Designing Buildings - User contributions [en]

https://www.designingbuildings.co.uk/w/index.php?feed=atom&target=Scigaj&title=Special%3AContributions%2FScigaj Designing Buildings - User contributions [en] 2026-06-07T23:48:36Z From Designing Buildings MediaWiki 1.17.4 https://www.designingbuildings.co.uk/wiki/Employment_relations Employment relations 2019-06-27T16:42:36Z

<p>Scigaj: </p> <hr /> <div>= Introduction =<br /> <br /> At the beginning make some notes.<br /> <br /> First one Trd: the client appointing design consultant who produce design and contract documentation. The client would had real time involvement in project and all documentation prepared by design team who have full control over the design. It would allow for development of complex details. The design team would have to complete significant part of construction drawings, so contractor can understand, not just a system but all unique parts -adequate time must be allowed for this (therefore, not suitable for fast track projects). That would risk the client with the risk in how effective the contractor could deliver that design. Therefore, it is crucial for the design team to deliver all necessary information and instruction on time. There is a risk of claims they are delayed, especially when design team does not have good technical experience.<br /> <br /> Then the contractor is chosen by the client based on competitive tender or negotiation. The contractor agrees to deliver project for lump sum amount of money. The contractor is taking responsibility only for his performance related to construction works not design. In some cases contractor’s responsibility might by limited, i.e. when the client appoints some sub-contractors whose are working on collateral warranty between them and the client.<br /> <br /> Two stage tendering ‘accelerated trading method’ can allow for parallel run of design and construction. Whilst this allows an early start on site.<br /> <br /> The client employs contract administrator who acts as his agent and works on his behalf during the construction stage.<br /> <br /> This procurement can deliver whole project on lump sum basis. All matters of valuation and payment are the responsibility of the client’s consultant.<br /> <br /> = [https://www.designingbuildings.co.uk/wiki/Legislation Legislation] and guidance =<br /> <br /> Second one db: the process is to design ‘bid document’, so it is design to certain level and then bid to contractor. Then contractor comes involved and working with the set of the outline drawings (usually RIBA plan of work stage 3 or enhance stage 4). It is important to have a clear client’s brief in place.<br /> <br /> Once contractor proposal would be submitted and agreed the client’s proposals would not incorporated into the design. It would allow for early start on site (however it is only contractor who benefits from operational flexibility. He can take all the upside between fixed cost and how far he can push the actually cost of building during the design process. Procurement allows for single point responsibility between the client and contractor. The contractor takes responsibility for both design and construction works. At single stage tender, it is probably not the best procurement for complex developments, as it is not possible to maintain design quality, it depends how advanced were drawings at tender stage. If the client decide to use two stage tender with pcsa this problems can be solved (take description from tender).<br /> <br /> Benefits can arise from designers and estimators having to work closely together. The contractor’s awareness of current market conditions and delivery times can ensure that a contract runs smoothly, economically and expeditiously - that means efficiency in time.<br /> <br /> Sometimes the client require the contractor to appoint some or all of his consultants at the time the design and build contract is entered into. This process is called novation.<br /> <br /> = Nature of relationship =<br /> <br /> Third constr manag the client would appoint together with design team an agent responsible for logistics, who would be paid a percentage or fixed cost for that advice - construction manager. (to prepare all project drawings and a project specification). All trade contractors would be directly contracted with the client.<br /> <br /> The Construction Manager would split up the works and the packages would be tendered and let separately and sequentially<br /> <br /> The client appoints all the trade contractors giving them direct contractual links with all parties of the project. There is no direct contractural link between construction manager and trade contractors. Const manager also does not carry any construction works.<br /> <br /> This procurement manage correctly can deliver better value and outcomes in shorter period of time, therefore it is wise to use it for complex fast-track deliveries, allowing early start on site. However would not provide any cost certainty at the outset and with funding not fully secured. The client is a risk taker in here<br /> <br /> = Dismissal =<br /> <br /> Fourth manag contacting the management contractor is appointed together with design team. Management contractor is selected by a process of tender and interviews. He is managing execution of work, he is not directly involved in carrying out any of the construction work, which will be done by packages undertaken by works contractors appointed by the management contractor. Sometimes management contractor accepts certain amount of design liability. Work contractors are directly and contractually responsible to the management contracotr.<br /> <br /> The management contractor would then appoint all necessary works contractors for the construction phase. He would split the works into packages and let the contracts separately and sequentially in line with the construction programme.<br /> <br /> This procurement manage correctly can deliver better value and outcomes in shorter period of time, as much of design work can be done parallel to construction. Therefore it is wise to use it for complex fast-track deliveries, allowing early start on site. Management cont would not provide any cost certainty at the outset and with funding not fully secured. The client is a risk taker in here, however he has a high degree of flexibility on design matters, he can adjust it as construction proceeds, without sacrificing cost control.<br /> <br /> Management contracting demands a degree of highly specialised experience and expertise in setting up and managing operations, so it is essential to interview the whole management contracting team before appointment.<br /> <br /> = Related articles on Designing Buildings Wiki =<br /> <br /> Tender, single: selective tendering is primarily appropriate where the employer’s requirements are sufficiently defined to enable the work to be priced. Two stage are generally reserved of complex projects where the employer’s requirements have not crystallised and contractor/specialist input required for the purpose. It increases the scope for value engineering through early contractor involvement, team work and fixed subcontractor pricing. It reduces scope for claims that result from inaccurate or inadequate designs or specification. The shortlisting is followed by the tender process, at the end of which, in a single stage procedure, the successful tenderer is awarded the contract. In two stage, the successful bidder is selected as preferred bidder, to assist the employer and professional team in finalising the design in the reconstruction stage and then to negotiate the final terms of the contract.<br /> <br /> jct sbc 11 with Quantities with SCDs is a widely used form of contract that has been tested in the courts. For this and other stated reasons I consider that it would be a sensible choice for such a high-pro le project. Risk has been apportioned fairly to all parties and, if well managed, will give the client a balance between cost certainty and design quality.<br /> <br /> To enable an early start on site I would recommend a separate enabling works contract to be let between the parties. This would also allow site conditions to be assessed more thoroughly.<br /> <br /> jct db 11 shorter deliver time, better cost certainty. Contractor has responsibility for all works. Single fix price for design and construction. No contract administrator. Contractor manages valuation and payments. jct cm/tc 11 or mc 11<br /> <br /> [[Category:Articles_needing_more_work]] [[Category:Appointments]]</div>

Scigaj https://www.designingbuildings.co.uk/wiki/Employment_relations Employment relations 2019-05-05T18:10:47Z

<p>Scigaj: </p> <hr /> <div>= Introduction =<br /> <br /> There are 4 main stages to employment relations:<br /> <br /> * Pre contractual.<br /> * Formation of relationship - [https://www.designingbuildings.co.uk/wiki/Contract contract] [https://www.designingbuildings.co.uk/wiki/Agreement agreement]<br /> * Employment period.<br /> * [https://www.designingbuildings.co.uk/wiki/Termination Termination] of relationship.<br /> <br /> = [https://www.designingbuildings.co.uk/wiki/Legislation Legislation] and guidance =<br /> <br /> Guidance notes assist [https://www.designingbuildings.co.uk/wiki/Practice practices] to keep up to date with changing [https://www.designingbuildings.co.uk/wiki/Regulations regulations]<br /> <br /> * [https://www.designingbuildings.co.uk/wiki/RIBA RIBA] employment policy<br /> * Employment Rights [https://www.designingbuildings.co.uk/wiki/Act act] 1996<br /> * Employment [https://www.designingbuildings.co.uk/wiki/Act Act] 2008<br /> * [https://www.designingbuildings.co.uk/wiki/Equality_Act_2010 Equality Act 2010] applies to all.<br /> * [https://www.designingbuildings.co.uk/wiki/Health_and_safety Health and safety] [https://www.designingbuildings.co.uk/wiki/Regulations regulations].<br /> <br /> = Nature of relationship =<br /> <br /> == [https://www.designingbuildings.co.uk/wiki/Employee Employee] ==<br /> <br /> * '[https://www.designingbuildings.co.uk/wiki/Contract Contract] of employment' directly with [https://www.designingbuildings.co.uk/wiki/Employer employer]<br /> * Rights under Employment Rights [https://www.designingbuildings.co.uk/wiki/Act Act] 1996 apply.<br /> <br /> Benefits:<br /> <br /> * Long term relationship of mutual trust and respect.<br /> * Holiday pay.<br /> * Regular agreed pay.<br /> * Sick leave pay.<br /> * [https://www.designingbuildings.co.uk/wiki/Access Access] to pension scheme.<br /> * Time off to help dependants (emergency only, e.g. death of dependant, child care) Without pay.<br /> <br /> == Temporary [https://www.designingbuildings.co.uk/wiki/Employee employee] ==<br /> <br /> Similar to an [https://www.designingbuildings.co.uk/wiki/Employee employee], but:<br /> <br /> * Fixed [https://www.designingbuildings.co.uk/wiki/Term_contract term contract] with an end date.<br /> * Can apply for full time status after 4 consecutive renewals of the same [https://www.designingbuildings.co.uk/wiki/Contract contract].<br /> * Objective justification for [https://www.designingbuildings.co.uk/wiki/Employer employer] to decline.<br /> <br /> == Part-time [https://www.designingbuildings.co.uk/wiki/Employee employee] ==<br /> <br /> * Working week/hours defined.<br /> * Entitled to the same benefits as [https://www.designingbuildings.co.uk/wiki/Employee employee].<br /> * [https://www.designingbuildings.co.uk/wiki/Employer Employer] legally required to consider request - they are not obliged to agree but must have [https://www.designingbuildings.co.uk/wiki/Sound sound] business reason for not.<br /> <br /> == [https://www.designingbuildings.co.uk/wiki/Agency Agency] Staff ==<br /> <br /> * Tripartite relation with [https://www.designingbuildings.co.uk/wiki/Agency agency] (employer) and [https://www.designingbuildings.co.uk/wiki/End_user end user].<br /> * [https://www.designingbuildings.co.uk/wiki/Contract Contract] between [https://www.designingbuildings.co.uk/wiki/Agency agency] and [https://www.designingbuildings.co.uk/wiki/Employer employer].<br /> * Benefits are dealt with by [https://www.designingbuildings.co.uk/wiki/Agency agency].<br /> * Can be terminated by [https://www.designingbuildings.co.uk/wiki/End_user end user] on short [https://www.designingbuildings.co.uk/wiki/Notice notice].<br /> <br /> [https://www.designingbuildings.co.uk/wiki/Agency Agency] [https://www.designingbuildings.co.uk/wiki/Workers Workers] [https://www.designingbuildings.co.uk/wiki/Regulations Regulations] 2010:<br /> <br /> * Principal of equal treatment<br /> * Right to the same basic working and employment [https://www.designingbuildings.co.uk/wiki/Condition conditions] as if engaged directly by hirer.<br /> <br /> Onshore [https://www.designingbuildings.co.uk/wiki/Employment_intermediaries employment intermediaries] [https://www.designingbuildings.co.uk/wiki/Act act] 2014:<br /> <br /> * Treated as [https://www.designingbuildings.co.uk/wiki/Employee employee] for tax purposes. This prevents the [https://www.designingbuildings.co.uk/wiki/End_user end user] exploiting as means to avoid paying NI &amp; tax.<br /> <br /> == [https://www.designingbuildings.co.uk/wiki/Consultants Consultants] ==<br /> <br /> * Usually engaged for specific [https://www.designingbuildings.co.uk/wiki/Project project].<br /> * No benefits as they are seen as a [https://www.designingbuildings.co.uk/wiki/Supplier supplier].<br /> <br /> = Dismissal =<br /> <br /> Fair reasons for dismissal S98 (ERA 1996):<br /> <br /> * [https://www.designingbuildings.co.uk/wiki/Breach Breach] of disciplinary codes.<br /> * Redundancy.<br /> * Capability.<br /> <br /> Procedures for fair dismissal are outlined in the Employment [https://www.designingbuildings.co.uk/wiki/Act Act] 2008.<br /> <br /> == Comments ==<br /> <br /> -----<br /> Student - riba code 3-6.8 minimum wage based on PEDR submission - pay fairly at the correct rate (use the riba benchmarking information at decide the rate for a year out student), nominate mentor, provide reasonable breadth of work, permit attendance at courses, study days, etc.<br /> <br /> Discuss remuneration - overtime payment, system of time in lieau that he could use during not too busy days. riba 3-6.5 &amp; 3-6.4<br /> <br /> Office manual includes - overtime and remuneration, PEDR's and additional training, CPD's, working late/weekend working policy<br /> <br /> Colleague - not promoting culture of overworking<br /> <br /> riba employment policy - Provide employees with a written contract, Use a model contract when employing students, Employ students according to good employment guidance – min wage, Promote a healthy work life balance<br /> <br /> Employment legislations<br /> <br /> To reduce overload of work - Procedures for time, working environment, Resource forecast to be prepared for staffing needs, Office handbook and QA procedure – keeping good records and timesheets, monitoring time spent on the project, A good QA that monitors time, Having staff procedure in place and within an office manual that is given to all new starters.<br /> <br /> Interview based on QMS - it should contain quality management manual and within: Recuritement strategy, Appropriate method of recruitment by level, Potential role descriptions for each level of staff, Process for screening incoming CV and notification to the sender. It should also detail the interview process<br /> <br /> Alos the interview guidelines, this will inform the interview process. Incuding, who should be involved, how many stages there are to the interview, an appropriate testing, potentially a high level list of questions, however these should be developed for each specific role. Office introduction to the potential employee. Documentation of application process<br /> <br /> [[Category:Articles_needing_more_work]]</div>

Scigaj https://www.designingbuildings.co.uk/wiki/Employment_relations Employment relations 2019-05-04T14:43:47Z

<p>Scigaj: </p> <hr /> <div>You arrive on the site of a housing project you are working on (one of the few projects in the<br /><br /> practice using a traditional contract, for which your practice is Contract Administrator) to find a<br /><br /> site operative attempting to carry a large panel of glazing up a ladder between the seventh and<br /><br /> eighth storey scaffold.<br /> <br /> a) What is the relevant regulatory context of this issue? Explain what you would do on site, including any information checks? As an contract administrator I would check with contractor if he made necessary inspections related to health and safety, that means inspections to:<br /><br /> - platforms such as scaffold and mobile platforms<br /><br /> - prevention of falls and personal fall protection systems<br /><br /> - work at height<br /><br /> Also general principles of prevention (espescially pt (d) (f) ) I would double check with clerk of work if during his previous inspection he notify me about any issues happening on site.<br /><br /> It would be crucial to check if contractor made inspection related to construction phase plan. If workers are following its program.<br /><br /> Reg 12(4) “…the principle constructor must ensure that the construction phase plan is properly<br /><br /> reviewed during construction..’<br /><br /> Reg 13 (1)(3c - i, ii)’ the principle contractor must plan, manage and monitor the contraction phase and coordinate matters related to health and safety…’<br /><br /> Reg 14 (a, b, c) contractor cooperation with workers to ensure effectiveness and health and safety. Providing workers with necessary information about health and safety…’<br /><br /> Reg 15 (8, 9) ‘…contractor must provide each worker with appropriate supervision instruction and information…’<br /> <br /> Regarding the two-storey housing project, and the client’s complaint about the state of<br /><br /> the site:<br /><br /> a) What is the relevant regulatory context of this issue? Explain what you would do on<br /><br /> site, including any information checks?<br /> <br /> <br /><br /> Under the CDM 2015 it is the contractor role to plan, manage and monitor construction<br /><br /> work under their control to ensure it is carried out without risk to H&amp;S that appeared<br /><br /> because of untidy site arrangement. It is important to check Health and Safety plan to<br /><br /> understand if all health and Safety procedures described by principle contractor were<br /><br /> followed on the site. Based on that we can understand it is constructor liability to contact<br /><br /> the client who’s car blocks location for skip on the site, and it is client’s liability to move<br /><br /> it as soon as it is possible as it creates a risk of danger for people working on site who cant properly manage it.<br /> <br /> <br /><br /> Regulation 18 Good order and site security<br /><br /> (1) Each part of a construction site must, so far as is reasonably practicable, be kept in<br /><br /> good order and those parts in which construction work is being carried out must be kept in a reasonable state of cleanliness.<br /><br /> Regulation 12<br /><br /> (4) Throughout the project the principal contractor must ensure that the construction<br /><br /> phase plan is appropriately reviewed, updated and revised from time to time so that it<br /><br /> continues to be sufficient to ensure that construction work is carried out, so far as is<br /><br /> reasonably practicable, without risks to health or safety.<br /><br /> Regulation 8 Health and Safety<br /><br /> (4) A person with a duty or function under these Regulations must cooperate with any<br /><br /> other person working on or in relation to a project, at the same or an adjoining<br /><br /> construction site, to the extent necessary to enable any person with a duty or function to<br /><br /> fulfil that duty or function.<br /><br /> Regulation 27 Traffic routes<br /><br /> (1) A construction site must be organised in such a way that, so far as is reasonably<br /><br /> practicable, pedestrians and vehicles can move without risks to health or safety.<br /><br /> Regulation 4 Client duties in relation to managing projects<br /><br /> (2) Arrangements are suitable if they ensure that—<br /><br /> • (a) the construction work can be carried out, so far as is reasonably practicable,<br /><br /> without risks to the health or safety of any person affected by the project; and<br /><br /> • (b) the facilities required by Schedule 2 are provided in respect of any person<br /><br /> carrying out construction work.<br /><br /> (3) A client must ensure that these arrangements are maintained and reviewed throughout the project.<br /> <br /> <br /><br /> Draft a letter to the client (cc any relevant parties) confirming your understanding of<br /><br /> the situation. Include what action you have taken and what you have communicated to the Principal Contractor. In addition, include any advice to the client and anything else you think he needs to be aware of.<br /> <br /> <br /><br /> Subject: Two story housing building, health and safety on site<br /><br /> CC: principle constructor/constructor, involved partner<br /><br /> Dear client,<br /><br /> Based on that what I saw reviewing the site recently I absolutely understand your<br /><br /> frustration. I already informed our contractor it is his liability based on Regulation 12<br /><br /> article 4 and Regulation 18 article 1 to do all what is necessary to keep the site clean and<br /><br /> safe and based on health and safety plan to inspect the site regularly created by<br /><br /> contractor during pre-construction stage. It is important to mention that situation on the<br /><br /> site has an impact not only on that what happens whiting its area but also some parts of<br /><br /> construction materials are scattered on nearby road what breaks regulations 27 article 1.<br /><br /> Contractors are required to plan, manage and monitor the construction work under their<br /><br /> control so it is carried out in a way that controls the risks to health and safety.<br /><br /> Nevertheless the reason why contractor couldn’t make his duties was your car standing in crucial for site management location. Based on my study I got informed that contractor<br /><br /> asked you to move your car, however you refused any action. I would like to remind you<br /><br /> based on regulation 8 article 4 (health and safety) it is your duty to cooperate to enable<br /><br /> contractor work.<br /><br /> In the future, we should start coordination that could involve regular progress meetings<br /><br /> with other dutyholders to ensure that the contractor’s arrangements for planning,<br /><br /> managing and monitoring their own work can feed into, and remain consistent with, the<br /><br /> project-wide arrangements.<br /> <br /> [[Category:Articles_needing_more_work]]</div>

Scigaj https://www.designingbuildings.co.uk/wiki/Employment_relations Employment relations 2019-05-04T14:41:05Z

<p>Scigaj: </p> <hr /> <div>You arrive on the site of a housing project you are working on (one of the few projects in the<br /><br /> practice using a traditional contract, for which your practice is Contract Administrator) to find a<br /><br /> site operative attempting to carry a large panel of glazing up a ladder between the seventh and<br /><br /> eighth storey scaffold.<br /><br /> a) What is the relevant regulatory context of this issue? Explain what you would do on site,<br /><br /> including any information checks?<br /><br /> As an contract administrator I would check with contractor if he made necessary inspections<br /><br /> related to health and safety, that means inspections to:<br /><br /> - platforms such as scaffold and mobile platforms<br /><br /> - prevention of falls and personal fall protection systems<br /><br /> - work at height<br /><br /> Also general principles of prevention (espescially pt (d) (f) )<br /><br /> I would double check with clerk of work if during his previous inspection he notify me about any<br /><br /> issues happening on site.<br /><br /> It would be crucial to check if contractor made inspection related to construction phase plan. If<br /><br /> workers are following its program.<br /><br /> Reg 12(4) “…the principle constructor must ensure that the construction phase plan is properly<br /><br /> reviewed during construction..’<br /><br /> Reg 13 (1)(3c - i, ii)’ the principle contractor must plan, manage and monitor the contraction phase<br /><br /> and coordinate matters related to health and safety…’<br /><br /> Reg 14 (a, b, c) contractor cooperation with workers to ensure effectiveness and health and<br /><br /> safety. Providing workers with necessary information about health and safety…’<br /><br /> Reg 15 (8, 9) ‘…contractor must provide each worker with appropriate supervision instruction and<br /><br /> information…’<br /> <br /> Regarding the two-storey housing project, and the client’s complaint about the state of<br /><br /> the site:<br /><br /> a) What is the relevant regulatory context of this issue? Explain what you would do on<br /><br /> site, including any information checks? (8 marks)<br /><br /> Under the CDM 2015 it is the contractor role to plan, manage and monitor construction<br /><br /> work under their control to ensure it is carried out without risk to H&amp;S that appeared<br /><br /> because of untidy site arrangement. It is important to check Health and Safety plan to<br /><br /> understand if all health and Safety procedures described by principle contractor were<br /><br /> followed on the site. Based on that we can understand it is constructor liability to contact<br /><br /> the client who’s car blocks location for skip on the site, and it is client’s liability to move<br /><br /> it as soon as it is possible as it creates a risk of danger for people working on site who cant<br /><br /> properly manage it.<br /><br /> Regulation 18 Good order and site security<br /><br /> (1) Each part of a construction site must, so far as is reasonably practicable, be kept in<br /><br /> good order and those parts in which construction work is being carried out must be kept in<br /><br /> a reasonable state of cleanliness.<br /><br /> Regulation 12<br /><br /> (4) Throughout the project the principal contractor must ensure that the construction<br /><br /> phase plan is appropriately reviewed, updated and revised from time to time so that it<br /><br /> continues to be sufficient to ensure that construction work is carried out, so far as is<br /><br /> reasonably practicable, without risks to health or safety.<br /><br /> Regulation 8 Health and Safety<br /><br /> (4) A person with a duty or function under these Regulations must cooperate with any<br /><br /> other person working on or in relation to a project, at the same or an adjoining<br /><br /> construction site, to the extent necessary to enable any person with a duty or function to<br /><br /> fulfil that duty or function.<br /><br /> Regulation 27 Traffic routes<br /><br /> (1) A construction site must be organised in such a way that, so far as is reasonably<br /><br /> practicable, pedestrians and vehicles can move without risks to health or safety.<br /><br /> Regulation 4 Client duties in relation to managing projects<br /><br /> (2) Arrangements are suitable if they ensure that—<br /><br /> • (a) the construction work can be carried out, so far as is reasonably practicable,<br /><br /> without risks to the health or safety of any person affected by the project; and<br /><br /> • (b) the facilities required by Schedule 2 are provided in respect of any person<br /><br /> carrying out construction work.<br /><br /> (3) A client must ensure that these arrangements are maintained and reviewed throughout<br /><br /> the project.<br /> <br /> <br /><br /> Draft a letter to the client (cc any relevant parties) confirming your understanding of<br /><br /> the situation. Include what action you have taken and what you have communicated to the<br /><br /> Principal Contractor. In addition, include any advice to the client and anything else you<br /><br /> think he needs to be aware of.<br /> <br /> <br /><br /> Subject: Two story housing building, health and safety on site<br /><br /> CC: principle constructor/constructor, involved partner<br /><br /> Dear client,<br /><br /> Based on that what I saw reviewing the site recently I absolutely understand your<br /><br /> frustration. I already informed our contractor it is his liability based on Regulation 12<br /><br /> article 4 and Regulation 18 article 1 to do all what is necessary to keep the site clean and<br /><br /> safe and based on health and safety plan to inspect the site regularly created by<br /><br /> contractor during pre-construction stage. It is important to mention that situation on the<br /><br /> site has an impact not only on that what happens whiting its area but also some parts of<br /><br /> construction materials are scattered on nearby road what breaks regulations 27 article 1.<br /><br /> Contractors are required to plan, manage and monitor the construction work under their<br /><br /> control so it is carried out in a way that controls the risks to health and safety.<br /><br /> Nevertheless the reason why contractor couldn’t make his duties was your car standing in<br /><br /> crucial for site management location. Based on my study I got informed that contractor<br /><br /> asked you to move your car, however you refused any action. I would like to remind you<br /><br /> based on regulation 8 article 4 (health and safety) it is your duty to cooperate to enable<br /><br /> contractor work.<br /><br /> In the future, we should start coordination that could involve regular progress meetings<br /><br /> with other dutyholders to ensure that the contractor’s arrangements for planning,<br /><br /> managing and monitoring their own work can feed into, and remain consistent with, the<br /><br /> project-wide arrangements.<br /> <br /> [[Category:Articles_needing_more_work]]</div>

Scigaj https://www.designingbuildings.co.uk/wiki/Employment_relations Employment relations 2019-05-04T14:40:11Z

<p>Scigaj: </p> <hr /> <div>You arrive on the site of a housing project you are working on (one of the few projects in the<br /><br /> practice using a traditional contract, for which your practice is Contract Administrator) to find a<br /><br /> site operative attempting to carry a large panel of glazing up a ladder between the seventh and<br /><br /> eighth storey scaffold.<br /><br /> a) What is the relevant regulatory context of this issue? Explain what you would do on site,<br /><br /> including any information checks? (8 marks)<br /><br /> As an contract administrator I would check with contractor if he made necessary inspections<br /><br /> related to health and safety, that means inspections to:<br /><br /> - platforms such as scaffold and mobile platforms<br /><br /> - prevention of falls and personal fall protection systems<br /><br /> - work at height<br /><br /> Also general principles of prevention (espescially pt (d) (f) )<br /><br /> I would double check with clerk of work if during his previous inspection he notify me about any<br /><br /> issues happening on site.<br /><br /> It would be crucial to check if contractor made inspection related to construction phase plan. If<br /><br /> workers are following its program.<br /><br /> Reg 12(4) “…the principle constructor must ensure that the construction phase plan is properly<br /><br /> reviewed during construction..’<br /><br /> Reg 13 (1)(3c - i, ii)’ the principle contractor must plan, manage and monitor the contraction phase<br /><br /> and coordinate matters related to health and safety…’<br /><br /> Reg 14 (a, b, c) contractor cooperation with workers to ensure effectiveness and health and<br /><br /> safety. Providing workers with necessary information about health and safety…’<br /><br /> Reg 15 (8, 9) ‘…contractor must provide each worker with appropriate supervision instruction and<br /><br /> information…’<br /> <br /> 7. Regarding the two-storey housing project, and the client’s complaint about the state of<br /><br /> the site:<br /><br /> a) What is the relevant regulatory context of this issue? Explain what you would do on<br /><br /> site, including any information checks? (8 marks)<br /><br /> Under the CDM 2015 it is the contractor role to plan, manage and monitor construction<br /><br /> work under their control to ensure it is carried out without risk to H&amp;S that appeared<br /><br /> because of untidy site arrangement. It is important to check Health and Safety plan to<br /><br /> understand if all health and Safety procedures described by principle contractor were<br /><br /> followed on the site. Based on that we can understand it is constructor liability to contact<br /><br /> the client who’s car blocks location for skip on the site, and it is client’s liability to move<br /><br /> it as soon as it is possible as it creates a risk of danger for people working on site who cant<br /><br /> properly manage it.<br /><br /> Regulation 18 Good order and site security<br /><br /> (1) Each part of a construction site must, so far as is reasonably practicable, be kept in<br /><br /> good order and those parts in which construction work is being carried out must be kept in<br /><br /> a reasonable state of cleanliness.<br /><br /> Regulation 12<br /><br /> (4) Throughout the project the principal contractor must ensure that the construction<br /><br /> phase plan is appropriately reviewed, updated and revised from time to time so that it<br /><br /> continues to be sufficient to ensure that construction work is carried out, so far as is<br /><br /> reasonably practicable, without risks to health or safety.<br /><br /> Regulation 8 Health and Safety<br /><br /> (4) A person with a duty or function under these Regulations must cooperate with any<br /><br /> other person working on or in relation to a project, at the same or an adjoining<br /><br /> construction site, to the extent necessary to enable any person with a duty or function to<br /><br /> fulfil that duty or function.<br /><br /> Regulation 27 Traffic routes<br /><br /> (1) A construction site must be organised in such a way that, so far as is reasonably<br /><br /> practicable, pedestrians and vehicles can move without risks to health or safety.<br /><br /> Regulation 4 Client duties in relation to managing projects<br /><br /> (2) Arrangements are suitable if they ensure that—<br /><br /> • (a) the construction work can be carried out, so far as is reasonably practicable,<br /><br /> without risks to the health or safety of any person affected by the project; and<br /><br /> • (b) the facilities required by Schedule 2 are provided in respect of any person<br /><br /> carrying out construction work.<br /><br /> (3) A client must ensure that these arrangements are maintained and reviewed throughout<br /><br /> the project.<br /><br /> b) Draft a letter to the client (cc any relevant parties) confirming your understanding of<br /><br /> the situation. Include what action you have taken and what you have communicated to the<br /><br /> Principal Contractor. In addition, include any advice to the client and anything else you<br /><br /> think he needs to be aware of. (12 marks)<br /><br /> Subject: Two story housing building, health and safety on site<br /><br /> CC: principle constructor/constructor, involved partner<br /><br /> Dear client,<br /><br /> Based on that what I saw reviewing the site recently I absolutely understand your<br /><br /> frustration. I already informed our contractor it is his liability based on Regulation 12<br /><br /> article 4 and Regulation 18 article 1 to do all what is necessary to keep the site clean and<br /><br /> safe and based on health and safety plan to inspect the site regularly created by<br /><br /> contractor during pre-construction stage. It is important to mention that situation on the<br /><br /> site has an impact not only on that what happens whiting its area but also some parts of<br /><br /> construction materials are scattered on nearby road what breaks regulations 27 article 1.<br /><br /> Contractors are required to plan, manage and monitor the construction work under their<br /><br /> control so it is carried out in a way that controls the risks to health and safety.<br /><br /> Nevertheless the reason why contractor couldn’t make his duties was your car standing in<br /><br /> crucial for site management location. Based on my study I got informed that contractor<br /><br /> asked you to move your car, however you refused any action. I would like to remind you<br /><br /> based on regulation 8 article 4 (health and safety) it is your duty to cooperate to enable<br /><br /> contractor work.<br /><br /> In the future, we should start coordination that could involve regular progress meetings<br /><br /> with other dutyholders to ensure that the contractor’s arrangements for planning,<br /><br /> managing and monitoring their own work can feed into, and remain consistent with, the<br /><br /> project-wide arrangements.<br /> <br /> [[Category:Articles_needing_more_work]]</div>

Scigaj https://www.designingbuildings.co.uk/wiki/Employment_relations Employment relations 2019-05-04T14:39:04Z

<p>Scigaj: </p> <hr /> <div>7 You arrive on the site of a housing project you are working on (one of the few projects in the<br /><br /> practice using a traditional contract, for which your practice is Contract Administrator) to find a<br /><br /> site operative attempting to carry a large panel of glazing up a ladder between the seventh and<br /><br /> eighth storey scaffold.<br /><br /> a) What is the relevant regulatory context of this issue? Explain what you would do on site,<br /><br /> including any information checks? (8 marks)<br /><br /> As an contract administrator I would check with contractor if he made necessary inspections<br /><br /> related to health and safety, that means inspections to:<br /><br /> - platforms such as scaffold and mobile platforms<br /><br /> - prevention of falls and personal fall protection systems<br /><br /> - work at height<br /><br /> Also general principles of prevention (espescially pt (d) (f) )<br /><br /> I would double check with clerk of work if during his previous inspection he notify me about any<br /><br /> issues happening on site.<br /><br /> It would be crucial to check if contractor made inspection related to construction phase plan. If<br /><br /> workers are following its program.<br /><br /> Reg 12(4) “…the principle constructor must ensure that the construction phase plan is properly<br /><br /> reviewed during construction..’<br /><br /> Reg 13 (1)(3c - i, ii)’ the principle contractor must plan, manage and monitor the contraction phase<br /><br /> and coordinate matters related to health and safety…’<br /><br /> Reg 14 (a, b, c) contractor cooperation with workers to ensure effectiveness and health and<br /><br /> safety. Providing workers with necessary information about health and safety…’<br /><br /> Reg 15 (8, 9) ‘…contractor must provide each worker with appropriate supervision instruction and<br /><br /> information…’<br /> <br /> [[Category:Articles_needing_more_work]]</div>

Scigaj https://www.designingbuildings.co.uk/wiki/Employment_relations Employment relations 2019-05-03T21:39:16Z

<p>Scigaj: </p> <hr /> <div>== Relevant Terms: ==<br /> <br /> * Administration – rescue mechanism for insolvent companies and allows them to carry on running their business<br /> * Alternative to liquidation<br /> * Company will be operated by an administrator whilst formalising options to recapitalise the business or sell the business<br /> * Liquidation – process by which a company is brought to an end (either compulsory or voluntary)<br /> * Insolvent – inability of a debtor to pay their debt<br /> * Insolvency Act 1986 - Serious penalties for directors who continue to trade whilst insolvent<br /> * Practices should notify ARB within 28 days of going into liquidation (cl. 9.2 of ARB Code)<br /> <br /> == Sole Principal: ==<br /> <br /> * Many architects practice as sole principals<br /> * Carry all liability<br /> * Does not mean that it is a one-person practice<br /> * Popular in times of recession (low overheads)<br /> * Really successful sole practitioner cannot remain alone for very long – formal company structure will become necessary<br /> * Most difficult form of practice<br /> <br /> == Partnership: ==<br /> <br /> * Demise of use of Partnership owing to creation of Limited Liability Partnerships<br /> * Defined by Partnership Act 1890 – ‘the relationship which subsists between 2 or more persons carrying on business in common with a view to profit’<br /> * Crucial factor in determining if a partnership exists is if parties share profits and losses<br /> * Partnerships usually have a written partnership agreement (not strictly necessary to indicate its existence)<br /> * Each partner is given a share in the partnership (not necessarily related to their financial investment)<br /> * Taxation – firm assessed for income tax on the basis of its profits<br /> <br /> === Advantages of a Partnership: ===<br /> <br /> * Can be formed informally – no recognized registration<br /> * Seen by clients as professional – partners willing to be accountable for their decisions<br /> * Partners share the burden of providing proper supervision and more control in running the practice and its projects (they will have a real interest in the success of the business and an incentive to contribute fully)<br /> * Economy in expenditure (pooling of accommodation, equipment and staff)<br /> * Ability to generate more ideas and attract more work<br /> * More capital available for expansion (new partners buying in)<br /> * Goodwill value – retaining clients if one partner dies<br /> * Goodwill – benefit which a practice acquires by virtue of its prestige and the fact that clients return for further commissions<br /> * Partners (should) know each other very well and have similar views of how to progress the partnership (promoting from within)<br /> * Accounts are private<br /> * Dissolution of a partnership is fairly simple<br /> * Each partners has right to take full part in management of partnership (unless stated otherwise in agreement)<br /> <br /> === Disadvantages of a Partnership: ===<br /> <br /> * Partners are jointly and severally liable for the acts of the partnership (liable as a group and individually)<br /> * One partner is liable for the act of his partner provided it was carried out in the course of the partnership business<br /> * All partnerships are terminated by death and by taking of a new partner or retirement of old partner unless the partnership agreement expressly stipulates the contrary (essential difference between corporate bodies)<br /> * A party seeking damages against a partnership can pursue all the partners or individual partners<br /> * If the firm is worth less than the amount of the debt, the partner(s) have to make up the difference from personal wealth<br /> * Partners are responsible to the full extent of his personal wealth for the acts of the partnership (irrespective of their partnership share)<br /> * Can be disastrous as sums of money could be well beyond the means of a private person (in the absence of insurance, bankruptcy may be outcome)<br /> * No separate legal entity – nothing more than sum of individuals comprising it<br /> * Termination of a partnership does not remove liability from any partners (usual for partnerships to maintain PI for retired members)<br /> * Role titles become important in determining liability (associate partners / partners)<br /> <br /> == Unlimited Company: ==<br /> <br /> * Unfavourable for architects<br /> * One stage removed from a partnership<br /> * Main advantage – director free from liability after a period of 12 months after leaving the company<br /> * No requirement for filing reports to Companies Registrar<br /> * Maximum 50 members<br /> * Members are liable to contribute in proportion of their share holdings if company’s assets are not sufficient to pay debts<br /> <br /> == Limited Company (LTD): ==<br /> <br /> * Very popular with architects (more than 50% approx.)<br /> * Creation of a separate legal entity from its members (even directors are employees and take a salary)<br /> * Must have one director<br /> * Must have company secretary (therefore at least 2 people)<br /> * Cannot offer shares to the public<br /> * Company name must have the word ‘limited’ as the last word<br /> <br /> === Advantages of Limited Company: ===<br /> <br /> * Liability of the members is limited to the nominal value of the share holding<br /> * Directors are not personally liable for the debts of the company (except in exceptional circumstances)<br /> * If the company is faced with a debt which is greater than the company’s assets, the company can be wound up and the shareholders have no further liability<br /> * Any profits are split between shareholders according to the amount of their shareholding<br /> * Shares may be held by persons not employed by the company<br /> * More flexible than a partnership – ease of promotion to director without offering a share in the company<br /> * Directors removed with far less difficulty than in a partnership<br /> * Company does not dissolve when a director leaves or when shares change hands<br /> * Companies attract capital more easily than partnerships (important if expansion is planned) as are internationally recognized, whereas partnerships are not<br /> <br /> === Disadvantages of Limited Company: ===<br /> <br /> * Insolvency Act 1986 – severe penalties for directors who continue to trade whilst insolvent<br /> * Governed by Companies Act 2006 – requirement to register with Companies Registrar<br /> * Annual accounts must be submitted to Companies Registrars (therefore become public)<br /> * Companies can only act in accordance with their purpose and powers as defined in the ‘objects clause’ in the Memorandum of Association<br /> * Companies have to wound up which can be lengthy process<br /> * Directors tax position is worse than partnership as they are subject to PAYE tax<br /> * Can be seen by clients as unprofessional – partners unwilling to be accountable for their decisions<br /> <br /> == Public Company (PLC): ==<br /> <br /> * Control of the company must remain in hands of architects (ARB ruling), at least 51%<br /> * Members of public can buy and sell shares (and get a portion of the profits)<br /> * Useful way of generating capital for expansion<br /> * Nominal value for each share capital must not be less than £50,000<br /> * Use ‘PLC’ after its name<br /> <br /> == Limited Partnership: ==<br /> <br /> * At least one partner must be responsible for all the liabilities of the partnership<br /> * Other partners can contribute capital but have limited liability (provided not part of management of the partnership)<br /> * Registered under Limited Partnerships Act 1907<br /> <br /> == Limited Liability Partnership (LLP): ==<br /> <br /> * Limited Liability Partnership Act 2000<br /> * Combines features of a partnership and a company<br /> * Legal personality separate from its members<br /> <br /> === Advantages of Limited Liability Partnership: ===<br /> <br /> * Members can limit their personal liability if a claim is brought against the firm<br /> * Internal flexibility of a partnership<br /> * Tax status of partnerships (profits are treated as personal income, unlike in LTD)<br /> * Without burden of joint and several liability<br /> * Without external obligations of a limited company<br /> * Members can cease membership on reasonable notice<br /> <br /> === Disadvantages of Limited Liability Partnership: ===<br /> <br /> * Have to publish information about the business finances to Companies Registrar<br /> <br /> == Cooperative: ==<br /> <br /> * Members must have particular views in common<br /> * Control is on the basis of one member equals one vote<br /> * Responsibility and rewards are shared<br /> * Minimum of 7 members<br /> * Liability of members confined to amount of their shareholding<br /> <br /> == Group Practice: ==<br /> <br /> * Independent firms of architects associate themselves for mutual benefit<br /> * Do not share profits or have joint responsibility to their clients<br /> * Share staff, offices, overheads on agreed basis<br /> * Have different specialisms to ease pressure is one practice is not doing well<br /> * Requires 100% commitment from all participants<br /> * Distribution of liability is complex (legal advice required)<br /> * Separate PII required (always inform insurers)<br /> * 5 types:<br /> * Group Association – loose association for purpose of sharing experience and knowledge (separate identities/clients)<br /> * Shared Facilities – merely sharing accommodation, equipment<br /> * Single Project Group Practice – formed for purpose of specific commission and ends when completed<br /> * Group Coordinating Firm – similar but one firm coordinates the rest (who also take responsibility to the client)<br /> * Group Partnership – partnership of individual firms which practice separately but combine on large/complex projects on regular basis<br /> <br /> == Partnering: ==<br /> <br /> * Involves two or more organizations (with same basic culture) working together to improve performance<br /> * Agreed set of mutual objectives and dispute resolution<br /> * Be committed to continuous improvement (service, design, delivering on time, quality)<br /> * Based on equality (profits and control)<br /> * Mutual objectives – improved efficiency / cost reduction / guaranteed profits / reliable product quality / fast construction / shared risks / reduced legal costs<br /> * Project Partnering – one-off project (cost savings of 2-10%)<br /> * Strategic Partnering – series of projects (cost savings of 30% over time)<br /> <br /> * Advantages – reduced disputes / better working environment / improved communication / effective use of personnel / reduced costs<br /> * Disadvantages – undermine competitive advantage / clients demand more / disproportionate increase in communication<br /> * Seven pillars of partnering – strategy / membership / equity / integration / benchmarks / project processes / feedback<br /> <br /> == Issues to Consider in Forming a Practice: ==<br /> <br /> * Share of liability<br /> * Control<br /> * Simplicity / amount of administration<br /> * Image / marketing<br /> * Forms of appointment for employees (traditional / flexi-time / overtime)<br /> * Salaries affordable<br /> * How to attract high quality staff – incentives<br /> * Holiday entitlement<br /> * Training<br /> * Policies<br /> * Pensions<br /> <br /> [[File:5cd6e104-15a7-420a-9baa-679527b306e9]][[File:be422744-c0c8-4f2c-be7a-3c155c8c78b5]][[File:c65b5d0b-4653-4579-b04c-770aec856917]][[File:861cbbe0-12f9-45fa-9958-22baa442bbb1]][[File:af68e4d2-73cb-4703-8879-d35b52e280eb]][[File:98a469f3-d8c5-4b60-bad1-b7993147db30]][[File:7892d76c-e32e-402c-9077-abf6ad52a16f]][[File:c16327f6-7bfc-49bc-bf7e-73d313de63f9]]<br /> <br /> [[Category:Articles_needing_more_work]]</div>

Scigaj https://www.designingbuildings.co.uk/wiki/Employment_relations Employment relations 2019-05-03T21:33:14Z

<p>Scigaj: </p> <hr /> <div>=== Relevant Terms: ===<br /> <br /> * Administration – rescue mechanism for insolvent companies and allows them to carry on running their business<br /> * Alternative to liquidation<br /> * Company will be operated by an administrator whilst formalising options to recapitalise the business or sell the business<br /> * Liquidation – process by which a company is brought to an end (either compulsory or voluntary)<br /> * Insolvent – inability of a debtor to pay their debt<br /> * Insolvency Act 1986 - Serious penalties for directors who continue to trade whilst insolvent<br /> * Practices should notify ARB within 28 days of going into liquidation (cl. 9.2 of ARB Code)<br /> <br /> == Sole Principal: ==<br /> <br /> * Many architects practice as sole principals<br /> * Carry all liability<br /> * Does not mean that it is a one-person practice<br /> * Popular in times of recession (low overheads)<br /> * Really successful sole practitioner cannot remain alone for very long – formal company structure will become necessary<br /> * Most difficult form of practice<br /> <br /> == Partnership: ==<br /> <br /> * Demise of use of Partnership owing to creation of Limited Liability Partnerships<br /> * Defined by Partnership Act 1890 – ‘the relationship which subsists between 2 or more persons carrying on business in common with a view to profit’<br /> * Crucial factor in determining if a partnership exists is if parties share profits and losses<br /> * Partnerships usually have a written partnership agreement (not strictly necessary to indicate its existence)<br /> * Each partner is given a share in the partnership (not necessarily related to their financial investment)<br /> * Taxation – firm assessed for income tax on the basis of its profits<br /> <br /> === Advantages of a Partnership: ===<br /> <br /> * Can be formed informally – no recognized registration<br /> * Seen by clients as professional – partners willing to be accountable for their decisions<br /> * Partners share the burden of providing proper supervision and more control in running the practice and its projects (they will have a real interest in the success of the business and an incentive to contribute fully)<br /> * Economy in expenditure (pooling of accommodation, equipment and staff)<br /> * Ability to generate more ideas and attract more work<br /> * More capital available for expansion (new partners buying in)<br /> * Goodwill value – retaining clients if one partner dies<br /> * Goodwill – benefit which a practice acquires by virtue of its prestige and the fact that clients return for further commissions<br /> * Partners (should) know each other very well and have similar views of how to progress the partnership (promoting from within)<br /> * Accounts are private<br /> * Dissolution of a partnership is fairly simple<br /> * Each partners has right to take full part in management of partnership (unless stated otherwise in agreement)<br /> <br /> === Disadvantages of a Partnership: ===<br /> <br /> * Partners are jointly and severally liable for the acts of the partnership (liable as a group and individually)<br /> * One partner is liable for the act of his partner provided it was carried out in the course of the partnership business<br /> * All partnerships are terminated by death and by taking of a new partner or retirement of old partner unless the partnership agreement expressly stipulates the contrary (essential difference between corporate bodies)<br /> * A party seeking damages against a partnership can pursue all the partners or individual partners<br /> * If the firm is worth less than the amount of the debt, the partner(s) have to make up the difference from personal wealth<br /> * Partners are responsible to the full extent of his personal wealth for the acts of the partnership (irrespective of their partnership share)<br /> * Can be disastrous as sums of money could be well beyond the means of a private person (in the absence of insurance, bankruptcy may be outcome)<br /> * No separate legal entity – nothing more than sum of individuals comprising it<br /> * Termination of a partnership does not remove liability from any partners (usual for partnerships to maintain PI for retired members)<br /> * Role titles become important in determining liability (associate partners / partners) Unlimited Company:<br /> <br /> * Unfavourable for architects<br /> * One stage removed from a partnership<br /> * Main advantage – director free from liability after a period of 12 months after leaving the company<br /> * No requirement for filing reports to Companies Registrar<br /> * Maximum 50 members<br /> * Members are liable to contribute in proportion of their share holdings if company’s assets are not sufficient to pay debts<br /> <br /> == Limited Company (LTD): ==<br /> <br /> * Very popular with architects (more than 50% approx.)<br /> * Creation of a separate legal entity from its members (even directors are employees and take a salary)<br /> * Must have one director<br /> * Must have company secretary (therefore at least 2 people)<br /> * Cannot offer shares to the public<br /> * Company name must have the word ‘limited’ as the last word<br /> <br /> === Advantages of Limited Company: ===<br /> <br /> * Liability of the members is limited to the nominal value of the share holding<br /> * Directors are not personally liable for the debts of the company (except in exceptional circumstances)<br /> * If the company is faced with a debt which is greater than the company’s assets, the company can be wound up and the shareholders have no further liability<br /> * Any profits are split between shareholders according to the amount of their shareholding<br /> * Shares may be held by persons not employed by the company<br /> * More flexible than a partnership – ease of promotion to director without offering a share in the company<br /> * Directors removed with far less difficulty than in a partnership<br /> * Company does not dissolve when a director leaves or when shares change hands<br /> * Companies attract capital more easily than partnerships (important if expansion is planned) as are internationally recognized, whereas partnerships are not<br /> <br /> === Disadvantages of Limited Company: ===<br /> <br /> * Insolvency Act 1986 – severe penalties for directors who continue to trade whilst insolvent<br /> * Governed by Companies Act 2006 – requirement to register with Companies Registrar<br /> * Annual accounts must be submitted to Companies Registrars (therefore become public)<br /> * Companies can only act in accordance with their purpose and powers as defined in the ‘objects clause’ in the Memorandum of Association<br /> * Companies have to wound up which can be lengthy process<br /> * Directors tax position is worse than partnership as they are subject to PAYE tax<br /> * Can be seen by clients as unprofessional – partners unwilling to be accountable for their decisions<br /> <br /> == Public Company (PLC): ==<br /> <br /> * Control of the company must remain in hands of architects (ARB ruling), at least 51%<br /> * Members of public can buy and sell shares (and get a portion of the profits)<br /> * Useful way of generating capital for expansion<br /> * Nominal value for each share capital must not be less than £50,000<br /> * Use ‘PLC’ after its name<br /> <br /> == Limited Partnership: ==<br /> <br /> <ul><br /> <li><p>At least one partner must be responsible for all the liabilities of the partnership</p></li><br /> <li><p>Other partners can contribute capital but have limited liability (provided not part of management of the partnership)</p></li><br /> <li>Registered under Limited Partnerships Act 1907</li><br /> <li>== Limited Liability Partnership (LLP): ==<br /> </li><br /> <li><p>Limited Liability Partnership Act 2000</p></li><br /> <li><p>Combines features of a partnership and a company</p></li><br /> <li>Legal personality separate from its members</li></ul><br /> <br /> === Advantages of Limited Liability Partnership: ===<br /> <br /> * Members can limit their personal liability if a claim is brought against the firm<br /> * Internal flexibility of a partnership<br /> * Tax status of partnerships (profits are treated as personal income, unlike in LTD)<br /> * Without burden of joint and several liability<br /> * Without external obligations of a limited company<br /> * Members can cease membership on reasonable notice<br /> <br /> === Disadvantages of Limited Liability Partnership: ===<br /> <br /> <ul><br /> <li>Have to publish information about the business finances to Companies Registrar</li><br /> <li>Cooperative:</li><br /> <li><p>Members must have particular views in common</p></li><br /> <li><p>Control is on the basis of one member equals one vote</p></li><br /> <li><p>Responsibility and rewards are shared</p></li><br /> <li><p>Minimum of 7 members</p></li><br /> <li><p>Liability of members confined to amount of their shareholding</p><br /> <p>Group Practice:</p></li></ul><br /> <br /> <ul><br /> <li><p>Independent firms of architects associate themselves for mutual benefit</p></li><br /> <li><p>Do not share profits or have joint responsibility to their clients</p></li><br /> <li><p>Share staff, offices, overheads on agreed basis</p></li><br /> <li><p>Have different specialisms to ease pressure is one practice is not doing well</p></li><br /> <li><p>Requires 100% commitment from all participants</p></li><br /> <li><p>Distribution of liability is complex (legal advice required)</p></li><br /> <li><p>Separate PII required (always inform insurers)</p></li><br /> <li><p>5 types:</p></li><br /> <li><p>Group Association – loose association for purpose of sharing experience and knowledge (separate identities/clients)</p></li><br /> <li><p>Shared Facilities – merely sharing accommodation, equipment</p></li><br /> <li><p>Single Project Group Practice – formed for purpose of specific commission and ends when completed</p></li><br /> <li><p>Group Coordinating Firm – similar but one firm coordinates the rest (who also take responsibility to the client)</p></li><br /> <li><p>Group Partnership – partnership of individual firms which practice separately but combine on large/complex projects on</p><br /> <p>regular basis</p><br /> <p>Partnering:</p><br /> <ul><br /> <li><p>Involves two or more organizations (with same basic culture) working together to improve performance</p></li><br /> <li><p>Agreed set of mutual objectives and dispute resolution</p></li><br /> <li><p>Be committed to continuous improvement (service, design, delivering on time, quality)</p></li><br /> <li><p>Based on equality (profits and control)</p></li><br /> <li><p>Mutual objectives – improved efficiency / cost reduction / guaranteed profits / reliable product quality / fast construction / shared risks / reduced legal costs</p></li><br /> <li><p>Project Partnering – one-off project (cost savings of 2-10%)</p></li><br /> <li><p>Strategic Partnering – series of projects (cost savings of 30% over time)</p></li></ul><br /> </li></ul><br /> <br /> [[File:95dc9bc8-776b-465f-976f-0c7535982eb6]][[File:547b766f-ba0d-4a8e-bd22-958ccc0977ac]][[File:266f2adb-3594-493b-9efe-41d7de8a2a9d]][[File:42110573-df42-4d6c-8b2c-cda96ef635ee]][[File:3f13a528-3638-4660-ac24-ff1afa5e3ae1]][[File:22e880c2-371c-45f6-b575-4d10e5a33ca9]][[File:4c5e33f3-7eca-40ba-b039-1e494ca23cf3]][[File:5b7d730c-8a93-4e73-b5c2-b89fb4bbbbf6]][[File:728ff8e7-6c49-4ee5-bfbf-fd223388357d]][[File:e8064c06-2a21-4979-bdd9-09347744a3e6]][[File:464044e9-ed9b-45c5-83c1-b0b297d3dc55]][[File:b69a1acd-ed4b-4748-9da5-9685f0f01f17]][[File:8711882b-2d79-48a8-a065-adfd3550a821]][[File:9a3adcc8-8be7-4a45-be39-0f271e182561]][[File:d45a7cca-07ec-438d-a837-92a8014e5009]][[File:d0f005e0-37f1-4c1f-a551-0bc50844af1c]][[File:955f8b62-4908-48dc-91d5-1e2d8615523e]]<br /> <br /> PRACTICE TYPES 20<br /> <br /> <ul><br /> <li><p>Advantages – reduced disputes / better working environment / improved communication / effective use of personnel / reduced costs</p></li><br /> <li><p>Disadvantages – undermine competitive advantage / clients demand more / disproportionate increase in communication</p></li><br /> <li><p>Seven pillars of partnering – strategy / membership / equity / integration / benchmarks / project processes / feedback</p><br /> <p>Issues to Consider in Forming a Practice:</p><br /> <ul><br /> <li><p>Share of liability</p></li><br /> <li><p>Control</p></li><br /> <li><p>Simplicity / amount of administration</p></li><br /> <li><p>Image / marketing</p></li><br /> <li><p>Forms of appointment for employees (traditional / flexi-time / overtime)</p></li><br /> <li><p>Salaries affordable</p></li><br /> <li><p>How to attract high quality staff – incentives</p></li><br /> <li><p>Holiday entitlement</p></li><br /> <li><p>Training</p></li><br /> <li><p>Policies</p></li><br /> <li><p>Pensions</p><br /> <p>References</p><br /> <p>Architect in Practice – pp. 66-79</p><br /> <p>http://www.direct.gov.uk/en/Employment/Employees/Pay/DG_10026695 http://www.bis.gov.uk/insolvency</p><br /> <p>Exam Questions</p><br /> <p>Mar 2011 QA 06 Practice Types / Partnering<br /><br /> Sep 2011 QA 04 Partnering / Measured Term Contract</p></li></ul><br /> </li></ul><br /> <br /> [[File:5cd6e104-15a7-420a-9baa-679527b306e9]][[File:be422744-c0c8-4f2c-be7a-3c155c8c78b5]][[File:c65b5d0b-4653-4579-b04c-770aec856917]][[File:861cbbe0-12f9-45fa-9958-22baa442bbb1]][[File:af68e4d2-73cb-4703-8879-d35b52e280eb]][[File:98a469f3-d8c5-4b60-bad1-b7993147db30]][[File:7892d76c-e32e-402c-9077-abf6ad52a16f]][[File:c16327f6-7bfc-49bc-bf7e-73d313de63f9]]<br /> <br /> [[Category:Articles_needing_more_work]]</div>

Scigaj https://www.designingbuildings.co.uk/wiki/Employment_relations Employment relations 2019-05-03T21:23:45Z

<p>Scigaj: </p> <hr /> <div>Relevant Terms:<br /> <br /> * Administration – rescue mechanism for insolvent companies and allows them to carry on running their business<br /> * Alternative to liquidation<br /> * Company will be operated by an administrator whilst formalising options to recapitalise the business or sell the business<br /> * Liquidation – process by which a company is brought to an end (either compulsory or voluntary)<br /> * Insolvent – inability of a debtor to pay their debt<br /> * Insolvency Act 1986 - Serious penalties for directors who continue to trade whilst insolvent<br /> * Practices should notify ARB within 28 days of going into liquidation (cl. 9.2 of ARB Code)<br /> <br /> === Sole Principal: ===<br /> <br /> * Many architects practice as sole principals<br /> * Carry all liability<br /> * Does not mean that it is a one-person practice<br /> * Popular in times of recession (low overheads)<br /> * Really successful sole practitioner cannot remain alone for very long – formal company structure will become necessary<br /> * Most difficult form of practice<br /> <br /> === Partnership: ===<br /> <br /> * Demise of use of Partnership owing to creation of Limited Liability Partnerships<br /> * Defined by Partnership Act 1890 – ‘the relationship which subsists between 2 or more persons carrying on business in common with a view to profit’<br /> * Crucial factor in determining if a partnership exists is if parties share profits and losses<br /> * Partnerships usually have a written partnership agreement (not strictly necessary to indicate its existence)<br /> * Each partner is given a share in the partnership (not necessarily related to their financial investment)<br /> * Taxation – firm assessed for income tax on the basis of its profits Advantages of a Partnership:<br /> * Can be formed informally – no recognized registration<br /> * Seen by clients as professional – partners willing to be accountable for their decisions<br /> * Partners share the burden of providing proper supervision and more control in running the practice and its projects (they will have a real interest in the success of the business and an incentive to contribute fully)<br /> * Economy in expenditure (pooling of accommodation, equipment and staff)<br /> * Ability to generate more ideas and attract more work<br /> * More capital available for expansion (new partners buying in)<br /> * Goodwill value – retaining clients if one partner dies<br /> * Goodwill – benefit which a practice acquires by virtue of its prestige and the fact that clients return for further commissions<br /> * Partners (should) know each other very well and have similar views of how to progress the partnership (promoting from within)<br /> * Accounts are private<br /> * Dissolution of a partnership is fairly simple<br /> * Each partners has right to take full part in management of partnership (unless stated otherwise in agreement)<br /> <br /> Disadvantages of a Partnership:<br /> <br /> <ul><br /> <li><p>Partners are jointly and severally liable for the acts of the partnership (liable as a group and individually)</p></li><br /> <li><p>One partner is liable for the act of his partner provided it was carried out in the course of the partnership business</p></li><br /> <li><p>All partnerships are terminated by death and by taking of a new partner or retirement of old partner unless the</p><br /> <p>partnership agreement expressly stipulates the contrary (essential difference between corporate bodies)</p></li><br /> <li><p>A party seeking damages against a partnership can pursue all the partners or individual partners</p></li><br /> <li><p>If the firm is worth less than the amount of the debt, the partner(s) have to make up the difference from personal wealth</p></li><br /> <li><p>Partners are responsible to the full extent of his personal wealth for the acts of the partnership (irrespective of their</p><br /> <p>partnership share)</p></li><br /> <li><p>Can be disastrous as sums of money could be well beyond the means of a private person (in the absence of insurance,</p><br /> <p>bankruptcy may be outcome)</p></li><br /> <li><p>No separate legal entity – nothing more than sum of individuals comprising it</p></li><br /> <li><p>Termination of a partnership does not remove liability from any partners (usual for partnerships to maintain PI for</p><br /> <p>retired members)</p></li><br /> <li><p>Role titles become important in determining liability (associate partners / partners) Unlimited Company:</p></li></ul><br /> <br /> * Unfavourable for architects<br /> * One stage removed from a partnership<br /> * Main advantage – director free from liability after a period of 12 months after leaving the company<br /> * No requirement for filing reports to Companies Registrar<br /> * Maximum 50 members<br /> * Members are liable to contribute in proportion of their share holdings if company’s assets are not sufficient to pay debts<br /> <br /> Limited Company (LTD):<br /> <br /> <ul><br /> <li><p>Very popular with architects (more than 50% approx.)</p></li><br /> <li><p>Creation of a separate legal entity from its members (even directors are employees and take a salary)</p></li><br /> <li><p>Must have one director</p></li><br /> <li><p>Must have company secretary (therefore at least 2 people)</p></li><br /> <li><p>Cannot offer shares to the public</p></li><br /> <li><p>Company name must have the word ‘limited’ as the last word</p><br /> <p>Advantages of Limited Company:</p><br /> <ul><br /> <li><p>Liability of the members is limited to the nominal value of the share holding</p></li><br /> <li><p>Directors are not personally liable for the debts of the company (except in exceptional circumstances)</p></li></ul><br /> </li></ul><br /> <br /> [[File:cde6d4ef-afed-4a49-b6a5-6118038bb96a]][[File:06d52530-645e-4635-ae00-3593d4bbdf72]][[File:d4949f2e-38ef-4192-8e71-3b318c655425]][[File:c97ca198-77ea-419a-9ef5-915f7a4f64a5]][[File:c207e3db-4c12-4d18-886f-049eeb22b70e]][[File:ebb234f5-91f5-4ad1-abd5-6535a81506c7]][[File:527a96fa-b3aa-48b1-acee-7752701845a0]][[File:0533b8c5-0303-46ba-9bcd-1af263678a5d]][[File:ece3bf62-2fef-4104-a7f4-0fafeb8a2852]][[File:3cb88ccb-a60f-4bc4-a2bc-2e6b38c61e19]][[File:88a93d31-a013-4397-b75c-17a72a6bcebe]]<br /> <br /> PRACTICE TYPES 20<br /> <br /> <ul><br /> <li><p>If the company is faced with a debt which is greater than the company’s assets, the company can be wound up and the shareholders have no further liability</p></li><br /> <li><p>Any profits are split between shareholders according to the amount of their shareholding</p></li><br /> <li><p>Shares may be held by persons not employed by the company</p></li><br /> <li><p>More flexible than a partnership – ease of promotion to director without offering a share in the company</p></li><br /> <li><p>Directors removed with far less difficulty than in a partnership</p></li><br /> <li><p>Company does not dissolve when a director leaves or when shares change hands</p></li><br /> <li><p>Companies attract capital more easily than partnerships (important if expansion is planned) as are internationally</p><br /> <p>recognized, whereas partnerships are not</p><br /> <p>Disadvantages of Limited Company:</p><br /> <ul><br /> <li><p>Insolvency Act 1986 – severe penalties for directors who continue to trade whilst insolvent</p></li><br /> <li><p>Governed by Companies Act 2006 – requirement to register with Companies Registrar</p></li><br /> <li><p>Annual accounts must be submitted to Companies Registrars (therefore become public)</p></li><br /> <li><p>Companies can only act in accordance with their purpose and powers as defined in the ‘objects clause’ in the</p><br /> <p>Memorandum of Association</p></li><br /> <li><p>Companies have to wound up which can be lengthy process</p></li><br /> <li><p>Directors tax position is worse than partnership as they are subject to PAYE tax</p></li><br /> <li><p>Can be seen by clients as unprofessional – partners unwilling to be accountable for their decisions</p><br /> <p>Public Company (PLC):</p></li></ul><br /> <br /> <ul><br /> <li><p>Control of the company must remain in hands of architects (ARB ruling), at least 51%</p></li><br /> <li><p>Members of public can buy and sell shares (and get a portion of the profits)</p></li><br /> <li><p>Useful way of generating capital for expansion</p></li><br /> <li><p>Nominal value for each share capital must not be less than £50,000</p></li><br /> <li><p>Use ‘PLC’ after its name</p><br /> <p>Limited Partnership:</p></li></ul><br /> <br /> <ul><br /> <li><p>At least one partner must be responsible for all the liabilities of the partnership</p></li><br /> <li><p>Other partners can contribute capital but have limited liability (provided not part of management of the partnership)</p></li><br /> <li><p>Registered under Limited Partnerships Act 1907</p><br /> <p>Limited Liability Partnership (LLP):</p><br /> <ul><br /> <li><p>Limited Liability Partnership Act 2000</p></li><br /> <li><p>Combines features of a partnership and a company</p></li><br /> <li><p>Legal personality separate from its members</p><br /> <p>Advantages of Limited Liability Partnership:</p><br /> <ul><br /> <li><p>Members can limit their personal liability if a claim is brought against the firm</p></li><br /> <li><p>Internal flexibility of a partnership</p></li></ul><br /> </li></ul><br /> </li></ul><br /> </li></ul><br /> <br /> [[File:4216618e-705a-4046-b179-6f377e060f8e]][[File:5d067019-c172-49c8-a631-a65bb5820b93]][[File:37acbcfa-b5aa-4b31-b99f-87f541f99eee]][[File:520d562a-cffc-472d-939f-bddc6d6390f5]][[File:08160467-5ce1-493f-a276-0ba5af08326b]][[File:c888d635-a8f2-4e88-9664-ffa273374d4d]][[File:96ada55f-6c44-40ae-8c82-25f9f2f036c3]][[File:b2dc8b35-fae5-482a-9deb-a705f42461d0]][[File:16317c34-279f-498b-9e95-129847536096]][[File:13c8a11d-5486-4ec8-a986-78e01e640293]][[File:71e200a2-a617-4e8f-8ed5-630596a7a4a4]][[File:870b06e4-8b1f-4780-8795-31e968869d50]][[File:0b190c61-69f1-4317-8a0c-0695fcbed4ea]]<br /> <br /> PRACTICE TYPES 20<br /> <br /> <ul><br /> <li><p>Tax status of partnerships (profits are treated as personal income, unlike in LTD)</p></li><br /> <li><p>Without burden of joint and several liability</p></li><br /> <li><p>Without external obligations of a limited company</p></li><br /> <li><p>Members can cease membership on reasonable notice</p><br /> <p>Disadvantages of Limited Liability Partnership:</p></li></ul><br /> <br /> Have to publish information about the business finances to Companies Registrar<br /> <br /> Cooperative:<br /> <br /> <ul><br /> <li><p>Members must have particular views in common</p></li><br /> <li><p>Control is on the basis of one member equals one vote</p></li><br /> <li><p>Responsibility and rewards are shared</p></li><br /> <li><p>Minimum of 7 members</p></li><br /> <li><p>Liability of members confined to amount of their shareholding</p><br /> <p>Group Practice:</p></li></ul><br /> <br /> <ul><br /> <li><p>Independent firms of architects associate themselves for mutual benefit</p></li><br /> <li><p>Do not share profits or have joint responsibility to their clients</p></li><br /> <li><p>Share staff, offices, overheads on agreed basis</p></li><br /> <li><p>Have different specialisms to ease pressure is one practice is not doing well</p></li><br /> <li><p>Requires 100% commitment from all participants</p></li><br /> <li><p>Distribution of liability is complex (legal advice required)</p></li><br /> <li><p>Separate PII required (always inform insurers)</p></li><br /> <li><p>5 types:</p></li><br /> <li><p>Group Association – loose association for purpose of sharing experience and knowledge (separate identities/clients)</p></li><br /> <li><p>Shared Facilities – merely sharing accommodation, equipment</p></li><br /> <li><p>Single Project Group Practice – formed for purpose of specific commission and ends when completed</p></li><br /> <li><p>Group Coordinating Firm – similar but one firm coordinates the rest (who also take responsibility to the client)</p></li><br /> <li><p>Group Partnership – partnership of individual firms which practice separately but combine on large/complex projects on</p><br /> <p>regular basis</p><br /> <p>Partnering:</p><br /> <ul><br /> <li><p>Involves two or more organizations (with same basic culture) working together to improve performance</p></li><br /> <li><p>Agreed set of mutual objectives and dispute resolution</p></li><br /> <li><p>Be committed to continuous improvement (service, design, delivering on time, quality)</p></li><br /> <li><p>Based on equality (profits and control)</p></li><br /> <li><p>Mutual objectives – improved efficiency / cost reduction / guaranteed profits / reliable product quality / fast construction / shared risks / reduced legal costs</p></li><br /> <li><p>Project Partnering – one-off project (cost savings of 2-10%)</p></li><br /> <li><p>Strategic Partnering – series of projects (cost savings of 30% over time)</p></li></ul><br /> </li></ul><br /> <br /> [[File:95dc9bc8-776b-465f-976f-0c7535982eb6]][[File:547b766f-ba0d-4a8e-bd22-958ccc0977ac]][[File:266f2adb-3594-493b-9efe-41d7de8a2a9d]][[File:42110573-df42-4d6c-8b2c-cda96ef635ee]][[File:3f13a528-3638-4660-ac24-ff1afa5e3ae1]][[File:22e880c2-371c-45f6-b575-4d10e5a33ca9]][[File:4c5e33f3-7eca-40ba-b039-1e494ca23cf3]][[File:5b7d730c-8a93-4e73-b5c2-b89fb4bbbbf6]][[File:728ff8e7-6c49-4ee5-bfbf-fd223388357d]][[File:e8064c06-2a21-4979-bdd9-09347744a3e6]][[File:464044e9-ed9b-45c5-83c1-b0b297d3dc55]][[File:b69a1acd-ed4b-4748-9da5-9685f0f01f17]][[File:8711882b-2d79-48a8-a065-adfd3550a821]][[File:9a3adcc8-8be7-4a45-be39-0f271e182561]][[File:d45a7cca-07ec-438d-a837-92a8014e5009]][[File:d0f005e0-37f1-4c1f-a551-0bc50844af1c]][[File:955f8b62-4908-48dc-91d5-1e2d8615523e]]<br /> <br /> PRACTICE TYPES 20<br /> <br /> <ul><br /> <li><p>Advantages – reduced disputes / better working environment / improved communication / effective use of personnel / reduced costs</p></li><br /> <li><p>Disadvantages – undermine competitive advantage / clients demand more / disproportionate increase in communication</p></li><br /> <li><p>Seven pillars of partnering – strategy / membership / equity / integration / benchmarks / project processes / feedback</p><br /> <p>Issues to Consider in Forming a Practice:</p><br /> <ul><br /> <li><p>Share of liability</p></li><br /> <li><p>Control</p></li><br /> <li><p>Simplicity / amount of administration</p></li><br /> <li><p>Image / marketing</p></li><br /> <li><p>Forms of appointment for employees (traditional / flexi-time / overtime)</p></li><br /> <li><p>Salaries affordable</p></li><br /> <li><p>How to attract high quality staff – incentives</p></li><br /> <li><p>Holiday entitlement</p></li><br /> <li><p>Training</p></li><br /> <li><p>Policies</p></li><br /> <li><p>Pensions</p><br /> <p>References</p><br /> <p>Architect in Practice – pp. 66-79</p><br /> <p>http://www.direct.gov.uk/en/Employment/Employees/Pay/DG_10026695 http://www.bis.gov.uk/insolvency</p><br /> <p>Exam Questions</p><br /> <p>Mar 2011 QA 06 Practice Types / Partnering<br /><br /> Sep 2011 QA 04 Partnering / Measured Term Contract</p></li></ul><br /> </li></ul><br /> <br /> [[File:5cd6e104-15a7-420a-9baa-679527b306e9]][[File:be422744-c0c8-4f2c-be7a-3c155c8c78b5]][[File:c65b5d0b-4653-4579-b04c-770aec856917]][[File:861cbbe0-12f9-45fa-9958-22baa442bbb1]][[File:af68e4d2-73cb-4703-8879-d35b52e280eb]][[File:98a469f3-d8c5-4b60-bad1-b7993147db30]][[File:7892d76c-e32e-402c-9077-abf6ad52a16f]][[File:c16327f6-7bfc-49bc-bf7e-73d313de63f9]]<br /> <br /> [[Category:Articles_needing_more_work]]</div>

Scigaj https://www.designingbuildings.co.uk/wiki/Employment_relations Employment relations 2019-05-03T21:22:03Z

<p>Scigaj: </p> <hr /> <div>Relevant Terms:<br /> <br /> * Administration – rescue mechanism for insolvent companies and allows them to carry on running their business<br /> * Alternative to liquidation<br /> * Company will be operated by an administrator whilst formalising options to recapitalise the business or sell the business<br /> * Liquidation – process by which a company is brought to an end (either compulsory or voluntary)<br /> * Insolvent – inability of a debtor to pay their debt<br /> * Insolvency Act 1986 - Serious penalties for directors who continue to trade whilst insolvent<br /> * Practices should notify ARB within 28 days of going into liquidation (cl. 9.2 of ARB Code)<br /> <br /> === Sole Principal: ===<br /> <br /> * Many architects practice as sole principals<br /> * Carry all liability<br /> * Does not mean that it is a one-person practice<br /> * Popular in times of recession (low overheads)<br /> * Really successful sole practitioner cannot remain alone for very long – formal company structure will become necessary<br /> * Most difficult form of practice<br /> <br /> === Partnership: ===<br /> <br /> <ul><br /> <li><p>Demise of use of Partnership owing to creation of Limited Liability Partnerships</p></li><br /> <li><p>Defined by Partnership Act 1890 – ‘the relationship which subsists between 2 or more persons carrying on business in common with a view to profit’</p></li><br /> <li><p>Crucial factor in determining if a partnership exists is if parties share profits and losses</p></li><br /> <li><p>Partnerships usually have a written partnership agreement (not strictly necessary to indicate its existence)</p></li><br /> <li><p>Each partner is given a share in the partnership (not necessarily related to their financial investment)</p></li><br /> <li><p>Taxation – firm assessed for income tax on the basis of its profits</p><br /> <p>Advantages of a Partnership:</p></li><br /> <li><p>Can be formed informally – no recognized registration</p></li><br /> <li><p>Seen by clients as professional – partners willing to be accountable for their decisions</p></li><br /> <li><p>Partners share the burden of providing proper supervision and more control in running the practice and its projects (they will have a real interest in the success of the business and an incentive to contribute fully)</p></li><br /> <li><p>Economy in expenditure (pooling of accommodation, equipment and staff)</p></li><br /> <li><p>Ability to generate more ideas and attract more work</p></li><br /> <li><p>More capital available for expansion (new partners buying in)</p></li><br /> <li><p>Goodwill value – retaining clients if one partner dies</p></li><br /> <li><p>Goodwill – benefit which a practice acquires by virtue of its prestige and the fact that clients return for further commissions</p></li><br /> <li><p>Partners (should) know each other very well and have similar views of how to progress the partnership (promoting from within)</p></li><br /> <li><p>Accounts are private</p></li><br /> <li><p>Dissolution of a partnership is fairly simple</p></li><br /> <li><p>Each partners has right to take full part in management of partnership (unless stated otherwise in agreement)</p><br /> <p>Disadvantages of a Partnership:</p></li><br /> <li><p>Partners are jointly and severally liable for the acts of the partnership (liable as a group and individually)</p></li><br /> <li><p>One partner is liable for the act of his partner provided it was carried out in the course of the partnership business</p></li><br /> <li><p>All partnerships are terminated by death and by taking of a new partner or retirement of old partner unless the</p><br /> <p>partnership agreement expressly stipulates the contrary (essential difference between corporate bodies)</p></li><br /> <li><p>A party seeking damages against a partnership can pursue all the partners or individual partners</p></li><br /> <li><p>If the firm is worth less than the amount of the debt, the partner(s) have to make up the difference from personal wealth</p></li><br /> <li><p>Partners are responsible to the full extent of his personal wealth for the acts of the partnership (irrespective of their</p><br /> <p>partnership share)</p></li><br /> <li><p>Can be disastrous as sums of money could be well beyond the means of a private person (in the absence of insurance,</p><br /> <p>bankruptcy may be outcome)</p></li><br /> <li><p>No separate legal entity – nothing more than sum of individuals comprising it</p></li><br /> <li><p>Termination of a partnership does not remove liability from any partners (usual for partnerships to maintain PI for</p><br /> <p>retired members)</p></li><br /> <li><p>Role titles become important in determining liability (associate partners / partners) Unlimited Company:</p></li></ul><br /> <br /> * Unfavourable for architects<br /> * One stage removed from a partnership<br /> * Main advantage – director free from liability after a period of 12 months after leaving the company<br /> * No requirement for filing reports to Companies Registrar<br /> * Maximum 50 members<br /> * Members are liable to contribute in proportion of their share holdings if company’s assets are not sufficient to pay debts<br /> <br /> Limited Company (LTD):<br /> <br /> <ul><br /> <li><p>Very popular with architects (more than 50% approx.)</p></li><br /> <li><p>Creation of a separate legal entity from its members (even directors are employees and take a salary)</p></li><br /> <li><p>Must have one director</p></li><br /> <li><p>Must have company secretary (therefore at least 2 people)</p></li><br /> <li><p>Cannot offer shares to the public</p></li><br /> <li><p>Company name must have the word ‘limited’ as the last word</p><br /> <p>Advantages of Limited Company:</p><br /> <ul><br /> <li><p>Liability of the members is limited to the nominal value of the share holding</p></li><br /> <li><p>Directors are not personally liable for the debts of the company (except in exceptional circumstances)</p></li></ul><br /> </li></ul><br /> <br /> [[File:cde6d4ef-afed-4a49-b6a5-6118038bb96a]][[File:06d52530-645e-4635-ae00-3593d4bbdf72]][[File:d4949f2e-38ef-4192-8e71-3b318c655425]][[File:c97ca198-77ea-419a-9ef5-915f7a4f64a5]][[File:c207e3db-4c12-4d18-886f-049eeb22b70e]][[File:ebb234f5-91f5-4ad1-abd5-6535a81506c7]][[File:527a96fa-b3aa-48b1-acee-7752701845a0]][[File:0533b8c5-0303-46ba-9bcd-1af263678a5d]][[File:ece3bf62-2fef-4104-a7f4-0fafeb8a2852]][[File:3cb88ccb-a60f-4bc4-a2bc-2e6b38c61e19]][[File:88a93d31-a013-4397-b75c-17a72a6bcebe]]<br /> <br /> PRACTICE TYPES 20<br /> <br /> <ul><br /> <li><p>If the company is faced with a debt which is greater than the company’s assets, the company can be wound up and the shareholders have no further liability</p></li><br /> <li><p>Any profits are split between shareholders according to the amount of their shareholding</p></li><br /> <li><p>Shares may be held by persons not employed by the company</p></li><br /> <li><p>More flexible than a partnership – ease of promotion to director without offering a share in the company</p></li><br /> <li><p>Directors removed with far less difficulty than in a partnership</p></li><br /> <li><p>Company does not dissolve when a director leaves or when shares change hands</p></li><br /> <li><p>Companies attract capital more easily than partnerships (important if expansion is planned) as are internationally</p><br /> <p>recognized, whereas partnerships are not</p><br /> <p>Disadvantages of Limited Company:</p><br /> <ul><br /> <li><p>Insolvency Act 1986 – severe penalties for directors who continue to trade whilst insolvent</p></li><br /> <li><p>Governed by Companies Act 2006 – requirement to register with Companies Registrar</p></li><br /> <li><p>Annual accounts must be submitted to Companies Registrars (therefore become public)</p></li><br /> <li><p>Companies can only act in accordance with their purpose and powers as defined in the ‘objects clause’ in the</p><br /> <p>Memorandum of Association</p></li><br /> <li><p>Companies have to wound up which can be lengthy process</p></li><br /> <li><p>Directors tax position is worse than partnership as they are subject to PAYE tax</p></li><br /> <li><p>Can be seen by clients as unprofessional – partners unwilling to be accountable for their decisions</p><br /> <p>Public Company (PLC):</p></li></ul><br /> <br /> <ul><br /> <li><p>Control of the company must remain in hands of architects (ARB ruling), at least 51%</p></li><br /> <li><p>Members of public can buy and sell shares (and get a portion of the profits)</p></li><br /> <li><p>Useful way of generating capital for expansion</p></li><br /> <li><p>Nominal value for each share capital must not be less than £50,000</p></li><br /> <li><p>Use ‘PLC’ after its name</p><br /> <p>Limited Partnership:</p></li></ul><br /> <br /> <ul><br /> <li><p>At least one partner must be responsible for all the liabilities of the partnership</p></li><br /> <li><p>Other partners can contribute capital but have limited liability (provided not part of management of the partnership)</p></li><br /> <li><p>Registered under Limited Partnerships Act 1907</p><br /> <p>Limited Liability Partnership (LLP):</p><br /> <ul><br /> <li><p>Limited Liability Partnership Act 2000</p></li><br /> <li><p>Combines features of a partnership and a company</p></li><br /> <li><p>Legal personality separate from its members</p><br /> <p>Advantages of Limited Liability Partnership:</p><br /> <ul><br /> <li><p>Members can limit their personal liability if a claim is brought against the firm</p></li><br /> <li><p>Internal flexibility of a partnership</p></li></ul><br /> </li></ul><br /> </li></ul><br /> </li></ul><br /> <br /> [[File:4216618e-705a-4046-b179-6f377e060f8e]][[File:5d067019-c172-49c8-a631-a65bb5820b93]][[File:37acbcfa-b5aa-4b31-b99f-87f541f99eee]][[File:520d562a-cffc-472d-939f-bddc6d6390f5]][[File:08160467-5ce1-493f-a276-0ba5af08326b]][[File:c888d635-a8f2-4e88-9664-ffa273374d4d]][[File:96ada55f-6c44-40ae-8c82-25f9f2f036c3]][[File:b2dc8b35-fae5-482a-9deb-a705f42461d0]][[File:16317c34-279f-498b-9e95-129847536096]][[File:13c8a11d-5486-4ec8-a986-78e01e640293]][[File:71e200a2-a617-4e8f-8ed5-630596a7a4a4]][[File:870b06e4-8b1f-4780-8795-31e968869d50]][[File:0b190c61-69f1-4317-8a0c-0695fcbed4ea]]<br /> <br /> PRACTICE TYPES 20<br /> <br /> <ul><br /> <li><p>Tax status of partnerships (profits are treated as personal income, unlike in LTD)</p></li><br /> <li><p>Without burden of joint and several liability</p></li><br /> <li><p>Without external obligations of a limited company</p></li><br /> <li><p>Members can cease membership on reasonable notice</p><br /> <p>Disadvantages of Limited Liability Partnership:</p></li></ul><br /> <br /> Have to publish information about the business finances to Companies Registrar<br /> <br /> Cooperative:<br /> <br /> <ul><br /> <li><p>Members must have particular views in common</p></li><br /> <li><p>Control is on the basis of one member equals one vote</p></li><br /> <li><p>Responsibility and rewards are shared</p></li><br /> <li><p>Minimum of 7 members</p></li><br /> <li><p>Liability of members confined to amount of their shareholding</p><br /> <p>Group Practice:</p></li></ul><br /> <br /> <ul><br /> <li><p>Independent firms of architects associate themselves for mutual benefit</p></li><br /> <li><p>Do not share profits or have joint responsibility to their clients</p></li><br /> <li><p>Share staff, offices, overheads on agreed basis</p></li><br /> <li><p>Have different specialisms to ease pressure is one practice is not doing well</p></li><br /> <li><p>Requires 100% commitment from all participants</p></li><br /> <li><p>Distribution of liability is complex (legal advice required)</p></li><br /> <li><p>Separate PII required (always inform insurers)</p></li><br /> <li><p>5 types:</p></li><br /> <li><p>Group Association – loose association for purpose of sharing experience and knowledge (separate identities/clients)</p></li><br /> <li><p>Shared Facilities – merely sharing accommodation, equipment</p></li><br /> <li><p>Single Project Group Practice – formed for purpose of specific commission and ends when completed</p></li><br /> <li><p>Group Coordinating Firm – similar but one firm coordinates the rest (who also take responsibility to the client)</p></li><br /> <li><p>Group Partnership – partnership of individual firms which practice separately but combine on large/complex projects on</p><br /> <p>regular basis</p><br /> <p>Partnering:</p><br /> <ul><br /> <li><p>Involves two or more organizations (with same basic culture) working together to improve performance</p></li><br /> <li><p>Agreed set of mutual objectives and dispute resolution</p></li><br /> <li><p>Be committed to continuous improvement (service, design, delivering on time, quality)</p></li><br /> <li><p>Based on equality (profits and control)</p></li><br /> <li><p>Mutual objectives – improved efficiency / cost reduction / guaranteed profits / reliable product quality / fast construction / shared risks / reduced legal costs</p></li><br /> <li><p>Project Partnering – one-off project (cost savings of 2-10%)</p></li><br /> <li><p>Strategic Partnering – series of projects (cost savings of 30% over time)</p></li></ul><br /> </li></ul><br /> <br /> [[File:95dc9bc8-776b-465f-976f-0c7535982eb6]][[File:547b766f-ba0d-4a8e-bd22-958ccc0977ac]][[File:266f2adb-3594-493b-9efe-41d7de8a2a9d]][[File:42110573-df42-4d6c-8b2c-cda96ef635ee]][[File:3f13a528-3638-4660-ac24-ff1afa5e3ae1]][[File:22e880c2-371c-45f6-b575-4d10e5a33ca9]][[File:4c5e33f3-7eca-40ba-b039-1e494ca23cf3]][[File:5b7d730c-8a93-4e73-b5c2-b89fb4bbbbf6]][[File:728ff8e7-6c49-4ee5-bfbf-fd223388357d]][[File:e8064c06-2a21-4979-bdd9-09347744a3e6]][[File:464044e9-ed9b-45c5-83c1-b0b297d3dc55]][[File:b69a1acd-ed4b-4748-9da5-9685f0f01f17]][[File:8711882b-2d79-48a8-a065-adfd3550a821]][[File:9a3adcc8-8be7-4a45-be39-0f271e182561]][[File:d45a7cca-07ec-438d-a837-92a8014e5009]][[File:d0f005e0-37f1-4c1f-a551-0bc50844af1c]][[File:955f8b62-4908-48dc-91d5-1e2d8615523e]]<br /> <br /> PRACTICE TYPES 20<br /> <br /> <ul><br /> <li><p>Advantages – reduced disputes / better working environment / improved communication / effective use of personnel / reduced costs</p></li><br /> <li><p>Disadvantages – undermine competitive advantage / clients demand more / disproportionate increase in communication</p></li><br /> <li><p>Seven pillars of partnering – strategy / membership / equity / integration / benchmarks / project processes / feedback</p><br /> <p>Issues to Consider in Forming a Practice:</p><br /> <ul><br /> <li><p>Share of liability</p></li><br /> <li><p>Control</p></li><br /> <li><p>Simplicity / amount of administration</p></li><br /> <li><p>Image / marketing</p></li><br /> <li><p>Forms of appointment for employees (traditional / flexi-time / overtime)</p></li><br /> <li><p>Salaries affordable</p></li><br /> <li><p>How to attract high quality staff – incentives</p></li><br /> <li><p>Holiday entitlement</p></li><br /> <li><p>Training</p></li><br /> <li><p>Policies</p></li><br /> <li><p>Pensions</p><br /> <p>References</p><br /> <p>Architect in Practice – pp. 66-79</p><br /> <p>http://www.direct.gov.uk/en/Employment/Employees/Pay/DG_10026695 http://www.bis.gov.uk/insolvency</p><br /> <p>Exam Questions</p><br /> <p>Mar 2011 QA 06 Practice Types / Partnering<br /><br /> Sep 2011 QA 04 Partnering / Measured Term Contract</p></li></ul><br /> </li></ul><br /> <br /> [[File:5cd6e104-15a7-420a-9baa-679527b306e9]][[File:be422744-c0c8-4f2c-be7a-3c155c8c78b5]][[File:c65b5d0b-4653-4579-b04c-770aec856917]][[File:861cbbe0-12f9-45fa-9958-22baa442bbb1]][[File:af68e4d2-73cb-4703-8879-d35b52e280eb]][[File:98a469f3-d8c5-4b60-bad1-b7993147db30]][[File:7892d76c-e32e-402c-9077-abf6ad52a16f]][[File:c16327f6-7bfc-49bc-bf7e-73d313de63f9]]<br /> <br /> [[Category:Articles_needing_more_work]]</div>

Scigaj https://www.designingbuildings.co.uk/wiki/Employment_relations Employment relations 2019-05-03T21:19:15Z

<p>Scigaj: </p> <hr /> <div>Relevant Terms:<br /> <br /> * Administration – rescue mechanism for insolvent companies and allows them to carry on running their business<br /> * Alternative to liquidation<br /> * Company will be operated by an administrator whilst formalising options to recapitalise the business or sell the business<br /> * Liquidation – process by which a company is brought to an end (either compulsory or voluntary)<br /> * Insolvent – inability of a debtor to pay their debt<br /> * Insolvency Act 1986 - Serious penalties for directors who continue to trade whilst insolvent<br /> * Practices should notify ARB within 28 days of going into liquidation (cl. 9.2 of ARB Code)<br /> <br /> Sole Principal:<br /> <br /> * Many architects practice as sole principals<br /> * Carry all liability<br /> * Does not mean that it is a one-person practice<br /> * Popular in times of recession (low overheads)<br /> * Really successful sole practitioner cannot remain alone for very long – formal company structure will become necessary<br /> * Most difficult form of practice<br /> <br /> Partnership:<br /> <br /> <ul><br /> <li><p>Demise of use of Partnership owing to creation of Limited Liability Partnerships</p></li><br /> <li><p>Defined by Partnership Act 1890 – ‘the relationship which subsists between 2 or more persons carrying on business in</p><br /> <p>common with a view to profit’</p></li><br /> <li><p>Crucial factor in determining if a partnership exists is if parties share profits and losses</p></li><br /> <li><p>Partnerships usually have a written partnership agreement (not strictly necessary to indicate its existence)</p></li><br /> <li><p>Each partner is given a share in the partnership (not necessarily related to their financial investment)</p></li><br /> <li><p>Taxation – firm assessed for income tax on the basis of its profits</p><br /> <p>Advantages of a Partnership:</p></li><br /> <li><p>Can be formed informally – no recognized registration</p></li><br /> <li><p>Seen by clients as professional – partners willing to be accountable for their decisions</p></li><br /> <li><p>Partners share the burden of providing proper supervision and more control in running the practice and its projects (they will have a real interest in the success of the business and an incentive to contribute fully)</p></li><br /> <li><p>Economy in expenditure (pooling of accommodation, equipment and staff)</p></li><br /> <li><p>Ability to generate more ideas and attract more work</p></li><br /> <li><p>More capital available for expansion (new partners buying in)</p></li><br /> <li><p>Goodwill value – retaining clients if one partner dies</p></li><br /> <li><p>Goodwill – benefit which a practice acquires by virtue of its prestige and the fact that clients return for further commissions</p></li><br /> <li><p>Partners (should) know each other very well and have similar views of how to progress the partnership (promoting from within)</p></li><br /> <li><p>Accounts are private</p></li><br /> <li><p>Dissolution of a partnership is fairly simple</p></li><br /> <li><p>Each partners has right to take full part in management of partnership (unless stated otherwise in agreement)</p><br /> <p>Disadvantages of a Partnership:</p></li><br /> <li><p>Partners are jointly and severally liable for the acts of the partnership (liable as a group and individually)</p></li><br /> <li><p>One partner is liable for the act of his partner provided it was carried out in the course of the partnership business</p></li><br /> <li><p>All partnerships are terminated by death and by taking of a new partner or retirement of old partner unless the</p><br /> <p>partnership agreement expressly stipulates the contrary (essential difference between corporate bodies)</p></li><br /> <li><p>A party seeking damages against a partnership can pursue all the partners or individual partners</p></li><br /> <li><p>If the firm is worth less than the amount of the debt, the partner(s) have to make up the difference from personal wealth</p></li><br /> <li><p>Partners are responsible to the full extent of his personal wealth for the acts of the partnership (irrespective of their</p><br /> <p>partnership share)</p></li><br /> <li><p>Can be disastrous as sums of money could be well beyond the means of a private person (in the absence of insurance,</p><br /> <p>bankruptcy may be outcome)</p></li><br /> <li><p>No separate legal entity – nothing more than sum of individuals comprising it</p></li><br /> <li><p>Termination of a partnership does not remove liability from any partners (usual for partnerships to maintain PI for</p><br /> <p>retired members)</p></li><br /> <li><p>Role titles become important in determining liability (associate partners / partners) Unlimited Company:</p></li></ul><br /> <br /> * Unfavourable for architects<br /> * One stage removed from a partnership<br /> * Main advantage – director free from liability after a period of 12 months after leaving the company<br /> * No requirement for filing reports to Companies Registrar<br /> * Maximum 50 members<br /> * Members are liable to contribute in proportion of their share holdings if company’s assets are not sufficient to pay debts<br /> <br /> Limited Company (LTD):<br /> <br /> <ul><br /> <li><p>Very popular with architects (more than 50% approx.)</p></li><br /> <li><p>Creation of a separate legal entity from its members (even directors are employees and take a salary)</p></li><br /> <li><p>Must have one director</p></li><br /> <li><p>Must have company secretary (therefore at least 2 people)</p></li><br /> <li><p>Cannot offer shares to the public</p></li><br /> <li><p>Company name must have the word ‘limited’ as the last word</p><br /> <p>Advantages of Limited Company:</p><br /> <ul><br /> <li><p>Liability of the members is limited to the nominal value of the share holding</p></li><br /> <li><p>Directors are not personally liable for the debts of the company (except in exceptional circumstances)</p></li></ul><br /> </li></ul><br /> <br /> [[File:cde6d4ef-afed-4a49-b6a5-6118038bb96a]][[File:06d52530-645e-4635-ae00-3593d4bbdf72]][[File:d4949f2e-38ef-4192-8e71-3b318c655425]][[File:c97ca198-77ea-419a-9ef5-915f7a4f64a5]][[File:c207e3db-4c12-4d18-886f-049eeb22b70e]][[File:ebb234f5-91f5-4ad1-abd5-6535a81506c7]][[File:527a96fa-b3aa-48b1-acee-7752701845a0]][[File:0533b8c5-0303-46ba-9bcd-1af263678a5d]][[File:ece3bf62-2fef-4104-a7f4-0fafeb8a2852]][[File:3cb88ccb-a60f-4bc4-a2bc-2e6b38c61e19]][[File:88a93d31-a013-4397-b75c-17a72a6bcebe]]<br /> <br /> PRACTICE TYPES 20<br /> <br /> <ul><br /> <li><p>If the company is faced with a debt which is greater than the company’s assets, the company can be wound up and the shareholders have no further liability</p></li><br /> <li><p>Any profits are split between shareholders according to the amount of their shareholding</p></li><br /> <li><p>Shares may be held by persons not employed by the company</p></li><br /> <li><p>More flexible than a partnership – ease of promotion to director without offering a share in the company</p></li><br /> <li><p>Directors removed with far less difficulty than in a partnership</p></li><br /> <li><p>Company does not dissolve when a director leaves or when shares change hands</p></li><br /> <li><p>Companies attract capital more easily than partnerships (important if expansion is planned) as are internationally</p><br /> <p>recognized, whereas partnerships are not</p><br /> <p>Disadvantages of Limited Company:</p><br /> <ul><br /> <li><p>Insolvency Act 1986 – severe penalties for directors who continue to trade whilst insolvent</p></li><br /> <li><p>Governed by Companies Act 2006 – requirement to register with Companies Registrar</p></li><br /> <li><p>Annual accounts must be submitted to Companies Registrars (therefore become public)</p></li><br /> <li><p>Companies can only act in accordance with their purpose and powers as defined in the ‘objects clause’ in the</p><br /> <p>Memorandum of Association</p></li><br /> <li><p>Companies have to wound up which can be lengthy process</p></li><br /> <li><p>Directors tax position is worse than partnership as they are subject to PAYE tax</p></li><br /> <li><p>Can be seen by clients as unprofessional – partners unwilling to be accountable for their decisions</p><br /> <p>Public Company (PLC):</p></li></ul><br /> <br /> <ul><br /> <li><p>Control of the company must remain in hands of architects (ARB ruling), at least 51%</p></li><br /> <li><p>Members of public can buy and sell shares (and get a portion of the profits)</p></li><br /> <li><p>Useful way of generating capital for expansion</p></li><br /> <li><p>Nominal value for each share capital must not be less than £50,000</p></li><br /> <li><p>Use ‘PLC’ after its name</p><br /> <p>Limited Partnership:</p></li></ul><br /> <br /> <ul><br /> <li><p>At least one partner must be responsible for all the liabilities of the partnership</p></li><br /> <li><p>Other partners can contribute capital but have limited liability (provided not part of management of the partnership)</p></li><br /> <li><p>Registered under Limited Partnerships Act 1907</p><br /> <p>Limited Liability Partnership (LLP):</p><br /> <ul><br /> <li><p>Limited Liability Partnership Act 2000</p></li><br /> <li><p>Combines features of a partnership and a company</p></li><br /> <li><p>Legal personality separate from its members</p><br /> <p>Advantages of Limited Liability Partnership:</p><br /> <ul><br /> <li><p>Members can limit their personal liability if a claim is brought against the firm</p></li><br /> <li><p>Internal flexibility of a partnership</p></li></ul><br /> </li></ul><br /> </li></ul><br /> </li></ul><br /> <br /> [[File:4216618e-705a-4046-b179-6f377e060f8e]][[File:5d067019-c172-49c8-a631-a65bb5820b93]][[File:37acbcfa-b5aa-4b31-b99f-87f541f99eee]][[File:520d562a-cffc-472d-939f-bddc6d6390f5]][[File:08160467-5ce1-493f-a276-0ba5af08326b]][[File:c888d635-a8f2-4e88-9664-ffa273374d4d]][[File:96ada55f-6c44-40ae-8c82-25f9f2f036c3]][[File:b2dc8b35-fae5-482a-9deb-a705f42461d0]][[File:16317c34-279f-498b-9e95-129847536096]][[File:13c8a11d-5486-4ec8-a986-78e01e640293]][[File:71e200a2-a617-4e8f-8ed5-630596a7a4a4]][[File:870b06e4-8b1f-4780-8795-31e968869d50]][[File:0b190c61-69f1-4317-8a0c-0695fcbed4ea]]<br /> <br /> PRACTICE TYPES 20<br /> <br /> <ul><br /> <li><p>Tax status of partnerships (profits are treated as personal income, unlike in LTD)</p></li><br /> <li><p>Without burden of joint and several liability</p></li><br /> <li><p>Without external obligations of a limited company</p></li><br /> <li><p>Members can cease membership on reasonable notice</p><br /> <p>Disadvantages of Limited Liability Partnership:</p></li></ul><br /> <br /> Have to publish information about the business finances to Companies Registrar<br /> <br /> Cooperative:<br /> <br /> <ul><br /> <li><p>Members must have particular views in common</p></li><br /> <li><p>Control is on the basis of one member equals one vote</p></li><br /> <li><p>Responsibility and rewards are shared</p></li><br /> <li><p>Minimum of 7 members</p></li><br /> <li><p>Liability of members confined to amount of their shareholding</p><br /> <p>Group Practice:</p></li></ul><br /> <br /> <ul><br /> <li><p>Independent firms of architects associate themselves for mutual benefit</p></li><br /> <li><p>Do not share profits or have joint responsibility to their clients</p></li><br /> <li><p>Share staff, offices, overheads on agreed basis</p></li><br /> <li><p>Have different specialisms to ease pressure is one practice is not doing well</p></li><br /> <li><p>Requires 100% commitment from all participants</p></li><br /> <li><p>Distribution of liability is complex (legal advice required)</p></li><br /> <li><p>Separate PII required (always inform insurers)</p></li><br /> <li><p>5 types:</p></li><br /> <li><p>Group Association – loose association for purpose of sharing experience and knowledge (separate identities/clients)</p></li><br /> <li><p>Shared Facilities – merely sharing accommodation, equipment</p></li><br /> <li><p>Single Project Group Practice – formed for purpose of specific commission and ends when completed</p></li><br /> <li><p>Group Coordinating Firm – similar but one firm coordinates the rest (who also take responsibility to the client)</p></li><br /> <li><p>Group Partnership – partnership of individual firms which practice separately but combine on large/complex projects on</p><br /> <p>regular basis</p><br /> <p>Partnering:</p><br /> <ul><br /> <li><p>Involves two or more organizations (with same basic culture) working together to improve performance</p></li><br /> <li><p>Agreed set of mutual objectives and dispute resolution</p></li><br /> <li><p>Be committed to continuous improvement (service, design, delivering on time, quality)</p></li><br /> <li><p>Based on equality (profits and control)</p></li><br /> <li><p>Mutual objectives – improved efficiency / cost reduction / guaranteed profits / reliable product quality / fast construction / shared risks / reduced legal costs</p></li><br /> <li><p>Project Partnering – one-off project (cost savings of 2-10%)</p></li><br /> <li><p>Strategic Partnering – series of projects (cost savings of 30% over time)</p></li></ul><br /> </li></ul><br /> <br /> [[File:95dc9bc8-776b-465f-976f-0c7535982eb6]][[File:547b766f-ba0d-4a8e-bd22-958ccc0977ac]][[File:266f2adb-3594-493b-9efe-41d7de8a2a9d]][[File:42110573-df42-4d6c-8b2c-cda96ef635ee]][[File:3f13a528-3638-4660-ac24-ff1afa5e3ae1]][[File:22e880c2-371c-45f6-b575-4d10e5a33ca9]][[File:4c5e33f3-7eca-40ba-b039-1e494ca23cf3]][[File:5b7d730c-8a93-4e73-b5c2-b89fb4bbbbf6]][[File:728ff8e7-6c49-4ee5-bfbf-fd223388357d]][[File:e8064c06-2a21-4979-bdd9-09347744a3e6]][[File:464044e9-ed9b-45c5-83c1-b0b297d3dc55]][[File:b69a1acd-ed4b-4748-9da5-9685f0f01f17]][[File:8711882b-2d79-48a8-a065-adfd3550a821]][[File:9a3adcc8-8be7-4a45-be39-0f271e182561]][[File:d45a7cca-07ec-438d-a837-92a8014e5009]][[File:d0f005e0-37f1-4c1f-a551-0bc50844af1c]][[File:955f8b62-4908-48dc-91d5-1e2d8615523e]]<br /> <br /> PRACTICE TYPES 20<br /> <br /> <ul><br /> <li><p>Advantages – reduced disputes / better working environment / improved communication / effective use of personnel / reduced costs</p></li><br /> <li><p>Disadvantages – undermine competitive advantage / clients demand more / disproportionate increase in communication</p></li><br /> <li><p>Seven pillars of partnering – strategy / membership / equity / integration / benchmarks / project processes / feedback</p><br /> <p>Issues to Consider in Forming a Practice:</p><br /> <ul><br /> <li><p>Share of liability</p></li><br /> <li><p>Control</p></li><br /> <li><p>Simplicity / amount of administration</p></li><br /> <li><p>Image / marketing</p></li><br /> <li><p>Forms of appointment for employees (traditional / flexi-time / overtime)</p></li><br /> <li><p>Salaries affordable</p></li><br /> <li><p>How to attract high quality staff – incentives</p></li><br /> <li><p>Holiday entitlement</p></li><br /> <li><p>Training</p></li><br /> <li><p>Policies</p></li><br /> <li><p>Pensions</p><br /> <p>References</p><br /> <p>Architect in Practice – pp. 66-79</p><br /> <p>http://www.direct.gov.uk/en/Employment/Employees/Pay/DG_10026695 http://www.bis.gov.uk/insolvency</p><br /> <p>Exam Questions</p><br /> <p>Mar 2011 QA 06 Practice Types / Partnering<br /><br /> Sep 2011 QA 04 Partnering / Measured Term Contract</p></li></ul><br /> </li></ul><br /> <br /> [[File:5cd6e104-15a7-420a-9baa-679527b306e9]][[File:be422744-c0c8-4f2c-be7a-3c155c8c78b5]][[File:c65b5d0b-4653-4579-b04c-770aec856917]][[File:861cbbe0-12f9-45fa-9958-22baa442bbb1]][[File:af68e4d2-73cb-4703-8879-d35b52e280eb]][[File:98a469f3-d8c5-4b60-bad1-b7993147db30]][[File:7892d76c-e32e-402c-9077-abf6ad52a16f]][[File:c16327f6-7bfc-49bc-bf7e-73d313de63f9]]<br /> <br /> [[Category:Articles_needing_more_work]]</div>

Scigaj https://www.designingbuildings.co.uk/wiki/Employment_relations Employment relations 2019-05-03T21:08:53Z

<p>Scigaj: Created page with "Nevertheless at the beginning it way easier to start as a partnership. It is easy to start formed in writing contract with no registration needed. I would be still seen as profes..."</p> <hr /> <div>Nevertheless at the beginning it way easier to start as a partnership. It is easy to start formed in writing contract with no registration needed. I would be still seen as professional by the clients as I am taking with my partner all liability for my decisions and fully manage practice in case of other partner absence. Compare to sole practitioner I would be easier to generate ideas and attract more work. In case of expansion more capital would be available as new partners need to by themselves in, with private accounts for each. The biggest issue of partnership is joint and several liability for the acts of the partnership to the full extend of each partner wealth, therefore finding a right person is really important in here, and even termination of one of the partners would remove liability from any of them unless the partnership agreement expressly stipulates the contrary, What is long and difficult process. That means if the firm is worth less than the amount of the debt, the partner(s) have to make up the difference from personal wealth.<br /> <br /> [[Category:Articles_needing_more_work]]</div>

Scigaj