A report by the American Institute of Architects and the Associated General Contractors of America takes a look at the supposed conflict between good design and effective cost management, and why it causes friction between architects and contractors.
“The ‘hard bid’ relationship is structured to be confrontational,” according to an architect quoted in the report. “The architect does not have the time or [get paid a] fee to show scope completely or to fully coordinate the project. The GC is required to bid low to get the project, then exploit information gaps in bid documents to improve profitability.”
Construction attorneys say that contract provisions can help bridge this collaboration gap, according to an article at Construction Dive. Ideally, architects would specify every material and component for a project, but with limited budgets and time, architects can’t do that. As a result, contractors have to fill in the gaps, and often have to go back to the architect with RFIs.
One contract solution would be to pay architects through an additional services provision for time spent responding to RFIs. This could be accompanied by a contract clause requiring architects to respond in a set time frame or face a financial penalty.
Related Stories
Building Team | Jul 11, 2016
Design-assist: The way to really fly [AIA course]
Experts explain the benefits of DA, a process where the subcontractors are retained to assist other Building Team members in the development of a design. Earn 1.0 AIA CES learning units by reading and taking the exam.
Building Team | Jul 11, 2016
Addressing client concerns about design-assist
Common concerns about DA include lack of familiarity, obtaining competitive pricing, and design liability.
Sponsored | Building Team | Jul 11, 2016
Construction Disruption at AECX: Technology, hackathons and the promise of change in LA
The lead up to AECX featured a discussion providing insight into the current state of the AEC technological revolution by exploring opportunities, challenges and choices AEC pros face.
Contractors | Jul 11, 2016
Repairing the world’s infrastructure hinges on the construction sector crossing the digital divide
A new McKinsey report identifies five trends the industry should latch onto more broadly.
Contractors | Jul 4, 2016
A new report links infrastructure investment to commercial real estate expansion
Competitiveness and economic development are at stake for cities, says Transwestern.
Contractors | Jun 30, 2016
Chicago contractor found guilty of fraud on city’s requirement on minority-owned businesses
Alleged to have been sham business in bid to win city public works contract.
AEC Tech | Jun 27, 2016
If ‘only the paranoid survive,’ what does it take to thrive?
“Sooner or later, something fundamental in your business world will change.” The late Andrew Grove (1936-2016), Co-founder of tech giant Intel Corp., lived by these words.
Contractors | Jun 21, 2016
Bigness counts when it comes to construction backlogs
Large companies that can attract talent are better able to commit to more work, according to a national trade group for builders and contractors.
Building Materials | Jun 16, 2016
ABC: Construction material prices rise again in May
Nonresidential construction price gains were largely driven by iron and steel prices and steel mill product prices.
Movers+Shapers | Jun 14, 2016
VERTICAL INTEGRATOR: How Brooklyn’s Alloy LLC evolved from an architecture firm into a full-fledged development company
Led by an ambitious President and a CEO with deep pockets, Alloy LLC's six entities control the entire development process: real estate development, design, construction, brokerage, property management, and community development.