CONS6817 - Building Construction and Procurement Assignment

Assignment Task

Scenario

The new Aotearoa (New Zealand) government that entered into power in 2023, is desperately looking for ways to make more money to urgently pay its dept which has drastically increased due to the pandemic. It believes that investing in big construction projects to ensure sustainable flow of domestic and foreign income is crucial.

Since New Zealand is a small country, it is facing a challenge of a limited resources especially buildable land. It is planning to increase its buildable land by reclaiming more land and build a “Holiday city” on the reclaimed land, to attract tourists from all over the world. This project is expected to be very big and complex as the entire project will be built on a reclaimed land. The project will consist of hotels (3 to 5 stars and medium to large size hotels), parks, restaurants, halls, entertainments areas, Leasure centres, etc. This project will also include structures like bridges and underwater/underground tunnels to easy movements from one area to another within the Holiday city.

The FIFA has approved NZ request to host World cup final for 2026. This creates pressure on the above project to be completed before this big event.

The Client is seeking procurement expert(s) to advise his team on matters relating to the procurement of the projects.

1. Collaborative procurement system

Based on the scenario above, write a report to your client that provides advice on procurement of the project. Refer to the web-link provided below for guidance on how to write a business report:The following should be addressed in your report:

 Literatures Review

Do your own research to find out how the Wellington waterfront and other projects of similar nature from within and outside the country were done (procurement systems, contract type and tendering method used, challenges faced and solutions, etc). This will reinforce your ability to make reasonable assumptions regarding this new project. Please note: This project is well bigger than the Wellington Waterfront. Write one to two paragraph (100-150 words) explaining what you have found/learnt from the literature review. 

Make assumptions on the number of each building/structure required for this project and the size of each in terms of area/coverage/cost etc. Note: you have to make all necessary and reasonable assumptions for the missing or unclear information and clearly state them in your submission.

The client’s needs

a) Extract from the scenario all the client’s needs and any other important information that will guide you in the selection of appropriate procurement systems for this project. (Your literature review and assumptions should enlighten you more on this part). 

Procurement systems

a) The client is interested in Collaborative procurement systems for this project. Explain to the client all available options that could be used in this project. 

b) In tabulated format and in your own words, compare the aims and objectives of the procurement systems explained in part 1 above. 

c) Explain how each system meets and not meets some of the client’s need for this project (should be guided by the client’s needs). Use weighting system.

d) Compare the client’s risks between the procurement systems explained in part 1 and advise how each risk can be mitigated. You should also show the magnitude of the risks by ranking them on a scale of 1 to 5. 

e) Recommend the most suitable procurement system for the project and explain in detail the procurement processes of the recommended system (you can include diagram/sketches to support your explanation). 

f) Advise the client the best contract type for procurement system you recommend and explain your reasonings, and the key features of the contract type you advised. 

g) Propose the most suitable tendering method(s) for the project and explain the reasons for your proposal. 

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