CONSTRUCTION METHODS AND EQUIPMENT

CONSTRUCTION PROJECT
PARTIES INVOLVED:
1. OWNER
2. DESIGNER
3. SUPPLIER
4. CONSTRUCTOR
5. END USER
CONSTRUCTION
- Is the step in which plans, specifications, materials and permanent
equipment are transformed by a constructor usually called a contractor, into a
finished facility.
CONSTRUCTION CONTRACTS

CONTRACT
- determines the actions of the parties in their dealings with each other. The
parties to a contract are bound to each other for a certain period of time by a
unique and exclusive relationship (privity of contract) they have created for their
mutual benefit, which gives them both obligations which they have agreed to
accept so that both may benefit.
CONSTRUCTION CONTRACT DOCUMENTS
-define the agreement between the owner and the contractor. It is a twoparty agreement that does not include the designer
FOUR ATTRIBUTES OF A CONTRACT
TO BE VALID
1. AGREEMENT AND ACCEPTANCE
2. CONSIDERATION
3. CAPACITY
4. LEGAL
COMMON TYPES OF CONTRACTS
1. LUMP SUM CONTRACTS
-

Also known as FIXED FREE CONTRACT.

Contract where there is an agreement in which one party consents to pay

another party a set of an amount for completing the work or providing the
goods described in the agreement.

2. UNIT PRICE CONTRACT

-

This kind of contract is based on estimated quantities of items included in the

project and their unit prices. The final price of the project is dependent on the
quantities needed to carry out the work.

3.COST-PLUS-FEE CONTRACT
-

A contract agreement wherein the purchaser agrees to pay the cost of all
labor and materials plus an amount for contractor overhead and profit
(usually as a percentage of the labor and material cost).

4. INCENTIVE CONTRACTS
-Compensation is based on the engineering and/or contracting performance
according an agreed target - budget, schedule and/or quality.
The two basic categories of incentive contracts are
Fixed Price Incentive Contracts
Cost Reimbursement Incentive Contracts
5. PERCENTAGE OF CONSTRUCTION FEE CONTRACTS
-Compensation is based on a percentage of the construction costs.
-Compensation is based on the engineering and/or contracting performance
according an agreed target - budget, schedule and/or quality.
The two basic categories of incentive contracts are
Fixed Price Incentive Contracts
Cost Reimbursement Incentive Contracts
CONSTRUCTOR SPECIALTIES
1.

RESIDENTIAL

2. BUILDING-COMMERCIAL
3. INDUSTRIAL
4. HIGHWAY HEAVY
5. SPECIALTY
1. RESIDENTIAL
2. BUILDING-COMMERCIAL
3. INDUSTRIAL

4. HIGHWAY HEAVY
5. SPECIALTY
DIVISIONS FOR THE BUDGET
1. MATERIAL
2. LABOR
3. EQUIPMENTS
4. SUBCONTRACTS
5. OVERHEAD
6. PROFIT/RISK
METHODS USED TO REDUCE THE COST OF CONSTRUCTION
1.
Design the concrete structures with as many duplicate members as practical
in order to permit the reuse of forms without re building
2.

Simplify the design of the structure where possible

3. Design the use of cost-saving equipment and methods.

4. Eliminate unnecessary special construction requirements.
5. Design to minimize labor-intensive activities.

6. Specify a quality of workmanship that is consistent with required project

quality.
7. Furnish adequate subsurface information where possible.
8.Refrain from requiring the constructor to assume the adequacy of the design or
the responsibility for information that should be furnished by engineer or architect.
9. Use local materials when they are satisfactory.
10. Write simple, straight forward specifications which clearly state what is
expected define either the results expected or the methods of accomplishing the
desired results, but not both.
11. When possible, use standardized specifications which are familiar to the
constructors.
12. Hold pre-bidding conferences with constructors in order to eliminate
uncertainties.
13. Use inspectors who have sufficient judgment and experience to understand the
project and to give them the authority to make decisions.