What is a Traditional procurement route (‘remeasurement’ or ‘measure and value’)?
Same as in a Traditional procurement route (Lumpsum), the Client appoints the design team prior to the appointment of the contractor. The remeasurement option is used when the design is substantially completed but final detail is pending. So there is an overlap in the design and construction process. Contract sum is established only after completion of construction after remeasuring the works on an agreed basis.
Overall the duration of the project will be shortened but there will be a lack of certainty of the final cost of project. So remeasurement option poses a higher risk to the client than the lumpsum option.
The project organisational structure for this option is same as the lumspum option.
What are the advantages & disadvantages of a Traditional procurement route (‘remeasurement’ or ‘measure and value’)?
The advantages are as follows:
- There is a potential for time saving due to overlap in design and construction stage.
- Since the work is tendered on standard approximate quantities, the contractors will submit competitive prices in their tender.
- Changes, if any, can be easily arranged and valued.
- The Traditional route is a well known route and thus ensures confidence in those involved in the project.
The disadvantages are as follows:
- There is less certainty in cost until the project is completed.
- As final price is agreed after remeasurement, there are chances of disputes arising.
- The contractor cannot provide any inputs to the design or planning of the project.
- Until the design is complete, there will be uncertainty in the project timeline.
Reference: RICS Professional Guidance, UK: Developing a construction procurement
strategy and selecting an appropriate route, 1st edition, guidance note