The present century’s era is driven by the industrial evolution of technology, which has become more effective and sound with the introduction of Integrated Project Delivery (IPD) systems. Further, the significance of Building Information Modeling (BIM) along with the integration of IPD has attained significance among professionals, architects and designers. This report is aimed to discuss the strengths and restrictions of delivery systems such as BIM and also to determine/address the following three research questions:
Before presenting the case of BIM, which is the focus of this research, it is important to lay the background of the broader concept of the Integrated Project Delivery (IPD) system, a unique methodology/approach defined by the American Institute of Architects as the delivery process which incorporates parameters such as; systems, individuals, business structures and various practices combined at one point. These parameters/resources are then utilised to reduce waste and optimise available resources by maximising their efficiency.
IPD is such an exceptional method that it can be easily applied to phases of designing, assemblage and construction (AIA, 2012).
The IPD principle applies to varied sets of contractual events; the corresponding IPD teams are composed of owners, architects and contractors. In any case, the complete project integration is done by the owner, leading designer and primary constructor. They will be responsible for the initiation of the project till the complete project handover.
IDP is a project delivery method that works with the system, business, people and all the participants in an agreement. This actually works with the talent present in an enterprise. It is a methodology to run a project by giving incentives and assigning goals to team members so that the project is carried out effectively with minimum resource waste and maximising the company’s productivity. It guides the construction team in all areas of construction, from the development of infrastructure to final touches like fabrication. It also works closely with stakeholders and develops communication between the team and stakeholders to inform them about every product on the project. Its key objective is to involve each department of the company on an equal basis to achieve transparent and 100% results (Cook & Lott, 2007). BIM, on the other hand, is engineered to project delivery tool which has been derived from the concept of the IDP, details of which have been outlined in the following section
BIM is a relatively new model used to design, plan and develop buildings/projects. It has actually revolutionised the way how engineers and practitioners treated the infrastructure and how utilities were designed and planned around the infrastructure. The BIM tool supports the practitioners in coming up with a solution to the problems they have faced previously. The integrated project delivery team works in collaboration with information processed through the BIM to assess and understand the underlying problems and to come up with an effective solution for these issues. This model is effectively used for exchanging information between different models and people working on a project (McNell et al., 2014).
The most common challenges in the field of construction are cost, time, design and fulfilling the business needs. Mistakes in these fields ultimately cost the whole project and the people involved. To minimise errors in these areas, IPD develops a road map with six steps leading to successful project completion. These steps are discussed below:
Misunderstanding the value of an organisation is a common error. So the first focus of IPD is to outline where and how value can be generated in an organisation and ensure that the whole industry is getting the benefit. This allows the engineers to yield greater productivity and usability of their designs. The companies can benefit from it by having a better sequence of construction and manufacture. To know the value in an organisation is critical because it is responsible for the foundation of IPD in an organisation (Salman, 2011).
Despite most companies just focusing on gaining profit, working on this point minimises the cost and induces better staff participation and more incredible energy in completing a project. By gaining an insight understanding of business cases, the investment and the processes involved can be validated. This value proposition helps evaluate improvement by specifying business measures (Hornsby & Allan, 2012).
After the values have been set clear, all the underlying processes are then mapped. For successful implementation of a process structured approach should be adopted, which is strategised by the IPD approach. This not only helps the system to function correctly and also aids in the smooth implementation of a program, and there will be fewer chances of error. For better results in the completion of project requirements, it is advisable to consult with the company’s shareholders. This allows a transparent development with the involvement of everyone important (Forbes & Ahmed, 2010).
To have a successful error-free construction plan, it is very necessary to gather primary data on all the requirements in the early stages of designing the infrastructure. This will help to eliminate flaws throughout the construction and management process. IPD is entirely subjective in defining how an organisation is treating the data because it is the assets on which the whole project will be standing. Any error or mistake in the provided information can adversely affect the final results (Kent & Becerik-Gerber, 2010). However, the data strategy used by IPD should be free of any intellectual property theft or liability concerns.
Choosing the appropriate technology for a project is the main focus of the IPD approach. In this approach, the technology has evolved constantly according to the user's needs. For example, projects like building a nuclear plant require technology that not only caters for the geographic part but also aids in developing the facility, keeping in mind the sensitivity of operations that must be carried out there. This technology must be chosen after carefully evaluating all the requirements in the given project (Dykstra, 2011).
For a company to adapt the IPD approach, it is necessary to evaluate the strengths and capabilities of their staff members who actually have to carry out the proposed changes, such as implementing BIM modelling in their project. If the methodology used is new, then the existing staff needs proper training so they can successfully implement the process. The transfer of knowledge for those working with BIM is also a company asset that can be used in any future plan. Therefore the company should implement changes according to the IPD plan and requirements (Kensek, 2014).
After implementing the system, the possible benefits can be realised very quickly. It is essential to evaluate the metrics that will tell whether the benefits are the same as the values set in the initial stages. If not, then changes must be made to achieve the targeted values. Tracking progress and monitoring values help achieve continuous improvement, and there is a low chance of loss.
IPD approach greatly influences how the budget is being treated, and there is continuous monitoring on exceeding and reducing costs on the project. There is usually no chance of exceeding the estimated cost because all the steps in this process are pretty coordinated. The estimated cost has been set in the light of the opinions, considerations and experience of the professional team members. In addition, the constant monitoring and evaluation reduce the chance of costs exceeding the estimated budget.
In a project, the shareholders and participants take a risk on their profit after investing in a particular project. They don’t want the cost to be overrun and ultimately cost them. Therefore the integrated project delivery also considers this possibility and adds this “dealing with a risk situation” in its plan. This planning of dealing with the risk situation greatly helps deal with greater cost certainty (Deutsch, 2011). IPD with BIM integrated the following principles for budgeting to reduce cost errors in a project:
The basic elements in cost estimation process are the pricing and quantity take-off. These quantities can be obtained in a cost database by being integrated into the building information model. However, this model does not help in getting pricing. To estimate the cost of a project, a cost estimator expert is required to estimate and analyse the cost of every material used in that project and how it should be installed. The pricing of each step is available in the database; however, if it is missing for a degree, then it is the responsibility of the cost estimator that he should study more deeply and come out with an accurate pricing solution (Azhar et al., 2009).
For example, if there is an activity of pouring concrete, then the budget of everything, such as wire mesh, concrete rebar etc., and the quantity to be used should be defined by BIM. This model will counter every detail of everything involved in the activity. The cost estimator should evaluate each unit price, material cost, labour cost and even estimated profits; the labour units will involve the mobilisation, their working duration and wages and material cost include the sum of all the materials that will be used. Once the unit prices are obtained, the cost of the entire project is estimated by multiplying the total quantity extracted from the BIM. The data input and output are quite good in the BIM approach. For the successful implication of BIM, it is important that the architect and the constructor agree on basic components definitions. There would be only successful results (Gudnason & Scherer, 2012).
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Integrated Project Delivery (IPD) is an emerging innovation in construction delivery. It usually conceives the owner, the architect or engineer and the contractor, all entering into a single contract and operating as a collaborative team to design and develop the project with shared risks and rewards in the final cost, schedule, and quality of the larger project. As stated, IPD is like a joint venture strategy to design and construction. It reflects a radical deviation from conventional delivery methods that isolate responsibilities, liabilities, communication, risks, and rewards with contracts that are often lacking in an impetus to collaborate and work toward the shared objective of a successful overall project.
IPD is a growing delivery strategy based on broad concepts that can be tailored on a project-by-project basis. While is no concrete description of IPD, the following basic concepts are generally present:
The main team members, including the owner, architect or engineer, and contractor, enter into a single contract. Either method of contracting for IPD manifests a considerably different contractual design from Design Bid Build, in which the owner enters into separate contracts with the architect/engineer and the general contractor, both of whom are accountable solely to the owner.
The main IPD team members manage and share risks and rewards in the results of the project, generally its cost and time of completion, but any number of performance indicators can be established, including quality, sustainability, minority hiring, etc.
One method with IPD is to split the compensation of each core team member into three categories: direct cost, overhead and profit, and bonus.
Rather than each party having its own on-site office, IPD projects involve a so-called ‘big room’ in which all parties are stationed together to exchange ideas, collaborate and function as a team. The IPD contract must stipulate how BIM or other technology will be used, specifically in input, access, alterations, confidentiality, copyright ownership, technological capability, dependability on data provided by others and restricted or complete responsibility for errors.
To make decisions regarding the project, approval may be required of all stakeholders, votes may be weighted, veto power may be vested in certain team members, or the owner may reserve the privilege to take a decision when the team members are unable to arrive at a consensus.
A hallmark of IPD is minimising the risk of disputes, liability, and litigation in order to promote cooperation and a team environment. The project team member may agree upon different methods to appropriately limit liability: they may excuse each other from liability for good faith errors in judgment, even if negligence is found, except, of course, to the extent that deliberate misconduct prevails.
IPD can prove potentially benefit all participants in the design and construction of a project. Some of its specific possible advantages are stated below:
IPD is not meant for everyone and may not live up to its maximum advantage. Some of its shortcomings are stated below:
IPD is designed solely on collaboration which is in turn based on trust. As teams are structured, the entire focus is on project outcome as opposed to the traditional approach in which individual goal is kept in focus. The best thing is the presence of mutual trust and respect towards the team members, which requires involvement by every party. Compensation is awarded to the teams which have obtained project goals by utilising innovative business models through collaboration and efficiency.
The traditional method of project delivery is based on fragments which are assembled on a just as need basis, and then again, they are strongly hierarchical and controlled entirely by higher management—the processes which are linear, distinct and segregated into sub-tasks according to teams’ knowledge and expertise. The risk factor involved in such projects is high at the individual level, which is then transferred to the greatest extent possible. Further, this process promotes innovation and a culture of exceptional high-class performance. During this phase of construction, the project is ascertained through intensified planning which increases efficiency and increases savings. As responsibilities are clearly defined, identification and resolution of problems are done immediately without individual liability. The complete team is responsible for any error; hence disputes are resolved promptly.
IPD is possibly the most enthralling innovation to emerge in the design and construction industry in decades. With the possibility of considerable cost savings and efficiencies rarely witnessed under the conventional delivery methods, and with the lure of camaraderie, and a collaborative, teamwork environment, IPD could become the leading delivery method in the industry.
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