flexiblefullpage
billboard
interstitial1
catfish1
Currently Reading

Report examines supposed conflict between good design and effective cost management

Report examines supposed conflict between good design and effective cost management

Contract provisions can help architects and contractors reduce tension.


By Peter Fabris, Contributing Editor | August 11, 2022
Effective Design
Courtesy Pexels.

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

Giants 400 | Oct 23, 2023

Top 115 Multifamily Construction Firms for 2023

Clark Group, Suffolk Construction, Summit Contracting Group, Whiting-Turner Contracting, and McShane Companies top the ranking of the nation's largest multifamily housing sector contractors and construction management (CM) firms for 2023, as reported in Building Design+Construction's 2023 Giants 400 Report. Note: This ranking factors revenue for all multifamily buildings work, including apartments, condominiums, student housing facilities, and senior living facilities.

Senior Living Design | Oct 19, 2023

Senior living construction poised for steady recovery

Senior housing demand, as measured by the change in occupied units, continued to outpace new supply in the third quarter, according to NIC MAP Vision. It was the ninth consecutive quarter of growth with a net absorption gain. On the supply side, construction starts continued to be limited compared with pre-pandemic levels. 

Warehouses | Oct 19, 2023

JLL report outlines 'tremendous potential' for multi-story warehouses

A new category of buildings, multi-story warehouses, is beginning to take hold in the U.S. and their potential is strong. A handful of such facilities, also called “urban logistics buildings” have been built over the past five years, notes a new report by JLL.

Building Materials | Oct 19, 2023

New white papers offer best choices in drywall, flooring, and insulation for embodied carbon and health impacts

“Embodied Carbon and Material Health in Insulation” and “Embodied Carbon and Material Health in Gypsum Drywall and Flooring,” by architecture and design firm Perkins&Will in partnership with the Healthy Building Network, advise on how to select the best low-carbon products with the least impact on human health.

Contractors | Oct 19, 2023

Crane Index indicates slowing private-sector construction

Private-sector construction in major North American cities is slowing, according to the latest RLB Crane Index. The number of tower cranes in use declined 10% since the first quarter of 2023. The index, compiled by consulting firm Rider Levett Bucknall (RLB), found that only two of 14 cities—Boston and Toronto—saw increased crane counts.

Office Buildings | Oct 19, 2023

Proportion of workforce based at home drops to lowest level since pandemic began

The proportion of the U.S. workforce working remotely has dropped considerably since the start of the Covid 19 pandemic, but office vacancy rates continue to rise. Fewer than 26% of households have someone who worked remotely at least one day a week, down sharply from 39% in early 2021, according to the latest Census Bureau Household Pulse Surveys. 

Contractors | Oct 19, 2023

Poor productivity cost U.S contractors as much as $40 billion last year

U.S. contractors lost between $30 billion and $40 billion in 2022 due to poor labor productivity, according to a new report from FMI Corp. The survey focused on self-performing contractors, those typically engaged as a trade partner to a general contractor.

Giants 400 | Oct 17, 2023

Top 70 Sports Facility Construction Firms for 2023

AECOM, Turner Construction, Clark Group, Mortenson head BD+C's ranking of the nation's largest sports facility contractors and construction management (CM) firms for 2023, as reported in Building Design+Construction's 2023 Giants 400 Report.

Contractors | Oct 12, 2023

3rd annual Construction Inclusion Week begins October 16-20

The annual week-long event promotes inclusion and celebrates diversity throughout the construction industry.

Giants 400 | Oct 11, 2023

Top 100 Industrial Construction Firms for 2023

ARCO Construction, Clayco, Walbridge, and Gray Construction top the ranking of the nation's largest industrial facility sector contractors and construction management (CM) firms for 2023, as reported in Building Design+Construction's 2023 Giants 400 Report.

boombox1
boombox2
native1

More In Category

Curtain Wall

7 steps to investigating curtain wall leaks

It is common for significant curtain wall leakage to involve multiple variables. Therefore, a comprehensive multi-faceted investigation is required to determine the origin of leakage, according to building enclosure consultants Richard Aeck and John A. Rudisill with Rimkus. 




halfpage1

Most Popular Content

  1. 2021 Giants 400 Report
  2. Top 150 Architecture Firms for 2019
  3. 13 projects that represent the future of affordable housing
  4. Sagrada Familia completion date pushed back due to coronavirus
  5. Top 160 Architecture Firms 2021