The design-build and bid-build processes in custom home construction represent two distinct project management approaches. Finmark primarily offers design-build to homeowners, but we can adapt our process if you prefer the traditional bid-build process and have had the design completed by others. While we feel there are many positive aspects to our process, we wanted to outline some of the aspects of each process to help you better understand what each has to offer.
Here's a comparison of the two:
Design-Build Process
- Single Entity Responsibility:
- One entity, the design-build team, is responsible for both the design and construction phases.
- The homeowner contracts with a single company that handles both design and construction. Finmark provides these offerings on two separate contracts with no obligation to proceed to the construction contract after the design if circumstances arise.
- Integrated Approach:
- The design and construction phases are integrated, providing a clear path to better collaboration, conveyance of design intent and communication between the designer and builder.
- This can result in more efficient and innovative solutions as potential construction issues are addressed during the design phase.
- Cost and Time Efficiency:
- With one entity managing the entire process, timelines are often shorter because the project can move forward without waiting for a bidding process.
- Cost estimates can be more accurate and established earlier, reducing the likelihood of unexpected expenses.
- Streamlined Communication:
- Homeowners have a single point of contact, which can simplify communication and decision-making.
- The streamlined process can lead to fewer changes and less confusion.
- Flexibility:
- The integrated approach allows for more flexibility in making changes throughout the project, as the designer and builder are part of the same team.
Bid-Build Process
- Separate Contracts:
- The homeowner first hires an external designer or architect to create the plans.
- Once the design is complete, the homeowner solicits contractors' bids to perform the construction.
- Sequential Phases:
- The design phase is completed before the construction phase begins.
- This sequential process can lead to longer overall project timelines due to the time required for the bidding process.
- Competitive Bidding:
- Contractors bid on the project, potentially leading to perceived competitive pricing.
- Homeowners may have more control over selecting the lowest or most qualified bid.
- Potential for Miscommunication:
- With separate entities handling design and construction, there can be more opportunities for miscommunication or disagreements.
- Changes or issues during construction may require going back to the designer, potentially leading to delays and additional costs.
- Clear Separation of Roles:
- Responsibilities and risks are more clearly defined between the designer and the builder.
- This can be advantageous if disputes arise, as it is clearer who is responsible for what aspects of the project.
Summary
- Design-Build: Integrated approach with a single entity responsible for design and construction, leading to potential cost and time efficiencies, streamlined communication, and flexibility.
- Bid-Build: Sequential approach with separate contracts for design and construction, potentially offering competitive bidding and clear separation of roles, but possibly leading to longer timelines and more complex communication.
