Reducing the Major Risks Associated with Public Sector Construction
Public sector construction faces inherently more major concerns and sources of potential litigation than in the private sector. Even within the public sector, the more “political” the building use, the higher the likelihood for issues. K-12 seems to be the most problematic “battleground”, though the following concerns are likely shared by all public institutions:
- Lack of public support
- Lack of confidence
- Lack of transparency
- Lack of trust.
- Non-compliance with regulations, statues, policies and/or procedures.
- Lack of the ability to obtain timely and cost effective, BEST VALUE construction services
These concerns plague construction all all stages, but are particularly pronounced during budgeting, procurement, and construction.
Public outcry, litigation, and poor reviews from independent audits, while far from uncommon can be mitigated through higher levels of demonstrated competency, communication, and collaboration on the part of public sector real property owners, administrators, and real property owners.
Job Order Contracting, if designed, implemented, and managed properly by competent public sector real property owners and facility managers provides the highest chances for providing BEST VALUE, TRANSPARENCY, and COMPLIANCE.
LEADERSHIP with respect to CHANGE MANAGEMENT, and overall physical asset total-cost-of-ownership management competency are the most important requirements to achieving efficient life-cycle management of the built environment.
More specifically LEAN Collaborative Construction Delivery …
•Shared Risk/Reward
•Mutual Trust/Respect
•Long Term Perspective (Costs and Relationships)
•Global Oversight while Leveraging Local Expertise
•Leadership with Excessive Management and Control
•Auditable Processes
•Continuous Improvement
•Reliable Localized Cost Information
•Compliance
•Ongoing Training, Education, & Certification