JOC: The Most Collaborative Project Delivery Method
WHAT IS JOB ORDER CONTRACTING?
Job Order Contracting (JOC) is a project delivery method utilized by organizations to get numerous, commonly encountered construction projects done quickly and easily through multi-year contracts for a wide variety of renovation, repair and minor construction projects. JOC is most commonly used to clear deferred maintenance backlog, perform rapid response recurring project needs, and construct renovation projects.
A Job Order Contract is a competitively bid, fixed price, multi-year construction contract based on established or published unit prices via a unit price book (UPB) or a price list with a multiplier (termed coefficient) applied to the unit prices. The unit prices are used to price construction tasks associated with the scope of work. These are often referred to as construction catalogs or automated cost databases. The contract is an IDIQ or indefinite delivery indefinite quantity contract for on-call construction services. The contract serves as an umbrella contract with a potential maximum amount of work over a specified term such as annual or multi-year term.
Today, JOC has a 35-year record of implementation within the United States Department of Defense. Currently, there are thousands of successful contracts going by the JOC name or by delivery order contracting (DOC), task order contracting (TOC), on-call construction (OCC), IDIQ contracts, and its Department of Defense counterpart of simplified acquisition of base engineering requirements (SABER).
BENEFITS OF JOC
- More Projects Completed On-Time and On-Budget – Collaborative information sharing, detailed project scopes, and proven processes speed project delivery
- Cost Savings & Enhanced Cost Visibility – More dollars spent on actual construction combined with standardized cost information
- Long-Term Relationships – Development of a partnership relationship based on performance with JOC contracts averaging 3-5 years
- Reduced Deferred Maintenance Backlog – More projects are completed simultaneously per year at predetermined prices
- Fewer Change Orders – Better communication improves project scope development and yields elimination of contractor-driven change orders
- Reduced Legal Fees – Virtual elimination of legal disputes due to collaborative process and understanding of requirements
- Transparency – Each project cost is developed via line item estimates/costs from the unit prices yielding full transparency
- “Best Management Practice” Deployment – Collaborative and LEAN practices are supported and embedded within the proper processes and recent technology