CH2M Hill's Mark Alpert presents on team structures for design-build and integrated project delivery methods at the 2013 DBIA Water and Wastewater Conference.

1. Team Structures and Project Performance
in the Design-Build / Integrated
Project Delivery Marketplace
Mark E. Alpert, P.E., DBIA
CH2M HILL

2. • Introduction Agenda
• Team Structure
– Engineer-lead
– Integrated design-build without self-performance
– Integrated design-build with self-performance
– Constructor-led
– Other markets
• Owners’ Team Structure Preferences
• Implications for Companies Going Forward

3. Introduction: teams must have a
design-build mindset
Engineer Constructor
Engineer
Engineer + Constructor
+ Constructor + Design-Build Mindset
≠ DESIGN-BUILD = DESIGN-BUILD
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4. OWNERS’ DELIVERY PREFERENCES

5. Typical Design-Build Team Structures
• Engineer-lead
• Contractor-lead
• Integrated design-build without
self-performance
• Integrated design-build with
self-performance
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6. Engineer-Lead
• Will require clear division of responsibility
between engineer and contractor
• Technical complexity
– New/unproven/cutting edge technology
• Stringent project requirements
– Increased effluent quality, consent decree mandate
• David L. TippincommercialFacility, Tampa. FL
Unique Water Treatment requirements
2002 DBIA Water Systems Quality Award
• Owner preference of approach in team structure
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7. Contractor-led
• Will require clear division of responsibility
between contractor and engineer
• Normal structure for transportation market
• Project risk is lower than a complex processing
facility
• Greater site constraints/challenges
• Past experience with project owner
• Larger projectWater Treatment Plant and
Southern Delivery System bonding requirements?
Finished Water Pump Station
• Legislation mandating self-performance
Colorado Springs, Colorado

8. Integrated design-build
without self-performance
• Single firm with full project responsibility
• May or may not be schedule-driven
• Owner wants input into subcontractor/vendor
selection
• Greater involvement from local market
• Legislation may not allow self-performance
• Simple team structure with single point of
accountability
Bonita Springs East Water Reclamation Facility, Bonita Springs, FL.
• MustDBIA Excellence Awardfor Projects over $15 Million
2008 meet security for performance requirements

9. Integrated design-build
with self-performance
• Technical and procurement expertise required
• Local or state legislation or policy mandates self-
performance
• Self-performance potentially cheaper than
subcontracted work
• Must be able to manage all project risks
successfully
• Project cost is critical
• Must meetDBIA National Water/Wastewater Award
Spokane County Regional Water Reclamation Facility, Spokane, WA
2012 security for performance
requirements

10. Planning Market Deliver
Implications for
Practioners
• Decide what structure fits • Define what risk is
best for your firm acceptable to your firm
• Identify personnel who • Inform insurance
can be effective with companies and banks of
selected structure and different business
project requirements approach
• Define what’s a “good • What additional business
deal” for your firm and infrastructure is needed
how much are you willing to be successful
to invest to win
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11. Planning Market Deliver
Get Smart on
What Clients Expect
• Performance guarantees • Transparency in pricing
• Cost of work • Design for design-build
• Financial risk and margin • Project management –
expectations add the right talent
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12. Planning Market Deliver
Deliver Work and Refine
from Lessons Learned
• Choose experienced Design- • Accountability will be key in
Build Manager to lead firm’s performance
team
• Commit core experienced
resources to projects
• Establish pricing criteria that
is market based and meets
firm’s business goals
• Standardized systems and
tools to
control, cost, scope, and
schedule
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13. Significant Opportunities for
Design-Build Delivery

14. Tailor your business to the market and
mandated delivery structures that match
clients and opportunities.
The future is bright for those firms that adapt
to the changing marketplace.