This module helps students develop a critical understanding of construction procurement. It introduces students to key contemporary theories and cutting-edge...

Construction Clients and the Market for Contracts (BCPM0004)

This module helps students develop a critical understanding of construction procurement. It introduces students to key contemporary theories and cutting-edge case studies that will help them develop a multifaceted understanding of the procurement process.

Particular attention is devoted to Transaction Cost Economics, which is especially suitable to assess problems connected with interest alignment along the supply chain and the design of governance (contractual) arrangements that maximise the profitability of projects. In addition, Auction Theory and Agency Theory are introduced to understand how price negotiation and risk allocation occur between client and contractor.

The module begins with an introduction to the institutional aspects of procurement methods, including Traditional method, Design-Build method, Management Contracting, the Private Finance Initiatives (PFI), and other types of Public-Private Partnerships (PPPs). To help address the key issues in this area, PFI is used as an example to illustrate the complexity of the procurement process.

The module is made up of five classes addressing the following topics:

Introduction to construction procurement. An overview of the module
	Selection of an appropriate procurement method. How to govern the procurement process? (Transaction Cost Economics)
	Determination of contractual terms. How should incentives be set? (Agency Theory)
	Selection of a preferred bidder. How to select suitable award mechanisms? (Auction How to select the suitable award mechanisms? (Auction Theory)
	Project implementation. Case study applications

Intellectual History|Interdisciplinary Studies|Interdisciplinary Thinking|Philosophy|Political Theory|Politics

On this course students will get to grips with the some of the most basic and most important questions that political thinkers have struggled with over the...