| dc.description.abstract | Different contract types means different incentives, burdens and relationships. The contract type responsibilities and price should be in accordance with the project needs and organization capacities, not knowing this could entail less project profitability and chances of success. It is necessary to understand the alternatives and how they behave, in order to develop the right strategies to avoid overruns and improve the project quality. The goal of this thesis is to develop a decision analysis model for contract type selection. This model will become a useful tool for contractor and client preferences in an easy and effective way.
In the literature, there are plenty of documents that describe the characteristics of the contract types but very few about how to select them. Decision analysis is a powerful tool that will help us to bring clarity of thought in this process; during this thesis it is described what is a project, its phases, activities and the components that comprise it, in the same way it is presented the contract management life cycle, where this thesis fits in and which type of contract types will be analyzed based on the FAR-16 (Federal Acquisition Regulation Part-16).
In the decision analysis sections, the methodology of the process will be shown and the decision model will be developed. This model attempts to link and assess the contract types alternatives differentiators and the client and contractor preferences in order to quantify the costs and benefits of each type, also which could be the best option. One priority of this thesis is to understand the synergetic relationship between contract type, contract management, project management and contract price, in order to take the best decision, increasing the probability to achieve a successful project execution.
As application example, a contract type selection for the EPCI (Engineering, Procurement, Construction & Installation) of a topside for a semisubmersible platform is presented. Here, we will measure and assess the characteristics of the contract types using the information contain in a topside cost estimation exercise. The @Risk software will be use to model the cost components and estimate the different prices for each contract type. Useful information to achieve a high-quality decision will be shown, and the reader may be the final decision maker about which contract type is the best one.
There has not been found specific information about this subject (decision analysis in contract type selection),the statements presented, evaluation criteria, and data contained are theoretical. Furthermore, all feedback will be welcome and helpful to improve and validate the model across the time.
Please send any comments to: felipe_medinasw@yahoo.com | nb_NO |
