ECI delivers value for developers
Early contractor involvement – or ECI – is rarely used by developers when assessing options at the front end of development planning and construction, leaving opportunities and money on the table.
ECI is not new to the construction industry, however, it is a different approach for development site enabling works typically managed by a head contractor or builder on the developer’s behalf.
A collaboration between the developer and enabling works contractor, ECI is a transparent approach to identifying best options for the demolition method, works sequencing, hazmat risk management, and remediation, ultimately delivering commercial value to the developer through reduced costs, schedule, and risks.
Download the ECI Guide for Developers and see how DEMEX can help deliver commercial value through reduced costs, schedule and risks.
Under ECI, a developer directly engages the enabling works contractor whose job it is to handle hazmat assessment, service disconnections, demolition, and site remediation, essentially performing any works required to prepare a site for construction. Depending on contractor competency, associated civil works, such as a basement dig, may also form part of an ECI package.
This approach offers benefits to developers seen in coordinated service delivery, greater flexibility in resourcing, and access to specialist skills needed to address site specific challenges. Improved sustainability outcomes are achieved through onsite demolition materials processing, recycling, and reuse.
Capabilities of tier one and two early works contractors are not well understood in construction, although they are integral to project success in other industries like heavy industry, mining, oil and gas, and energy.
Developers are often not aware of how demolition methods, machinery, and technology have matured, nor do they understand an enabling or early works contractor can deliver value reflected in the bottom line through:
- Multiple options for demolition method
- A safer method
- An accurate scope of work and schedule
- Optimised works sequencing that prevents unnecessary program delays by combining the asbestos removal, demolition and earthworks under one enabling works contractor
- Project bottom line benefits realised through value engineering
- Greater confidence in securing project finance.
One common misconception is ECI between the developer and enabling works contractor is undertaken outside of builder engagement.
While ECI can be used by developers to take greater agency over project delivery, it is an approach based on collaboration and trusted working relationships, including with the head contractor or builder.
Engaging and collaborating with key stakeholders at the right time sets a project up for success and breaks down the silos that typically quarantine works and contractors, and often lead to contractual issues. By contrast, developer, ECI contractor and builder engagement enables a trusted working relationship that is collaborative rather than adversarial.
If there is a lesson in the current construction industry challenges, it is that nothing stays the same. Survival demands the industry continues innovating and finds new ways to deliver much needed projects. Collaboration is a term thrown around a lot, however, the challenge is to deliver on it. Development ECI with a specialist early works contractor can do just that.
DEMEX works with tier one and two construction companies and developers delivering residential, commercial, and industrial developments. In addition to core services in demolition and decommissioning, asbestos / hazardous materials removal, and demolition associated civil works, DEMEX provides onsite material recycling to achieve positive sustainability outcomes for clients.
