It’s not just India; construction is globally known to be ineffective. Reports from McKinsey, Autodesk and FMI indicate several parameters for this global inefficiency, leading to a high percentage of cost and time overruns. Only 25 per cent of global projects are completed within deadline and as few as 31 per cent are completed within budget. The deficiency in India is surely larger, on account of construction costs being among the lowest in the world.
Here are the top five reasons for this global inefficiency in construction:
1. Bad data: Leading to 16.5 per cent higher capital costs
2. Investment in technology: (-ve) 55 per cent compared to other sectors
3. Resource productivity: (-ve) 23 per cent compared to 1990
4. Subcontractor centricity: Delivers 80 per cent of construction value
5. Onsite fabrication: Contributes to over 99 per cent of the value delivered.
To add to this, material costs have been volatile, with 62 per cent of inflation (since 2000) contributed by construction and mining.
Building information modelling (BIM) is globally pegged to improve project delivery. Its implementation, however, is stunted owing to lack of widespread understanding. At Clancy Global, we have successfully implemented the BIM framework to deliver projects faster and cheaper.
Further, this article elaborates upon the four nodes that have enabled successful implementation of the BIM framework.
Before jumping onto a 3D platform, understandability and trainability were established with Room Layout Sheets (RLS) in 2D form. Each room or zone was divided into seven surfaces, i.e., room layout, reflected ceiling plan, above ceiling systems and 4x wall elevations. Each of these surfaces is populated with relevant Material IDs and their corresponding quantities. Material IDs are equivalent to setting a family on the 3D BIM platform. In essence, a single sheet has all the components to be constructed in a space with their quantity.
The purpose of this information is to:
• Enable transparency in cost control through design, execution and as-builts
• Remove ambiguities and delays for onsite measurements and related billing
• Guide fabrication modularity, wastage optimisation and assembly efficiencies.
Quantity take-offs along with the project gantt (timeline) form the basis for a 4D/5D predictive engine. This is also the basis for setting the 7D model used for asset and facility management.
Let’s give a functional perspective to this engine; for every 1 lakh sq ft hospital project, ~400 gantt activities and ~18,000 take-offs are processed for:
The BIM framework also becomes a robust tool for hand-holding on-ground resources, including material ordering, training, and onsite and offsite fabrication modularity.
Outside of BIM, structured procurement entails assessing:
The above solve the core reasons for inefficiency in global construction. That said, discipline across multiple stakeholder resources and ease of access to information has an equally large impact on construction efficiencies.
With BIM, there are several plugins that enable the framework below for a unified data platform:
About the author:
Akhil Ganatra:
With roots in the built environment sciences and engineering from Singapore and UK, he has successfully marked his position in the field of Design Engineering and Project Management for the last 17 years, as the Managing Director of Clancy Global. He is intuitive and skilled at taking up new challenges for managing tight deadlines and cost efficiencies, applying innovative frameworks and technologies for consistent on-ground delivery, at volumes.
Naushad Panjwani:
Naushad Panjwani, Chairman, Mandarus Partners, brings with him almost 30 years of work experience, having donned the hats of entrepreneur, consultant and senior management, spanning the areas of finance, tax, strategy, retail and real estate, and now M&A. He is a regular speaker on various channels and writes for publications. He has a deep understanding of all aspects of real estate, which reflects in the book, Real Estate Laws, co-authored by him.