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Commercial Construction Delivery Methods: 3 Times To Go With A Negotiated Bid

HardHatChat

Any long-time readers of Hard Hat Chat have probably picked up on the fact that Iā€™m a big fan of the negotiated bid. While there are valid reasons a client might go the competitive bid route, there are many more scenarios where the negotiated delivery method is better for all parties. There are several benefits to doing so.

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BuildTools Provides the Solution for Managing Demanding Clients

Pro Builder

But Platinum Homes was losing money on change orders from demanding clients. He recalls multiple instances that sounded something like this: ā€œI had it in my head that we were only over budget by a few thousand dollars, I had no idea we were this far over!ā€. We had to negotiate our final draw on every home,ā€ says Molthan.

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The most important construction KPIs to improve profits and productivity

Lets Build

Investing in quality means you have to make fewer changes during the projectā€”it saves time, it saves money, it saves headaches. No one wants a project full of change orders and rework. If you can negotiate payment terms or adjust payment schedules by tracking KPIs, you can keep your profit on track.

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The most important construction KPIs to improve profits and productivity

Lets Build

Investing in quality means you have to make fewer changes during the projectā€”it saves time, it saves money, it saves headaches. No one wants a project full of change orders and rework. If you can negotiate payment terms or adjust payment schedules by tracking KPIs, you can keep your profit on track.

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A Recipe for Retaining Your Purchasing Talent

Pro Builder

A good purchasing professional must understand the construction process, local building codes, risk management, the enterprise resource planning system, schedules, the installing trades in a given market and the materials they use, alternative materials that could be used, their cost drivers, and so onā€”all while being an excellent negotiator.

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Best Practices for Developing a Contractorā€™s Request for Compensation

Best Practices Construction Law

I have edited the list and I am happy to share these ideas: Identify the best person to manage the team. Review change orders and correspondence. You are going to go back to the original scope of work to see if that was well defined, and changes have been made either in the field or as part of a negotiated, detailed change.

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Rory Woolsey's Construction Estimating Blog: A Savings Analysis!

Rory Woolsey

However, I received many comments and questions on the “Negotiating JOC” blog from last week that really should be answered. If you think about it there is a direct relationship to change orders on public funded design-bid-build jobs and the quality of the bidding documents. Thursday, February 16, 2012.