THE SIMPLE FRAMEWORK FOR INTEGRATING PROJECT DELIVERY

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1 THE SIMPLE FRAMEWORK FOR INTEGRATING PROJECT DELIVERY PRESENTATION THESIS STATEMENT Dean Reed, DPR Construction LCI Los Angeles / Orange County CoP Los Angeles, CA June 27, 2018

2 AGENDA The Simple Framework for Integrating Project Delivery Greetings Profound Knowledge Lean Construction Tools Integrating Project Delivery The Simple Framework Virtual Design & Construction Where Do Your Tools Fit?

3 THE SIMPLE FRAMEWORK IS SIMPLE

4 FISH DID NOT DISCOVER WATER We are unaware of what we are completely immersed in Marshall McCluhan

5 LEAN CONSTRUCTION TOOLS

6 LEAN CONSTRUCTION INSTITUTE 3 Connected Opportunities CHANGE The Operating System Organizational Structures Commercial Terms

7 LEAN & INTEGRATED PROJECT DELIVERY Several Useful Books on Methods & Practices

8 TARGET VALUE DESIGN Iris D. Tommelein & Glenn Ballard

9 TARGET VALUE DELIVERY Editors: Kristin Hill, Katherine Copeland and Christian Pikel

10 TRANSFORMING DESIGN AND CONSTRUCTION William R. (Bill) Seed, Executive Editor

11 LEAN PROJECT DELIVERY David Umstot And Dan Fauchier

12 INTEGRATED PROJECT DELIVERY: AN ACTION GUIDE FOR LEADERS Editors: Renée Cheng & Laura Osburn

13 RESOURCES l Target Value Design (LCI) l Target Value Delivery (LCI) l Transforming Design and Construction (LCI) l Lean Project Delivery l Integrating Project Delivery l A Guide to the Book Integrating Project Delivery l Project Delivery: An Action Guide for Leaders

14 TOP 10 LEAN CONSTRUCTION TOOLS Together at your table lbrainstorm for 5 10 minutes llist as many as you want ltry for at least 10 lrank them by impact lwrite the name and number of the top 5 on a sticky

15 INTEGRATING PROJECT DELIVERY A Strategic Model for Project Integration 21 page summary published by DPR Construction in 2017 Theory and Practice 450 pages 50 Projects 123 Examples Textbook published by Wiley 2017

16 INTEGRATING PROJECT DELIVERY Take-aways Our big idea is integration is imperative and a strategy. Value of the physical product is the starting / ending point. Integration requires flow and is the final stage of Lean. Cost / resource efficiency focus leads to fragmentation. Simplicity goal forced us look at strategy and enablers, beyond Lean methods, practices and behaviors. VDC is the most powerful system methodology for integration.

17 ECONOMICS OF PROJECT DELIVERY Enabling value delivery for / by our customers income $ REVENUE BUSINESS REQUIREMENTS DESIGN CONSTRUCT MAINTENANCE FACILITY OPERATIONS time BUSINESS OPERATIONS cost Image adapted from Dr. Martin Fischer, CIFE IAB, 2011

18 MACLEAMY CURVE Traditional vs. Approach Time/Schedule Ability to impact cost and functional capabilities Cost of design changes Design Effort/Effect project delivery process Traditional design process TRADITIONAL Predesign Schematic Design Design Development Construction Documents INTEGRATED Conceptualization Criteria Design Detailed Design Implementation Documents Agency Permit/Bidding Agency Coord/ Final Buyout Construction Construction

19 VALUE SIMPLIFIED Value = Ration of Quality to Cost

20 LEAN THINKING Based on Toyota Production System Making value flow at the pull of the customer Identifying Value Mapping the Value Stream Making Value Creating Steps Flow Using the Pull of the Customer Striving for Perfection

21 LEAN: MAKING VALUE FLOW Maximize value-adding work and eliminate waste Business Case Plan Design BIM Coordination Fabricate Install Commission Use Operate Work to achieve customers Conditions of Satisfaction Points of Release: work accepted by next / final customer

22 A HIGH PERFORMING BUILDING U Usable S Sustainable B Buildable O Operable

23 A HIGH PERFORMING BUILDING Safe Peaceful Functional Beautiful Light /Open Comfortable Flexible Adaptable Usable

24 UCSF Medical Center at San Francisco Mission Bay Safe Peaceful Functional Beautiful Light /Open Comfortable Flexible Adaptable Source:

25 A HIGH PERFORMING BUILDING Safe Peaceful Functional Beautiful Light /Open Comfortable Flexible Adaptable Usable Constructible No Injuries High Quality On-time Delivery Lowest Total Cost Buildable

26 UCSF Medical Center at San Francisco Mission Bay Constructible No Injuries High Quality On-time Delivery Lowest Total Cost

27 A HIGH PERFORMING BUILDING Safe Peaceful Functional Beautiful Light /Open Comfortable Flexible Adaptable Usable Constructible No Injuries High Quality On-time Delivery Lowest Total Cost Buildable Operable Safe Easy to Clean Simple to Maintain Energy / Water Neutral

28 UCSF Medical Center at San Francisco Mission Bay Safe Easy to Clean Simple to Maintain Energy / Water Neutral

29 A HIGH PERFORMING BUILDING Safe Peaceful Functional Beautiful Light /Open Comfortable Flexible Adaptable Usable Sustainable Economically Equitably Environmentally Constructible No Injuries High Quality On-time Delivery Lowest Total Cost Buildable Operable Safe Easy to Clean Simple to Maintain Energy / Water Neutral

30 UCSF Medical Center at San Francisco Mission Bay Economically Equitably Environmentally

31 UCSF Medical Center at San Francisco Mission Bay Usable Sustainable Buildable Operable HIGH PERFORMING BUILDING

32 VALUE IN THE SIMPLE FRAMEWORK Ratio of Performance to Cost / U S VALUE = Q O $ B Q High Performance Total Cost (First & Lifecycle)

33 THE SIMPLE FRAMEWORK for Integrating Project Delivery Measurable Value Production Management Collaboration Co-l0cation Visualization Simulation High Performing Building Systems Process Integration Organization Information Agreement / Framework

34 THE SIMPLE FRAMEWORK for Integrating Project Delivery Measurable Value Production Management Collaboration Co-l0cation Visualization Simulation High Performing Building Systems Process Integration Organization Information Agreement / Framework

35 INTEGRATING SYSTEMS Required for a High Performing Building

36 END RESULT Value High Performance STRATEGY Bioclimatic

37 THE SIMPLE FRAMEWORK for Integrating Project Delivery Measurable Value Production Management Collaboration Co-l0cation Visualization Simulation High Performing Building Systems Process Integration Organization Information Agreement / Framework

38 INTEGRATING PROCESS KNOWLEDGE To Design a High Performing Building

39 INTEGRATING PROCESS KNOWLEDGE Collaborative Design Review Using BIM

40 THE SIMPLE FRAMEWORK for Integrating Project Delivery Measurable Value Production Management Collaboration Co-l0cation Visualization Simulation High Performing Building Systems Process Integration Organization Information Agreement / Framework

41 CREATE / MAINTAIN ORGANIZATIONAL HEALTH Avoid the Five Dysfunctions of a Team Courtesy of Patrick Lencioni

42 SUTTER HEALTH S FIVE BIG IDEAS For Reshaping the Design and Delivery of Capital Projects.

43 ORGANIZATIONS AS NETWORKS OF COMMITMENT Fernando Flores Basic Action Workflow

44 INTEGRATED ORGANIZATION Clear responsibility Rapid communication Sound decisions Owner / Tenant Organization NEEDS Stakeholder Group Leads Tier 1 Tier 2 PROJECT ORGANIZATION SOLUTIONS Multidisciplinary Teams Clusters COORDINATION Team Leads Tier 3 DECISIONS Project & Senior Management Teams

45 JOINT GOVERNANCE Making decisions to drive the project forward

46 THE SIMPLE FRAMEWORK for Integrating Project Delivery Measurable Value Production Management Collaboration Co-l0cation Visualization Simulation High Performing Building Systems Process Integration Organization Information Agreement / Framework

47 INTEGRATING PROJECT INFORMATION Integrate Scope, Quality Cost & Schedule Using BIM

48 INTEGRATING PROJECT INFORMATION Enabling understanding throughout the project team

49 THE SIMPLE FRAMEWORK for Integrating Project Delivery Measurable Value Production Management Collaboration Co-l0cation Visualization Simulation High Performing Building Systems Process Integration Organization Information Agreement / Framework

50 VISUALIZING BUILDING PERFORMANCE Walk into the Future

51 INFORMATION + VISUALIZATION IN PRODUCTION Seeing the wall before building it

52 SIMULATING BUILDING PERFORMANCE Computational Fluid Dynamics Model of the DPR Phoenix NZE Building

53 THE SIMPLE FRAMEWORK for Integrating Project Delivery Measurable Value Production Management Collaboration Co-l0cation Visualization Simulation High Performing Building Systems Process Integration Organization Information Agreement / Framework

54 COLLABORATION REQUIRED For working smarter and reviewing constructability

55 CO-LOCATING TO IMPROVE PERFORMANCE Better information and faster decisions

56 THE SIMPLE FRAMEWORK for Integrating Project Delivery Measurable Value Production Management Collaboration Co-l0cation Visualization Simulation High Performing Building Systems Process Integration Organization Information Agreement / Framework

57 INTEGRATING PRODUCTION MANAGEMENT Planning and managing at all levels

58 INTEGRATED PLANNING TO MAKE VALUE FLOW Using the Last Planner System

59 THE SIMPLE FRAMEWORK for Integrating Project Delivery Measurable Value Production Management Collaboration Co-l0cation Visualization Simulation High Performing Building Systems Process Integration Organization Information Agreement / Framework

60 START WITH THE END IN MIND to Project Delivery Measurable Value (How?) (Why?) High Performing Building Systems (What?)

61 MANAGING WITH METRICS To Improve Team Performance

62 COORDINATION METRICS Managing BIM Coordination with Metrics

63 PRODUCTION METRICS Studying Results is the Key to Continuous Improvement

64 A NOTE ON VDC Virtual Design & Construction

65 Virtual Design and Construction (VDC) is the use of multidisciplinary performance models of building projects, including their products (facilities), organizations, and work processes for business objectives.

66 VDC IN THE SIMPLE FRAMEWORK Measurable Value Virtual Design & Construction Production Management Collaboration Co-l0cation Visualization Simulation High Performing Building Systems Process Integration Organization Information Agreement / Framework

67 Client Goals BIM+ Performance Models VDC Virtual Design & Construction Performance Metrics Metrics Product Organization Process Measurement Flow Planning Coordination Project Production Management Measurement Project Objectives Measurement PPM Visualization Simulation Information Measurement Collaboration Problem- Solving Constraints ICE Concurrent Engineering

68 VDC IN THE SIMPLE FRAMEWORK Measurable Value Virtual Design & Construction Production Management Collaboration Co-l0cation Visualization Simulation High Performing Building Systems Process Integration Organization Information Agreement / Framework

69 AGREEMENT / STRUCTURE 6 Questions for Organizational Clarity Courtesy of Patrick Lencioni

70 PREVENT NEW PRACTICES & BEHAVIORS Current contracts require parties to protect themselves first Why? Control cost How? Single-point accountability What? Notice provisions Agreement / Framework

71 SUPPORT NEW PRACTICES & BEHAVIORS IPD contracts create a foundation Why? Commitment to trust and collaboration How? Align interests What? Agreement on terms to keep everyone together Agreement / Framework

72 AGREEMENT / FRAMEWORK INTERCONNECTIONS to Integrating Process, Organization and Information Process Integration Organization Information Agreement / Framework

73 USING LEAN TOOLS STRATEGICALLY

74 PLACING YOUR TOOLS Where do your tools fit in the Simple Framework? ldecide as a group where each of your 5 tools fits in the Simple Framework lidentify where else your tools fit lplace each of your stickies where they should go on the Simple Framework plot

75 EVERYTHING IS INTERCONNECTED Goals Objectives Metrics II Information Simulation Visualization Measurement Organization Measurement IS HPB Measurement IO Systems Measurement Framework / Agreement Project Production Management Processes IP Collaboration Co-Location

76 THE SIMPLE FRAMEWORK IS A STRATEGY Delivering greater value predictably A SYSTEM MODEL Based on Lean thinking and creating performance models Requires a pivot from a cost focus and fragmentation to value and integration

77 INTEGRATING PROJECT DELIVERY Take-aways Our big idea is integration is imperative and a strategy. Value of the physical product is the starting / ending point. Integration requires flow and is the final stage of Lean. Cost / resource efficiency focus leads to fragmentation. Simplicity goal forced us look at strategy and enablers, beyond Lean methods, practices and behaviors. VDC is the most powerful system methodology for integration.