Risk Management

Question 1

What type of provisional sum did you include for? – was it defined/undefined

Answer 1

The sum for the stair pressurisation works was a budget costs, if the design had not been completed by tender stage it would likely have been included as a defined provisional sum.

Question 2

What is the difference between a defined and undefined provisional sum?

Answer 2

A defined provisional sum has prelims and time associated to it within the programme. An undefined provisional sum has no time or prelims associated

Question 3

How did you manage the risk of the rate?

Would agreeing a provisional rate have been more suitable?

Answer 3

As much information was requested as possible, and enquiries with the specialist contractor and their provisional design were interrogated. Costs were assigned to the individual items as supply only costs with installation, labour, delivery, BWIC as additions based on the anticipated works.

Question 4

Whose sub-contractor? Who took risk on the design?

Answer 4

The specialist was employed directly by the client to complete the design works, this was included as a defined part of the £250,000 budget (15%), and the subsequent installation and supply was an estimate