Procurement Of The British Construction Industry Essay

Procurement Of The British Construction Industry Essay

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In the British construction industry, the term ‘procurement’ show a series of activities and processes undertaken by the developer or client to secure the construction or refurbishment of a building. The Government Procurement Service define procurement as the ‘whole process of acquisition from the third parties and covers goods, services and construction projects. This process spans the whole life cycle from initial concept and definition of business needs through to the end of the useful life of an asset or end of a service contract.’ ( Arun District Council, 2011)
There are three main types of procurement methods that are commonly used in the British construction industry which are traditional approach (lump sum contract), design and build and management procurement. The diagram shows the traditional procurement route.
Image 1

In the traditional approach, the client is the party who has big influence in the project has thought about why the facility should be built and has organised funding. They will hire professional consultant to design the project in detail, prepare tender documentation, to include drawings, work schedules and bills of quantities. The architect in the design team usually acts as the contract administrator and issues the interim certificate. (Field, Seymour, Parkes, Solicitor, 2012) Contract administrator is responsible for disputing resolution procedure, unless stated in the contract, and certifying payment. There will be a separation between the design and construction work. The client will appoint a main contractor who will be responsible for the whole construction operation.The main contractor will hire several sub contractor to undertake individual work packages.
The design and build procurement...


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...ime certainty and flexibility option. To honour the 1st anniversary of the Bali bombing, the project was needed to be build within 20 week schedule. It was necessary for the site operations to start immediately, although the design was incomplete. Therefore construction management allow design work and construction processes to run parallel. (
In conclusion, Hugh Clamp et al (2012, p. 31) state that “the procurement method will have already been decided by the client either as the result of a company or due to circumstances leaving limited options. Which procurement method is likely to prove the most appropriate in a given situation will depend upon the nature and scope of the work proposed, how risks are to be divided, how and where responsibility for design is to be placed, how the work is to be coordinated and on what price basis the contract is to be awarded.’

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