Problem Formulation And Procurement System Construction Essay

Presents, the building industry is germinating towards a phase whereby cost, clip and quality are being stressed and remain the chief demands from the terminal user. Although the usage of traditional method to implement undertaking has been at that place for many decennaries, recent old ages, as undertakings acquiring more complex and necessitate fast path which demand greater accent on direction techniques and technology accomplishments, the traditional attack to implement those undertaking were found to be non effectual ( Bahari Mohd. Ali,1986 ) . ( Collins A, 2009 ) Construction industries in Ghana are confronting Looss holds and hapless quality of a undertaking and most of the contractors are non executing good due to their hapless quality craft. Harmonizing to ( Nicco-Annan, 2006 ) , Clients are incurring cost overproductions of between 60 – 180 % ( sole of rising prices ) and clip overproductions of 12 – 24 months on building undertakings in Ghana today.

Despite the fact that, the traditional procurance system has been practising for rather a long clip, and non merely that but besides since different procurance systems differ from each other in footings of allotment of duties, sequence of activities, procedure and processs etc, some of them still have rather a figure of short approachs and conditions which turns to impact undertaking public presentation.

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Besides the above short approachs, in my point of position, some procurance systems have been classified as best among the other one time since it renders the procurance system procedure more unfastened and transparent and non merely that but besides, it therefore reduces the possibility of command collusion and determines undertaking success.

The chief focal point of this study is effectual execution of design and construct procurance system in Ghana. The study will travel on by giving a clear apprehension of how effectual Ghanese building industries can implement procurance efficaciously. In add-on to this, the first portion of this statement will be establishing on the general description of procurance system.

The statement will stress on different types of procurance systems within the context of both traditional and design-build procurance system in Ghana.

Precisely, the 2nd phase of this study will lucubrate on doing some small comparings of the traditional and design-build procurance system therefore happening out the advantages and disadvantages of both.

After this, the study will be focused on the challenges of design-build procurance system and how design-build procurance system can be implemented efficaciously in the Ghanese building industries.

This done, more visible radiation will be thrown on the analysis and treatment. The study will so be concluded by replying all the inquiries raised in the research inquiries and it will function as a good to do right determination in footings of taking the right procurance system.

Cardinal FIGURES: Traditional procurance, design-build procurance, advantages, disadvantages, effectual and execution.


Construction industry is the anchor of many states, in this regard, the importance of a healthy building industry is beyond uncertainty. ( Riaz, 2004 ) . Harmonizing to Collins A, 2009 ) , the Construction industry world-wide is undergoing a batch of transmutation particularly in the country of procurance due to the of all time altering client demands ; desire to cut down cost and production clip.

Design and construct procurance system is non new to Ghanaians but really little alterations is taken topographic point in design-build procurance system. Most of the building companies are still bringing through the design-bid-build method declining to cognize that the traditional procurance systems are known as doing struggle and division among the contractors which has generated to hapless public presentation, low net income border and hapless morale among advisers, contractors and providers.

However, the ground is that, the traditional procurance system for case, has been examined and its short approach has besides been noticed, criticized and confirmed in the countries of command collusion, long procurement clip, arbitration and possibly more expensive in all cost and this jobs has been defined as inevitable and nil seems to alter this patterns. As a consequence of these, clients from both public and private sectors are non satisfied due to hapless public presentation and they can non foretell the hereafter.

On the other manus it is really of import to implement design-build procurance system to Ghanaians so that it can replace the traditional procurance system. And besides, it is really necessary to place the jobs confronting the Ghanese building industries refering the execution of design and construct procurement systems. Meanwhile, this thesis would travel in front by giving more thoughts about the execution of design-build undertaking in Ghana, every bit good as giving some contemplations on whether the building industries in Ghana are ready for the effectual execution or non.

More significantly, this research can function as alteration for the Ghanaian building industries which are still working with the traditional procurance system to develop on a more practical and comprehensive procurance system which can convey more plus particularly to the public sectors.


In order for this research to accomplish its purposes and aims, the method used will be base on bing information ‘s, general observation and other cyberspace beginnings which will be really utile to the subject. However, this research will be limited within the information gathered on the cyberspace, general observation and bing information from the research workers and will supply replies to the inquiries in the job preparation.

Research inquiries:

What are the challenges in the execution of design and construct procurance system in Ghana?

How to place the success factors in practising design and construct procurement systems

How can effectual execution better quality, cut down cost and salvage clip in the design and construct procurement systems in Ghana?

Procurement systems:

Who said this,

Procurement of building undertaking is highly big because it consist of the act of obtaining something like providers for an ground forces or other organisations, it besides involves the act of garnering different single, shopping composite, Bridgess, roads etc. for a “ client or a client ‘s ” .

On the other manus, procurance comes from the universe procure which has different significances such as ; “ to get ” , “ to derive ” , and “ to obtain ” . System is a manner of working, forming and making something which follows with a fixed program or set of regulations. System can at the same clip intend an organized strategy, procedure or process and technique. Besides all the above definitions undertaking procurance is all about an organized strategy, procedure or process of geting a building undertaking such as schools, shopping complex, offices, houses, Bridgess and roads etc.

( Masterman1996 ) described project procurance as the organisational construction needed to plan and construct building undertakings for a specific client. It is in a sense really true because the procedure of “ obtaining ” a edifice by a client involves a group of people who are brought together and organized consistently in term of their functions, responsibilities, duties and interrelatedness between them. Whiles, the Aqua Group ( 1999 ) described procurance as the procedure of obtaining or geting goods and services from another for some consideration.

Design and Build:

Design and build signifier of contract is the type which has a individual entity, usually a contractor will take duty for the design in whole for building and completion of a building undertaking. Design and physique does the right thing it is asked to make, the employer will use a chief contractor who will be responsible for non merely the building portion of the work but besides the design facet which means it taken the duties of both the building to the completion of the work.

Turner ( 1990 ) and Jansen ( 1991 ) supported that Design and Build contractor is providing the procurance option of “ purchasing ” a finished edifice. While harmonizing to ( Masterman 1992 ) the term Design and Build has about been nem con interpreted and defined as being an agreement where one catching organisation takes exclusive duty, usually on a ball amount fixed monetary value footing, for the bespoke design and building of a client ‘s undertaking. Masterman went to state that, this contains three chief elements: the duty for design and building, contractor ‘s reimbursement is by and large by agencies of a fixed monetary value ball amount and the undertaking is designed and built specifically to run into the clients ‘ demands.

In this instance, it is a signifier of procurance in which the contractor will plan and build the undertaking. However, a qualified squad is appointed either straight by the chief contractor or an initial assignment will be novated. “ Novation ” is the procedure whereby the rights and duties of the employer under the assignment are transferred to the builder. The assignment will still go on in it full execution and consequence but the contractor are owed with the duty of the squad to execute the design services, who in bend is obliged to pay their fees.

Beside, the design adviser is accountable to the contractor and non the employer ; with the contractor as the individual point of duty in the event of a defect in the design or craft of the undertaking. Not merely that but besides the employer will usually necessitate an confidence guarantees from the design contractual protection in the event where the employer has to convey a claim and the chief contractor has to climax trading. The building undertakings are largely non supervised by the designer but by an employer ‘s agent who will publish an interim certification

Advantages of design and physique:

Single point of Duty: Design and construct procurance is good known to supply a individual entity duty which means that it is carried out without any jobber or an go-between like a adviser. Not merely that but besides, the individual point of the contact is between the client and the contractor, in this instance ; the client has the duty in covering with one individual organisation who will hold the duty of all the other facet of the undertaking. Besides, the demand of covering with the interior decorators and the contractors individually is decidedly traveling to be cut down ; once more, it besides helps by apportioning all the design duty and liabilities to the contractor entirely.

Price Certainty: Possibly, the load of the proprietors may cut down due to the fact that, the design and building procurance service is put into the custodies of a individual choice procedure. Not merely that but besides after the awarding of the design and physique contract, the proprietors will non be needed to pass clip and attempt been a jobber and organizing design and building contracts. Whiles ( P. Chan et al. 1997 ; Dennis Turner, 1986 ) gave a verification that, the procedure does necessitate the proprietor to supply prudent inadvertence of the design and building procedure, this duty is considerable less clip consuming and exposes the proprietor to far fewer hazards than the traditional attack.

Effective communicating: is one of the of import factors in footings of design-build procurance system. There is the demand for direct linked between the client and the contractor which can make a room for a good communicating in the design-build procurance system. If the client and the contractor are able to pass on good during the undertaking phase it will enable the contractor to react rapidly to the demand of the client.

Disadvantages of design and physique:

Higher costs: Design-build procurance system is known to be less expensive than that of traditional procurance on a given contract but there is still some uncertainness in the head of contractors. On the other manus, design-build focal point on given a design flexibleness and efficiencies which means that most builders reflect more in cut downing cost but instead bend to increase kink which sometimes result in a higher contract monetary values.

Besides, in this type of procurance it is non possible for the client to acquire the lowest monetary value expected of the undertaking because design-build contract is usually done through dialogue instead than command for a competitory monetary value or the lowest monetary value.

Team plants: design-build procurance system is aim at working as a squad but there are times when jobs or mistake may happen in the drawings, there will non be no 1 to fault due to the fact that design-build work as a squad. In this instance, this could ensue in losingss. Although, design-build focal point on presenting fast and cheaper undertaking, it is non all design-build undertaking that is able to carry through that due to the fact that, it is a squad work so no finger will be pointed any one. Besides, harmonizing to Bread, et. Al. ( 2001 ) , the single-source attack of Design and Build consists of a house or squad of designer, applied scientist, and contractor professionals who are at hazard for the cost, agenda, quality and direction of the undertaking. Therefore, a though survey on the hazard must be identified, examined and analyzed to guarantee the success of the undertaking procurance method.

Limited entree Design-build contract, trade largely with presenting contract based on making and experiences. These systems have the inclination to work against the freshly established contractors who do non hold the experience, the making and can cut down the likeliness of the contract. This can nevertheless, lead to the restriction of competition in the public subdivision in building facet of contracts.

Traditional Procurement.

Traditional procurance is the act in which the employer employs the chief contractor to work on the building facet of the undertaking merely, which does non necessitate the chief contractor to take duties for the design portion. Even though, in this type of procurance the chief contractor is responsible for the building work, he still will hold to name other sub-contractors to set about single undertakings.

Advantages of traditional procurance

Produces lowest command: in this system of procurance, the lowest command is usually the victor establishing on the sort of regulations placed in the tendering procedure by the proprietors. Traditional procurance besides know as design command build systems give opportunity to viing for command for contract unlike the design-build which deals through dialogue of contract.

Guaranting quality control: traditional procurance trades more with quality control, intending that quality in undertaking can be controlled in a signifier of working drawings and specifications, which deals with the footing of the contract between both the organisation and the contractors. This on the other manus opens ways for the organisation to compare the different stuffs and craft of the undertaking under the building with that of the demand.

Disadvantages of traditional procurance

Builders non involved in design procedure: with traditional procurance, the builder does non hold any portion to play in the building until after the design facet of the work is completed and offer submitted non merely that but besides after the awarding of contracts. Meaning the design portion of the undertaking can non intermix with any input by the contractor on the building stuff which may do hold and cut down cost.

Slow: this system is usually known to be really slower than that of the design-build procurance system and it is chiefly because of the nature of the work. Traditional procurance system takes tonss of clip on it working procedure unlike the design-build which is known to be the fast-track method. This is because normally in the traditional procurance method the undertaking can non get down or continue until after the contract of the papers has been signed.

Potential adversarial: another disadvantage of the traditional procurance consists of a possible for adversarial relationships between the contractors and the designer. Largely, there can be instances that, the designer and the contractor will non hold with each other. In traditional procurance, there is deficiency of squad work which can sometimes convey about communicating job which on the other manus cause holds and cost overproduction.

Challenges in design-build procurance system

Construction industry in Ghana is confronting batch of challenges in the design-build procurance system. Basically, building undertaking traveling on in Ghana at the minute is sing cost overproductions, low productiveness or hapless quality work and holds. All this challenges are due to the undermentioned factors ;

Client related factor: the first challenge in design-build procurance is deficiency of client cognition related to an alternate procurance system. Clients finds it really hard to obtain another cognition refering a new procurance system since most of the clients are non professional ( laypersons ) and the contractors are non ready to carry on any signifier of programmes to educate the client sing the advanced procurance method. Due to this, clients are non in any manner ready to follow any other signifier of procurance expect that of the traditional.

Contractor factor: contractors are besides non really good experience in footings of design-build procurance system, this is because Ghanese contractors normally patterns traditional procurance and that is has already dominated in the market sector. Possibly, the public sectors are earnestly utilizing the measurement wage honoring method for design-build system alternatively of the ball amount method which is usually used for design-build system. Most of the private organisations, are besides rawness with the design-build procurance because of the control traditional procurance system have in the market ; in position of this most of the contractors finds it really hard to work for the design-build procurance undertaking. This on the other manus, has stopped the growing of design-build building in Ghana.

Consultant regulation: advisers besides have a function to play in the challenges confronting Ghanaians ‘ in the building industry. There is a considerable consequence of the adviser ain involvement in the choice of the type of procurance through the development of design-build system. The ground been that, most advisers will desire the usage of a good ordered procurance system for the choice standards for the undertaking. Advisers largely take the determination of choosing the traditional procurance because they will non desire to take extra hazard by choosing another unfamiliar procurance system, nevertheless, this can take to decrease in profitableness in the usage of design-build system.

Capacity restraints: design-build is known to be working as a squad but one of the most troubles Ghanaian local industries are traveling through is unequal staff of undertaking squad work. Most of Ghanaians working in the building sector comes to work at their ain clip which does non convey approximately good direction squad. Besides, unequal staffing includes the demand of proficient experts within which the authorities can delegate for the undertaking.

Government and political environment: The building sectors in Ghana are kicking because authorities is lending really small in the development to the growing of design-build procurance. Normally, the authorities of Ghana awards the contract to their ain egos or contract can non be awarded to you if you non associate to anyone in the authorities. And this sometimes discourages most of the people involved in the building industries.

Most building companies in Ghana are exclusive proprietors, headed by enterprisers without expertness in building, and with an involvement in many other Fieldss. Contracts are frequently awarded non to the expert in the industry but people with political, societal and ‘old male child ‘ linkages that deficiency direction, planning, cost control and site direction accomplishments. Many of the contractors can non construe the architectural, technology drawings and specifications by the design advisers and these consequences in building jobs.

Surprisely, the building industry is now cognizant that authorities goes into the design-build procurance merely to derive advantage from it fast tracking system procedure and somehow excludes the advantages it can supply without thought of any other efficient reappraisal. This pattern of the authorities is impacting the usage of design-build procurance for most undertakings.

Effective execution of design – physique procurance

In order for Ghanese building to be implemented efficaciously in design-build procurance system, there are some factors which need to be put in to consideration. Even though, the building industry in Ghana is really floaty and a important subscriber to the national economic system in footings of it grosses domestic productiveness. Government has still non done sufficiency to better upon the research as such, planning, preparation of professionals, educating contractors, undertaking squad committedness and good communicating etc.

Planning: planning should be the really first purpose of really state every bit far as the edifice industry is concern. Besides, harmonizing to the dictionary, planning is said to be the method of accomplishing something that you have worked out in item beforehand. In my point of position, the physique industry in Ghana can be implemented efficaciously in the design-build procurance system if contractors are able to be after and do good anticipations for the close hereafter. Effective execution can be achieved if authoritiess provide adequate tools for the builder in the industry to do planning easier for them. However, there is the demand for good planning to be made in the beginning of really undertaking and besides the demand to follow the programs made for the advancement of building which can assist heighten the execution of effectual design-build procurance. Early planning aid place hazard and follow God schemes to repair the hazard involve. In recent times Ghanaians are sing tonss of fire jailbreak in most of the physique and if good planning ware made on this builds it will be easier for it designation. Good effectual execution will be achieved if all this point is avoided.

Education and preparation: Precisely, Collins, ( 2003 ) define ”education as learning people assorted topics, normally at a school or college, or being taught pieces lucubrating on preparation as the procedure of larning the accomplishments that you need for a peculiar occupation or activity ” . A survey on ducted by ( Luis, 2007 ) indicated that, instruction and preparation employees in an organisation are best defence for safety and security consciousness and it must hence be implemented to heighten the advancement of the organisation aims. To do proper effectual execution in design-build procurance, contractors should be good educated on the different procurance method and so be made cognizant of the hazard involve in de building industries so as to avoid unneeded mistake in both the drawing plants and specifications. Contractors should be train and educate so as to avoid uneffective slow decision-making in all undertakings, within the developer ‘s squad, adviser ‘s squad and the contractor ‘s squad is major troubles facing the building and edifice industry. If Ghanaians are able to avoid these things design-build can be efficaciously implemented.

Undertaking teamwork committedness: undertaking teamwork committedness is really of import in the design-build procurance undertaking and construct undertaking in design-build consist of both the interior decorator contractor working as a squad. Constructing industries in Ghana should cognize that for them to be able to implement design-build efficaciously they should allow their client be their first precedence non merely that but besides to concentrate more on the client ‘s satisfaction and to hold clients involvement at bosom. Meanwhile, Ghanaians in the edifice industry should be a squad and cooperated to the full to the undertaking without holding to experience that the undertaking usually does n’t belong to them so they will set less attempt to work. This done ca n’t non convey approximately effectual execution.

Effective communicating: communicating in the building industry is one of the of import facets in the design-build undertaking method. Normally the undertaking squad consists of different people from different place with different thoughts However, in order for communicating to be implemented efficaciously in Ghana to the design-build procurance


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