At the beginning of most projects, contractors have a strong bargaining position and can dictate the terms of the contracts. Understanding how these different contract models operate from the outset allows contractors to decide whether it makes sense to pursue a project, develop the “best” price in a competitive manner, and manage the risk associated with these alternative methods.
SMACNA’s new white paper: Construction Contracts: Alternative Delivery Methods on alternative delivery methods serves as a primer for contractors interested in providing services outside of the traditional design-bid-build model.
Construction Contracts: Alternative Delivery Methods is the latest addition to SMACNA’s Contractor Operations Manual. It describes, in detail, the advantages and disadvantages to lump sum contracts, guaranteed maximum price contracts, cost reimbursable contracts, design build, and integrated project delivery.
SMACNA’s Contractor Operations Manual covers the nonfinancial aspects of operating a contracting business and is available free to SMACNA members only.
The collection of books currently in the Contractor Operations Manual include:
- Construction Contracts: Alternative Delivery Methods
- Establishing Overhead and Burden in a Sheet Metal Business
- Guideline to Information Technology
- Materials and Inventory Management
- Principles of Job Costing
- Personnel Policies and Procedures