On-call. As-needed. Indefinite scope. Indefinite delivery indefinite quantity (IDIQ).
Whatever it’s called, open-ended delivery contracts are an important tool in the A/E/C industry.
While traditional design contracts align the right team to tackle a specific project, an indefinite delivery relationship can help fill in the gaps for maintenance and repair work an owner knows needs to be addressed – but isn’t sure when and to what extent.
Over the years, we’ve worked with owners across many industries under open-ended contracts, including Federal and State government, healthcare organizations, airports, universities, school districts and local municipalities. We’ve also seen them used for hospitality groups and city/county governments with multiple facilities, as well as large industrial complexes. Ultimately, any industry or owner with a need for various system and building upgrades, but no specific timeline, budget, or exact scope of the work, could benefit from an open-ended contract.
In this edition of Plains Talk, we’ll talk about what we’ve learned over our years of executing both indefinite scope contracts, as well as the delivery orders they generate. We’ll also share a few of the different ways these open-ended relationships have manifested – and how those relationships have become mutually beneficial.