive pricing and firm equipment delivery dates.
• Provide potential bidders a specific table of contents, format, and definition of
deliverables they need to provide in their proposals. This will keep proposals con-
sistent and much easier for the owner to review and evaluate in a timely manner.
• Confirm how the project will be funded (i.e., grants, bonds, etc.) and how those
funds will be guaranteed or repaid. Because firms commit significant resources
to pursue a DB project, this funding information is critical for them to obtain
their internal management approvals to pursue the project.
• Control the bid-period communications and provide any communications that
occur with one competitor to all competitors, except in the case of any planned
and predefined one-on-one confidential meetings between the owner and short-
listed proposers to clarify technical issues.
• Maintain confidentiality and ethical behaviors, and demand no less from all
stakeholders and proposers.
• As required, choose a knowledgeable, experienced, capable consultant who has
experience in assisting owners in the technical aspects, procurement processes,
and project execution of DB projects.