Design and build accounts for three times as much construction work
as management contracting and construction management combined, and
has become the main alternative to traditional forms, says a new
study.
According to a 'contracts in use' survey of 1,000 quantity
surveyors, handling œ2.8 billion of work, the value of CM has
plummeted from 19% in 1991 to under 4% in 1993.
The findings come as efforts increase to further boost D&B
through major research. And a group of top contractors and
consultants, led by Roy Paramor of JT Design Build, has pledged
support to the idea of a permanent forum to promote D&B.
The RICS biennial study confirmed a further decline in management
contracting. Having already halved to around 8% by 1991, it dropped
to just over 6% in 1993.
D&B, on the other hand, has soared in popularity, rising from
just 15% in 1991 to 35%, by value.
The downfall of CM and MC has been their lack of cost certainty,
according to RICS. A spokesman said: 'The marked decline of
management contracting and construction management agreements is
partly due to the surge in D&B, but more because neither
provide any certainty over final price. D&B has become the
principal alternative to traditional contract forms. And even where
traditional contracts are being used, our figures indicate the
client's preference for the contractors to be involved earlier in
the design process.'
Last month directors and MDs from seven companies - JT, Amec Design
and Management, Ove Arup, Hutchinson Partnership, John Laing, Kyle
Stewart, and Shepherd - held their first meeting at London's
Horseguards hotel last month. Further meetings with the RIBA and
CIoB are planned and a lobbying grouping may emerge.