SmartBuild Leadership Transforming the way Capital Programs are delivered.

Transcription

1 SmartBuild Leadership Transforming the way Capital Programs are delivered. hpmleadership.com

2 The Engineering and Construction Industry is Fraught with Waste. HPM SmartBuild program begins with the end in mind. With percent of most program costs earmarked for construction, the reality exists for excess and waste monies which could be better spent on other initiatives or plans. HPM SmartBuild Leadership is a collaborative team effort where all project team members work together planning, organizing and executing the work with impeccable coordination, efficiency and flow resulting in safer, faster, higher-margin projects with more highly-satisfied clients. HPM SmartBuild Leadership is pre-qualifying and picking the right partners. It s better planning, coordinating materials management, waste management, project modeling, sharing of best practices, equipment-sharing plans, and collaboratively finding better and smarter ways to build. It s a nothing hits the floor mentality. As a result, the cost savings and efficiency are passed onto the client yielding greater capacity in a bond program for school districts. Lean Manufacturing Typical Construction Project Since the beginning of the lean movement in manufacturing, the industry has managed to reduce the amount of time and money wasted to only 12% through lean techniques such as assembly lines and a one-at-a-time approach. According to the Lean Construction Institute, the construction industry still has 57% waste for traditional project delivery. 12% Waste Productive Time 57% Waste Productive Time HPM SmartBuild Leadership is working to change that by reducing the 8 areas of waste in capital programs: 1. Design Designing more than is required or in a manner that is not cost effective or easily constructible 2. Materials and Equipment Specifying custom products or specific make and models rather than best value 3. Delivery/Inventory Multiple handlers and unnecessary delays in material handling 4. Waiting Time delays and/or idle time (non-value added time) 5. Motion Actions of people or equipment that do not add value 6. Processes Unnecessary processing steps or work elements/procedures 7. Re-work Design, construction or installation that is scrapped or requires rework 8. Costs and Fees Unnecessary costs, multiple mark-ups, excessive fees and change orders Typical engineering and construction projects have more than 30% wasted time and cost.

3 Traditional Approach HPM SmartBuild Leadership Total Project Cost Architect/Engineering Construction Fees Construction Cost $100 M HPM Architect/Engineering Construction Fees Construction Cost $93 M Architect / Engineering Construction Fees Direct Construction Cost Total $ 6,000,000 $ 5,000,000 $ 89,000,000 $ 100,000,000 Architect / Engineering Construction Fees HPM Direct Construction Cost Total $ 6,000,000 $ 5,000,000 $ 2,000,000 $ 80,000,000 $ 93,000,000 TOTAL SAVINGS OF $7 MILLION Engineering Engineering Construction Fees Construction Fees $89 M Construction Cost $80 M HPM Construction Cost You can easily reduce costs and time by 5-10% with HPM's SmartBuild Leadership approach. hpmleadership.com HPM.LEADS

4 What is HPM SmartBuild Leadership? Conceptual Planning: Certainty of Outcome Realistic master facilities plan Accurate conceptual budget Fundraising and community support Value engineering alternatives Design Leadership: Design to Construction Budget Target value design management Optimal constructability planning Expedite owner and A/E decisions Procurement Oversight: Best Value for Owner Optimal project delivery method Best value team selection Competitive pricing negotiations Construction Leadership: Best Outcome for Owner Cost management and auditing Schedule Expediting Quality assurance Operations Leadership: Reduction of Operating Costs Commissioning and startup Move management Training Results 5-10% COST and SCHEDULE SAVINGS

5 How HPM leads in each phase of SmartBuild Leadership COST INFLUENCE Conceptual Planning Vision Design Quality Procurement Effective Construct Intelligently Operations Efficiently TIME Conceptual Planning: Certainty of Outcome Design Leadership: Design to Construction Budget Realistic Master Facilities Plan KPI Development Accurate Cost Modeling Funding & Partnership Strategies Alternate Solutions FM Strategies Target Value Design Align Deliverable Requirements Risk Point Meetings Construction & Peer Reviews Decision Milestones Value Analysis Life Cycle hpmleadership.com HPM.LEADS

6 Procurement Oversight: Best Value for Owner OWNER AT RISK OWNER IS PROTECTED Owner Owner HPM Architect/Engineer Constructor Architect/Engineer Constructor Optimal Delivery Method Supply Chain Management Risk Analysis Pre-Audit & Contract Compliance Maintain Leverage Best Value Selection Prequalification Construction Leadership: Best Outcome for Owner Operations Leadership: Reduction of Operating Costs Cost management and auditing Schedule Expediting Quality assurance Commissioning and startup Move management Training

7 FAQs Is this another layer that adds cost to a capital program? No. HPM s SmartBuild Leadership approach transforms the way capital programs are delivered and reduces the costs by 5-10%. We accomplish this by eliminating unnecessary waste which is embedded into typical program delivery methods. The earlier HPM is engaged in a program, the more savings we can provide you. What does HPM provide that we re not already getting from our Architect, Developer and/or Construction Manager? HPM serves as a trusted advisor to and extension of the Owner. We provide leadership to the entire project team and work collaboratively with the Architect, Developer and Construction Manager to ensure the best project outcome and protect the Owner s interests. All project stakeholders benefit from our services and leadership. How is SmartBuild Leadership different than typical Program Management? Typical program management firms offer multiple services such as architecture, engineering, development or construction management. This can create a conflict of interest between protecting the Owner and selling additional services. HPM is 100% dedicated to protecting the Owner and only offers value added program management services. About HPM Founded in 1997 Western region headquarters located in Dallas, Texas Offices in Dallas/Forth Worth, Houston, Austin, Oklahoma City, Birmingham, Huntsville, Mobile, Tuscaloosa, Auburn, Nashville, Tampa, Orlando and Washington D.C. HPM manages more than $400 million annual volume of program management work, totalling more than $4 billion in our 19+ year history 49+ LEED accredited professionals 23 Green Advantage certified professionals 10 Certified Construction Managers Construction Management Association of America American Society of Professional Estimators #38 Top 50 Program Managers in the US, Engineering News Record What is the justification for your monthly billing rates when we can hire employees for less? Our billing rates are at the low end of professional service firms. HPM operates very efficiently with a low overhead, so we can pass this savings along to our customers. In addition, our employees provide additional expertise because they are cross trained and have the support of other HPM experts in planning, procurement, design, construction and operations. We have a facilities department, but our current work load exceeds our capacity. How can HPM help us? HPM frequently provides staff augmentation to our customers to help them manage additional workload. We are able to provide part-time or full-time support to meet your needs in a cost effective manner. Either way, you will receive the same level of expertise from our employees and support from our company resources. hpmleadership.com HPM.LEADS

8 What do you get with HPM? A trusted advisor trained in every aspect of the construction process. Unparalleled management support throughout your decision making. Protection of your interests during design, negotiations, construction, moving, facilities management and audit. Collaborative team members who serve as an extension of your staff to streamline the process and eliminate unnecessary waste. Our People Steve Olson SVP Western Region Jim Robertson Sr. Project Manager George Watts Sr. Program Manager Anna Sullivan Preconstruction Manager Serving Texas for more than 20 years. hpmleadership.com HPM.LEADS