• Open book financials, policies and procedures
  • Service providers profits are transparent and at risk if overages occur
  • First-loss risk is transferred from owner to service providers for project cost overages
  • Maximized incentive for upfront and ongoing ​service provider coordination that lowers costs
  • Key service providers share in half of the cost savings with the owner if the project is under budget
  • Closed book financials
  • Multiple ways for service providers to hide their true profits
  • 100% risk is held by the owner in case of project cost overages
  • Limited up-front and ongoing service provider coordination which increases costs
  • No parties, even the key service providers are working in the best interest of the owner

Example of an HVAC modernization project at a major healthcare facility with an estimated project cost of $40 Million