Integrated Project Delivery: Executing Your First IPD Project · 2019. 5. 23. · Victor O....
Transcript of Integrated Project Delivery: Executing Your First IPD Project · 2019. 5. 23. · Victor O....
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Victor O. Schinnerer & Company, Inc. │Large Firm Conference
Howard Ashcraft, Partner at Hanson Bridgett and Adjunct Professor, Stanford University
Integrated Project Delivery: Executing Your First Project
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Victor O. Schinnerer & Company, Inc. │Large Firm Conference 1May 20, 2019
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Victor O. Schinnerer & Company, Inc. │Large Firm Conference
The Pitch
• $500 Million revenue over 4 years
• 12 Divisions– Each with executive with differing bonus goals
• No CEO
• No CFO
• No Executive Committee
• No Board of Directors
• And we have never worked together
2May 20, 2019
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Victor O. Schinnerer & Company, Inc. │Large Firm Conference
Remember Design Build?
• With Great Responsibility Comes Great Power
• If you aren’t responsible for outcome, you are not a player.
• IPD is a second chance for designers to be relevant and have a seat at the table.
3May 20, 2019
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Victor O. Schinnerer & Company, Inc. │Large Firm Conference
Are You Right for IPD?
• Collaborative?
• Project Leadership?– Facilitator– Cost Controls– Schedule Controls– Pulled Workflows
• Addicted to utilization?
• Unwilling to co-locate?
4May 20, 2019
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Victor O. Schinnerer & Company, Inc. │Large Firm Conference
Workflow• Lean
– Work to pull- Not what you want to do, what they need
– Flow before utilization- Small batches, continuous flow
– Colocation- Doing real work, together- Not charrette on steroids
– Culture- Reliability- No studio
5May 20, 2019
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Victor O. Schinnerer & Company, Inc. │Large Firm Conference
Is the Team Right for IPD?
• Engaged
• Collaborative
• Competent
• Committed • Collaborative
• Competent
• Transparent
• Respectful
6May 20, 2019
Owner
Builders
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Victor O. Schinnerer & Company, Inc. │Large Firm Conference
Is the Project Right for IPD?
• Ambition– High Performance Project
• Challenges– Cost, Schedule, Technical
• Clarity– Affects Target Cost Timing
• Probability of change
• Interdependencies– Systems– Organizations
7May 20, 2019
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Victor O. Schinnerer & Company, Inc. │Large Firm Conference
Project Types
• Healthcare
• Universities
• Laboratories
• Manufacturing
• Commercial
• Non-critical Nuclear
• Biopharmaceutical
• Software
• K-12 Educational
• Net Zero Energy
• Mixed Use
• Hospitality
• Amusement Parks
• Semiconductor Mfg.
• First Responder
• Financial Services
• Transportation/Heavy Civil/Water/Wastewater (International)
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Victor O. Schinnerer & Company, Inc. │Large Firm Conference
IPD is a Cocktail
9May 20, 2019
• Structure• Environment• Operating System• Technology
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Victor O. Schinnerer & Company, Inc. │Large Firm Conference
High Performance Project
• Buildable– Can be efficiently constructed within budget
• Usable– Meets the needs of sponsors and stakeholders
• Operable– Can be easily maintained and operated
• Sustainable– Spares Resources, Preserves Environment
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Victor O. Schinnerer & Company, Inc. │Large Firm Conference
HighPerformance
Project
IntegratedBuildingSystems
IntegratedProcesses
IntegratedOrganization
IntegratedInformation
PerformanceMetrics
ProductionManagement
Integrated ConcurrentEngineering
SimulationVisualization
Integration Agreement
Integrated Project DeliveryA Simple Framework
Fischer, Ashcraft, Reed & Khanzode 2017
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Victor O. Schinnerer & Company, Inc. │Large Firm Conference
Fischer, Ashcraft, Reed & Khanzode (2017)
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Victor O. Schinnerer & Company, Inc. │Large Firm Conference
Owner
Consultant
Team
Variable
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Victor O. Schinnerer & Company, Inc. │Large Firm Conference
Negotiation Keys
• What is included in “Chargeable Costs?”– Direct Costs– Overhead
• What is the Risk/Reward Program?
• How is Target Cost validated?
• How is cashflow managed?
• What risks are waived?
• What risks are reserved?
• What is the insurance plan?
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Finance Liability
Governance• How are decisions made?
• How are decisions contested?
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Victor O. Schinnerer & Company, Inc. │Large Firm Conference
Simple Risk/Reward
15May 20, 2019
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Victor O. Schinnerer & Company, Inc. │Large Firm Conference
Value/Cost Risk Reward Model
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Victor O. Schinnerer & Company, Inc. │Large Firm Conference
Neutral Zone
17May 20, 2019
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Victor O. Schinnerer & Company, Inc. │Large Firm Conference
Project Structure
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Multiparty (3 Parties) Polyparty
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Victor O. Schinnerer & Company, Inc. │Large Firm Conference
Governance
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• Tiered– Senior Management Team– Project Management Team– Cross-Functional Teams
- ”Clusters” ”Project Implementation Teams”
• Voting– Owner 1/3 of votes– Owner’s Override that can
trigger a change order
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Victor O. Schinnerer & Company, Inc. │Large Firm Conference
Insurance• Traditional
– Normal for all parties
• Hybrid– OCIP/CCIP– Traditional Professional Liability
• Integrated (Single or Multiple Policies)– Project Specific Professional Liability
- Rectification/Mitigation?- Insured v. Insured Exclusion- Project Policy Exclusion
– OCIP/CCIP
20May 20, 2019
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Victor O. Schinnerer & Company, Inc. │Large Firm Conference
Traditional and Relational…and some implications
Attribute Traditional Relational
Enforcement of Promises External Adjudication Internal Adjustment
Definition of Success Compliance Satisfaction
Project Organization Segregated/Sequential Integrated/Concurrent
Decision Authority Hierarchical Distributed
Contract Provisions Prescriptive Enabling
Communication System Channeled Networked
Risk Allocation Assigned Shared
Accountability Audit Transparency
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Victor O. Schinnerer & Company, Inc. │Large Firm Conference 22May 20, 2019
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Victor O. Schinnerer & Company, Inc. │Large Firm Conference
And Remember…
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Victor O. Schinnerer & Company, Inc. │Large Firm Conference
Resources
• Integrating Project Delivery, Fischer, et al., (Wiley 2017)
• Integrated Project Delivery: An Updated Working Definition (AIACC 2014)
• Integrated Project Delivery: An Action Guide for Leaders (Pankow, CIDCI, IPDA 2018)
• Target Value Design (LCI)
• Target Value Delivery (LCI)
• This is Lean, Modig & Åhlstrom (Thisislean.com)
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