Needham & AssociatesNeedham & AssociatesConsulting EngineersConsulting Engineers

Fort Wayne, IN - Overland Park, KSFort Wayne, IN - Overland Park, KS

http://www.needhamassoc.comhttp://www.needhamassoc.com

Making Tilt-Up Making Tilt-Up Construction Construction

Competitive with Metal Competitive with Metal BuildingsBuildings

(Understanding Building Systems)(Understanding Building Systems)

Presented ToPresented ToArkansas Ready Mixed Concrete Association, Inc.Arkansas Ready Mixed Concrete Association, Inc.

ByByJeff Needham, P.E., S.E.Jeff Needham, P.E., S.E.

Needham and Associates, Inc.Needham and Associates, Inc.Consulting EngineersConsulting Engineers

Your SpeakerYour Speaker• Jeff Needham, PrincipalJeff Needham, Principal

– P.E., S.E in 20 states, started firm in P.E., S.E in 20 states, started firm in 1989 in Fort Wayne, IN1989 in Fort Wayne, IN

– BS and MS from University of KansasBS and MS from University of Kansas

• Charter Member of Tilt-Up Concrete Charter Member of Tilt-Up Concrete AssociationAssociation

What Does Needham and What Does Needham and Associates Do?Associates Do?

• General Practice Structural/Civil General Practice Structural/Civil EngineersEngineers

• Consultants to PEMB IndustryConsultants to PEMB Industry– Heavy Structures ( ex: large clear-Heavy Structures ( ex: large clear-spans, steel mills, special structures)spans, steel mills, special structures)

– Hardwall Buildings ( ex: site-cast, tilt-Hardwall Buildings ( ex: site-cast, tilt-up concrete)up concrete)

Vero Beach, FloridaVero Beach, Florida

Huntington, INHuntington, IN

Questions???Questions???

Are you losing work to Are you losing work to metal buildings? metal buildings?

What kind of projects?What kind of projects?

Why Worry About Why Worry About Competing?Competing?

• MBMA claims about 60% market penetrationMBMA claims about 60% market penetration

• That is to say 6 out of 10 non high rise That is to say 6 out of 10 non high rise buildingsbuildings

• However, they often do not utilize metal wall However, they often do not utilize metal wall panels (Competition is a metal wall)panels (Competition is a metal wall)

• So are ready mix companies really vendors So are ready mix companies really vendors or competitors?or competitors?

The Answer Is ?The Answer Is ?

• You must be both!!You must be both!!

• Vendor for foundation and slab concrete.Vendor for foundation and slab concrete.

• Possible supplier for wall panels on some Possible supplier for wall panels on some hybrid jobs.hybrid jobs.

• But often a competitor when teamed But often a competitor when teamed with conventional roof supplier.with conventional roof supplier.

Tilt-Up Panels are a Hybrid Tilt-Up Panels are a Hybrid ProductProduct

That is, they may be used with That is, they may be used with either metal buildings or either metal buildings or conventional buildings.conventional buildings.

Definitions:Definitions:

Pre-engineered BuildingPre-engineered Building is a is a steel framing system, usually with steel framing system, usually with

a metal roof and walls, with all a metal roof and walls, with all structural engineering done by a structural engineering done by a

manufacturer.manufacturer.

Conventional BuildingConventional Building is a is a framing system, built of any framing system, built of any material, with the structural material, with the structural

engineering done independently engineering done independently of the manufacturer.of the manufacturer.

Also, the distribution systems of Also, the distribution systems of the two approaches are different.the two approaches are different.

Is this building a metal Is this building a metal building or a conventional building or a conventional

building?building?

Tingle Project is an Tingle Project is an American Building American Building Company ProjectCompany Project

For Tilt-up to Be For Tilt-up to Be Competitive with Metal Competitive with Metal Buildings - A Broad View Buildings - A Broad View of Building Construction of Building Construction

is Necessary!is Necessary!A narrow product view, i.e. A narrow product view, i.e.

comparing only metal wall cost comparing only metal wall cost to tilt-up wall cost in-place, will to tilt-up wall cost in-place, will always indicate metal walls are always indicate metal walls are the choice, but this hardly the the choice, but this hardly the

story. story.

Don’t fall into this trap!Don’t fall into this trap!

History and Trends in History and Trends in Metal BuildingsMetal Buildings

Need to Understand Your Need to Understand Your Competition.Competition.

What are their Strengths and What are their Strengths and Weaknesses?Weaknesses?

Historical Background - Historical Background - Metal BuildingsMetal Buildings

• Metal building companies first Metal building companies first formed in 1920’s to service oil formed in 1920’s to service oil industry,industry,

• WW II saw the development of the WW II saw the development of the Quonset Hut, andQuonset Hut, and

• The Quonset Hut was a major image The Quonset Hut was a major image problem for the PEMB industry .problem for the PEMB industry .

Historical Background - Historical Background - Metal Buildings (cont.)Metal Buildings (cont.)

• The introduction of high strength sheet The introduction of high strength sheet steel and the SSR roof in the 1960’s steel and the SSR roof in the 1960’s propelled the industry into a fast propelled the industry into a fast growth period in the 1970’s and 1980’s growth period in the 1970’s and 1980’s andand

• The PEMB industry relies heavily on The PEMB industry relies heavily on proprietary computer software to proprietary computer software to aggressively design their products, aggressively design their products,

Historical Background - Historical Background - Metal Buildings (cont.) Metal Buildings (cont.)

• They are very efficient, but don’t They are very efficient, but don’t have any “extra” steel or strength have any “extra” steel or strength andand

• The AISC now (since the early The AISC now (since the early 1990’s) certifies PEMB companies to 1990’s) certifies PEMB companies to ensure a minimum level of quality.ensure a minimum level of quality.

PEMB Trends in the PEMB Trends in the 1990’s1990’s

• PEMB structures have continued to increase PEMB structures have continued to increase their market penetration, PEMB are their market penetration, PEMB are attempting to compete for complex attempting to compete for complex buildings andbuildings and

• This has lead to a misuse of PEMB This has lead to a misuse of PEMB structures and actually higher prices and structures and actually higher prices and longer deliveries than conventional longer deliveries than conventional construction--however owners often have construction--however owners often have no way to know this.no way to know this.

Example of a More Example of a More Successful PEMB Market Successful PEMB Market Penetration Program Penetration Program • Hardwall Systems Hardwall Systems (concrete or masonry (concrete or masonry

walls).walls).

• Tingle, Lee’s Summit, MissouriTingle, Lee’s Summit, Missouri

Typical NEW PEMB Hardwall Typical NEW PEMB Hardwall BuildingsBuildings

• Designed for strict serviceability issuesDesigned for strict serviceability issues

• Load bearing wallsLoad bearing walls

History and Trends in History and Trends in Conventional ConstructionConventional Construction

Strengths and Weaknesses of Strengths and Weaknesses of Conventional Approaches.Conventional Approaches.

Trends in Conventional Trends in Conventional ConstructionConstruction

• Wide spread use of high strength steel,Wide spread use of high strength steel,

• Increased use of tubular steel,Increased use of tubular steel,

• Previous points driven by the rise of the mini-Previous points driven by the rise of the mini-mill,mill,

• Continued shortages of WF shapes, andContinued shortages of WF shapes, and

• Precast concrete wall industry is generally in Precast concrete wall industry is generally in decline, but is being replaced by site-cast decline, but is being replaced by site-cast panels.panels.

Historical Background - Historical Background - Conventional BuildingsConventional Buildings

• Conventional Building carry on the trend Conventional Building carry on the trend of “stick built” construction,of “stick built” construction,

• Architects and engineers have always Architects and engineers have always done the bulk of the design work, anddone the bulk of the design work, and

• Steel framing is the most common, but Steel framing is the most common, but pre-cast concrete and cast-in-place pre-cast concrete and cast-in-place concrete are sometimes used in special concrete are sometimes used in special low-rise buildings.low-rise buildings.

Trends in Conventional Trends in Conventional Construction (cont.)Construction (cont.)

• CMU use is very influenced by local CMU use is very influenced by local building trades,building trades,

• The overall trend is to “pre-engineered” The overall trend is to “pre-engineered” more components, example is the steel more components, example is the steel stud industry and wood Truss-Joist stud industry and wood Truss-Joist products, andproducts, and

• The good architect/engineer takes The good architect/engineer takes advantage of these trends for his client.advantage of these trends for his client.

Historical Background - Historical Background - Conventional Buildings Conventional Buildings (cont.)(cont.)• Wood framing and steel stud framing are still very Wood framing and steel stud framing are still very

common in smaller structures,common in smaller structures,

• The conventional building world has been slower The conventional building world has been slower to adopt the more efficient methods used in the to adopt the more efficient methods used in the PEMB industry,PEMB industry,

• High strength steels have only become the norm in High strength steels have only become the norm in the last 5-10 years, andthe last 5-10 years, and

• The steel joist industry and pre-fabricated wood The steel joist industry and pre-fabricated wood trusses have adopted PEMB style methods.trusses have adopted PEMB style methods.

Trends in Conventional Trends in Conventional Construction (cont.)Construction (cont.)

• Bar joist industry claims they are Bar joist industry claims they are involved in over two thirds of low-involved in over two thirds of low-rise construction, andrise construction, and

• How can this be true with PEMB How can this be true with PEMB market share at 65% in the late market share at 65% in the late 90’s???90’s???

Big QuestionBig Question - How Do - How Do You Make Tilt-up You Make Tilt-up Competitive with Metal Competitive with Metal Buildings Buildings (really metal walls)?(really metal walls)?• Must find and team with partners.Must find and team with partners.

• Partners can be a metal building company or Partners can be a metal building company or local dealer.local dealer.

• They can be a joist supplier (SMI is a good They can be a joist supplier (SMI is a good example).example).

• They can be a developer or architect.They can be a developer or architect.

• In all cases, develop a market sense of where In all cases, develop a market sense of where

your opportunities exist.your opportunities exist.

Basic Cost Examples Basic Cost Examples (100’x200’x20’ and 200’x400’x20’)(100’x200’x20’ and 200’x400’x20’)

• 20,000sf MB, metal walls convert to $2.09/s.f.20,000sf MB, metal walls convert to $2.09/s.f.

• 20,000sf TU, concrete walls convert to $4.14/s.f.20,000sf TU, concrete walls convert to $4.14/s.f.

• 80,000sf MB, metal walls convert to $1.02/s.f.80,000sf MB, metal walls convert to $1.02/s.f.

• 80,000sf TU, concrete walls convert to $1.88/s.f.80,000sf TU, concrete walls convert to $1.88/s.f.

• Conclusion - All other things being equal, bigger is Conclusion - All other things being equal, bigger is more competitive.more competitive.

Basic Design ConceptsBasic Design Concepts(These will make the previous unit costs even (These will make the previous unit costs even

closer, and even eliminate the cost closer, and even eliminate the cost disadvantage)disadvantage)

• Eliminate perimeter columns (tough for metal Eliminate perimeter columns (tough for metal building types!) tilt-up walls are very strong, use building types!) tilt-up walls are very strong, use them.them.

• Use long bays over 30 feet (bar joists are a very low Use long bays over 30 feet (bar joists are a very low price levels).price levels).

• Consider and sell alternatives to SSR Consider and sell alternatives to SSR roofing..currently a big advantage.roofing..currently a big advantage.

• SSR/bracing diaphragm installed is $3.30/s.f.SSR/bracing diaphragm installed is $3.30/s.f.

• Single Ply/Deck installed installed is $2.20/s.f.Single Ply/Deck installed installed is $2.20/s.f.

Example: Example: (This 90,000 s.f. project was (This 90,000 s.f. project was essentially conventional except for roofing, essentially conventional except for roofing, and SSR was more costly than single ply and and SSR was more costly than single ply and deck. Also exterior columns were not deck. Also exterior columns were not necessary).necessary).

Industry Legend:Industry Legend:

Metal buildings are less Metal buildings are less costly than conventional.costly than conventional.

Not true at least for Not true at least for structures over about structures over about

40,000 s.f.40,000 s.f.

Avoid projects not well Avoid projects not well suited for tilt-upsuited for tilt-up

• Avoid long clear-Avoid long clear-spans, competing spans, competing only with walls.only with walls.

• Avoid tall Avoid tall buildings, panel buildings, panel costs may rapidly costs may rapidly escalate over escalate over about 30 foot tall.about 30 foot tall.

• Avoid small projects Avoid small projects unless they are unless they are “jewel-boxes” where “jewel-boxes” where cost is not an object.cost is not an object.

• Avoid low quality Avoid low quality jobs, tilt-up is jobs, tilt-up is several steps up the several steps up the quality ladder over quality ladder over metal walls.metal walls.

Contrary Example: Contrary Example: (This (This 250,000 sf industrial project still used a 250,000 sf industrial project still used a combined tilt-up grade beam and wainscot combined tilt-up grade beam and wainscot wall, despite being in the low quality, span wall, despite being in the low quality, span and height avoidance groups.and height avoidance groups.

Another Approach - Join Another Approach - Join with Metal Building with Metal Building CompaniesCompanies• Butler Delta Joist and Butler Delta Joist and

Hardwall SystemsHardwall Systems

• Ceco/Star Ceco/Star

• ABC HardwallABC Hardwall

• NCI Group’s new NCI Group’s new Long Bay productLong Bay product

• Varco-PrudenVarco-Pruden

• The problem working The problem working with these companies with these companies is almost always is almost always their“mind-set”.their“mind-set”.

• Also, the interface Also, the interface between the panels between the panels and their products is and their products is a problem on most a problem on most jobs. jobs.

When competing with When competing with metal walls, or promoting metal walls, or promoting tilt-up construction on any tilt-up construction on any job, you need:job, you need:• ARMCA and TCA marketing support.ARMCA and TCA marketing support.

• Clearly explain the advantages of tilt-Clearly explain the advantages of tilt-up.up.

• Team-up with other quality sub-Team-up with other quality sub-contractors, vendors and suppliers.contractors, vendors and suppliers.

• Qualify users, do not waste time on Qualify users, do not waste time on “low-cost, tire-kickers”.“low-cost, tire-kickers”.

Marketing Needs:Marketing Needs:

• Technical literature to influence and Technical literature to influence and train engineers.train engineers.

• Sales literature for owners.Sales literature for owners.

• Training for contractors (TCA Training for contractors (TCA Certification).Certification).

• Seminars in your area.Seminars in your area.

Review The Advantages:Review The Advantages:• Very Durable, i.e. Very Durable, i.e. quality is big advantage over metalquality is big advantage over metal..

• Flexible and attractive, remember arches, Flexible and attractive, remember arches, curves, reveals, inlays, and many other curves, reveals, inlays, and many other architectural features are possible, architectural features are possible, try this in try this in metal.metal.

• Secure, Secure, metal walls can be removed with simple hand metal walls can be removed with simple hand tools.tools.

• Long-Term ValueLong-Term Value, , Lenders perceive concrete walls as Lenders perceive concrete walls as having much better long term value over metalhaving much better long term value over metal..

Can metal do this?Can metal do this? (Target store (Target store in Lee’s Summit, Missouri)in Lee’s Summit, Missouri)

Can metal do this?Can metal do this? (Secure, (Secure, Hazardous Chemical Distribution Center Hazardous Chemical Distribution Center (225,000 s.f.)(225,000 s.f.) in Palmyra, Missouri with tilt-up in Palmyra, Missouri with tilt-up concrete column rigid frames)concrete column rigid frames)

Can metal do this?Can metal do this? (Arched (Arched Towers in Vero-Beach, Florida)Towers in Vero-Beach, Florida)

Thank You!...Needham & Thank You!...Needham & AssociatesAssociates

Consulting EngineersConsulting Engineers

http://www.needhamassoc.comhttp://www.needhamassoc.com

233 W. Baker St.233 W. Baker St.Fort Wayne, IN 46802Fort Wayne, IN 46802

(219)420-3400(219)420-3400

8417 Santa Fe Dr. 8417 Santa Fe Dr. Overland Park, KS 66212Overland Park, KS 66212

(913)385-5300(913)385-5300