formed as required.
To date, the application of VE has a demonstrated savings potential in the construction industry. More- over, cost savings do not have to be the basic parameter of study. Saving time, improving aesthetics, elimi- nating critical materials, and other functions can be made the objective of a VE study.
One or more of the VE principles is used in every decision process. For example, a design engineer will evaluate cost, performance, and reliability data on pieces of equipment. The final selection will also be in- fluenced by consultation with others. Thus, VE principles are often best applied by strengthening ongoing decision-making systems rather than solely as a postdesign process to seek cost reductions.
CONSTRUCTION
Following the completion of the project design, the acceptance of that design by the client, and the decision by the appropriate authorities to advertise for bids, the project can be said to have moved to the construction phase. During the construction phase, an environmental engineering firm may be involved in any one or more of several different levels of responsibility for the administration of the contracting procedures. If the engineering firm has an involvement during construction, the level of that involvement, in order of increas- ing responsibility and authority, would be one of the following:
1. Contract administration 2. Resident representation 3. Resident engineering 4. Construction management 5. Turnkey: design–construction
In general, each of the various levels of involvement contains the elements of the level or levels above it. That is to say, it is unlikely that an engineering firm would have effective resident representation without contract administration, and in fact, experience indicates such a situation would likely result in difficulty and should be avoided unless overriding outside considerations prevail. The activities, responsibilities, and the authority at each level are summarized in Table 1.41 and described below.
Contract Administration
Contract administration responsibilities do not involve the engineering firm in the contract between the client and contractor. The engineer’s role is to provide assistance to the client within areas of its expertise so that the client may take such action as is required to advance the construction.
Resident Representation
Resident representation, like contract administration, does not involve the engineer in any way in the con- tract between the client and the contractor. The thrust of the engineer’s effort must always be to provide tech- nical and administrative assistance to the client in his or her efforts to manage the construction.
TABLE 1.41 Responsibilities for Construction Activitiesa
Level of responsibility
Turnkey Contract Resident Resident Construction design– Project activities administration representation engineering management construction
Engineering/design phase
1. Detailed design, drawings, and O O O O X
specifications
2. Contract document preparation O O O X X
3. Subcontract packaging O O O X X
4. Construction cost estimation O O O X X
5. Construction scheduling O O O X X
Preconstruction phase
1. Vendor and subcontractor O O O X X
prequalification
2. Bid solicitation and analysis O O O X X
3. Conduct prebid and preconstruction O O O X X
conferences
4. Detailed construction planning O O X X X
Construction phase
1. Submittal of shop drawings, catalog O O O O X
cuts, laboratory reports, test data, and erection procedures to verify conformance with contract drawings and specifications
2. Construction observation and X X X X
documentation, i.e., daily log, of on-site construction activities
3. Expediting of equipment deliveries O O O X X
4. Subcontractor supervision X O O X X
5. Resolution of field problems O O O X X
encountered during construction
6. Status reporting to owner x X X X X
7. Progress payment requests O O X X
8. Verification of conformance with O X X X
contract documents
9. Change order preparation O O X X X
10. Technical decision making O O O O X
11. Community relations O O X X
12. Conduct project meetings O O X X
13. Safety assurance O O O O X
14. Cost and schedule control O O O X X
15. Interface with design engineering X X X X
staff
16. Equipment installation, start-up, O O O X X
The size and complexity of the project, as well as the agreed duties to be performed under resident repre- sentation, will dictate the personnel to be assigned to these responsibilities. Generally, there will be at least one full-time person assigned to the project. In the event of extensive administrative duties, additional on-site per- sonnel may be required. From time to time, it is likely that engineers with specific specialties will be required to adequately perform the duties required under resident representation. The contract with the client should provide for these engineers on an as-needed basis and in addition to the full-time representation.
Resident Engineering
It is possible for an engineering firm to become involved in several different levels of responsibility within the general classification of resident engineering. The differences may be quite significant and could require very careful definition in the contract between the engineer and the client. It is also desirable that the re- sponsibilities of the engineer be clearly delineated in the construction specifications, so that the contractor will know the source of instructions or assistance that may be required.
In contrast to resident representation and contract administration, it is likely that, with resident engineer- ing responsibilities, personnel from the engineering firm may become the limited agents of the client. This authority is limited to the responsibilities assumed by the engineer under the contract with the client and will relate to the client’s participation in the administration of the project. If the client has personnel who have re- sponsibility for facilities maintenance or construction, or if the client chooses to employ an inspection and testing firm, the responsibilities of resident engineering may be divided. Otherwise, the authority and re- sponsibility of the engineering firm will be quite extensive and the compensation should be commensurate.
The individual serving as the resident engineer should possess several particular qualifications. The resi- dent engineer should:
1. Be a registered engineer for the geographical area of the project, and additionally might possess other certifications appropriate to the project
2. Be a proven capable administrator able to manage his or her staff successfully and to maintain the respect of the contractor and the client
TABLE 1.41 Responsibilities for Construction Activitiesa(continued)
Level of responsibility
Turnkey Contract Resident Resident Construction design– Project activities administration representation engineering management construction
Postconstruction phase
1. Final inspection of completed O O X X X
facilities
2. Demonstration of adequate O O O X
process performance
3. Preparation of record drawings O O O X X
4. Development of operation and O O O X X
maintenance manuals
5. Enforcement of equipment O O O X
warranties
3. Possess the technical competence required by the complexity of the project
4. Be knowledgeable or able to quickly become knowledgeable of the engineering firm’s organization and the assistance available to him or her from within the firm and its connections
5. Possess a personality and bearing that will engender a sense of respect and confidence on the part of the people with whom he or she must deal
The balance of the personnel assigned to the project would be subordinate to the resident engineer and would act under his or her direction and control. These individuals would of course vary considerably in numbers, dependent upon the size of the project, and might approximate the following classifications and functions.
1. Project engineer
앫 Serve as acting resident engineer in the absence of the resident engineer 앫 Coordinate and check all engineering and surveying on the project 앫 Maintain the project set of record drawings
앫 Maintain the files of shop drawings and catalog submittals and ascertain that required approvals are in hand prior to the start of work on items requiring submittals
앫 Maintain a current record of job status by items of work
앫 Review the contractor’s requests for payment and advise the resident engineer as to correctness prior to approval
앫 Perform such other duties as may be assigned by the resident engineer 2. Resident inspector
앫 Maintain complete familiarity with the contract requirements pertinent to the type of work to which the inspector is assigned
앫 Maintain complete knowledge of the contractor’s schedule of operations as it affects the individual in- spector in order that he or she may be at the site of work in progress whenever appropriate
앫 Complete all required testing procedures in a timely manner and with as little interference to the work as possible
앫 Report to the resident engineer any deviations from the contract documents as soon as they are observed 앫 Maintain a professional attitude and manner in dealing with contractor personnel in order to foster a
spirit of cooperation toward a common effort to secure a high standard of quality in construction 3. Project clerk
앫 Assist the resident engineer in the administrative responsibilities of the project 앫 Maintain a complete set of files and logs of all paperwork relative to the project 앫 Maintain the posting of all required notices on the project
앫 Be available on the project at all times during working hours to receive telephone messages and corre- spondence.
앫 Foster good public relations by means of a good attitude, manner, and level of competence with all in- dividuals coming in contact with the office of the resident engineer
앫 Assist the resident engineer by maintaining a complete file and log of all material delivery slips for all items delivered to the project by type and data. Insofar as possible, maintain an inventory of delivered materials not yet incorporated in the work in order to aid in the preparation of estimates. As material is incorporated, indicate in the record the location of its use
Construction Management
Unlike contract administration, resident representation, or resident engineering, construction management requires the assumption of direct responsibility for construction as well as for engineering activities. Con- struction management services can be provided by either the engineering firm that designed the facility or
by an independent construction management firm. In either case, the organization providing construction management services must have personnel with expertise in construction techniques, procurement methods, and cost and schedule control, as well as design engineering.
There are three commonly used methods for contracting between the owner and the construction manag- er. These are listed below in increasing order of responsibility for the construction manager.
1. Equipment purchase orders and construction contracts are between the owner and the equipment vendor or contractor performing the work. The construction manager advertises for bids, evaluates the bids, and prepares all purchase requisitions and contracts for the owner’s signature. The construction manager su- pervises the activities of the vendors and contractors; the owner makes payments directly to the vendors and contractors.
2. Equipment purchase orders and construction contracts are issued by the owner as above, but the con- struction manager pays for the services by drawing from a letter of credit established by the owner. 3. The construction manager issues purchase orders and construction contracts directly. As above, payment
is made by the construction manager drawing from the owner’s letter of credit.
The construction manager’s compensation generally consists of agreed upon hourly rates for time spent on the project, plus expenses, plus a percentage of the construction and equipment contracts that are being managed. The percentage is a function of which of the above levels of responsibility is assumed by the con- struction manager.
An organization chart for construction management of a typical wastewater treatment plant is shown in Fig. 1.18. The resident engineering manager is in charge of the construction activities and reports to the pro-
ject manager. He or she also communicates with the engineering manager and start-up manager in order to assure smooth transitions from phase to phase.
Turnkey: Design–Construction
In all of the construction services described thus far, the organization performing the service is assisting the owner or acting as the owner’s agent. A turnkey—design and construction—contract requires a firm to maintain not only responsibility but also ownership until the facility has been constructed, has been started up, and has demonstrated compliance with the performance specifications. Most turnkey contracts also specify a fixed price, which is established at the beginning of the detailed design phase.
Turnkey approaches for wastewater treatment facilities are common in Europe and Asia, where large equipment manufacturers supply most of the equipment themselves, buy what they do not manufacture, and construct the facilities with their own or subcontracted forces. These manufacturers also perform the de- tailed design based upon a preliminary design and performance specifications prepared by the owner.
In the United States, some of the large oil companies use the turnkey approach for a variety of refinery facilities, including waste treatment facilities. Other examples of common turnkey projects include such things as incinerators, SO2scrubbers, and other equipment supplied as a “package,” including detailed de- sign, fabrication, installation supervision, and start-up.