Integrated Design and Delivery Systems By Dr Zeeshan Aziz – licensed under the Creative Commons Attribution – Non-Commercial – Share Alike License

ORBEE Learning Material Introduction to Integrated Design and Delivery Systems Lesson 1- Lesson 1- The Need for Integrated Design and Delivery Systems

Lesson Plan Overview of the Construction Industry Management organisation within construction Review of existing construction project delivery routes.

Key Learning Outcomes To demonstrate an understanding of the business need for Integrated Project Design and Delivery Systems To understand management organisational structure within Construction To demonstrate awareness of key construction project delivery routes To understand key principles of Integrated Project Delivery

The UK construction industry It accounts for over 8% of GDP Consists of over 300,000 firms employing over 2 million people One in 10 people rely on the construction industry for employment Contractors employ 1.68 million people in UK(2005) Under pressure to become more sustainable and productive

Inefficiencies in Construction Processes ….

Productivity Growth in Construction

Reasons for Declining Construction Productivity Heavily regulated Fragmented nature of the industry Traditional adversarial culture Low investments in R&D Slow to adopt new technology

Problems associated with Document Centric Communication Model Information redundancy Communication errors and loss of project information Errors and omissions in paper documents Inadequacy of traditional project workflows

Functionally Organised Construction Industry (Evbuomwan and Anumba, 1998)

Operations Management by R. Dan Reid & Nada R. Sanders 4th Edition © Wiley 2010

Concurrent Engineering DefinedConcurrent Engineering Defined “Concurrent engineering methodologies permit the separate tasks of the product development process to be carried out simultaneously rather than sequentially. Product design, testing, manufacturing and process planning through logistics, for example, are done side- by-side and interactively. Potential problems in fabrication, assembly, support and quality are identified and resolved early in the design process.” “Concurrent engineering methodologies permit the separate tasks of the product development process to be carried out simultaneously rather than sequentially. Product design, testing, manufacturing and process planning through logistics, for example, are done side- by-side and interactively. Potential problems in fabrication, assembly, support and quality are identified and resolved early in the design process.” Izuchukwu, John. “Architecture and Process :The Role of Integrated Systems in Concurrent Engineering.” Industrial Management Mar/Apr 1992: p Izuchukwu, John. “Architecture and Process :The Role of Integrated Systems in Concurrent Engineering.” Industrial Management Mar/Apr 1992: p

Basic Tenets of Concurrent EngineeringBasic Tenets of Concurrent Engineering Doing things simultaneously Doing things simultaneously Focusing on the Process Focusing on the Process Converting hierarchical organizations into teams Converting hierarchical organizations into teams

Product development Production of components Project implementation Partnering the supply chain Committed leadership Focus on the customer Product Team Integration Quality driven agenda Commitment to people - Key Drivers for Change Key Project Processes Targets for Improvement Capital cost Construction time Predictability Defects Accidents Productivity Turnover & profits -10% 10% - 10% 20% + 20% - 20% 10% + 10% The ‘Egan’ vision for change CE implementation results into achieving improvement targets

Main Areas to Concurrent EngineeringMain Areas to Concurrent Engineering People Technology Project Process

Existing Construction Project Delivery Routes Design– Bid–Build Design – Build Risk Integrated Project Delivery

Design– Bid–Build No contractor involvement Design Competitive bidding Bid No overlap of design and construction Build

CM-at-Risk Requires a commitment by the construction manager to deliver the project within a guaranteed maximum price (GMP)

Integrated Project Delivery 1.Mutual respect & trust 2.Mutual benefit & reward 3.Collaborative innovation & decision making 4.Early involvement of key participants 5.Early goal definition 6.Intensified planning 7.Open communication 8.Appropriate technology 9.Organization & leadership From AIA’s “Integrated Project Delivery: A Guide” (2007)

The “MacLeamy Curve

FactorTraditional Project DeliveryIntegrated Project Delivery Teams Fragmented, assembled on “just-as- needed” or “minimum-necessary” basis, strongly hierarchical, controlled An integrated team entity composed of key project stakeholders, assembled early in the process, open, collaborative Process Linear, distinct, segregated; knowledge gathered “just-as-needed;” information hoarded; silos of knowledge and expertise Concurrent and multi-level; early contributions of knowledge and expertise; information openly shared; stakeholder trust and respect Risk Individually managed, transferred to the greatest extent possible Collectively managed, appropriately shared Compensation / Reward Individually pursued; minimum effort for maximum return; (usually) first-cost based Team success tied to project success; value-based Communications / Technology Paper-based, 2 dimensional; analog Digitally based, virtual; Building Information Modeling (3, 4 and 5 dimensional) Agreements Encourage unilateral effort; allocate and transfer risk; no sharing Encourage, foster, promote and support multi-lateral open sharing and collaboration; risk sharing

References The American Institute of Architects (AIA) Integrated Project Delivery: A Guide. Version 1. [Online]. Available at: ipd.com/IPD_Guide_2007.pdf Diekmann, J.E., Krewedl, M., Balonick, J., Stewart, J and Wonis, S (2004), “Application Of Lean Manufacturing Principles To ConstructioN, Construction Industry Institute Report 19, pp Evbuomwan, N. F. O. and Anumba, C. J. (1998), “An Integrated Framework for Concurrent Life-cycle Design and Construction”, Advances in Engineering Software, 1998, Vol. 5, No. 7-9, pp NIST (2002) [Online] Reid, S. (2011)“Operations Management” Wiley, pp. 20 Teicholz, Paul, discussion on the article “U.S. Construction Labor Productivity Trends, , Paul M Goodrum and Carl T. Haas, Journal of Construction Engineering and Management, Volume 27, Issue 5, pp , September /October 2001.

Learning Resources Integrated Project Delivery (IPD) Introduction to Integrated Project Delivery ( teID=123112&imageID= &id= ) Introductionhttp://usa.autodesk.com/adsk/servlet/limage?si teID=123112&imageID= &id= Journal of Building Information Modelling ( Building Information Modelling ( =402 ) =402