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Performance Contracting: A Split Personality Contractor's Perspective
January 21, 2007
PowerPoint Version (67 kb)
Key Points Of Performance Based Contracting
Means of promoting innovation
Reallocates more risk to contractor
Suggests using "Best Value Award"
Performance goals should target:
Improving safety
Reducing congestion due to construction
Improving quality
Improving user satisfaction
Different Abilities Required For Contractors To Succeed
Engineering resource (in house)
Research capabilities or experience
Sophisticated planning & scheduling
Financial & bonding strength
Staff to respond to "Best Value" RFP
Conclusions
Performance Contracting can provide increased value in certain situations
You need to be aware of the abilities of your contracting community
It will probably reduce the number of bidders you get on a project
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This page last modified on 03/29/07