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' ~ an 11C~E?r NEWSLETTER <br />i~ <br />~~~~ Insurance Corporation <br />~ Brokers Since 1905 700 Broadway, Suite 1035, Denver, CO 80203 •303/837-8500 <br />THE PRQFESSIONAL LIABILITY PERSPECTIVE <br />YoL 8, No. 8 Copyright 1988 August 1988 <br />WHO HIKES THB TFSSTIIdG LABORATORYT <br />[t is one o[ those relatively small details in <br />the overall scheme of things. Independent <br />testing may be required by local building <br />codes, or it may be insisted upon by lenders. <br />Additional testing can usually be ordered by <br />the design team during construction. What- <br />ever the source of the requirement, many <br />1 owners perceive it to be en unnecessary <br />burden-an additional cost imposed principal- <br />ly for someone else's benefit. <br />] What does this have to do with you? You <br />1 may be the only one in a position to in- <br />fluence the use of testing and inspection <br />services so they become more, rather than <br />less likely to contribute to a successful out- <br />come. There seems to be en almost ireesist- <br />ible inclination on the part of some owners <br />to cast aside their potential value to the <br />project in favor of the administrative and <br />J financial convenience of placing responsibili- <br />ty [or their delivery into the hands of the <br />general contrac[oc. <br />Resist this inclination where you can. It is <br />not in your client's best interests, and it is <br />certainly not in ,yours. There are important <br />issues of quality and even more important <br />issues of life safety at stake. [n the complex <br />environment of today's construction arena, <br />it makes very little sense for either of you <br />to give up your control of quality control. <br />Yet it happens altogether too often. <br />iVhnt's Behind this Misadventure? <br />•The culprit seems to be the Federal Govern- <br />ment. [n the 1960's, someone came up with <br />the idea that millions could be saved by <br />eliminating the jobs of Federal workers en- <br />gaged in construction inspection. The pro- <br />curement model used to support this stroke <br />of genius was the manufacturing segment of <br />the economy, where producers of goods pur- <br />chased by the Government had been required <br />for years to conduct their own quality assur- <br />ance programs. The result was a trendy <br />new concept in Federal construction known <br />es Contractor Quality Control (CQC). <br />It was a dumb idea. Costs were simply <br />shifted from the Federal payroll to capital <br />improvement budgets. Government contrac- <br />tors, selected on the basis of the lowest bid, <br />were handed resources to assure the quality <br />of their own performance. Some did so; <br />many did not. All found themselves caught <br />up in en impossible conflict between the <br />demands o[ time and cost, on one hand, and <br />the dictates of quality, on the other. <br />CQC was opposed by the Associated General <br />Contractors oC America, by independent <br />testing laboratories, by the design profes- <br />sions, and by those charged wiIh front-line <br />responsibility [or quality control in the <br />Federal Agencies. Eventually, even the <br />General Accounting Office came to the con- <br />clusion that it ought to be abandoned. But, <br />once set in motion and fueled by the per- <br />vasive influence o[ the Federal Government, <br />the idea spread-first to state and local <br />governments; tinaIly, to the private sector. <br />Why would the private sector embrace such <br />an ill-conceived notion? Because so many <br />Binder Rey: Profesaional Practices <br />