By Jack Masterman
This transparent, well-researched advisor should be helpful to scholars and practicing development execs alike as they paintings with a variety of development procurement structures to settle on the procedure so much fitted to their wishes.
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Extra resources for An Introduction to Building Procurement Systems
Phillips Report (Ministry of Works) (1950) Report on the Working Party on the Building Industry, Chairman Mr J. Phillips, HMSO, London. 3. Emmerson Report (Ministry of Works) (1962) Survey of Problems before the Construction Industries, Report prepared by Sir H. Emmerson, HMSO, London. 4. Banwell Report (Ministry of Public Buildings and Works) (1964) The Placing and Management of Contracts for Building and Civil Engineering Work, Chairman Sir H. Banwell, HMSO, London. REFERENCES 21 5. Economic Development Committee for Building (1967) Action on Banwell Report, National Economic Development Office, London.
The client appoints independent consultants, on a fee basis, who fully design the project and prepare tender documents upon which competitive bids, often on a lump-sum basis, are obtained from main contractors. The successful tenderer enters into a direct contract with the client and carries out the work under the supervision of the original design consultants. 1 illustrates the conventional procurement system in simplified diagrammatic form. 2 Genesis The conventional procurement system has been used by the majority of clients of the industry for at least the past 150 years in order to implement their building projects.
The selection of contractors who will receive tender documents and submit bids can be made in a number of ways but it is usual in the case of conventionally managed projects, particularly if the expenditure of public money is involved, for tenderers to be selected by advertisement, or more often from a list of approved contractors, with the latter method rapidly becoming the norm for all categories of clients. In 1975 the Wood Report  found that the current practice at that time for building projects was that 16% of the sample of public clients surveyed appointed contractors by open competition and 65% by selective competition; a further 14% chose one contractor with whom they negotiated.
An Introduction to Building Procurement Systems by Jack Masterman