Insider Secrets to Delivering a Successful Project
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Problems Associated with Home Building Procurement
Major problems occur in the home building industry where home owners fail to take the necessary steps in good procurement practice.
Many home owners make fundamental mistakes in controlling risk and quality, in forming and managing building contracts including the following :-
1 Not producing a design brief that captures of of you needs must haves & would like to have & against your budget.
2 Project Planning Not planning the project thoroughly commencing with a realistic budget, good design practice.
3 Not understanding planning requirements, building methodology and not scheduling the project from concept to completion.
4 Not determining a contingency sum for potential costs which cannot be quantified before the building contract is formed.
Documentation
5 Using development application drawings for obtaining builders quotes. These drawing are for council planning assessment purposes only and exclude necessary detail for costing and construction and compliance matters.
6 Many building disputes arise due to insufficient detail drawings and poorly defined contracts.
Builders & Contracts
7 Not seeking competitive quotes from at least three builders and using insufficient documentation.
8. Using a cost plus agreement where commercial risk is transferred from the builder to the owner, rather than a fixed price building contract. These are for special circumstances.
9 Not ensuring the builder follows the approved plans exactly and constructs in accordance with building codes and standards or finding some of the work is illegal which can attracts complications with authorities or penalties.
10 Not monitoring the building progress against the program in accordance with the contract and not keeping accurate records of delays not caused by the builder.
11 Not choosing prime cost items early and placing on order well before installation date and have not monetary having allowances for fitting of these within the contract.
12 Not assessing progress claims correctly against the built work & program.
13 Building program not having a critical path to completion.
14 Setting a contract precedent by giving verbal instructions to tradesmen. These may be misunderstood or cause an unwanted additional cost, or have implications to the program or final design, not explained to you at the time.
15 Not withholding retention sums for release at completion or a mechanism of retaining payments for correcting defects.
Some of Our Proactive Procedures
Early in the planning stage we make assessment of the existing building structure & services for defects which may be considered for incorporation within the new work.
We use proven contractual methods and procedures which minimize risk.
We conduct an early service Needs & Options Review Service that researches all of the planning issues & condition of you existing structure & more.
Code compliance
We carry out extensive council code compliance audits at the design stage to avoid non compliance issues and produce sound planning arguments to assist Council with the assessment.
We consider the construction process throughout the design process so construction issues are resolved before plans are lodged with council.
Documentation
We produce a thorough and professional full set of detailed drawings and specifications, fully coordinated with consultants’ drawings describing necessary detail to remove ambiguity in the building contract.
We also have access to a wide range of reliable tradesman and professional consultants.
We seek manufacturers prices for elements such as windows, doors, facade and structural members separately before assessing tenders.
Site Inspections We inspect the builder`s work regularly and monitor the work against the construction program. We proactively predict building issues before they occur and provide information to the builder to avoid delays.
We review and assess all builders progress claims and issue certificates of how much to pay & retain. During site inspection we monitor the work against approved plans and all statutory compliance and take detailed progress photos of critical issues.
If you have a desire to vary the design during construction, we issue written requests for variation prices from the builder. Following our assessment we request your approval before the builder is permitted to proceed.
As your project approaches completion we carry out extensive inspection and issue building defects lists to the builder for rectification before final payment to the builder is due.
Occupancy Certificate
We work closely with our principal building certifier (PCA) and collate all documents to enable an occupancy certificate to be issued to you promptly. We sometimes stage consents where necessary to optimize the program.
We will organise all inspections and paperwork. All contract and compliance documents will be issued to you at completion including progress images in a bound folder and copied to compact disc.