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Price formation in Bouwteam projects : negotiating versus aligning the prices during the Bouwteam phase for infrastructure works and services in the Netherlands

Uzun, Mehmet (2022) Price formation in Bouwteam projects : negotiating versus aligning the prices during the Bouwteam phase for infrastructure works and services in the Netherlands.

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Abstract:In the construction industry, an effort is made to shift towards better cooperation between client and contractor to tackle problems that vary from adversarial relationships to issues with costs and quality of projects. Different contract forms or approaches are being recommended and used, one of them being the Dutch ‘Bouwteam’. Currently, the use of Bouwteam is popular for infrastructure projects in the Netherlands. The Bouwteam is a well researched topic and in some cases, several studies investigated the price formation (process) in a Bouwteam. However, there is a lack of research regarding the techniques used during the price formation and their limitations. In this research, an attempt is made to analyse and document how the contractor and client perform the price formation and what their limitations are. This is done with a case study and interviews with experts from the field is used to propose how the contractor and client can set up the price formation (process). As a result, the proposition of this research is a framework (generic model) for the price formation (process) in the Bouwteam phase, that can be used as a guideline or tool for further Bouwteam projects. Besides this, the results show that a concept estimate, better substantiation of the calculations, cost experts earlier in the project and the content of subcontractors’ quotes should be part of the price formation (process). Lastly, negotiating prices should not be seen as something negative but as a tool to keep the parties sharp and honest. Ultimately, transparency is important to maintain trust within the Bouwteam, resulting in a good feeling and confidence in the price formation and the final price.
Item Type:Essay (Master)
Clients:
Witteveen + Bos
Faculty:ET: Engineering Technology
Subject:56 civil engineering
Programme:Construction Management and Engineering MSc (60337)
Link to this item:https://purl.utwente.nl/essays/89634
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