Web-Based Contract Administration Platform for Construction

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Solution Overview

Problem

The administration of construction contracts is inefficient due to manual data entry and lack of efficient communication among contracting parties, leading to challenges in tracking project progress, payment requests, and change orders.

Innovation Solution

A computer-based method where all contract parties access a common server over a data network to provide contract schedules and payment requests, enabling automated storage, retrieval, and approval of lien waivers, as well as integration of contract and accounting data to track project progress and payments.

Engineering Contradictions & Design Principles

VSEngineering Contradiction Analysis

1Productivity

If manual data entry and traditional communication methods are used among contracting parties, then individual administrative tasks can be performed, but overall contract administration efficiency is low and time consumption is high

Engineering Contradiction:
Improvecontract administration efficiencyVSAvoidtime consumption for contract administration
Core Design Contradiction:
ProductivityVSLoss of time

Solution Approach 1:

The patent merges separate administrative functions (payment requests, lien waivers, change orders, progress tracking) into a single integrated web-based platform. All contracting parties access and interact with the same system through web browsers, eliminating siloed manual processes and enabling real-time collaboration, which directly improves productivity and reduces time consumption.

Inventive Principle:
Principle #5Merging (Combining)

Solution Approach 2:

The patent replaces manual mechanical processes (paper-based data entry, physical document exchange, phone/fax communication) with an automated electronic system. The web server automatically stores, retrieves, and distributes documents and data, substituting human manual labor with automated computational processes, thereby dramatically increasing efficiency and reducing time requirements.

Inventive Principle:
Principle #28Mechanics substitution (Replace mechanical system)

2Productivity

If automated web-based system is implemented for contract administration, then efficiency and accuracy are improved, but system complexity increases

Engineering Contradiction:
Improvecontract administration efficiencyVSAvoidsystem complexity
Core Design Contradiction:
ProductivityVSDevice complexity

Solution Approach 1:

The patent implements a universal web server platform that handles multiple contract administration functions (payment processing, lien waiver management, change order tracking, progress monitoring) through a single system interface. This multi-functional approach consolidates what would otherwise require multiple separate systems, managing complexity through consolidation rather than proliferation of components.

Inventive Principle:
Principle #6Universality (Multi-functionality)

Solution Approach 2:

The web server acts as an intermediary between all contracting parties, centralizing data storage and document distribution. This mediator approach simplifies the system architecture by creating a single point of control and data repository, reducing the complexity that would arise from direct peer-to-peer connections between multiple parties and their respective systems.

Inventive Principle:
Principle #24Intermediary (Mediator)

3Ease of operation

If all contract parties access a common server over data network, then communication efficiency is improved, but data security and access control requirements increase

Engineering Contradiction:
Improvecommunication efficiencyVSAvoiddata security and access control
Core Design Contradiction:
Ease of operationVSReliability

Solution Approach 1:

The patent implements local quality control through user-specific access permissions and authorization levels within the web-based system. Different contracting parties (owners, contractors, subcontractors, suppliers) are granted specific access rights appropriate to their roles, allowing efficient communication while maintaining security through differentiated access control policies tailored to each user's needs.

Inventive Principle:
Principle #3Local quality

Data Source

PatentUS8326755B2Administering contracts over data network
Publication Date: 2012.12.04 HART BUSINESS SOLUTIONS LLC
  • US8326755B2 patent drawing
  • US8326755B2 patent drawing
  • US8326755B2 patent drawing

AI summary

A method for administering performance of a contract over a data network includes storing a lien waiver and receiving an application for payment over the data network from a contract participant based on performance under the contract. The stored lien waiver is retrieved and sent to the participant via the data network upon approval of the application for payment. The at least one data tag may be included in the lien waiver prior to storing the lien waiver.