presents

A History of Design-Build Web Presentation

Wednesday, April 9, 2008 1:00 PM - 2:30 PM Eastern 12:00 PM - 1:30 PM Central 11:00 AM - 12:30 PM Mountain 10:00 AM - 11:30 AM Pacific

Presented by:

Martin(Marty)Sell, AIA, NCARB Benjamin K. Wilking, AIA, DBIA

13945

Upcoming AIA Webinar Programs! Future Topics for Design Build Webinars in 2008: •

Risks and Rewards in Architect Led Design-Build - May 6, 2008 2:00 PM – 3:30 ET – 1.5 LU Sponsored by the AIA Design Build Knowledge Community Registration opens April 10

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Case Study of LEED-CI Gold Project: the International Interior Design Association Headquarters - May 27, 2008 12:00 PM - 1:30 PM (US Eastern time) - 1.5 LUs HSW Sponsored by the AIA Interior Architecture Knowledge Community – Visit http://www.aia.org/ev_int_webseminar_IIDAheadquarters for more information or to register.

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CES Credit To receive AIA CES credit for this event, fax the CES Form B included in your handout to Katherine Gupman (fax 202-626-7760), before 5pm ET tomorrow, April 10th. AIA CES certificates are available for non AIA-members. If you are not an AIA member and would like to request a certificate please email Katherine Gupman ([email protected]) with your name and email address.

2008 AIA/CES Program Completion (Provider Form B) Registered Providers are responsible for reporting to the AIA/CES the names of ALL AIA members. Use this form to report the names of AIA members who have earned credit. Do not alter the format of this form. This document must be kept on file for six (6) years with the Provider Point of Contact.

History of Design Build Program Title (same as on Form A)

B100 Provider Number

I01 Program Number (same as on Form A)

Name of Person submitting this report: Phone number:

AIA Knowledge Provider Name

Katherine Gupman

202-626-8051

Date of Program Completion:

April 9th 2008

City/State:

Washington, DC

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Return this form within two weeks of program completion to: Katherine Gupman at [email protected] or 202-879-7760 (fax). * Non-members who require a certificate please contact Katherine Gupman at [email protected].

Professional Biography Martin (Marty) Sell, AIA, NCARB is the President and CEO of MSA Integrated Project Delivery, a firm providing team based project delivery to clients throughout the Midwest and is also the President and founder of RKETEK.COM, LLC, a consulting, communications and business strategy firm serving the needs of the design and construction community. Marty has an extensive Design-Build background. For fourteen years – serving at varying times in the roles of Project Manager, Principal in Charge, Director of Marketing, Chief Operating Officer and CEO – Marty, helped grow a ten person integrated Design-Build firm into a 150 person firm, and one of the Top 20 Commercial Design-Builders in the country. During that time the firm received numerous awards for architectural design, construction project safety, and outstanding business practices. In the five years that he served as COO and CEO, the design-build firm’s sales grew from $35 million to $135 million annually and the firm tripled in size. Marty managed two separate mergers and acquisitions as a part of the rapid growth of the company. With Marty serving as COO and CEO the company experienced the five most profitable years in its history, including 65 consecutive months of profits. Prior to forming MSA Integrated Project Delivery, Marty managed the rapid growth of an Architect/Developer led Design-Build firm specializing in the indoor water park and hospitality market. In less than four years, the organization grew from less than $20 million to more than $100 million. Marty Sell, AIA has been a member of the American Institute for more than twenty-five years working in both traditional architectural firms and as a design-builder. Marty has also been an associate member of the Associated General Contractors of American and the Associated Builders and Contractors. He was the 2007 President of AIA Wisconsin and is AIA Wisconsin’s AIA150 Champion. Since 1993, Marty has served as a member of the AIA’s Design-Build Knowledge Community Advisory Committee. He is currently is Co-Chair of the committee which serves as the Design-Build educational arm of the American Institute of Architects nationally. In 2002, Marty co-authored the introductory chapter to the Architect’s Guide to Design-Build Services published by John Wiley and Sons in conjunction with the American Institute of Architects. In June of 2003 – Marty was published in Architectural Record magazine in an article entitled “Taking the Brown out of Brownfields” for his work design-build and real estate development work on the Monarch Range Redevelopment project. Currently, he is the author of the history of Design-Build sidebar for the AIA150 publication “Architecture: Celebrating the Past, Designing the Future”. Marty received his Bachelor of Science in Architectural Studies and Masters of Architecture degrees from the University of Wisconsin – Milwaukee. At age 23, he became perhaps the youngest registered Architect in the State of Wisconsin history, and one of the youngest persons ever registered nationally. In 2000, he earned his MBA from the University of Wisconsin – Madison, School of Business. In 1997, Marty was named the UW Milwaukee Alumnus of the Year. He’s held registration as an Architect in the states of Wisconsin, Illinois, Michigan, Minnesota, Iowa, North Dakota, Indiana, Ohio, Pennsylvania and Florida and currently holds certification with NCARB. Marty has also been registered as an Interior Designer in Wisconsin and Minnesota. He is also a member of the faculty of the Architectural and Construction Department at Milwaukee School of Engineering (MSOE) in Milwaukee, Wisconsin, where he is a lecturer on the topics of Real Estate Investment Economics, Architectural History, and Professional Presentation Techniques. Martin Sell, AIA, NCARB – Page 1/3

Speaking References: Design-Build Summit, London, England, UK Architects as Leaders in Design-Build Design-Build Summit, Kansas City, MO Architect as the Prime Contractor in Design-Build AIA Design Build Contract Documents Web Seminar History of Architect Led Design Build and AIA Documents C.A.C.E. Annual Conference, Madison, WI Setting up Knowledge Communities in AIA Components AIA National Convention, Los Angeles, CA Redeveloping Brownfields – Making Money as a Developer Design-Build Project Delivery – Half Day Workshop AIA Wisconsin Fall Workshop, Fond du Lac, WI Architect Leadership in Design-Build Project Delivery Texas A&M University, College Station, TX Leadership Roles in Design-Build Project Delivery CNA/Schinnerer Annual Meeting of Invited Attorneys, San Antonio, TX Design-Build Project Delivery AIA National Convention, Las Vegas, NV Redeveloping Brownfields – Making Money as a Developer AIA New York State/New York City Combined Design-Build Workshop Making Money as an Architect Leading Design-Build DBIA National Convention, Chicago, IL Designer Led Design-Build – The Architect’s Role AIA Western Mountains Regional Conference, Salt Lake City, UT Designer Led Design-Build – The Architect’s Role AIA National Convention, Chicago, IL Design-Build Town Meeting Presentation AIA Minnesota – Duluth Chapter The Architect’s Guide to Design-Build Services AIA Grassroots, Washington D.C. Role of the AIA’s Design-Build Knowledge Community AIA Miami – Spring Architect’s Workshop Turning Brownfields into Green Developments Denver AIA/DBIA Joint Conference and Workshop Return of the Master Builder – Architects in Design-Build Build Boston – Boston Society of Architects The Architect’s Guide to Design-Build Services AIA New York State Convention and Workshop The Architect’s Guide to Design-Build Services Metropolitan Builders’ Association, Milwaukee, WI Proper Estimating and Job Costing AIA National Convention, San Diego, CA Turning Brownfields into Green The Architect’s Guide to Design-Build Services Milwaukee School of Engineering, Milwaukee, WI Design-Build Project Delivery AIA National Convention, Charlotte, NC Design-Build Creates Wealth Turning Brownfields into Green AIA Wisconsin State Convention, Madison, WI Designer Led Design-Build Barcelona Meeting Point, Barcelona, Spain Monarch Range – A Brownfield Redevelopment Project University of Wisconsin Madison – School of Business Changing Delivery Systems in Design and Construction Federation of Environmental Technologists, Various locations in Wisconsin Redeveloping Contaminated Properties Associated General Contractors – Central Illinois Builders Design-Build from an Architect’s Perspective Associated General Contractors – Wisconsin Roles of Professionals in Construction Partnering AGC National Convention, San Diego, CA The Architect’s Role in Design-Build

Martin Sell, AIA, NCARB – Page 2/3

2007 2007 2006 2006 2006

2005 2005 2005 2005 2005 2004 2004 2004 2004 2004 2004 2003 2003 2003 2003 2003

2002 2002

2002 2000 2000 1999 1997 1996 1995

Contact Information: Martin Sell, AIA, NCARB President and CEO MSA Integrated Project Delivery, LLC 201 Corporate Drive Beaver Dam, WI 53916-3117

President and Founder RKETEK.com, LLC N4595 Welsh Road Juneau, WI 53039-9716

www.msa-ipd.com [email protected]

www.rketek.com [email protected]

920-887-4242 phone

920-450-8070 phone

Martin Sell, AIA, NCARB – Page 3/3

Benjamin K. Wilking, AIA, DBIA As the Vice President at LBA Corporate Services, Ben Wilking acts as a liaison between the client and the design studios for design-build projects through each phase of design to construction. Clients include those in K-12 education, health care and senior living and care markets. Success for each project is insured emphasizing two goals: service and teamwork. These two goals, as proven by the many repeat clients at LBA, insure the satisfaction of the Owner. Over his 21 years of experience, Mr. Wilking has gained an appreciation for – and an interest in – the ability to get the project done using a team approach from design through construction. Mr. Wilking has volunteered his time both at a local and national level, supporting various efforts of the American Institute of Architects (AIA), and the Design-Build Institute of America (DBIA). He has been a member of the American Institute of Architects since 1990, served as Secretary of the AIA Denver Chapter in 2000, and President in 2003. He chaired the AIA Denver Design-Build Committee from 1996 – 2002, and served on the AIA Colorado AIA/AGC/ACEC Liaison Committee from 1998 – 2001. Mr. Wilking was the Chair of the AIA Design-Build Knowledge Community in 2006, and is a Certified Design-Build Professional recognized by the Design-Build Institute of America. In 2004, Mr. Wilking served on the AIA Project Delivery Task Force with others from around the nation to determine the future of project delivery and the use of technology among architects, contractors and owners. Mr. Wilking has written several articles, was the principle author of the Design-Build Curriculum Committee’s Certificate of Design-Build at the University of Colorado’s Denver Campus for the College of Architecture and Planning, and co-authored The Architect’s Guide to Design-Build Services, published in 2003 by John Wiley & Sons. His chapter on Teaming for Design-Build was recognized by AIA National as a best practice.

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Architect as Leaders in Design-Build Project Delivery A Continuing Education Webinar of the American Institute of Architects April 9, 2008 Program Sponsor: AIA Design-Build Knowledge Community Presenters: Martin Sell, AIA, NCARB Benjamin Wilking, AIA, DBIA

About this document This program is registered with the AIA/CES for continuing professional education. As such, it does not include content that may be deemed or construed to be an approval or endorsement by the AIA of any material of construction or any method or manner of handling, using, distributing, or dealing in any material or product. Questions related to specific materials, methods, and services may be addressed at the conclusion of this presentation.

Martin Sell, AIA, NCARB

ƒ

20+ Years Experience in Design-Build Companies located in Wisconsin – K-12 Public Schools in WI and IL – Retirement Housing in the upper Midwest – Resort Hotels and Indoor Water Parks nationwide – Integrated Project Delivery for Public and Private Clientele

ƒ ƒ ƒ

President and CEO of MSA Integrated Project Delivery, LLC Founder, President and CEO of RKETEK.com, LLC Co-Author of The Architect’s Guide to Design-Build Services published by John Wiley and the American Institute of Architects Contributing Author to AIA150 History of Architecture Publication 25+ Years Member of AIA; immediate Past-President of AIA Wisconsin; Wisconsin AIA150 Champion Co-Chair of AIA’s Design/Build KC Advisory Committee UW Milwaukee and UW Madison Master Degrees in Architecture and Business Administration Instructor at Milwaukee School of Engineering – Arch/Engineering and Building Construction and presenter in Design-Build Program

ƒ ƒ ƒ ƒ ƒ

Benjamin Wilking, AIA, DBIA

ƒ Vice President and Director of Design-Build, LBA Corporate Services ƒ 2006 Chair - AIA Design-Build Knowledge Community ƒ DBIA Designated Design-Build Professional ƒ AIA National Project Delivery Task Force ƒ Colorado AIA/AGC/ACEC Liaison Committee ƒ Co-Author of The Architect’s Guide to Design-Build Services ƒ 2003 President - AIA Denver

Program Topics ƒ ƒ ƒ ƒ ƒ ƒ ƒ

Introductions and Housekeeping Items Overview of the AIA D-B Webinar Series History of Design-Build Personality Type of Design-Builders Project Delivery Types and Differentiation Questions and Answers Program Conclusion, Credits and CEU’s

Introduction to the Webinars

Martin Sell, AIA, NCARB MSA Integrated Project Delivery Beaver Dam, Wisconsin

D-B Knowledge Community Webinar Series 2008 ƒ Introduction and History of Design-Build ƒ Risks and Rewards in Designer Led Design-Build – Tuesday, May 6, 2008

ƒ ƒ ƒ ƒ

Transforming to an Architect led Design-Build Firm Contract Forms, Legal Risks and Legislation Design-Build in the Public Sector Educating Architects during Changing Times – Anticipate Continuation of Programs in 2009/2010

State of Design-Build Project Delivery Design-Build continues to rise in both Public and Private Business Sectors. “By the end of year 2006 over 50% of all construction projects will be delivered by the Design-Build Method.” Engineering News Record

Architects must recognize that Design-Build is here to stay, therefore to take a Leadership Role they must look to Designer-Led Design-Build and Integrated Project Delivery.

Leadership in Design-Build

“More than half of all D-B projects are structured with the Contractor as the Team Leader.” Rosemarie Buchanan, AIA Chicago Magazine April 2002

Leadership in Design-Build “Forty percent of all new construction in the United States is produced using Design-Build delivery…yet, less than ten percent of the forty percent is led by Architects.” Rosemarie Buchanan, AIA Chicago Magazine April 2002

Cheaper and Faster One study of 350 projects showed the following: Contracting Method

Cost Increase

Design-Bid-Build (traditional) Construction management Design/Build

4.84% 3.34% 2.37%

ƒ Design-Build: no delays (vs. 4.44% normal) ƒ Design-Build: median activity of 9,000 s.f. per month (vs. 4,500 s.f. normal)

Market Penetration of Major Project Delivery Systems

History of Design-Build

Martin Sell, AIA, NCARB MSA Integrated Project Delivery Beaver Dam, Wisconsin

Design-Build Circular History Ancient History

Today

1900

Design and Construction Middle Ages Renaissance

Ancient History

Master Builder or Design-Builder is not a new concept.

Originates in Ancient Greek Society

Greek word for Master Builder was “Arkhitekton”

From which we have derived the modern word “Architect”

Design Build History

For 4,500 years Design-Build “Trend” continues

2630 B.C. Master-builder Imhotep designs and builds pyramids in Egypt; Deified as a “God”

Code of Hammurabi

If a builder has built a house for a man, and his work is not strong, and if the house he has built falls in and kills the house-holder . . .that builder shall be slain! Fortunately, the law has changed. . .

Roman Architect and Master Builder Vitruvius Master Builder Principles ƒ Firmness ƒ Commodity ƒ Delight = Quality, Value, and Design As Architects, we’ve focused on Delight, and relinquished our role as Master Builder

Design History MasterBuild Builder Marcus Vitruvius Pollio ƒ Vitruvius's scope is astonishing. Historians call him the great Roman architect. Most of his books do deal with buildings. But look more closely: − He talks about city planning, building materials, and acoustics. He has a lot to say about timekeeping. − He explains water clocks and sundials. He describes all kinds of pumps. Before he's done, he's written about astronomy, medicine, music, the arts - even contract law. Dr. John H. Lienhard – University of Houston from The Engines of Ingenuity

Medieval History ƒ Tradespeople and Trade Guilds dominate the building environment. ƒ The Mason is the most respected of all Tradespeople. ƒ The coordinator of the work – the leader – is the Architect – the Master Builder. ƒ Buildings are beautiful, complex and technologically advanced under the Master Builder approach.

Medieval History Technological AdvancesThe Flying Buttress

Viollet-le-Duc’s Perfect Cathedral

The Italian Renaissance ƒ A desire by Architects to separate themselves from the Building Trades ƒ A desire by Architects to align with the professionalism of Art and Law ƒ Differences in approach by leading Architects Brunelleschi and Alberti Brunelleschi = Capomaestro = Master Builder

Alberti = Architect and Artist (non-builder)

Capomaestro Filippo Brunelleschi

Dome of the Florence Cathedral Santa Maria Novella, Florence

Master Builder Filippo Brunelleschi

Perspective Drawing Techniques

Church of Santo Spirito

Santa Maria Novella, Florence

Architect and Artist Leone Battista Alberti

Santa Maria Novella

Sant'Andrea Palazzo Rucellai

The American Experience – 1700’s “Thomas Jefferson was an architect, a problem solver and a master builder – and his associates were leaders and master builders. During this period of our history, architects were known as leaders – not only in architecture – but in life.” Richard Swett, FAIA speaking on Leadership by Design - 2004

Monticello and the University of Virginia

The American Experience – 1800’s “It is well know…that in the early part of the present century (1800’s), and for many years before, the architect was commonly the principal contractor for the building…the trade guilds still flourished … so the only way to include a whole building in one contract was to make an agreement with someone outside the trades and let him make sub-contracts with the trades. The person with whom the principal contract was usually made would naturally be the architect.” 1894 by T. M. Clark, FAIA Architect, Owner and Builder before the Law

The American Experience – 1900’s ƒ Early 20th Century – Owners, Architects, and Contractors still often team on project. ƒ The AIA, AGC and other Professional Societies are formed and helped define the differentiation in our industry ƒ The Miller Act of 1935 furthers the separation ƒ And by the late in the 20th Century (1960+) there is a clear division between design and construction ƒ …but only in our industry!

Design-Build Standards

Design and Construction

Why did we separate design and construction?

Split in Design and Construction in the Building Industry 1. 2. 3. 4. 5.

Historic Trend towards Professionalism The Great Depression and WWII The Miller Act of 1935 Growth in Professional Societies Architect’s Aversion to Risk

Trend to Professionalism ƒ Started during the Italian Renaissance in the 15th Century. ƒ Heated up in the United States in the late 19th and early 20th centuries.

1

The Great Depression

2

ƒ Economic depression during the 30’s until World War II limited the amount of new building construction for fifteen years.

The Miller Act of 1935

3

ƒ Significant cause of absolute separation of Design Professionals from Construction Trades. ƒ Law requires a Contractor on Federal contracts that exceed $100,000 to post two bonds. – A Performance Bond – A Labor and Materials Payment Bond

Effects of the Miller Act of 1935 ƒ After The Miller Act of 1935 ƒ Clear separation of Design and Construction. ƒ Owner hires Architect / Engineer to design the Building. ƒ Owner hires the General Contractor to build the Building.

Professional Associations

4

ƒ American Institute of Architects – AIA Established in1857 – Recent Acceptance of Design-Build ƒ Associated General Contractors – AGC Established in 1918 – Design-Build should be Contractor Led ƒ Design-Build Institute of America – DBIA Established 1993 – Re-Combine Design and Construction

AIA’s History on Design-Build ƒ Founding of the AIA – 1857 – Distinct Profession of Architects • Separate from Contractors, Engineers, etc. – Separated from “Package Dealers” • Package Dealer was Synonymous with Design-Builder ƒ Canon of Ethics – Canon of Ethics discouraged Design-Build – Softening of Design-Build Restrictions in 1978

Myth: The AIA Opposes D-B Facts: ƒ AIA’s largest PIA is Design-Build – over 8,500 1st choice; 5,000 2nd ƒ Published D-B contracts since 1985 ƒ Co-Sponsor of DBIA Convention ƒ AIA D-B Handbook (2003) + other Design-Build publications ƒ AIA endorses Designer-Led Design Build

AIA’s Changing Attitude on D-B ƒ AIA Recognized the need for D-B in 1975 – – – – – – – –

1975: AIA establishes Design-Build-Bid Task Force. 1978: AIA allows members to do Design-Build 1985: AIA establishes Design-Build Contracts 1991: AIA policy in favor of using Design-Build in Public Sector 1995: AIA includes Design-Build as a P.I.A. 2003: AIA establishes “The Architect’s Guide to Design-Build Services” 2007: AIA Celebrates 150th Anniversary/includes Design-Build in “Architecture: Celebrating the Past, Designing the Future” 2008: AIA Design-Build Knowledge Community represents 8,500 AIA

AIA on Design-Build “The Design-Build approach returns American Architects to their pre-World War II role, in which they oversaw construction as well as design. Of the design-led project delivery methods, it offers the greatest opportunities but also carries the greatest risk.” Ron Gupta, AIA and Paul Doherty, AIA Architect’s Handbook of Professional Practice 13th Edition

AGC on Design-Build “The leadership dynamic in the (AEC) industry is changing; moving away from the Architect and toward the Constructor.”

“AGC's position on Design-Build has been that the designer is part of the builder's team with the constructor leading the way.” Ralph Johnson, AGC President at AGC National Convention 2001

Why Design-Build? “As a project delivery method, Design-Build may be as old as the Pyramids, but its return seems particularly suited to the needs and pressures of our time.”

“Why? Because Design-Build is about getting things done. It's about designers designing and builders building - and owners maybe even smiling. It's about making money and progress at the same time.” Rob McManamy, Editor-in-Chief - Design-Build Magazine

Architect’s Risk Aversion

5

ƒ Most Architects in the 20th Century have been trained to avoid risk. ƒ In general, architect’s personality types tend to be less risk averse than contractors.

Architects 20th Century Training ƒ Examples of AIA language pre-1978 – The Architect, as agent for the Owners, is there to protect the Owners’ rights. – The Architect is not the Owner and cannot require the contractor make changes. – The Architect cannot guarantee or insure the results (on a building project). ƒ Distant from the Master Builder Principles. ƒ Architects have been taught to avoid Risk.

1969 AIA Handbook of Professional Practice

Design-Build has come Full Circle

“It's like deja vu all over again.” - Yogi Berra

Design-Builder Personalities

Benjamin Wilking, AIA, DBIA LBA Corporate Services Denver, Colorado

History of Design-Build ƒ Creation of the American Institute of Architects (1857) was well received ƒ Fees for a scope of work, rather than itemized charges, set the profession apart from contractors ƒ Schedule of fees created in 1866 ƒ First standard form of agreement in 1888 ƒ Code of ethics created in 1909. Source: Harrison Kubany and Linn, “Why Architects Don’t Charge Enough”, Architectural Record, October, 1999.

History of Design-Build ƒ An AIA task force in 1968 polled architects to determine which services were being provided. ƒ Publication of the results in 1975 indicated that owners preferred a single point of contact on projects. ƒ AIA Design-Build contracts were first published in 1985 (last updated in 2004). Source: Harrison Kubany and Linn, “Why Architects Don’t Charge Enough”, Architectural Record, October, 1999.

History of Design-Build

“Members may not engage in building contracting where compensation, direct or indirect, is derived from profit on labor and materials furnished in the building process except as participating owners.”

Source: AIA Ethical Rule 404, 1977.

History of Design-Build “The AIA maintains that projects can be effectively designed and constructed by a variety of delivery methods, including but not limited to Design-BidBuild, Design-Build, and negotiated select team. The AIA also believes an architect is the most qualified to lead alternative project delivery teams, and advocates that architects should be retained in that role regardless of which delivery method is used.”

Source: AIA Position Statement No. 26 (Sept. 2005).

The Architect’s World

The Architect’s World

ƒ Architect’s goals: − Quality design − Solution that meets the program − Direct communication with Owner − Sufficient time spent exploring options − Meet all code requirements − Satisfied Owner at project completion.

The Architect’s World

The Contractor’s World

The Contractor’s World ƒ Contractor’s goals: − Project completed under Budget − Project completed on Schedule − No design errors or omissions − Readily available building materials − Quality subcontractors on the job − Oversight of all risk management issues − No claims due to job site safety.

The Contractor’s World

Architects = INTJ ƒ ƒ ƒ ƒ ƒ ƒ ƒ ƒ

Deep thinkers Creative, idealistic, planners Individualistic Logical, philosophical Often introverts Risk adverse Priority on aesthetics High “NT” scores.

Contractors = ISTP, ISFP, ESFP ƒ ƒ ƒ ƒ ƒ ƒ ƒ

Like hands - on work Prefer facts to theory Enjoy group work, outdoors Emphasize cost and schedule Extroverts or introverts Risk Takers High “SP” scores.

Design-Builders? INTP or ENTP ƒ Practical problem solvers ƒ Like skilled partners ƒ Logical but creative. ƒ Take the test online: – www.humanmetrics.com – Have your staff take; discuss the results – Know what you have to work on

Basic Services ƒ Traditional DesignBid-Build

59.3%

ƒ Design-Build

13.5%

ƒ Construction Management

13.6%

ƒ Construction Management at Risk

10.0%

ƒ Other

3.6%

Source: 2006 AIA Firm Survey

Basic Services Among Firms NUMBER OF EMPLOYEES 5-9

10-19

20-49

Planning and predesign

11

14

12

13

11

12

9

10

Basic design

62

63

65

63

64

60

62

63

Expanded design

8

6

8

7

7

8

7

9

Nonarchitectural design

7

2

2

3

3

6

15

9

Construction services

SERVICE CATEGORY

ALL FIRMS

1

2-4

50-99

100+

8

9

9

9

10

11

5

6

Operation and maintenance 1

0

0

0

2

1

0

0

3

6

3

5

4

2

2

2

Other services

Source: 2006 AIA Firm Survey

Construction Services

CONSTRUCTION SERVICES

ALL FIRMS 1

2-4

5-9

10-19

20-49

50-99

100+

Construction management

17%

16%

16%

18%

18%

18%

24%

28%

Design-Build

14%

8%

14%

15%

17%

19%

25%

33%

Construction procurement

4%

4%

3%

5%

6%

7%

5%

4%

Other construction-phase services

3%

3%

3%

3%

2%

3%

5%

4%

Source: 2006 AIA Firm Survey

Design-Build Methodology

Benjamin Wilking, AIA, DBIA LBA Corporate Services Denver, Colorado

What is Design-Build? ƒ Many variations: – Turnkey – Design and Construction Management – Design-Build – Design-Build-Operate-Maintain – Design-Build-Finance-Operate-Maintain – Develop-Design-Build ƒ One thing in common = One Contract + Single Source Provider

Design-Bid-Build Owner

Architect

GC Contracts Communication

Design-Bid-Build ƒ Most common form of project delivery – Three phases, three prime players – Independent contracts between architect/owner and contractor/owner – Linear sequence of work – Common with public owners with requirements to select low bid

Source: AIA/CC Handbook on Project Delivery

Construction Management Owner

Architect

GC Contracts Communication

Construction Management ƒ Construction manager added to team to oversee the project − CM not licensed in most states − Used for public and private projects that are more complex − Four players: owner, CM, architect, contractor − Four phases

Source: AIA/CC Handbook on Project Delivery

Design-Build Owner

D-B Contracts Communication

Design-Build ƒ Owner contracts with a single entity – Both design and construction services – Contractors more commonly head the team – Single point of responsibility – Not legal in all states – Two players

Source: AIA/CC Handbook on Project Delivery

Single Point of Responsibility ƒ Advantages − Single source of responsibility − Shortened project delivery time − Early commitment to cost − Minimizes owner’s risks − Reduces change orders − Minimal construction delays.

Source: AIA/CC Handbook on Project Delivery

Single Point of Responsibility ƒ Disadvantages – Complex delivery method – Lack of direct communication between owner/architect and owner/contractor – Potential for compromises in quality to meet budget – Perceived conflict of interest.

Source: AIA/CC Handbook on Project Delivery

Single Point of Responsibility ƒ Architects typically have the initial contact with the owner ƒ Early decisions are best made by the architect ƒ Owners view architects as trusted advisors and licensed professionals ƒ Architects are able to present options and communicate with owners well ƒ More logical since it follows the natural, chronological sequence of involvement ƒ Owner is familiar with the architect as an agent during construction ƒ Unique design features can be given a priority.

Single Point of Responsibility ƒ What prevents architects from taking charge: − Misunderstanding of Design-Build − Lack of knowledge regarding Design-Build − Not risk takers by nature − Not comfortable with making the financial investment − Not able to secure a bond for public work − Perceived conflicts of interest.

Architect-led Design-Build ƒ ƒ ƒ ƒ ƒ ƒ ƒ ƒ

Overall project management Better design control Shortened schedule Reduced risk and litigation Market differentiation Improved client satisfaction Increased profits Renewed enjoyment through building.

Getting Started ƒ Confirm business model ƒ Research necessary risk management coverage ƒ Brainstorm policies and procedures ƒ Hire an experienced general contractor ƒ Seek out familiar project types ƒ Start with small projects ƒ Take notes and learn as you go ƒ Share rewards with the team.

Today’s Role ƒ The design and construction industry is on the edge of an enormous change: – Projects will be completed faster as a team – Drawings for clients will be in 3-D – Results will be of more value than the process – Clients need to be understood on their terms – Design and construction fields have not embraced process innovation – Clients and contractors should be more involved in the design process – The “Next Architect” can be the leader to manage the future teams in design and construction. Source: The Next Architect, by James C. Cramer

Architect-led Design-Build

Today’s Role

Architecture on the Edge

“If you want to survive, you’re going to change; if you don’t, you’re going to perish. It’s as simple. as that.” Thom Mayne, FAIA, 2005 Pritzker Prize Winner, during the Building Information Modeling Panel Discussion at the 2005 AIA national convention in Las Vegas

Program Credits AIA Design-Build Knowledge Committee www.aia.org/db AIA National Staff and Support Katherine Gupman: [email protected] Kathlene Lane: [email protected] Program Presentation Coordinator Sasha Henderson: [email protected]