Executive Summary Determining Productivity Improvement... 3

Transcription

1 Autodesk Civil 3D 2006 Return on Investment This Return on Investment paper is a follow-up to a previous paper based on Autodesk Civil 3D That paper, which was based on the analysis of a hypothetical composite project because the software was so new there were no users using it in production projects, projected what a user might experience on average when using Autodesk Civil 3D 2004 versus Autodesk Land Desktop In contrast, this version of the paper, based on Autodesk Civil 3D 2006, draws conclusions from real projects, including Autodesk-funded pilot projects, full Civil 3D deployments, and customer interviews. The findings provide insight into the tangible and intangible benefits of Civil 3D over Land Desktop and documents the productivity savings and ROI. Conservative estimates from this study indicate that by using Autodesk Civil 3D instead of Autodesk Land Desktop, users can experience productivity gains ranging from 35 percent to 75 percent and achieve ROI in 5.2 months. Autodesk commissioned this analysis by Harry O. Ward (hw@cyberneers.com or hward@gmu.edu), a registered Professional Engineer and a licensed Virginia contractor with more than 23 years of experience in civil engineering and CADD. Well known in the industry, he is the executive vice president of OutSource Inc., an Autodesk Authorized Premier Training Center. Ward is a columnist for several magazines, including Site Prep and Point of Beginning (POB), and is on the editorial advisory board of POB magazine. He is the author of the recently published Autodesk Civil 3D: Procedures & Applications, which will be reprinted as an Autodesk Design Institute textbook for colleges, resellers, and Training Centers. Ward is on the engineering faculty at George Mason University, where he has taught several core civil engineering classes since Contents Executive Summary... 3 Determining Productivity Improvement... 3 Computing Return on Investment... 4 Introduction... 5 Autodesk Civil 3D 2006 Enhancements... 6 Pilot Projects... 6 Subdivision of Royal Oaks at MapleCrofte with Bowman Consulting Group... 7 French Harmony Road with CEMCON, Ltd Blackstone River Bikeway with Vanasse Hangen & Brustlin... 8 High Street and Violette Street with Wright-Pierce... 8 Key Learning from Pilot Projects... 8 Converting Productivity into Dollars

2 Costs of Acquisition, Style Development, and Training... 9 Return on Investment Analysis Key Learning Intangible Benefits Conclusion

3 Executive Summary This section summarizes the findings of this paper and shows how they were computed. Determining Productivity Improvement The findings in this paper are based primarily on several pilot projects in which Autodesk funded third-party consultants to perform design and drafting on engineering projects in concert with Autodesk customers. The consultants shadowed actual projects, performing design and drafting tasks using Autodesk Civil 3D while the host company performed the same work using Autodesk Land Desktop. Pilot projects were conducted for a cross section of project types, including subdivision and roadway design. To compute a new ROI projection, the productivity metrics obtained from these projects were compared to the costs of upgrading to Civil 3D. This report details the process of how the results were determined and how the data was compiled and reduced. Of all the pilot projects conducted, the subdivision design project yielded the lowest overall time savings when using Civil 3D instead of Land Desktop. For a conservative ROI estimate, the savings rate of 74 percent from this project was used as the productivity metric for the analysis. To translate this productivity improvement into dollars, we determined the impact it would have on a team of 10 staff members with an average billable rate of $100 an hour. Working 40 hours a week with Land Desktop, this team would generate $40,000. If they were to do the same work with Civil 3D, they would complete it in 74 percent of the time (about 30 hours), freeing an additional 10 hours of billable time per week per staff member. This translates to an additional $10,000 a week in potential revenue, which would benefit all projects. The total first-year implementation cost for a team of 10 was determined to be $147,300 (assuming Civil 3D licenses were obtained through existing Land Desktop subscriptions). For those acquiring new licenses of Civil 3D at retail cost, the total cost would be $205,300 (see following table). Additional costs during the second year (and subsequent years) include annual subscription fees ($12,000) and continuing education ($29,400). Table 1: Civil 3D Deployment Costs for Team of 10 (Year One) Software Acquisition Costs Alternative One: Via Land Desktop Subscription: 10 stations ($1,200/license) $12,000 Alternative Two: New licenses: 10 stations at ($7,000/license) $70,000 Initial Training and Style Setup Instructor fees for training 10 people for 3 days $5,400 Opportunity cost for 10 people out of production for 3 days ($100/hour) $24,000 Instructor fees for advanced training for 2 people for 1.5 days $2,700 Opportunity cost for 2 people out of production for 1.5 days ($100/hour) $2,400 6 days of consultant fees for developing styles $10,

4 Opportunity cost for 2 people out of production for 6 days ($100/hour) $9,600 Continuing Education Instructor fees for training 10 people for 8 days $14,400 Opportunity cost for 10 people out of production for 8 days ($100/hour) $64,000 Hardware Improvements Increased RAM ($200/machine) $2,000 Total Cost (Alternative One) $147,300 Total Cost: (Alternative Two) $205,300 Computing Return on Investment For this paper, we assumed that no productivity improvement would occur the first month after implementing Civil 3D and only half of the potential improvement would be realized during the second month as the firm stabilizes its usage. Using the additional potential revenue discussed earlier ($10,000 a week) to offset the costs for the software acquisition and deployment, we can compare benefits to costs. With costs of $147,300 versus a payback of $10,000 a week after 6 weeks of deployment, we have a ROI of 5.2 months. The following graph illustrates productivity over time for Land Desktop and Civil 3D. As illustrated, when users first implement Civil 3D, there will be a period of investment to account for software implementation, including training, configuration, and building of styles. After that, one can expect productivity gains ranging fom 35 percent to 75 percent. 4

5 Introduction This report details the process of calculating results and how the data was compiled and reduced. Research was conducted through October 2005 and included Autodesk Land Desktop 2006 and Autodesk Civil 3D The methodology of this paper consists of the following steps: 1. Identify the enhancements that Civil 3D 2006 offers and the ramifications they have to various types of engineering projects 2. Describe the pilot projects in detail and identify key learning, including estimates of tangible savings and production increases 3. Convert productivity savings into dollars 4. Identify costs of software acquisition, style development, initial training, and intermediate training 5. Conduct ROI analysis 6. Identify intangible benefits of implementing Civil 3D 5

6 Autodesk Civil 3D 2006 Enhancements The following is a list of the major improvements that Civil 3D 2006 offers over the previous version: New dynamic pipe networks for storm, sanitary, water, and other utilities Enhanced corridor modeling, including new subassemblies and roadway reconstruction and rehabilitation capabilities New design and modification capabilities for corridors and related subassemblies as well as display control for corridor modeling regions and the ability to reverse alignment direction Superelevation design tables Enhancements to design section annotation and more abilities for profile drafting, including the ability to superimpose corridor feature lines onto profiles Improved drafting capabilities, including the creation of AutoCAD blocks from Civil 3D points Addition of user-defined parcel attributes for increased labeling and reporting power Improved surface modeling performance and new surface modeling build settings Ability to use grading feature lines and grading objects as breaklines Expanded multiuser access, with new abilities to share the Civil 3D data Expanded API (application programming interface) and enhanced development environment, yielding increased VBA (Microsoft Visual Basic for Applications) and.net support for customizing subassemblies and other items Compatibility with Trimble Link, Carlson Connect, and Leica Xchange for sharing data with surveying equipment and sending data directly to 3D/GPS machine control devices Pilot Projects A major source of data used in this research was the results from the Autodesk-sponsored pilot projects. For these pilot projects, Autodesk funded third-party consultants to perform design and drafting on engineering projects in concert with Autodesk customers. The customers used Land Desktop while the consultants did the design and drafting in Civil 3D. The consultants paralleled the design process using Autodesk Civil 3D 2006 for the purpose of creating an objective assessment of the software s benefits. Metrics were gathered and a comparison of the two efforts was made. We used these results to gain some hard numbers on the effectiveness of the Civil 3D software in actual usage and to provide information as to the value of using Autodesk Civil 3D 2006 in a production environment. The pilot projects included a cross section of typical engineering projects, including a large subdivision, a bike path, a road design, and a roadway reconstruction project. The subdivision project provided a wide variety of design and drafting challenges. The others 6

7 focused almost exclusively on roadway tasks, and, as a result, performance was better due to the strong roadway design tools in Civil 3D. The following sections provide an assessment of the work performed and the productivity gains identified for each pilot project. Subdivision of Royal Oaks at MapleCrofte with Bowman Consulting Group This project is a 150-acre site with 300 single-family detached homes. The design tasks consisted of street design, lot and right-of-way (ROW) layout, sanitary sewers, storm sewers, water mains, and related improvements. Drafting included the site layout plans as well as plan and profile drawings for streets and utilities. The following tasks were undertaken: Processing of existing planimetric and topographic ground conditions Development of site geometry, street centerlines, ROWs, lot lines, and setbacks Road design of profiles, corridors, and sections Site lot grading and retention pond grading Storm and sanitary sewer layout Plan and profile sheet creation The following table shows the metrics that were collected on this project. With Civil 3D, it took an estimated 74 percent of the time that it took to do the same work in Land Desktop. This is somewhat better than what was experienced with the composite project studied in the previous ROI paper and could arguably be the result of the enhancements in this release. Table 2: Royal Oaks Performance Metrics Land Desktop Hours Civil 3D Hours Civil 3D users took 74 percent of the time that Land Desktop users needed. (35 percent productivity increase) French Harmony Road with CEMCON, Ltd. French Harmony Road is a two-lane county connector with curb and gutter, superelevations, a roundabout intersection, and a pedestrian path. The design tasks performed for this project consisted of design, drafting, and annotating horizontal alignment and vertical profiles; creating plan and profile sheets; generating sections; and estimating earthwork volumes and road materials. Table 3: French Harmony Road Performance Metrics Land Desktop Hours Civil 3D Hours Civil 3D users took 57 percent of the time that Land Desktop users needed. (75 percent productivity increase) 7

8 Blackstone River Bikeway with Vanasse Hangen & Brustlin The design for the Blackstone River Bikeway consisted of the horizontal and vertical alignment of the bikeway segment, including plan views, profiles, and cross sections. Table 4: Blackstone River Bikeway Performance Metrics Land Desktop Hours Civil 3D Hours Civil 3D users took 60 percent of the time that Land Desktop users needed. (66 percent productivity increase) High Street and Violette Street with Wright-Pierce This pilot project was a roadway reconstruction for the Town of Van Buren, Department of Public Works. Each road is about a half-mile long and contains a two-lane roadway, wastewater and storm water collection systems, and pressurized water mains. The work for this pilot project consisted of Designing new centerline horizontal alignments Designing new finished grade vertical alignments Drafting proposed water, wastewater, and storm water piping systems based on the town s typical minimum cover and slope requirements Table 5: High Street and Violette Street Performance Metrics Land Desktop Hours Civil 3D Hours Civil 3D users took 59 percent of the time that Land Desktop users needed. (69 percent productivity increase) Key Learning from Pilot Projects Reviewing the findings of the pilot projects uncovered some common themes and key learning about using Civil 3D. Across the board, the consultants achieved consistent time savings in actual production usage. The average time it took to perform a project when using Civil 3D versus Land Desktop was identified as 62.5 percent, with roadway projects showing high productivity increases. The dynamic engineering model ensures that a change made in one place instantly updates the entire project, improving productivity and ensuring that design elements are always in sync. The interactive nature of the parcel and alignment design tools accelerated design and drafting. Significant time savings come from the use of styles and from the fact that drafting in Civil 3D is a by-product of the design. 8

9 The road and corridor modeling abilities completely outshined those in Land Desktop. The use of the drag-and-drop subassemblies proved expeditious. The pipe layout and drafting abilities increased productivity for some utilities. The grading tools were very effective. The earthworks tools are robust and automatically determine cut/fill volumes. Converting Productivity into Dollars Of all the pilot projects, the subdivision project yielded the lowest overall time savings when using Civil 3D. Thus, for a conservative ROI estimate, the savings rate from this project (74 percent) was used as the productivity metric for the analysis. To translate this productivity improvement to dollars, we determined the impact it would have on a team of 10 staff members with an average billable rate of $100 an hour. Working 40 hours with Land Desktop, this team would generate $40,000 a week. If they were to do the same work with Civil 3D they would complete the same work in 30 hours, freeing an additional 10 hours of billable time per week per staff member. This translates to an additional $10,000 a week in potential revenue, which would benefit all projects. Costs of Acquisition, Style Development, and Training Using metrics from actual, full deployments done for Autodesk customers, we determined the costs for software acquisition, style development, initial training, and intermediate training (outlined in the following table). The total first-year implementation cost for a team of 10 was determined to be $147,300 (assuming Civil 3D licenses were obtained through existing Land Desktop subscriptions). For those acquiring new licenses of Civil 3D at retail cost, the total cost was determined to be $205,300. Additional costs during the second year (and subsequent years) include annual subscription fees ($12,000) and continuing education to cover new enhancements ($29,400). Table 6: Civil 3D Deployment Costs for Team of 10 (Year One) Software Acquisition Costs Alternative One: Via Land Desktop Subscription: 10 stations ($1,200/license) $12,000 Alternative Two: New licenses: 10 stations at ($7,000/license) $70,000 Initial Training and Style Setup Instructor fees for training 10 people for 3 days $5,400 Opportunity cost for 10 people out of production for 3 days ($100/hour) $24,000 Instructor fees for advanced training for 2 people for 1.5 days $2,700 Opportunity cost for 2 people out of production for 1.5 days ($100/hour) $2,400 6 days of consultant fees for developing styles $10,800 Opportunity cost for 2 people out of production for 6 days ($100/hour) $9,600 Continuing Education 9

10 Instructor fees for training 10 people for 8 days $14,400 Opportunity cost for 10 people out of production for 8 days ($100/hour) $64,000 Hardware Improvements Increased RAM ($200/machine) $2,000 Total Cost (Alternative One): $147,300 Total Cost: (Alternative Two): $205,300 Return on Investment Analysis For this paper, we assumed that no productivity improvement would occur the first month after implementing Civil 3D and only half of the potential improvement would be realized during the second month. Using the additional potential revenue discussed earlier ($10,000 a week) to offset the costs of the software acquisition and deployment, we can compare benefits to costs. With costs of $147,300 versus a payback of $10,000 a week after 6 weeks of deployment, we have an ROI of 5.2 months. Key Learning Intangible Benefits In addition to the measured ROI, this study uncovered several intangible benefits from the implementation of Civil 3D. On hourly projects where profit would not increase due to additional speed in performing the projects, additional hours can be spent improving the design, appearance, and quality control of the project. This is an intangible that pays off in enhanced reputation, higher-quality work product, happier clients, and reduced liability. Some organizations may be able to generate additional revenue by creating visualizations of the 3D models. These models can be used for public hearings, improving communication with clients, the public, and other stakeholders. These 3D models can then be sent to contractors for actual construction using 3D/GPS machine control systems. Models could be provided to contractors for a fee similar to that of data preparation companies, but with the additional benefit of professional licensure to reduce liability. Conclusion This study captured the costs for acquiring and deploying Autodesk Civil 3D 2006, determined the productivity increases that can be achieved by implementing Civil 3D, and computed the ROI. The costs for acquisition and deployment of Civil 3D for a 10-person team was determined to be $147,300 (if the licenses were obtained via subscription). For those that acquired the software at retail price, the costs for acquisition and deployment would be $205,300. The cash value of the productivity increase from using Civil 3D over Land Desktop for a team of 10 people was found to be $10,000 a week. Based on these metrics, ROI was computed at 3.7 months. With six weeks of time added to configure the software and train the staff, the total ROI is 5.2 months. 10

11 These metrics are based on actual figures and project returns. They support a compelling case for upgrading or acquiring the Autodesk Civil 3D software. Autodesk, AutoCAD, and Civil 3D are either registered trademarks or trademarks of Autodesk, Inc., in the USA and/or other countries. All other brand names, product names, or trademarks belong to their respective holders.are either registered trademarks or trademarks of Autodesk, Inc., in the USA and/or other countries. All other brand names, product names, or trademarks belong to their respective holders. Autodesk reserves the right to alter product offerings and specifications at any time without notice, and is not responsible for typographical or graphical errors that may appear in this document Autodesk, Inc. All rights reserved. 11