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    FAR EASTERN UNIVERSITY

    Institute of Architecture and Fine Arts

    INTER-FIRM ALLIANCE AND DESIN TEAM ARRANEMENT!

    A RESEARC" #A#ER SU$MITTED T%

    ARC"ITECT ARNULF% DAD%

    $Y

    AMED%& '%"N AEMIEL

    C"UA& '%N EDRIC( A)

    DE 'ESUS& MARIA (AREN F)

    FL%RES& REYNALD% ATARA

    MADARAN& CAESAR IAN

    MANA#UR%& MANA MAD'%S

    R%A& R%SSL%U AIRA

    #AL%MI*UE& RUT" IRIS" A)

    #%STRAN%& R%SE MARIE

    VANUARDIA& ANNE #AULINE

    IN #ARTIAL FULFILLMENT %F T"E RE*UIREMENTS

    F%R T"E RE#%RT

    IN #R%#RAC +& ,ndSEMESTER ,./-,.0

    FE$RUARY ,./

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    Professional Practice 3: INTER-FIRM ALLIANCE AND DESIGN TEAM ARRANGEMENT

    ABSTRACT

    An inter-fir1 a22iance is an or3ani4ationa2 structure to 3o5ern an inco162ete

    contract 7et8een se6arate fir1s and in 8hich each fir1 has 2i1ited contro2) $ecause

    the 6artners re1ain se6arate fir1s& there is no auto1atic con5er3ence in their

    interests and actions) As a resu2t& to dea2 8ith unforeseen contin3encies inherent in

    the inco162ete contract& the 6artners need to 1a9e decisions :oint2;) A tea1in3

    a3ree1ent or desi3n tea1 arran3e1ent in5o25es t8o or 1ore co16anies co17inin3

    resources to 7id on a 3o5ern1ent contract) T;6ica22;& this in5o25es a 2ar3e

    cor6oration and one or 1ore s1a22 7usinesses& 8ith the 2ar3e cor6oration actin3 as

    the 6ri1e contractor to the 3o5ern1ent and the s1a22er co16an; or co16aniesser5in3 as su7contractors to the 6ri1e contractor) The 7i33est ris9 encountered in

    such a3ree1ents is that after s6endin3 ti1e and effort in 6re6arin3 the a3ree1ent&

    the s1a22er co16an; 8i22 not recei5e the share of 8or9 e

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    Professional Practice 3: INTER-FIRM ALLIANCE AND DESIGN TEAM ARRANGEMENT

    OBJECTIVES

    To 3i5e the c2ass additiona2 infor1ation a7out the Inter-fir1 a22iance and

    desi3n tea1 arran3e1ents)

    To 3i5e the c2ass an o5er5ie8 on ho8 different 6eo62e 8ithin an inter-fir1

    a22iance and desi3n tea1 8or9)

    =hat are the ad5anta3es and disad5anta3es of an inter-fir1 a22iance and

    desi3n tea1 arran3e1ent>

    INTRODUCTION

    3

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    Professional Practice 3: INTER-FIRM ALLIANCE AND DESIGN TEAM ARRANGEMENT

    The i16ortance of this is to 9no8 8hat are the do?s and don?ts in the situation

    of inter-fir1 a22iance and desi3n tea1 arran3e1ents) To 9no8 the f2o8 of the 6ro:ect

    to se3re3ate each 6eo62e on their s6ecific :o7 to create a s;ste1 for a 1ore or3ani4e

    tea1)

    INTER-FIRM ALLIANCE

    Introduction

    Inter-fir1 a22iance is an a22iance is co11on2; defined as an; 5o2untar; initiated

    coo6erati5e a3ree1ent 7et8een fir1s that in5o25es e

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    Professional Practice 3: INTER-FIRM ALLIANCE AND DESIGN TEAM ARRANGEMENT

    Consu2tant ser5ices to the architect are out2ined in the architect-consu2tant

    a3ree1ent) These ser5ices& and other contract ter1s and conditions& shou2d 7e

    carefu22; coordinated 8ith those in the architect-o8ner a3ree1ent)

    Services

    As the architect and o8ner esta72ish the ser5ices to 7e inc2uded in the

    architect?s a3ree1ent& 7oth 6arties 1a; consider the need for the ser5ices of other

    desi3n 6rofessiona2s) It is ad5isa72e to re5ie8 the 2ist of ser5ices re@uired to

    acco162ish the 6ro:ect and esta72ish 8ho 8i22 7e res6onsi72e for each) Each

    6rofessiona2 ser5ice identified 1a; 7e 6ro5ided 7; an; of the fo22o8in3

    The architecture firm& throu3h its o8n staff)

    A design professional subcontracted tothe architecture firm) The desi3n6rofessiona2 1a; 7e another architect& an a22iance 6artner& or another fir1 actin3 as a

    consu2tant to the architect)

    A consultant to the owner) This arran3e1ent 1a; inc2ude a construction

    1ana3er& a 6ro:ect or 6ro3ra1 1ana3er& an inde6endent desi3n 6rofessiona2 for

    another 6ortion of the 6ro:ect& or another architecture fir1 6erfor1in3 a 6ortion of the

    architecture ser5ices8ith or 8ithout coordination 7; the architect)

    The owner) The o8ner?s staff 1a; 6ro5ide ser5ices the1se25es or 7; so1e

    other arran3e1ent8ith or 8ithout coordination 7; the architect)

    C2arif;in3 res6onsi7i2ities 7et8een the o8ner and the architect acco162ishes at 2east

    t8o

    Role in ro!ect l"nnin#$ =hen the architect-consu2tant re2ationshi6 is

    for1ed ear2; in the 6ro:ector 7efore the 6ro:ect 7e3ins& in a strate3ic a22iance or a

    tea1 6ut to3ether to ac@uire the 6ro:ectthe consu2tant can 7e in5o25ed in 6ro:ect

    62annin3) The consu2tant then is in a 6osition to co11it to ser5ices& sco6e& schedu2e&

    and fee 7efore the architect 1a9es these co11it1ents to the o8ner)

    T%e resonsi&ilities o' t%e "rc%itect.As the 6ri1e desi3n 6rofessiona2& the

    architect assu1es 6ri1ar; contractua2 res6onsi7i2it; to the o8ner for the accurac;

    and co162eteness of the 8or9 of the architect?s consu2tants)

    DESI(N TEAM ARRAN(MENTS

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    Professional Practice 3: INTER-FIRM ALLIANCE AND DESIGN TEAM ARRANGEMENT

    Introduction

    A tea1in3 a3ree1ent is si1i2ar to a 1e1orandu1 of understandin3 in that it

    sets forth the ter1s and conditions under 8hich each 1e17er 6art; in a desi3n-7ui2d

    tea1 8i22 o6erate) It defines the ro2e of each tea1 1e17ers and their re2ationshi6

    7et8een the 6arties) The tea1in3 a3ree1ent is a 2e3a2 docu1ent since it 8i22 for1

    the 7asis for su7se@uent contracts 7et8een the 6arties shou2d the tea1 is successfu2

    in 7ein3 se2ected for the desi3n-7ui2d 6ro:ect) Accordin32;& each of the 6arties

    enterin3 into a tea1in3 a3ree1ent shou2d o7tain their 2e3a2 counse2?s o6inion 8ith

    res6ect to the docu1ent) =hi2e tea1in3 a3ree1ents 3enera22; in5o25e desi3ners and

    constructors other 9e; consu2tants 1a; 7eco1e in5o25ed de6endin3 on the t;6e of

    desi3n-7ui2d 6ro:ect that is 6ro6osed)

    The 6ro:ect desi3n tea1 1a; 7e a 5er; s1a22 3rou6- e5en a sin32e architect

    8ho has the necessar; e

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    Professional Practice 3: INTER-FIRM ALLIANCE AND DESIGN TEAM ARRANGEMENT

    An association of t8o or 1ore entities for the 6ur6ose of 6erfor1in3 a desi3n-

    7ui2d 6ro:ect)

    The entities 1aintain their se6arate identities and :oin forces& usua22;& for a

    s6ecific 6ro:ect)

    Fro1 7oth a 2e3a2 and a ta< stand6oint a :oint 5enture is 5ie8ed as a 3enera26artnershi6)

    Accordin32;& each :oint 5enture 6artner is :oint2; and se5era22; 2ia72e for 7oth

    the actions and de7ts and o72i3ations of the other 6art;)

    Limited Liability Company

    An entit; 6ossessin3 attri7utes of 7oth a 3enera2 6artnershi6 and a

    cor6oration)

    As the na1e su33ests& the entities in an L)L)C) 2i1it their 2ia7i2it; to the assets

    of the L)L)C) and are not indi5idua22; 2ia72e for its de7ts and 2ia7i2ities) For ta< 6ur6oses& the L)L)C) is treated as a 6artnershi6)

    Prime-Subcontractor Relationship

    The 1ost co11on or3ani4ationa2 structure for 6erfor1in3 desi3n-7ui2d

    6ro:ects)

    This t;6e of re2ationshi6 ena72es the o8ner to recei5e the 7enets of sin32e

    6oint res6onsi7i2it; and accounta7i2it;) An; one of the fo22o8in3 entities 1a; 7e the 6ri1e contractor and su7contract

    the a66ro6riate 6ortion of the 8or9o Constructor Led Tea1

    o Desi3ner Led Tea1

    o De5e2o6er Led Tea1

    %nce the tea1 1e17ers ha5e 7een se2ected and the or3ani4ation

    structure deter1ined& the 6arties ha5e to assi3n the ro2es and res6onsi7i2ities of each

    6art; in the 6re6aration of the tea1?s 6ro6osa2) The; a2so need to address the

    a22ocation of 6ro6osa2 6re6aration costs& the 6rotection and o8nershi6 of condentia2andor 6ro6rietar; infor1ation and the e

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    Professional Practice 3: INTER-FIRM ALLIANCE AND DESIGN TEAM ARRANGEMENT

    The a22ocation of ris9s and re8ards on a 6ro:ect offers a uni@ue

    o66ortunit; for the tea1 1e17ers to ensure that their res6ecti5e interests

    are 6ro6er2; a2i3ned and tru2; interde6endent) The sin32e 1ost i16ortant

    factor in deter1inin3 the 2i9e2ihood of success for a desi3n-7ui2d tea1 is

    the de3ree to 8hich its 1e17ers function as a true tea1)

    Co+ens"tion

    An essentia2 e2e1ent of an; tea1in3 a3ree1ent is the co16ensation to

    7e 6aid to each 1e17er) To so1e e

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    Professional Practice 3: INTER-FIRM ALLIANCE AND DESIGN TEAM ARRANGEMENT

    Adv"nt"#es

    You can 3ather 1ore data and 1ore ideas to create the 7est outco1e for the

    6ro:ect)

    More 6eo62e are 8or9in3& so it 1eans 2esser 8or9 of each 8or9er so the

    6roduction of 8or9 is 1uch easier and faster)

    The di5ision of 2a7e2 is 1uch eas; and 1ore or3ani4e)

    A 6articu2ar 7enet of a :oint 5enture is that it affords the o8ner access to 7oth

    the desi3ner and constructorsG)

    Dis"dv"nt"#es

    =hen the a22iance didn?t 8or9& the 8ho2e 6ro:ect 8i22 turn into a 1ess and

    8orst it 1i3ht 7e ruined)

    This 9ind of set u6& so1e 8or9ers tend to 6rocrastinate)

    A disad5anta3e of the L)L)C) is that& 7ecause its 2ia7i2ities are 2i1ited& o8ners

    are re2uctant to enter into a contract 8ith the1 8ithout so1e for1 of securit;

    3uaranteein3 the L)L)C)Hs o72i3ations)

    $

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    Professional Practice 3: INTER-FIRM ALLIANCE AND DESIGN TEAM ARRANGEMENT

    Reco++end"tions

    A5oid 1isunderstandin3 8ithin the a22iance 1a9e sure that the c2ient and the

    6ro:ect is the focus and the centre of the acti5it;& the 6ro:ect)

    Coo6eration is 5er; i16ortant so 1aintain the 3ood co11unication and

    coo6eration to 6roduce 1ore c2e5er ideas)

    The head of the tea1 shou2d treat each 1e17er e@ua22; 7ecause each of

    the1 has their o8n e

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    Professional Practice 3: INTER-FIRM ALLIANCE AND DESIGN TEAM ARRANGEMENT

    CONCLUSION

    =e therefore conc2ude that "a5in3 an inter-fir1 a22iance and desi3n tea1

    arran3e1ent 1i3ht 7e a too2 for a hu1on3ous triu16h if ;ou hand2e it 6ro6er2;

    or an a7rasi5e fai2ure for each 1e17ers of the 6arties)

    %%

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    Professional Practice 3: INTER-FIRM ALLIANCE AND DESIGN TEAM ARRANGEMENT

    REFERENES!

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