COLLABORATIVE CONTRACTING - Group Director/Tay Ter Long Contracts & Procurement Division 21 May 2021 BLF2021 Session
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Punggol Digital District COLLABORATIVE CONTRACTING Group Director/Tay Ter Long Contracts & Procurement Division 21 May 2021 BLF2021 Session 1
Sharing Context • Adoption and execution of Collaborative Contracting in Punggol Digital District (PDD) • Experience so far Punggol Digital District • Thoughts on Collaborative Contracting 2
Adoption and execution of Collaborative Contracting o Collaborative Working o Professional facilitator was Relationship – Yes engaged for the workshop o Dispute Avoidance and Resolution o Preparation Works: – Yes o Discussion with BCA on the o Early Notification/Notice – Yes objectives of the workshop o Partnering Workshop – Yes o Identify list of participants o Proactive Project Management – o Discussion on workshop Yes duration, programme, logistics, o Key Performance Incentives etc (optional) – No o Identify venue and coordinate with venue’s facilities maintenance team Key Partnering Mechanisms Workshops 4
Adoption and execution of Collaborative Contracting o 1 DB Member appointed jointly o Contractor/SO to give early notice to o Frequency of DB meetings = 3 times other party as soon as either party each year becomes aware of any matter which o Fees are as advised by SMC and BCA may: accordingly o Lead to an increase in the Contract o Dispute Board established within 60 Sum days of Commencement of the o E.g. Variation Orders, loss & Works. expense o Authorized Appointing Body for o Result in a delay to the Time or Dispute Board (AAB): Singapore Times for completion International Mediation o E.g. Extension of time claims Centre/Singapore Mediation Centre o Have an adverse impact on the performance of the Works Dispute Avoidance Early Warning and Resolution Register and Notice 6
Experience so far Encouraging parties to come on board Collaborative Contracting Introduced after the consultants were Need to set aside onboard. Important Involves some An experienced & time & $ (~ $11K) for to determine the additional works by good facilitator for the pre-workshop; in adoption of the Consultants, in the Partnering terms of workshop collaborative particular the SO, eg Workshop; ability to program, venue, etc. contracting right in preparing for the create fun, steer the Especially the from the start of the Early Notice, people towards presence of Senior project and to presentation to the meeting the Reps from include this scope DB. workshop objectives. stakeholders & the under the appointed DB consultancy contract. 9
Experience so far Selection of DB Provides an avenue for May not be accepted by the parties to resolve disputes DB can also provide both Parties. May consider amicably. DB, as a 3rd party additional support according multiple DB members that can provides his independent to their Prof. training & both parties can mutually views for parties experience. agree. consideration. 10
Experience so far Structured Approach Good practice to resolve issues, variations, claims progressively & Similar to private sector Provides opportunity (OR expeditiously: Early steering comm mtgs & strict documentation) to resolution by ensuring management of large establish issues for resolute time frames for complex developments but discussion thro’ early notification, substantiation, with detailed structured warning mechanism. verification and assessment mechanisms & processes of such claims in accordance with the provisions of the contract. 11
Thoughts on Collaborative Contracting Punggol Digital District 12
Thoughts on Collaborative Contracting Mindset of Parties Extent of CC Constraints o Collaborative mindset alone o Maximise benefits with o Alignment & parity with other is insufficient Turnkey, D&B projects. projects e.g. Covid related o Discuss issues openly with o Traditional Bid Build issues each other incl the DB - contracts have concluded the o May not be aligned with what’s best for the project detailed design and project Employer’s internal o Disputes raised to DB for time frame – lesser protocols/processes. e.g. RVO assessment / expert opinion room/time for collaboration & processes & Approving are rare as parties try to substantive improvements. Authority accommodate each other o Important to include KPIs / o Need to align dispute (which is good) and to resolve Milestones resolution mechanisms with issues on their own o Include authorities as internal processes. o Not to leave positions to the stakeholders i.e. akin to a o Food for thought: Special end resulting in strain green lane for speedy Development Vehicle for relationship and unclear resolution of design & mega development to have positions for parties to make approval issues. [For complex separate governance in order informed decisions projects] to accord agility and flexibility for decision making 13
Working Relationship: To use best endeavours to work together in a collaborative environment and act in a spirit of mutual trust and cooperation. If you don’t know where you are going, you will end up A mind is like a parachute; it doesn’t work if it isn’t open. somewhere else. Always start with the end in mind. Do Don’t be afraid to experiment and take measured risks. not let the means determine the end.
Sungei Kadut Eco-District Thank you. In accessing or receiving these slides, the viewer or recipient acknowledges that (i) the slides (and any material contained within the slides) are provided for its information only and without any warranty made or liability undertaken on JTC’s part whatsoever, and that (ii) it may not reproduce, share or circulate any part of the said slides or material without JTC’s written consent. 15
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