a guide to selecting the best project delivery method for airports ali touran, ph.d., p.e., f. asce,...
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A GUIDE TO SELECTING A GUIDE TO SELECTING THE BEST PROJECT THE BEST PROJECT DELIVERY METHOD DELIVERY METHOD
FOR AIRPORTS FOR AIRPORTS
Ali Touran, Ph.D., P.E., F. ASCE, Northeastern UniversityAli Touran, Ph.D., P.E., F. ASCE, Northeastern University
This presentation is based on This presentation is based on research conducted for the research conducted for the
ACRP-funded project “ACRP-funded project “A01-05: A A01-05: A Guidebook for Airport Capital Guidebook for Airport Capital
Project DeliveryProject Delivery.”.”
BackgroundBackground
Project TeamProject Team
Ali Touran, Northeastern Univ., P.I.Ali Touran, Northeastern Univ., P.I. Douglas D. Gransberg, Univ. of Douglas D. Gransberg, Univ. of
OklahomaOklahoma Keith R. Molenaar, Univ. of ColoradoKeith R. Molenaar, Univ. of Colorado Payam Bakhshi, Northeastern Univ.Payam Bakhshi, Northeastern Univ. Kamran Ghavamifar, Northeastern Univ.Kamran Ghavamifar, Northeastern Univ.
ObjectiveObjective Project Delivery MethodsProject Delivery Methods• InterviewsInterviews
• Pertinent IssuesPertinent Issues
• Selection SystemSelection System
• System validationSystem validation
EXAMPLE APPLICATIONEXAMPLE APPLICATION
OutlineOutline
Develop a Guidebook Develop a Guidebook for airports to help for airports to help
them make the project them make the project delivery method delivery method
decision in a logical and decision in a logical and systematic way.systematic way.
ObjectiveObjective
“the comprehensive process of assigning the contractual
responsibilities for designing and constructing a project. A delivery
method identifies the primary parties taking contractual responsibility for the
performance of the work.”
AGC’s Project Delivery Systems for Construction
Project Delivery Method (PDM) Project Delivery Method (PDM) isis
Delivery Methods ConsideredDelivery Methods Considered
Design-Bid-Build (DBB)Design-Bid-Build (DBB) Construction Manager at Risk (CMR) Construction Manager at Risk (CMR)
or CM/General Contractor (CM/GC)or CM/General Contractor (CM/GC) Design-Build (DB)Design-Build (DB)
Interviewed AirportsInterviewed Airports
OutlineOutline ObjectiveObjective Project Delivery MethodsProject Delivery Methods
InterviewsInterviews
►►Pertinent issuesPertinent issues– Selection SystemSelection System– System validationSystem validation
Analysis & Critique of Pertinent Analysis & Critique of Pertinent IssuesIssues
Framework for the Framework for the PDM Selection SystemPDM Selection System
The framework for the Project Delivery The framework for the Project Delivery Method Selection System consists of Method Selection System consists of the following two tiers:the following two tiers:
Tier 1 – Analytical Approach;Tier 1 – Analytical Approach;Tier 2 – Weighted Matrix Approach.Tier 2 – Weighted Matrix Approach.
Project Delivery Decision Report
Weighted Criteria Decision Matrix
Advantages/Disadvantages
Selection FrameworkSelection Framework
Tier 2 SelectionTier 2 Selection
Delivery Method Considered
Project Goals
Project Description
Tier 1 SelectionTier 1 Selection
Tier 1: Analytical ApproachTier 1: Analytical Approach
Advantages/Advantages/DisadvantageDisadvantages of the s of the PDMsPDMs
Tier 2: Weighted Matrix Tier 2: Weighted Matrix ApproachApproach
ValidationValidation
Testing the PDM selection system Testing the PDM selection system internally;internally;
Contact the interviewees for feedback;Contact the interviewees for feedback; Panel members’ evaluation of the Panel members’ evaluation of the
system;system; Applying the selection system to a real-Applying the selection system to a real-
life project.life project.
Project ExampleProject Example
Tier 1. Analytical ApproachTier 1. Analytical Approach Tier 2. Weighted Matrix ApproachTier 2. Weighted Matrix Approach
Project Example – Tier 1Project Example – Tier 1
Step 1. Create Project DescriptionStep 1. Create Project Description Step 2. Define Project GoalsStep 2. Define Project Goals Step 3. Review Go/No-Go Decision Step 3. Review Go/No-Go Decision
PointsPoints Step 4. Review Advantages & Step 4. Review Advantages &
DisadvantagesDisadvantages Step 5. Choose Most Appropriate PDMStep 5. Choose Most Appropriate PDM Step 6. Document ResultsStep 6. Document Results
Project Example – Tier 1Project Example – Tier 1Step 1. Create Project Description Step 1. Create Project Description
Project Name:Project Name: Logan International Airport Central Parking Logan International Airport Central Parking Garage Renovation and ExpansionGarage Renovation and Expansion
Owner:Owner: Massachusetts Port Authority (Massport) Massachusetts Port Authority (Massport)
Location:Location: Logan International Airport, East Boston, MA Logan International Airport, East Boston, MA
Major Features of Work:Major Features of Work: •Add 3 new levels to the garage. New stair towers, new façade;Add 3 new levels to the garage. New stair towers, new façade;•Install pin (mini) piles to support new structural elements;Install pin (mini) piles to support new structural elements;•Install three new vehicular bridges to existing west garage;Install three new vehicular bridges to existing west garage;•Associated utility relocations.Associated utility relocations.
Estimated Budget:Estimated Budget: $217,000,000$217,000,000
Estimated Project Delivery Period:Estimated Project Delivery Period: 3 years3 years
Source(s) of Project Funding:Source(s) of Project Funding: Parking revenues (bonds Parking revenues (bonds secured by parking revenues)secured by parking revenues)
Project Example – Tier 1Project Example – Tier 1Step 1. Create Project Description Step 1. Create Project Description
Major Challenges:Major Challenges:
•Maintaining traffic and pedestrian flow;Maintaining traffic and pedestrian flow;
•Safety – contractor and general public;Safety – contractor and general public;
•Construction phasing to maintain adequate Construction phasing to maintain adequate temporary parking.temporary parking.
Project Example – Tier 1Project Example – Tier 1Step 2. Define Project Goals Step 2. Define Project Goals
1.1.Effectively renovate existing structure;Effectively renovate existing structure;
2.2.Provide more parking spaces;Provide more parking spaces;
3.3.Improve pedestrian and traffic flow in Improve pedestrian and traffic flow in garage;garage;
4.4.Deliver project on budget;Deliver project on budget;
5.5.Deliver project on schedule;Deliver project on schedule;
6.6.Safe project.Safe project.
Project Example – Tier 1Project Example – Tier 1Step 3. Review Go/No-Go Decision Points Step 3. Review Go/No-Go Decision Points
Project Level IssuesProject Level Issues1. Project size1. Project size2. Schedule Compression2. Schedule Compression3. Schedule growth control3. Schedule growth control4. Early cost precision4. Early cost precision5. Cost control5. Cost control6. Risk management / 6. Risk management /
allocationallocation7. Life cycle cost7. Life cycle cost8. Maintainability8. Maintainability
Agency Level IssuesAgency Level Issues
9.9. Airport experience / staff Airport experience / staff capabilitycapability
10.10.Airport control of projectAirport control of project
11.11.SecuritySecurity
12.12.Control impact on passengers Control impact on passengers and operationsand operations
13.13.Third party stakeholder input Third party stakeholder input to design and constructionto design and construction
Public Policy/Regulatory Public Policy/Regulatory IssuesIssues
14.14.Competition and local talentCompetition and local talent
15.15.DBE/small business impactDBE/small business impact
16.16.Legal and statutory Legal and statutory constraintsconstraints
17.17.Sustainability and LEED Sustainability and LEED certificationcertification
Other IssuesOther Issues
18.18.Adversarial RelationshipsAdversarial Relationships
19.19.Construction ClaimsConstruction Claims
Project Example – Tier 1Project Example – Tier 1Step 4. Review Project Delivery Method Step 4. Review Project Delivery Method Advantages and Disadvantages – 19 Issues Advantages and Disadvantages – 19 Issues
Step 5. Choose the Most Appropriate PDMStep 5. Choose the Most Appropriate PDMProject Example – Tier 1Project Example – Tier 1
Step 5. Choose the Most Appropriate PDM Step 5. Choose the Most Appropriate PDM
Project Example – Tier 1Project Example – Tier 1
In light of Project Goals (from Step 2) and In light of Project Goals (from Step 2) and reviewing PDM advantages/disadvantages reviewing PDM advantages/disadvantages summary table: summary table:
It is readily apparent that CMR is a It is readily apparent that CMR is a more appropriate project delivery more appropriate project delivery
method than DBB. CMR is rated better method than DBB. CMR is rated better than DBB for 14 of the 19 issues. than DBB for 14 of the 19 issues.
Construction Manager at Construction Manager at RiskRiskConstruction Manager at Construction Manager at RiskRisk
Step 6. Document Results Step 6. Document Results
Project Example – Tier 1Project Example – Tier 1
Develop written report describing the Develop written report describing the thought processes and results for steps 1 thought processes and results for steps 1 through 5.through 5.
Although the Tier 1 analysis resulted Although the Tier 1 analysis resulted in a clear selection of CMR as the most in a clear selection of CMR as the most appropriate PDM, the same example appropriate PDM, the same example
project is used in the Tier 2 analysis, in project is used in the Tier 2 analysis, in order to provide an example to follow. order to provide an example to follow.
Project Example – Tier 2Project Example – Tier 2
Step 1. Define Selection FactorsStep 1. Define Selection Factors Step 2. Weight Selection FactorsStep 2. Weight Selection Factors Step 3. Score Project Delivery MethodsStep 3. Score Project Delivery Methods Step 4. Choose Most Appropriate PDMStep 4. Choose Most Appropriate PDM Step 5. Document ResultsStep 5. Document Results
Project Example – Tier 2Project Example – Tier 2Step 1 & 2. Select & Weight Selection FactorsStep 1 & 2. Select & Weight Selection Factors
Project Example – Tier 2Project Example – Tier 2Step 3. Score Project Delivery MethodsStep 3. Score Project Delivery Methods
Project Example – Tier 2Project Example – Tier 2Step 4. Choose Most Appropriate PDMStep 4. Choose Most Appropriate PDM
Construction Manager at Construction Manager at RiskRiskConstruction Manager at Construction Manager at RiskRisk
Highest Weighted ScoreHighest Weighted Score
Project Example – Tier 2Project Example – Tier 2Step 5. Document ResultsStep 5. Document Results
Project Delivery Decision Report Project Delivery Decision Report Outline:Outline:
• Safety of contractors & general publicSafety of contractors & general public• Executive SummaryExecutive Summary• Project DescriptionProject Description• Project GoalsProject Goals• Delivery Methods ConsideredDelivery Methods Considered• Selection FactorsSelection Factors• Weight Selection FactorsWeight Selection Factors• Score Project Delivery MethodsScore Project Delivery Methods• Delivery Method DecisionDelivery Method Decision• AppendicesAppendices
QuestionsQuestions??