The unusual case of the use of performance specifications, a defence sponsor and a navy project manager

This examines the unusual case of defence sponsorship and navy project management of an experimental case study of the knowledge gap surrounding the use of a performance specification, a fixed price and a fixed period. This was determined with the assistance of an industry consultant in advance of going to market. The research indicates that the pre contract award period and the allocation of risk to the party best placed to carry the risk is critical, and provides new insight into how design trade-offs can be made when the key requirements of price and period are fixed and made known to the market place. The case cites benefits when sponsors use a strategy mandated by Australia's National Construction Code ie the use of performance rather than prescriptive specifications. The model tested is innovative and reframes project management. Implications for critical success factors and trade-offs in project delivery innovation are identified