Ebook Winning in Preconstruction
Ebook Winning in Preconstruction
PRECONSTRUCTION
Ensure your preconstruction team gets it right
the first time, everytime.
TABLE OF CONTENTS
Preconstruction Today
Contract Methodology
A Better Way
Power Precon
Beyond Estimating
Preconstruction Today
Preconstruction
Today PRECONSTRUCTION
TODAY
Contract
Methodology
How its Been Done in the Past
Across the board, large construction projects take an average of 20
percent longer to finish than scheduled, and are up to 80 percent over
budget. That’s according to a recent McKinsey report on the future of
construction technology.
A Better Most of the issues that come up during construction that lead to over-
Way
budget, past-due projects become obvious late in the construction
process. But if done correctly, most of them can be prevented during
preconstruction. Having an integrated preconstruction strategy that
focuses on both driving accurate estimates and schedules as well as
properly demonstrating visuals of the project scope and sequence will
ensure teams win more work and promotes successful execution during
Power
Precon construction.
LARGE CONSTRUCTION
PROJECTS TAKE
20%
Selling Precon
& 80%
At The Interview
ARE UP TO
Beyond
Estimating
The Challenge
During the preconstruction phase teams are constantly being challenged to find better ways to communicate with the Owners and
encounter a lot of other uphill battles:
Preconstruction
Today
Contract
Methodology
It’s one thing to deal with design changes and updating quantifications when teams are operating under more traditional Design-Bid-Build delivery
methods. But what happens when teams are doing Design-Build projects? Doesn’t that just make these challenges even more apparent?
Managing and interpreting design intent and then accounting for all changes in the budget is difficult. Especially when it comes to Design-Build projects
where changes to the design is happening simultaneously. Construction teams are hard pressed to keep up with the fast pace of work and coordinate
Beyond
Estimating between stakeholders.
Contract Methodology
Preconstruction
Today
CONTRACT
METHODOLOGY
Contract The type of contract that is being used on a project can make a significant
Methodology difference in how the Contractor approaches and executes the work. Two
very popular methods being used today around the world are Lump-Sum
and Guaranteed Maximum Price (GMP). In a lump-sum contract savings
enure to the benefit of the Contractor, they are incentivized to be as
efficient as possible. With a GMP the savings are typically returned to the
Owner, or at least most of them, they are less incentivized to be efficient.
A Better
Way
Lump Sum Bidding
Putting together an accurate estimates is the first critical piece of a
successful preconstruction effort when it comes to a Lump Sum bid. The
estimate aligns directly with profitability, and low profits are more often
due to poor estimating than to unforeseen circumstances on the job.
Power
Precon Accurate estimates are often the difference in winning or losing work;
making margin or losing margin. The more uncertainty in an estimate, the
greater the contingency you’ll add, and the greater the chance that you
won’t win the work.
55%
how change management impacts budget.
Selling Precon Later chapters discuss how to sell preconstruction during the interview in
At The Interview
greater detail, but this is a critical component of winning a GMP contract.
Beyond
Estimating
$ of the time bids tend to be
OVERESTIMATED
due to manual estimating
A Better Way
Preconstruction
Today A BETTER WAY
Value of Integrated Preconstruction
The greatest challenge in preconstruction is accurately hitting multiple
moving targets. Design iteration is a necessary part of the design
Contract development process, it can’t be eliminated but it can be controlled and
Methodology accelerated.
Power Another critical aspect of the preconstruction process is the hand off from
Precon preconstruction to the construction team. Ensuring that the construction
team knows where all of the critical construction challenges are, work in
place tracking, status of long-lead items, site layout options, construction
sequencing, budget line items, and a host of other important documents
critical to understanding the project. Knowing what we knew and when we
knew it, being able to communicate more effectively with Subcontractors
Selling Precon regarding scope and sequence serve to make the project far more efficient
At The Interview
than traditional means and methods allow.
Beyond
Estimating
The Value of Model Quantification
Because of the increase in model-based projects, Contractors today are basing estimates on a combination of 2D and 3D takeoffs. Estimators often develop
early cost estimates using just a 2D program, but as the model evolves and becomes more inclusive of all construction elements, it becomes increasingly
difficult to manage updates in a 2D environment. At that point, leveraging BIM for quantification becomes a more viable option.
Preconstruction
Need more convincing? Here are the top seven reasons to start doing model quantification today:
Today
1. MOR E A C C UR AT E B UD GE T S
When teams have the most up to date models and quantification is
6. S TA K EHOL DER ENG A GEMEN T
Collaborating with Owners, Design Teams and Trade partners on a
automated with more collaborative based solutions, estimates are single platform.
not only more accurate, but also more competitive.
Contract
2. 7.
Methodology
INCRE A SE EFF ICIENC Y BUDGET CONTROL
By using sophisticated quantification solutions, teams are able to Tracking quantity trends by scope as the design develops prevents
produce bids faster with more confident quantities. budget slips and can facilitate conversations for optimizing design
early to lower costs.
3.
A Better
Way WIN MORE WORK
Improving your bid accuracy and efficiency is the first step
in winning work. But on top of that, differentiating from the
competition with better visual quantity management will bump up
your win rates even more.
Power
Precon
4. AVOID B O T T L ENEC K S
With easy to use quantification solutions that don’t involve any
prerequisite knowledge of design authoring tools, teams can more
easily cross collaborate and share information.
Selling Precon
At The Interview 5. VERIF Y SUBCONTR AC TOR NUMBERS
On bid day, general Contractors can easily dive into bid packages
from the model to verify bids and quickly check that quantities
provided by a Subcontractor are reasonably consistent with
quantities contained in the model.
Beyond
Estimating
Power Precon
Preconstruction
Today POWER
PRECON
Contract Putting “Power Precon” into practice
Methodology is about taking a holistic approach. It
is not just about increasing estimating CHANGE SCOPE & BUDGET
efficiency, it’s about building a road- REPORTING TRACKING
map for construction that maximizes
Instantly access all Validate quantities,
cost and schedule savings while changes between model Subcontractor bids, and model
maintaining transparency with the iterations. changes in just minutes.
A Better Owner and the rest of the project team.
Way
The first step in putting “Power VALUE
Precon” into action, is finding the right CONSTRUCTABILITY ENGINEERING
technology solutions that support the ANALYSIS
Identify and propose
various components of delivery. Tools Identify problems earlier changes that cut
like Assemble Systems, a SaaS solution to reduce the need for costs while maintaining
expensive rework during quality and performance.
Power that enables construction professionals
Precon construction.
to condition, query and connect BIM
data to key workflows, and BIM 360, a
unified platform connecting your project
teams and data in real-time, from design
through construction, can help power up CERTAINTY &
ESTIMATOR
your preconstruction game. TRANSPARENCY
Selling Precon EFFICIENCY
At The Interview Keep the Owner in
Extract quantities in
a matter of seconds the loop as their
based on the most vision comes to life.
accurate,data. THE ASSEMBLE
POWER PRECON WHEEL
Beyond
Estimating
Preconstruction Constructability Analysis
Today
During preconstruction the Owner, Architect, and general Contractor all Cloud based solutions like Assemble and its new integration to BIM 360
have to understand the design intent and make important constructability & Navisworks allow teams to condition a design model and translate it for
decisions. Practicing “Good BIM” means giving construction teams visibility use in construction. With this new conditioned model, that is also now rich
into the designs early in the process. This allows them to provide an expert with saved metadata for future use of iterative changes, preconstruction
opinion on whether a proposed design is actually buildable as well as give teams can connect it back to the project schedule, scope, and budget. This
Contract recommendations on changes and sequencing to help optimize the end ensures that as designs change, critical elements like cost and time are
Methodology
result. automatically updated giving Owners full visibility into the impact of a
change.
This constructability process often requires what-if analysis to determine
the best methods and cost controls. Managing this analysis and In addition, with built in version control capabilities, it allows teams to test
communicating effectively with all stakeholders is critical. One of the key different options (without losing work on the original) to ensure they are
ways to do this is through visually demonstrating constructability issues via developing the right plan to deliver the project on time, on budget, with
A Better a system that enables you to condition and manipulate the model. high quality, and safely.
Way
Beyond
Estimating
Preconstruction Iterative Precon Estimating Project Sequencing
Today
Owner’s expectations for preconstruction continue to increase. They Project sequencing during preconstruction is essential to building the
expect real-time updates, often weekly, to understand the status of design, project plan and ensuring the most efficient project schedule. By visualizing
cost impacts, scope options, and schedule implications. Preconstruction construction tasks, teams can get a more accurate sense of what needs
teams need to be able to take new information from the design team and to happen and when. This process requires multiple iterations and what-if
immediately ingest changes and determine how these changes impact the scenarios, for the teams to understand the project and communicate
Contract project. it effectively. Many projects have limited site space and developing an
Methodology
effective project plan requires the ability to visually determine what spaces
This is next to impossible in a 2D manual process. With a system that can be used for staging as well as when they can be used. Where to place
automatically identifies changes from one iteration to the next, teams can cranes, identify projected picks and determine the load capacity required.
now keep up to pace with Owner demands. Assemble allows preconstruction
teams to process rapid identification of changes, the cost impacts, and Sequencing visualization tools like Assemble that are interconnected to
visualization of sequence impacts and design intent change within minutes. BIM data enable you to condition a model and set it up to show a simple
A Better visual platform to communicate sequence options to project stakeholders.
Way Beyond quantifying changes, iterative preconstruction estimating is about Not only are you then able to build an effective schedule, but you are
communicating these changes to the Owner and Architect in a language also left with a sequenced model that can be used in downstream during
they can visualize and understand. With automated quantification and saved construction for Percent Complete / Work in Progress exercises to better
BIM data, Assemble can easily translate model impacts to everyone on manage project cost.
the team. Equally important, the entire team: Owner, Architect, Contractor,
and Subcontractors can have real-time access into the progression of the
Power project.
Precon
Selling Precon
At The Interview
Beyond
Estimating
Selling Precon At The
Interview
SELLING PRECON
AT THE INTERVIEW
Preconstruction
Today
Model conditioning tools like Assemble enable project teams to take the
Architect’s model a step further and breakdown relevant steps for project
A Better
Way
planning. Successful interviews require that the project team has a well
defined workflow, graphically laid out, and demonstrated in a way the
Owner clearly sees the value. Without connecting the design to a work
breakdown structure, scope, or schedule, you are left with silos design
data rather an integrated preconstruction plan.
Power
Precon DESIGN MODEL CONSTRUCTION MODEL
Selling Precon
At The Interview
MODEL CONDITIONING
A Better
Way
“Assemble provides us with immediate
insight into design changes, which enables
us to respond faster to the process of the
change. Without Assemble, identifying the EXAMPLE SNAPSHOT REPORT
scope differences and quantifying their
Power
Precon cost impacts took days or even weeks, now
it takes just minutes.”
- FLINTCO
Whatever the approach to VE on any given project, one aspect holds true
across the board: VE is effective only to the extent that it is carefully
planned and executed. Fortunately, new technology is making this easy and
affordable for AEC professionals.
Power
Precon Preconstruction solutions like Assemble have developed tools that sidestep
traditional obstacles and allows AEC professionals to easily and affordably
optimize VE by greatly enhancing the speed, accuracy, and outcome of the
process. Flexible VE tracking and collaboration provides a window into
accurate quantities of elements, tracks proposed changes, and creates an
audit trail for later verifications.
Selling Precon
At The Interview Using a cloud-based model data management platform provides all
project members with the ability to access the model information and
easily understand the elements, quantities and costs being discussed —
regardless of their physical locations — facilitating team collaboration is the
cornerstone of true VE.
Beyond
Estimating
The Owner Dashboard
Every Owner has their “pet-peeves” regarding transparency of information, validity
of information, and timeliness of information. Regular reports are the standard
of the past, and dashboards are quickly becoming the new expectation. A typical
preconstruction schedule includes a regular cadence of meetings, but Owners want to
Preconstruction
be able to check-in on progress and changes at any time.
Today
This is where leveraging a cloud platform can really shine. Teams can work with the
Owners to identify the key aspects of their concerns and build a custom project
dashboard allowing them to see real time information and ease uncertainty.
EXAMPLE OWNER
DASHBOARDS USING
ASSEMBLE SYSTEMS
Contract
Methodology
A Better
Way
Power
Precon
Selling Precon
At The Interview
Beyond
Estimating
Beyond Estimating
Preconstruction
Today BEYOND ESTIMATING
Don’t Tell The Client What You Will Do, Show Them!
The easiest way to convey project scope is by showing visual representations of
what needs to be done. This is of course the primary way design teams show their
Contract work, but what about preconstruction teams?
Methodology
Using BIM models that tie back into budgets and schedules is a great way to
visually represent preconstruction activities. The best part about leveraging a
more automated cloud based quantification tool is that it allows for visualizations
to happen across the entire project team. Everyone can access the “Conditioned”
BIM model in the cloud whether they are in an office or on a jobsite using a mobile
A Better device.
Way
Power
Precon
Selling Precon
At The Interview
Beyond
Estimating
Courtesy of BNIM
Preconstruction P. Agnes, Inc. Uses Assemble to Expand Model Data Throughout The
Today
Entire Construction Lifecycle
P. Agnes, Inc., is a family-owned Philadelphia Metro-area-based firm with expertise in preconstruction, Design-Build,
construction management and general contracting for the healthcare and higher education sectors. This family owned
construction firm implemented the use of cloud-based preconstruction tool, Assemble, to establish BIM processes
Contract to use model data throughout the entire construction lifecycle including both Owner views and advantages for team
Methodology members working in the field.
A picture is worth a 1,000 words...and a 3D model is Knowing the use cases for the field could be broad, P.
worth 1,000 pictures. Agnes kept implementation simple by first asking their
A Better
Way
superintendents how current Assemble outputs could be
Using the modeling views from Assemble, P. Agnes leveraged.
builds transparency and trust between its team and
Owners in two primary ways: Through Assemble’s Web and App access, P. Agnes
gave its superintendents access to 3D model views to
1. Exploring design options and visually illustrating use in problem-solving on site. Immediately they
for Owners the challenges and opportunities of found value in both consuming the information and
Power ‘what if’ scenarios.
Precon contributing information:
2. Communicating with Owners about any changes • Marrying 3D views to the 2D sheets,
that arise during project delivery. field superintendents more effectively
communicated with teams onsite and used the
Most Owners are not construction professionals, and
information for on-the-fly problem solving.
therefore are not used to reading plans and 2D drawings.
Selling Precon Using a 3D model to visualize what’s happening on the • Simplifying project handoff and management,
At The Interview project provides the most value as you’re able to group, superintendents used Assemble to provide real
sort and filter data. time status updates.
A Better
Way
Beyond
- PLANT CONSTRUCTION COMPANY
Estimating
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for preconstruction workflows
with Assemble.
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