Optimised contractor involvement - Revision history

Designing Buildings at 09:00, 6 December 2020

2020-12-06T09:00:16Z

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	* Two stage tender.		* Two stage tender.

−	[[Category:Appointments]] [[Category:Client_procedures]] [[Category:Procurement]]	+	[[Category:DCN_Definition]] [[Category:DCN_Guidance]] [[Category:Appointments]] [[Category:Client_procedures]] [[Category:Procurement]]

Designing Buildings at 14:02, 24 January 2017

2017-01-24T14:02:39Z

← Older revision		Revision as of 14:02, 24 January 2017
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	The OCI approach optimises contractor involvement, rather than simply trying to make it as early as possible, waiting till a point when the contractor is more likely to be able to offer an accurate and competitive price.		The OCI approach optimises contractor involvement, rather than simply trying to make it as early as possible, waiting till a point when the contractor is more likely to be able to offer an accurate and competitive price.
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		+	The contractor input into the design under OCI generally takes place post contract award, whereas in ECI, it takes place pre-contract award, under an arrangement such as a Pre-Construction Services Agreement.
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		+	The OCI approach may adopt a two stage selection process. The first stage is based on an assessment of the contractor’s technical and quality competence. The second stage involves the shortlisted tenderers carrying out a review of the client’s design. The tenderers then submit their final proposals, including a target price.

	= Find out more =		= Find out more =

Designing Buildings at 13:56, 24 January 2017

2017-01-24T13:56:39Z

← Older revision		Revision as of 13:56, 24 January 2017
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	The subtle difference between ECI and OCI is that in ECI, a contractor’s skills are introduced early into a project to bring design buildability and cost efficiencies to the pre-construction phase. In OCI, contractors are brought in at a stage that is late enough for the target price to be quite firm, but early enough for them to be able to influence buildability and value engineering.		The subtle difference between ECI and OCI is that in ECI, a contractor’s skills are introduced early into a project to bring design buildability and cost efficiencies to the pre-construction phase. In OCI, contractors are brought in at a stage that is late enough for the target price to be quite firm, but early enough for them to be able to influence buildability and value engineering.

−	ECI has been used on by many public sector construction clients, however, some clients have been reluctant to adopt the strategy because of concerns associated with appointing contractors before permissions (such as planning) have been granted, and issues to do with attracting accurate and competitive prices from contractors when the design is not yet well advanced.	+	ECI has been used on by many public sector construction clients, however, some clients have been reluctant to adopt the strategy because of concerns associated with appointing contractors before permissions such as planning have been granted, and issues to do with attracting accurate and competitive prices from contractors when the design is not yet well advanced.

−	The OCI approach optimises contractor involvement, rather than simply trying to make it as early as possible, waiting till a point when the contractor is more likely to be able to ~~determine~~ an accurate and competitive ~~price.~~	+	The OCI approach optimises contractor involvement, rather than simply trying to make it as early as possible, waiting till a point when the contractor is more likely to be able to offer an accurate and competitive price.
−		+
−	The OCI approach adopts a two stage selection process, with the commitment to construction not being made at the end of the first stage. The first stage of the selection process is based on an assessment of the contractor’s technical and quality competence. The second stage involves the shortlisted bidders carrying out a review of the client’s design, with the aim being to maximise efficiency and develop a value engineered solution. Once this review is complete, the bidders submit their final bids which include the target contract price.	+

	= Find out more =		= Find out more =

Designing Buildings at 13:50, 24 January 2017

2017-01-24T13:50:34Z

← Older revision		Revision as of 13:50, 24 January 2017
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	Optimised contractor involvement (OCI) is a variation of the ‘early contractor involvement’ (ECI) model that has been adopted widely in the infrastructure sector on large and complex projects.		Optimised contractor involvement (OCI) is a variation of the ‘early contractor involvement’ (ECI) model that has been adopted widely in the infrastructure sector on large and complex projects.

−	Devised by Steve Rowsell, Procurement Director for Crossrail, OCI ~~was~~ intended to ~~provide a~~ contract ~~package that made sure of~~ effective competition and ~~ensured~~ maximum output with the available resources ~~on a mega project such as Crossrail~~.	+	Devised by Steve Rowsell, Procurement Director for Crossrail, OCI is intended to ensure contract packages are subject to effective competition and maximum output with the available resources.

−	The subtle difference between ~~OCI and~~ ECI is that in the ~~former~~, contractors are brought in at a stage that is late enough for the target price to be quite firm, but early enough for them to be able to ~~improve and have input to solutions regarding~~ buildability and value engineering~~. In the latter, the client first appoints consultants to design the project in detail, and then a contractor is appointed to construct the works~~.	+	The subtle difference between ECI and OCI is that in ECI, a contractor’s skills are introduced early into a project to bring design buildability and cost efficiencies to the pre-construction phase. In OCI, contractors are brought in at a stage that is late enough for the target price to be quite firm, but early enough for them to be able to influence buildability and value engineering.

−	ECI has been used on by many public sector construction clients, however, ~~other~~ clients have been reluctant because of ~~perceptions~~ associated with appointing contractors before permissions (such as planning) have been granted, ~~i.e. that the planning decision is being pre-empted. There are also~~ issues to do with attracting competitive prices from contractors when the design is not yet well advanced.	+	ECI has been used on by many public sector construction clients, however, some clients have been reluctant to adopt the strategy because of concerns associated with appointing contractors before permissions (such as planning) have been granted, and issues to do with attracting accurate and competitive prices from contractors when the design is not yet well advanced.

−	The OCI approach ~~is seen as being very efficient since contractors are encouraged~~ to ~~provide input in developing and finalizing the design process, and beneficial in reducing the costs of tendering. An additional benefit is also seen~~ as ~~being the minimising of the requirement of design resources. With OCI~~, ~~most of~~ the ~~design responsibility remains with the client. The~~ contractor ~~reviews~~ and ~~optimises the design after the contract award~~.	+	The OCI approach optimises contractor involvement, rather than simply trying to make it as early as possible, waiting till a point when the contractor is more likely to be able to determine an accurate and competitive price.

−	A two stage selection process ~~and a contract of two phases comprise the OCI approach~~, with the commitment to construction being made at the end of the first ~~phase of the contract. The design is completed by the client, not in detail but to the extent that the tendering process can begin. Tenders are then invited on the basis of this design, at this~~ stage ~~with there being minimal design details and requirements specified~~.	+	The OCI approach adopts a two stage selection process, with the commitment to construction not being made at the end of the first stage. The first stage of the selection process is based on an assessment of the contractor’s technical and quality competence. The second stage involves the shortlisted bidders carrying out a review of the client’s design, with the aim being to maximise efficiency and develop a value engineered solution. Once this review is complete, the bidders submit their final bids which include the target contract price.
−		+
−	The first stage of the selection process is based on an assessment of the contractor’s technical and quality competence. The second stage involves the shortlisted bidders carrying out a review of the client’s design, with the aim being to maximise efficiency and develop ~~and~~ value engineered solution. Once this review is complete, the bidders ~~then~~ submit their final bids which include the target contract price.	+

	= Find out more =		= Find out more =

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2017-01-18T12:41:30Z

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Optimised contractor involvement (OCI) is a variation of the ‘early contractor involvement’ (ECI) model that has been adopted widely in the infrastructure sector on large and complex projects.

Devised by Steve Rowsell, Procurement Director for Crossrail, OCI was intended to provide a contract package that made sure of effective competition and ensured maximum output with the available resources on a mega project such as Crossrail.

The subtle difference between OCI and ECI is that in the former, contractors are brought in at a stage that is late enough for the target price to be quite firm, but early enough for them to be able to improve and have input to solutions regarding buildability and value engineering. In the latter, the client first appoints consultants to design the project in detail, and then a contractor is appointed to construct the works.

ECI has been used on by many public sector construction clients, however, other clients have been reluctant because of perceptions associated with appointing contractors before permissions (such as planning) have been granted, i.e. that the planning decision is being pre-empted. There are also issues to do with attracting competitive prices from contractors when the design is not yet well advanced.

The OCI approach is seen as being very efficient since contractors are encouraged to provide input in developing and finalizing the design process, and beneficial in reducing the costs of tendering. An additional benefit is also seen as being the minimising of the requirement of design resources. With OCI, most of the design responsibility remains with the client. The contractor reviews and optimises the design after the contract award.

A two stage selection process and a contract of two phases comprise the OCI approach, with the commitment to construction being made at the end of the first phase of the contract. The design is completed by the client, not in detail but to the extent that the tendering process can begin. Tenders are then invited on the basis of this design, at this stage with there being minimal design details and requirements specified.

The first stage of the selection process is based on an assessment of the contractor’s technical and quality competence. The second stage involves the shortlisted bidders carrying out a review of the client’s design, with the aim being to maximise efficiency and develop and value engineered solution. Once this review is complete, the bidders then submit their final bids which include the target contract price.

= Find out more =

=== Related articles on Designing Buildings Wiki ===

* Appointing consultants.
* Cost led procurement.
* Crossrail 2.
* Early contractor involvement.
* Integrated project team.
* Managing the procurement process.
* NEC early contractor involvement.
* Procurement route.
* Public procurement.
* Tender processes.
* Two stage tender.

[[Category:Appointments]] [[Category:Client_procedures]] [[Category:Procurement]]