Everything You Need to Know About Job Order Contracting (JOC) in 2025

Job Order Contracting (JOC) is a highly efficient and flexible construction procurement method commonly used in the public sector. JOC enables organizations to complete many projects with a single, competitively awarded contract. This streamlined approach is particularly beneficial for operational projects like renovations, repairs and maintenance, and straightforward new construction that requires little, if any, design work. JOC is proven to save time and money, reduce administrative burdens and improve the quality and speed of project delivery.

What is Job Order Contracting (JOC)?

Basic Principles of JOC

Job Order Contracting is an Indefinite Delivery, Indefinite Quantity (IDIQ) construction procurement method where contractors are selected to perform an undetermined number of projects at unknown times. Instead of bidding on each project individually, contractors bid on a set of pre-defined tasks listed in a Unit Price Book (UPB). Many UPBs use national average pricing for materials, equipment and labor. In contrast, Gordian’s Job Order Contracting programs use local pricing researched and confirmed by a team of cost engineers and construction experts. The difference in specificity is why Gordian’s UPB is known as the Construction Task Catalog® (or CTC) for short.

In a Gordian JOC program, the contractor’s bid includes Adjustment Factors or multipliers they apply to the prices listed in the CTC, which are then used to calculate the cost of individual job orders. Effectively a market adjustment, the Adjustment Factor covers the contractor’s overhead and profit.

History and Evolution of JOC

Gordian founder Harry H. Mellon created Job Order Contracting in 1982 when he served as the Chief Engineer for NATO at the Supreme Headquarters Allied Powers Europe (SHAPE) in Belgium. He was responsible for maintaining a large number of facilities. Back then, it took an exorbitant amount of time to get operational projects done using traditional construction contracting methods. Ever the problem-solver, he devised JOC.

Harry brought his invention back to the U.S. after his time in NATO. JOC caught on quickly and spread to other federal, state and local government agencies, as well as educational institutions and healthcare facilities. Today Gordian’s JOC solutions account for nearly $4 billion in annual construction volume.

From Paper CTC to Online Platforms

Initially, JOC contracts were managed using paper-based Construction Task Catalogs. These catalogs listed all the tasks and unit prices, which contractors used to prepare their bids. With advancements in technology, JOC has transitioned to online platforms like the Gordian Cloud Platform. These platforms provide real-time access to the CTC, streamline the bidding process, enhance transparency and improve project management and reporting capabilities.

Key Components of a JOC Contract

• Unit Price Book (UPB): A comprehensive list of tasks with pre-defined unit prices. More specific and granular than the average program, the Gordian UPB is known as the Construction Task Catalog. 
• Adjustment Factor: Also known as a coefficient, the Adjustment Factor is a multiplier applied to the unit prices to account for the contractor’s overhead and profit. 
• Job Orders: Specific projects or tasks issued under the JOC contract. 
• Performance Period: The duration of the JOC contract, typically one to five years.

How Are JOC Programs Set Up?

Now that we’ve covered the basics, let’s look at the JOC implementation process. Organizations that develop their own Gordian Job Order Contracting program follow these steps.

1. Initial Needs Assessment: Decision-makers and stakeholders identify the scope and nature of the projects required over the contract period. 
2. Development of a Construction Task Catalog (CTC): Gordian creates a detailed book of tasks and unit prices that will be used for the contract. The items listed in the CTC are comprised of local labor and material costs, a task description, a unit of measurement and demolition costs where applicable. 
3. Selection of Contractors: Gordian helps organizations conduct contractor outreach and educates area contractors on JOC best practices. What follows is a competitive bidding process where multiple contractors are awarded based on their Adjustment Factors and qualifications.

How Do JOC Projects Work?

Once a Gordian JOC program is in place, organizations follow a proven process for successfully completing construction projects.

1. Joint Scope Meeting: Gordian schedules a meeting at the job site to discuss project and design details. This special site visit is an opportunity to identify potential problems and applicable solutions before work begins, saving significant time. The Joint Scope Meeting is also the time to collaborate on value engineering solutions that maximize the project budget.  
2. Detailed Scope of Work Creation: With Gordian’s help, the project owner prepares a Detailed Scope of Work that describes the work the contractor will perform. A clear and thorough Detailed Scope of Work goes a long way to ensuring the project’s end result is exactly what the owner had in mind.  
3. Price Proposal Development: Using the Detailed Scope of Work, the contractor prepares a Price Proposal by selecting the appropriate line items from the CTC.  
4. Price Proposal Review: The organization’s Gordian representative reviews the Price Proposal to ensure the contractor has selected the appropriate tasks and quantities. This review, which saves an average of 6% in hard costs, certifies that the owner’s needs are met and that the contractor is compensated fairly.  
5. Job Order Issued: Once the Price Proposal has been reviewed, revised and approved, the owner issues a Job Order for the contractor to proceed with the project.

Get all the ins and outs of a Gordian Job Order Contracting program.

Benefits of JOC for Procurement Officers

Smarter Resource Allocation

JOC simplifies the construction procurement process by reducing the administrative burden of putting every project out to bid. This streamlined approach allows procurement officers to focus on other critical tasks and maximizes resources.

Reduced Administrative Burden

JOC eliminates the need to send every project out to bid, providing significant relief to overburdened procurement teams.

Enhanced Cost Control

Pre-established unit prices and Adjustment Factors put an end to protracted price negotiations, even when it is necessary to deviate from the approved Price Proposal. Instead of negotiating over the cost of change orders, the new work follows the same five-step process as the original project and the owner issues a supplemental Job Order for the new scope.

Faster Project Delivery

The ability to issue job orders quickly under an existing contract reduces time to construction by as much as 25%, according to a report by NIGP and Gordian. This is particularly beneficial for urgent repairs and maintenance work and when grant funding must be expended on a deadline.

Line-by-Line Pricing

With JOC, owners see how much they are paying at the line-item level, as opposed to the lump sum amount they receive when using other construction procurement methods. This granularity and transparency help prove that funding is being stewarded thoughtfully.

High-Quality Construction

Job Order Contracting is a program, not a project. This is a critical difference, as contractors are incentivized to be good long-term partners to secure future job orders. Thus, they meet and often exceed the owner’s standards. Further, the more familiar they become with an organization’s needs and preferences, the better work they can ultimately perform for that organization.

Benefits of JOC for Facilities Directors

Project Management Flexibility

JOC provides facilities directors with the flexibility to manage multiple projects simultaneously. This is particularly useful for organizations with ongoing maintenance and renovation needs.

Ability to Respond Quickly

The streamlined process of issuing job orders allows facilities directors to respond quickly to urgent and unforeseen needs like emergency work, minimizing downtime and disruptions.

Consistency in Project Quality and Execution

Using the same contractors for multiple projects creates consistency in project execution and quality. This consistency is vital for maintaining high standards across the entire facilities portfolio.

Simplified Budgeting and Financial Planning

JOC’s preset unit prices and Adjustment Factors enable facilities directors to predict costs more accurately and allocate resources more effectively.

Savvier Project Scheduling

The flexibility and efficiency of JOC enable facilities directors to plan and schedule maintenance and renovation projects more effectively, ensuring that facilities remain in optimal condition. Many organizations in the education sector scope work with JOC early in the year so when their limited summer construction window opens, they are ready to do as much work as possible.

Benefits of JOC for Construction Contractors

Potential for a Steady Stream of Work

JOC offers contractors a conveyor belt of opportunities over the contract period. This stability and revenue predictability allows contractors to plan effectively and can help them grow their business.

Long-Term Client Relationships

JOC fosters enduring partnerships between contractors and clients by building trust and encouraging collaboration, leading to mutually beneficial outcomes.

Reduced Bidding and Marketing Efforts

JOC contractors spend less time marketing themselves to clients and bidding for individual jobs. This reduction in effort allows them to focus on project quality.

Opportunities for Small Businesses

JOC often includes provisions for small businesses and those owned by women, minorities and veterans, providing them with opportunities to compete for and secure contracts. In fact, 35% of Gordian JOC contractors hold a minority business certification. This inclusivity promotes diversity and economic growth.

Benefits of JOC for Communities

Safer, More Reliable Facilities and Infrastructure

JOC helps communities maintain and improve critical physical assets like roads, schools and utilities.

Better Services

Efficient project execution under JOC enables the public sector to deliver better services. This improvement in service delivery enhances overall quality of life.

Economic Boost

The steady stream of projects under JOC contracts stimulates the local economy by creating jobs and supporting area construction businesses.

More Equity

JOC promotes equitable communities by providing opportunities for small and disadvantaged businesses and ensuring that public facilities are well-maintained and accessible to all.

Find out more about the benefits of JOC, accessing a Gordian Job Order Contract and more in our comprehensive video series.

JOC Best Practices

Gordian has supported tens of thousands of JOC programs across North America. The most successful programs follow these best practices.

Develop a Comprehensive Unit Price Book (UPB)

A detailed and comprehensive UPB, like Gordian’s Construction Task Catalog, is essential for the success of a JOC program. Granular and accurate unit prices ensure transparency and cost control.

Engage With Quality Contractors

Awarding the right contractors is crucial to JOC projects running smoothly. Owners should evaluate contractors based on their experience, qualifications and ability to meet the specific needs of the organization.

Use a Robust Program Management Software

It’s common to have many JOC projects going at one time. A robust and reliable software application will serve as your program’s command center, centralizing all communications, documents and information for greater visibility and control.

Document Program Procedures and Train Staff

A well-run JOC program needs a formal set of written procedures that detail each step in the process, from project selection and initiation to issuing a Job Order. All internal stakeholders should be trained to execute these procedures.

Strategic Project Selection

While organizations have succeeded with Job Order Contracting under a variety of scenarios (more on that later), JOC may not be the right delivery method for every project. JOC is most commonly associated with routine, operational work requiring little, if any, design.

Follow a Proven Process

Running an efficient JOC program means adhering to a repeatable process that yields satisfying results. While all procedures should be adapted to the needs of the organization, following documented and proven processes, like Gordian’s five-step project delivery method, ensures a solid JOC foundation.

Establish and Track Key Performance Indicators

Establishing and measuring key performance indicators (KPIs) keeps a JOC program healthy and helps prove program effectiveness. KPIs can be created for the program, for individual projects and even for contractors. Common KPIs include the average number of days between project initiation and Job Order Issuance and the average number of days between Job Order Issuance and project completion.

Create and Maintain Clear Channels of Communication

Effective communication is key to the prosperity of JOC programs and projects. Clear communication channels between stakeholders ensure satisfaction and success.

Typical JOC Projects

Like all construction procurement methods, Job Order Contracting was not designed to be a one-size-fits-all solution. These are the types of projects best suited for delivery with JOC.

• Routine, straightforward projects that can be scoped, priced and completed quickly. 
• Time-sensitive projects and emergency work that must be done immediately. 
• Backlogged projects and those collecting dust on the deferred maintenance list.  
• Maintenance, repair and operations (MRO) work that must get done, despite its low visibility. 
• Fixed-budget projects like those funded by grants. 
• Replacement-in-kind work that does not require altering design specs. 
• Punch list items and advanced demolition for traditionally-bid projects.

Gordian JOC Success Stories

Here are highlights from the tens of thousands of Gordian JOC projects completed every year.

• The City of Victorville, California turned to Gordian JOC to build a unique campus delivering wraparound services for the local unhoused community using a $28 million Homekey grant. Funds were expended on time and the Victorville Wellness Center is currently helping vulnerable locals get back on their feet. 
• After a flood devastated the community of Pajaro, Monterey County (CA) officials deployed one of their several Gordian JOC contracts to clean up debris and rebuild.

• Florida’s Jackson Health System used Job Order Contracting to renovate and modernize the lobby and cafeteria of its diagnostic center, including the installation of banquette seating, updates to the existing HVAC system and increased access to electrical outlets. 
• The University of Denver rebuilt cabins and shower houses, upgraded dining hall lighting, renovated bathrooms and laid nearly three miles of asphalt to create a world-class educational experience at its James C. Kennedy Mountain Campus. 
• McConnell Air Force Base and the Fort Riley Army Garrison share a Gordian solution that has been used to complete more than 300 projects with an accumulated value of over $66 million.

Job Order Contracting (JOC) offers numerous benefits for procurement officers, facilities directors, construction contractors and communities. By streamlining the procurement process, reducing administrative burdens and accelerating project delivery times, JOC provides a flexible and efficient solution for managing multiple projects and building better communities in the process.