Transparency

Contracts

We flexibly incorporate various contracting methods to provide the best contract suited to client needs (cost and construction Schedule).

Lamp-sum Method

This is a contracting method in which Obayashi　undertakes construction work as set total price.
The majority of the contracting methods currently 　used for construction work in Japan is , lump-sum　method.
In the lump-sum method, the total construction cost is 　calculated after the design work is completed, then the contract would be finalized.
For the client, this has the advantage of knowing the　estimated cost of the entire project from the initial　stages.

Open book method

This method is selecting specialty construction companies through tendering and disclosing to clients the cost of orders placed with specialty construction companies and vendors, the selection process and other information.
It requires manpower to support the selection of a specialty construction company and a time frame for the selection process.
It has the advantage of cost transparency for the client.
The construction cost in the open book method is　based on the concept of "Cost-Plus-Fee".
A Guaranteed Maximum Price (GMP), which is the　maximum target for the total construction cost, would　be set in advance.

Cost-on method

This method is used when the client designates a specialty construction company (cost-on company), such as for equipment installation.
Obayashi will sign a subcontract with the specialty construction company for the cost agreed upon between the client and the specialty construction company.
Further, Obayashi sign a contract with the client for the above cost plus our cost-on-fee, including our general management costs.

Procurement

Advanced procurement of long lead-time items

Due to the increasing demand for Data Center constructions around the world, the delivery of equipment and facilities required for Data Centers tends to take longer than usual in the past.Obayashi will work closely with the client to meet the delivery date to the client through design, procurement and construction capabilities.

In order to shorten construction duration, procurement work for long lead-time items will be launched at the detail design stage.
In conjunction with the design process, select vendors, prepare production guidelines, contract and place orders.
Early procurement implementation ensures an overall schedule with no time loss.

Advanced procurement of long lead-time items

Overseas Procurement

Overseas procurement contracting schemes include both Whole set contracts (materials and workers arranged with whole set) and Separate contracts.
Propose the most appropriate procurement scheme according to the client's requirements and procurement items.

Whole set contracts

Whole set of materials and workers will be contracted through a domestic subcontractor.
Separate contracts 1

Contracting separate of materials and workers, materials will be contracted through distributor or trading company.
Separate contracts 2

Contracting separate of materials and workers, materials will be contracted directly with overseas subcontractors (manufacturers).

※　Overseas subcontractors include Overseas manufacturers
※　In some cases of Separate contracts, the contract for materials 　　may be procured directly by the client. 　　　　（ In such cases, materials will be treated as supplied. ）