Leadership in Capital Projects - Austin

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+ Gensler Rex Miller and Dean Strombom April 6, 2011 Becoming the change…

description

Why traditional construction delivery is no longer effective and the current and future state of new models for industry transformation.

Transcript of Leadership in Capital Projects - Austin

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Rex Miller and Dean StrombomApril 6, 2011Becoming the change…

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When Systems Break Down…

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it is 2000…

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2005 changes strategies

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April 2008

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What did Michael Burry see?

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The Rules Changed

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Rules Change + Cycle = Results

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Why did he see it?

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How Many Trust the Financial System?

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Digital Age = Speed and Complexity

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Print Age = The Age of Reason

• Individual

• Rational

• Industrial

• Organization as machine

• Command and control leadership

• Steady and predictable

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Speed Complexity

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Not Much Has Changed

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Old System in a New World

• Hierarchical

• Compartmentalized

• Sequential

• Checks and Balances

• Specialists

• Disconnection

• Silo’s

• Out of the Loop

• Conflict

• Mis-coordination

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Signs of a Broken System• $500 billion in waste

• Over 50% is waste

• 70% late and over budget

• 48% of Green House Gases

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6 Trends Demanding New Behavior

1. The green movement2. Managing complex risk3. 3D modeling4. Manufacturing techniques– Lean– Offsite

5. Major corporations reducing footprints6. Digital technology, virtual work and GenY

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New Rules

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IPD Essential ElementsEarly Involvement

of Key Participants

Design Optimization

Efficiency

Joint Project Management Commitment

Skin in the Game

Risk Allocation

Shared Pain/Gain

Project Outcome

Joint Validation of Targets/Goals

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Teams vs. Players2004 2008

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BIG BIM Building (Project) Information (Geometrics) Modeling (Visualization)

A way to link & exchange information back & forth, and a structure that allows the information to interact

Levels of use, leading to BIG BIM:1. Static 3D visualization2. Dynamic 3D visualization3. Object intelligence4. Relational intelligence5. Analytics6. Simulation7. Prediction8. Fabrication9. Operations10.Virtual worlds

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IPD vs IPDish

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Developer Design-Build

• 1st LEED Platinum Spec

• 200,000 sqft

• $3/sqft less than conventional

• 100% pre-leased

• 45% lower operating costs

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Handshake: Brightlights Project• 250,000 rsf urban renovation,

including 60,000 sf 3-story volume for 500 traders

• 2N systems redundancy

• 24 months start-to-finish

• LEED CI Platinum

• Outcome Incentives

• Handshake schedule

• Innovative team collaboration and communication tools

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MOU – BIM Driven100 Tech Square• Scope: 250,000 GSF• Program: lab & office (TI)• Completion: 9 months• Cost: Confidential (under budget)• Constructed & commissioned in just 6 months

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CMR – BIM DrivenBioSquare III• Scope: 160,000 GSF• Program: lab & office (new)• Completion: 18 months• Cost: $150/SF• First LEED certified lab in Boston

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Full IPDAutodesk• Scope: 60,000 GSF• Program: corporate office• Completion: 8 months• Cost: Confidential (under budget)• Multiple design awards• 100% BIM, 100% IPD, LEED Platinum

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Talk or Walk?

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Recipe for Success

• Right Sequence– Principles– Team– Tools

• Including subs

• Join the Club– Speak– Do– Promote

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Good News

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Strategy

• Early Adopters

• Fed Ups

• Partner for Proof of Concept

• Cap Risk

• Create a Brand Promise

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Call to Action• Who are the early adopters or fed ups in your

circle?

• Who would you pick on your team?

• Do your current values support an open book, shared risk collaborative process?

• Where can you find an opportunity for proof of concept?

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What If We Don’t Change

• Will errors decrease?• Will margins rise?• Will conflict diminish?• Will we maintain a competitive edge?• Will safety improve?• Will owners walk away delighted?• Can we really defend the current system?

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Contact InformationDean Strombom – [email protected]

Rex Miller – TAG ConsultingSenior [email protected]

www.thecrerevolution.com

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Questions?