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Procurement & Contract Strategy
Paul Prescott
Gabriel Olufemi
20 January 2020
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00 Month 2013
"Dentons are a team of really switched-on lawyers who
understand the needs of the client. They look at the
advantages of a long-term relationship, so clients get
value for time and value for money."
Chambers Global, 2019
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Dentons in Qatar
20/01/2020
• Our Doha office opened in October 2007 when the firm was granted a licence by
the Qatar Financial Centre Authority. It is headed by managing partner Safwan
Moubaydeen, who has 30 years of experience practising law in the region and
possesses a comprehensive understanding of Qatar laws, customs and practices.
• Leading the firm's Construction team in Qatar, Andrew Jones joined our Doha
office in 2014. He has over 20 years of experience in construction, projects and
engineering law, having acted for clients in all sectors of the construction
industry.
• Our Doha office provides advice and opinions on Qatari, QFC and English law.
Furthering our key sector strategy, we have a number of specialist lawyers
among our full suite of capabilities, including:
• Construction & Engineering
• Energy
• Transport and infrastructure
• Arbitration
• Dispute Resolution
• Project finance
• Collaboration is key to our partnership with you. In addition to our wide-ranging
experience, you also benefit from our professional associations. We work closely
with major Qatar decision-makers and institutions to ensure you can move your
business forward in Doha.
• Public procurement
• Real Estate
• Labor & Employment
• Corporate/M&A
• Banking & Finance
• Technology, media and telecommunications
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Agenda
4
I. Introduction
II. The Procurement Cycle
III. Objectives
IV. Different types of procurement routes
V. Cost models
VI. Standard form construction contracts
VII. Case study
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5
The Procurement Cycle
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6
Objectives
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7
Procurement Routes
I. Traditional
II. Design and Build
III. Construction Management
IV. Management Contracting
V. Early Contractor Involvement
VI. Partnering
VII. Alliancing
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Procurement Routes – Traditional
Employer
Architect QSStructural engineer
M&EMain
contractor
Sub-contractor
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9
Procurement Routes – Design and Build
Employer
Employer’s Agent
QS/Project Management
Design & Build Contractor
M&E
ArchitectStructural Engineer
Sub-contractor
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Procurement Routes – Construction Management
Employer
Architect QSStructural engineer
M&EConstruction
managerTrade
contractors
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11
Procurement Routes – Management Contracting
Employer
Architect / designers
QS Structural engineer
M&EManagement
contractor
Works contractor
Works contractor
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Procurement Routes Compared
EMPLOYER’S RELATIVE LEVEL OF INVOLVEMENT
Least
involvedMost
involved
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Procurement Routes Compared
SEPARATION OF DESIGN FROM MANAGEMENT
Least
separationMost
separation
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20/01/202014
Procurement Routes Compared
CAPACITY FOR VARIATIONS
Least
capacity
Most
capacity
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20/01/202015
Procurement Routes Compared
CLARITY OF EMPLOYER’S CONTRACTUAL REMEDIES
Least
clarity
Most
clarity
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20/01/202016
Procurement Routes Compared
COMPLEXITY OF PROJECTS
Least
complexity
Most
complexity
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20/01/202017
Procurement Routes Compared
SPEED FROM INCEPTION TO COMPLETION
Slowest Quickest
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20/01/202018
Procurement Routes Compared
CERTAINTY OF CONSTRUCTION PERIOD
Least
certainMost
certain
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Procurement Routes Compared
CERTAINTY OF PRICE
Least
certain
Most
certain
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Procurement Routes – Early Contractor Involvement
Employer
Architect
QS
Structural engineer
M&E
Pre-construction
services
Stage 1
Main Contractor
Building Contract
Stage 2
Main Contractor
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Framework Contracting
1. Employer
defines the
Scope of the
Works
Package
2. Employer
issues
Request for
Proposal (RfP)
to Supplier
3. Supplier
responds to
RfP
4. Employer
evaluates
proposals
received
from Supplier
7. Execution of
Works Package
contract and
commencement of
the Works
6. Employer notifies
the Supplier, and
awards Works
Package
5. Employer
identifies proposal
to be accepted
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Procurement Routes – Partnering/Alliancing
Employer
Partnering Contract
Architect QS
Structural Engineer
M&E
Works Contractor
Target Cost
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Cost Models
I. Lump sum
II. Remeasurement
III. Cost plus/Cost reimbursement
IV. Target cost contract
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Target cost contract
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Target cost - published contracts
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Standard form construction contracts1. The Joint Contracts Tribunal (JCT)
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Standard form construction contracts2. New Engineering Contract (NEC)
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Standard form construction contracts3. NEC4 PPC2000 (Alliancing and Partnering)
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Standard form construction contracts4. Institute of Chemical Engineering (IChemE)
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Standard form construction contracts5. Model Form 1 (MF/1)
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Standard form construction contracts6. FIDIC 1999
7. FIDIC 2017
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Case Study – London 2012 Olympics
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Olympics site 2006
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Delivery Partner – PSC Option G with Task Orders
Olympic Delivery Authority
Delivery Partner
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PLUG project – IChemE Burgundy Book
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Olympics Stadium – NEC3 Option C
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Velodrome – NEC3 Option C
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IBC/MPC – NEC3 Option C
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Handball – NEC3 Option A
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Aquatics Centre – NEC3 Option C
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Landscaping South Park – NEC3 Option C
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Landscaping North Park – NEC3 Option F
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Basketball venue – NEC3 Option A
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Water Polo venue – NEC3 Option A
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Offsite training venues – JCT D&B
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Eton Dorney (Rowing) – NEC3 Option A
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Olympic Village – Management Contact & JCT D&B
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Legacy conversion works – NEC3 Option C
Dentons Sans Light
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Q&A
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