INTEGRATED PROJECT DELIVERY (IPD) TO IMPROVE PRODUCTIVITY AND INCREASE EFFICIENCY IN CONSTRUCTION

Construction projects sometimes seem like steel frame machine for sale they are run by committee. However, according to a project delivery method that is gaining some traction, if construction really was run by committee you could reduce inefficiency, labor costs, and other extra costs while boosting project outcomes.

That method is integrated project delivery (IPD).
In traditional design-bid-build, a developer or owner hires an architect to produce a full set of plans and specifications for a construction project. Then the owner requests bids from general contractors to build the project. In this scenario, the GC is going to bid a low as possible because the owner will want to pay as little as possible.

That is only part of the problem with traditional construction; you can probably think of more.

IPD is a different approach altogether.
WHAT IS INTEGRATED PROJECT DELIVERY?
The IPD approach is a joint venture that uses a carrot much more than a stick. A builder, an architect, and an owner enter into a single contract (that sounds like the set-up for a joke, doesn't it?). However, what IPD can accomplish isn't a joke; it is the approach that yields better outcomes than current practice does.

As we were saying, three professionals enter into a contract together. The group can include others such as engineers, large subcontractors, and suppliers who all work together to determine:

Project objectives
Goals
Costs
Stakeholder responsibility
Risk sharing
Compensation

Everyone is involved from the beginning of the project, each bringing c purlin roll forming machine price particular expertise, to design and build a project that should have less rework, fewer errors, and adhere more tightly to the needs of the owner.

IPD promotes effective communication and collaboration among the owner, architect, and builder from the earliest stages until project hand-over. Every member of the project reaps the rewards of teamwork, so everyone has an incentive to do what is best for the project.

Helping make it all happen is a technology that we have written about before: building information modeling (BIM).

BIM works best when every trade involved with the project looks over the 3D or 4D plan to make sure everything will work as expected. IPD takes that a step farther by having all the stakeholders working together throughout the project.

HOW DO YOU DO IPD?
There is no single right way to do IPD. Instead, the delivery method is based on broad concepts that are customized on a project-by-project basis.

Typically, after the builder and architect are selected, the group enters into a multi-party arrangement that is often formalized as a limited liability company (LLC) or the members all sign an American Institute of Architect’s IPD document. There are three types of arrangements to choose from depending on the level of project delivery.

The core members share all the risk and all the reward of undertaking and completing this project. Completion is accomplished by making part of the compensation of the architect or engineer and the contractor contingent on meeting specific goals. Often a bonus is offered for exceeding the goals.

IPD is a highly collaborative endeavor in which all plans, schedules, and other information are developed jointly instead of being shared out to different silos.  All decisions are made jointly with rules of order created either at the outset of the project or by a designated member such as the owner.

Decisions may require unanimous approval
Votes may be weighted
Veto power may be invested in certain team members
The owner may be given the right to make a decision when consensus is not achieved
Decisions about different parts of the project will be handled differently depending on the expertise needed to reach a reasonable solution.
IPD requires regular meetings with all core members in attendance. When you put together your IPD group, choose wisely. Look for professionals who do not have a history of disputes or litigation. Invite those who have participated in an IPD before or that are capable of working as a team.