Alliance Contracting is a collaborative approach in the construction industry where all parties, including owners, contractors, and designers, work together towards a common goal. This method emphasizes teamwork, transparency, and shared risk, which can lead to improved project outcomes and reduced costs. In an Alliance Contracting agreement, participants agree on project objectives and share both the risks and rewards. This fosters a cooperative environment, encouraging innovation and problem-solving, ultimately resulting in a more efficient construction process and higher quality results.