Daily Journal of Commerce
Design & Construction – July 20, 1994
By Steven Pinnell and Jeff Davidson
Taking the informal and formal steps to recognize potential problems in advance of a crisis will serve you well in avoiding disputes altogether. Avoiding contract disputes is one of the fastest ways to improve your bottom line and build a great reputation in a competitive industry.
Developing formal dispute avoidance and collaborative problem-solving techniques is a strong adjunct to the partnering process. These procedures will also provide additional benefits beyond reducing and resolving disputes, helping you strengthen the sense of teamwork within your organization.
ACTION TO CONSIDER: As with partnering, on each project all parties (owners, designers, general contractors, subcontractors, and suppliers) should develop formal procedures for dispute avoidance.
Here, are just a few good examples:
The cost for any of these formal steps is minimal. Any involvement by outside experts will be limited, and all parties will share the costs.
In many cases the results (for example, value engineering) and the benefits are immediate, measurable and greatly exceed the costs.
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