CONSTRUCTION CONTRACT RELATIONSHIPSCollaborated with senior Project manager, RambollExperience -24 years(3 years in India)PROCUREMENT Procurement process Bidding Contract (Lump sum, Budget ,Hour rate) Approval Beneficial contract for consultant is Lump sum.CONTRACT Design & Build consumes less time compared to the traditional contract. Freedom of work is less for a consultant in Design and Build compared to the contractor The risk for consultant, Traditional contract -Minimum Design&Build contract-MaximumEXAMPLE SWEDEN- works mostly on budget contract. INDIA Consultant firm works 90-95% on lump sum Contractors works 95% on Design &BuildPATNERING Helps doing international projects for gaining local knowledge. Risk is shared. Contract is highly important-bad contract leads to failure of projectCONCLUSION Benefits of consultant and the contractor are budget and design-build. Procurement, Contract and Partnering is all about trick of transferring risk. Therefore communication is highly important. Risk is proportional to the money involved Consultant firms gets 1-4% of the overall construction costCONSTRUCTION CONTRACT RELATIONSHIPS USE OF DESIGN BUILD CONTRACTS IN U.S. AND U.K. INTRODUCTION Design and build is a single source approach. It overcomes some of the hurdles in the traditional design-bid-build. It is beneficial for Client since the risk is transferred to the contractor. PROCUREMENT PROCESS The client makes RPF package with design criteria and advertised. The contractor proposes to the owner with qualifications and preliminary design in one section and sealed price proposal in the other. The selection of the favorable proposal is made by selection committee of the client. FACTORS FOR SELECTION Establish Cost Reduce Cost Establish Schedule Shorten Duration Reduce Claims Large Project Size/Complexity Constructability/Innovation RANKING Selection FactorsUSUK Shorten Duration11 Establish Cost22 Reduce Cost33 Reduce Claims55 Establish Schedule64 Construction/Innovation46 Large Project Size77 CONCLUSION U.K. is more focused towards schedule whereas for U.S. it is introducing construction knowledge since they encourage innovation. Above all the important factor for the Design & Build selection is reduced time consumption compared to the traditional contract. The common focus factor for both the U.S.& U.K. is found to be construction cost.