Partnered Project Performance in the U.S. Naval Facilities Engineering Command

Abstract : This thesis analyzes the performance of partnered military construction (MILCON) projects in the U. S. Naval Facilities Engineering Command (NAVFAC). Partnering in construction usually involves formation of strategic alliances, or agreements between owners and contractors to work together for extended periods over several consecutive contracts. Although federal procurement regulations prohibit establishing long-term relationships, NAVFAC has been successful in partnering on a project-by-project basis. There has been only one previous attempt at quantitatively measuring their success in this area. However, because of the limited time in which NAVFAC had been involved in partnering at the time of the study, the small sample size rendered the results inconclusive. This thesis compares the performance of 39 of the 41 projects NAVFAC has completed as of May 1994 with a similar sample of non-partnered projects. The criteria used are cost change, change order cost, claims cost, value engineering savings and duration change. Conclusions and recommendations are presented based on the results of the analysis