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EPC vs. EPCM Contracting Services

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EPC vs. EPCM Contracting Services

Different forms of construction contracts are referred to as EPCM and Engineering, Procurement, and Construction (EPC). Today at Dorar Tammam Contracting (DTC) , we will talk about EPC vs. EPCM contracting services.

Although they may sound similar, there are significant distinctions between EPC and EPCM.

There are various aspects to consider while selecting which one is best for you.

What is EPC?

The EPC contractor assumes complete responsibility for project delivery, including comprehensive engineering design, procurement, construction, and commissioning, under an EPC contract.

The fundamental design is provided by the customer or Principal Designer, and the Dorar Tammam Contracting (DTC) EPC contractor is responsible for delivering it from detailed design through construction completion.

EPC contractors will engage and negotiate contracts with suppliers and subcontractors directly and will be responsible for them performing their job within the specified timeframes and budgets. This is true regardless of the project type, which includes industrial odor remedies, conveyor system installs, and factory expansions.

EPC is an abbreviation for “Engineering, Procurement, and Construction,” and it refers to the project stages that are covered by this form of contract.

Benefits of EPC vs EPCM

Cradle-to-grave Service

Often known as turnkey an EPC kind of contract will give a site owner piece of mind that everything has been performed within the contractor’s obligation.

Alignment

An integrated team that has previously worked together can improve communication, synergy, and innovation on the project.

Removed from controversies

Because the Dorar Tammam Contracting (DTC) EPC contractor has its own subcontractors working on the project, the customer is relieved of responsibility and involvement in any issues that may arise.

Certainty

The contract specifies agreed-upon costs and timelines, with generally limited leeway.

Hands-off approach for the customer

The client no longer needs to deal with various subcontractors, which is an especially appealing resource if this type of resource is restricted inside the firm.

What exactly is EPCM?

The EPCM contractor is responsible for the design/engineering and overall management of a project’s construction phase under an EPCM (Engineering, Procurement, and Construction Management) contract.

The Dorar Tammam Contracting (DTC) EPCM contractor must validate that the engineering design meets the criteria of the client specification but is not physically involved in the build/construction process, instead acting as a consultant to those who are.

They are often assigned to find and organize contracts with subcontractors (Procurement) throughout the building phase, however, depending on the contract conditions, this may be done directly by the customer.

The client or Principal Contractor of the project retains overall responsibility for contractual connections with people working on the construction phase- they are engaged by the client, not the contractor.

Benefits of EPCM

In the fight of EPC vs. EPCM, this is undoubtedly the more flexible choice, providing the client more flexibility, but the responsibilities and time required are proportionately larger.

When money is not entirely available before beginning a project, an EPCM project allows the customer to control supplier payments within their own cash flow.

It is a necessity with Dorar Tammam Contracting (DTC) EPC contracts that the budget be in place before the project begins, with visibility and confirmation of funds provided to the EPC contractor.

Control

In EPCM projects, the customer has control over both time and personnel management. Some firms may like this since it allows them to alter suppliers, specs, and timetables.

Affordability

EPCM contracts are less expensive than EPC contracts since the project risk and responsibility for subcontractor recruitment remain with the client.

Conclusion

An EPC contract is the best option if you want to construct a functional facility. Your Dorar Tammam Contracting (DTC) EPC provider will staff your project with accomplished engineers who will provide detailed plans and cost estimates for each stage of the build.

Without you having to lift a finger, the Dorar Tammam Contracting (DTC) EPC contractor will ensure that all of the necessary contractors are hired and that the project stays on time.

Because of the complexity of the project and the inherent construction risks, an EPC contract is ideal for businesses wishing to develop high-voltage power plants. For more details contact Dorar Tammam Contracting (DTC).

About DTC

Founded in Saudi Arabia in 2004, Dorar Tammam Contracting Company (DTC) has grown to become one of the Gulf leading construction contractors.

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