Designing Buildings - User contributions [en]

User:Future of Construction

2017-06-15T15:00:05Z

Sequeira Carla:

A central platform to exchange best practices and ideas guiding the infrastructure and urban development industry in its transformation, and helping it to address its key challenges.

To attract the right talent, offering flexibility and work-life balance will be essential

2017-06-15T14:29:16Z

Sequeira Carla: Created page with "File:Work-life-balance.jpg Recruiting and managing talent in the coming years will be challenging for the construction sector, according to a World Economic Forum report Th..."

[[File:Work-life-balance.jpg]]

Recruiting and managing talent in the coming years will be challenging for the construction sector, according to a World Economic Forum report

The prospective scarcity of skilled labour driven by demographic shifts and the increasing sophistication of technology, which demands new and broader skillsets at all levels, coupled with the traditionally high volatility of workforce demand and composition, will be major tests.

Recent survey results confirm these fears. According to the US National Association of Homebuilders, 82 per cent of construction companies consider their main concern to be the shortage of construction workers. Sure enough, figures show that the average age of the workforce is rising faster than ever.

The UK Chartered Institute of Building reports that the set of workers over 60 is increasing faster, and the set under 30 is decreasing faster, than any other. In a construction industry survey conducted for the World Economic Forum, 77 per cent of respondents agreed that the industry is not doing enough to attract and retain talent.

Construction companies are often characterised by a conservative corporate culture and mindset. They are frequently hampered by organisational inertia. To support their overall business goals, the companies themselves need to drive organisational change. This is an iterative process, which requires careful alignment of a company’s culture and goals, its organisational design, and incentive schemes.

Traditionally, workforce management in construction was equivalent to living a boom-to-bust cycle as hiring and firing followed the general trend of the economy. Winning the war for talent, however, requires a fundamentally different and longer-term approach. The first step involves strategic workforce planning, thinking strategically about the company’s future demand in terms of quantity and quality of skills, and the likely availability of those skills to plan recruitment, retention and training systematically.

The concerns are not just about the quantity but also the quality of the future skilled workforce. The construction industry is undergoing a rapid digital transformation, through disruptive technologies such as building information modelling, wireless sensing, big data and analytics, 3D printing, and autonomous equipment, which requires radically different skillsets, and puts the industry in competition with technology companies for data scientists and IT experts.

By embracing innovation and new technologies, construction companies cannot only make themselves ready for the future, but can also meet the talent challenge. Increased automation, off-site prefabrication, new collaboration tools and suchlike advances will help to enhance productivity and wages as well as reduce the time spent on-site, two key wishes of respondents in the World Economic Forum industry survey.

Some innovations that are now standard in the automotive industry – exoskeletons, human-robot collaboration and ergonomic work processes – could benefit construction work too, making it less physically demanding and better suited to an ageing workforce.

The sector is well positioned to create a more appealing image, one of a dynamic and purpose-driven industry. In our survey, industry professionals proudly cited their beneficial impact on society, their contribution to national development, and their engagement with some of the serious modern challenges such as urbanisation and climate change.

Construction stakeholders should collaborate more in communicating this impact and should relay their fascinating stories more broadly by means of social media. Companies should start early, and go out to schools and universities to shape the image of the industry actively. To be successful in attracting the right talent, offering flexibility and a sufficient work-life balance will be essential.

The various actions will require a firm commitment from industry stakeholders and often a considerable financial investment too. As always, any investment should be based on a clear strategy and should be prepared carefully to pay off in the future. Failing to make a generous investment in talent would definitely be short-sighted. In the words of the renowned management consultant Peter Drucker: “Developing talent is business’s most important task – the sine qua non[essential condition] of competition in a knowledge economy.”

Also found in [https://www.raconteur.net/tag/construction #CONSTRUCTION] [https://www.raconteur.net/tag/opinion #OPINION]

* Written by 
Michael Buehler, head of infrastructure and urban development, World Economic Forum

Please find the original article [https://www.raconteur.net/business/to-attract-the-right-talent-offering-flexibility-and-work-life-balance-will-be-essential here]

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2017-06-15T14:27:44Z

Sequeira Carla:

Will Brexit shake UK construction?

2017-06-15T14:24:25Z

Sequeira Carla: Created page with "File:Brexit.jpg Opinion is divided on whether Brexit will undermine mega construction projects in the UK, with some experts warning of troubled times ahead A vast army of t..."

[[File:Brexit.jpg]]

Opinion is divided on whether Brexit will undermine mega construction projects in the UK, with some experts warning of troubled times ahead

A vast army of talented engineers and other construction professionals are working flat out to complete massive projects in the UK, including Crossrail and the Thames Tideway Tunnel. Will Brexit affect investment in these construction projects, as well as the cost and availability of materials and labour?

“The infrastructure projects in which we invest should experience limited fallout from Brexit,” according to Giles Frost, chief executive at International Public Partnership, the FTSE 250 infrastructure fund which is a member of the Bazalgette Consortium investing in and delivering the Thames Tideway scheme. “In the 11 months since the referendum, we haven’t seen any slowdown in investors wanting to invest in UK infrastructure projects.”

Mr Frost, who is also chief executive of Amber Infrastructure, adds: “Infrastructure investment is low risk and uncorrelated to the wider equity markets. The day after the referendum, the share price of International Public Partnerships increased while the broader FTSE went down because of the immediate uncertainty. Brexit has had no negative impact on investment in infrastructure.”

[[File:Brexit2.jpg]]

== CONSTRUCTION CONCERNS ==

However, fear and scepticism surround Brexit. “Uncertainty is never good for business,” he says. “Brexit has caused unnecessary confusion and navel gazing. It is an extra complexity that nobody predicted, but thanks to the long-term nature of our horizons, infrastructure investment is well positioned to weather this uncertainty.”

But a major concern is the cost of hiring the tunnel boring machines used on major projects. David O’Reilly, vice president of KBR, formerly Kellogg Brown & Root, says plant costs could soar, but expects financing of the machinery to have been managed by buying euros at forward rates, thereby minimising the effect of detrimental fluctuations in the exchange rate.

Mr O’Reilly, who is project director of the Qatar Expressway Programme, urges UK construction professionals to look beyond Europe. “For UK businesses, the world is your oyster. We have considerable skills. These skills have no association with Brexit. There is an appetite for UK professionals. That is why KBR has been trading successfully for the last 30 to 40 years,” he says.

The UK is a world leader in construction and civil engineering, but labour costs are another major concern. “UK construction is becoming increasingly dependent on skilled labour, as well as unskilled labour, from overseas,” says Mr Frost. It is possible labour costs will go up if the UK is less able to access labour from overseas, he says, also expressing concern that immigration controls might be introduced which could prevent or deter workers normally resident outside the UK from coming here.

There are simply not enough British workers to meet the demands of the construction industry

Grahame Carter, managing director of Matchtech, a leading engineering recruitment agency, says: “To deliver projects similar to the scale of High Speed 2 and Thames Tideway, some countries, including Dubai and Qatar, implement a visa system. Companies that win contracts are allocated a set number of visas to guarantee enough talent to complete the project successfully.”

Although there is a considerable amount of optimism about willingness to invest in large infrastructure projects and confidence in the UK’s construction workforce, many people are still worried.

Andrew Goldman, group marketing and technology director at Rydon Group, a construction, development, maintenance and management group, explains: “The UK construction sector shrank after the UK voted to leave the EU, but has shown some recovery subsequently.”

Also, he is concerned about the supply of labour. “There are simply not enough British workers to meet the demands of the construction industry and Brexit threatens to diminish EU resources further,” says Mr Goldman. According to London Assembly figures in February 2017, 25 per cent of construction workers in the capital were from the European Union.

The cost of materials is another worry. He says: “Sixty four per cent of the building materials used in the UK are imported from the EU. The EU is also the largest market for the construction materials we export, purchasing 63 per cent. Brexit will potentially lead to heavy duties or limits on quantities of materials.”

In mid-May, the Brexit Infrastructure Group of the Institution of Civil Engineers sent an open letter to leaders of the political parties, outlining the risks faced by the infrastructure sector ahead of the general election and Brexit negotiations.

It said the government must clarify the UK’s future relationship with the European Investment Bank following departure from the EU. “The Brexit Infrastructure Group has offered a three-part strategy to ensure Brexit does not disrupt the delivery of the planned pipeline of major infrastructure projects, which underpins government’s current efforts to drive up UK productivity. This planned pipeline will require £500 billion of private investment over the next ten years,” the group said.

But the Royal Institute of Chartered Surveyors (RICS) warns of difficult times ahead.

RICS says the UK construction industry is “already facing skills shortages, jeopardising a predicted £500- billion project pipeline” and adds that “8 per cent of the UK’s construction workforce comes from the EU”.

“Post-Brexit, should the UK lose access to the single market, 176,500 jobs could be under threat,” RICS warns, adding that “30 per cent of construction professionals surveyed revealed that hiring non-UK workers was important to the success of their businesses”.

Also found in [https://www.raconteur.net/tag/brexit #BREXIT] [https://www.raconteur.net/tag/infrastructure #INFRASTRUCTURE] [https://www.raconteur.net/tag/construction #CONSTRUCTION]

* Written by 
John Osborne, Freelance industrial journalist

Please find the original article [https://www.raconteur.net/business/will-brexit-shake-uk-construction here]

[[Category:International]] [[Category:Organisations]] [[Category:Projects_and_case_studies]] [[Category:Publications_/_reports]] [[Category:Research_/_Innovation]] [[Category:Health_and_safety_/_CDM]] [[Category:Planning_permission]] [[Category:Policy]] [[Category:Regulations]] [[Category:Standards_/_measurements]] [[Category:Sustainability]] [[Category:Construction_management]] [[Category:Construction_techniques]] [[Category:Contracts_/_payment]] [[Category:Cost_/_business_planning]] [[Category:Design]] [[Category:Products_/_components]] [[Category:Public_procedures]]

File:Brexit2.jpg

2017-06-15T14:23:39Z

Sequeira Carla:

File:Brexit.jpg

2017-06-15T14:22:07Z

Sequeira Carla: uploaded a new version of "File:Brexit.jpg"

Building up wellbeing in construction

2017-06-15T14:20:41Z

Sequeira Carla: Created page with "File:Well.jpg Macho culture of mainly men working on building sites has been among barriers to improving alarming rates of mental illness among construction workers The gle..."

[[File:Well.jpg]]

Macho culture of mainly men working on building sites has been among barriers to improving alarming rates of mental illness among construction workers

The gleaming steel, glass and masonry, the clean lines, the manipulation of space and showcase design features are the visible characteristics of construction.

But behind many successful builds lies a hidden toll that never makes the glossy prospectus; the plight of the workers who shape the buildings we live and work in.

Bleak statistics put the UK’s 2.1 million construction workers in the basement of mental health wellbeing with the trade experiencing staggering levels of depression and suicide.

The industry has been shocked by a series of studies that lay out the scale of the problem. Office of National Statistics figures released in March this year highlight that the risk of suicide among low-skilled male labourers, particularly those in construction, is 3.7 times higher than the male national average. The figures, for workers aged 20 to 64, showed 1,419 suicides in construction and building trades from 2011 to 2015.

Other research details that work-related stress, anxiety and depression cost the industry 400,000 work-days a year and accounted for around 20 per cent of all cases of ill health in construction over the last five years.

“We were getting national statistics that two people a week in construction had taken their lives. It was totally unacceptable and, frankly, shaming on the industry,” says Clive Johnson, who helped create the Health in Construction Leadership Group (HCLG), which brings together the main construction companies, unions and safety organisations to tackle health issues.

“The industry had been focusing on safety because of the immediacy of injuries as opposed to the latency of occupational ill health. We had not done enough.”

== WHAT CAN BE DONE? ==

Under the HCLG banner, chief executives of 150 top companies resolved last year to tackle occupational health, including mental health, and five companies – Wilmott Dixon, Balfour Beatty, Careys, Heathrow and Tideway – are now trialling a version of the Australian Mates in Mind programme that tackles stigma on building sites. Each operative coming on to a site has a 45-minute session on mental health wellbeing, while supervisors get 3.5 hours’ coaching and line managers attend a two-day mental health first aid course.

Transferring good intentions from a classroom to the intestines of a site is a mammoth task as Mr Johnson explains: “There is a transient workforce with people often travelling long distances to jobs with a lot of pressure being away from home, along with deadlines and worry about their next job, and these ingredients affect mental stability. But they simply don’t talk about their problems; it attracts stigma in a macho industry.”

Mr Johnson, who is group head of health and safety at Land Securities, the UK’s largest listed commercial real estate company with a £14.5-billion portfolio, believes getting the right tone to reach workers is vital. He even arranged for a professional comedian to deliver mental health messages in a stand-up routine as part of an innovative approach.

“We struggle to attract people to our industry because the impression is it’s dirty and dangerous, so we need to change the image by making workplaces safer, happier and healthier. There is also a productivity element, so investing in this is a win-win for the industry.”

The RISE Group has run a series of seminars for its own staff and sub-contractors, and is training workers as mental health first aiders. “There is mental health stigma across society, and this may be exacerbated in construction because there are more men working in it and men are less likely to talk about these things,” says Nathalie Duncan-Sletten, senior consultant at the construction and project management specialists, whose work includes the refurbishment of the Royal Opera House and establishing Amazon’s new UK headquarters in Shoreditch, London.

The industry had been focusing on safety because of the immediacy of injuries as opposed to the latency of occupational ill health

“It won’t change overnight. It is about educating employees and line managers to change attitudes so people do not feel guilt at having to take time off work due to mental illness, and for managers to be open and recognise it as a true from of malaise.”

Unite, the biggest union representing construction workers, is part of the HCLG and campaigns for greater understanding of building-site pressures where workers move from job to job frequently.

According to Unite: “Some of these initiatives are at an early stage so we are not seeing a change at cabin or canteen level yet. As a union we are developing initiatives to tackle mental health issues, but one of the challenges is to overcome the macho culture which remains prevalent.

“It is also important to recognise that some workers are only on sites for a few days and it is difficult to get messages across to them, and when you are working in a fragmented manner, the camaraderie of the construction site can be a myth.”

A 2016 survey of site workers by UCATT (Union of Construction, Allied Trades and Technicians), now merged with Unite, recorded that 64 per cent of respondents suffered or had suffered from stress, yet 72 per cent did not mention it at work. A disturbing 65 per cent had experienced mental health issues.

But Mr Johnson believes the societal swing towards understanding mental health, accelerated by the Duke and Duchess of Cambridge and Prince Harry’s Heads Together campaign, is energising change.

“The commitment from big companies is fantastic, and we are going to hold them to it and challenge them regularly,” he says. “We can reduce absenteeism and make sure workers have a longer, happier retirement and this is a moral obligation as well as a professional one. Construction has to change – and it is.”

Also found in [https://www.raconteur.net/tag/construction #Construction]

* Written by 
Danny Buckland, Award-winning health journalist

Please find the original article [https://www.raconteur.net/business/building-up-wellbeing-in-construction here]

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File:Well.jpg

2017-06-15T14:19:41Z

Sequeira Carla:

Construction is an industry ripe for tech disruption

2017-06-15T14:16:21Z

Sequeira Carla: Created page with "File:Tech-disruption.jpg Despite some reticence, the construction industry is on the cusp of a technology revolution which will reshape its future Innate conservatism are w..."

[[File:Tech-disruption.jpg]]

Despite some reticence, the construction industry is on the cusp of a technology revolution which will reshape its future

Innate conservatism are words that are used to describe the construction industry. While the retail and automotive sectors are the proverbial hares when it comes to implementing technology, those who plan our built environment are the tortoises.

“We’re a low-margin industry, which has led to a lack of investment in research and development over recent decades, especially when compared to other industries,” explains Sam Stacey, director of innovation, industrialisation and business improvement at Skanska UK.

However, there’s now a groundswell of professionals who realise technology can disrupt this sector, boosting flat-lined productivity and changing the way the industry works for ever.

[[File:Tech-disruption1.jpg]]

== CONSTRUCTION CHALLENGES ==

“It’s the change in mindset that’s always proven to be the biggest challenge,” says Tim Chapman, director at Arup. “There are still many practitioners who want to protect the established ways of doing things, but the evidence from other industries where technology has taken hold is that soon it will be too big a draw to ignore.”

It doesn’t help that the industry is highly segregated between disciplines making the adoption of unified workflows difficult. Many projects are also bespoke rather than iterations of previous designs. This means the technological applications are more complicated. There’s also been a lack of investment in tools and training.

“Design is heavily rooted in past experience and the latest technologies are viewed as risky and priced accordingly,” explains Mathew Riley, managing director of Ramboll UK. “Construction earns its money on a series of individual, mostly unrelated, projects with no incentive to invest in new ways of working.”

It doesn’t help that clients don’t want to be guinea pigs, testing out new technology, especially if the project has a multi-million-pound price tag, yet there are companies shaking things up. “The amount of disruptive technologies emerging for smarter construction in ‘pursuit of a better way’ is astonishing,” says Jon Harris, director of digital technology at Mace.

[[File:Tech-disruption2.jpg]] A drone towing a cable over the Dadu River in the construction of a 1.1km bridge in Ya’an, Sichuan Province, China

== SHAKE-UP ==

Real-time collaboration, building information modelling in the cloud, 3D printing, augmented reality, survey drones, big data and the internet of things, as well as wearable technologies, gaming and digital workflows are now being deployed.

“Adoption is the key to overcoming barriers in the construction industry and will require broad-thinking clients who actively encourage a better way of working for the overall benefit of their project and end-users,” says Paul Westbury, group technical director at Laing O’Rourke.

The main benefit is time compression. New tech allows engineers, architects and surveyors to make better decisions quickly, optimising design, automating engineering or reducing the risk involved in off-site and on-site construction. Project life cycles can be shortened, boosting productivity.

The evidence from other industries where technology has taken hold is that soon it will be too big a draw to ignore

“It also offers us the single biggest opportunity to mitigate the risk against a skills shortage across the industry, whether accessing a broader skillset in design or reducing the dependency for on-site labour,” says Mr Riley.

Drones are now used to perform surveys, scans and inspections, saving on the cost of employing a well-trained engineer on-site. It also reduces the need for safety equipment and risk assessments since drones can work in dangerous areas.

Health and safety is a big concern for the industry, driving technology adoption and reticence at the same time. “We’re finding that clients are still hesitant about processes automated by computers, as many large building projects involve operating heavy machinery,” explains Mr Chapman.

Some believe it’s time the industry developed a “technology roadmap” where there’s a mutual understanding of the key challenges which need to be overcome and the supporting technologies that will enable this to happen. The Infrastructure Industry Innovation Platform (i3P) is one answer to this.

This aims to utilise smart design and manufacturing, new materials, smart infrastructure underpinned by artificial intelligence, virtual and augmented reality, autonomous vehicles and drones, as well as protecting people through wearable technology.

“Many organisations have experimented with some of these technologies, but to achieve widespread adoption it requires a commitment to collaborative innovation,” Nick Sumption, industry innovation lead for i3P at Thames Tideway Tunnel, concludes.

= CASE STUDY: ARTIFICIAL INTELLIGENCE =

[[File:Tech-disruption3.jpg]]

Artificial intelligence (AI) will shake up construction taking on mundane tasks that are labour intensive, especially design. “AI in building information modelling (BIM) will bring a paradigm shift to our industry,” says Tim Chapman, director at Arup.

It will transform the way we build; eventually it will be used to design bridges and tunnels, for example, as well as other standard features. Soon we will be able to drag and drop a rail bridge on to a computer model of, say, the High Speed 2 rail link for BIM software to calculate all the parameters.

The software is slowly becoming more sophisticated, so it won’t be long before this will happen. “AI still needs to evolve. BIM is still in its early days. When you look at average BIM data, this becomes clear. AI works with a very complex dataset. Construction cannot yet inform AI, but it will in the future,” says Malcolm Stagg, director of digital engineering at Skanska UK.

Machine-learning will also allow design tools to provide rapid feedback on how to maximise the value of each building site in terms of the best configurations.

“AI will allow greater knowledge-sharing, making sure there is a central brain that learns from experience,” says Mr Chapman. Machine-learning should also free up professionals to spend more time doing creative thinking.

“There is now demand for supply to be cheaper as the global need to construct new infrastructure increases. Applying AI will lead to reduced prices, better safety, and more accurate and rapid assembly,” he explains.

Also found in [https://www.raconteur.net/tag/disruptive-technology #DISRUPTIVE TECHNOLOGY] [https://www.raconteur.net/tag/construction #CONSTRUCTION] [https://www.raconteur.net/tag/technology #TECHNOLOGY]

* Written by 
Nick Easen, Award-winning freelance journalist and broadcaster

Please find the original article [https://www.raconteur.net/business/construction-an-industry-ripe-for-tech-disruption here]

[[Category:International]] [[Category:Organisations]] [[Category:Projects_and_case_studies]] [[Category:Publications_/_reports]] [[Category:Research_/_Innovation]] [[Category:Health_and_safety_/_CDM]] [[Category:Planning_permission]] [[Category:Policy]] [[Category:Regulations]] [[Category:Sustainability]] [[Category:Construction_management]] [[Category:Construction_techniques]] [[Category:Contracts_/_payment]] [[Category:Cost_/_business_planning]] [[Category:Design]] [[Category:Property_development]] [[Category:Roles_/_services]]

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2017-06-15T14:15:34Z

Sequeira Carla:

File:Tech-disruption2.jpg

2017-06-15T14:14:25Z

Sequeira Carla:

File:Tech-disruption1.jpg

2017-06-15T14:12:47Z

Sequeira Carla:

File:Tech-disruption.jpg

2017-06-15T14:10:31Z

Sequeira Carla:

Modernise or die - the need for change in construction

2017-06-15T14:09:18Z

Sequeira Carla: Created page with "File:Modernise-or-die.jpg It’s no secret that the construction industry is most of the times really resistant towards change. This element has created, of course, many iss..."

[[File:Modernise-or-die.jpg]]

It’s no secret that the construction industry is most of the times really resistant towards change. This element has created, of course, many issues to the industry across the years. According to the [http://www.cast-consultancy.com/wp-content/uploads/2016/10/Farmer-Review-1.pdf 2016 Mark Farmer review on the existing situation in UK construction], the current status of the field is more than alarming.

The title of Mark Farmer’s work (Modernise or Die) depicts on the most descriptive way possible the [http://uk.progressclaim.com/insights/modernise-or-die/ need for deep changes in construction]. The review itself is focusing on the United Kingdom, but many of its points can be of great value for many different markets and countries.

=== DEFINITION OF THE PROBLEM ===

Before we start analyzing all the different practices that have to change, it’s essential to define the problem. In that way, we can dig in for solutions much more efficiently. In a nutshell, the main [https://citizensgeneral.com/business-insurance-news/postid/29/the-10-biggest-problems-in-construction-solved challenges for the construction sector] are connected to the following points:

a) Lack of investments in innovating the whole construction and training process

What has been identified as one of the main pains in the industry is its unwillingness to guide its resources, both financial and time related, towards [https://www.raconteur.net/business/top-ten-construction-innovations innovation]. The need for adopting new techniques in construction is more apparent than ever. It would instantly boost the whole project management process. Moreover, it would lead to the creation of a more skillful and productive labour force.

b) Not enough well-trained workers

Based on the stats of [http://www.cast-consultancy.com/wp-content/uploads/2016/10/Farmer-Review-1.pdf Mark Farmer’s review], there will be a drop up to 20-25% in [https://conappguru.com/apps/the-construction-worker-of-the-future/ construction workers] within the next ten years. The fact that a considerable amount of people working on site haven’t received the proper training both on the currently used techniques and on the upcoming innovative technologies make things even worse. The future of construction could be darker, if we don’t turn our attention to it.

c) [https://geniebelt.com/blog/25-ways-labor-market-loses-money-productivity-infographics Serious productivity losses]

As an extension of the two priorly mentioned issues, the levels of productivity losses in construction are tremendously high. Productivity losses are the result of a number of different issues. All these problems come eventually down to the inability of a construction project team to stick to its initial plan. As a consequence, serious implications are arising and the bond between the industry and its customers is harmed.

== CHECK OUT ALSO: [https://geniebelt.com/blog/best-construction-software-2017 BEST CONSTRUCTION SOFTWARE COMPANIES FOR 2017] ==

=== THE REASONS BEHIND THE PROBLEM ===

In order to come up with functional solutions, it’s crucial that you identify first the causes of the problem. If we were trying to take a step back and look into them we could end up to the following observations:

No effort to change

Sticking to your habits can sometimes be very dangerous. This seems to have happened in construction where almost everyone appear to be stacked to the very same practices that go on and on for decades. Given this situation, it’s impossible for a new reality to emerge within the industry. On top of that, this perception that everything remains the same, no matter what, builds a bigger distance between what companies offer and what customers need/want.

Different points of interest for the industry and its customers

The construction industry seems trapped in conventional and dysfunctional structures and techniques. These eventually deteriorate its connection with the interested clients. This inability of the two sides to synchronize their wishes and visions could eventually lead to a pretty dark future for construction.

Lack of willingness to be the first one make the change

To make things even worse, it appears that this inertia will continue as long as there is no one to decide to lead towards this change. Or to provoke alteration on the existing structures. To a great extent, it should be the responsibility of the state to take things on its own hands and offer strong incentives that could at some point push construction towards a more technological oriented future. In other words, there’s a strong need for synchronized action against the traditional prevailing patterns of the industry.

=== WHAT WE CAN DO ABOUT IT ===

[[File:Modernise.png]]

The next day for construction doesn’t seem prominent at the moment. However, this could change if there was a unified action towards the right direction. It won’t be an easy transition, of course, but it’s something that has to be done. Below we have gathered some potential solutions to today’s dead end:

Research and Development as a priority

We already mentioned above that one of the main issues of construction today is the [https://www.theguardian.com/lendlease-redesigning-cities-zone/2016/jul/26/millennials-are-the-key-to-constructions-skills-shortage-we-need-to-engage-them lack of skilled workers]. To surpass this obstacle, there’s absolute need of investing as much as possible in providing proper training to all the professionals of the field. Furthermore, we need to investigate new ways in which we could increase productivity and incorporating [https://geniebelt.com/ digital solutions on site].

Embrace new technologies

Construction is a traditional field and it will always have a strong connection with manual labor. This doesn’t mean, though, that there’s no room for new technologies to become part of the project management process. The use of [https://geniebelt.com/blog/construction-software-companies-2017 trustworthy construction software], for example, could provide great help in making the construction procedure more effective. Furthermore, it could [https://geniebelt.com/blog/10-ways-to-improve-communication-in-construction-infographics build stronger communication between all the different agents of a project].

[https://geniebelt.com/blog/construction-manager-is-the-industrys-uncrowned-king Strong guidance]

For deep changes to eventually work, there’s always a strong need for someone to lead. In this case, the initiative should be taken from the state in close collaboration with the people working within the industry. The establishment of tempting incentives in order for the whole industry to become more open towards technological solutions would transform the industry dramatically in the long run. During this ground-breaking process, it’s imperative that the clients will also voice their concerns.

Successful combination of innovative and traditional techniques

The need for new practices and techniques doesn’t mean that everything traditional has to go. To the contrary, the ultimate goal should be to find a way in which we will be able to bring together the positive elements of the past and the innovative techniques of the future. By doing so, we will be in position to evolve the construction process and maximize productivity.

=== CONCLUSION ===

The whole industry seems to be in a dead-end at the moment. That’s why, it’s more than necessary for construction to open its gates to [https://geniebelt.com/ new technologies]. The optimization of the [https://geniebelt.com/blog/construction-project-management-processes-everything-need-know construction project management procedure] in combination with the adoption of an open-mind towards change will result in saving the industry’s future. In any other case, construction will start facing an even deeper crisis during the upcoming years.

* Written by 
Anastasios Koutsogiannis, Marketing Coordinator, Geniebelt

Please find the original article [https://geniebelt.com/blog/modernise-or-die here]

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2017-06-15T14:08:57Z

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2017-06-15T14:06:52Z

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Top 4 challenges facing the construction industry

2017-06-15T09:45:13Z

Sequeira Carla: Created page with " File:Digitalist.jpg Population growth statistics paint a rosy future for the construction industry. With the global population predicted to hit [http://www.un.org/en/devel..."

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Population growth statistics paint a rosy future for the construction industry. With the global population predicted to hit [http://www.un.org/en/development/desa/news/population/2015-report.html 9 billion by 2050] – and [http://www.un.org/en/development/desa/news/population/2015-report.html two out of every three people living in cities by 2050] – the demand for construction has never been greater. Worldwide, construction is already one of the largest industry sectors, accounting for more than 11 percent of global GDP and expected to grow to 13.2 percent by 2020, according to a 2014 [http://in.reuters.com/article/idINIndia-55293920110303 PwC] report.

But focusing on this strong demand obscures a more precarious reality. Underlying challenges in productivity, profitability, performance, labor, and sustainability could derail the industry’s growth.

Today, the construction industry is at a crossroads. Companies that address these challenges head-on and re-imagine their business processes will be poised for significant growth. Businesses that fail to take the challenges seriously, however, will face an uphill battle for viability.

=== Challenge #1: Poor productivity and profitability ===

Currently, the barriers to entry in construction are low, creating a saturated marketplace with heavy competition. This competition is shrinking profit margins and constraining essential reinvestment in new technology and better business practices. Stagnant construction labor productivity is compounding this problem. While other industrial businesses have benefited from a [http://ijbssnet.com/journals/Vol_4_No_7_July_2013/1.pdf 100 percent increase in labor productivity], productivity within the construction industry has remained stagnant over the last 50 years.

Why is productivity stagnation? According to a Construction Owners Association of America (COAA) study, 63 percent of direct labor time on mega-construction projects is spent waiting for materials and equipment, traveling to the area, taking early breaks, and planning how to do the work. This lack of productivity is reflected in the bottom line, where [http://csimarket.com/Industry/industry_Profitability_Ratios.php?ind=205 typical margins for construction companies] range between 2 and 8 percent. Consequently, construction companies find themselves trapped between shrinking profit margins and stagnant productivity, unable to generate the profit necessary to invest in critical technology.

=== Challenge #2: Project performance ===

The opportunities in construction are growing, but so is project complexity. With companies already operating under razor-thin profit margins, a single production surprise can wipe out profits for the whole company. Design complexity compounds this problem. As designs become larger and require greater efficiency, construction companies struggle to keep up.

The lack of on-time and on-budget projects is telling. According to an [https://www.accenture.com/hu-en/insight-outlook-how-to-boost-capital-project-performance Accenture] study, only 30 percent of large projects in the energy industry are delivered on budget, and only 15 percent of projects are completed on time. Worse, the [https://www.kpmg.com/BR/PT/Estudos_Analises/artigosepublicacoes/Documents/Build-Construction/global-construction-survey-2015.pdf 2015 KPMG Global Construction Survey] found that more than half of all construction companies experienced one or more underperforming projects in the previous year.

=== Challenge #3: Skilled labor shortages ===

The construction industry is bracing for a dramatic reduction in workforce. The [http://www.constructionbusinessowner.com/management/workforce-management/march-2015-global-construction-labor-skill-shortages Associated General Contractors of America (AGC)] found that 74 percent of the total respondents believe there is a crunch in skill trades, and 53 percent said they were unable to hire construction professionals such as supervisors, estimators, and engineers.

Prior to the recent recession, the U.S. construction market consisted of two generations: the traditionalists and baby boomers. Now, the workforce has [http://www.constructionbusinessowner.com/management/workforce-management/march-2015-global-construction-labor-skill-shortages split into four generations]: traditionalists, baby boomers, Generation X, and millennials. This present labor diversification is a challenge because of stark differences in work ethic, attitude, outlook, and behavior between the generations, reports [https://www.pwc.com/m1/en/services/consulting/documents/millennials-at-work.pdf PwC]. Traditionalists have nearly all left the workforce and baby boomer retirement is in full swing. Furthermore, the recession drove many skilled craftsmen to leave the industry and never return. By 2020, millennials are expected to represent half of the global workforce– many with little to no experience or interest in the construction industry.

The combination of increasing project complexity and decreasing experience is a risk multiplier, increasing the risk of deliverable delays, quality construction problems, and employee safety concerns.

=== Challenge #4: Sustainability concerns ===

The construction industry is the top global consumer of raw materials. The industry generates between [http://www3.weforum.org/docs/WEF_Shaping_the_Future_of_Construction.pdf 25 to 40 percent of the world’s carbon emissions]. This volume of natural resource utilization is not sustainable and could compromise the environment for the sake of growth. [http://constructingexcellence.org.uk/resources/key-issues-in-sustainable-construction/ Climate change and water management] are two environmental issues that pose a growing challenge to the construction industry. [http://constructingexcellence.org.uk/resources/key-issues-in-sustainable-construction/ Achieving targets for global carbon dioxide emissions reduction] will be a major challenge for the construction energy in rapidly developing countries like India and China. Smart planning and sustainable design could reduce energy consumption and pollution, but require a new approach to project management– an approach that the construction industry on a whole is not yet prepared to undertake.

=== Next steps: Embracing disruption and preparing for the digital future ===

The construction industry is at an inflection point, analogous to the move from landline telephony to cellular technology. Digital technologies are disrupting the industry, providing new opportunities to address the challenges of poor profitability/productivity, project performance, skilled labor shortages, and sustainability concerns. Digitization of the construction industry is not a question of if or when—the changes are happening now.

The industrialization of construction and the application of proven manufacturing technology and best practices will help companies drive reliable outcomes and improve margins. Digitization will increase productivity, eliminate waste, and mitigate the adverse impact of on-site surprises.

Digitization will change most everything, including the competitors and the barriers to entry. The end result: a more productive and profitable industry that builds more sustainable assets. Construction companies must take steps now to join the digital future and stay ahead of the competition—or risk being left behind.

To learn more about how to tackle these challenges, read [http://fm.sap.com/ECO/DX?utm_source=Digitalist&utm_medium=blog&utm_term=EC&O&utm_campaign=IC_DigitalTransformation Building a Sustainable World, How to survive and thrive in a digital construction economy].

* Written by 
Robert Leeds, Vice President, SAP Industries Marketing

Please find the original article [http://www.digitalistmag.com/future-of-work/2016/08/15/top-4-challenges-facing-construction-industry-04388065 here]

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2017-06-15T09:44:19Z

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The Future of Construction – Thoughts by Pedro Rodrigues De Almeida, PhD

2017-06-15T09:40:46Z

Sequeira Carla: Created page with "File:Pedro1.PNG [https://www.youtube.com/watch?v=McQyg8bpdkk&feature=youtu.be Watch the video] Category:International Category:Organisations [[Categor..."

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[https://www.youtube.com/watch?v=McQyg8bpdkk&feature=youtu.be Watch the video]

[[Category:International]] [[Category:Organisations]] [[Category:Projects_and_case_studies]] [[Category:Publications_/_reports]] [[Category:Research_/_Innovation]] [[Category:Health_and_safety_/_CDM]] [[Category:Planning_permission]] [[Category:Regulations]] [[Category:Standards_/_measurements]] [[Category:Sustainability]] [[Category:Construction_management]] [[Category:Construction_techniques]] [[Category:Cost_/_business_planning]] [[Category:Design]] [[Category:Property_development]] [[Category:Roles_/_services]]

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2017-06-15T09:37:13Z

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2017-06-15T09:36:05Z

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2017-06-15T09:35:09Z

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Procuring Innovation – Leading practices from British Columbia

2017-06-15T09:31:15Z

Sequeira Carla: Created page with "File:Procurement.PNG [https://www.bccassn.com/media/bcca-report-procuring-innovation-2017.pdf Download the Report] Published by the British Columbia Construction Associatio..."

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[https://www.bccassn.com/media/bcca-report-procuring-innovation-2017.pdf Download the Report]

Published by the British Columbia Construction Association, this 80 page report is intended to help public and private owners become “innovation friendly” in their construction procurement – to enable them to access the potential environmental, economic and social benefits that innovative construction solutions can bring. It is also intended to guide architecture, engineering and construction firms as they set up their competitive response processes so they can bring their best to projects that push technical and logistical boundaries. Using examples of innovation in mass timber design and construction as a means to illustrate broader themes that can be applied to a wide range of building products and materials, this report explores how innovative solutions can best be encouraged within the many different stages and elements of construction procurement. Best practice models for Tenders and for Requests for Proposal (RFPs) are reviewed along with the various delivery models for their ability to encourage (or hinder) innovation. These include: Design-Bid-Build, Construction Management, Design-Build, Public Private Partnerships (P3s) and Single Purpose Entity for Integrated Project Delivery.

Procurement is an integral part of any construction project. It includes sourcing, purchasing, and all activities related to providing knowledge, manpower, construction equipment, materials, supplies, supervision, and management services necessary to accomplish the project objectives. The range of new ideas, products and processes that can be brought into construction projects is practically limitless so a focus on emerging wood technologies offers a manageable way to explore the complex process of procurement.

The role of owners and clients is central to the success of any project and their role in establishing clear requirements and performance targets is discussed. This includes the need to consider the full life-cycle cost of the project, not just the initial capital cost, sustainability goals and how to define “Quality” in the context of a fair, open and transparent procurement process. An innovative project will invariably bring a different risk profile, which needs to be understood and managed proactively. Assembling and nurturing an integrated, collaborative team is key to success and emerging techniques such as early market engagement, sanctioned design competitions, competitive dialogue and performance incentives are introduced. Numerous tools to facilitate innovative solutions are emerging such as virtual design and construction, offsite construction and project feedback loops that bring research problems from the field back to the lab in an organized manner. The report concludes with a checklist of best practices for both public and private owners.

This report was prepared for the BC Construction Association by Brantwood Consulting.

Lead author: Helen Goodland RIBA MBA

Contributors:

Jim Taggart FRAIC

Kevin Hanvey MAIBC AAA MRAIC, Omicron

Tyler Galbraith, Jenkins Marzban Logan, LLP 
The original article was posted [https://www.bccassn.com/resources/innovation/innovation-project/default here]

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2017-06-15T09:27:00Z

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On the road to ruin - How America's infrastructure is failing

2017-06-14T09:40:40Z

Sequeira Carla: Created page with "File:America-Infra.jpg You’ve heard it before: America’s infrastructure is failing. Well, almost. The American Society of Civil Engineers reiterated its nearly failing g..."

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You’ve heard it before: America’s infrastructure is failing. Well, almost. The American Society of Civil Engineers reiterated its nearly failing grade for the country’s vital infrastructure: a [http://www.infrastructurereportcard.org/ D+].

The ASCE report comes out once every four years, and has become a familiar bearer of bad news. But the state of the country’s roads were the standout piece of bad news this year—the report found that $2 trillion would be needed over the next 10 years to get U.S. roads back in fighting shape.

[[File:America.png]]

Image: Fortune

And there’s more reason to do that than just a smoother drive. [http://www.infrastructurereportcard.org/cat-item/roads/ From the report]:

More than two out of every five miles of America’s urban interstates are congested and traffic delays cost the country $160 billion in wasted time and fuel in 2014.One out of every five miles of highway pavement is in poor condition and our roads have a significant and increasing backlog of rehabilitation needs.After years of decline, traffic fatalities increased by 7% from 2014 to 2015, with 35,092 people dying on America’s roads.

Donald Trump’s plan to spend big on infrastructure may offer some much-needed relief. However, there are some are concerns over his plan to try to build infrastructure like toll roads that would [http://fortune.com/2016/12/21/donald-trump-public-infrastructure-building/ pay for itself], rather than just putting up the money. What many experts are arguing for is far less sexy than revenue-generating mega-projects, but could save more money for taxpayers in the long-term: repairing the roads that already exist.

Written by

[https://www.weforum.org/agenda/authors/nicolas-rapp Nicolas Rapp], Information Graphics Designer, Fortune

[https://www.weforum.org/agenda/authors/anne-vandermey Anne VanderMey], Associate Editor, Fortune

This article is published in collaboration with [http://fortune.com/2017/03/30/infrastructure-spending-funding/ Fortune].

Please find the original article [https://futureofconstruction.org/blog/on-the-road-to-ruin-how-americas-infrastructure-is-failing/ here]

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2017-06-14T09:39:40Z

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2017-06-14T09:30:20Z

Sequeira Carla:

Call for feedback about the draft International Construction Measurement Standards

2017-06-14T09:27:17Z

Sequeira Carla: Created page with "File:International-construction.jpg Construction industry leaders from around the world are working together to set out a radical new approach to improve the quality of cost..."

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Construction industry leaders from around the world are working together to set out a radical new approach to improve the quality of cost data and reporting in construction. Your feedback can influence their work. How?

Until the late 20th century, companies around the world applied country-specific standards when preparing their financial statements. The increased globalisation of business drove the need for common standards in the accounting arena and the International Financial Reporting Standards (IFRS) were born. These provide a single set of globally applicable rules which enable comparison of financial performance on a like for like basis. Over the last decade, globalisation has also significantly impacted the land, real estate, construction and infrastructure sectors:

* Internationally, real estate assets reached a value of $217tn in 2015, three times the world’s annual income, 60% of the value of all global assets, including equities, bonds and gold, 36 times the total value of all the gold ever mined (Source: Savills World Research)
* Overall, close to $78 trillion is expected to be spent on infrastructure globally between 2014 and 2025 (Source: Oxford Economics / PwC).

While construction has rapidly moved from being a local to global industry, the way it measures and reports costs varies significantly from one market to the next. In some markets, there are no standards at all. This makes it difficult to compare project costs, hampering decision making and creating barriers to investment. ‘Mutual consent on standards across the industry’ is called for in the World Economic Forum’s report, [http://www3.weforum.org/docs/WEF_Shaping_the_Future_of_Construction_full_report__.pdf Shaping the Future of Construction] (May 2016), and creating a common language for the sector is the aim of one global initiative pioneered by the International Construction Measurement Standards (ICMS) Coalition.

The ICMS Coalition is a growing group of more than 40 not-for-profit organisations spanning architecture, construction, infrastructure and civil engineering. They first formed during a meeting held at the International Monetary Fund in in Washington D.C. in 2015. To tackle the problem of cost reporting inconsistency, they are seeking to create a universal system for presenting the cost of construction projects which will allow comparisons to be made on a like-for-like basis between countries.

The ICMS Coalition realise that collaboration presents an opportunity to bring monumental improvements to the sector by working together properly for the public interest. They are calling for professionals to support the collaboration and help embed common standards at the heart of construction investment. The Coalition is consulting extensively with governments, NGO’s, clients, consultants and contractors in order to develop, refine and embed ICMS in working practices. A public consultation is open until May 1 and the Coalition welcomes responses from engaged professionals. This will be the final chance for all stakeholders to shape ICMS prior to publication in July 2017.

* Feedback: [https://protect-eu.mimecast.com/s/7GnLBsKKn4rSd?domain=icms-coalition.com icms-coalition.com/consultation]
* Understand more: [https://protect-eu.mimecast.com/s/X8ZeBhvvVk9ub?domain=youtube.com https://www.youtube.com/watch?v=Xffw1mNrSxo]

See Lian Ong (Malaysia), Chair of the ICMS Standards Setting Committee, Chairman of Commission for Construction Economics and Management (Commission 10) of International Federation of Surveyors (FIG): “ICMS has been established following calls from investors, financiers and clients of the construction industry demanding global rules in reporting, thereby allowing international comparisons on project costs through the use of consistent information.

“Benefits include greater clarity in assessing the feasibility of projects at global, NGO and national level and a BIM-friendly classification to enable the global collection of key data and cost drivers. We thank the organisations and individuals from around the world who are working with us and would like to encourage others to get involved and feedback to the final consultation by answering questions in the survey.”

Read what other organisations have to say about ICMS:

* Michael Framptom from the African Association of QS: “We have a lot of investors coming to Africa and they need to be confident with the costs they are being presented with for infrastructures and buildings. We need clarity. We need transparency. We need to benchmark. We also need to have value for money. All these things are in the standards that are being written by the ICMS Coalition.”
* Varughese Mathew, Global President of the Indian Institute of Quantity Surveyors: “The world has become a global village and professionals travel from one country to another. Companies also move from one country to another to take different jobs so it’s important for people involved in construction projects to have standards they are familiar with. In this respect, ICMS will be an excellent tool.”
* TT Cheung, President of the International Cost Engineering Council: “ICMS will give us a platform that provides clarity and does away with uncertainty. Whether you are a user or service provider, this project is important.”
* Julie De La Cruz FRICS, Technical Director, Arcadis and founder of the Philippines Institute of Quantity Surveyors: “Arcadis operates in over 40 countries and we have projects in over 70 countries. In the Middle East alone we operate in five countries so you can imagine that we convert costs between different standards. ICMS as a universal standard approach will solve problems of inconsistency. It will help us deliver better value for money, consistency of approach and providing meaningful benchmark information.”
* Neal Argent, Director, EY UK: “ICMS for us is about how you create confidence in the market. How do you get good comparability of costs so that you remove the degree of variability that mega projects suffer from in terms of cost estimation.”

[http://www.icms-coalition.org/ www.icms-coalition.org]

Construction – International standards can also help reduce disputes:

This infographic above shows that the global construction industry is still, increasingly, spending large amounts of resources on disputes. This could be improved through various measures, but particularly, as suggested by the World Economic Forum, through the use of professional standards in cost reporting to provide comparable, consistent predictive cost data for investment cases and subsequent cost control.

* Written by 
Alan Muse Global Director of Built Environment Professional Groups and Kate Symons, Global Communications Manager RICS, UK

Please find the original article [https://futureofconstruction.org/blog/call-for-feedback-about-the-draft-international-construction-measurement-standards/ here]

[[Category:International]] [[Category:Organisations]] [[Category:Projects_and_case_studies]] [[Category:Publications_/_reports]] [[Category:Research_/_Innovation]] [[Category:Planning_permission]] [[Category:Policy]] [[Category:Property_law]] [[Category:Standards_/_measurements]] [[Category:Sustainability]] [[Category:Construction_management]] [[Category:Construction_techniques]] [[Category:Cost_/_business_planning]] [[Category:Design]] [[Category:Products_/_components]] [[Category:Property_development]] [[Category:Roles_/_services]]

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2017-06-14T09:23:32Z

Sequeira Carla:

File:Bim.jpg

2017-06-14T09:15:55Z

Sequeira Carla:

10 construction industry trends to watch in 2017

2017-05-23T14:49:24Z

Sequeira Carla: Created page with "File:10-construction-trends.jpg With 2016 in the rearview mirror, construction professionals are turning their attention to the year ahead. While construction spending fai..."

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With 2016 in the rearview mirror, construction professionals are turning their attention to the year ahead. While construction spending failed to meet analyst expectations last year, [http://www.constructiondive.com/news/inside-the-dodge-2017-construction-outlook-commercial-and-residential-pred/428821/ economists predict 5% growth] in the value of starts in 2017, according to Dodge Data & Analytics.

Despite that positive forecast, a feeling of uncertainty continues to loom over the industry. We spoke with experts from various sectors of the construction sector to find out their predictions for 2017. While questions regarding what the incoming Trump administration means for construction dominated the conversation, they also described the new technologies, project delivery methods and workforce management trends they expect to shape the industry this year.

Here are the top 10 trends to watch in 2017:

[http://engine.adzerk.net/r?e=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&s=ANURS6lzAuJ_nMyXh2_s12RrG5E [Free eBook] 10 Construction Industry Trends to Watch]

What are the latest trends impacting the construction industry? Get the free eBook to find out.

[http://engine.adzerk.net/r?e=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&s=ANURS6lzAuJ_nMyXh2_s12RrG5E DOWNLOAD NOW]

1. Collaborative project delivery methods will become more popular

The days of design-bid-build domination might be winding down, as experts expect collaborative approaches to become more common for projects. Design-build, public-private partnerships and integrated project delivery are three of the most often-cited methods that are altering the industry and are likely to gain ground in 2017.

“There will be a continuing and expanded trend towards project team collaboration. I call that moving from an art to a science,” said Sue Klawans, senior vice president and director of operational excellence and planning at the [http://www.gilbaneco.com/ Gilbane Building Company]. “The owner-architect-contractor, if we happen to build a good relationship, it’s an art. All the research and demonstrated achievements are coming from starting to organize thoughts about that and figure out what are the factors that allow a team to collaborate better.”

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“There will be a continuing and expanded trend towards project team collaboration. I call that moving from an art to a science.”

Sue Klawans

Senior vice president and director of operational excellence and planning at Gilbane Building Company

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The [http://www.constructiondive.com/news/the-dotted-line-how-design-build-can-create-a-symphony-of-collaboration/415589/ design-build process] consolidates the design and construction phases into one contract, while the less common [http://www.constructiondive.com/news/integrated-project-delivery-a-new-way-of-thinking-with-potential-to-reva/412760/ IPD arrangement] involves the owner, architect, contractor and other project stakeholders entering into a single contract in which they collectively determine project goals, costs, risk-sharing and compensation.

“Design-build is taking hold,” said Michael Vardaro, managing partner at [http://zdlaw.com/ Zetlin & De Chiara]. “It allows more collaboration and gets you to the completed product much faster.”

On the public sector side, [http://www.constructiondive.com/news/p3s-a-growing-alternative-with-potential-to-capitalize-on-privatized-inno/416190/ P3s] involve a government entity hiring a group from the private sector to design, finance and build a large project. That group will then operate and maintain the facility for years before turning it back over to the owner.

“It’s taken a few years, but [P3s] have definitely caught on in the United States. [Agencies] just don’t know how to do it,” said William Eliopoulos, head of the construction industry practice at [http://www.rutan.com/ Rutan & Tucker]. “As a delivery method, they’re used to the old traditional way. This is new. They’re giving up a little more control, which is a good thing. They’re going to rely now on a private developer to do some of the things they used to do themselves.”

=== 2. The labor shortage will continue to plague the industry ===

One trend that the industry hoped would fade away is, instead, raging on. The skilled labor shortage is a major concern for firms across the U.S. as employers struggle to staff their job sites. “If the economy stays strong and there’s continued investment in infrastructure, I don’t see the shortage going away,” Klawans said.

This trend is lingering after a huge chunk of the construction workforce were forced to leave the industry for other jobs during the recession when their work disappeared. Between April 2006 and January 2011, the construction industry eliminated more than 40% of its work force, [http://blogs.wsj.com/economics/2015/06/09/where-did-all-the-construction-workers-go/ cutting nearly 2.3 million jobs]. Unfortunately, a significant portion of those workers haven’t returned.

A lack of technical training in schools and less emphasis on the trades are also [http://www.constructiondive.com/news/who-can-be-the-catalyst-forum-explores-roots-of-construction-labor-short/414644/ contributing to a smaller pool of workers] entering the industry. Combined with an aging workforce, those factors are creating a struggle for construction firms seeking employees for positions ranging from skilled trades to managerial roles.

Aside from the long-term implications of a dwindling labor pool, firms are feeling the immediate impacts of the worker shortage, as it can lead to higher costs and longer project schedules.

On the positive side, Klawans noted that the current dearth of workers presents an opportunity for young people choosing a career path. “It presents an exciting opportunity for people with skills and capabilities but who have not traditionally had access to a well-paying job,” she said. “This industry has a lot of them, in the trades and project management.”

=== 3. The feeling of uncertainty will linger under the new administration ===

[[File:10-construction-trends2.jpg]]

Credit: [http://www.gettyimages.com/license/621865538 Getty Images/Mark Wilson]

Last year was defined by uncertainty, as construction firms awaited the results of the presidential election. The next administration has the power to significantly alter regulations, taxes, labor policy and countless other aspects of business.

With Donald Trump winning the election, many firms were cautiously optimistic about his construction and development background, his promises to cut regulations and his massive infrastructure proposal. However, experts say the feeling of uncertainty hasn’t disappeared — and likely won’t in the months to come. That fear of the unknown could keep owners from starting or continuing new projects.

“I don’t know if anybody can predict what the new administration will really do,” said Gina Vitiello, construction attorney at [https://www.chamberlainlaw.com/ Chamberlain Hrdlicka]. “There’s a sense of uncertainty among contractors. If I’m planning on a major contract and it might not go forward, that’s a little scary.”

Some experts are concerned about possible trade conflicts with China and other countries — which could rock the U.S. economy and raise material prices — as well as the impact of stricter immigration policies on the construction labor force.

“I worry our industry is going to be so tied to the administration, which is not a status quo administration,” said Stuart Meurer, executive vice president and chief operating officer of [http://www.windover.com/ Windover Construction]. “I’m fearful of people’s reaction to it. I think it’ll curtail construction in 2018.”

=== 4. Offsite/modular construction will gain a stronger foothold in the market ===

Offsite construction, also called modular or prefab, isn’t new to the industry. However, experts predict the building method will grow in 2017 as quality, time and labor concerns make alternatives to traditional construction methods more attractive.

“There’s always an emphasis on condensing the construction schedule of a project and saving cost — two very important points in any development scenario,” Vardaro said. “Modular has the ability to suppress schedule. If you’re fabricating a module in a factory, sometimes it’s easier to maintain quality control. You don’t have to deal with weather.”

-----
“Things change slowly in construction. Once something is embedded, then it takes off pretty quickly.”

Julian Anderson

President of Rider Levett Bucknall

-----
One obstacle holding offsite back from stronger growth has been the industry’s slow-to-evolve nature, but Julian Anderson, president of [http://rlb.com/en/ Rider Levett Bucknall], believes the method is starting to overcome that hurdle.

“It’s one of those things that people figured out would be a good thing to do. I’ve seen the problem being that no one wants to be the first to do it. If I’m the first and it fails, I’m an idiot,” he said. “Things change slowly in construction. Once something is embedded, then it takes off pretty quickly.”

Klawans noted that the first element of modular to take off in the industry are HVAC assemblies created offsite. Those contractors are finding that offsite methods allow them to reduce hours onsite, improve efficiency and perform more subassemblies than in the past, according to Klawans. She said that as more firms utilize offsite construction, they will see the benefits, and other companies will in turn try out the method.

=== 5. Construction firms are cautiously optimistic for a future infrastructure spending boost ===

Infrastructure spending saw major play during the 2016 campaign, with President-elect Donald Trump proposing a [http://www.constructiondive.com/news/trump-campaign-announces-1t-infrastructure-plan-driven-by-private-investme/429268/ $1 trillion infrastructure plan] over 10 years. Although light on details so far, the plan involves trading an 82% tax break for private equity investment in revenue-generating infrastructure projects.

That emphasis on rebuilding the nation’s infrastructure shone a spotlight on the construction industry, as a lack of steady federal funding has left many contractors uncertain about when their next projects will start. With a potential $1 trillion funding infusion, companies in that sector are optimistic about the years ahead — if Trump and Congress are able to agree on a path forward.

“When Trump says at his victory speech he wants to put $1 trillion into infrastructure and mentions public-private partnerships, that gets everybody excited,” Eliopoulos said. “His plan is short on details, so it’s difficult to tell exactly what he’s got in mind.”

The impact of such a massive infrastructure plan goes beyond firms in the infrastructure sector, according to Meurer. “Anybody that does both might focus more on [infrastructure projects] and allow opportunities for the other projects to spread to the market,” creating a boon for firms in the vertical construction business, he said.

=== 6. IoT holds the potential to revolutionize the job site ===

[[File:10-construction-trends3.jpg]]

Surveying a construction site with a laser scanner

The Internet of Things encapsulates several aspects of the construction tech landscape, including equipment and employee tracking, wearables, drone surveying and other information collected on the job site. As contractors and subs continue their quest to cut costs and improve efficiencies, many are turning to IoT options to improve site operations.

Garrett Harley, director of engineering and construction strategy for [https://www.oracle.com/applications/primavera/industries/engineering-construction.html Oracle], said he tends to combine the terms IoT and business intelligence. “It’s the aggregation and collection going into a central repository where you can make intelligent decisions based on what you’re collecting,” he said. “All those decisions are just a way of moving something from a manual process to seeing that information in real-time.”

Wearables, for instance, can track workers in the field and ensure that they protected from or at least aware of job site hazards and other potential injuries, and equipment sensors can monitor whether machinery is in need of repair.

Willy Schlacks, president at [https://equipmentshare.com/ EquipmentShare], pointed to labor tracking as a major technology trend poised to take off in construction. “The amount of waste in labor mistakes or labor fraud is enormous in the construction industry,” he said. “The adoption [of labor tracking technology] is going to be pretty quick because there’s such a strong correlation to the bottom line.”

Along with increased use of new technologies comes the need for interoperability. Firms still struggle to find solutions that take all of the information collected from different devices and sensors, and then translate it into quality information.

“The challenges become where you reach the point where there’s this tidal wave of information,” said Tony Colonna, senior vice president for innovative construction solutions at [http://www.usa.skanska.com/ Skanska USA]. “Being able to transform a lot of disconnected information into what we’ll call the actionable, something that gives me context, takes data from multiple sources and turns it into data we can use.”

Harley said he believes the construction industry is still in the process of embracing new technologies, with a group of progressive contractors leading the way. Companies that fail to keep up with the newest technologies risk getting left behind.

=== 7. Construction costs will rise due to materials and labor ===

One of the most common concerns industry experts cited for 2017 is the escalating cost of doing business. With rising material and labor costs, firms will likely struggle to maintain their margins in the coming year.

Contractors have been expecting an impending bump in material costs after several years of relatively flat growth. The Associated Builders and Contractors called the [http://www.constructiondive.com/news/abc-construction-material-price-drop-the-calm-before-the-storm/432386/ most recent decline] in material prices “the calm before the storm.”

-----
“We’re already starting to see escalation in materials creep back in. We knew it would be coming, and we knew it would be a big factor in 2017.”

Stuart Meurer

Executive vice president and chief operating officer of Windover Construction

-----
“We’re already starting to see escalation in materials creep back in,” Meurer said. “We knew it would be coming, and we knew it would be a big factor in 2017.” He added that inflation is also a concern going forward because it could put the brakes on new projects in the coming years.

Anderson noted that construction costs continue to outpace inflation, which is a trend that he believes will “become unglued” at some point. “You can’t keep pushing up the cost of construction without having people put off construction,” he said. “The developers and builders have to keep pushing up their prices to the end user, and eventually the end user gets sick of it.”

On the labor side, the skilled-worker shortage has led to employers raising average pay [http://www.constructiondive.com/news/construction-adds-14k-jobs-as-employers-boost-wages-weekly-hours-amid-labo/423986/ higher than the national average]. Experts say that increasing workforce costs — which include recruiting and wage costs for current employees — will cut into contractors’ bottom lines.

=== 8. VR/AR tech will pick up steam ===

[[File:Trend.png]]

Virtual reality

Credit: [http://www.builtr.io/the-many-magical-uses-of-virtual-reality/ Builtr]

Virtual and augmented reality technology is one of the most buzzed-about trends in the construction tech space, as it can enhance collaboration among project stakeholders before building begins.

VR and AR can allow the construction team to detect errors ahead of time and avoid costly mistakes. They also have the potential to improve job site safety, such as letting managers and workers view job site conditions without subjecting them to safety hazards.

For example, researchers at the Institute for Computation in Engineering at the Ruhr-Universität Bochum in Germany are [http://www.constructiondive.com/news/virtual-reality-used-to-test-worker-reactions-to-job-site-accidents/427996/ training workers on VR] versions of job sites. And in September, construction giant Bechtel [http://www.constructiondive.com/news/bechtel-rolls-out-virtual-reality-safety-training/426674/ joined forces] with Human Condition Safety to offer VR immersion safety training.

Klawans sees the potential for combining VR/AR and modeling. “There are other shiny pennies, but I think there’s a ton of value to be leveraged from VR/AR.”

Colonna said that with virtual reality, the “cool” factor is still somewhat outweighed by high implementation costs. “You can see a lot of very sophisticated presentations, but the challenge is with the software platforms today,” he said. “It’s kind of cost prohibitive to use that on a regular basis. It’s in more of early deployment.”

=== 9. The sustainable construction movement will consider changing its message ===

The incoming Trump administration has implications beyond infrastructure, as sustainable building leaders are now considering the possibility of altering their messaging to ensure the movement continues.

“It’s really important not to lose the gains of the past by clinging to the way we talk about things,” said Beth Heider, chief sustainability officer at [http://www.usa.skanska.com/ Skanska USA]. “It’s really important to look at the work that we’ve done under the umbrella of sustainability and continue with that work and just recognize that there are lots of ways to articulate what we’re achieving.”

Heider said she believes the industry should put less emphasis on the climate change implications of sustainable construction and focus more on the bottom line, as resiliency and high-performing buildings can lower energy costs and create jobs.

-----
“It’s really important not to lose the gains of the past by clinging to the way we talk about things.”

Beth Heider

Chief sustainability officer at Skanska USA

-----
“The new administration has probably been a wakeup call to the nation that all perspectives don’t feel as if they’re heard,” she said. “That also means you’ve got folks across the country who we aren’t communicating with. This gives us an opportunity to communicate the value of smart, high-performing buildings and infrastructure in a way that can be understood by more people.”

Both Heider and Vardaro are optimistic that sustainable construction and the green building movement will continue to make strides in 2017. Vardaro said the year ahead will bring “the next step of building green,” with more owners and tenants demanding energy-efficient features in new buildings. Sustainable construction, he said, will be more of the norm rather than the exception going forward.

=== 10. Construction firms will face increased scrutiny and prosecution of safety and fraud incidents ===

The construction industry continues to face increased scrutiny for safety violations and incidents amid a building boom. Experts predict that 2017 will see continued heightened attention to job site safety from agencies and law enforcement.

One of the most notable cases of 2016 in the industry involved the death of 22-year-old worker Carlos Moncayo, who was killed in an excavation collapse at a New York City job site. The general contractor on the project, Harco Construction, was charged with criminally negligent homicide and manslaughter and was [http://www.constructiondive.com/news/judge-orders-harco-construction-to-pay-10k-fine-after-manslaughter-convict/432816/ ordered to pay] $10,000.

Despite some claims that it is an overreach to criminally prosecute contractors for accidents like Moncayo’s, authorities have ramped up their efforts to ensure job site safety. In response to the Moncayo incident as well as other safety and corruption issues in the city’s construction industry, Manhattan District Attorney Cyrus Vance set up the [http://www.constructiondive.com/news/manhattan-da-launches-task-force-to-investigate-corruption-in-construction/403552/ Construction Fraud Task Force] in 2015, which investigates safety, fraud and other legal violations.

“All firms will face greater scrutiny of accidents, including potential criminal prosecution for workplace injuries that in the past may have been treated solely as traditional accidents,” said Brian Gardner, chairman of [http://www.coleschotz.com/construction-services Cole Schotz’s Construction Services Department].

Gardner added that construction companies should also expect increased attention to fraudulent practices in the years ahead, as wage and billing practices are becoming “criminally scrutinized” more often.

Author : [http://www.constructiondive.com/editors/emily/ Emily Peiffer]

Follow Emily Peiffer on [http://www.twitter.com/emily_peiffer Twitter]

Please find the original article [http://www.constructiondive.com/news/construction-industry-trends-2017/433151/ here]

[[Category:International]] [[Category:Organisations]] [[Category:Projects_and_case_studies]] [[Category:Publications_/_reports]] [[Category:Research_/_Innovation]] [[Category:Health_and_safety_/_CDM]] [[Category:Policy]] [[Category:Regulations]] [[Category:Sustainability]] [[Category:Construction_management]] [[Category:Construction_techniques]] [[Category:Cost_/_business_planning]] [[Category:Design]] [[Category:Roles_/_services]]

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2017-05-23T14:48:01Z

Sequeira Carla: uploaded a new version of "File:Trend.png"

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2017-05-23T14:47:38Z

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2017-05-23T14:39:11Z

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2017-05-23T14:38:54Z

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Impact of the sharing economy on construction craft labour and equipment markets

2017-05-23T14:36:04Z

Sequeira Carla:

[[File:Impact.jpg|link=File:Impact.jpg]]

With the success of Uber and AirBnB, most people have heard of the new sharing economy; unused resources and demand are matched through the internet to the mutual satisfaction of the parties involved. For labor, the concept is not new. In the music and publishing industries, it is called getting a “gig’, and it has been around for centuries. In construction, the hiring hall helped make it work for over a century. What is radically new is how the sharing economy works now and how broadly it is spreading. It may substantially reshape the construction and real estate industries.

Kevin Forestell, Founder and CEO of Dozr, an equipment sharing start-up, claims, “Not only does Dozr create revenue for equipment owners, rates on the contractor-to-contractor platform tend to be about 40 percent less than retail rental rates and the variety of equipment is greater. Dozr offers both construction and agricultural equipment and is free to join.” Another company called EquipmentShare offers the ES Tracker system, which gives users real-time data about the location and usage of their various machines or vehicles they’re renting out. EquipmentShare picks up and delivers the equipment as well. While United Rentals in North America offers similar services technically, it does not enable sharing amongst owners. The rise of rental agencies coincided in the last twenty years in the US with precipitous declines in equipment ownership by construction firms because of the risk of unused capital and consequential low rates of return on that equipment. With the sharing economy, rising rates of return on equipment ownership may radically disrupt the rental business model. Caterpillar’s awareness of the disruptive risks and opportunities involved, has driven it to start up its own equipment sharing platform called Yard Club. It will compete with Dozr and Equipment Share, as well as Ramirent in Finland, Getable in San Franscisco, and other niche service providers. Competition is not limited to equipment.

Could the age old construction hiring hall and temp agency model be vulnerable to disruption as well? In the Small Business BC (a province in Canada) Awards website, a start-up called Faber is described: “Faber is disrupting a 260 billion dollar industry by providing construction companies with a software platform to automatically connect with construction workers. Faber addresses a major gap in the construction market by offering standardized pay at a fair wage, supplying workers with skills appropriate to the job and creating an automated system for finding instant work. Our rating system for both workers and contractors motivates both parties to do their best work during each project, ensuring a level of transparency that the Canadian industry has not yet seen. This, in turn, provides a much-needed boost in morale for those within the construction sector. Since launching in April, Faber has partnered with over 15 construction companies and empowered 600 workers to instantly connect with projects.” Faber and the equipment sharing models present opportunities and threats that are identified below:

Cost of information: Good decision making and efficient markets depend on complete information, yet information can be costly, time consuming to obtain and of dubious quality. Telematics for: on-demand versus scheduled maintenance, equipment location tracking, activity rates monitoring, detection of machine operating abuse and maintenance, etc., offer highly valuable information for fleet management that seeks to maximize return on investment, and the cost of this information is magnitudes lower than conventional manual monitoring processes.

Cost of information on labor and machine market status and availability has always been high, yet large firms have been willing to spend large sums on local labor market and availability surveys for large projects in distant locations. Often, these involve expensive travel by experts and substantial time delays. Sharing platforms claim to offer this type of information at a lower cost and with greater reliability.

Emergence of new service opportunities and competition: Traditional providers of labor and equipment offer related services. Sharing economy competitors offer new equipment finance options as well as fleet management practices and logistics support. Competitiveness of such services should improve now.

Trust and verification: In North America, trade certifications and qualifications are typically tracked and maintained by unions, joint training committees, government agencies, and open shop organizations such as NCCER (National Center for Construction Education and Research). How will the new sharing platforms track and assure this information? How do we know who to trust?

Social impacts: Ratings exist for restaurants and almost everything else found on the internet. One of the authors of this blog has his teaching and research continuously rated, and the ratings are posted for all to see. Behaviour changes because of these rating systems. How will construction industry behaviour change when craft workers and employers can rate each other and those ratings are publicly posted?

Health and safety are key concerns. A sharing platform must ensure that the worker or equipment operator has the proper certifications. It must ensure that the equipment been inspected as specified. And, it must clarify who assumes liability if an accident does occur.

Risks and Insurance: One of the early criticisms of Uber was that its drivers were not insured (or licensed) to drive for paying customers and that the customers themselves might be liable in the case of an accident. In Dozr’s case, its insurer was also one of its main venture capital investors. Fairfax Financial Holdings Ltd.’s subsidiary, Fair Ventures, invested $2.5 in Dozr, and one of its other subsidiaries, Federated Insurance, provides accident and theft coverage.

Market efficiencies: Transaction costs are radically reduced with sharing platforms for search and match activities. As well, such matches occur faster. While HR departments may not be entirely replaced, and fleet managers will still exist, it is reasonable to expect their size and cost within sharing companies will be reduced. Additional unknowns emerge. What will happen to wage and rental rate variability? Will the impact on utilization of capital truly be improved and by how much? And, who will deliver the equipment, especially if sharing becomes more common. Will entrepreneur equipment owners emerge in high demand markets? What will be the boundaries of those markets? These questions are likely only to be answered with time.

Role of the state: Craft labor training infrastructure in the US is weak. It will be interesting to see if state governments finally accept a lead role in training and certification decades after the demise of the construction trade unions. Government regulation of fair wages may be necessary if a more efficient competitive market created by sharing platforms drives wages down. Geographic, jurisdictional and liability limitations may also need to be imposed.

So, in the end, how will the sharing economy impact the construction industry? Proponents are making aggressive claims. Some of the advantages are obvious, and risks as well. Investors, constructors and governments must maintain vigilance over this emerging industry, and at the same time, welcome the change it represents.

Author: [http://www.civil.uwaterloo.ca/chaas/ Carl Haas]

Contact: [https://uwaterloo.ca/civil-environmental-engineering/about/people/chaas POC]

Please find the original article [https://futureofconstruction.org/blog/impact-of-the-sharing-gig-economy-on-construction-craft-labour-and-equipment-markets/ here]

[[Category:International]] [[Category:Organisations]] [[Category:Projects_and_case_studies]] [[Category:Research_/_Innovation]] [[Category:Planning_permission]] [[Category:Regulations]] [[Category:Standards_/_measurements]] [[Category:Sustainability]] [[Category:Construction_management]] [[Category:Construction_techniques]] [[Category:Cost_/_business_planning]] [[Category:Design]] [[Category:Roles_/_services]]

Impact of the sharing economy on construction craft labour and equipment markets

2017-05-23T14:32:29Z

Sequeira Carla:

[[File:Impact.jpg|link=File:Impact.jpg]]

With the success of Uber and AirBnB, most people have heard of the new sharing economy; unused resources and demand are matched through the internet to the mutual satisfaction of the parties involved. For labor, the concept is not new. In the music and publishing industries, it is called getting a “gig’, and it has been around for centuries. In construction, the hiring hall helped make it work for over a century. What is radically new is how the sharing economy works now and how broadly it is spreading. It may substantially reshape the construction and real estate industries.

Kevin Forestell, Founder and CEO of Dozr, an equipment sharing start-up, claims, “Not only does Dozr create revenue for equipment owners, rates on the contractor-to-contractor platform tend to be about 40 percent less than retail rental rates and the variety of equipment is greater. Dozr offers both construction and agricultural equipment and is free to join.” Another company called EquipmentShare offers the ES Tracker system, which gives users real-time data about the location and usage of their various machines or vehicles they’re renting out. EquipmentShare picks up and delivers the equipment as well. While United Rentals in North America offers similar services technically, it does not enable sharing amongst owners. The rise of rental agencies coincided in the last twenty years in the US with precipitous declines in equipment ownership by construction firms because of the risk of unused capital and consequential low rates of return on that equipment. With the sharing economy, rising rates of return on equipment ownership may radically disrupt the rental business model. Caterpillar’s awareness of the disruptive risks and opportunities involved, has driven it to start up its own equipment sharing platform called Yard Club. It will compete with Dozr and Equipment Share, as well as Ramirent in Finland, Getable in San Franscisco, and other niche service providers. Competition is not limited to equipment.

Could the age old construction hiring hall and temp agency model be vulnerable to disruption as well? In the Small Business BC (a province in Canada) Awards website, a start-up called Faber is described: “Faber is disrupting a 260 billion dollar industry by providing construction companies with a software platform to automatically connect with construction workers. Faber addresses a major gap in the construction market by offering standardized pay at a fair wage, supplying workers with skills appropriate to the job and creating an automated system for finding instant work. Our rating system for both workers and contractors motivates both parties to do their best work during each project, ensuring a level of transparency that the Canadian industry has not yet seen. This, in turn, provides a much-needed boost in morale for those within the construction sector. Since launching in April, Faber has partnered with over 15 construction companies and empowered 600 workers to instantly connect with projects.” Faber and the equipment sharing models present opportunities and threats that are identified below:

Cost of information: Good decision making and efficient markets depend on complete information, yet information can be costly, time consuming to obtain and of dubious quality. Telematics for: on-demand versus scheduled maintenance, equipment location tracking, activity rates monitoring, detection of machine operating abuse and maintenance, etc., offer highly valuable information for fleet management that seeks to maximize return on investment, and the cost of this information is magnitudes lower than conventional manual monitoring processes.

Cost of information on labor and machine market status and availability has always been high, yet large firms have been willing to spend large sums on local labor market and availability surveys for large projects in distant locations. Often, these involve expensive travel by experts and substantial time delays. Sharing platforms claim to offer this type of information at a lower cost and with greater reliability.

Emergence of new service opportunities and competition: Traditional providers of labor and equipment offer related services. Sharing economy competitors offer new equipment finance options as well as fleet management practices and logistics support. Competitiveness of such services should improve now.

Trust and verification: In North America, trade certifications and qualifications are typically tracked and maintained by unions, joint training committees, government agencies, and open shop organizations such as NCCER (National Center for Construction Education and Research). How will the new sharing platforms track and assure this information? How do we know who to trust?

Social impacts: Ratings exist for restaurants and almost everything else found on the internet. One of the authors of this blog has his teaching and research continuously rated, and the ratings are posted for all to see. Behaviour changes because of these rating systems. How will construction industry behaviour change when craft workers and employers can rate each other and those ratings are publicly posted?

Health and safety are key concerns. A sharing platform must ensure that the worker or equipment operator has the proper certifications. It must ensure that the equipment been inspected as specified. And, it must clarify who assumes liability if an accident does occur.

Risks and Insurance: One of the early criticisms of Uber was that its drivers were not insured (or licensed) to drive for paying customers and that the customers themselves might be liable in the case of an accident. In Dozr’s case, its insurer was also one of its main venture capital investors. Fairfax Financial Holdings Ltd.’s subsidiary, Fair Ventures, invested $2.5 in Dozr, and one of its other subsidiaries, Federated Insurance, provides accident and theft coverage.

Market efficiencies: Transaction costs are radically reduced with sharing platforms for search and match activities. As well, such matches occur faster. While HR departments may not be entirely replaced, and fleet managers will still exist, it is reasonable to expect their size and cost within sharing companies will be reduced. Additional unknowns emerge. What will happen to wage and rental rate variability? Will the impact on utilization of capital truly be improved and by how much? And, who will deliver the equipment, especially if sharing becomes more common. Will entrepreneur equipment owners emerge in high demand markets? What will be the boundaries of those markets? These questions are likely only to be answered with time.

Role of the state: Craft labor training infrastructure in the US is weak. It will be interesting to see if state governments finally accept a lead role in training and certification decades after the demise of the construction trade unions. Government regulation of fair wages may be necessary if a more efficient competitive market created by sharing platforms drives wages down. Geographic, jurisdictional and liability limitations may also need to be imposed.

So, in the end, how will the sharing economy impact the construction industry? Proponents are making aggressive claims. Some of the advantages are obvious, and risks as well. Investors, constructors and governments must maintain vigilance over this emerging industry, and at the same time, welcome the change it represents.

Author: [http://www.civil.uwaterloo.ca/chaas/ Carl Haas]

Contact: [https://uwaterloo.ca/civil-environmental-engineering/about/people/chaas POC]

[[Category:International]] [[Category:Organisations]] [[Category:Projects_and_case_studies]] [[Category:Research_/_Innovation]] [[Category:Planning_permission]] [[Category:Regulations]] [[Category:Standards_/_measurements]] [[Category:Sustainability]] [[Category:Construction_management]] [[Category:Construction_techniques]] [[Category:Cost_/_business_planning]] [[Category:Design]] [[Category:Roles_/_services]]

Impact of the sharing economy on construction craft labour and equipment markets

2017-05-23T14:32:09Z

Sequeira Carla: Created page with "File:Impact.jpg With the success of Uber and AirBnB, most people have heard of the new sharing economy; unused resources and demand are matched through the internet to the..."

[[File:Impact.jpg]]

With the success of Uber and AirBnB, most people have heard of the new sharing economy; unused resources and demand are matched through the internet to the mutual satisfaction of the parties involved. For labor, the concept is not new. In the music and publishing industries, it is called getting a “gig’, and it has been around for centuries. In construction, the hiring hall helped make it work for over a century. What is radically new is how the sharing economy works now and how broadly it is spreading. It may substantially reshape the construction and real estate industries.

Kevin Forestell, Founder and CEO of Dozr, an equipment sharing start-up, claims, “Not only does Dozr create revenue for equipment owners, rates on the contractor-to-contractor platform tend to be about 40 percent less than retail rental rates and the variety of equipment is greater. Dozr offers both construction and agricultural equipment and is free to join.” Another company called EquipmentShare offers the ES Tracker system, which gives users real-time data about the location and usage of their various machines or vehicles they’re renting out. EquipmentShare picks up and delivers the equipment as well. While United Rentals in North America offers similar services technically, it does not enable sharing amongst owners. The rise of rental agencies coincided in the last twenty years in the US with precipitous declines in equipment ownership by construction firms because of the risk of unused capital and consequential low rates of return on that equipment. With the sharing economy, rising rates of return on equipment ownership may radically disrupt the rental business model. Caterpillar’s awareness of the disruptive risks and opportunities involved, has driven it to start up its own equipment sharing platform called Yard Club. It will compete with Dozr and Equipment Share, as well as Ramirent in Finland, Getable in San Franscisco, and other niche service providers. Competition is not limited to equipment.

Could the age old construction hiring hall and temp agency model be vulnerable to disruption as well? In the Small Business BC (a province in Canada) Awards website, a start-up called Faber is described: “Faber is disrupting a 260 billion dollar industry by providing construction companies with a software platform to automatically connect with construction workers. Faber addresses a major gap in the construction market by offering standardized pay at a fair wage, supplying workers with skills appropriate to the job and creating an automated system for finding instant work. Our rating system for both workers and contractors motivates both parties to do their best work during each project, ensuring a level of transparency that the Canadian industry has not yet seen. This, in turn, provides a much-needed boost in morale for those within the construction sector. Since launching in April, Faber has partnered with over 15 construction companies and empowered 600 workers to instantly connect with projects.” Faber and the equipment sharing models present opportunities and threats that are identified below:

Cost of information: Good decision making and efficient markets depend on complete information, yet information can be costly, time consuming to obtain and of dubious quality. Telematics for: on-demand versus scheduled maintenance, equipment location tracking, activity rates monitoring, detection of machine operating abuse and maintenance, etc., offer highly valuable information for fleet management that seeks to maximize return on investment, and the cost of this information is magnitudes lower than conventional manual monitoring processes.

Cost of information on labor and machine market status and availability has always been high, yet large firms have been willing to spend large sums on local labor market and availability surveys for large projects in distant locations. Often, these involve expensive travel by experts and substantial time delays. Sharing platforms claim to offer this type of information at a lower cost and with greater reliability.

Emergence of new service opportunities and competition: Traditional providers of labor and equipment offer related services. Sharing economy competitors offer new equipment finance options as well as fleet management practices and logistics support. Competitiveness of such services should improve now.

Trust and verification: In North America, trade certifications and qualifications are typically tracked and maintained by unions, joint training committees, government agencies, and open shop organizations such as NCCER (National Center for Construction Education and Research). How will the new sharing platforms track and assure this information? How do we know who to trust?

Social impacts: Ratings exist for restaurants and almost everything else found on the internet. One of the authors of this blog has his teaching and research continuously rated, and the ratings are posted for all to see. Behaviour changes because of these rating systems. How will construction industry behaviour change when craft workers and employers can rate each other and those ratings are publicly posted?

Health and safety are key concerns. A sharing platform must ensure that the worker or equipment operator has the proper certifications. It must ensure that the equipment been inspected as specified. And, it must clarify who assumes liability if an accident does occur.

Risks and Insurance: One of the early criticisms of Uber was that its drivers were not insured (or licensed) to drive for paying customers and that the customers themselves might be liable in the case of an accident. In Dozr’s case, its insurer was also one of its main venture capital investors. Fairfax Financial Holdings Ltd.’s subsidiary, Fair Ventures, invested $2.5 in Dozr, and one of its other subsidiaries, Federated Insurance, provides accident and theft coverage.

Market efficiencies: Transaction costs are radically reduced with sharing platforms for search and match activities. As well, such matches occur faster. While HR departments may not be entirely replaced, and fleet managers will still exist, it is reasonable to expect their size and cost within sharing companies will be reduced. Additional unknowns emerge. What will happen to wage and rental rate variability? Will the impact on utilization of capital truly be improved and by how much? And, who will deliver the equipment, especially if sharing becomes more common. Will entrepreneur equipment owners emerge in high demand markets? What will be the boundaries of those markets? These questions are likely only to be answered with time.

Role of the state: Craft labor training infrastructure in the US is weak. It will be interesting to see if state governments finally accept a lead role in training and certification decades after the demise of the construction trade unions. Government regulation of fair wages may be necessary if a more efficient competitive market created by sharing platforms drives wages down. Geographic, jurisdictional and liability limitations may also need to be imposed.

So, in the end, how will the sharing economy impact the construction industry? Proponents are making aggressive claims. Some of the advantages are obvious, and risks as well. Investors, constructors and governments must maintain vigilance over this emerging industry, and at the same time, welcome the change it represents.

Author: [http://www.civil.uwaterloo.ca/chaas/ Carl Haas]

Contact: [https://uwaterloo.ca/civil-environmental-engineering/about/people/chaas POC]

[[Category:International]] [[Category:Organisations]] [[Category:Projects_and_case_studies]] [[Category:Research_/_Innovation]] [[Category:Planning_permission]] [[Category:Regulations]] [[Category:Standards_/_measurements]] [[Category:Sustainability]] [[Category:Construction_management]] [[Category:Construction_techniques]] [[Category:Cost_/_business_planning]] [[Category:Design]] [[Category:Roles_/_services]]

File:Impact.jpg

2017-05-23T14:30:45Z

Sequeira Carla:

The future of construction - BIM

2017-05-19T13:48:09Z

Sequeira Carla:

[[File:BIM5.png|link=File:BIM5.png]]

Building Information Modeling (BIM) can be a valuable tool in the hands of anyone who works in construction. There’s no doubt that, the concept of collaborative working is becoming more and more popular through the years. That’s why, it’s critical for all [https://geniebelt.com/blog/construction-manager-is-the-industrys-uncrowned-king construction agents] to be aware of the different BIM maturity levels. Before we go further with that, it would really be useful to try to define what BIM actually means.

== WHAT BIM ACTUALLY IS ==

As we saw above, BIM stands for [https://en.wikipedia.org/wiki/Building_information_modeling Building Information Modeling]. To put it simply, BIM refers to a collaborative method of working which is based on the generation and exchange of data and information between the various project parties. Based on this information the full cycle of a building, from conception to completion, can be managed. In that sense, it’s an indispensable part of the decision-making process. BIM started gaining attention in the 90’s and it has evolved remarkably during the last decades.

There are different levels of shared collaboration in a [https://geniebelt.com/blog/construction-project-management-processes-everything-need-know construction project]. Those are known as BIM maturity levels. As we proceed through the levels, the collaboration between the various sides is increasing. At the time being, there are four distinct BIM maturity levels.

=== BIM LEVEL 0 (LOW COLLABORATION) ===

It’s the simplest step of the information generating process. It doesn’t practically involve any level of cooperation. In this phase, the production and sharing of the information are taking place with the help of paper and non-interoperable electronic documents. CAD drawings are used during Level 0, but there is no sharing of the generated information models. [https://www.thenbs.com/knowledge/nbs-national-bim-report-2014 The industry has already surpassed this step] and is heading to a more collaborative way of producing and distributing the necessary information.

=== BIM LEVEL 1 (PARTIAL COLLABORATION) ===

A large number of companies are at the moment conducting their work on this level. A [https://www.designingbuildings.co.uk/wiki/Common_data_environment_CDE Common Data Environment (CDE)] is used in this case. A Common Data Environment or CDE is an online shared repository where all the necessary project data are collected and managed. Softwares like Aconex or Viewpoint can be used as the CDE. The contractor is normally the one who manages a CDE. In a few words, BIM Level 1 is focusing on the transition from CAD to 2D and 3D pieces of information. Despite the presence of a Common Data Environment, the generated models are not distributed among the different agents.

=== BIM LEVEL 2 (FULL COLLABORATION) ===

The main focus of interest on this level is the way in which the information is shared across the various project members. Two new dimensions, related to project management, are introduced at this level. It’s the 4D (GenieBelt) which is related to time management and the 5D (Aconex) which is linked to the calculation of the budget. The [http://shop.bsigroup.com/Navigate-by/PAS/PAS-1192-22013/ PAS 1192] specification is also of imperative importance, as it designates the necessary conditions for a construction project to reach in BIM Level 2.

Collaborative working is at the core of BIM Level 2. Nevertheless, it doesn’t require every side involved in the project to operate on the same [https://en.wikipedia.org/wiki/Model-based_definition 3D CAD models]. To the contrary, everyone is free to use a distinct CAD model. What is really important is the existence of a [http://www.computerhope.com/issues/ch001789.htm common file type] (an IFC file for instance) that contains all the design information. In other words, we are talking about a model of full collaboration among the numerous project sides. In that way, the parties connected to the project can have an overview of all the available information and modify it accordingly. Thanks to this, they are able to put together a unified BIM model. Last but truly important detail is that the CAD software, that every party uses, should have the ability to export in common file types (eg. [https://en.wikipedia.org/wiki/Industry_Foundation_Classes IFC] files, [https://en.wikipedia.org/wiki/COBie COBie] files etc.).

Countries like the UK are [http://www.bre.co.uk/page.jsp?id=3447 already pushing hard] towards that direction. The UK government mandate for adopting the BIM Level 2 model by 2016 in every public project makes clear that there’s a strong focus on optimizing the construction process.

=== BIM LEVEL 3 (FULL INTEGRATION) ===

BIM Level 3 is the ultimate goal for the construction industry. Its main point is the attainment of full integration (iBIM) of the information in a cloud-based environment. This will be achieved by the use of a common shared model. The model will be accessible to anyone that has something to do with the project. On top of that, the various agents that work in the project will be able to edit it and/or add their own piece of information. A new dimension (6D) which is focusing on the management of the building’s life cycle is expected to be added at this point. Dimensions related to time (4D) and cost (5D) are also available. At the moment, there are still certain doubts around copyright and responsibility issues. But those are expected to be solved, as the whole process is progressing.

=== BIM DIMENSIONS ===

A common misconception around BIM has to do with its dimensions. The dimensions are different than the BIM maturity levels. BIM dimensions are inextricably connected to the type of data that can become available through the process. They can be found both in BIM Level 2 and Level 3.

In a nutshell, there are four types of BIM dimensions:

3D: It refers to 3D generated drawings.

4D: It is linked to time management. 5D: It concerns data that have to do with the cost of the project. 6D: It’s a dimension dedicated to the life cycle management of a building.

== THE IMPORTANCE OF MODEL CHECKING ==

[https://en.wikipedia.org/wiki/Model_checking Model checking] is a fundamental element in computer science and by extension in BIM. Model checking could be described as the detailed process of examining a particular system model on whether or not is meeting certain criteria. It’s understandable that model checking has tremendous importance for BIM.

There are various BIM viewer tools that could help a lot during this effort. Solibri and Navisworks are two reliable softwares that can offer a lot towards that direction. In a sentence, they could be used for design coordinating and compliance checking purposes. Similarly, a tool like Revit can be part of this procedure.

== WHAT THE FUTURE BRINGS ==

The transition to BIM Level 2 and hopefully soon enough to Level 3 will have some important benefits for the construction industry. In short, we could sum up some of them below:

[https://geniebelt.com/blog/25-ways-labor-market-loses-money-productivity-infographics Boost In Productivity]

The ability to share information faster and easier can offer a significant productivity boost. Collaborative working can decrease the required time for incorporating and editing new information. Increased productivity means also lower cost and by extension higher efficiency in terms of project planning.

Big Data

Building Information Modeling will offer remarkable help in handling vast amounts of data. The more effective managing of big data will change the way many of the professionals within construction (eg. contractors, engineers etc.) are working. It’s expected that a higher demand for data will emerge, as well.

=== CHECK OUT ALSO: [https://geniebelt.com/blog/modernise-or-die MODERNISE OR DIE: THE NEED FOR CHANGE IN CONSTRUCTION] ===

New Possibilities For Smaller Markets

BIM can play a great role in the optimization of the [https://geniebelt.com/blog/construction-project-management-processes-everything-need-know construction process]. This element may very soon lead to the opening and development of new markets which until now did not have the right tools in order to expand. Thanks to a fully or partially integrated collaborative model, they will be able to tackle a big number of difficulties that they face on a daily basis at the moment.

Buildings Of Higher Quality

The larger amount of data in conjunction with the ability to manage them with higher precision will eventually lead to a remarkable improvement of the quality of our buildings. To put it simply, more complex buildings that have much more to offer to their residents will be designed and built. Parameters such as the [https://geniebelt.com/blog/what-is-green-construction environment] and the [https://geniebelt.com/blog/modernise-or-die modernization] of the designed structures will be easier to be taken into consideration during the building procedure.

Improved Clash Detection

Thanks to BIM, the clash detection process is drastically ameliorated. The term clash is referring to potential mistakes that emerge during the design and construction of a building. Building Information Modeling can help a lot in clash detection and as a result in increasing the project’s efficiency. IFC files offer great assistance during this process.

== WHO ARE THE BIM COMPANIES? ==

There is already a decent number of companies which play a significant role in this transition from partial collaboration to full integration. GenieBelt (4D) is a vital part both of BIM Level 2, as it is inextricably connected with the project task management. Same goes for Aconex (5D) whose main point of focus is on providing a CDE and the cost management of a project. Solibri, Revit and Tekla are mainly part of BIM Level 1 and Level 2. There is also Asite and Viewpoint which can contribute in BIM Level 2 as CDE. Finally, in the BIM Level 0 and Level 1, we come across Autodesk Autocad.

Have a closer look to the infographic below and get a better overview of the companies that are at the moment an indispensable part of the BIM process:

[[File:BIM6.png|link=File:BIM6.png]]

[https://twitter.com/share?text=Check+out+this+%23infographic+-+who+are+the+%23BIM+Companies+%F0%9F%8F%A2+pic.twitter.com%2FqjcGvutiLi&url=http://bit.ly/2qMemtp&via=geniebelt Check out this #infographic – who are the #BIM Companies pic.twitter.com/qjcGvutiLiCLICK TO TWEET]

== CONCLUSION ==

It’s clear, then, that BIM represents the opening of the construction industry to [https://en.wikipedia.org/wiki/Interoperability interoperability]. There’s no doubt that it’s a long and demanding way. But important steps have been made during the last decades and the future of construction looks brighter day by day.

Infographics designed by: Ovidiu David

Text written by: Anastasios Koutsogiannis

Please find the original article [https://geniebelt.com/blog/bim-maturity-levels here]

The future of construction - BIM

2017-05-19T13:47:22Z

Sequeira Carla:

[[File:BIM1.jpg|link=File:BIM1.jpg]]

[[File:BIM5.png|link=File:BIM5.png]]

Building Information Modeling (BIM) can be a valuable tool in the hands of anyone who works in construction. There’s no doubt that, the concept of collaborative working is becoming more and more popular through the years. That’s why, it’s critical for all [https://geniebelt.com/blog/construction-manager-is-the-industrys-uncrowned-king construction agents] to be aware of the different BIM maturity levels. Before we go further with that, it would really be useful to try to define what BIM actually means.

== WHAT BIM ACTUALLY IS ==

As we saw above, BIM stands for [https://en.wikipedia.org/wiki/Building_information_modeling Building Information Modeling]. To put it simply, BIM refers to a collaborative method of working which is based on the generation and exchange of data and information between the various project parties. Based on this information the full cycle of a building, from conception to completion, can be managed. In that sense, it’s an indispensable part of the decision-making process. BIM started gaining attention in the 90’s and it has evolved remarkably during the last decades.

There are different levels of shared collaboration in a [https://geniebelt.com/blog/construction-project-management-processes-everything-need-know construction project]. Those are known as BIM maturity levels. As we proceed through the levels, the collaboration between the various sides is increasing. At the time being, there are four distinct BIM maturity levels.

=== BIM LEVEL 0 (LOW COLLABORATION) ===

It’s the simplest step of the information generating process. It doesn’t practically involve any level of cooperation. In this phase, the production and sharing of the information are taking place with the help of paper and non-interoperable electronic documents. CAD drawings are used during Level 0, but there is no sharing of the generated information models. [https://www.thenbs.com/knowledge/nbs-national-bim-report-2014 The industry has already surpassed this step] and is heading to a more collaborative way of producing and distributing the necessary information.

=== BIM LEVEL 1 (PARTIAL COLLABORATION) ===

A large number of companies are at the moment conducting their work on this level. A [https://www.designingbuildings.co.uk/wiki/Common_data_environment_CDE Common Data Environment (CDE)] is used in this case. A Common Data Environment or CDE is an online shared repository where all the necessary project data are collected and managed. Softwares like Aconex or Viewpoint can be used as the CDE. The contractor is normally the one who manages a CDE. In a few words, BIM Level 1 is focusing on the transition from CAD to 2D and 3D pieces of information. Despite the presence of a Common Data Environment, the generated models are not distributed among the different agents.

=== BIM LEVEL 2 (FULL COLLABORATION) ===

The main focus of interest on this level is the way in which the information is shared across the various project members. Two new dimensions, related to project management, are introduced at this level. It’s the 4D (GenieBelt) which is related to time management and the 5D (Aconex) which is linked to the calculation of the budget. The [http://shop.bsigroup.com/Navigate-by/PAS/PAS-1192-22013/ PAS 1192] specification is also of imperative importance, as it designates the necessary conditions for a construction project to reach in BIM Level 2.

Collaborative working is at the core of BIM Level 2. Nevertheless, it doesn’t require every side involved in the project to operate on the same [https://en.wikipedia.org/wiki/Model-based_definition 3D CAD models]. To the contrary, everyone is free to use a distinct CAD model. What is really important is the existence of a [http://www.computerhope.com/issues/ch001789.htm common file type] (an IFC file for instance) that contains all the design information. In other words, we are talking about a model of full collaboration among the numerous project sides. In that way, the parties connected to the project can have an overview of all the available information and modify it accordingly. Thanks to this, they are able to put together a unified BIM model. Last but truly important detail is that the CAD software, that every party uses, should have the ability to export in common file types (eg. [https://en.wikipedia.org/wiki/Industry_Foundation_Classes IFC] files, [https://en.wikipedia.org/wiki/COBie COBie] files etc.).

Countries like the UK are [http://www.bre.co.uk/page.jsp?id=3447 already pushing hard] towards that direction. The UK government mandate for adopting the BIM Level 2 model by 2016 in every public project makes clear that there’s a strong focus on optimizing the construction process.

=== BIM LEVEL 3 (FULL INTEGRATION) ===

BIM Level 3 is the ultimate goal for the construction industry. Its main point is the attainment of full integration (iBIM) of the information in a cloud-based environment. This will be achieved by the use of a common shared model. The model will be accessible to anyone that has something to do with the project. On top of that, the various agents that work in the project will be able to edit it and/or add their own piece of information. A new dimension (6D) which is focusing on the management of the building’s life cycle is expected to be added at this point. Dimensions related to time (4D) and cost (5D) are also available. At the moment, there are still certain doubts around copyright and responsibility issues. But those are expected to be solved, as the whole process is progressing.

=== BIM DIMENSIONS ===

A common misconception around BIM has to do with its dimensions. The dimensions are different than the BIM maturity levels. BIM dimensions are inextricably connected to the type of data that can become available through the process. They can be found both in BIM Level 2 and Level 3.

In a nutshell, there are four types of BIM dimensions:

3D: It refers to 3D generated drawings.

4D: It is linked to time management. 5D: It concerns data that have to do with the cost of the project. 6D: It’s a dimension dedicated to the life cycle management of a building.

== THE IMPORTANCE OF MODEL CHECKING ==

[https://en.wikipedia.org/wiki/Model_checking Model checking] is a fundamental element in computer science and by extension in BIM. Model checking could be described as the detailed process of examining a particular system model on whether or not is meeting certain criteria. It’s understandable that model checking has tremendous importance for BIM.

There are various BIM viewer tools that could help a lot during this effort. Solibri and Navisworks are two reliable softwares that can offer a lot towards that direction. In a sentence, they could be used for design coordinating and compliance checking purposes. Similarly, a tool like Revit can be part of this procedure.

== WHAT THE FUTURE BRINGS ==

The transition to BIM Level 2 and hopefully soon enough to Level 3 will have some important benefits for the construction industry. In short, we could sum up some of them below:

[https://geniebelt.com/blog/25-ways-labor-market-loses-money-productivity-infographics Boost In Productivity]

The ability to share information faster and easier can offer a significant productivity boost. Collaborative working can decrease the required time for incorporating and editing new information. Increased productivity means also lower cost and by extension higher efficiency in terms of project planning.

Big Data

Building Information Modeling will offer remarkable help in handling vast amounts of data. The more effective managing of big data will change the way many of the professionals within construction (eg. contractors, engineers etc.) are working. It’s expected that a higher demand for data will emerge, as well.

=== CHECK OUT ALSO: [https://geniebelt.com/blog/modernise-or-die MODERNISE OR DIE: THE NEED FOR CHANGE IN CONSTRUCTION] ===

New Possibilities For Smaller Markets

BIM can play a great role in the optimization of the [https://geniebelt.com/blog/construction-project-management-processes-everything-need-know construction process]. This element may very soon lead to the opening and development of new markets which until now did not have the right tools in order to expand. Thanks to a fully or partially integrated collaborative model, they will be able to tackle a big number of difficulties that they face on a daily basis at the moment.

Buildings Of Higher Quality

The larger amount of data in conjunction with the ability to manage them with higher precision will eventually lead to a remarkable improvement of the quality of our buildings. To put it simply, more complex buildings that have much more to offer to their residents will be designed and built. Parameters such as the [https://geniebelt.com/blog/what-is-green-construction environment] and the [https://geniebelt.com/blog/modernise-or-die modernization] of the designed structures will be easier to be taken into consideration during the building procedure.

Improved Clash Detection

Thanks to BIM, the clash detection process is drastically ameliorated. The term clash is referring to potential mistakes that emerge during the design and construction of a building. Building Information Modeling can help a lot in clash detection and as a result in increasing the project’s efficiency. IFC files offer great assistance during this process.

== WHO ARE THE BIM COMPANIES? ==

There is already a decent number of companies which play a significant role in this transition from partial collaboration to full integration. GenieBelt (4D) is a vital part both of BIM Level 2, as it is inextricably connected with the project task management. Same goes for Aconex (5D) whose main point of focus is on providing a CDE and the cost management of a project. Solibri, Revit and Tekla are mainly part of BIM Level 1 and Level 2. There is also Asite and Viewpoint which can contribute in BIM Level 2 as CDE. Finally, in the BIM Level 0 and Level 1, we come across Autodesk Autocad.

Have a closer look to the infographic below and get a better overview of the companies that are at the moment an indispensable part of the BIM process:

[[File:BIM6.png|link=File:BIM6.png]]

[https://twitter.com/share?text=Check+out+this+%23infographic+-+who+are+the+%23BIM+Companies+%F0%9F%8F%A2+pic.twitter.com%2FqjcGvutiLi&url=http://bit.ly/2qMemtp&via=geniebelt Check out this #infographic – who are the #BIM Companies pic.twitter.com/qjcGvutiLiCLICK TO TWEET]

== CONCLUSION ==

It’s clear, then, that BIM represents the opening of the construction industry to [https://en.wikipedia.org/wiki/Interoperability interoperability]. There’s no doubt that it’s a long and demanding way. But important steps have been made during the last decades and the future of construction looks brighter day by day.

Infographics designed by: Ovidiu David

Text written by: Anastasios Koutsogiannis

Please find the original article [https://geniebelt.com/blog/bim-maturity-levels here]

The future of construction - BIM

2017-05-19T13:46:26Z

Sequeira Carla: Created page with "File:BIM1.jpg File:BIM5.png Building Information Modeling (BIM) can be a valuable tool in the hands of anyone who works in construction. There’s no doubt that, the co..."

[[File:BIM1.jpg]]

[[File:BIM5.png]]

Building Information Modeling (BIM) can be a valuable tool in the hands of anyone who works in construction. There’s no doubt that, the concept of collaborative working is becoming more and more popular through the years. That’s why, it’s critical for all [https://geniebelt.com/blog/construction-manager-is-the-industrys-uncrowned-king construction agents] to be aware of the different BIM maturity levels. Before we go further with that, it would really be useful to try to define what BIM actually means.

== WHAT BIM ACTUALLY IS ==

As we saw above, BIM stands for [https://en.wikipedia.org/wiki/Building_information_modeling Building Information Modeling]. To put it simply, BIM refers to a collaborative method of working which is based on the generation and exchange of data and information between the various project parties. Based on this information the full cycle of a building, from conception to completion, can be managed. In that sense, it’s an indispensable part of the decision-making process. BIM started gaining attention in the 90’s and it has evolved remarkably during the last decades.

There are different levels of shared collaboration in a [https://geniebelt.com/blog/construction-project-management-processes-everything-need-know construction project]. Those are known as BIM maturity levels. As we proceed through the levels, the collaboration between the various sides is increasing. At the time being, there are four distinct BIM maturity levels.

=== BIM LEVEL 0 (LOW COLLABORATION) ===

It’s the simplest step of the information generating process. It doesn’t practically involve any level of cooperation. In this phase, the production and sharing of the information are taking place with the help of paper and non-interoperable electronic documents. CAD drawings are used during Level 0, but there is no sharing of the generated information models. [https://www.thenbs.com/knowledge/nbs-national-bim-report-2014 The industry has already surpassed this step] and is heading to a more collaborative way of producing and distributing the necessary information.

=== BIM LEVEL 1 (PARTIAL COLLABORATION) ===

A large number of companies are at the moment conducting their work on this level. A [https://www.designingbuildings.co.uk/wiki/Common_data_environment_CDE Common Data Environment (CDE)] is used in this case. A Common Data Environment or CDE is an online shared repository where all the necessary project data are collected and managed. Softwares like Aconex or Viewpoint can be used as the CDE. The contractor is normally the one who manages a CDE. In a few words, BIM Level 1 is focusing on the transition from CAD to 2D and 3D pieces of information. Despite the presence of a Common Data Environment, the generated models are not distributed among the different agents.

=== BIM LEVEL 2 (FULL COLLABORATION) ===

The main focus of interest on this level is the way in which the information is shared across the various project members. Two new dimensions, related to project management, are introduced at this level. It’s the 4D (GenieBelt) which is related to time management and the 5D (Aconex) which is linked to the calculation of the budget. The [http://shop.bsigroup.com/Navigate-by/PAS/PAS-1192-22013/ PAS 1192] specification is also of imperative importance, as it designates the necessary conditions for a construction project to reach in BIM Level 2.

Collaborative working is at the core of BIM Level 2. Nevertheless, it doesn’t require every side involved in the project to operate on the same [https://en.wikipedia.org/wiki/Model-based_definition 3D CAD models]. To the contrary, everyone is free to use a distinct CAD model. What is really important is the existence of a [http://www.computerhope.com/issues/ch001789.htm common file type] (an IFC file for instance) that contains all the design information. In other words, we are talking about a model of full collaboration among the numerous project sides. In that way, the parties connected to the project can have an overview of all the available information and modify it accordingly. Thanks to this, they are able to put together a unified BIM model. Last but truly important detail is that the CAD software, that every party uses, should have the ability to export in common file types (eg. [https://en.wikipedia.org/wiki/Industry_Foundation_Classes IFC] files, [https://en.wikipedia.org/wiki/COBie COBie] files etc.).

Countries like the UK are [http://www.bre.co.uk/page.jsp?id=3447 already pushing hard] towards that direction. The UK government mandate for adopting the BIM Level 2 model by 2016 in every public project makes clear that there’s a strong focus on optimizing the construction process.

=== BIM LEVEL 3 (FULL INTEGRATION) ===

BIM Level 3 is the ultimate goal for the construction industry. Its main point is the attainment of full integration (iBIM) of the information in a cloud-based environment. This will be achieved by the use of a common shared model. The model will be accessible to anyone that has something to do with the project. On top of that, the various agents that work in the project will be able to edit it and/or add their own piece of information. A new dimension (6D) which is focusing on the management of the building’s life cycle is expected to be added at this point. Dimensions related to time (4D) and cost (5D) are also available. At the moment, there are still certain doubts around copyright and responsibility issues. But those are expected to be solved, as the whole process is progressing.

=== BIM DIMENSIONS ===

A common misconception around BIM has to do with its dimensions. The dimensions are different than the BIM maturity levels. BIM dimensions are inextricably connected to the type of data that can become available through the process. They can be found both in BIM Level 2 and Level 3.

In a nutshell, there are four types of BIM dimensions:

3D: It refers to 3D generated drawings. 
4D: It is linked to time management. 
5D: It concerns data that have to do with the cost of the project. 
6D: It’s a dimension dedicated to the life cycle management of a building.

== THE IMPORTANCE OF MODEL CHECKING ==

[https://en.wikipedia.org/wiki/Model_checking Model checking] is a fundamental element in computer science and by extension in BIM. Model checking could be described as the detailed process of examining a particular system model on whether or not is meeting certain criteria. It’s understandable that model checking has tremendous importance for BIM.

There are various BIM viewer tools that could help a lot during this effort. Solibri and Navisworks are two reliable softwares that can offer a lot towards that direction. In a sentence, they could be used for design coordinating and compliance checking purposes. Similarly, a tool like Revit can be part of this procedure.

== WHAT THE FUTURE BRINGS ==

The transition to BIM Level 2 and hopefully soon enough to Level 3 will have some important benefits for the construction industry. In short, we could sum up some of them below:

[https://geniebelt.com/blog/25-ways-labor-market-loses-money-productivity-infographics Boost In Productivity]

The ability to share information faster and easier can offer a significant productivity boost. Collaborative working can decrease the required time for incorporating and editing new information. Increased productivity means also lower cost and by extension higher efficiency in terms of project planning.

Big Data

Building Information Modeling will offer remarkable help in handling vast amounts of data. The more effective managing of big data will change the way many of the professionals within construction (eg. contractors, engineers etc.) are working. It’s expected that a higher demand for data will emerge, as well.

=== CHECK OUT ALSO: [https://geniebelt.com/blog/modernise-or-die MODERNISE OR DIE: THE NEED FOR CHANGE IN CONSTRUCTION] ===

New Possibilities For Smaller Markets

BIM can play a great role in the optimization of the [https://geniebelt.com/blog/construction-project-management-processes-everything-need-know construction process]. This element may very soon lead to the opening and development of new markets which until now did not have the right tools in order to expand. Thanks to a fully or partially integrated collaborative model, they will be able to tackle a big number of difficulties that they face on a daily basis at the moment.

Buildings Of Higher Quality

The larger amount of data in conjunction with the ability to manage them with higher precision will eventually lead to a remarkable improvement of the quality of our buildings. To put it simply, more complex buildings that have much more to offer to their residents will be designed and built. Parameters such as the [https://geniebelt.com/blog/what-is-green-construction environment] and the [https://geniebelt.com/blog/modernise-or-die modernization] of the designed structures will be easier to be taken into consideration during the building procedure.

Improved Clash Detection

Thanks to BIM, the clash detection process is drastically ameliorated. The term clash is referring to potential mistakes that emerge during the design and construction of a building. Building Information Modeling can help a lot in clash detection and as a result in increasing the project’s efficiency. IFC files offer great assistance during this process.

== WHO ARE THE BIM COMPANIES? ==

There is already a decent number of companies which play a significant role in this transition from partial collaboration to full integration. GenieBelt (4D) is a vital part both of BIM Level 2, as it is inextricably connected with the project task management. Same goes for Aconex (5D) whose main point of focus is on providing a CDE and the cost management of a project. Solibri, Revit and Tekla are mainly part of BIM Level 1 and Level 2. There is also Asite and Viewpoint which can contribute in BIM Level 2 as CDE. Finally, in the BIM Level 0 and Level 1, we come across Autodesk Autocad.

Have a closer look to the infographic below and get a better overview of the companies that are at the moment an indispensable part of the BIM process:

[[File:BIM6.png]]

[https://twitter.com/share?text=Check+out+this+%23infographic+-+who+are+the+%23BIM+Companies+%F0%9F%8F%A2+pic.twitter.com%2FqjcGvutiLi&url=http://bit.ly/2qMemtp&via=geniebelt Check out this #infographic – who are the #BIM Companies pic.twitter.com/qjcGvutiLiCLICK TO TWEET]

== CONCLUSION ==

It’s clear, then, that BIM represents the opening of the construction industry to [https://en.wikipedia.org/wiki/Interoperability interoperability]. There’s no doubt that it’s a long and demanding way. But important steps have been made during the last decades and the future of construction looks brighter day by day.

Infographics designed by: Ovidiu David 
Text written by: Anastasios Koutsogiannis

Please find the original article [https://geniebelt.com/blog/bim-maturity-levels here]

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The Future of Construction – Thoughts by Ibrahim Odeh, PhD, MBA

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Eight ways to win the fight for talent in construction

2017-05-19T09:06:50Z

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= [[File:Talent.jpg|link=File:Talent.jpg]] =

= Why talent should be a top priority for construction companies =

Reflecting on the construction industry as a whole, Brendan Bechtel, Chairman and CEO of Bechtel Group, says: “Ours is a people business that depends on fielding the most capable project teams in the world.” In the struggle to recruit and retain talent, he recently revised his strategy, with an emphasis on greater transparency in communication: “In an increasingly competitive environment, we need to be able to attract the best engineers and managers in order to thrive. Today those elite recruits demand to understand our values, and we need to meet that demand.”

Enlisting and managing talent – it has long been a challenge for the construction sector, and is sure to become more so in the years ahead, as it will for many other industries. A [http://www3.weforum.org/docs/WEF_Future_of_Jobs.pdf recent World Economic Forum report] warns how troublesome the coming employment trends might prove: the continuing volatility of workforce demand and composition; the scarcity of skilled labour, driven by demographic shifts; and the demand for new and broader skill sets at all levels, driven by the surging sophistication of technology.

Recent survey results confirm these fears. According to the US National Association of Homebuilders, 82% of construction companies consider their main concern to be the shortage of construction workers. Sure enough, figures show that the average age of the workforce is rising faster than ever: the UK Chartered Institute of Building reports that the set of workers over 60 is increasing faster, and the set under 30 is decreasing faster, than any other set. In a recent construction-industry survey conducted for the World Economic Forum, with more than 100 respondents, 77% of respondents agreed that the industry is not doing enough to attract and retain talent, and not one of the respondents fully agreed that the industry is investing enough in recruiting and retaining talent.

= [[File:Talent1.png]] =

= What should the industry do to attract more talent? =

Here are eight key actions that construction executives can take to boost their recruitment and development of talent.

== 1. Make talent management a strategic priority ==

Traditionally, workforce management in construction was equivalent to living a boom-to-bust cycle: hiring and firing followed the general trend of the economy. Winning the war for talent, however, requires a fundamentally different and longer-term approach. The first step involves strategic workforce planning, i.e. thinking strategically about the company’s future demand in terms of quantity and quality of skills, and the likely availability of those skills to systematically plan recruitment, retention and training.

One quick look at the demographics of the construction industry, and you can see how important planning is: the average age of construction workers in the US is 43; in the UK, 700,000 additional construction workers are needed over the next five years to meet the government’s objective of 1 million homes, according to the [http://www.cast-consultancy.com/news-casts/farmer-review-uk-construction-labour-model-3/ Farmer report].

The concerns are not just about the quantity but also the quality of the skilled future workforce. The construction industry is undergoing a rapid digital transformation – through disruptive technologies such as Building Information Modelling (BIM), wireless sensing, big data & analytics, 3D printing, and autonomous equipment – which requires radically different skill sets, and sets the industry in competition with tech companies such as Google or Apple for data scientists and IT experts.

For construction CEOs, people and talent management has to become a top priority, because for students and young professionals it is already a key factor in their choice of employer.

== 2. Rejuvenate corporate culture ==

When Elon Musk, exasperated by the traffic in Los Angeles, tweeted his intention to develop a tunnel-boring machine and create underground roadways, many people would have dismissed it as “yet another crazy idea coming out of Silicon Valley”. Some construction-industry participants, though, including the German tunnel-boring specialist Herrenknecht, took it far more seriously.

By setting out a bold vision and creating a culture that is undaunted by tradition, [https://www.weforum.org/agenda/2017/03/elon-musk-innovation-construction-industry/ Musk and other successful innovators] manage to attract the best talent from very different fields and to defy standard industry practice. In contrast, many or most construction companies are characterized by a conservative, ‘fear of failure’ corporate culture and hampered by organizational inertia. Culture is a talent magnet, and construction companies need to implement a corporate culture that challenges the status quo and embraces innovation wholeheartedly. One example: some firms have started to break down the traditional hierarchies by means of “reverse mentoring”, i.e. assigning young employees the task of mentoring established executives.

== 3. Invest in diversity ==

“Pale, male, stale” is so yesterday, as a [https://futureofconstruction.org/blog/4-ways-to-recruit-and-retain-the-best-talent/ previous blog] pointed out. Yet that kind of workforce persists widely in the construction industry: male employees with an engineering background still predominate, despite the demographic changes and the industry’s digital transformation. Construction companies really need to tap into non-traditional pools – community specialists, women, those with backgrounds in tech or IT or data science. A [https://www.bcg.com/publications/2017/people-organization-leadership-talent-innovation-through-diversity-mix-that-matters.aspx recent study by The Boston Consulting Group] found a clear link between workforce diversity and innovation – mixed teams with diverse industry backgrounds and career paths tend to make a particularly powerful impact. As the construction industry continues its tech-driven transformation, it increasingly needs different and more flexible skill sets, and companies need to hire on the basis not just of existing skills but also of potential.

== 4. Leverage technology and innovation ==

By embracing innovation and new technologies, construction companies can not only make themselves future-ready but can also meet the talent challenge. Increased automation, off-site pre-fabrication, new collaboration tools – suchlike advances will help to enhance productivity (and wages) as well as reduce the time spent on-site, two key wishes for the respondents in our industry survey. Some innovations that are now standard in the automotive industry – exo-skeletons, human-robot collaboration, and ergonomic work processes – could benefit construction work too, making it less physically demanding and better suited to an ageing workforce.

== 5. Foster continuous Learning & Career Development ==

Our survey revealed that for students and young professionals, one of the most appealing aspects of a potential job (second only to interesting job content) is Learning and Career Development (L&D). Yet only 48% percent of respondents found that the construction industry fulfils their expectations in that regard. Continuous L&D is particularly important in a radically changing industry environment that requires different skills. Construction companies should be integrating continuous L&D into their culture, whether through internal academies, partnerships with external training institutions, or both.

== 6. Create relevant incentives ==

No commentary on the subject of talent would be complete without some reference to the different priorities of Generations Y or Z. Today’s young talents look beyond salary packages and benefits, and emphasize [https://www.linkedin.com/pulse/getting-beyond-money-tomorrows-talent-prioritizes-purpose-buehler flexibility (“own your time”), purpose and ethics]. Many companies in the tech sector and others have already adapted their recruitment and retention schemes to reflect those new priorities; construction companies need to up their game if they are to compete in the quest for talent. A Millennial might well be attracted by the opportunity to help transform a millennia-old industry – but only if he or she feels that the company is genuinely embracing the change.

== 7. Redefine the public image of construction ==

Construction still has a “dull and dirty” image currently, but companies are well positioned to create a more appealing image – one of a dynamic and purpose-driven industry. In our survey, industry professionals proudly cited their beneficial impact on society (“we build things”), their contribution to national development, and their engagement with some of the serious modern challenges such as urbanization and climate change.

And it’s true, construction accounts for 6% of global GDP, creates the physical milieu for all other industries to flourish, and directly affects everybody’s quality of life through social infrastructure such as housing, hospitals, transport systems, schools and theatres. What’s more, built structures and engineering achievements – whether the Egyptian pyramids, the Roman Colosseum, the Panama Canal, or skyscrapers like the [https://futureofconstruction.org/case/burj-khalifa/ Burj Khalifa] – have always fascinated people, and continue to do so.

Construction stakeholders should collaborate more in communicating this impact, and should relay their fascinating stories more broadly by means of social media. Companies should start early, and go out to schools and universities to actively shape the image of the industry.

== 8. Collaborate systematically ==

The seven actions listed so far may take some time to implement, and will certainly take some time to succeed. They require a shift in paradigm, spanning the entire construction ecosystem. One crucial facilitator will be collaboration between companies – to leverage synergies and coordinate campaigns.

Collaboration with external organizations is likewise crucial – with universities, for instance, in providing continuous L&D of construction professionals and in tailoring curricula to the future needs of the industry. One striking example, leveraging the new format of Massive Open Online Courses (MOOCs), is [https://www.coursera.org/specializations/construction-management Columbia University’s Construction Project Management and Planning Specialization], which brings together 20 industry leaders from different companies.

= Conclusion =

The various actions will require a firm commitment from industry stakeholders, and often a considerable financial investment too. As always, any investment should be based on a clear strategy, and should be prepared carefully in order to pay off in the future. Failing to make a generous investment in talent would definitely be short-sighted. In the words of Peter Drucker: “Developing talent is business’s most important task – the sine qua non of competition in a knowledge economy.”

Source: Future of Construction Industry Attractiveness web survey among professionals, young professionals and students (October 2016–February 2017).

* Written by

Santiago Castagnino, Partner & Managing Director, The Boston Consulting Group | Ibrahim S. Odeh, Founding Director, Global Leaders in Construction Management – Research Initiative, Columbia University | Michael Buehler, Head of Infrastructure and Urban Development, World Economic Forum

This article was originally published on the [https://futureofconstruction.org/blog/eight-ways-to-win-the-fight-for-talent-in-construction/ Future of Construction Knowledge Sharing Platform] and the [http://www.weforum.org/agenda/2017/03/elon-musk-innovation-construction-industry WEF Agenda Blog].

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