Taking Design to Operation

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1 Taking Design to Operation Presenters: Jacob D Albora Associate VP, Director of BIM-FM Services McVeigh & Mangum Engineering, Inc. Bernie Sublette, CHC Project Executive, Project Development Healthcare AECOM Hunt

2 Taking Design to Operation Feb Atlanta, GA

3 In today s construction environment, careful selection of a contract method may be the most important decision on a project.

4 Design-Assist Learning Objectives: Learn how to properly implement the design-assist contracting process on your next project Understand the benefits gained thru the design-assist process Examples of the use of design-assist on past projects to familiarize the audience with the process

5 Recent practice in the construction industry promotes inefficiency when the key project participants, namely the owner, architect, and contractor, operate independently of each other in a conventional manner. Currently, key project participants often work under separate contracts, with each party pursuing its own set of goals for the project. These inefficiencies may be eliminated by integrating the knowledge, skill, and services to be provided by key project participants, from the earliest stages of the project, under a common set of goals (design-assist). The parties are able to work toward completing the project in a more efficient and cost effective manner with new and emerging technologies, such as building information modeling (BIM), which will be used to the fullest potential, further increasing efficiency, cost effectiveness and save time.

6 Design Assist DEFINED Design Assist is the procurement method by which, prior to completion of the design, a contract is awarded on a best value basis The DA contractor provides design assistance to the architect or engineer of record and is retained by the construction manager

7 Design Assist Hunt MEP Director, Chuck Lack participates in a Coordination Session DESIGN-ASSIST PROFESSIONAL (DAP) The engineering representative of the trade contractor An active and integral member of the project team Thoroughly Understands the system/trade design Begins at the SD phase ( best bang for the buck ) Participates in design charrettes Expert in means and methods, cost estimating and scheduling

8 BENEFITS

9 Benefits Early Involvement Yields Positive Results

10 Benefits Major Strengths of Design-Assist: Formation of an Interdisciplinary Team Process That Values Expertise & Perspectives of Entire Team DA Provides Involvement Early in the Project DA Maximizes Input & Cooperative Problem Solving DA Brings Well Versed Members Within Their Primary Professional Focus DA s Have Heightened Understanding of Healthcare Construction

11 Benefits Early Recognition of Project Challenges Follows Lean Methodology Transparent Process and Pricing Reduce RFI s and Change Orders Enhanced Cost & Schedule Certainty Reduction of Claims (Risk Mitigation) Early Start on BIM Coordination & Shop Drawings Prefabrication Opportunities (Hand-in-Hand)

12 Benefits Eliminates Redundancy Adds Construction Efficiencies Advise Team of Market Conditions, Both Current and Forecasted (Manpower, Commodities, Etc).

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14 Design-Assist = Concurrent Engineering

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16 Design-Assist Results in Significant Time Savings!

17 ELECTRICAL VALUE ENHANCEMENT $(8,950,687)

18 MECHANICAL VALUE ENHANCEMENT $(11,188,682)

19 Benefits Healthcare Information Technology (HIT) HIT Deployed Strategically Has The Potential To: Improve Healthcare Quality Prevent Medical Errors Reduce Healthcare Costs Increase Administration Efficiencies Decrease Paperwork Expand Access to Affordable Care In healthcare, interoperability is the ability of different information systems and software applications to communicate, exchange data, and use the information that has been exchanged. Data exchange schema and standards should permit data to be shared across clinicians, lab, hospital, pharmacy, and patient regardless of the application or application vendor.

20 Benefits

21 Benefits Energy use in hospitals

22 HOW TO: Hunt MEP Vice President, Chuck Lack participates in a Coordination Session

23 DESIGN-ASSIST - UNDERSTANDING THE PROCESS (Road Map) How the A/E, DA Sub & CM Work Together to Make Design-Assist a Success Plan is Process Driven for Best Results Key Outcomes Tracked Start to Finish

24 THE PLAN DESIGN-ASSIST APPROACH (STEPS 1-6) Step 1 RFQ (High Level) Step 2 RFP (Drill Into the Details) DA Contractor Selection Step 3 Three (3) Step Process for Selection Step 4 Score Short-Listed Firms & Recommend (Precon Only) Step 5 Engage DA Services (Pre-Construction) Step 6 - Construction Services

25 THE PLAN DESIGN-ASSIST APPROACH (STEP 1) RFQ (Part A) Invited Bidders ONLY (8-10) Short List Selection Based on: Project History with References Specific Approach to The Project Design-Assist Experience of the Team Proposed (Resumes) Abilities: Cost Control, Scheduling, Estimating QA/QC, Safety and Commissioning Plans BIM and Prefab Experience Evaluation & Short Listing of DA Contractor s by Owner/Program Mgr/A&E/CM Team Ideally Three From Each DA Trade Sought Short Listed DA Sub s Will Submit Detailed Proposals (RFP/Part B)

26 THE PLAN DESIGN-ASSIST APPROACH (BIM) BIM Execution Plan Road Map Outlined Goals for BIM process Including detailed input from Owner, A/E/C Expectations at completion Promote social BIM Environment, encourage collaboration Established Level of Details (LOD) for each trade Identify clearance zones for Owner access, enhanced facility maintenance Developed file naming convention, local file server, Cloud based files server hosting of models

27 THE PLAN DESIGN-ASSIST APPROACH (STEP 2) Part B: DA Contractor Selection Basis (short listed firms): 50% -100% SD Documents (A/E Progress Printing) plus Refinements Since Issuance CM Value Management Log (Alignment with CM) Establish Key Allowances (i.e. Light Fixtures, AHU s) Fee % - Construction Phase (Competitive Process) G.C. s % Construction Phase (Competitive Process) Fee Preconstruction Services (Lump Sum or GMAX - Competing) IGMP - Estimated Total Subcontractor Cost (Competitive Process) Due Diligence and a Sharp Pencil to Stay in the Game Three Step Selection Process (Next Page)

28 THE PLAN DESIGN-ASSIST APPROACH (STEP 3) Three (3) step process: 1) IGMP - Line by Line Presentation by Each DA Subs of Their Estimates (Project Team all in Attendance) 2) Formal Interview Process Bring the A Team, Experience, Approach, etc. With Q & A Session (Owner, Program Manager, A/E and CM attend) 3) Visit DA Sub s Facilities, Determine Capabilities and Level of Sophistication

29 THE PLAN DESIGN-ASSIST APPROACH (STEP 4) Scoring Criteria Established, Score Sheet Developed Aggregate Score Developed for Each DA Subcontractor by the Project Team Recommendations to the Owner (All Team Members Weigh in) Selection Process Complete NTP for Precon to Winning DA Sub s Award DA Sub Preconstruction Contract (precon only)

30 THE PLAN DESIGN-ASSIST APPROACH (STEP 4 CONT.) DA Scoring Criteria

31 THE PLAN DESIGN-ASSIST APPROACH (STEP 5) Phase I - Contract for Pre-Construction DA Services DA Sub s to Lose, Once Selected; Sub is on Board, Albeit Probationary Original Budget (IGMP) Submitted by the DA Contractor Must be Maintained Throughout Entire Design Development (Very Important Benchmark) Over Budget Trap Door is Exercised, Job is on the Streets for Bid Within budget at GMP - Awarded DA Construction contract (Move to Phase II) Incentives Can be Used (if Desired) to Further Improve Efficiency (Sharpen Your Pencil Again)

32 THE PLAN DESIGN-ASSIST APPROACH (STEP 6) Phase II - Contract for Construction Services Commences Competitiveness has Been Built Into the DA Contractor Selection Process Project Receives Valuable Information & Guidance (Phase I) from Subs Before Project Team Commits to a Construction Services Agreement (Phase II)

33 THE PLAN DESIGN-ASSIST APPROACH Escape Clause Language Included in Design-Assist Precon Agreements Construction Agreement is NOT Automatic to DA Sub Plans Can Be Put Out for Competitive Bidding To Stay in the Game: Must Meet Specific Budget Expectations (GMP) Must Meet Specific Schedule Expectations (Milestone Dates) Provide Key Personnel as Promised Demonstrate Collaborative Relationship (Chemistry) Subs Req d to Competitively Bid Major Components DA OFF RAMP (IF REQ D)

34 EXAMPLES

35 Design Assist RFP Issued by Construction Manager The project will adopt LEAN methodology in every way possible to minimize waste and increase efficiency. Some of the practices to be implemented include: Last Planner System, Pull Planning, Just-in-Time Deliveries, BIM, Prefabrication, Joint Use of Technology and others. All proposers are encouraged to contribute to and participate in this highly effective and collaborative effort that will greatly benefit the entire team.

36 DA MEP/FP Players (Example) MEP Partners Mechanical TD Industries Electrical Fisk Electric Fire Protect Texas Sprinkler Total MEP-FP GMP $205,000,000 46% of Total Construction Cost MEP & FP Costs Represent Nearly Half of the Total Construction Cost. Add Low Voltage And it s Closer to 55%.

37 EXAMPLE UPDATE 6 WEEK LOOK AHEAD DA Trades by Priority: Next Up: 1. Concrete 2. Curtain wall 3. Exterior Wall System 4. Roof/Flashing/Exp Joint Systems 5. Heli-Pad Mechanical Electrical Plumbing Fire Protection Low-voltage Pneumatic tube Elevator Trash & Linen System Food Service Interior Studs/Drywall OR Ceilings Window Washing System

38 Understanding the MEP Basis for Design Design-Assist Sessions

39 Prefabricated Utility Tunnel Racks at UTSW

40 BS Design Assist Prefab Utility Tunnel Racks

41 Prefabricated Headwalls on the 12 th Floor Shell Space at UTSW Prefabricated Patient Bathrooms

42 Mount Carmel Grove City (MCGC) MEP Corridor Racks

43 MEP Corridor Rack Review

44 MCGC MEP Corridor Racks

45 Evaluation Early Structural Considerations for MEP Racks

46 MCGC MEP Corridor Racks Field Installation

47 MCGC MEP Corridor Racks Field Installation