1.

Introduction

1.1. Background

The Cooperative Bank of Oromia (Coopbank) is a leading financial institution in Ethiopia

that provides banking services to individuals, businesses, and organizations. The bank
has a strong presence in the country with over 700 branches and more than 10 million
customers.

In order to expand its services and increase its footprint in the financial district of Addis
Ababa, Coopbank has assigned DAR AL-Handasah consultant for concept design
preparation, tender management, design document review contract management, and
construction supervision of 4B+G+40+2U building using the Design Build (DB)
delivery system.

The financial district of Addis Ababa is a hub for financial institutions and businesses in
Ethiopia. It is located in the central business district of the city and is home to some of
the largest banks, insurance companies, and investment firms in the country.

The district is also known for its modern architecture and high-rise buildings. The addition
of the 4B+G+40+2U building by Cooperative Bank of Oromia will further enhance the
skyline of the financial district.

DAR AL-Handasah is a leading international design and engineering consultancy firm

with over 60 years of experience. The firm has worked on several large-scale projects
around the world, including airports, bridges, and high-rise buildings.

For the 4B+G+40+2U building project at the financial district of Addis Ababa, DAR AL-
Handasah will be responsible for concept design preparation, tender management,
design document review, contract management, and construction supervision.

The Cooperative Bank of Oromia and DAR AL-Handasah consultant had previously
entered into a contract agreement for concept design preparation, tender
management, design document review, contract management, and construction
supervision of a 4B+G+40+2U building at the Financial District in Addis Ababa. The
delivery system chosen was Design-Build (DB).

However, during the concept design preparation phase, it was identified that adding
detail design scope work could have a significant impact on various aspects of the
project, including tender management, design document review, contract management,
and construction supervision. This assessment will explore the effect of adding detail
design scope work and to answer which mode of project delivery system is best
fit.

1.2. The Assessment Objectives

The primary objective of this assessment is to compare the Design-Build and Design-Bid-
Build project delivery systems in constructing a 4B+G+40+2U bank headquarters. The
assessment will analyse the impact of each system on project cost, quality, and
schedule, as well as identify any potential advantages or disadvantages of each system.

Additionally, the assessment will evaluate the suitability of each system for the specific
requirements of the bank headquarters project, including its size, complexity, and budget.
By understanding the strengths and weaknesses of each system, stakeholders can make
an informed decision when selecting a project delivery system for future construction
projects.

1.3. The effect of Adding detail design scope work

1.3.1. Concept Design Preparation

During the concept design preparation phase, adding detail design scope work can have
a significant impact on the project. It allows for a more thorough understanding of the
project requirements, resulting in a better-defined scope of work. This, in turn, enables a
more accurate estimation of costs and timelines, reducing the risk of cost overruns and
delays.

Moreover, adding detail design scope work can result in a more efficient design process.
With a more detailed understanding of the project requirements, the design team can
identify potential issues and address them early on in the design process, reducing the
need for revisions later on.

1.3.2. Tender Management

Adding detail design scope work can also have a significant impact on tender
management. With a more detailed understanding of the project requirements, the tender
documents can be more comprehensive and accurate. This reduces the risk of
misunderstandings and disputes during the tender process.

Moreover, a more detailed understanding of the project requirements can enable the
selection of more appropriate contractors for the project. This, in turn, can lead to a more
successful construction process, reducing the risk of delays and cost overruns.

1.3.3. Design Document Review

Adding detail design scope work can also have a significant impact on the design
document review process. With a more comprehensive and accurate set of design
documents, the review process can be more efficient and effective. This, in turn, can
reduce the need for revisions later on in the project.

Moreover, a more detailed understanding of the project requirements can enable the
identification of potential issues early on in the design process. This can result in a more
thorough review process, reducing the risk of errors and omissions in the design
documents.

1.3.4. Contract Management

Adding detail design scope work can also have a significant impact on contract
management. With a more accurate estimation of costs and timelines, the contract can
be more comprehensive and accurate. This reduces the risk of misunderstandings and
disputes during the construction process.

Moreover, a more detailed understanding of the project requirements can enable the
identification of potential issues early on in the design process. This can result in a more
thorough contract, reducing the risk of disputes and claims during the construction
process.
1.3.5. Construction Supervision

Adding detail design scope work can also have a significant impact on construction
supervision. With a more accurate estimation of costs and timelines, the construction
process can be better planned and managed. This reduces the risk of delays and cost
overruns during the construction process.

Moreover, a more detailed understanding of the project requirements can enable the
identification of potential issues early on in the design process. This can result in a more
efficient construction process, reducing the need for revisions and change orders during
the construction process.

1.4. Choice of Project Delivery System

The choice of project delivery system is a crucial decision for any company. It can have a
significant impact on the success of the project, both in terms of cost and quality. Two
common options are Design Build (DB) and Design Bid Build (DBB). This assessment
aims to provide insights into the selection process between these two systems.

Design Build (DB) is a project delivery method where the design and construction phases
are contracted to a single entity. On the other hand, Design Bid Build (DBB) involves
separate contracts for the design and construction phases.

2.Compiled Literatures recommendations for Choice

of Project Delivery System to be considered.

2.1. Level of Collaboration and Timeline Consideration

When choosing between DB and DBB, several factors should be considered. One of the
most critical factors is the project timeline. If the project has a tight deadline, the DB
approach may be more suitable as it allows for faster project completion times. However,
if the project timeline is flexible, the DBB approach may be a better option as it allows for
competitive bidding and potentially lower costs.
Another factor to consider is the level of collaboration required between the client,
architect/engineer, and contractor. If the client wants to be closely involved in the design
process, the DB approach may be more suitable as it allows for greater collaboration
between all parties. However, if the client prefers a hands-off approach, the DBB
approach may be a better fit.

2.2. Cost Considerations

Cost is another critical factor to consider when selecting a project delivery system. In
general, DB tends to be more cost-effective since there is only one contract with a single
entity. This can lead to lower overhead costs and fewer change orders. However, DBB
may be more cost-effective for smaller projects where the design phase is more critical
than the construction phase.

It is also essential to consider the potential risks associated with each system. In DB, the
contractor assumes more risk since they are responsible for both the design and
construction phases. In contrast, DBB places more risk on the owner since they must
manage two separate contracts.

2.3. Quality Considerations

The quality of the project is another crucial factor to consider when choosing between DB
and DBB. In general, DB tends to produce higher-quality projects since the designer and
contractor work closely together throughout the project. This can lead to better
communication and fewer errors. However, DBB may be more suitable for projects that
require a high level of design expertise.

It is also essential to consider the level of innovation required for the project. DB may be
more suitable for innovative projects since the designer and contractor can work together
to develop new solutions. In contrast, DBB may be more suitable for projects that require
a more traditional approach.

2.4. Legal Considerations

There are several legal considerations to keep in mind when selecting a project delivery
system. In DB, the owner has less legal protection since there is only one contract with a
single entity. This can lead to disputes if issues arise during the project. In contrast, DBB
provides more legal protection for the owner since there are two separate contracts.

It is also essential to consider the level of liability associated with each system. In DB, the
contractor assumes more liability since they are responsible for both the design and
construction phases. In contrast, DBB places more liability on the owner since they must
manage two separate contracts.

3.The bank experience in DB project delivery method

during the construction of 3B+1SB+G+15(THQ)
The DB project delivery method has been gaining popularity in the construction industry
due to its ability to streamline the construction process and reduce costs. In this
Assessment, we will explore the bank's experience with this method during the
construction of a 3B+1SB+G+15 building.

We will examine the benefits and drawbacks of using this method, as well as the
challenges faced by the bank during the construction process.