Why Construction Productivity is Low vs. every other sector.

ImageConstruction productivity remains low, if not in decline ( with the exception of an uptick due to the multi-billion dollar federal government “shovel ready”  investments of 2007/8) due to the continued use of archaic, antagonistic, and counterproductive construction delivery methods such as design-bid-build.

Until the Architecture, Engineering, Construction, Owner, and Operation – AEC / AECOO – industry adopts collaborative construction delivery methods such as integrated project delivery – IPD, and job order contracting, JOC little with change.

Owners are singularly responsible for the longstanding problems as they lack the knowledge and/or capability and/or incentive to adopt life-cycle management philosophies vs. an outdated first-cost mentality.

Technology is not the issue, it is the refusal of Owners to demand basic, fundamental business process changes as so may other industries have already done.   IPD/JOC and other LEAN business processes are neither new, nor difficult to implement.   Do Owner require a legal mandate to force change?   Personally, I don’t like this solution, however, environment and economic imperatives may force this approach?

Your thoughts?

 

Image

Productivity in Construction Sector at a 15 Year Low

Quality, Productivity, and Transparency within the Construction Sector (Architecture, Engineering, Construction, Operations, Owner …) will not improve until there is an engaged collaborative focus by all stakeholders embodied within and supported by proven/robust business processes and enabling technology.

Ongoing, “living”, iterative processes are needed to account for the many variables typically encountered on any renovation, repair, sustainability, or new construction project.  Early and ongoing communication among all stakeholders is a requisite component, as is ongoing continuous measurement and improvement.

Antagonistic ad-hoc construction delivery methods such as design-bid-build, must give way to collaborative, well defined processes such as integrated project dellivery (IPD) and job order contracting (JOC).  Neither of these collaborative methods are “new”, having been deployed and proven for decades, however, cultural resistance and lack of education have proven barriers-to-entry for many/most.

Hopefully the focus upon life-cycle building management, supported by BIM (building information modeling) and larger market drivers such as global competition and sustainability will help to provide the necessary impetus for change.

Building Information Modeling Strategy

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

via http://www.4Clicks.com – Premier cost estimating and efficient project delivery software – JOC, SABER, IDIQ, SABER, IPD, SATOC, MATOC, MACC, POCA, BOA.