PMSI has been in business since 1989 as an Owner’s Advisor or Representative for primarily local government projects. As the Representative or Advisor, (not the designer, or the contractor) and since our founding, we have never had a failed project, or missed a project budget or schedule! PMSI has worked with every delivery system, Design-Bid-Build (DBB), Construction Management at Risk (CMc or CMR), Multi-Prime (MP), and Design-Build (DB and ProgressiveDB). In addition to the PMSI experience, Bill Shepler was an owner in a construction management firm for almost 15 years. This firm not only did construction (using every delivery system (DBB, CMR, and DB)), they also were “Developers”, and “Property Managers”. Bill is also a registered engineer with actual design experience, and was in the Navy and spent 2 years in Vietnam with the CB’s doing heavy construction projects. Additionally, Bill is a certified instructor on project delivery methods and teaches “How to Choose a Delivery Method” nationally, which covers all the different delivery methods, along with their benefits and drawbacks.
START WITH THE END IN MIND
One of the most important parts of any large complex project is proper planning. PMSI’s 30 years of experience with Jails, Courthouses, Police Headquarters, Fire Stations, and many other corporate facilities has given us a considerable knowledge base on how to strategically plan out complex projects by getting information from the end users. We pride ourselves on learning what the real needs are of the owner and their staff and then using time tested planning tools to make sure those needs and desires get incorporated into the project plans.
SHOW ME THE MONEY
Complex projects are costly! Because of PMSI’s years of experience, we have data on all types of project costs both hard and soft. We make sure our clients don’t “get left holding the bag” on budget items which get left out. Additionally, we typically come along side our Client’s financial advisors to help determine their revenue sources and find creative ways to make projects happen. Project funding can happen in different ways. Our years of experience has given us the ability to help our clients understand all their options.
THE TRUTH IS
There are those in the market who claim that PMSI is pushing the Design-Build delivery system. Nothing could be further from the truth! PMSI has always presented all delivery methods openly and fairly and allowed the owner to make their final choice. The truth is, over our more than 30 year history, we have done more DBB projects than any other type. It is true that many owners choose Design-Build once they know all the facts. Competitors who make their money on the other delivery methods don’t like for PMSI to educate owners on all the facts.
THE OWNERS BEST INTEREST
The Owner’s Risk is a major factor to be considered in large complex construction projects. Complex drawings and specifications are rarely, if ever, 100% correct.
In 1918, The Brooklyn Navy Yard case established the precedent of the Spearin Doctrine, which has been tested in our courts many times and is still in full effect.
This law says and this applies to (DBB, MP and CMR):
- An Owner who hires a designer provides the contractors with two specific warranties
- First, the plans and specifications are accurate, and
- Second, the plans and specifications are suitable
This means plans are issued by the owner (not the designer or engineer) and the owner is guaranteeing the plans to be complete, correct and sufficient for the job!
- Therefore, the contractor and subcontractors are entitled to change orders for gaps, or for incorrect or un-coordinated information and the Owner will pay for them all!
- DB is the only delivery method that can mitigate this risk!
- CMa (which is not a delivery system) uses a “Multi-Prime” delivery system which puts the Owner at the absolute highest risk of all the delivery systems, because you are guaranteeing every bid package and the designer and CMa provide no warrantee beyond their “Standard of Care” requirements and the owner becomes the referee in all these disputes!
PMSI commonly spends time with local government leaders to help them fully understand the different delivery methods and their benefits.
Listed below is data about the DB approach:
A Penn State Study confirmed:
- DB delivered equal or higher quality as compared to all delivery systems
- DB outperformed DBB as related to:
- Call Backs
- Exterior and Structure
- Environmental and
- DB was 6.1% less costly than DBB, and 4.5% less than CMR
- DB provided faster delivery: 12% faster than DBB, and 7% faster than CMR
- DB had less cost creep: 5.2% less than DBB, and 12.6% less than CMR
- There are also several follow ups to this study by Pankow and CII, and additional studies by the Water council, and Transportation council, and Reed Data. All are national studies and all showing similar results.
So; if someone makes the statement that PMSI wants owners to consider DB, ”you bet ya”. It is our responsibility to make sure our owners have all the facts so they can make informed decisions. With these kinds of stats, it would be inappropriate for us to not share this data with our owners. When it is all said and done, we are not the one making the decisions, the Owner is! We sleep well knowing we have helped our owners to be equipped to make the decision that best suits their needs.
I always loved Paul Harvey, and at least some of you will remember the statement he always concluded his broadcast with: “AND THAT’s THE REST OF THE STORY”. He always brought prospective and insight to his stories, and helped others see the “Big Picture”. To you we offer to show you “THE REST OF THE STORY”. PMSI does not have a delivery system to protect. We are not contractors, designers or have we held any position on any project except as Owner Representatives or Owner’s Advisor. PMSI has no interest to protect other than yours as the Owner.
PMSI is very proud of our long track record of helping owners never miss a budget or schedule. We are confident because of our years of experience, but mostly we find great pleasure in helping our clients get the best project they can afford while making sure it meets their needs and protects them from unnecessary risks.