IFMA WebCast – Efficient Project Delivery Methods for Repair, Renovation, Sustainability, Construction
IFMA WebCast – Efficient Project Delivery Methods for Repair, Renovation, Sustainability, Construction
IFMA WebCast – Efficient Project Delivery Methods for Repair, Renovation, Sustainability, Construction
Demand for higher productivity in the construction sector and environmental sustainability is reaching a critical level and causing significant changes in both construction cost estimating and the AEC industry as a whole.
Shift to life-cycle cost visibility for new construction, renovation, repair, operations, and maintenance
Emphasis upon estimate and project sharing, collaboration, and reuse (vs. reinventing the wheel or recreating mistakes)
Use of smart object/component technologies to enable easier development and maintenance of cost models
Availability of international cost/performance data
Integration of estimating with business and procurement “best practices”/business process will be the norm (LEAN, IPD, JOC, BIM)
Advanced web centric cost data management, sharing, and data reuse
Required use of reference cost data across all sectors
Greater emphasis upon maintenance as a primary sustainability solution
Overall higher level of standardization (currently common in other business sectors)
Standard use of visual estimating tools (i.e. eTakeoff /BIM/QTO)
Estimating and estimators will become key components of collaborative value-driven construction “best-practices”/”business processes” such as IPD, JOC, LEAN, and BIM.
The ability to draw create, actively reuse, and share localized, national, and international life-cycle reference cost databases spanning construction, operations, and maintenance will drive transparency and add a needed level of cost control as well as ongoing decision support for architects, designer, owners, contractors, vendors, and oversight groups.
While innovators are currently deploying IPD and JOC solutions and taking advantage of the inherent costs savings, and improvement of quality and collaboration, these and synergistic processes will become the norm and complementary to BIM.
For example, today estimators using off-the-shelf technology (for example e4Clicks Project Estimating software – http://www.4clicks.com) can select standard or customized cost guides/cost databases, prepare, update, and share estimates and projects, track project status, and apply time saving visualization/calculation on screen take off technology (for example eTakeoff which is fully integrated with e4Clicks).
Estimators and all related professionals will participate earlier and throughout the life-cycle:
Estimators, owners, facilities managers, end users, contractors and vendors will be a part of the design, construction, renovation, repair, maintenance and operations processes, enabling a life-cycle perspective to be applied to all decisions.
Decision support systems will be outcome-driven with life cycle cost, performance, function, and reuse consideration appropriately weighted.
Collaboration, communication, documentation, and transparency will be the norm
Risk and reward are value-based balanced among all participants/constituencies
Quality and sustainability will be primary drivers
While many of the changes are inevitable, some estimators continue with ad-hoc methods; spreadsheets, subcontractor and vendor quotes, etc, resulting in an increased gap and range of estimates.
IPD – Integrated Project Delivery
JOC – JOB Order Contract
QTO – Quantity Takeoff
One thing is clear, the construction sector (architecture, engineering, contractors, owners, operators, users, suppliers) has been lagging virtually all other business sectors for decades with respect to productivity improvement.
I believe that the cause is largely cultural, however, any major improvement must be driven by Owners,and/or mandated by governmental regulation.
My reasoning is simple, Owners pay the bills. Thus as long as Owners remain satisfied with the status quo and/or remain “uneducated” with respect to proven business “best practices” and lean management processes, as well as supporting technologies, economic and environmental waste will continue to be rampant.
Currently, my outlook is somewhat pessimistic. If one looks at capability and knowledge specific to life-cycle facility management from an industry perspective, most has originated with the government sector, followed by higher education, state government, healthcare, process-based industries, etc. etc. Basically, Owners whose mission is dependent upon their built environment tend to create and follow life-cycle management practices. These are Owners that can’t adopt a “churn and burn”, or “run to failure” approach to facility management. These sectors can’t easily pack up and move if their facilities and physical infrastructure fail.
That said, even government owners, for the most part, have failed in any sort of department or agency-wide adoption of standardized best practices. This is true even for “simple” areas such as facility repair, maintenance, and renovation. Only the Air Force appears to come close to having any true adoption of robust, proven, best-practices in this regard, as well as associated training, etc., most notably with their SABER construction delivery structure.
In order to effect measurable productivity improvement in the “construction” sector, , I have put together a core requirements “checklist”.
1. Robust Ontology – Cost effective information management and information reuse can only be accomplished with a detailed set of terms, definitions, metrics, etc. This aspect is also critical to improved strategic and tactical decision support mechanisms.
2. An understanding of life-cycle management of the built environment from a collaborative, best-practices, process perspective as well as associated supporting technologies. Forget the traditional strategy-design-construction-demolish approach.
3. Commitment to a total cost of ownership perspective including both economic and environmental costs vs. our classic “first-cost” mentality.
4. “Trust but measure” – Owners MUST conduct their own internal cost estimating and associated capital planning and compare these to contractor estimates, with each party using the same data architecture (examples: RSMeans, masterformat, uniformat, omniclass).
5. Adoption of collaborative construction delivery methods such as Integrated Project Delivery, IPD, and Job Order Contracting, JOC, in lieu of antagonistic and inefficient design-bid-built, or even design-build.
6. STOP reinventing the wheel. Nothing noted here is “rocket science”. Many, if not most, processes, procedures, and technologies are readily available for anyone who does a bit of basic research!!! Also, stop with the focus upon BIM from a 3D visualization perspective! 3D tools are great, and add value, however, INFORMATION and PROCESS drive success.
One of the most difficult decisions in standing up a Job Order Contract is the owner’s decision about what type of Unit Price Book (UPB) is best for your JOC program. UPB’s have traditionally come in two flavors:
A number of factors should inform this choice, including:
Localization Localization and customization are different things. There is a bit of a “localization fallacy” in the JOC market. Unit Price Books (UPBs) are described as being either “national” or “local,” but the lines are blurred when you look at how the books are actually produced. RSMeans’ national pricing guides are produced to serve a broad market, so the published unit prices are a national average. But in reality, RSMeans researches local material, labor and equipment inputs on a vast scale—935 distinct locations in the US and Canada—and through its proprietary algorithms produce City Cost Indexes (CCIs) to fine-tune each and every unit price for all 935 markets. If you dig into the data produced by RSMeans’ methodology, it is impressive. RSMeans produces not just one CCI for each location, but 18 of them, segmented by CSI division/subdivision and by material and installation.
The importance of leveraging this granular level of CCI will be addressed in another post, but the point here is that the application of this highly detailed and precise CCI adjustment factors is in no way inferior to a “localized” UPB. In both cases there are proprietary algorithms and raw cost research at work; it’s just a matter of how the outputs are presented. The line blurs further when the data is loaded into a powerful software programs like e4Clicks Project Estimator and JOCWorks which allow automatic application of the CCIs. In addition, RSMeans has worked with a large northeastern state to produce a set of 14 pre-localized UPBs—one for each county—to support a JOC program. This allows for the direct insertion of current prevailing wage rates and a direct print reference for contractors new to JOC and RSMeans, which this state valued. But many owners find that the application of the appropriate CCI more cost-effectively meets their needs.
Geographic Flexibility There are actually some distinct advantages in tapping into a national pricing guide like RSMeans. First and foremost, it is an objective third party, market leading source of information. Also you can use a single data source to cover a large geographic area, which is particularly valuable for purchasing organizations, statewide, or other multi-site contracts. RSMeans can cover multiple locations with a single data source through the application of our CCI data. For instance, RSMeans covers 36 locations in the State of California, with wide swings in price deltas from the national average as evidenced in the CCI’s—from a low of 65.5 (65.5% of national average prices) for concrete products in San Bernadino, due to proximity to aggregate sources and batch plants, to 171.6 (71.6% more than the national average) for Division 21/22/23, driven by the nearly $100/hr. wage + fringe rate for plumbers in the city.
In addition to simplifying administration of a Job Order Contract, use of a single flexible, location-adjusted data set allows for some powerful benchmarking of projects across a program, even when construction costs are variable by location. A job order proposal or portfolio of projects can be easily repriced with a different CCI to compare typical costs from place to place, and aggregated projects can be analyzed for ongoing construction program insight. The use of a single data set, and especially an industry standard one like RSMeans, also simplifies the UPB evaluation and coefficient bidding process for contractors.
Customization Localization is the simple adjustment of an existing database for a particular geographic location. True customization is the addition of distinct owner-specific line items that may be needed for a JOC program but are not included in the standard data set. Common sense tells us that no UPB is entirely custom—they would be cost-prohibitive to produce if they were. Rather, books can be customized by selecting the applicable line items from a vast database and then providing selective additional custom data.
What is the value of customization? It depends. For an owner that has clear proprietary building materials or systems that need to be covered in a JOC, it can be valuable. RSMeans worked with Los Angeles World Airports (LAWA), a very sophisticated owner with extensive standard specifications used in a particular geographic location, to accomplish a selective customization (in tandem with localization). RSMeans integrated and mapped LAWA’s specs to our data, and also did custom cost data research on some unusual and proprietary items that are part of their building standards. Another approach to flexibly dealing with proprietary or unusual items is to build in a contractual provision to allow for a material price over-ride, based on documented costs of proprietary material. This allows for holding the labor and equipment costs constant, when owner-preferred material may not be covered by the UPB line items. This is another functionality of e4Clicks Project Estimator and JOCWorks.
Updates Another advantage of tapping into a commercial cost data research effort like RSMeans’ is that the data is updated on a continuous basis, including annual publications and quarterly updates. Only a national-local research effort with 40,000+ customers can provide this level of dynamic pricing for the volatile construction market, where commodity prices, wage adjustments and market forces can push specific unit prices up or down in sometime unpredictable ways. RSMeans updates 80,000 line items annually by researching material prices, current wage rates, and equipment rental rates for all 935 locations we cover. That said, 4Clicks exclusively enhances this data to delivery well over 400,000 line items, complete with line item modifiers and full descriptions in plain english.
Customized and localized books can be expensive to produce on this continuous basis, and while the financial investment might be warranted in a very large program, it can be cost-prohibitive in small- to moderate-sized ones. As a result JOC pricing for customized/localized books is often updated by applying a single inflationary index (most typically the ENR CCI) annually to the contract coefficients. The problem with this approach is that material and labor prices don’t rise and fall equally—they are subject to highly variable commodity price inputs and labor negotiations. The failure of a UPB to accurately track these changes on a continuous basis is a risk factor for contractors, and can lead to higher coefficients to cover their risk margin. No construction cost data source is updated as frequently as RSMeans, and that reduces risk and costs to owners and contractors alike.
So when choosing the right UPB for your JOC program, cut through the black-and-white rhetoric of national vs. local, gain an understanding of how the data is developed and presented, evaluate your need for customization and updates, and then consider your options. RSMeans provides both standard and custom cost data solutions, always with cost-effective program administration in mind.
(Source: adapted from RSMeans/Lisa Cooley Blog 7/10/2014)
http://www.4Clicks.com – e4Clicks Project Estimator is the premier cost estimating and project management software available featuring an exclusively enhanced 400,000+ RSMeans line item cost database and integrated contract/project/document management, visual estimating/QTO, and more.,
4Clicks provides advanced solutions for the construction industry with powerful tools to connect people, information and processes – anytime, anywhere.
We are a team of dedicated, passionate driven individuals who come to work every day with the privilege of working for you! Many of my team members have walked in your shoes working in the industry as cost estimators, project managers, and engineers. We’ve been in fallout in September, we’ve searched for the perfect line item, we’ve been a single estimator with 60 projects to estimate or part of a team that worked together to process millions of dollars of delivery orders. Now we watch, we listen and we take your suggestions and feedback to develop real world solutions that meet your changing needs. It’s what sets us apart and makes the difference in how we deliver our products, training, and services that you can only experience with 4Clicks Solutions. Thanks for hearing a little bit about our story, but the truth is, we are more excited to hear about yours!
A multi-dimensional tool, Building Information Modelling (BIM) involves generating a visual model of the building which also manages data about it, at the design stage, throughout the construction phase and during its working life. Typically BIM uses real-time, dynamic building modelling software working in 3D, 4D (workflow) and, increasingly, 5D (quantity surveying) to increase productivity and efficiency, save costs in the design and construction stages, and to reduce running costs, after construction.
Building Information Modelling (BIM) covers geometry, spatial relationships, light analysis, geographic information, quantities and properties of building components, project management and post-construction facilities management. BIM data can be used to illustrate the entire building life-cycle, from cradle to cradle, from inception and design to demolition and materials reuse; quantities and properties of materials, which can be easily extracted from the model; and the scope of works, including management of project targets and facilities management throughout the building’s life. Furthermore, systems, components, assemblies and sequences can be shown in relative scale to each other and, in turn, relative to the entire project.
The Government’s Industrial Strategy, published in early 2013, states that £40 billion of public money is spent on Centrally Funded Public buildings, every year. From this, millions of pounds are lost through poor integration and not learning from past mistakes. The strategy suggests that:
It follows that construction information is, therefore, often:
By 2025, Government is aiming to maximise efficiency in the construction industry through legislation and best practices aimed at:
Early BIM demonstration projects have already achieved savings of around 20% during the construction phase, with some on course to make 33% savings over the life of the building; future projects are targeting even greater savings.
However, BIM goes beyond simply switching to new software. It requires changes to the definition of traditional architectural phases, more data sharing than architects and engineers are used to, and a willingness to embrace partnering in an approach that collects all project related information digitally. BIM is able to achieve this by modelling representations, specifications, and the critical paths of actual parts and components used in the construction process, representing a major shift from traditional computer aided design.
The interoperability of the model requires that drawings, master building specifications, standards, regulations, manufacturer product specifications, cost and procurement details, environmental conditions (emissions data), critical paths, clash detection and submittal processes all work together. The whole process is about disparate information resources feeding into a central store of digital documentation, which then becomes the heart of the building information model.
BIM is far more than 3D CAD modelling; it is a rich information source containing geometric, visual, dimensional, and process information. If the software is the interface to a building information model; rich information content is its body and soul. Managed BIM will reduce the information loss associated with handing a project from design team, to construction team and to building owner/operator, by allowing each group to add to, and reference back to, all information they use/create during their period of contribution to the BIM model. To put it simply, without the embedded information, BIM is little more than 3D pictures.
Building Information Modelling can, of course, still produce drawings, but the process is no longer focussed on lines, shapes and text boxes; it is now based on data sets that describe objects virtually, mimicking the way they will be handled physically in the real world. The real difference that BIM offers, however, is that it is a truly interoperable system, offering full integration, allowing the inputs of the various professionals and specialists involved in every stage of the life-cycle to work together, without data or process conflict.
Video: NBS Lakeside Restaurant
Discover the benefits of incorporating information rich Building Information Modelling (BIM) through the case study project ‘NBS Lakeside Restaurant’
Depending upon the perspective of approach to BIM, it can relate to lots of different things:
On a technical level Industry Foundation Classes (IFC or ifcXML) is an open specification for Building Information Modelling; they are effectively an object-based file format tied to a specific data model. IFC was originally developed by buildingSMART to facilitate interoperability in the architecture, engineering and construction industries, and forms a commonly used collaboration format in BIM projects.
Green Building XML (gbXML) is a schema specifically focused on green building design and operation and is used as the input in several energy simulation applications; gbXML powers a number of building energy simulation tools available to the market.
The IFC model specification is an open and available online (see Further information). The IFC format is registered by the International Standards Organisation (ISO 16739:2013).
4D scheduling in BIM allows the designer/manager to see problems scheduled in the works durations and analyse congestion and accessibility more effectively than through standard Gantt charts. A more powerful aspect of 4D schedules are that, unlike a static building model, they are in a dynamic state. By linking time to structural components, it is possible to carry out time related structural analysis using the actual BIM model.
If workflow analysis of the model is carried out at design stage, it may determine the preferred material and the construction methodology in order to save time and money.
Clash detection is one of BIM’s buzz phrases, primarily because it puts a value on the savings made from eliminating problems found during a review. Clash detection can be broken into three categories or types:
A hard clash is simply when two objects occupy the same space. For example, a pipe going through a wall where there is no opening.
Soft clashes refer to allowable tolerances or space; for example, buffer zones between components left to provide space for future maintenance.
4D/Workflow clashes refer to clashes in scheduling work crews, equipment/material fabrication delivery clashes and other timeline issues.
The level of BIM utilised is often down to the maturity level of the team and that of its respective parts, so utilising fully integrated 4D and 5D is still uncommon, mainly down to software costs and educational/training limitations. However, the certainty of quantities generated from the BIM model allows several different assessments in finding the most effective solutions prior to construction – BIM modelling means that a schedule of quantities can be produced instantly; whereas previously a QS could spend considerable time measuring and taking quantities from 2D drawings. However, despite BIM’s accuracy, there remains the issue of differences in ‘standard methods of measurement’. The UK uses several SMMs, Ireland mainly uses a version of ARM (Agreed Rules of Measurement), and the US and Australia use other variants. So, a common international standard method of measurement, compatible with all BIM software, seems to still be a way off.
Managing a construction project and building lifecycle using a building information model can result in substantial savings, in both time and money, from design and construction through to on-going maintenance.
The model saves time and waste on site, and renders extra coordination checks largely unnecessary; the information generated from the model leads to fewer errors on site, caused by inaccurate and uncoordinated information. When all members of the construction team work on the same model, from early design through to completion, introduced changes are automatically coordinated through the BIM, across the whole project, and information generated is therefore of high quality.
BIM has already given the industry measurable positives:
Information technology is an integral part of today’s commerce, and transferring design/construction information from designers to producers/constructors is an example where, with the availability of modelling software, the tools are already in place. However, when choosing which simulation tool to use for a project, the teams involved must consider the application’s accuracy, reliability, user base and possible needs for training, considered against the project information they will have at their disposal.
Construction is the world’s most wasteful industry; it is the largest consumer of global resources, raw materials and global energy supplies; it creates the largest amount of global solid waste; and it is responsible for around 50% of greenhouse gas emissions. However, it is worth trillions of dollars per annum globally.
BIM technology presents a great opportunity for manufacturers, but they must ensure that they keep up and are part of the industry changes, not a future ‘Kodak’.
The proliferation of interpretations of BIM currently hampers the adoption of a working strategy to improve the built environment, and in turn the quality and sustainability of deliveries from design and construction teams to clients. In the UK, the Construction Project Information Committee (CPIC), responsible for providing best practice guidance on construction production information, proposed a definition of Building Information Modelling for adoption throughout the UK construction industry. This was jointly forwarded by the RIBA, CPIC and buildingSmart as a definition of BIM for the UK construction industry, to act as a starting point for discussion and refinement. It is:
‘Building Information Modelling is digital representation of physical and functional characteristics of a facility creating a shared knowledge resource for information about it forming a reliable basis for decisions during its life-cycle, from earliest conception to demolition.’
It should be borne in mind that adoption of BIM in the UK is not a mandatory undertaking, yet. However, the Government aims for all publically funded works begun after 2015 to be carried out through a building information model; it is anticipated that where the government goes, regulation and the rest of the construction industry will follow. And, because the public purse funds so much of the building work in the UK, within a very short time, what is currently voluntary is very likely to be mandatory.
As leading providers of information to the UK construction industry, NBS offers a range of software tools and information resources that support the design team across the project timeline, enabling the production of co-ordinated digital information. NBS are investing heavily in turning specification and product information into digital objects in anticipation of the industry-wide adoption of BIM. As part of this NBS aims to regularly publish guidance and information on BIM resources for the construction industry.
The NBS National BIM Library, NBS Plug-ins and NBS Create will aid information flow throughout the BIM process, enabling more efficient and accurate working when generating design documentation. Even from the project concept stage, objects can be selected from the NBS National BIM Library and added directly to design models; and, due to the direct linkage between design and specification through NBS Plug-ins, access to expert guidance is maintained within NBS Create. By using the plug-in, an outline specification can be automatically produced from the design model. Both specification and model are synchronised, making it possible to manage links to the specification throughout the project.
As the design evolves, proprietary objects can be substituted from NBS National BIM Library, while developing the specification detail within NBS Create, providing real-time information on cost and performance.
A digital model is built using lots of small digital components, called BIM objects. These objects are the building blocks of all digital models. However, in the case of BIM, the objects are not about imitating catalogue products; they are digital replications of products and are assembled in the information model.
There is currently a huge demand from designers for manufacturers’ BIM objects, but creating and maintaining them requires expertise that architects and designers don’t have time to commit. Furthermore, there’s no efficiency for UK construction if every designer creates their own BIM objects for each manufacturer. This is where the NBS National BIM Library comes in.
NBS National BIM Library is a publishing tool, which uses the latest web technology to place manufacturer’s products in the cloud, connecting them to other objects, and getting them used by the construction industry. The NBS National BIM Survey 2013 says that:
NBS National BIM Library maintains a focus on high quality digitised objects, available on all platforms. As BIM unfolds and becomes the de-facto source of design information for the industry, quality and ubiquity of data objects will separate success from also ran. Simply put, if your object is not available as a digital object, then your product is unlikely to be bought.
Best of all, for users of the NBS National BIM Library resource, it’s free…
Laser surveying and cloud points can replace the need for traditional 2D surveys, delivering accurate models of existing buildings and infrastructure as 3D models. This can also be achieved faster, with a greater accuracy than traditional methods reducing overall project costs.
3D laser scanning has been around in the offshore sector for many years, creating accurate ‘As-Built’ models of oil rigs and plant facilities. However it is only in the last couple of years that the technology has been cost effective to use in the built environment sector.
While there have been attempts at creating a BIM for older, pre-existing facilities; trying to model a standing building or structure requires numerous assumptions about building design standards and codes, construction methods and materials available at the time of construction. These factors should be borne in mind before undertaking a 3D survey of an existing structure.
The future of architecture and the construction industry is digital; of this there can be no doubt, and BIM is the future of design and long term facility management; it is government led and technology driven; and it is implementing change across all industries, but there is still much confusion about what exactly it is and how it should be utilised and implemented. BIM is a digital model which helps everyone understand the building; however, it is a new technology in an industry typically slow to adopt change. Rest assured though, BIM will grow to play a crucial future role in building design and documentation.
BIM provides the potential for a virtual information model to be handed from Design Team (architects, surveyors, consulting engineers, and others) to Contractor and Subcontractors and then to the Owner, each adding their own additional discipline-specific knowledge and tracking of changes to the single model. The result greatly reduces information losses in transfer; makes buildings work, and helps build better value constructions. By signalling conflict detection BIM prevents errors creeping in at the various stages of development/construction, because the model actually informs the team about parts of the design which are in conflict or clashing. Finally BIM offers detailed computer visualization of each part and assembly in relation to the total building.
As hardware, software and cloud applications herald greater capability to handle increasing amounts of raw data and information, use of BIM will become even more pronounced than it is in current projects.
This article was produced with the technical assistance of Ian Chapman and Stefan Mordue, both of NBS.
Michael Smith is a member of the Construction Information Service editorial team. He is a mechanical engineering and building services specialist, chartered information specialist (MCLIP) and chartered environmentalist (CEnv).
NBS BIM information pages
NBS Published guidance and information on BIM resources for the construction industry
NBS National BIM Library
NBS National BIM Library contains over 5000 proprietary and pre-configured generic objects covering all major building fabric systems for walls, ceilings, roofs and floors; with new content added every few weeks, and all available free
NBS National BIM reports
Includes links to the National BIM Survey reports, IFC/COBie report and BIM for the terrified, all available for free
BIM – Changing our industry
WSP Group’s online hub exploring BIM in the construction industry
Construction Project Information (CPIC)
Promoting collaborative working within the construction industry.
Industry Foundation Classes (IFC/ifcXML)
Official source of all information about the technical specifications issued by buildingSMART International and of the supporting interoperability implementation programmes.
IFC Model specification pages
Contains an overview about IFC releases, including current IFC release, background information about previous releases, and preview of future releases
Green Building XML (gbXML)
gbXML open schema helps facilitate the transfer of building properties stored in 3D building information models to engineering analysis tools
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Being productive is not just about being efficient. Sure, you can tweak a few things here to attempt be more efficient with respect to your numerous renovation, repair, sustainability, and construction projects, but substantial productivity gains require fundamentally changing how you do things.
Doing something more efficiently is not as effective as deploying a process or technique that results in doing something a better way.
Improving construction productivity is not rocket science. The sole reason construction productivity has been abysmal vs. virtually every other business sector is its failure to adopt standardized, proven, and collaborative processes.
Owners must learn more about collaborative and integrated project delivery methods: IPD – integrated project delivery for new construction, JOC – job order contracting or renovation, repair, sustainability, and minor new construction, and PPP – private-public-partnerships.
IPD, and JOC, a form of IPD are neither radical nor new. Both have been around and practiced for decades, however, very few Owners have taken the time to learn about these collaborative methods and/or how to implement them properly.
While “blame” is not the purpose of this article, Owners are, in fact, to blame. They write sign the contracts and write the checks. They have enabled the high level of waste throughout the construction industry.
Improvements of 20-25%+ on the procurement side, virtual elimination of legal disputes, and significant reduction of change orders are just a few of the benefits provided by IPD and JOC. In addition, owners, contractors, and AEs tend to get more work done on-time and on-budget. Also, what is delivered is what was anticipated.
Traditional design-bid-build is not a friend to collaboration and productivity improvement and should be avoided unless absolutely necessary. Low-bid, should most certainly be abandoned unless one is purchasing a commodity and all other variables are consistent.
Poor construction project management and associated traditional construction delivery method lead to unsupportable levels of waste and overall dissatisfaction among all stakeholders – Owners, AEs, Contractors, Subs, Build Product Manufacturers, Oversight Groups, Building Users, and the Community.
Both economic and environmental issues are begin to force change, however, the pace has been glacially slow. Far too much time has been spent upon 3D visualization techniques vs. efficient project delivery methods and associated life-cycle management of built environment.
Collaboration critical, but it’s more than a “buzzword”. Collaboration must be implemented with proven business “best-practices” supported by technology and continuously improved.
The key characteristics of IPD, Job Order Contracting and associated collaborative construction delivery methods are as follows:
1. Early and ongoing joint participation among Owners, Contractors, AEs …
2. Shared risk/reward
3. Transparent and/or standardize costs (example: a unit price book, UPB, based upon RSMeans or other dependable source)
4. Common terms and definitions / ontology
5. Supporting technology with embedded workflows/processes to enable consistent deployment, monitoring, and reduced implementation costs.
Collaborative construction delivery methods such as IPD and JOC change the way most Owners, AEs, and Contractors do things on a day-to-day basis. Long term relationships and transparent information sharing are the norm vs. exception.
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