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Assignment 1: IndividualA Case StudyAssignment 1- BriefPurposeThis Brief sets out what is required to be done by each individual and should be read in conjunction with the instructions given through...

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Assignment 1: IndividualA Case StudyAssignment 1- BriefPurposeThis Brief sets out what is required to be done by each individual and should be read in conjunction with the instructions given through lectures and the unit of study guide.The SBM3302 individual assignment has three major deliverables:1) Project delivery system2) Financial contract type3) Procurement methodIntroductionAPIC CONSULT serves as a general contractor and project consultant to private companies and government agencies. Your manager just got a new project for APIC CONSULT and has asked you to study it and advise the client on selecting the best project delivery system, financial contract type, and procurement method for the project.The project information is presented below which contains by a series of facts and assumptions. Remember that there will be more than one way to select the "most suitable’ project delivery system, financial contract type, and procurement method. This selection depends on what you consider the most important factors related to the project (e.g., time, budget, quality, communication). The key is to have a logical and systematic analysis that is consistent with your client’s overall needs. Based on the material provided to you on tutorial week5, you need to develop an evaluation matrix. Figure 1 is an example of an evaluation matrix which you need to prepare for delivery system, financial contract type and procurement method selection. You are expected to document your answers and provide a detailed explanation of your decisions regarding the project delivery system, financial contract type and procurement method selection. Please document all the assumptions you make and explain, in a very professional way, each number you assign to every cell in the matrix.2Goals/Criteria Criteria WeightProject Delivery Systems Method 1 Method 2 Method 3 Score Weighted Score Score Weighted Score Score Weighted Score Criteria XXXXXXXXXX200 Criteria XXXXXXXXXX180 Criteria XXXXXXXXXX Criteria XXXXXXXXXX245 Value XXXXXXXXXX675(** The score is the numerical value (between 1 and 10) that you choose for a given criterion. For a specific delivery method, the weighted score is the multiplication of the criterion weight times the score you provided for that criterion. Each one of these numbers should have a very clear and professional explanation.)Project DescriptionThe existing Sydney motorway network (including the M5 Motorway, M5 East and the M4 Motorway) carries high levels of average weekday and peak hour traffic, including large volumes of heavy vehicles from western Sydney to and from the Port Botany/Sydney Airport economic zone. Parramatta Road just east of Norton Street is forecast to carry up to 80,000 vehicles per average weekday compared with 65,000 vehicles per average weekday in 2012. This equates to 24 per cent98,000 vehicles per average weekday in 2012. This equates to 14 per cent growth.In an area of rapid growth that has deemed the current roads insufficient for growing demand and with an existing infrastructure, the Widening of the existing M4 Motorway from three lanes to four lanes each way from Church Street to Homebush Bay Drive is a major project was a major undertaking.After an intensive selection process performed by NSW Government, the AUD 16.8 billion construction project was awarded to WestLINK , jointly with other contractors. Beginning with the award of the contract in early 2015, the difficult task of constructing 33 kilometers of motorway to link western and south-western Sydney with the city began and the work affected the daily lives of many individuals. The WestLINK project will be delivered in 3 stages to 2023. After a massive demolition undertaking, the reconstruction process included widening the new freeway from 4 to 8 lanes, increasing the vertical clearances, and constructing auxiliary lanes between interchanges. The new and improved highway is expected to introduce a great relief on traffic management system and remove an estimated 4,000 trucks a day from Parramatta Road and putting them underground—triggering the opportunity for neighborhood revitalization.The Australian Government has committed a concessional funding ($1.5 billion) to the project so that WestLINK can deliver Stage 1 and Stage 2 concurrently in partnership with the NSW Government.3The organizational structure for the M4 widening project is incredibly complex. The project is composed of three very large prime contractors, two very large design firms, three consultants, and two hundred subcontractors. Each group brought with them a unique way of doing business and a distinct company culture. Dividing up the project and deciding who oversaw which portions of the work was also very complex. With so many different entities participating in the construction, it could be very easy for things to slip through the cracks and for finger-pointing to ensue. Therefore, the selection of an appropriate Project Organization was extremely important.At the beginning, several contractors who were interested in this project included JPM Co., TOP Construction, and KLG Solution. However, the bonding and working capacity that the project required was so high that none of these contractors would have been able to take on the whole job alone. Hence all the three prime contractors together created WestLINK Construction, a jointventure company, which was awarded the primary contract for the project.WestLINK hired three design teams to work with its in-house contractors and owner-retained consultants. Besides the contractors and the designers, WestLINK also hired two consulting companies as its owner-retained consultant to provide technical and management expertise:Larson and Sons and McCartney Inc. Larson and Sons was the lead responsible for communicating with the design team to ensure that the work was up to date. This allowed WestLINK to be fairly detached from the project, performing only brief reviews on quality and overlooking the design teams. Larson and Sons were the technical and management experts while McCartney Inc. was in charge of design issues.There were also about 180 subcontractors that bid on specialty jobs. In order to ensure that local firms would be employed, subcontracting assignments were established based upon a Competitive Procurement Process for any contract in excess of AUD 1.5 million.WestLINK set up an integrated management team from all the project participants, which was comprised of WestLINK Engineers, representative employees from WestLINK’s prime consultant (Larson and Sons) who developed Request for Qualifications (RFQ) and Request for Proposal (RFP) packages with the aid of the WestLINK Technical Support Manager, Mr. F.Gilan; and other consultants (including Shawn Bergman, WestLINK’s design consultant) and an Oversight Team, which consisted of WestLINK upper management. The integrated management team also included a project manager (Mr.Jogn Wheety), a contracts manager (Mr. John Hawks), and a Traffic Management Organizer (Mr. Ted Bourk) all from WestLINK, as well as an NSW Road & Maritime representative.Lastly, there were extensive uses of performance specifications in the RFP (Request for Proposals); and WestLINK assigned the responsibility to the builders to monitor the quality for all quantities of work related to their approaches.Project ChallengesThere were five main challenges faced by this project:▪ Enormous challenge to keep more than 140,000 vehicles moving through the project corridor with a speed limit of 80 kilometre per hour.4▪ Maintaining a fast-track schedule, while controlling costs.▪ Prioritising the safety of workers and the public by diverting traffic from Paramatta Road.▪ Creating a unified cohesive team at the management level that included several individuals from the owner, WestLINK and many other organizations.▪ Meeting the deadline for the 2023, while setting an industry standard for future design-build projects. For WestLINK, it was extremely important that the deadline is met with no cost overrun the Government budget.Deliverable details1) Project Delivery MethodRecommend the best project delivery method (this is given by the LECTURER) for the M4 widening project based on the criteria that YOU think is most crucial to this project. Be mindful that the types of delivery methods that need to be evaluated are Design-Bid-Build, Design-Build and CM@Risk. You must document all your assumptions and rationale for the selection of the project delivery system. All yours suggested grading (the criteria, weights, and scores) should come with justifications and explain why you gave such grade to each element of the selection matrix.2) Financial Contract TypeEvaluate and recommend the best financial contract type for the M4 widening project (from the list provided by the LECTURER) project based on the criteria that YOU think are crucial to this project. The types of contract that need to be evaluated are Lump sum contract, Guaranteed Maximum Price Contract and Cost-Plus Fixed Fee Contract. All grading must be justified and explained.3) Procurement MethodEvaluate and recommend the best procurement method for the M4 widening project (from the list provided by the LECTURER) project based on the criteria that are crucial to this project. The types of procurement that need to be evaluated are Competitive, Negotiated and Best Value. All grading must be justified and explained.AssessmentThis document will form part A of the Tender report. It will be worth 15% of course marks.
Answered Same Day Mar 28, 2020 SBM3302

Solution

Abr Writing answered on Mar 31 2020
124 Votes
Project Delivery Method
Project delivery method is one of the major factor which influence the performance and execution of the project. Project delivery method allows entity to select the most appropriate and suitable method to execute the project so that all the designated task are completed in optimal time with the optimal cost. There are several project delivery methods which are used by various Government and non-government entities in order to successfully execute and implement the project. Various project delivery methods are described below.
First type of project delivery method is design build bid method in this method owner create documents related to the contract along with engineer and architect who assist in making detailed specification and blueprint. Which are then selected from several contractors and based on the competitive with contract is then awarded to the most suitable bidder who has desired credentials and the lowest bid.
Second type project delivery method includes design build method along with the construction management in this type of project delivery method document partially completed contract documents and then he hires a construction manager. The project managers than complete the bidding process and monitors the progress of the project. This method not only allows the speedy delivery of the project work it also reduces the risk of the owner as now the list of timely completion of the project is shared between the construction manager and the owner of the project. 
The third type of project delivery system is design construct project delivery system, in this type of project delivery system owner only prepares of conceptualization plan of the project and then outsource the entire delivery of the project to a builder who further hires Architects and the sub-contractors in order to plan prepare execute and deliver the project.
Fourth type of project delivery method is design build operate and maintain, in this type of project delivery method the entire design construction engineering is outsourced to a suitable builder and there is one more step of outsourcing that is the maintenance. In this type of project delivery method builder not only plan prepare execute and deliver the project but he also maintains, the critical aspect of the project.  The major advantage of this method is that as the maintenance is in the scope of the Builder therefore he ensures the quality of the project is good.
Fifth type of project delivery method is design build operate and transfer, in this type of project delivery method the Builder undertake the entire turnkey project, and he handles the design delivery execution and maintenance of the project along with the financing of the project. The Builder also takes the revenue from the project for a specific period of time. The Builder then transfer the project after a specific interval of time when he recovers his cost and profit on the project.
6 type of project  delivery method is integrated project delivery in integrated project delivery method There are several primary teams and interest of those primary teams are aligned in such manners so that all the members are integrated for optimal project performance, this results in collaborative value addition process and usually delivers a high results to the entire builder team.
7 type of project delivery system is public private partnership this type of project delivery system is similar to build operate transfer project delivery system as the owner outsource the entire project and its finances to a suitable partner stop the only difference is that in public private partnership one of the entity is the government who usually outsource Infrastructure Projects to another private entities who undertakes the project on the behalf of the government complete the finances of the project and runs the project on the behalf of the government for a specific. Of time in order to recover the cost incu
ed on the project and profit to the builder.
 
 
As you can observe that that is a huge volume of construction and engineering work which needs to be undertaken in order to modify the four lane road in  to 8 Lane Road.  Therefore we can shortlist 3 project delivery system on the basis of volume of the work and qualitative aspect of the project.
The project delivery system includes, the first method is public private partnership, design bid build with the construction management and integrated project delivery for the completion and execution of the project.
     
     
     
     
     
     
     
     
     
    Weight
    Design bid build with construction management
    Public private partner ship
    Integrated project delivery
    Criteria
     
    Score
    Weighted Score
    Score
    Weighted Score
    Score
    Weighted Score
    Timely Delivery of the project
    30
    6
    180
    7
    210
    8.5
    255
    Cost of the...
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