Procurement routes

Module Learning Outcomes Assessed:
The intended learning outcomes are that on completion of this module the student should have
the ability to

1. Apply and demonstrate an awareness of the various procurement strategies and tendering
   approaches in use in the construction industry.
2. Evaluate and appraise pre-contract management problems and draw conclusions.
3. Explore a range of estimating methods for construction cost advice – including approximate
   estimating methods, analytical and operational estimating.
4. Apply appropriate tools, techniques and methodologies of project management, to
   plan, monitor and control resources in use for construction projects.
   Task and Mark distribution:
   Scenario:
   Unique Development Plc is considering the construction of a mixed-use business park from a
   property developer (Amey and Partners Ltd). The proposed business park will include: a budget
   hotel with 40 identical units/rooms with an overall gross internal floor area of 1600m2; a
   shopping centre mainly consisting of restaurants/eatery with an overall gross internal floor area
   of 400m2; and a three-storey office building with an overall gross internal floor area of 3500m2.
   The office building is L-shaped with a 4-m floor to floor height and a 700 mm allowance for
   services and ceiling. The proposed start date of the project is May 2019 and expected completion
   date for the whole project to be completed by July 2021.
   Your consultancy firm has been approached to provide critical information and advice on the
   procurement and costing of the proposed project.
   TASK 1 – Procurement and Tendering [40%] - INDIVIDUAL SUBMISSION
   a) Critically appraise two procurement routes and make recommendations for the most
   suitable procurement strategy and contractual relationships between the proposed project
   team. (max: 500 words) [20%]
   b) Critically evaluate the tendering requirements for your recommended procurement strategy,
   considering various factors such as risk apportionment. (max: 250 words) [10%]
   c) Critically evaluate why procurement of construction deliverables is different from other
   products. (max: 250 words) [10%]
   TASK 2 – Estimating, Cost Planning and Price Analysis [30%] - INDIVIDUAL SUBMISSION
   a) Prepare a cost plan and an order of cost estimate in accordance with the NRM 1 for the
   proposed business park considering necessary factors. Make reasonable assumptions as to
   inclusions and exclusions which should be clearly stated. (max: 500 words) [15%]
   b) Dave & Co are considering developing a similar business park with the same specifications in
   Leeds in the 2Q 2020. Determine the proposed cost of this speculative project. Produce a
   supporting statement of not more than 250 words. [5%]
   c) Price the attached Bills of Quantities using favourable and competitive rates. Also provide a
   letter justifying the pricing method and information utilised (max: 250 words). [10%]
   Note: Refer to the New Rules of Measurement (NRM) 1 for the appropriate measurement rules and
   make logical and realistic judgements when using the Building Cost Information Services (BCIS).
   TASK 3 – Project Management [30%] - INDIVIDUAL SUBMISSION
   a) Produce a Work Breakdown Structure (WBS) for the proposed project. [10%]
   Your submission should:
   ?
   identify up to 20 activities.
   ?
   three levels (i.e. level 1 to 3, excluding project level)
   ? WBS Code
   b) Using the information from 3(a) above produce a Network Diagram and Critical Path
   determination. Make reasonable assumptions for the duration. [10%]
   Your submission should:
   ?
   identify the critical path by calculation of both the forward and backward pass.
   ?
   identify non-critical activities.
   ?
   calculate the total floats for each non-critical task.
   c) Identify and briefly discuss two potential costs that will arise if the project is completed late.
   Comment on who bears these costs. [5%]
   d) Evaluate five importance of cash flow management on construction projects. [5%]
   Note:
   Task 3(a) and 3(b) should be done manually or by the use of Microsoft Office. Any use of project
   management software will be penalised.
   Each group will make a professional presentation of its submission (solution).
   Notes:
5. You are expected to use the CUHarvard referencing format. For support and advice on how this
   students can contact Centre for Academic Writing (CAW).
6. Please notify your registry course support team and module leader for disability support.
7. Any student requiring an extension or deferral should follow the university process as
   outlined here.
8. The University cannot take responsibility for any coursework lost or corrupted on disks,
   laptops or personal computer. Students should therefore regularly back-up any work and are
   advised to save it on the University system.
9. If there are technical or performance issues that prevent students submitting coursework
   through the online coursework submission system on the day of a coursework deadline, an
   appropriate extension to the coursework submission deadline will be agreed. This extension
   will normally be 24 hours or the next working day if the deadline falls on a Friday or over the
   weekend period. This will be communicated via email and as a CUMoodle announcement.
10. Assignments that are more than 10% over the word limit will result in a deduction of 10% of
    the mark i.e. a mark of 60% will lead to a reduction of 6% to 54%. The word limit includes
    quotations, but excludes the bibliography, reference list and tables.
    Mark allocation guidelines to students (to be edited by staff per assessment)
    0-39 40-49 50-59 60-69 70+ 80+
    Work mainly Most elements Most elements Strengths in all Most work

Sample Solution